10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 10-Q

(Mark One)

x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended September 30, 2016

OR

¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

Commission File Number: 001-13901

 

AMERIS BANCORP

(Exact name of registrant as specified in its charter)

GEORGIA	58-1456434
(State of incorporation)	(IRS Employer ID No.)

310 FIRST STREET, S.E., MOULTRIE, GA 31768

(Address of principal executive offices)

(229) 890-1111

(Registrant’s telephone number)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    Yes  x    No   ¨

Indicate by check mark whether the Registrant has submitted electronically and posted on its corporate Website, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).    Yes  x    No   ¨

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See definitions of “large accelerated filer”, “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Securities Exchange Act. (Check one):

Large accelerated filer	x	Accelerated filer	¨
Non-accelerated filer	¨  (Do not check if a smaller reporting company)	Smaller reporting company	¨

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Securities Exchange Act).    Yes  ¨    No  x

There were 34,919,974 shares of Common Stock outstanding as of November 1, 2016.

AMERIS BANCORP

TABLE OF CONTENTS

		Page
PART I – FINANCIAL INFORMATION
Item 1.	Financial Statements.
	Consolidated Balance Sheets at September 30, 2016, December 31, 2015 and September 30, 2015	1
	Consolidated Statements of Earnings and Comprehensive Income/(Loss) for the Three and Nine-Month periods Ended September 30, 2016 and 2015	2
	Consolidated Statements of Changes in Stockholders’ Equity for the Nine Months Ended September 30, 2016 and 2015	3
	Consolidated Statements of Cash Flows for the Nine Months Ended September 30, 2016 and 2015	4
	Notes to Consolidated Financial Statements	6
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations.	60
Item 3.	Quantitative and Qualitative Disclosures About Market Risk.	90
Item 4.	Controls and Procedures.	90
PART II – OTHER INFORMATION
Item 1.	Legal Proceedings.	91
Item 1A.	Risk Factors.	91
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds.	91
Item 3.	Defaults Upon Senior Securities.	91
Item 4.	Mine Safety Disclosures.	91
Item 5.	Other Information.	92
Item 6.	Exhibits.	92
Signatures		92

Item 1. Financial Statements.

AMERIS BANCORP AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

(dollars in thousands, except per share data)

	September 30, 2016			December 31, 2015			September 30, 2015
	(Unaudited)			(Audited)			(Unaudited)
Assets
Cash and due from banks	$	123,270		$	118,518		$	114,396
Federal funds sold and interest-bearing accounts		90,801			272,045			120,925
Investment securities available for sale, at fair value		838,124			783,185			811,385
Other investments		24,578			9,323			9,322
Mortgage loans held for sale, at fair value		126,263			111,182			111,807
Loans, net of unearned income		3,091,039			2,406,877			2,290,649
Purchased loans not covered by FDIC loss-share agreements (“purchased non-covered loans”)		1,067,090			771,554			767,494
Purchased loan pools not covered by FDIC loss-share agreements (“purchased loan pools”)		624,886			592,963			410,072
Purchased loans covered by FDIC loss-share agreements (“covered loans”)		62,291			137,529			191,021
Less: allowance for loan losses		(22,963	)		(21,062	)		(22,471	)
Loans, net		4,822,343			3,887,861			3,636,765
Other real estate owned, net		10,392			16,147			20,730
Purchased, non-covered other real estate owned, net		14,126			14,333			11,538
Covered other real estate owned, net		1,000			5,011			12,203
Total other real estate owned, net		25,518			35,491			44,471
Premises and equipment, net		122,191			121,639			124,756
FDIC loss-share receivable, net		-			6,301			4,506
Other intangible assets, net		18,472			17,058			18,218
Goodwill		122,545			90,082			87,701
Cash value of bank owned life insurance		77,637			64,251			59,894
Other assets		101,753			72,004			72,154
Total assets	$	6,493,495		$	5,588,940		$	5,216,300
Liabilities and Stockholders’ Equity
Liabilities
Deposits:
Noninterest-bearing	$	1,563,316		$	1,329,857		$	1,275,800
Interest-bearing		3,742,782			3,549,433			3,254,723
Total deposits		5,306,098			4,879,290			4,530,523
Securities sold under agreements to repurchase		42,647			63,585			51,506
FDIC loss-share payable, net		7,775			-			-
Other borrowings		373,461			39,000			39,000
Other liabilities		37,033			22,432			23,371
Subordinated deferrable interest debentures		83,898			69,874			69,600
Total liabilities		5,850,912			5,074,181			4,714,000
Stockholders’ Equity
Preferred stock, stated value $1,000; 5,000,000 shares authorized; 0 shares issued and outstanding		-			-			-
Common stock, par value $1; 100,000,000 shares authorized; 36,347,637; 33,625,162 and 33,609,894 issued		36,348			33,625			33,610
Capital surplus		409,630			337,349			336,599
Retained earnings		199,769			152,820			140,282
Accumulated other comprehensive income		10,449			3,353			4,197
Treasury stock, at cost, 1,456,333; 1,413,777 and 1,413,777 shares		(13,613	)		(12,388	)		(12,388	)
Total stockholders’ equity		642,583			514,759			502,300
Total liabilities and stockholders’ equity	$	6,493,495		$	5,588,940		$	5,216,300

See notes to unaudited consolidated financial statements.

1

AMERIS BANCORP AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF EARNINGS AND COMPREHENSIVE INCOME/(LOSS)

(dollars in thousands, except per share data)

(Unaudited)

	Three Months Ended September 30,						Nine Months Ended September 30,
	2016			2015			2016			2015
Interest income
Interest and fees on loans	$	57,322		$	45,775		$	160,677		$	124,231
Interest on taxable securities		4,336			4,694			13,476			11,594
Interest on nontaxable securities		397			480			1,297			1,411
Interest on deposits in other banks and federal funds sold		155			246			659			556
Total interest income		62,210			51,195			176,109			137,792
Interest expense
Interest on deposits		3,074			2,521			8,730			7,065
Interest on other borrowings		2,069			1,275			5,287			3,808
Total interest expense		5,143			3,796			14,017			10,873
Net interest income		57,067			47,399			162,092			126,919
Provision for loan losses		811			986			2,381			4,711
Net interest income after provision for loan losses		56,256			46,413			159,711			122,208
Noninterest income
Service charges on deposit accounts		11,358			10,766			31,709			24,346
Mortgage banking activity		14,067			10,404			38,420			28,214
Other service charges, commissions and fees		791			1,145			2,869			2,642
Gain on sale of securities		-			115			94			137
Other noninterest income		2,648			2,548			8,437			7,840
Total noninterest income		28,864			24,978			81,529			63,179
Noninterest expense
Salaries and employee benefits		27,982			24,934			81,700			68,031
Occupancy and equipment expense		5,989			5,915			18,060			15,278
Advertising and marketing expense		1,249			667			2,908			2,141
Amortization of intangible assets		993			1,321			3,332			2,581
Data processing and communications costs		6,185			5,329			18,347			13,803
Credit resolution-related expenses		1,526			1,083			5,089			15,484
Merger and conversion charges		-			446			6,359			6,173
Other noninterest expenses		9,275			8,701			25,363			22,596
Total noninterest expense		53,199			48,396			161,158			146,087
Income before income tax expense		31,921			22,995			80,082			39,300
Income tax expense		10,364			7,368			26,159			12,601
Net income		21,557			15,627			53,923			26,699
Other comprehensive income (loss)
Unrealized holding gains (losses) arising during period on investment securities available for sale, net of tax (benefit) of ($1,481), $936, $4,160 and ($615)		(2,752	)		1,739			7,724			(1,143	)
Reclassification adjustment for gains included in earnings, net of tax of $0, $40, $33 and $48		-			(75	)		(61	)		(89	)
Unrealized gains (losses) on cash flow hedges arising during period, net of tax (benefit) of $130, ($290), ($306) and ($360)		241			(539	)		(567	)		(669	)
Other comprehensive income (loss)		(2,511	)		1,125			7,096			(1,901	)
Total comprehensive income (loss)	$	19,046		$	16,752		$	61,019		$	24,798
Basic earnings per common share	$	0.62		$	0.49		$	1.58		$	0.84
Diluted earnings per common share	$	0.61		$	0.48		$	1.56		$	0.84
Dividends declared per common share	$	0.10		$	0.05		$	0.20		$	0.15
Weighted average common shares outstanding
Basic		34,870			32,195			34,156			31,614
Diluted		35,195			32,553			34,470			31,962

See notes to unaudited consolidated financial statements.

2

AMERIS BANCORP AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY

(dollars in thousands, except per share data)

(Unaudited)

	Nine Months Ended September 30, 2016						Nine Months Ended September 30, 2015
	Shares			Amount			Shares			Amount
COMMON STOCK
Balance at beginning of period		33,625,162		$	33,625			28,159,027		$	28,159
Issuance of common stock		2,549,469			2,549			5,320,000			5,320
Issuance of restricted shares		125,581			126			71,000			71
Cancellation of restricted shares		(7,085	)		(7	)		-			-
Proceeds from exercise of stock options		54,510			55			59,867			60
Issued at end of period		36,347,637		$	36,348			33,609,894		$	33,610
CAPITAL SURPLUS
Balance at beginning of period				$	337,349					$	225,015
Stock-based compensation					1,586						1,140
Issuance of common shares, net of issuance costs of $0 and $4,811					69,906						109,569
Issuance of restricted shares					(126	)					(71	)
Cancellation of restricted shares					7						-
Proceeds from exercise of stock options					908						946
Balance at end of period				$	409,630					$	336,599
RETAINED EARNINGS
Balance at beginning of period				$	152,820					$	118,412
Net income					53,923						26,699
Dividends on common shares					(6,974	)					(4,829	)
Balance at end of period				$	199,769					$	140,282
ACCUMULATED OTHER COMPREHENSIVE INCOME, NET OF TAX
Unrealized gains on securities and derivatives:
Balance at beginning of period				$	3,353					$	6,098
Other comprehensive income (loss) during the period					7,096						(1.901	)
Balance at end of period				$	10,449					$	4,197
TREASURY STOCK
Balance at beginning of period		(1,413,777	)	$	(12,388	)		(1,385,164	)	$	(11,656	)
Purchase of treasury shares		(42,556	)		(1,225	)		(28,613	)		(732	)
Balance at end of period		(1,456,333	)	$	(13,613	)		(1,413,777	)	$	(12,388	)
TOTAL STOCKHOLDERS’ EQUITY				$	642,583					$	502,300

See notes to unaudited consolidated financial statements.

3

AMERIS BANCORP AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

(dollars in thousands)

(Unaudited)

	Nine Months Ended September 30,
	2016			2015
Cash flows from operating activities:
Net income	$	53,923		$	26,699
Adjustments reconciling net income to net cash provided by operating activities:
Depreciation		7,041			5,735
Amortization of intangible assets		3,332			2,581
Net amortization of investment securities available for sale		5,086			4,397
Amortization of purchased loan pools		4,149			-
Net accretion of other borrowings		(57	)		-
Amortization of subordinated deferrable interest debentures		1,123			769
Net gains on securities available for sale		(94	)		(137	)
Stock based compensation expense		1,586			1,140
Net losses on sale or disposal of premises and equipment		112			83
Net write-downs and losses on sale of other real estate owned		1,844			12,193
Provision for loan losses		2,381			4,711
Accretion of discount on covered loans		(2,855	)		(8,105	)
Accretion of discount on purchased non-covered loans		(10,071	)		(8,055	)
Changes in FDIC loss-share receivable/payable, net of cash payments received		10,277			7,756
Increase in cash surrender value of BOLI		(1,318	)		(1,027	)
Originations of mortgage loans held for sale		(1,051,812	)		(784,548	)
Payments received on mortgage loans held for sale		1,167			1,002
Proceeds from sales of mortgage loans held for sale		982,898			747,507
Net gains on sale of mortgage loans held for sale		(41,935	)		(30,427	)
Originations of SBA loans		(57,462	)		(41,116	)
Proceeds from sales of SBA loans		21,656			29,381
Net gains on sale of SBA loans		(3,054	)		(3,158	)
Change attributable to other operating activities		9,833			14,630
Net cash provided by (used in) operating activities		(62,250	)		(17,989	)
Cash flows from investing activities:
Purchase of securities available for sale		(134,786	)		(246,090	)
Proceeds from maturities of securities available for sale		93,513			64,390
Proceeds from sales of securities available for sale		53,026			69,208
Decrease (increase) in other investments, net		(13,050	)		1,825
Net increase in loans, excluding purchased non-covered and covered loans		(556,182	)		(349,541	)
Purchases of non-covered loan pools		(151,481	)		(422,956	)
Payments received on purchased non-covered loans		158,700			123,311
Payments received on purchased loan pools		115,409			12,884
Payments received on covered loans		27,619			60,930
Purchases of premises and equipment		(8,250	)		(11,057	)
Proceeds from sales of premises and equipment		207			282
Proceeds from sales of other real estate owned		18,329			33,460
Payments received from FDIC under loss-share agreements		4,770			19,089
Net cash proceeds received (paid) from acquisitions		(7,205	)		673,840
Net cash provided by (used in) investing activities		(399,381	)		29,575

(Continued)

4

AMERIS BANCORP AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

(dollars in thousands)

(Unaudited)

	Nine Months Ended September 30,
	2016			2015
Cash flows from financing activities:
Net increase (decrease) in deposits	$	25,448		$	46,315
Net decrease in securities sold under agreements to repurchase		(20,938	)		(63,392	)
Proceeds from other borrowings		339,500			-
Repayment of other borrowings		(53,513	)		(39,881	)
Dividends paid - common stock		(5,096	)		(4,829	)
Purchase of treasury shares		(1,225	)		(732	)
Issuance of common stock		-			114,889
Proceeds from exercise of stock options		963			1,006
Net cash provided by (used in) financing activities		285,139			53,376
Net increase (decrease) in cash and cash equivalents		(176,492	)		64,962
Cash and cash equivalents at beginning of period		390,563			170,359
Cash and cash equivalents at end of period	$	214,071		$	235,321
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION
Cash paid during the period for:
Interest	$	13,791		$	11,106
Income taxes	$	30,969		$	2,739
Loans (excluding purchased non-covered and covered loans) transferred to other real estate owned	$	2,101		$	9,838
Purchased non-covered loans transferred to other real estate owned	$	3,871		$	2,565
Covered loans transferred to other real estate owned	$	2,391		$	6,909
Loans provided for the sales of other real estate owned	$	1,471		$	4,996
Change in unrealized gain on securities available for sale, net of tax	$	7,724		$	(1,143	)
Change in unrealized loss on cash flow hedge (interest rate swap), net of tax	$	(567	)	$	(669	)
Issuance of common stock in acquisitions	$	72,455		$	-

(Concluded)

See notes to unaudited consolidated financial statements.

5

AMERIS BANCORP AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

SEPTEMBER 30, 2016

(Unaudited)

NOTE 1 – BASIS OF PRESENTATION AND ACCOUNTING POLICIES

Ameris Bancorp (the “Company” or “Ameris”) is a financial holding company headquartered in Moultrie, Georgia. Ameris conducts substantially all of its operations through its wholly owned banking subsidiary, Ameris Bank (the “Bank”). At September 30, 2016, the Bank operated 99 branches in select markets in Georgia, Alabama, Florida and South Carolina. Our business model capitalizes on the efficiencies of a large financial services company while still providing the community with the personalized banking service expected by our customers. We manage our Bank through a balance of decentralized management responsibilities and efficient centralized operating systems, products and loan underwriting standards. The Company’s Board of Directors and senior managers establish corporate policy, strategy and administrative policies. Within our established guidelines and policies, the banker closest to the customer responds to the differing needs and demands of his or her unique market.

The accompanying unaudited consolidated financial statements for Ameris have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information and Regulation S-X. Accordingly, the financial statements do not include all of the information and footnotes required by accounting principles generally accepted in the United States of America for complete financial statement presentation. The interim consolidated financial statements included herein are unaudited but reflect all adjustments (consisting of normal recurring accruals) which, in the opinion of management, are necessary for a fair presentation of the consolidated financial position and results of operations for the interim periods presented. All significant intercompany accounts and transactions have been eliminated in consolidation. The results of operations for the period ended September 30, 2016 are not necessarily indicative of the results to be expected for the full year. These financial statements should be read in conjunction with the financial statements and notes thereto and the report of our registered independent public accounting firm included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2015.

Recent Accounting Pronouncements

ASU 2016-13 - Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”). ASU 2016-13 significantly changes how entities will measure credit losses for most financial assets and certain other instruments that are not measured at fair value through net income. The standard will replace the current incurred loss approach with an expected loss model, referred to as the current expected credit loss (“CECL”) model. The new standard will apply to financial assets subject to credit losses and measured at amortized cost and certain off-balance sheet credit exposures, which include, but are not limited to, loans, leases, held-to-maturity securities, loan commitments and financial guarantees. ASU 2016-13 simplifies the accounting for purchased credit-impaired debt securities and loans and expands the disclosure requirements regarding an entity’s assumptions, models and methods for estimating the allowance for loan and lease losses. In addition, entities will need to disclose the amortized cost balance for each class of financial asset by credit quality indicator, disaggregated by the year of origination. ASU 2016-13 is effective for interim and annual reporting periods beginning after December 15, 2019. Early adoption is permitted for interim and annual reporting periods beginning after December 15, 2018. Upon adoption, ASU 2016-13 provides for a modified retrospective transition by means of a cumulative-effect adjustment to equity as of the beginning of the period in which the guidance is effective. The Company is currently evaluating the impact this standard will have on the Company’s results of operations, financial position or disclosures.

ASU 2016-09 – Improvements to Employee Share-Based Payment Accounting (“ASU 2016-09”). ASU 2016-09 simplifies various aspects of how share-based payments are accounted for and presented in the financial statements. Under ASU 2016-09, companies will record all excess tax benefits and tax deficiencies as income tax expense or benefit in the income statement and will no longer record excess tax benefits and certain tax deficiencies in additional paid-in capital. The standard eliminates the requirement that excess tax benefits be realized before companies can recognize them. The excess tax benefits will be reported as an operating activity on the statement of cash flows, and the cash paid to a tax authority when shares are withheld to satisfy a company’s statutory income tax withholding obligation will be reported as a financing activity on its statement of cash. In addition, the standard increases the amount an employer can withhold to cover income taxes on awards and still qualify for the exception to liability classification for shares used to satisfy the employer’s statutory income tax withholding obligation. ASU 2016-09 permits companies to make an accounting policy election for the impact of forfeitures on the recognition of expense for share-based payment awards. Forfeitures can be estimated, as required today, or recognized when they occur. ASU 2016-09 is effective for interim and annual reporting periods beginning after December 15, 2016. Early adoption is permitted, but all of the guidance must be adopted in the same period. The Company is currently evaluating the impact this standard will have on the Company’s results of operations, financial position or disclosures.

6

ASU 2016-02 – Leases (Topic 842) (“ASU 2016-02”). ASU 2016-02 amends the existing standards for lease accounting effectively requiring most leases be carried on the balance sheets of the related lessees by requiring them to recognize a right-of-use asset and a corresponding lease liability. ASU 2016-02 includes qualitative and quantitative disclosure requirements intended to provide greater insight into the nature of an entity’s leasing activities. The standard must be adopted using a modified retrospective transition with a cumulative-effect adjustment to equity as of the beginning of the period in which it is adopted. ASU 2016-02 is effective for annual reporting periods beginning after December 15, 2018, and interim periods within those annual periods with early adoption permitted. The Company is currently evaluating the impact this standard will have on the Company’s results of operations, financial position or disclosures.

ASU 2015-16 – Business Combinations (Topic 805) - Simplifying the Accounting for Measurement-Period Adjustments (“ASU 2015-16”). ASU 2015-16 requires that an acquirer recognize adjustments to estimated amounts that are identified during the measurement period in the reporting period in which the adjustment amounts are determined. The amendments require that the acquirer record, in the same period’s financial statements, the effect on earnings of changes in depreciation, amortization, or other income effects, if any, as a result of the change to the estimated amounts, calculated as if the accounting had been completed at the acquisition date. The standard also requires an entity to present separately on the face of the income statement or disclose in the notes the portion of the amount recorded in current-period earnings by line item that would have been recorded in previous reporting periods if the adjustment to the estimated amounts had been recognized as of the acquisition date. ASU 2015-16 is effective for public business entities for fiscal years beginning after December 15, 2015, including interim periods within those fiscal years. The amendments should be applied prospectively to adjustments to provisional amounts that occur after the effective date with earlier application permitted for financial statements that have not been issued. The Company has early adopted the provisions of this amendment, and the adoption did not have a material impact on the Company's consolidated financial statements.

ASU 2015-03 – Interest – Imputation of Interest (“ASU 2015-03”). ASU 2015-03 simplifies presentation of debt issuance costs by requiring that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of the debt liability, consistent with debt discounts. ASU 2015-03 is effective for annual periods and interim periods within those annual periods beginning after December 15, 2015, and early adoption is permitted. It should be applied on a retrospective basis. The adoption of this standard did not have a material effect on the Company’s results of operations, financial position or disclosures.

ASU 2015-02 “Consolidation (Topic 810) - Amendments to the Consolidation Analysis (“ASU 2015-02”). ASU 2015-02 includes amendments that are intended to improve targeted areas of consolidation for legal entities including reducing the number of consolidation models from four to two and simplifying the FASB Accounting Standards Codification. ASU 2015-02 is effective for annual and interim periods within those annual periods, beginning after December 15, 2015. The amendments may be applied retrospectively in previously issued financial statements for one or more years with a cumulative effect adjustment to retained earnings as of the beginning of the first year restated. Early adoption is permitted, including adoption in an interim period. The adoption of this standard did not have a material effect on the Company’s results of operations, financial position or disclosures.

ASU 2015-01- Income Statement – Extraordinary and Unusual Items (“ASU 2015-01”). ASU 2015-01 eliminates the concept of extraordinary items by no longer allowing companies to segregate an extraordinary item from the results of operations, separately present an extraordinary item on the income statement, or disclose income taxes or earnings-per-share data applicable to an extraordinary item. ASU 2015-01 is effective for annual periods and interim periods within those annual periods beginning after December 15, 2015, and early adoption is permitted. The adoption of this standard did not have a material effect on the Company’s results of operations, financial position or disclosures.

ASU 2014-09 – Revenue from Contracts with Customers (“ASU 2014-09”). ASU 2014-09 provides guidance that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. ASU 2014-09 is effective prospectively, for annual and interim periods, beginning after December 15, 2016. The Company is currently evaluating the impact this standard will have on the Company’s results of operations, financial position or disclosures.

NOTE 2 – BUSINESS COMBINATIONS

Jacksonville Bancorp, Inc.

On March 11, 2016, the Company completed its acquisition of Jacksonville Bancorp, Inc. (“JAXB”), a bank holding company headquartered in Jacksonville, Florida.  Upon consummation of the acquisition, JAXB was merged with and into the Company, with Ameris as the surviving entity in the merger. At that time, JAXB’s wholly owned banking subsidiary, The Jacksonville Bank (“Jacksonville Bank”), was also merged with and into the Bank. The acquisition expanded the Company’s existing market presence, as Jacksonville Bank had a total of eight full-service branches located in Jacksonville and Jacksonville Beach, Duval County, Florida. Under the terms of the merger, JAXB’s common shareholders received 0.5861 shares of Ameris common stock or $16.50 in cash for each share of JAXB common stock or nonvoting common stock they previously held, subject to the total consideration being allocated 75% stock and 25% cash. As a result, the Company issued 2,549,469 common shares at a fair value of $72.5 million and paid $23.9 million in cash to former shareholders of JAXB.

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The acquisition of JAXB was accounted for using the acquisition method of accounting in accordance with FASB ASC 805, Business Combinations. Assets acquired, liabilities assumed and consideration exchanged were recorded at their respective acquisition date fair values. Determining the fair value of assets and liabilities is a complicated process involving significant judgment regarding methods and assumptions used to calculate estimated fair values. Fair values are preliminary and subject to refinement for up to one year after the closing date of the acquisition as additional information regarding the closing date fair values becomes available. During the third quarter of 2016, management revised its initial estimates regarding the valuation of loans, premises and equipment, core deposit intangible and other assets acquired. In addition, management assessed and recorded the deferred tax assets resulting from differences in the carrying values of acquired assets and assumed liabilities for financial reporting purposes and their basis for income tax purposes. This estimate also reflects acquired net operating loss carryforwards and other acquired assets with built-in losses that are expected to be settled or otherwise recovered in future periods where the realization of such benefits would be subject to applicable limitations under Section 382 of the Internal Revenue Code of 1986, as amended. Management continues to evaluate fair value adjustments related to loans, other real estate owned and deferred tax assets.

The following table presents the assets acquired and liabilities of JAXB assumed as of March 11, 2016 and their initial fair value estimates. The fair value adjustments shown in the following table continue to be evaluated by management and may be subject to further adjustment:

(Dollars in Thousands)	As Recorded by JAXB			Initial Fair Value Adjustments			Subsequent Fair Value Adjustments			As Recorded by Ameris
Assets
Cash and cash equivalents	$	9,704		$	-		$	-		$	9,704
Federal funds sold and interest-bearing balances		7,027			-			-			7,027
Investment securities		60,836			(942	)(a)		-			59,894
Other investments		2,458			-			-			2,458
Loans		416,831			(15,746	)(b)		1,857	(j)		402,942
Less allowance for loan losses		(12,613	)		12,613	(c)		-			-
Loans, net		404,218			(3,133	)		1,857			402,942
Other real estate owned		2,873			(1,035	)(d)		-			1,838
Premises and equipment		4,798			-			(31	)(k)		4,767
Intangible assets		288			5,566	(e)		(1,108	)(l)		4,746
Other assets		14,141			23,266	(f)		(1,841	)(m)		35,566
Total assets	$	506,343		$	23,722		$	(1,123	)	$	528,942
Liabilities
Deposits:
Noninterest-bearing	$	123,399		$	-		$	-		$	123,399
Interest-bearing		277,539			421	(g)		-			277,960
Total deposits		400,938			421			-			401,359
Other borrowings		48,350			84	(h)		-			48,434
Other liabilities		2,354			-			-			2,354
Subordinated deferrable interest debentures		16,294			(3,393	)(i)		-			12,901
Total liabilities		467,936			(2,888	)		-			465,048
Net identifiable assets acquired over (under) liabilities assumed		38,407			26,610			(1,123	)		63,894
Goodwill		-			31,375			1,123			32,498
Net assets acquired over (under) liabilities assumed	$	38,407		$	57,985		$	-		$	96,392
Consideration:
Ameris Bancorp common shares issued		2,549,469
Purchase price per share of the Company's common stock	$	28.42
Company common stock issued	$	72,455
Cash exchanged for shares	$	23,937
Fair value of total consideration transferred	$	96,392

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Explanation of fair value adjustments

(a) Adjustment reflects the fair value adjustments of the portfolio of securities available for sale as of the acquisition date.

(b) Adjustment reflects the fair value adjustments based on the Company’s evaluation of the acquired loan portfolio, net of the reversal of JAXB remaining fair value adjustments from their prior acquisitions.

(c) Adjustment reflects the elimination of JAXB’s allowance for loan losses.

(d) Adjustment reflects the fair value adjustment based on the Company’s evaluation of the acquired OREO portfolio, which is based largely on contracted sale prices.

(e) Adjustment reflects the recording of core deposit intangible on the acquired core deposit accounts.

(f) Adjustment reflects the deferred taxes on the difference in the carrying values of acquired assets and assumed liabilities for financial reporting purposes and their basis for federal income tax purposes and the reversal of JAXB valuation allowance established on their deferred tax assets.

(g) Adjustment reflects the fair value adjustments based on the Company’s evaluation of the acquired deposits.

(h) Adjustment reflects the fair value adjustments based on the Company’s evaluation of the liability for other borrowings.

(i) Adjustment reflects the fair value adjustment to the subordinated deferrable interest debentures at the acquisition date, net of the reversal of JAXB remaining fair value adjustments from their prior acquisitions.

(j) Adjustment reflects additional recording of fair value adjustment of the acquired loan portfolio.

(k) Adjustment reflects recording of fair value adjustment of the premises and equipment.

(l) Adjustment reflects adjustment to the core deposit intangible on the acquired core deposit accounts.

(m) Adjustment reflects the additional deferred taxes on the difference in the carrying values of acquired assets and assumed liabilities for financial reporting purposes and their basis for federal income tax purposes.

Goodwill of $32.5 million, which is the excess of the purchase price over the fair value of net assets acquired, was recorded in the JAXB acquisition and is the result of expected operational synergies and other factors. This goodwill is not expected to be deductible for tax purposes.

In the acquisition, the Company purchased $402.9 million of loans at fair value, net of $13.9 million, or 3.33%, estimated discount to the outstanding principal balance. Of the total loans acquired, management identified $28.3 million that were considered to be credit impaired and are accounted for under ASC Topic 310-30. The table below summarizes the total contractually required principal and interest cash payments, management’s estimate of expected total cash payments and fair value of the loans as of acquisition date for purchased credit impaired loans. Contractually required principal and interest payments have been adjusted for estimated prepayments.

(Dollars in Thousands)
Contractually required principal and interest	$	42,314
Non-accretable difference		(7,877	)
Cash flows expected to be collected		34,437
Accretable yield		(6,182	)
Total purchased credit-impaired loans acquired	$	28,255

The following table presents the acquired loan data for the JAXB acquisition.

	Fair Value of Acquired Loans at Acquisition Date		Gross Contractual Amounts Receivable at Acquisition Date		Best Estimate at Acquisition Date of Contractual Cash Flows Not Expected to be Collected
	(Dollars in Thousands)
Acquired receivables subject to ASC 310-30	$	28,255	$	42,314	$	7,877
Acquired receivables not subject to ASC 310-30	$	374,687	$	488,346	$	-

9

Branch Acquisition

On June 12, 2015, the Company completed its acquisition of 18 branches from Bank of America, National Association located in Calhoun, Columbia, Dixie, Hamilton, Suwanee and Walton Counties, Florida and Ben Hill, Colquitt, Dougherty, Laurens, Liberty, Thomas, Tift and Ware Counties, Georgia. Under the terms of the Purchase and Assumption Agreement dated January 28, 2015, the Company paid a deposit premium of $20.0 million, equal to 3.00% of the average daily deposits for the 15 calendar-day period immediately prior to the acquisition date. In addition, the Company acquired approximately $4.0 million in loans and $10.7 million in premises and equipment.

The acquisition of the 18 branches was accounted for using the acquisition method of accounting in accordance with FASB ASC 805, Business Combinations. Assets acquired, liabilities assumed and consideration exchanged were recorded at their respective acquisition date fair values. Determining the fair value of assets and liabilities is a complicated process involving significant judgment regarding methods and assumptions used to calculate estimated fair values. Fair values are preliminary and subject to refinement for up to one year after the closing date of the acquisition as additional information regarding the closing date fair values becomes available. During the third and fourth quarters of 2015, management revised its initial estimates regarding the valuation of loans, premises and intangible assets acquired.

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The following table presents the assets acquired and liabilities assumed as of June 12, 2015 and their fair value estimates.

(Dollars in Thousands)	As Recorded by Bank of America		Initial Fair Value Adjustments			Subsequent Fair Value Adjustments			As Recorded by Ameris
Assets
Cash and cash equivalents	$	630,220	$	-		$	-		$	630,220
Loans		4,363		-			(364	)(d)		3,999
Premises and equipment		10,348		1,060	(a)		(755	)(e)		10,653
Intangible assets		-		7,651	(b)		985	(f)		8,636
Other assets		126		-			-			126
Total assets	$	645,057	$	8,711		$	(134	)	$	653,634
Deposits:
Noninterest-bearing	$	149,854	$	-		$	-		$	149,854
Interest-bearing		495,110		(215	)(c)		-			494,895
Total deposits		644,964		(215	)		-			644,749
Other liabilities		93		-			-			93
Total liabilities		645,057		(215	)		-			644,842
Net identifiable assets acquired over (under) liabilities assumed		-		8,926			(134	)		8,792
Goodwill		-		11,076			134			11,210
Net assets acquired over (under) liabilities assumed	$	-	$	20,002		$	-		$	20,002
Consideration:
Cash paid as deposit premium	$	20,002
Fair value of total consideration transferred	$	20,002

Explanation of fair value adjustments

(a) Adjustment reflects the fair value adjustments of the premises and equipment as of the acquisition date.

(b) Adjustment reflects the recording of core deposit intangible on the acquired core deposit accounts.

(c) Adjustment reflects the fair value adjustments based on the Company’s evaluation of the acquired deposits.

(d) Adjustment reflects the fair value adjustments based on the Company’s evaluation of the acquired loan portfolio.

(e) Adjustment reflects additional recording of fair value adjustment of the premises and equipment.

(f) Adjustment reflects additional recording of core deposit intangible on the acquired core deposit accounts.

Goodwill of $11.2 million, which is the excess of the purchase consideration over the fair value of net assets acquired, was recorded in the branch acquisition and is the result of expected operational synergies and other factors.

In the acquisition, the Company purchased $4.0 million of loans at fair value. Management identified $364,000 of overdrafts that were considered to be credit impaired and were subsequently charged off as uncollectible under ASC Topic 310-30.

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Merchants & Southern Banks of Florida, Incorporated

On May 22, 2015, the Company completed its acquisition of all shares of the outstanding common stock of Merchants & Southern Banks of Florida, Incorporated (“Merchants”), a bank holding company headquartered in Gainesville, Florida, for a total purchase price of $50,000,000.  Upon consummation of the stock purchase, Merchants was merged with and into the Company, with Ameris as the surviving entity in the merger. At that time, Merchants’ wholly owned banking subsidiary, Merchants and Southern Bank, was also merged with and into the Bank. The acquisition grew the Company’s existing market presence, as Merchants and Southern Bank had a total of 13 banking locations in Alachua, Marion and Clay Counties, Florida.

The acquisition of Merchants was accounted for using the acquisition method of accounting in accordance with FASB ASC 805, Business Combinations. Assets acquired, liabilities assumed and consideration exchanged were recorded at their respective acquisition date fair values. Determining the fair value of assets and liabilities is a complicated process involving significant judgment regarding methods and assumptions used to calculate estimated fair values. Fair values are preliminary and subject to refinement for up to one year after the closing date of the acquisition as additional information regarding the closing date fair values becomes available. During the third and fourth quarters of 2015, management revised its initial estimates regarding the valuation of investment securities, core deposit intangible and other assets acquired. In addition, management continued its assessment and recorded the deferred tax assets resulting from differences in the carrying values of acquired assets and assumed liabilities for financial reporting purposes and their basis for income tax purposes. This estimate also reflects acquired net operating loss carryforwards and other acquired assets with built-in losses that are expected to be settled or otherwise recovered in future periods where the realization of such benefits would be subject to applicable limitations under Section 382 of the Internal Revenue Code of 1986, as amended. During the second quarter of 2016, management revised its initial estimates regarding the valuation of loans.

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The following table presents the assets acquired and liabilities of Merchants assumed as of May 22, 2015 and their fair value estimates.

(Dollars in Thousands)	As Recorded by Merchants			Initial Fair Value Adjustments			Subsequent Fair Value Adjustments			As Recorded by Ameris
Assets
Cash and cash equivalents	$	7,527		$	-		$	-		$	7,527
Federal funds sold and interest-bearing balances		106,188			-			-			106,188
Investment securities		164,421			(553	)(a)		(639	)(j)		163,229
Other investments		872			-			(253	)(k)		619
Loans		199,955			(8,500	)(b)		91	(l)		191,546
Less allowance for loan losses		(3,354	)		3,354	(c)		-			-
Loans, net		196,601			(5,146	)		91			191,546
Other real estate owned		4,082			(1,115	)(d)		-			2,967
Premises and equipment		14,614			(3,680	)(e)		-			10,934
Intangible assets		-			4,577	(f)		(634	)(m)		3,943
Other assets		2,333			2,335	(g)		(1,109	)(n)		3,559
Total assets	$	496,638		$	(3,582	)	$	(2,544	)	$	490,512
Liabilities
Deposits:
Noninterest-bearing	$	121,708		$	-		$	-		$	121,708
Interest-bearing		286,112			-			41,588	(o)		327,700
Total deposits		407,820			-			41,588			449,408
Federal funds purchased and securities sold under agreements to repurchase		41,588			-			(41,588	)(o)		-
Other liabilities		2,151			81	(h)		-			2,232
Subordinated deferrable interest debentures		6,186			(2,680	)(i)		-			3,506
Total liabilities		457,745			(2,599	)		-			455,146
Net identifiable assets acquired over (under) liabilities assumed		38,893			(983	)		(2,544	)		35,366
Goodwill		-			12,090			2,544			14,634
Net assets acquired over (under) liabilities assumed	$	38,893		$	11,107		$	-		$	50,000
Consideration:
Cash exchanged for shares	$	50,000
Fair value of total consideration transferred	$	50,000

Explanation of fair value adjustments

(a) Adjustment reflects the fair value adjustments of the portfolio of securities available for sale as of the acquisition date.

(b) Adjustment reflects the fair value adjustments based on the Company’s evaluation of the acquired loan portfolio.

(c) Adjustment reflects the elimination of Merchants’ allowance for loan losses.

(d) Adjustment reflects the fair value adjustment based on the Company’s evaluation of the acquired OREO portfolio.

(e) Adjustment reflects the fair value adjustment based on the Company’s evaluation of the acquired premises.

(f) Adjustment reflects the recording of core deposit intangible on the acquired core deposit accounts.

(g) Adjustment reflects the deferred taxes on the difference in the carrying values of acquired assets and assumed liabilities for financial reporting purposes and their basis for federal income tax purposes.

(h) Adjustment reflects the fair value adjustments based on the Company’s evaluation of interest rate swap liabilities.

(i) Adjustment reflects the fair value adjustment to the subordinated deferrable interest debentures at the acquisition date.

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(j) Adjustment reflects the additional fair value adjustments of the portfolio of securities available for sale as of the acquisition date.

(k) Adjustment reflects the fair value adjustments of other investments as of the acquisition date.

(l) Adjustment reflects additional recording of fair value adjustment of the acquired loan portfolio.

(m) Adjustment reflects adjustment to the core deposit intangible on the acquired core deposit accounts.

(n) Adjustment reflects the additional deferred taxes on the difference in the carrying values of acquired assets and assumed liabilities for financial reporting purposes and their basis for federal income tax purposes.

(o) Subsequent to acquisition, the acquired securities sold under agreements to repurchase were converted to deposit accounts and are no longer reported as securities sold under agreements to repurchase on the Consolidated Balance Sheet as of December 31, 2015.

Goodwill of $14.6 million, which is the excess of the purchase price over the fair value of net assets acquired, was recorded in the Merchants acquisition and is the result of expected operational synergies and other factors. This goodwill is not expected to be deductible for tax purposes.

In the acquisition, the Company purchased $191.5 million of loans at fair value, net of $8.4 million, or 4.21%, estimated discount to the outstanding principal balance. Of the total loans acquired, management identified $11.2 million that were considered to be credit impaired and are accounted for under ASC Topic 310-30. The table below summarizes the total contractually required principal and interest cash payments, management’s estimate of expected total cash payments and fair value of the loans as of acquisition date for purchased credit impaired loans. Contractually required principal and interest payments have been adjusted for estimated prepayments.

(Dollars in Thousands)
Contractually required principal and interest	$	17,201
Non-accretable difference		(2,712	)
Cash flows expected to be collected		14,489
Accretable yield		(3,254	)
Total purchased credit-impaired loans acquired	$	11,235

The following table presents the acquired loan data for the Merchants acquisition.

	Fair Value of Acquired Loans at Acquisition Date		Gross Contractual Amounts Receivable at Acquisition Date		Best Estimate at Acquisition Date of Contractual Cash Flows Not Expected to be Collected
	(Dollars in Thousands)
Acquired receivables subject to ASC 310-30	$	11,235	$	14,086	$	2,712
Acquired receivables not subject to ASC 310-30	$	180,311	$	184,906	$	-

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The results of operations of JAXB and Merchants subsequent to the respective acquisition dates are included in the Company’s consolidated statements of operations. The following unaudited pro forma information reflects the Company’s estimated consolidated results of operations as if the acquisitions had occurred on January 1, 2015, unadjusted for potential cost savings (in thousands).

	Three Months Ended  September 30,				Nine Months Ended  September 30,
	2016		2015		2016		2015
Net interest income and noninterest income	$	85,931	$	77,325	$	247,697	$	210,556
Net income	$	21,557	$	17,076	$	54,658	$	32,621
Net income available to common stockholders	$	21,557	$	17.076	$	54,658	$	32,621
Income per common share available to common stockholders – basic	$	0.62	$	0.49	$	1.57	$	0.95
Income per common share available to common stockholders – diluted	$	0.61	$	0.49	$	1.56	$	0.95
Average number of shares outstanding, basic		34,870		34,744		34,817		34,163
Average number of shares outstanding, diluted		35,195		35,102		35,131		34,511

A rollforward of purchased non-covered loans for the nine months ended September 30, 2016, the year ended December 31, 2015 and the nine months ended September 30, 2015 is shown below:

(Dollars in Thousands)	September 30, 2016			December 31, 2015			September 30, 2015
Balance, January 1	$	771,554		$	674,239		$	674,239
Charge-offs, net of recoveries		(904	)		(991	)		(814	)
Additions due to acquisitions		402,942			195,818			195,818
Accretion		10,071			10,590			8,055
Transfers to purchased non-covered other real estate owned		(3,871	)		(4,473	)		(2,565	)
Transfer from covered loans due to loss-share expiration		45,908			50,568			15,462
Payments received		(158,700	)		(154,666	)		(123,311	)
Other		90			469			610
Ending balance	$	1,067,090		$	771,554		$	767,494

The following is a summary of changes in the accretable discounts of purchased non-covered loans during the nine months ended September 30, 2016, the year ended December 31, 2015 and the nine months ended September 30, 2015:

(Dollars in Thousands)	September 30, 2016			December 31, 2015			September 30, 2015
Balance, January 1	$	24,785		$	25,716		$	25,716
Additions due to acquisitions		9,991			5,788			4,686
Accretion		(10,071	)		(10,590	)		(8,055	)
Transfer from covered loans due to loss-share expiration		3,457			1,665			-
Accretable discounts removed due to charge-offs		(161	)		(1,768	)		(1,686	)
Transfers between non-accretable and accretable discounts, net		2,263			3,974			(106	)
Ending balance	$	30,264		$	24,785		$	20,555

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NOTE 3 – INVESTMENT SECURITIES

The Company’s investment policy blends the Company’s liquidity needs and interest rate risk management with its desire to increase income and provide funds for expected growth in loans. The investment securities portfolio consists primarily of U.S. government-sponsored mortgage-backed securities and agencies, state, county and municipal securities and corporate debt securities. The Company’s portfolio and investing philosophy concentrate activities in obligations where the credit risk is limited. For the small portion of the Company’s portfolio found to present credit risk, the Company has reviewed the investments and financial performance of the obligors and believes the credit risk to be acceptable.

The amortized cost and estimated fair value of investment securities available for sale at September 30, 2016, December 31, 2015 and September 30, 2015 are presented below:

	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
	(Dollars in Thousands)
September 30, 2016:
U.S. government agencies	$	999	$	29	$	(0	)	$	1,028
State, county and municipal securities		150,083		5,939		(28	)		155,994
Corporate debt securities		28,924		194		(20	)		29,098
Mortgage-backed securities		641,404		10,917		(317	)		652,004
Total debt securities	$	821,410	$	17,079	$	(365	)	$	838,124
December 31, 2015:
U.S. government agencies	$	14,959	$	-	$	(69	)	$	14,890
State, county and municipal securities		157,681		4,046		(411	)		161,316
Corporate debt securities		5,900		145		(28	)		6,017
Mortgage-backed securities		599,721		3,945		(2,704	)		600,962
Total debt securities	$	778,261	$	8,136	$	(3,212	)	$	783,185
September 30, 2015:
U.S. government agencies	$	14,957	$	26	$	(15	)	$	14,968
State, county and municipal securities		161,509		3,875		(519	)		164,865
Corporate debt securities		5,901		150		(19	)		6,032
Mortgage-backed securities		622,313		5,208		(2,001	)		625,520
Total debt securities	$	804,680	$	9,259	$	(2,554	)	$	811,385

The amortized cost and fair value of available-for-sale securities at September 30, 2016 by contractual maturity are summarized in the table below. Expected maturities for mortgage-backed securities may differ from contractual maturities because in certain cases borrowers can prepay obligations without prepayment penalties. Therefore, these securities are not included in the following maturity summary.

	Amortized Cost		Fair Value
	(Dollars in Thousands)
Due in one year or less	$	5,260	$	5,312
Due from one year to five years		63,450		65,135
Due from five to ten years		56,521		59,169
Due after ten years		54,775		56,504
Mortgage-backed securities		641,404		652,004
	$	821,410	$	838,124

Securities with a carrying value of approximately $416.8 million serve as collateral to secure public deposits, securities sold under agreements to repurchase and for other purposes required or permitted by law at September 30, 2016, compared with $551.0 million and $381.9 million at December 31, 2015 and September 30, 2015, respectively.

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The following table details the gross unrealized losses and fair value of securities aggregated by category and duration of continuous unrealized loss position at September 30, 2016, December 31, 2015 and September 30, 2015.

	Less Than 12 Months					12 Months or More					Total
Description of Securities	Fair Value		Unrealized Losses			Fair Value		Unrealized Losses			Fair  Value		Unrealized Losses
	(Dollars in Thousands)
September 30, 2016:
U.S. government agencies	$	-	$	-		$	-	$	-		$	-	$	-
State, county and municipal securities		4,398		(17	)		1,634		(11	)		6,032		(28	)
Corporate debt securities		3,012		(5	)		487		(15	)		3,499		(20	)
Mortgage-backed securities		66,920		(195	)		12,519		(122	)		79,439		(317	)
Total debt securities	$	74,330	$	(217	)	$	14,640	$	(148	)	$	88,970	$	(365	)
December 31, 2015:
U.S. government agencies	$	9,932	$	(27	)	$	4,958	$	(42	)	$	14,890	$	(69	)
State, county and municipal securities		19,293		(199	)		11,557		(212	)		30,850		(411	)
Corporate debt securities		1,383		(28	)		-		-			1,383		(28	)
Mortgage-backed securities		263,281		(1,950	)		29,950		(754	)		293,231		(2,704	)
Total debt securities	$	293,889	$	(2,204	)	$	46,465	$	(1,008	)	$	340,354	$	(3,212	)
September 30, 2015:
U.S. government agencies	$	-	$	-		$	4,985	$	(15	)	$	4,985	$	(15	)
State, county and municipal securities		28,339		(297	)		10,451		(222	)		38,790		(519	)
Corporate debt securities		894		(19	)		-		-			894		(19	)
Mortgage-backed securities		213,439		(1,184	)		30,708		(817	)		244,147		(2,001	)
Total debt securities	$	242,672	$	(1,500	)	$	46,144	$	(1,054	)	$	288,816	$	(2,554	)

As of September 30, 2016, the Company’s securities portfolio consisted of 414 securities, 28 of which were in an unrealized loss position. The majority of unrealized losses are related to the Company’s mortgage-backed securities, as discussed below.

At September 30, 2016, the Company held 23 mortgage-backed securities that were in an unrealized loss position, all of which were issued by U.S. government-sponsored entities and agencies. Because the decline in fair value is attributable to changes in interest rates and illiquidity, and not credit quality, and because the Company does not have the intent to sell these mortgage-backed securities and it is likely that it will not be required to sell the securities before their anticipated recovery, the Company does not consider these securities to be other-than-temporarily impaired at September 30, 2016.

At September 30, 2016, the Company held three state, county and municipal securities and two corporate debt securities that were in an unrealized loss position. Because the decline in fair value is attributable to changes in interest rates, and not credit quality, and because the Company does not have the intent to sell these securities and it is likely that it will not be required to sell the securities before their anticipated recovery, the Company does not consider these securities to be other-than-temporarily impaired at September 30, 2016.

During the first nine months of 2016 and 2015, the Company received timely and current interest and principal payments on all of the securities classified as corporate debt securities, except for one security that began deferring interest during the fourth quarter of 2010. The Company’s investments in subordinated debt include investments in regional and super-regional banks on which the Company prepares regular analysis through review of financial information and credit ratings. Investments in preferred securities are also concentrated in the preferred obligations of regional and super-regional banks through non-pooled investment structures. The Company did not have investments in “pooled” trust preferred securities at September 30, 2016, December 31, 2015 or September 30, 2015.

Management and the Company’s Asset and Liability Committee (the “ALCO Committee”) evaluate securities for other-than-temporary impairment at least on a quarterly basis, and more frequently when economic or market conditions warrant such evaluation. While the majority of the unrealized losses on debt securities relate to changes in interest rates, corporate debt securities have also been affected by reduced levels of liquidity and higher risk premiums. Occasionally, management engages independent third parties to evaluate the Company’s position in certain corporate debt securities to aid management and the ALCO Committee in its determination regarding the status of impairment. The Company believes that each investment poses minimal credit risk and further, that the Company does not intend to sell these investment securities at an unrealized loss position at September 30, 2016, and it is more likely than not that the Company will not be required to sell these securities prior to recovery or maturity. Therefore, at September 30, 2016, these investments are not considered impaired on an other-than-temporary basis.

17

At September 30, 2016, December 31, 2015 and September 30, 2015, all of the Company’s mortgage-backed securities were obligations of government-sponsored agencies.

The following table is a summary of sales activities in the Company’s investment securities available for sale for the nine months ended September 30, 2016, year ended December 31, 2015 and nine months ended September 30, 2015:

	September 30, 2016			December 31, 2015			September 30, 2015
	(Dollars in Thousands)
Gross gains on sales of securities	$	312		$	396		$	396
Gross losses on sales of securities		(218	)		(259	)		(259	)
Net realized gains on sales of securities available for sale	$	94		$	137		$	137
Sales proceeds	$	53,026		$	72,528		$	69,208

NOTE 4 – LOANS 

The Bank engages in a full complement of lending activities, including real estate-related loans, agriculture-related loans, commercial and financial loans and consumer installment loans within select markets in Georgia, Alabama, Florida and South Carolina. During the third quarter of 2016, the Bank began purchasing from an unrelated third party consumer installment home improvement loans made to borrowers throughout the United States. The Bank also purchased residential mortgage loan pools during 2015 and 2016 collateralized by properties located outside our Southeast markets, specifically in California, Washington and Illinois. The Bank concentrates the majority of its lending activities in real estate loans. While risk of loss in the Company’s portfolio is primarily tied to the credit quality of the various borrowers, risk of loss may increase due to factors beyond the Company’s control, such as local, regional and/or national economic downturns. General conditions in the real estate market may also impact the relative risk in the real estate portfolio.

A substantial portion of the Bank’s loans are secured by real estate in the Bank’s primary market area. In addition, a substantial portion of the OREO is located in those same markets. Accordingly, the ultimate collectability of a substantial portion of the Bank’s loan portfolio and the recovery of a substantial portion of the carrying amount of OREO are susceptible to changes in real estate conditions in the Bank’s primary market area.

Commercial, financial and agricultural loans include both secured and unsecured loans for working capital, expansion, crop production, and other business purposes, including SBA guaranteed loans and municipal loans. Short-term working capital loans are secured by non-real estate collateral such as accounts receivable, crops, inventory and equipment. The Bank evaluates the financial strength, cash flow, management, credit history of the borrower and the quality of the collateral securing the loan. The Bank often requires personal guarantees and secondary sources of repayment on commercial, financial and agricultural loans.

Real estate loans include construction and development loans, commercial and farmland loans and residential loans. Construction and development loans include loans for the development of residential neighborhoods, one-to-four family home residential construction loans to builders and consumers, and commercial real estate construction loans, primarily for owner-occupied properties. The Company limits its construction lending risk through adherence to established underwriting procedures. Commercial real estate loans include loans secured by owner-occupied commercial buildings for office, storage, retail, farmland and warehouse space. They also include non-owner occupied commercial buildings such as leased retail and office space. Commercial real estate loans may be larger in size and may involve a greater degree of risk than one-to-four family residential mortgage loans. Payments on such loans are often dependent on successful operation or management of the properties. Residential loans represent permanent mortgage financing and are secured by residential properties located within the Bank's market areas, along with warehouse lines of credit secured by residential mortgages.

Consumer installment loans and other loans include home improvement loans, automobile loans, boat and recreational vehicle financing, and secured and unsecured personal loans. Consumer loans carry greater risks than other loans, as the collateral can consist of rapidly depreciating assets such as automobiles and equipment that may not provide an adequate source of repayment of the loan in the case of default.

18

Loans are stated at unpaid balances, net of unearned income and deferred loan fees. Balances within the major loans receivable categories are presented in the following table, excluding purchased non-covered and covered loans:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Commercial, financial and agricultural	$	625,947	$	449,623	$	427,747
Real estate – construction and development		328,308		244,693		220,798
Real estate – commercial and farmland		1,297,582		1,104,991		1,067,828
Real estate – residential		766,933		570,430		532,285
Consumer installment		68,305		31,125		31,299
Other		3,964		6,015		10,692
	$	3,091,039	$	2,406,877	$	2,290,649

Purchased non-covered loans are defined as loans that were acquired in bank acquisitions that are not covered by a loss-sharing agreement with the Federal Deposit Insurance Corporation (the “FDIC”). Purchased non-covered loans totaling $1.07 billion, $771.6 million and $767.5 million at September 30, 2016, December 31, 2015 and September 30, 2015, respectively, are not included in the above schedule.

Purchased non-covered loans are shown below according to major loan type as of the end of the periods shown:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Commercial, financial and agricultural	$	99,596	$	45,462	$	42,350
Real estate – construction and development		86,099		72,080		71,109
Real estate – commercial and farmland		590,388		390,755		385,032
Real estate – residential		286,169		258,153		263,312
Consumer installment		4,838		5,104		5,691
	$	1,067,090	$	771,554	$	767,494

Purchased loan pools are defined as groups of residential mortgage loans that were not acquired in bank acquisitions or FDIC-assisted transactions. As of September 30, 2016, purchased loan pools totaled $624.9 million and consisted of whole-loan, adjustable rate residential mortgages on properties outside the Company’s markets, with principal balances totaling $614.4 million and $10.5 million of remaining purchase premium paid at acquisition. As of December 31, 2015, purchased loan pools totaled $593.0 million and consisted of whole-loan, adjustable rate residential mortgages on properties outside the Company’s markets, with principal balances totaling $580.7 million and $12.3 million of purchase premium paid at acquisition. As of September 30, 2015, purchased loan pools totaled $410.1 million and consisted of whole-loan, adjustable rate residential mortgages on properties outside the Company’s markets, with principal balances totaling $402.1 million and $8.0 million of purchase premium paid at acquisition. At September 30, 2016, one loan in the purchased loan pools with a principal balance of $864,000 was past due and risk-rated grade 40, while all other loans included in the purchased loan pools were performing current loans, risk-rated grade 20. At December 31, 2015 and September 30, 2015, all loans included in the purchased loan pools were performing current loans, all risk-rated grade 20. At September 30, 2016, December 31, 2015 and September 30, 2015, the Company had allocated $2.0 million, $581,000 and $402,000, respectively, of allowance for loan losses for the purchased loan pools. As part of the due diligence process prior to purchasing an individual mortgage pool, a complete re-underwrite of the individual loan files was conducted. The underwriting process included a review of all income, asset, credit and property related documentation that was used to originate the loan. Underwriters utilized the originating lender’s program guidelines, as well as general prudent mortgage lending standards, to assess each individual loan file.  Additional research was conducted to assess the real estate market conditions and market expectations in the geographic areas where a collateral concentration existed. As part of this review, an automated valuation model was employed to provide current collateral valuations and to support individual loan-to-value ratios.  Additionally, a sample of site inspections was completed to provide further assurance.  The results of the due diligence review were evaluated by officers of the Company in order to determine overall conformance to the Bank’s credit and lending policies.

Covered loans are defined as loans that were acquired in FDIC-assisted transactions that are covered by a loss-sharing agreement with the FDIC. Covered loans totaling $62.3 million, $137.5 million and $191.0 million at September 30, 2016, December 31, 2015 and September 30, 2015, respectively, are not included in the above schedules.

19

Covered loans are shown below according to loan type as of the end of the periods shown:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Commercial, financial and agricultural	$	830	$	5,546	$	13,349
Real estate – construction and development		3,220		7,612		14,266
Real estate – commercial and farmland		13,688		71,226		103,399
Real estate – residential		44,457		53,038		59,835
Consumer installment		96		107		172
	$	62,291	$	137,529	$	191,021

Nonaccrual and Past-Due Loans

A loan is placed on nonaccrual status when, in management’s judgment, the collection of the interest income appears doubtful. Interest receivable that has been accrued and is subsequently determined to have doubtful collectability is charged against interest income.  Interest on loans that are classified as nonaccrual is subsequently applied to principal until the loans are returned to accrual status. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured.  Past-due loans are loans whose principal or interest is past due 30 days or more. In some cases, where borrowers are experiencing financial difficulties, loans may be restructured to provide terms significantly different from the original contractual terms.

The following table presents an analysis of loans accounted for on a nonaccrual basis, excluding purchased non-covered and covered loans:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Commercial, financial and agricultural	$	1,313	$	1,302	$	1,995
Real estate – construction and development		1,255		1,812		1,753
Real estate – commercial and farmland		7,485		7,019		11,645
Real estate – residential		5,999		6,278		4,810
Consumer installment		518		449		355
	$	16,570	$	16,860	$	20,558

The following table presents an analysis of purchased non-covered loans accounted for on a nonaccrual basis:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Commercial, financial and agricultural	$	744	$	1,064	$	214
Real estate – construction and development		2,403		1,106		916
Real estate – commercial and farmland		7,796		4,920		4,728
Real estate – residential		7,012		6,168		5,464
Consumer installment		38		72		52
	$	17,993	$	13,330	$	11,374

The following table presents an analysis of covered loans accounted for on a nonaccrual basis:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Commercial, financial and agricultural	$	128	$	2,803	$	7,916
Real estate – construction and development		60		1,701		2,934
Real estate – commercial and farmland		1,540		5,034		18,164
Real estate – residential		4,078		3,663		3,979
Consumer installment		28		37		91
	$	5,834	$	13,238	$	33,084

20

The following table presents an analysis of past-due loans, excluding purchased non-covered and covered past-due loans as of September 30, 2016, December 31, 2015 and September 30, 2015:

	Loans 30-59 Days Past Due		Loans 60-89 Days Past Due		Loans 90 or More Days Past Due		Total Loans Past Due		Current Loans		Total Loans		Loans 90 Days or More Past Due  and Still Accruing
	(Dollars in Thousands)
As of September 30, 2016:
Commercial, financial &  agricultural	$	798	$	336	$	1,134	$	2,268	$	623,679	$	625,947	$	-
Real estate – construction & development		5,320		177		1,136		6,633		321,675		328,308		-
Real estate – commercial & farmland		2,726		199		5,788		8,713		1,288,869		1,297,582		-
Real estate – residential		2,890		802		5,035		8,727		758,206		766,933		-
Consumer installment loans		513		174		309		996		67,309		68,305		-
Other		-		-		-		-		3,964		3,964		-
Total	$	12,247	$	1,688	$	13,402	$	27,337	$	3,063,702	$	3,091,039	$	-

	Loans 30-59 Days Past Due		Loans 60-89 Days Past Due		Loans 90 or More Days Past Due		Total Loans Past Due		Current Loans		Total Loans		Loans 90 Days or More Past Due  and Still Accruing
	(Dollars in Thousands)
As of December 31, 2015:
Commercial, financial &  agricultural	$	568	$	271	$	835	$	1,674	$	447,949	$	449,623	$	-
Real estate – construction & development		1,413		261		1,739		3,413		241,280		244,693		-
Real estate – commercial & farmland		1,781		641		6,912		9,334		1,095,657		1,104,991		-
Real estate – residential		3,806		2,120		5,121		11,047		559,383		570,430		-
Consumer installment loans		374		188		238		800		30,325		31,125		-
Other		-		-		-		-		6,015		6,015		-
Total	$	7,942	$	3,481	$	14,845	$	26,268	$	2,380,609	$	2,406,877	$	-

	Loans 30-59 Days Past Due		Loans 60-89 Days Past Due		Loans 90 or More Days Past Due		Total Loans Past Due		Current Loans		Total Loans		Loans 90 Days or More Past Due and Still Accruing
	(Dollars in Thousands)
As of September 30, 2015:
Commercial, financial & agricultural	$	781	$	714	$	1,799	$	3,294	$	424,453	$	427,747	$	-
Real estate – construction & development		1,184		417		1,753		3,354		217,444		220,798		-
Real estate – commercial & farmland		4,275		399		8,082		12,756		1,055,072		1,067,828		-
Real estate – residential		6,424		1,558		4,247		12,229		520,056		532,285		-
Consumer installment loans		326		82		227		635		30,664		31,299		-
Other		-		-		-		-		10,692		10,692		-
Total	$	12,990	$	3,170	$	16,108	$	32,268	$	2,258,381	$	2,290,649	$	-

21

The following table presents an analysis of purchased non-covered past-due loans as of September 30, 2016, December 31, 2015 and September 30, 2015:

	Loans 30-59 Days Past Due		Loans 60-89 Days Past Due		Loans 90 or More Days Past Due		Total Loans Past Due		Current Loans		Total Loans		Loans 90 Days or More Past Due  and Still Accruing
	(Dollars in Thousands)
As of September 30, 2016:
Commercial, financial &  agricultural	$	244	$	-	$	624	$	868	$	98,728	$	99,596	$	-
Real estate – construction & development		1,082		233		2,070		3,385		82,714		86,099		-
Real estate – commercial & farmland		1,806		599		6,369		8,774		581,614		590,388		-
Real estate – residential		1,481		2,144		5,379		9,004		277,165		286,169		-
Consumer installment loans		33		267		38		338		4,500		4,838		-
Total	$	4,646	$	3,243	$	14,480	$	22,369	$	1,044,721	$	1,067,090	$	-

	Loans 30-59 Days Past Due		Loans 60-89 Days Past Due		Loans 90 or More Days Past Due		Total Loans Past Due		Current Loans		Total Loans		Loans 90 Days or More Past Due  and Still Accruing
	(Dollars in Thousands)
As of December 31, 2015:
Commercial, financial &  agricultural	$	248	$	13	$	846	$	1,107	$	44,355	$	45,462	$	-
Real estate – construction & development		416		687		420		1,523		70,557		72,080		-
Real estate – commercial & farmland		2,479		1,629		3,347		7,455		383,300		390,755		-
Real estate – residential		4,965		2,176		4,928		12,069		246,084		258,153		-
Consumer installment loans		31		9		70		110		4,994		5,104		-
Total	$	8,139	$	4,514	$	9,611	$	22,264	$	749,290	$	771,554	$	-

	Loans 30-59 Days Past Due		Loans 60-89 Days Past Due		Loans 90 or More Days Past Due		Total Loans Past Due		Current Loans		Total Loans		Loans 90 Days or More Past Due and Still Accruing
	(Dollars in Thousands)
As of September 30, 2015:
Commercial, financial &  agricultural	$	140	$	11	$	112	$	263	$	42,087	$	42,350	$	-
Real estate – construction & development		322		-		459		781		70,328		71,109		-
Real estate – commercial & farmland		2,681		613		3,391		6,685		378,347		385,032		-
Real estate – residential		3,822		1,672		4,901		10,395		252,917		263,312		-
Consumer installment loans		5		-		49		54		5,637		5,691		-
Total	$	6,970	$	2,296	$	8,912	$	18,178	$	749,316	$	767,494	$	-

22

The following table presents an analysis of covered past-due loans as of September 30, 2016, December 31, 2015 and September 30, 2015:

	Loans 30-59 Days Past Due		Loans 60-89 Days Past Due		Loans 90 or More Days Past Due		Total Loans Past Due		Current Loans		Total Loans		Loans 90 Days or More Past Due  and Still Accruing
	(Dollars in Thousands)
As of September 30, 2016:
Commercial, financial &  agricultural	$	-	$	-	$	128	$	128	$	702	$	830	$	-
Real estate – construction & development		114		4		-		118		3,102		3,220		-
Real estate – commercial & farmland		906		-		1		907		12,781		13,688		-
Real estate – residential		1,047		943		2,589		4,579		39,878		44,457		-
Consumer installment loans		-		-		-		-		96		96		-
Total	$	2,067	$	947	$	2,718	$	5,732	$	56,559	$	62,291	$	-

	Loans 30-59 Days Past Due		Loans 60-89 Days Past Due		Loans 90 or More Days Past Due		Total Loans Past Due		Current Loans		Total Loans		Loans 90 Days or More Past Due  and Still Accruing
	(Dollars in Thousands)
As of December 31, 2015:
Commercial, financial &  agricultural	$	-	$	-	$	2,802	$	2,802	$	2,744	$	5,546	$	-
Real estate – construction & development		96		-		1,633		1,729		5,883		7,612		-
Real estate – commercial & farmland		170		205		3,064		3,439		67,787		71,226		-
Real estate – residential		2,155		1,001		2,658		5,814		47,224		53,038		-
Consumer installment loans		-		-		37		37		70		107		-
Total	$	2,421	$	1,206	$	10,194	$	13,821	$	123,708	$	137,529	$	-

	Loans 30-59 Days Past Due		Loans 60-89 Days Past Due		Loans 90 or More Days Past Due		Total Loans Past Due		Current Loans		Total Loans		Loans 90 Days or More Past Due and Still Accruing
	(Dollars in Thousands)
As of September 30, 2015:
Commercial, financial &  agricultural	$	40	$	48	$	7,886	$	7,974	$	5,375	$	13,349	$	-
Real estate – construction & development		1,548		68		2,408		4,024		10,242		14,266		-
Real estate – commercial & farmland		1,003		550		6,573		8,126		95,273		103,399		-
Real estate – residential		2,612		783		2,140		5,535		54,300		59,835		-
Consumer installment loans		-		-		49		49		123		172		-
Total	$	5,203	$	1,449	$	19,056	$	25,708	$	165,313	$	191,021	$	-

23

Impaired Loans

Loans are considered impaired when, based on current information and events, it is probable the Company will be unable to collect all amounts due in accordance with the original contractual terms of the loan agreements. Impaired loans include loans on nonaccrual status and accruing troubled debt restructurings. When determining if the Company will be unable to collect all principal and interest payments due in accordance with the contractual terms of the loan agreement, the Company considers the borrower’s capacity to pay, which includes such factors as the borrower’s current financial statements, an analysis of global cash flow sufficient to pay all debt obligations and an evaluation of secondary sources of repayment, such as guarantor support and collateral value. The Company individually assesses for impairment all nonaccrual loans greater than $100,000 and all troubled debt restructurings greater than $100,000 (including all troubled debt restructurings, whether or not currently classified as such). The tables below include all loans deemed impaired, whether or not individually assessed for impairment. If a loan is deemed impaired, a specific valuation allowance is allocated, if necessary, so that the loan is reported net, at the present value of estimated future cash flows using the loan’s existing rate or at the fair value of collateral if repayment is expected solely from the collateral. Interest payments on impaired loans are typically applied to principal unless collectability of the principal amount is reasonably assured, in which case interest is recognized on a cash basis.

24

The following is a summary of information pertaining to impaired loans, excluding purchased non-covered and covered loans:

	As of and For the Period Ended
	September 30, 2016		December 31, 2015		September 30, 2015
	(Dollars in Thousands)
Nonaccrual loans	$	16,570	$	16,860	$	20,558
Troubled debt restructurings not included above		14,013		14,418		12,075
Total impaired loans	$	30,583	$	31,278	$	32,633
Quarter-to-date interest income recognized on impaired loans	$	252	$	274	$	241
Year-to-date interest income recognized on impaired loans	$	808	$	909	$	635
Quarter-to-date foregone interest income on impaired loans	$	239	$	265	$	309
Year-to-date foregone interest income on impaired loans	$	710	$	1,204	$	939

The following table presents an analysis of information pertaining to impaired loans, excluding purchased non-covered and covered loans as of September 30, 2016, December 31, 2015 and September 30, 2015:

	Unpaid Contractual Principal Balance		Recorded Investment With No Allowance		Recorded Investment With Allowance		Total Recorded Investment		Related Allowance		Three Month Average Recorded Investment		Nine Month Average Recorded Investment
	(Dollars in Thousands)
As of September 30, 2016:
Commercial, financial & agricultural	$	2,568	$	252	$	1,114	$	1,366	$	118	$	1,736	$	1,640
Real estate – construction & development		2,972		-		1,946		1,946		537		2,001		2,214
Real estate – commercial & farmland		14,015		5,499		7,520		13,019		873		12,776		12,837
Real estate – residential		14,350		2,046		11,667		13,713		2,648		13,686		13,516
Consumer installment loans		586		-		539		539		6		492		479
Total	$	34,491	$	7,797	$	22,786	$	30,583	$	4,182	$	30,691	$	30,686

	Unpaid Contractual Principal Balance		Recorded Investment With No Allowance		Recorded Investment With Allowance		Total Recorded Investment		Related Allowance		Three Month Average Recorded Investment		Twelve Month Average Recorded Investment
	(Dollars in Thousands)
As of December 31, 2015:
Commercial, financial & agricultural	$	3,062	$	158	$	1,385	$	1,543	$	135	$	1,887	$	2,275
Real estate – construction & development		3,581		230		2,374		2,604		774		2,598		3,228
Real estate – commercial & farmland		14,385		6,702		6,083		12,785		1,067		15,074		15,105
Real estate – residential		15,809		1,621		12,230		13,851		2,224		11,935		11,977
Consumer installment loans		592		-		495		495		9		461		488
Total	$	37,429	$	8,711	$	22,567	$	31,278	$	4,209	$	31,955	$	33,073

	Unpaid Contractual Principal Balance		Recorded Investment With No Allowance		Recorded Investment With Allowance		Total Recorded Investment		Related Allowance		Three Month Average Recorded Investment		Nine Month Average Recorded Investment
	(Dollars in Thousands)
As of September 30, 2015:
Commercial, financial & agricultural	$	3,761	$	471	$	1,762	$	2,233	$	528	$	3,289	$	2,458
Real estate – construction & development		3,757		230		2,361		2,591		731		2,503		3,384
Real estate – commercial & farmland		18,652		5,870		11,494		17,364		1,635		16,459		15,684
Real estate – residential		11,549		1,752		8,266		10,018		1,872		10,185		11,509
Consumer installment loans		524		-		426		426		7		483		487
Total	$	38,243	$	8,323	$	24,309	$	32,632	$	4,773	$	32,919	$	33,522

25

The following is a summary of information pertaining to purchased non-covered impaired loans:

	As of and For the Period Ended
	September 30, 2016		December 31, 2015		September 30, 2015
	(Dollars in Thousands)
Nonaccrual loans	$	17,993	$	13,330	$	11,374
Troubled debt restructurings not included above		9,294		9,373		7,188
Total impaired loans	$	27,287	$	22,703	$	18,562
Quarter-to-date interest income recognized on impaired loans	$	1,339	$	442	$	158
Year-to-date interest income recognized on impaired loans	$	1,885	$	785	$	342
Quarter-to-date foregone interest income on impaired loans	$	264	$	245	$	198
Year-to-date foregone interest income on impaired loans	$	883	$	1,365	$	1,121

The following table presents an analysis of information pertaining to purchased non-covered impaired loans as of September 30, 2016, December 31, 2015 and September 30, 2015:

	Unpaid Contractual Principal Balance		Recorded Investment With No Allowance		Recorded Investment With Allowance		Total Recorded Investment		Related Allowance		Three Month Average Recorded Investment		Nine Month Average Recorded Investment
	(Dollars in Thousands)
As of September 30, 2016:
Commercial, financial & agricultural	$	4,801	$	520	$	225	$	745	$	-	$	710	$	787
Real estate – construction & development		23,284		233		2,699		2,932		183		2,306		2,053
Real estate – commercial & farmland		34,021		1,778		11,858		13,636		380		13,310		13,732
Real estate – residential		12,458		2,705		7,227		9,932		722		9,685		9,163
Consumer installment loans		55		42		-		42		-		43		64
Total	$	74,619	$	5,278	$	22,009	$	27,287	$	1,285	$	26,054	$	25,799

	Unpaid Contractual Principal Balance		Recorded Investment With No Allowance		Recorded Investment With Allowance		Total Recorded Investment		Related Allowance		Three Month Average Recorded Investment		Twelve Month Average Recorded Investment
	(Dollars in Thousands)
As of December 31, 2015:
Commercial, financial & agricultural	$	3,103	$	1,066	$	-	$	1,066	$	-	$	640	$	392
Real estate – construction & development		8,987		1,469		-		1,469		-		1,369		1,429
Real estate – commercial & farmland		14,999		11,134		-		11,134		-		9,966		10,806
Real estate – residential		14,946		8,957		-		8,957		-		8,591		8,067
Consumer installment loans		94		77		-		77		-		67		65
Total	$	42,129	$	22,703	$	-	$	22,703	$	-	$	20,633	$	20,759

	Unpaid Contractual Principal Balance		Recorded Investment With No Allowance		Recorded Investment With Allowance		Total Recorded Investment		Related Allowance		Three Month Average Recorded Investment		Nine Month Average Recorded Investment
	(Dollars in Thousands)
As of September 30, 2015:
Commercial, financial & agricultural	$	1,137	$	214	$	-	$	214	$	-	$	262	$	224
Real estate – construction & development		9,211		1,268		-		1,268		-		1,563		1,419
Real estate – commercial & farmland		13,399		8,799		-		8,799		-		11,245		10,724
Real estate – residential		12,443		8,224		-		8,224		-		8,255		7,845
Consumer installment loans		74		57		-		57		-		76		63
Total	$	36,264	$	18,562	$	-	$	18,562	$	-	$	21,402	$	20,275

26

The following is a summary of information pertaining to covered impaired loans:

	As of and For the Period Ended
	September 30, 2016		December 31, 2015		September 30, 2015
	(Dollars in Thousands)
Nonaccrual loans	$	5,834	$	13,238	$	33,084
Troubled debt restructurings not included above		11,823		13,283		16,576
Total impaired loans	$	17,657	$	26,521	$	49,660
Quarter-to-date interest income recognized on impaired loans	$	154	$	154	$	268
Year-to-date interest income recognized on impaired loans	$	493	$	886	$	732
Quarter-to-date foregone interest income on impaired loans	$	82	$	181	$	468
Year-to-date foregone interest income on impaired loans	$	400	$	1,596	$	1,416

The following table presents an analysis of information pertaining to covered impaired loans as of September 30, 2016, December 31, 2015 and September 30, 2015:

	Unpaid Contractual Principal Balance		Recorded Investment With No Allowance		Recorded Investment With Allowance		Total Recorded Investment		Related Allowance		Three Month Average Recorded Investment		Nine Month Average Recorded Investment
	(Dollars in Thousands)
As of September 30, 2016:
Commercial, financial & agricultural	$	296	$	128	$	-	$	128	$	-	$	128	$	1,464
Real estate – construction & development		969		63		810		873		1		1,640		2,022
Real estate – commercial & farmland		7,077		83		3,258		3,341		22		4,886		5,837
Real estate – residential		14,450		4,768		8,513		13,281		213		13,418		13,730
Consumer installment loans		43		34		-		34		-		37		41
Total	$	22,835	$	5,076	$	12,581	$	17,657	$	236	$	20,109	$	23,094

	Unpaid Contractual Principal Balance		Recorded Investment With No Allowance		Recorded Investment With Allowance		Total Recorded Investment		Related Allowance		Three Month Average Recorded Investment		Twelve Month Average Recorded Investment
	(Dollars in Thousands)
As of December 31, 2015:
Commercial, financial & agricultural	$	5,188	$	2,802	$	-	$	2,802	$	-	$	5,360	$	7,408
Real estate – construction & development		15,119		2,480		-		2,480		-		4,130		6,906
Real estate – commercial & farmland		20,508		7,001		-		7,001		-		14,133		18,504
Real estate – residential		15,830		14,192		-		14,192		-		14,399		16,010
Consumer installment loans		60		46		-		46		-		69		86
Total	$	56,705	$	26,521	$	-	$	26,521	$	-	$	38,091	$	48,914

	Unpaid Contractual Principal Balance		Recorded Investment With No Allowance		Recorded Investment With Allowance		Total Recorded Investment		Related Allowance		Three Month Average Recorded Investment		Nine Month Average Recorded Investment
	(Dollars in Thousands)
As of September 30, 2015:
Commercial, financial & agricultural	$	11,794	$	7,918	$	-	$	7,918	$	-	$	8,625	$	8,560
Real estate – construction & development		29,596		5,780		-		5,780		-		6,166		8,013
Real estate – commercial & farmland		41,724		21,265		-		21,265		-		20,697		21,380
Real estate – residential		18,097		14,605		-		14,605		-		14,881		16,465
Consumer installment loans		126		92		-		92		-		101		96
Total	$	101,337	$	49,660	$	-	$	49,660	$	-	$	50,470	$	54,514

27

Credit Quality Indicators

The Company uses a nine category risk grading system to assign a risk grade to each loan in the portfolio. The following is a description of the general characteristics of the grades:

Grade 10 – Prime Credit – This grade represents loans to the Company’s most creditworthy borrowers or loans that are secured by cash or cash equivalents.

Grade 15 – Good Credit – This grade includes loans that exhibit one or more characteristics better than that of a Satisfactory Credit. Generally, the debt service coverage and borrower’s liquidity is materially better than required by the Company’s loan policy.

Grade 20 – Satisfactory Credit – This grade is assigned to loans to borrowers who exhibit satisfactory credit histories, contain acceptable loan structures and demonstrate ability to repay.

Grade 23 – Performing, Under-Collateralized Credit – This grade is assigned to loans that are currently performing and supported by adequate financial information that reflects repayment capacity but exhibits a loan-to-value ratio greater than 110%, based on a documented collateral valuation.

Grade 25 – Minimum Acceptable Credit – This grade includes loans which exhibit all the characteristics of a Satisfactory Credit, but warrant more than normal level of banker supervision due to (i) circumstances which elevate the risks of performance (such as start-up operations, untested management, heavy leverage and interim losses); (ii) adverse, extraordinary events that have affected, or could affect, the borrower’s cash flow, financial condition, ability to continue operating profitability or refinancing (such as death of principal, fire and divorce); (iii) loans that require more than the normal servicing requirements (such as any type of construction financing, acquisition and development loans, accounts receivable or inventory loans and floor plan loans); (iv) existing technical exceptions which raise some doubts about the Bank’s perfection in its collateral position or the continued financial capacity of the borrower; or (v) improvements in formerly criticized borrowers, which may warrant banker supervision.

Grade 30 – Other Asset Especially Mentioned – This grade includes loans that exhibit potential weaknesses that deserve management’s close attention. If left uncorrected, these weaknesses may result in deterioration of the repayment prospects for the asset or in the Company’s credit position at some future date.

Grade 40 – Substandard – This grade represents loans which are inadequately protected by the current credit worthiness and paying capacity of the borrower or of the collateral pledged, if any. These assets exhibit a well-defined weakness or are characterized by the distinct possibility that the Bank will sustain some loss if the deficiencies are not corrected. These weaknesses may be characterized by past due performance, operating losses or questionable collateral values.

Grade 50 – Doubtful – This grade includes loans which exhibit all of the characteristics of a substandard loan with the added provision that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions and values, highly questionable or improbable.

Grade 60 – Loss – This grade is assigned to loans which are considered uncollectible and of such little value that their continuance as active assets of the Bank is not warranted. This classification does not mean that the loan has absolutely no recovery or salvage value, but rather it is not practical or desirable to defer writing it off.

28

The following table presents the loan portfolio, excluding purchased non-covered and covered loans, by risk grade as of September 30, 2016:

Risk Grade	Commercial, financial & agricultural		Real estate - construction & development		Real estate - commercial & farmland		Real estate - residential		Consumer installment loans		Other		Total
	(Dollars in Thousands)
10	$	381,814	$	-	$	9,053	$	127	$	7,787	$	-	$	398,781
15		23,627		6,732		105,298		54,346		386		-		190,389
20		105,573		41,759		835,021		596,886		24,870		3,964		1,608,073
23		372		7,126		8,719		6,530		16		-		22,763
25		108,887		266,728		299,714		87,480		34,339		-		797,148
30		967		3,087		23,457		4,165		88		-		31,764
40		4,707		2,876		16,320		17,399		819		-		42,121
50		-		-		-		-		-		-		-
60		-		-		-		-		-		-		-
Total	$	625,947	$	328,308	$	1,297,582	$	766,933	$	68,305	$	3,964	$	3,091,039

The following table presents the loan portfolio, excluding purchased non-covered and covered loans, by risk grade as of December 31, 2015:

Risk Grade	Commercial, financial & agricultural		Real estate - construction & development		Real estate - commercial & farmland		Real estate - residential		Consumer installment loans		Other		Total
	(Dollars in Thousands)
10	$	241,721	$	294	$	116	$	1,606	$	6,872	$	-	$	250,609
15		28,420		2,074		117,880		78,165		1,191		-		227,730
20		97,142		46,221		685,538		369,624		19,780		6,015		1,224,320
23		559		7,827		13,073		6,112		36		-		27,607
25		77,829		183,512		254,012		91,465		2,595		-		609,413
30		1,492		1,620		13,821		7,347		143		-		24,423
40		2,460		3,145		20,551		16,111		506		-		42,773
50		-		-		-		-		-		-		-
60		-		-		-		-		2		-		2
Total	$	449,623	$	244,693	$	1,104,991	$	570,430	$	31,125	$	6,015	$	2,406,877

The following table presents the loan portfolio, excluding purchased non-covered and covered loans, by risk grade as of September 30, 2015:

Risk Grade	Commercial, financial & agricultural		Real estate - construction & development		Real estate - commercial & farmland		Real estate - residential		Consumer installment loans		Other		Total
	(Dollars in Thousands)
10	$	222,693	$	294	$	116	$	1,490	$	6,688	$	-	$	231,281
15		23,807		2,150		123,515		83,361		1,352		-		234,185
20		99,414		45,091		645,949		327,576		19,302		10,692		1,148,024
23		645		7,754		11,792		6,240		46		-		26,477
25		75,635		159,944		250,575		90,320		3,168		-		579,642
30		2,378		2,035		9,762		7,811		204		-		22,190
40		3,175		3,530		26,119		15,487		537		-		48,848
50		-		-		-		-		2		-		2
60		-		-		-		-		-		-		-
Total	$	427,747	$	220,798	$	1,067,828	$	532,285	$	31,299	$	10,692	$	2,290,649

29

The following table presents the purchased non-covered loan portfolio by risk grade as of September 30, 2016:

Risk Grade	Commercial, financial & agricultural		Real estate - construction & development		Real estate - commercial & farmland		Real estate - residential		Consumer installment loans		Other		Total
	(Dollars in Thousands)
10	$	5,676	$	-	$	-	$	-	$	867	$	-	$	6,543
15		1,055		-		7,842		32,763		597		-		42,257
20		16,726		7,741		196,901		108,007		1,934		-		331,309
23		-		3,677		11,925		11,902		-		-		27,504
25		70,241		63,343		328,657		111,720		1,319		-		575,280
30		4,716		7,609		26,782		5,731		-		-		44,838
40		1,182		3,729		18,281		16,046		121		-		39,359
50		-		-		-		-		-		-		-
60		-		-		-		-		-		-		-
Total	$	99,596	$	86,099	$	590,388	$	286,169	$	4,838	$	-	$	1,067,090

The following table presents the purchased non-covered loan portfolio by risk grade as of December 31, 2015:

Risk Grade	Commercial, financial & agricultural		Real estate - construction & development		Real estate - commercial & farmland		Real estate - residential		Consumer installment loans		Other		Total
	(Dollars in Thousands)
10	$	8,592	$	-	$	-	$	-	$	1,010	$	-	$	9,602
15		1,186		1,143		10,490		37,808		541		-		51,168
20		10,057		13,678		183,219		128,005		2,031		-		336,990
23		-		438		5,177		6,414		-		-		12,029
25		17,565		47,517		162,253		66,166		1,328		-		294,829
30		6,657		4,185		14,297		5,503		51		-		30,693
40		1,373		5,119		15,319		14,257		143		-		36,211
50		30		-		-		-		-		-		30
60		2		-		-		-		-		-		2
Total	$	45,462	$	72,080	$	390,755	$	258,153	$	5,104	$	-	$	771,554

The following table presents the purchased non-covered loan portfolio by risk grade as of September 30, 2015:

Risk Grade	Commercial, financial & agricultural		Real estate - construction & development		Real estate - commercial & farmland		Real estate - residential		Consumer installment loans		Other		Total
	(Dollars in Thousands)
10	$	8,741	$	-	$	-	$	-	$	1,060	$	-	$	9,801
15		1,229		1,805		8,440		38,643		789		-		50,906
20		10,982		13,518		187,329		133,914		2,291		-		348,034
23		-		230		4,079		6,303		-		-		10,612
25		17,873		48,137		159,816		63,049		1,397		-		290,272
30		2,379		3,418		12,997		7,609		55		-		26,458
40		1,116		4,001		12,371		13,794		99		-		31,381
50		30		-		-		-		-		-		30
60		-		-		-		-		-		-		-
Total	$	42,350	$	71,109	$	385,032	$	263,312	$	5,691	$	-	$	767,494

30

The following table presents the covered loan portfolio by risk grade as of September 30, 2016:

Risk Grade	Commercial, financial & agricultural		Real estate - construction & development		Real estate - commercial & farmland		Real estate - residential		Consumer installment loans		Other		Total
	(Dollars in Thousands)
10	$	-	$	-	$	-	$	-	$	-	$	-	$	-
15		-		-		-		-		-		-		-
20		23		551		2,203		7,458		-		-		10,235
23		23		-		298		4,016		-		-		4,337
25		657		2,214		5,757		20,349		15		-		28,992
30		-		357		1,825		3,625		46		-		5,853
40		127		98		3,605		9,009		35		-		12,874
50		-		-		-		-		-		-		-
60		-		-		-		-		-		-		-
Total	$	830	$	3,220	$	13,688	$	44,457	$	96	$	-	$	62,291

The following table presents the covered loan portfolio by risk grade as of December 31, 2015:

Risk Grade	Commercial, financial & agricultural		Real estate - construction & development		Real estate - commercial & farmland		Real estate - residential		Consumer installment loans		Other		Total
	(Dollars in Thousands)
10	$	-	$	-	$	-	$	-	$	-	$	-	$	-
15		-		-		-		-		-		-		-
20		93		800		11,698		10,040		-		-		22,631
23		52		-		2,957		5,723		-		-		8,732
25		2,594		3,907		38,741		24,345		11		-		69,598
30		5		828		2,857		4,552		-		-		8,242
40		2,802		2,077		14,973		8,378		96		-		28,326
50		-		-		-		-		-		-		-
60		-		-		-		-		-		-		-
Total	$	5,546	$	7,612	$	71,226	$	53,038	$	107	$	-	$	137,529

The following table presents the covered loan portfolio by risk grade as of September 30, 2015:

Risk Grade	Commercial, financial & agricultural		Real estate - construction & development		Real estate - commercial & farmland		Real estate - residential		Consumer installment loans		Other		Total
	(Dollars in Thousands)
10	$	-	$	-	$	-	$	-	$	-	$	-	$	-
15		-		-		478		115		-		-		593
20		327		1,147		16,211		12,304		42		-		30,031
23		53		-		4,783		6,396		-		-		11,232
25		4,476		8,241		53,126		27,795		37		-		93,675
30		4,060		1,965		5,539		5,481		-		-		17,045
40		4,431		2,913		23,262		7,744		93		-		38,443
50		-		-		-		-		-		-		-
60		2		-		-		-		-		-		2
Total	$	13,349	$	14,266	$	103,399	$	59,835	$	172	$	-	$	191,021

31

Troubled Debt Restructurings

The restructuring of a loan is considered a “troubled debt restructuring” if both (i) the borrower is experiencing financial difficulties and (ii) the Company has granted a concession. Concessions may include interest rate reductions to below market interest rates, principal forgiveness, restructuring amortization schedules and other actions intended to minimize potential losses. The Company has exhibited the greatest success for rehabilitation of the loan by a reduction in the rate alone (maintaining the amortization of the debt) or a combination of a rate reduction and the forbearance of previously past due interest or principal. This has most typically been evidenced in certain commercial real estate loans whereby a disruption in the borrower’s cash flow resulted in an extended past due status, of which the borrower was unable to catch up completely as the cash flow of the property ultimately stabilized at a level lower than its original level. A reduction in rate, coupled with a forbearance of unpaid principal and/or interest, allowed the net cash flows to service the debt under the modified terms.

The Company’s policy requires a restructure request to be supported by a current, well-documented credit evaluation of the borrower’s financial condition and a collateral evaluation that is no older than six months from the date of the restructure. Key factors of that evaluation include the documentation of current, recurring cash flows, support provided by the guarantor(s) and the current valuation of the collateral. If the appraisal in the file is older than six months, an evaluation must be made as to the continued reasonableness of the valuation. For certain income-producing properties, current rent rolls and/or other income information can be utilized to support the appraisal valuation, when coupled with documented cap rates within our markets and a physical inspection of the collateral to validate the current condition.

The Company’s policy states that in the event a loan has been identified as a troubled debt restructuring, it should be assigned a grade of substandard and placed on nonaccrual status until such time the borrower has demonstrated the ability to service the loan payments based on the restructured terms – generally defined as six months of satisfactory payment history. Missed payments under the original loan terms are not considered under the new structure; however, subsequent missed payments are considered non-performance and are not considered toward the six month required term of satisfactory payment history. The Company’s loan policy states that a nonaccrual loan may be returned to accrual status when (i) none of its principal and interest is due and unpaid, and the Company expects repayment of the remaining contractual principal and interest or (ii) it otherwise becomes well secured and in the process of collection. Restoration to accrual status on any given loan must be supported by a well-documented credit evaluation of the borrower’s financial condition and the prospects for full repayment, approved by the Company’s Chief Credit Officer.

In the normal course of business, the Company renews loans with a modification of the interest rate or terms that are not deemed as troubled debt restructurings because the borrower is not experiencing financial difficulty. The Company modified loans in the first nine months of 2016 and 2015 totaling $58.2 million and $77.4 million, respectively, under such parameters.

As of September 30, 2016, December 31, 2015 and September 30, 2015, the Company had a balance of $17.1 million, $16.4 million and $13.9 million, respectively, in troubled debt restructurings, excluding purchased non-covered and covered loans. The Company has recorded $1.2 million, $1.3 million and $1.3 million in previous charge-offs on such loans at September 30, 2016, December 31, 2015 and September 30, 2015, respectively. The Company’s balance in the allowance for loan losses allocated to such troubled debt restructurings was $2.8 million, $2.7 million and $183,000 at September 30, 2016, December 31, 2015 and September 30, 2015, respectively. At September 30, 2016, the Company did not have any commitments to lend additional funds to debtors whose terms have been modified in troubled restructurings.

During the nine months ending September 30, 2016 and 2015, the Company modified loans as troubled debt restructurings, excluding purchased non-covered and covered loans, with principal balances of $2.9 million and $4.3 million, respectively, and these modifications did not have a material impact on the Company’s allowance for loan loss. The following table presents the loans by class modified as troubled debt restructurings, excluding purchased non-covered and covered loans, which occurred during the nine months ending September 30, 2016 and 2015:

	September 30, 2016				September 30, 2015
Loan class:	#		Balance (in thousands)		#		Balance (in thousands)
Commercial, financial & agricultural		5	$	59		4	$	26
Real estate – construction & development		2		251		2		15
Real estate – commercial & farmland		4		1,658		2		2,125
Real estate – residential		7		887		28		2,089
Consumer installment		9		44		13		47
Total		27	$	2,899		49	$	4,302

32

Troubled debt restructurings, excluding purchased non-covered and covered loans, with an outstanding balance of $793,000 and $2.6 million defaulted during the nine months ended September 30, 2016 and 2015, respectively, and these defaults did not have a material impact on the Company’s allowance for loan loss. The following table presents the troubled debt restructurings by class that defaulted (defined as 30 days past due) during the nine months ending September 30, 2016 and 2015:

	September 30, 2016				September 30, 2015
Loan class:	#		Balance (in thousands)		#		Balance (in thousands)
Commercial, financial & agricultural		5	$	51		4	$	18
Real estate – construction & development		-		-		2		34
Real estate – commercial & farmland		5		517		5		1,011
Real estate – residential		3		219		18		1,473
Consumer installment		2		6		9		32
Total		15	$	793		38	$	2,568

The following table presents the amount of troubled debt restructurings by loan class, excluding purchased non-covered and covered loans, classified separately as accrual and nonaccrual at September 30, 2016, December 31, 2015 and September 30, 2015:

As of September 30, 2016	Accruing Loans				Non-Accruing Loans
Loan class:	#		Balance (in thousands)		#		Balance (in thousands)
Commercial, financial & agricultural		4	$	53		14	$	112
Real estate – construction & development		8		691		2		35
Real estate – commercial & farmland		17		5,535		5		2,015
Real estate – residential		53		7,713		19		849
Consumer installment		7		21		29		120
Total		89	$	14,013		69	$	3,131

As of December 31, 2015	Accruing Loans				Non-Accruing Loans
Loan class:	#		Balance (in thousands)		#		Balance (in thousands)
Commercial, financial & agricultural		4	$	240		10	$	110
Real estate – construction & development		11		792		3		63
Real estate – commercial & farmland		16		5,766		3		596
Real estate – residential		51		7,574		20		1,123
Consumer installment		12		46		23		94
Total		94	$	14,418		59	$	1,986

As of September 30, 2015	Accruing Loans				Non-Accruing Loans
Loan class:	#		Balance (in thousands)		#		Balance (in thousands)
Commercial, financial & agricultural		4	$	238		8	$	68
Real estate – construction & development		12		838		2		30
Real estate – commercial & farmland		15		5,719		4		943
Real estate – residential		51		5,209		16		759
Consumer installment		15		71		18		64
Total		97	$	12,075		48	$	1,864

33

As of September 30, 2016, December 31, 2015 and September 30, 2015, the Company had a balance of $10.4 million, $10.0 million and $7.7 million, respectively, in troubled debt restructurings included in purchased non-covered loans. The Company has recorded $752,000, $377,000 and $60,000 in previous charge-offs on such loans at September 30, 2016, December 31, 2015 and September 30, 2015, respectively. At September 30, 2016, the Company did not have any commitments to lend additional funds to debtors whose terms have been modified in troubled restructurings.

During the nine months ending September 30, 2016 and 2015, the Company modified purchased non-covered loans as troubled debt restructurings, with principal balances of $1.3 million and $2.4 million, respectively, and these modifications did not have a material impact on the Company’s allowance for loan loss. During the nine months ending September 30, 2016, the Company did not transfer any troubled debt restructurings from the covered loan category to the purchased non-covered loan category due to the expiration of the loss-sharing portion of the agreements. During the nine months ending September 30, 2015, the Company transferred troubled debt restructurings with principal balances $4.1 million from the covered loan category to the purchased non-covered loan category due to the expiration of the loss-sharing portion of the agreements. The following table presents the purchased non-covered loans by class modified as troubled debt restructurings, which occurred during the nine months ending September 30, 2016 and 2015:

	September 30, 2016				September 30, 2015
Loan class:	#		Balance (in thousands)		#		Balance (in thousands)
Commercial, financial & agricultural		-	$	-		1	$	1
Real estate – construction & development		-		-		2		30
Real estate – commercial & farmland		2		235		3		622
Real estate – residential		6		1,076		7		1,730
Consumer installment		-		-		3		8
Total		8	$	1,311		16	$	2,391

Troubled debt restructurings included in purchased non-covered loans with an outstanding balance of $217,000 and $618,000 defaulted during the nine months ended September 30, 2016 and 2015, respectively, and these defaults did not have a material impact on the Company’s allowance for loan loss. The following table presents the troubled debt restructurings by class that defaulted (defined as 30 days past due) during the nine months ending September 30, 2016 and 2015:

	September 30, 2016				September 30, 2015
Loan class:	#		Balance (in thousands)		#		Balance (in thousands)
Commercial, financial & agricultural		-	$	-		-	$	-
Real estate – construction & development		1		10		-		-
Real estate – commercial & farmland		1		207		-		-
Real estate – residential		-		-		2		618
Consumer installment		-		-		-		-
Total		2	$	217		2	$	618

34

The following table presents the amount of troubled debt restructurings by loan class of purchased non-covered loans, classified separately as accrual and nonaccrual at September 30, 2016, December 31, 2015 and September 30, 2015:

As of September 30, 2016	Accruing Loans				Non-Accruing Loans
Loan class:	#		Balance (in thousands)		#		Balance (in thousands)
Commercial, financial & agricultural		1	$	1		1	$	16
Real estate – construction & development		2		529		3		33
Real estate – commercial & farmland		13		5,840		3		566
Real estate – residential		16		2,919		5		486
Consumer installment		1		4		2		1
Total		33	$	9,293		14	$	1,102

As of December 31, 2015	Accruing Loans				Non-Accruing Loans
Loan class:	#		Balance (in thousands)		#		Balance (in thousands)
Commercial, financial & agricultural		1	$	2		2	$	21
Real estate – construction & development		1		363		3		42
Real estate – commercial & farmland		14		6,214		3		412
Real estate – residential		13		2,789		4		180
Consumer installment		2		5		2		3
Total		31	$	9,373		14	$	658

As of September 30, 2015	Accruing Loans				Non-Accruing Loans
Loan class:	#		Balance (in thousands)		#		Balance (in thousands)
Commercial, financial & agricultural		-	$	-		1	$	1
Real estate – construction & development		1		351		2		30
Real estate – commercial & farmland		6		4,071		1		36
Real estate – residential		13		2,761		3		397
Consumer installment		2		5		2		3
Total		22	$	7,188		9	$	467

35

As of September 30, 2016, December 31, 2015 and September 30, 2015, the Company had a balance of $13.9 million, $15.5 million and $20.5 million, respectively, in troubled debt restructurings included in covered loans. The Company has recorded $791,000, $1.2 million and $1.4 million in previous charge-offs on such loans at September 30, 2016, December 31, 2015 and September 30, 2015, respectively. At September 30, 2016, the Company did not have any commitments to lend additional funds to debtors whose terms have been modified in troubled restructurings.

During the nine months ending September 30, 2016 and 2015, the Company modified covered loans as troubled debt restructurings with principal balances of $603,000 and $2.5 million, respectively, and these modifications did not have a material impact on the Company’s allowance for loan loss. The following table presents the covered loans by class modified as troubled debt restructurings during the nine months ending September 30, 2016 and 2015:

	September 30, 2016				September 30, 2015
Loan class:	#		Balance (in thousands)		#		Balance (in thousands)
Commercial, financial & agricultural		1	$	76		1	$	-
Real estate – construction & development		-		-		2		312
Real estate – commercial & farmland		1		473		5		1,492
Real estate – residential		2		54		12		679
Consumer installment		-		-		-		-
Total		4	$	603		20	$	2,483

Troubled debt restructurings of covered loans with an outstanding balance of $516,000 and $1.3 million defaulted during the nine months ended September 30, 2016 and 2015, respectively, and these defaults did not have a material impact on the Company’s allowance for loan loss. The following table presents the troubled debt restructurings by class that defaulted (defined as 30 days past due) during the nine months ending September 30, 2016 and 2015:

	September 30, 2016				September 30, 2015
Loan class:	#		Balance (in thousands)		#		Balance (in thousands)
Commercial, financial & agricultural		2	$	76		-	$	-
Real estate – construction & development		-		-		-		-
Real estate – commercial & farmland		-		-		3		177
Real estate – residential		11		440		9		1,088
Consumer installment		-		-		-		-
Total		13	$	516		12	$	1,265

36

The following table presents the amount of troubled debt restructurings by loan class of covered loans, classified separately as accrual and nonaccrual at September 30, 2016, December 31, 2015 and September 30, 2015:

As of September 30, 2016	Accruing Loans				Non-Accruing Loans
Loan class:	#		Balance (in thousands)		#		Balance (in thousands)
Commercial, financial & agricultural		-	$	-		3	$	76
Real estate – construction & development		4		813		-		-
Real estate – commercial & farmland		4		1,801		2		680
Real estate – residential		88		9,203		27		1,287
Consumer installment		1		6		-		-
Total		97	$	11,823		32	$	2,043

As of December 31, 2015	Accruing Loans				Non-Accruing Loans
Loan class:	#		Balance (in thousands)		#		Balance (in thousands)
Commercial, financial & agricultural		-	$	-		2	$	1
Real estate – construction & development		4		779		-		-
Real estate – commercial & farmland		4		1,967		3		1,067
Real estate – residential		97		10,529		26		1,116
Consumer installment		2		8		-		-
Total		107	$	13,283		31	$	2,184

As of September 30, 2015	Accruing Loans				Non-Accruing Loans
Loan class:	#		Balance (in thousands)		#		Balance (in thousands)
Commercial, financial & agricultural		1	$	2		2	$	-
Real estate – construction & development		3		2,847		3		325
Real estate – commercial & farmland		9		3,101		8		2,449
Real estate – residential		96		10,625		17		1,167
Consumer installment		1		1		-		-
Total		110	$	16,576		30	$	3,941

37

Allowance for Loan Losses

The allowance for loan losses represents an allowance for probable incurred losses in the loan portfolio. The adequacy of the allowance for loan losses is evaluated periodically based on a review of all significant loans, with a particular emphasis on non-accruing, past-due and other loans that management believes might be potentially impaired or warrant additional attention. The Company segregates the loan portfolio by type of loan and utilizes this segregation in evaluating exposure to risks within the portfolio. In addition, based on internal reviews and external reviews performed by regulatory authorities, the Company further segregates the loan portfolio by loan grades based on an assessment of risk for a particular loan or group of loans. Certain reviewed loans are assigned specific allowances when a review of relevant data determines that a general allocation is not sufficient or when the review affords management the opportunity to adjust the amount of exposure in a given credit. In establishing allowances, management considers historical loan loss experience but adjusts this data with a significant emphasis on current loan quality trends, current economic conditions and other factors in the markets where the Company operates. Factors considered include, among others, current valuations of real estate in the Company’s markets, unemployment rates, the effect of weather conditions on agricultural related entities and other significant local economic events.

The Company has developed a methodology for determining the adequacy of the allowance for loan losses which is monitored by the Company’s Chief Credit Officer. Procedures provide for the assignment of a risk rating for every loan included in the total loan portfolio, with the exception of certain mortgage loans serviced at a third party, mortgage warehouse lines and overdraft protection loans, which are treated as pools for risk-rating purposes. The risk rating schedule provides nine ratings of which five ratings are classified as pass ratings and four ratings are classified as criticized ratings. Each risk rating is assigned a percentage factor to be applied to the loan balance to determine the adequate amount of reserve. All relationships greater than $1.0 million and a sample of relationships greater than $250,000 are reviewed annually by the Bank’s independent internal loan review department. As a result of these loan reviews, certain loans may be identified as having deteriorating credit quality. Other loans that surface as problem loans may also be assigned specific reserves. Past-due loans are assigned risk ratings based on the number of days past due. The calculation of the allowance for loan losses, including underlying data and assumptions, is reviewed regularly by the Company’s Chief Financial Officer and the independent internal loan review department.

Loan losses are charged against the allowance when management believes the collection of a loan’s principal is unlikely. Subsequent recoveries are credited to the allowance. Consumer loans are charged-off in accordance with the Federal Financial Institutions Examination Council’s (“FFIEC”) Uniform Retail Credit Classification and Account Management Policy. Commercial loans are charged-off when they are deemed uncollectible, which usually involves a triggering event within the collection effort. If the loan is collateral dependent, the loss is more easily identified and is charged-off when it is identified, usually based upon receipt of an appraisal. However, when a loan has guarantor support, the Company may carry the estimated loss as a reserve against the loan while collection efforts with the guarantor are pursued. If, after collection efforts with the guarantor are complete, the deficiency is still considered uncollectible, the loss is charged-off and any further collections are treated as recoveries. In all situations, when a loan is downgraded to an Asset Quality Rating of 60 (Loss per the regulatory guidance), the uncollectible portion is charged-off.

38

The following table details activity in the allowance for loan losses by portfolio segment for the nine months ended September 30, 2016, the year ended December 31, 2015 and the nine months ended September 30, 2015. Allocation of a portion of the allowance to one category of loans does not preclude its availability to absorb losses in other categories.

	Commercial, financial & agricultural			Real estate – construction & development			Real estate – commercial & farmland			Real estate - residential			Consumer installment loans and Other			Purchased non-covered loans, including pools			Covered loans			Total
	(Dollars in Thousands)
Three months ended September 30, 2016:
Balance, June 30, 2016	$	1,667		$	3,599		$	7,459		$	4,263		$	2,160		$	2,056		$	530		$	21,734
Provision for loan losses		677			(521	)		(554	)		2,649			(1,595	)		1,247			(1,092	)		811
Loans charged off		(326	)		(60	)		-			(292	)		(74	)		(408	)		(291	)		(1,451	)
Recoveries of loans previously charged off		119			131			13			40			78			399			1,089			1,869
Balance, September 30, 2016	$	2,137		$	3,149		$	6,918		$	6,660		$	569		$	3,294		$	236		$	22,963
Nine months ended September 30, 2016:
Balance, January 1, 2016	$	1,144		$	5,009		$	7,994		$	4,760		$	1,574		$	581		$	-		$	21,062
Provision for loan losses		1,987			(2,010	)		(559	)		2,415			(932	)		2,274			(794	)		2,381
Loans charged off		(1,273	)		(324	)		(708	)		(883	)		(192	)		(826	)		(435	)		(4,641	))
Recoveries of loans previously charged off		279			474			191			368			119			1,265			1,465			4,161
Balance, September 30, 2016	$	2,137		$	3,149		$	6,918		$	6,660		$	569		$	3,294		$	236		$	22,963
Period-end amount allocated to:
Loans individually evaluated for impairment (1)	$	107		$	529		$	883		$	2,629		$	-		$	1,286		$	236		$	5,670
Loans collectively evaluated for impairment		2,030			2,620			6,035			4,031			569			2,008			-			17,293
Ending balance	$	2,137		$	3,149		$	6,918		$	6,660		$	569		$	3,294		$	236		$	22,963
Loans:
Individually evaluated for impairment (1)	$	424		$	1,154		$	11,699		$	11,571		$	-		$	22,173		$	12,818		$	59,839
Collectively evaluated for impairment		625,523			327,154			1,285,883			755,362			72,269			1,536,176			27,953			4,630,320
Acquired with deteriorated credit quality		-			-			-			-			-			133,627			21,520			155,147
Ending balance	$	625,947		$	328,308		$	1,297,582		$	766,933		$	72,269		$	1,691,976		$	62,291		$	4,845,306

(1) At September 30, 2016, loans individually evaluated for impairment includes all nonaccrual loans greater than $100,000 and all troubled debt restructurings greater than $100,000, including all troubled debt restructurings and not only those currently classified as troubled debt restructurings.

39

	Commercial, financial & agricultural			Real estate – construction & development			Real estate – commercial & farmland			Real estate - residential			Consumer installment loans and Other			Purchased non-covered loans, including pools			Covered loans			Total
	(Dollars in Thousands)
Twelve months ended December 31, 2015:
Balance, January 1, 2015	$	2,004		$	5,030		$	8,823		$	4,129		$	1,171		$	-		$	-		$	21,157
Provision for loan losses		(73	)		278			1,221			2,067			676			344			751			5,264
Loans charged off		(1,438	)		(622	)		(2,367	)		(1,587	)		(410	)		(950	)		(1,759	)		(9,133	)
Recoveries of loans previously charged off		651			323			317			151			137			1,187			1,008			3,774
Balance, December 31, 2015	$	1,144		$	5,009		$	7,994		$	4,760		$	1,574		$	581		$	-		$	21,062
Period-end amount allocated to:
Loans individually evaluated for impairment (1)	$	126		$	759		$	1,074		$	2,172		$	-		$	-		$	-		$	4,131
Loans collectively evaluated for impairment		1,018			4,250			6,920			2,588			1,574			581			-			16,931
Ending balance	$	1,144		$	5,009		$	7,994		$	4,760		$	1,574		$	581		$	-		$	21,062
Loans:
Individually evaluated for impairment (1)	$	323		$	1,958		$	11,877		$	9,554		$	-		$	22,672		$	22,317		$	68,701
Collectively evaluated for impairment		449,300			242,735			1,093,114			560,876			37,140			1,261,821			52,451			3,697,437
Acquired with deteriorated credit quality		-			-			-			-			-			80,024			62,761			142,785
Ending balance	$	449,623		$	244,693		$	1,104,991		$	570,430		$	37,140		$	1,364,517		$	137,529		$	3,908,923

(1) At December 31, 2015, loans individually evaluated for impairment includes all nonaccrual loans greater than $200,000 and all troubled debt restructurings greater than $100,000, including all troubled debt restructurings and not only those currently classified as troubled debt restructurings.

40

	Commercial, financial & agricultural			Real estate – construction & development			Real estate – commercial & farmland			Real estate - residential			Consumer installment loans and Other			Purchased non-covered loans, including pools			Covered loans			Total
	(Dollars in Thousands)
Three months ended September 30, 2015:
Balance, June 30, 2015	$	1,426		$	5,365		$	8,381		$	4,805		$	1,681		$	-		$	-		$	21,658
Provision for loan losses		110			643			43			1,238			(1,386	)		531			(193	)		986
Loans charged off		(135	)		(105	)		(184	)		(234	)		(61	)		(302	)		(246	)		(1,267	)
Recoveries of loans previously charged off		117			6			272			54			33			173			439			1,094
Balance, September 30, 2015	$	1,518		$	5,909		$	8,512		$	5,863		$	267		$	402		$	-		$	22,471
Nine months ended September 30, 2015:
Balance, January 1, 2015	$	2,004		$	5,030		$	8,823		$	4,129		$	1,171		$	-		$	-		$	21,157
Provision for loan losses		(66	)		1,030			743			2,562			(721	)		219			944			4,711
Loans charged off		(937	)		(465	)		(1,358	)		(966	)		(300	)		(772	)		(1,661	)		(6,459	)
Recoveries of loans previously charged off		517			314			304			138			117			955			717			3,062
Balance, September 30, 2015	$	1,518		$	5,909		$	8,512		$	5,863		$	267		$	402		$	-		$	22,471
Period-end amount allocated to:
Loans individually evaluated for impairment (1)	$	521		$	708		$	1,622		$	1,848		$	-		$	-		$	-		$	4,699
Loans collectively evaluated for impairment		997			5,201			6,890			4,015			267			402			-			17,772
Ending balance	$	1,518		$	5,909		$	8,512		$	5,863		$	267		$	402		$	-		$	22,471
Loans:
Individually evaluated for impairment (1)	$	1,286		$	1,820		$	13,306		$	8,415		$	-		$	-		$	-		$	24,827
Collectively evaluated for impairment		426,461			218,978			1,054,522			523,870			41,991			1,078,686			83,974			3,428,482
Acquired with deteriorated credit quality		-			-			-			-			-			98,880			107,047			205,927
Ending balance	$	427,747		$	220,798		$	1,067,828		$	532,285		$	41,991		$	1,177,566		$	191,021		$	3,659,236

(1) At September 30, 2015, loans individually evaluated for impairment includes all nonaccrual loans greater than $200,000 and all troubled debt restructurings greater than $100,000, including all troubled debt restructurings and not only those currently classified as troubled debt restructurings.

41

NOTE 5 – ASSETS ACQUIRED IN FDIC-ASSISTED ACQUISITIONS

From October 2009 through July 2012, the Company participated in ten FDIC-assisted acquisitions whereby the Company purchased certain failed institutions out of the FDIC’s receivership. These institutions include the following:

Bank Acquired	Location	Branches	Date Acquired
American United Bank (“AUB”)	Lawrenceville, Ga.	1	October 23, 2009
United Security Bank (“USB”)	Sparta, Ga.	2	November 6, 2009
Satilla Community Bank (“SCB”)	St. Marys, Ga.	1	May 14, 2010
First Bank of Jacksonville (“FBJ”)	Jacksonville, Fl.	2	October 22, 2010
Tifton Banking Company (“TBC”)	Tifton, Ga.	1	November 12, 2010
Darby Bank & Trust (“DBT”)	Vidalia, Ga.	7	November 12, 2010
High Trust Bank (“HTB”)	Stockbridge, Ga.	2	July 15, 2011
One Georgia Bank (“OGB”)	Midtown Atlanta, Ga.	1	July 15, 2011
Central Bank of Georgia (“CBG”)	Ellaville, Ga.	5	February 24, 2012
Montgomery Bank & Trust (“MBT”)	Ailey, Ga.	2	July 6, 2012

The determination of the initial fair values of loans at the acquisition date and the initial fair values of the related FDIC indemnification assets involves a high degree of judgment and complexity. The carrying values of the acquired loans and the FDIC indemnification assets reflect management’s best estimate of the fair value of each of these assets as of the date of acquisition. However, the amount that the Company realizes on these assets could differ materially from the carrying values reflected in the financial statements included in this report, based upon the timing and amount of collections on the acquired loans in future periods. Because of the loss-sharing agreements with the FDIC on these assets, the Company does not expect to incur any significant losses. To the extent the actual values realized for the acquired loans are different from the estimates, the indemnification assets will generally be affected in an offsetting manner due to the loss-sharing support from the FDIC.

FASB ASC 310-30, Loans and Debt Securities Acquired with Deteriorated Credit Quality (“ASC 310-30”), applies to a loan with evidence of deterioration of credit quality since origination, acquired by completion of a transfer for which it is probable, at acquisition, that the investor will be unable to collect all contractually required payments receivable. ASC 310-30 prohibits carrying over or creating an allowance for loan losses upon initial recognition for loans which fall under the scope of this statement. At the acquisition dates, a majority of these loans were valued based on the liquidation value of the underlying collateral because the future cash flows are primarily based on the liquidation of underlying collateral. There was no allowance for credit losses established related to these ASC 310-30 loans at the acquisition dates, based on the provisions of this statement. Over the life of the acquired loans, the Company continues to estimate cash flows expected to be collected. If the expected cash flows expected to be collected increases, then the Company adjusts the amount of accretable discount recognized on a prospective basis over the loan’s remaining life. If the expected cash flows expected to be collected decreases, then the Company records a provision for loan loss in its consolidated statement of operations.

Each acquisition with loss-sharing agreements has separate agreements for the single family residential assets (“SFR”) and the non-single family assets (“NSF”). The SFR agreements cover losses and recoveries for ten years. The NSF agreements are for eight years. During the first five years, losses and recoveries are covered. During the final three years, only recoveries, net of expenses, are covered. The AUB SFR agreement was terminated during 2012 and Ameris received a payment of $87,000. The AUB and USB NSF agreements passed their five-year anniversaries during the fourth quarter of 2014, the SCB NSF agreement passed its five-year anniversary during the second quarter of 2015, the FBJ, TBC and DBT NSF agreements passed their five-year anniversaries during the fourth quarter of 2015 and the HTB and OGB NSF agreements passed their five-year anniversaries during the third quarter of 2016. Losses will no longer be reimbursed on these agreements. The remaining NSF assets for these eight agreements have been reclassified to purchased non-covered loans and purchased non-covered other real estate owned.

At September 30, 2016, the Company’s FDIC loss-sharing payable totaled $7.8 million, which is comprised of an accrued clawback liability of $8.9 million and $1.3 million in current activity incurred but not yet remitted to the FDIC (net recoveries offset by reimbursable expenses), less remaining indemnification of $2.4 million (for reimbursements associated with anticipated losses in future quarters).

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The following table summarizes components of all covered assets at September 30, 2016, December 31, 2015 and September 30, 2015 and their origin (dollars in thousands):

	Covered loans		Less: Fair value adjustments		Total covered loans		OREO		Less: Fair value adjustments		Total covered OREO		Total covered assets		FDIC loss-share receivable (payable)
As of September 30, 2016:
AUB	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	12
USB		3,309		13		3,296		30		-		30		3,326		(1,682	)
SCB		4,475		61		4,414		-		-		-		4,414		89
FBJ		3,811		488		3,323		-		-		-		3,323		(164	)
DBT		12,964		690		12,274		-		-		-		12,274		(4,898	)
TBC		1,867		7		1,860		-		-		-		1,860		(2,727	)
HTB		1,926		35		1,891		-		-		-		1,891		1,538
OGB		1,086		32		1,054		-		-		-		1,054		(776	)
CBG		36,468		2,289		34,179		974		4		970		35,149		833
Total	$	65,906	$	3,615	$	62,291	$	1,004	$	4	$	1,000	$	63,291	$	(7,775	)

	Covered  loans		Less: Fair   value   adjustments		Total   covered   loans		OREO		Less: Fair   value   adjustments		Total   covered   OREO		Total   covered assets		FDIC loss-share   receivable (payable)
As of December 31, 2015:
AUB	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	111
USB		3,639		16		3,623		165		-		165		3,788		(1,424	)
SCB		5,228		124		5,104		-		-		-		5,104		149
FBJ		4,782		562		4,220		41		-		41		4,261		252
DBT		15,934		1,131		14,803		-		-		-		14,803		(1,084	)
TBC		2,159		11		2,148		-		-		-		2,148		1,446
HTB		44,405		3,881		40,524		2,433		643		1,790		42,314		3,875
OGB		27,561		1,900		25,661		160		-		160		25,821		913
CBG		44,865		3,419		41,446		3,139		284		2,855		44,301		2,063
Total	$	148,573	$	11,044	$	137,529	$	5,938	$	927	$	5,011	$	142,540	$	6,301

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	Covered loans		Less: Fair  value   adjustments		Total covered  loans		OREO		Less: Fair   value   adjustments		Total   covered  OREO		Total  covered  assets		FDIC loss-share receivable (payable)
As of September 30, 2015:
AUB	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	115
USB		3,686		17		3,669		165		-		165		3,834		(1,453	)
SCB		5,269		174		5,095		-		-		-		5,095		280
FBJ		13,826		991		12,835		984		171		813		13,648		679
DBT		44,112		3,107		41,005		5,044		624		4,420		45,425		(1,737	)
TBC		16,813		481		16,332		1,480		116		1,364		17,696		(2,225	)
HTB		45,345		3,999		41,346		2,985		955		2,030		43,376		4,108
OGB		28,309		1,971		26,338		320		39		281		26,619		1,517
CBG		48,397		3,996		44,401		3,474		344		3,130		47,531		3,222
Total	$	205,757	$	14,736	$	191,021	$	14,452	$	2,249	$	12,203	$	203,224	$	4,506

A rollforward of acquired covered loans for the nine months ended September 30, 2016, the year ended December 31, 2015 and the nine months ended September 30, 2015 is shown below:

(Dollars in Thousands)	September 30, 2016			December 31, 2015			September 30, 2015
Balance, January 1	$	137,529		$	271,279		$	271,279
Charge-offs, net of recoveries		(2,218	)		(5,558	)		(5,062	)
Accretion		2,855			9,658			8,105
Transfer to covered other real estate owned		(2,391	)		(7,910	)		(6,909	)
Transfer to purchased, non-covered loans due to loss-share expiration		(45,908	)		(50,568	)		(15,462	)
Payments received		(27,576	)		(79,372	)		(60,930	)
Ending balance	$	62,291		$	137,529		$	191,021

The following is a summary of changes in the accretable discounts of acquired loans during the nine months ended September 30, 2016, the year ended December 31, 2015 and the nine months ended September 30, 2015:

(Dollars in Thousands)	September 30, 2016			December 31, 2015			September 30, 2015
Balance, January 1	$	9,063		$	15,578		$	15,578
Accretion		(2,855	)		(9,658	)		(8,105	)
Transfer to purchased, non-covered loans due to loss-share expiration		(3,457	)		(1,665	)		(84	)
Transfers between non-accretable and accretable discounts, net		281			4,808			3,312
Ending balance	$	3,032		$	9,063		$	10,701

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The shared-loss agreements are subject to the servicing procedures as specified in the agreement with the FDIC. The expected reimbursements under the shared-loss agreements were recorded as an indemnification asset at their estimated fair values on the acquisition dates. As of September 30, 2016, December 31, 2015 and September 30, 2015, the Company has recorded a clawback liability of $8.9 million, $8.2 million and $7.7 million, respectively, which represents the obligation of the Company to reimburse the FDIC should actual losses be less than certain thresholds established in each loss-share agreement. Changes in the FDIC shared-loss receivable (payable) for the nine months ended September 30, 2016, for the year ended December 31, 2015 and for the nine months ended September 30, 2015 are as follows:

(Dollars in Thousands)	September 30, 2016			December 31, 2015			September 30, 2015
Beginning balance, January 1	$	6,301		$	31,351		$	31,351
Payments received from FDIC		(4,770	)		(19,273	)		(19,089	)
Accretion, net		(3,351	)		(8,878	)		(7,914	)
Changes in clawback liability		(682	)		(2,008	)		(1,483	)
Increase in receivable due to:
Net charge-offs on covered loans		(4,118	)		416			1,180
Write downs of covered other real estate owned		203			4,752			2,349
Reimbursable expenses on covered assets		604			2,582			2,312
Other activity, net		(1,962	)		(2,641	)		(4,200	)
Ending balance	$	(7,775	)	$	6,301		$	4,506

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NOTE 6. OTHER REAL ESTATE OWNED

The following is a summary of the activity in other real estate owned during the nine months ended September 30, 2016, the year ended December 31, 2015 and the nine months ended September 30, 2015:

(Dollars in Thousands)	September 30, 2016			December 31, 2015			September 30, 2015
Beginning balance, January 1	$	16,147		$	33,160		$	33,160
Loans transferred to other real estate owned		2,101			11,261			9,838
Net gains (losses) on sale and write-downs		(1,276	)		(9,971	)		(9,583	)
Sales proceeds		(6,580	)		(18,303	)		(12,685	)
Ending balance	$	10,392		$	16,147		$	20,730

The following is a summary of the activity in purchased, non-covered other real estate owned during the nine months ended September 30, 2016, the year ended December 31, 2015 and the nine months ended September 30, 2015:

(Dollars in Thousands)	September 30, 2016			December 31, 2015			September 30, 2015
Beginning balance, January 1	$	14,333		$	15,585		$	15,585
Loans transferred to other real estate owned		3,871			4,473			2,565
Acquired in acquisitions		1,838			2,160			2,189
Transfer from covered other real estate owned due to loss-share expiration		466			3,148			75
Net gains (losses) on sale and write-downs		(68	)		201			326
Sales proceeds		(6,314	)		(11,234	)		(9,202	)
Ending balance	$	14,126		$	14,333		$	11,538

The following is a summary of the activity in covered other real estate owned during the nine months ended September 30, 2016, the year ended December 31, 2015 and the nine months ended September 30, 2015:

(Dollars in Thousands)	September 30, 2016			December 31, 2015			September 30, 2015
Beginning balance, January 1	$	5,011		$	19,907		$	19,907
Loans transferred to other real estate owned		2,391			7,910			6,909
Transfer from covered other real estate owned due to loss-share expiration		(466	)		(3,148	)		(75	)
Net gains (losses) on sale and write-downs		(500	)		(5,926	)		(2,936	)
Sales proceeds		(5,436	)		(13,732	)		(11,602	)
Ending balance	$	1,000		$	5,011		$	12,203

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NOTE 7 – SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE  

The Company classifies the sales of securities under agreements to repurchase as short-term borrowings. The amounts received under these agreements are reflected as a liability in the Company’s consolidated balance sheets and the securities underlying these agreements are included in investment securities in the Company’s consolidated balance sheets. At September 30, 2016, December 31, 2015 and September 30, 2015, all securities sold under agreements to repurchase mature on a daily basis. The market value of the securities fluctuate on a daily basis due to market conditions. The Company monitors the market value of the securities underlying these agreements on a daily basis and is required to transfer additional securities if the market value of the securities fall below the repurchase agreement price. The Company maintains an unpledged securities portfolio that it believes is sufficient to protect against a decline in the market value of the securities sold under agreements to repurchase.

The following is a summary of the Company’s securities sold under agreements to repurchase at September 30, 2016, December 31, 2015 and September 30, 2015:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Securities sold under agreements to repurchase	$	42,647	$	63,585	$	51,506

At September 30, 2016, December 31, 2015 and September 30, 2015, the investment securities underlying these agreements were all mortgage-backed securities.

NOTE 8 – OTHER BORROWINGS  

The Company has, from time to time, utilized certain borrowing arrangements with various financial institutions to fund growth in earning assets or provide additional liquidity when appropriate spreads can be realized. At September 30, 2016, December 31, 2015 and September 30, 2015, there were $373.5 million, $39.0 million and $39.0 million, respectively, in outstanding borrowings with the Company’s correspondent banks.

Other borrowings consist of the following:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Daily Rate Credit from Federal Home Loan Bank with a variable interest rate (0.56% at September 30, 2016)	$	227,500	$	-	$	-
Advance from Federal Home Loan Bank with a fixed interest rate of 0.40%, due October 14, 2016		100,000	$	-		-
Advance from Federal Home Loan Bank with a fixed interest rate of 1.40%, due January 9, 2017		4,008	$	-		-
Advance from Federal Home Loan Bank with a fixed interest rate of 1.23%, due May 30, 2017		5,009	$	-		-
Advances under revolving credit agreement with a regional bank with interest at 90-day LIBOR plus 3.50% (4.34% at September 30, 2016,  3.92% at December 31, 2015, and 3.78% at September 30, 2015) due in August 2017, secured by subsidiary bank stock		36,000		24,000		24,000
Advances under revolving credit agreement with a regional bank with a fixed interest rate of 8.00% due January 2017		860		-		-
Advance from correspondent bank with a fixed interest rate of 4.25%, due October 15, 2019, secured by a loan receivable		84		-		-
Subordinated debt issued by The Prosperity Banking Company due September 2016 with an interest rate of 90-day LIBOR plus 1.75%    (2.28% at December 31, 2015 and 2.09% at September 30, 2015)		-		15,000		15,000
Total	$	373,461	$	39,000	$	39,000

The advances from the Federal Home Loan Bank (“FHLB”) are collateralized by a blanket lien on all first mortgage loans and other specific loans in addition to FHLB stock. At September 30, 2016, $661.5 million was available for borrowing on lines with the FHLB.

As of September 30, 2016, the Company maintained credit arrangements with various financial institutions to purchase federal funds up to $67 million.

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At September 30, 2016, $4.0 million was available for borrowing under the revolving credit agreement with a regional bank, secured by subsidiary bank stock.

The Company also participates in the Federal Reserve discount window borrowings. At September 30, 2016, the Company had $861.5 million of loans pledged at the Federal Reserve discount window and had $574.7 million available for borrowing.

NOTE 9 – COMMITMENTS AND CONTINGENCIES

Loan Commitments

The Company is a party to financial instruments with off-balance-sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments include commitments to extend credit and standby letters of credit. They involve, to varying degrees, elements of credit risk and interest rate risk in excess of the amount recognized in the balance sheets.

The Company’s exposure to credit loss is represented by the contractual amount of those instruments. The Company uses the same credit policies in making commitments and conditional obligations as it does for on-balance-sheet instruments. A summary of the Company’s commitments is as follows:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Commitments to extend credit	$	924,374	$	548,898	$	500,631
Unused lines of credit	$	62,544	$	52,798	$	53,465
Financial standby letters of credit	$	14,002	$	14,712	$	11,929
Mortgage interest rate lock commitments	$	134,619	$	77,710	$	79,635

Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Since many of the commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. The amount of collateral obtained, if deemed necessary by the Company upon extension of credit, is based on management’s credit evaluation of the customer.

Standby letters of credit are conditional commitments issued by the Company to guarantee the performance of a customer to a third party. Those guarantees are primarily issued to support public and private borrowing arrangements. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loans to customers. Collateral is required in instances which the Company deems necessary.

Other Commitments

During the third quarter of 2016, the Bank began purchasing from an unrelated third party consumer installment home improvement loans made to borrowers throughout the United States. Under the purchase agreement, the Bank has committed to increasing outstanding balances of the home improvement loans by $12.5 million per month until the aggregate purchase commitment of $150.0 million has been reached. As of September 30, 2016, the carrying value of consumer installment home improvement loans purchased under the agreement totaled approximately $32.8 million.

As of September 30, 2016, a $75.0 million letter of credit issued by the Federal Home Loan Bank was used to guarantee the Bank’s performance related to public fund deposit balances.

Contingencies

Certain conditions may exist as of the date the financial statements are issued, which may result in a loss to the Company but which will only be resolved when one or more future events occur or fail to occur. The Company’s management and its legal counsel assess such contingent liabilities, and such assessment inherently involves an exercise of judgment. In assessing loss contingencies related to legal proceedings that are pending against the Company or unasserted claims that may result in such proceedings, the Company’s legal counsel evaluates the perceived merits of any legal proceedings or unasserted claims as well as the perceived merits of the amount of relief sought or expected to be sought therein.

If the assessment of a contingency indicates that it is probable that a material loss has been incurred and the amount of the liability can be estimated, then the estimated liability would be accrued in the Company’s financial statements. If the assessment indicates that a potentially material loss contingency is not probable, but is reasonably possible, or is probable but cannot be estimated, then the nature of the contingent liability, together with an estimate of the range of possible loss if determinable and material, would be disclosed.

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Loss contingencies considered remote are generally not disclosed unless they involve guarantees, in which case the nature of the guarantee would be disclosed.

A former borrower of the Company has filed a claim related to a loan previously made by the Company asserting lender liability.  The case was tried without a jury and an order was issued by the court against the Company awarding the borrower approximately $2.9 million on August 8, 2013.  The order is currently on appeal to the South Carolina Court of Appeals and the Company is asserting it had no fiduciary responsibility to the borrower.  As of September 30, 2016, the Company believes that it has valid bases in law and fact to overturn on appeal the verdict. As a result, the Company believes that the likelihood that the amount of the judgment will be affirmed is not probable, and, accordingly, that the amount of any loss cannot be reasonably estimated at this time. Because the Company believes that this potential loss is not probable or estimable, it has not recorded any reserves or contingencies related to this legal matter. In the event that the Company's assumptions used to evaluate this matter as neither probable nor estimable change in future periods, it may be required to record a liability for an adverse outcome.

NOTE 10 – ACCUMULATED OTHER COMPREHENSIVE INCOME

Accumulated other comprehensive income for the Company consists of changes in net unrealized gains and losses on investment securities available for sale and interest rate swap derivatives. The following tables present a summary of the accumulated other comprehensive income balances, net of tax, as of September 30, 2016 and 2015:

(Dollars in Thousands)	Unrealized Gain (Loss) on Derivatives			Unrealized  Gain (Loss) on Securities			Accumulated Other Comprehensive Income (Loss)
Balance, January 1, 2016	$	152		$	3,201		$	3,353
Reclassification for gains included in net income, net of tax		-			(61	)		(61	)
Current year changes, net of tax		(567	)		7,724			7,157
Balance, September 30, 2016	$	(415	)	$	10,864		$	10,449

(Dollars in Thousands)	Unrealized  Gain (Loss) on Derivatives			Unrealized  Gain (Loss) on Securities			Accumulated Other  Comprehensive Income (Loss)
Balance, January 1, 2015	$	508		$	5,590		$	6,098
Reclassification for gains included in net income, net of tax		-			(89	)		(89	)
Current year changes, net of tax		(669	)		(1,143	)		(1,812	)
Balance, September 30, 2015	$	(161	)	$	4,358		$	4,197

NOTE 11 – WEIGHTED AVERAGE SHARES OUTSTANDING

Earnings per share have been computed based on the following weighted average number of common shares outstanding:

	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
	2016		2015		2016		2015
	(Share Data in Thousands)				(Share Data in Thousands)
Basic shares outstanding		34,870		32,195		34,156		31,614
Plus: Dilutive effect of ISOs		108		126		100		118
Plus: Dilutive effect of restricted share grants		217		232		214		230
Diluted shares outstanding		35,195		32,553		34,470		31,962

For the three- and nine-month periods ended September 30, 2016 and 2015, there were no potential common shares with strike prices that would cause them to be anti-dilutive.

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NOTE 12 – FAIR VALUE MEASURES

The fair value of an asset or liability is the current amount that would be exchanged between willing parties, other than in a forced liquidation. Fair value is best determined based upon quoted market prices. However, in many instances, there are no quoted market prices for the Company’s various assets and liabilities. In cases where quoted market prices are not available, fair value is based on discounted cash flows or other valuation techniques. These techniques are significantly affected by the assumptions used, including the discount rate and estimates of future cash flows. Accordingly, the fair value estimates may not be realized in an immediate settlement of the asset or liability. The accounting standard for disclosures about fair value measures excludes certain financial instruments and all nonfinancial instruments from its disclosure requirements. Accordingly, the aggregate fair value amounts presented may not necessarily represent the underlying fair value of the Company.

The Company has elected to record mortgage loans held-for-sale at fair value in order to eliminate the complexities and inherent difficulties of achieving hedge accounting and to better align reported results with the underlying economic changes in value of the loans and related hedge instruments. This election impacts the timing and recognition of origination fees and costs, as well as servicing value, which are now recognized in earnings at the time of origination. Interest income on mortgage loans held-for-sale is recorded on an accrual basis in the consolidated statement of earnings and comprehensive income under the heading “Interest income – interest and fees on loans”. The servicing value is included in the fair value of the interest rate lock commitments (“IRLCs”) with borrowers. The mark to market adjustments related to loans held-for-sale and the associated economic hedges are captured in mortgage banking activities. Net gains of $4.9 million and $3.3 million resulting from fair value changes of these mortgage loans were recorded in income during the nine months ended September 30, 2016 and 2015, respectively. The amount does not reflect changes in fair values of related derivative instruments used to hedge exposure to market-related risks associated with these mortgage loans. The change in fair value of both mortgage loans held for sale and the related derivative instruments are recorded in “Mortgage banking activity” in the Consolidated Statements of Earnings and Comprehensive Income. The Company’s valuation of mortgage loans held for sale incorporates an assumption for credit risk; however, given the short-term period that the Company holds these loans, valuation adjustments attributable to instrument-specific credit risk is nominal.

The following table summarizes the difference between the fair value and the principal balance for mortgage loans held for sale measured at fair value as of September 30, 2016, December 31, 2015 and September 30, 2015:

	September 30, 2016		December 31, 2015		September 30, 2015
	(Dollars in Thousands)
Aggregate fair value of mortgage loans held for sale	$	126,263	$	111,182	$	111,807
Aggregate unpaid principal balance	$	121,308	$	107,652	$	108,179
Past-due loans of 90 days or more	$	-	$	-	$	-
Nonaccrual loans	$	-	$	-	$	-

The Company utilizes fair value measurements to record fair value adjustments to certain assets and liabilities and to determine fair value disclosures. Securities available for sale, mortgage loans held for sale and derivatives are recorded at fair value on a recurring basis. From time to time, the Company may be required to record at fair value other assets on a nonrecurring basis, such as impaired loans and OREO. Additionally, the Company is required to disclose, but not record, the fair value of other financial instruments.

Fair Value Hierarchy

The Company groups assets and liabilities at fair value in three levels, based on the markets in which the assets and liabilities are traded and the reliability of the assumptions used to determine fair value. These levels are:

Level 1 - Quoted prices in active markets for identical assets or liabilities.

Level 2 - Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.

Level 3 - Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

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The following methods and assumptions were used by the Company in estimating the fair value of assets and liabilities recorded at fair value and for estimating the fair value of its financial instruments:

Cash and Due From Banks, Federal Funds Sold and Interest-Bearing Accounts: The carrying amount of cash and due from banks, federal funds sold and interest-bearing accounts approximates fair value.

Investment Securities Available for Sale: The fair value of securities available for sale is determined by various valuation methodologies. Where quoted market prices are available in an active market, securities are classified within Level 1 of the valuation hierarchy. If quoted market prices are not available, then fair values are estimated by using pricing models, quoted prices of securities with similar characteristics, or discounted cash flows. Level 2 securities include mortgage-backed securities issued by government-sponsored enterprises and municipal bonds. The Level 2 fair value pricing is provided by an independent third-party and is based upon similar securities in an active market. In certain cases where Level 1 or Level 2 inputs are not available, securities are classified within Level 3 of the hierarchy and include certain residual municipal securities and other less liquid securities.

Other Investments: FHLB stock is included in other investments at its original cost basis. It is not practical to determine the fair value of FHLB stock due to restrictions placed on its transferability.

Mortgage Loans Held for Sale: The Company records mortgage loans held for sale at fair value. The fair value of mortgage loans held for sale is determined on outstanding commitments from third party investors in the secondary markets and is classified within Level 2 of the valuation hierarchy.

Loans: The carrying amount of variable-rate loans that reprice frequently and have no significant change in credit risk approximates fair value. The fair value of fixed-rate loans is estimated based on discounted contractual cash flows, using interest rates currently being offered for loans with similar terms to borrowers with similar credit quality. The fair value of impaired loans is estimated based on discounted contractual cash flows or underlying collateral values, where applicable. A loan is determined to be impaired if the Company believes it is probable that all principal and interest amounts due according to the terms of the note will not be collected as scheduled. The fair value of impaired loans is determined in accordance with ASC 310-10, Accounting by Creditors for Impairment of a Loan, and generally results in a specific reserve established through a charge to the provision for loan losses. Losses on impaired loans are charged to the allowance when management believes the uncollectability of a loan is confirmed. Management has determined that the majority of impaired loans are Level 3 assets due to the extensive use of market appraisals.

Other Real Estate Owned: The fair value of other real estate owned (“OREO”) is determined using certified appraisals, internal evaluations and broker price opinions that value the property at its highest and best uses by applying traditional valuation methods common to the industry. The Company does not hold any OREO for profit purposes and all other real estate is actively marketed for sale. In most cases, management has determined that additional write-downs are required beyond what is calculable from the appraisal to carry the property at levels that would attract buyers. Because this additional write-down is not based on observable inputs, management has determined that other real estate owned should be classified as Level 3.

Covered Other Real Estate Owned: Covered other real estate owned includes other real estate owned on which the majority of losses would be covered by loss-sharing agreements with the FDIC. Management initially valued these assets at fair value using mostly unobservable inputs and, as such, has classified these assets as Level 3.

Intangible Assets: Intangible assets consist of core deposit premiums acquired in connection with business combinations and are based on the established value of acquired customer deposits. The core deposit premium is initially recognized based on a valuation performed as of the consummation date and is amortized over an estimated useful life of three to ten years.

FDIC Loss-Share Receivable/Payable: Because the FDIC will reimburse the Company for certain acquired loans should the Company experience a loss, an indemnification asset is recorded at fair value at the acquisition date. The indemnification asset is recognized at the same time as the indemnified loans, and measured on the same basis, subject to collectability or contractual limitations. The shared loss agreements on the acquisition date reflect the reimbursements expected to be received from the FDIC, using an appropriate discount rate, which reflects counterparty credit risk and other uncertainties. The shared loss agreements continue to be measured on the same basis as the related indemnified loans, and the loss-share receivable is impacted by changes in estimated cash flows associated with these loans.

Accrued Interest Receivable/Payable: The carrying amount of accrued interest receivable and accrued interest payable approximates fair value.

Cash Value of Bank Owned Life Insurance: The carrying value of cash value of bank owned life insurance approximates fair value.

Deposits: The carrying amount of demand deposits, savings deposits and variable-rate certificates of deposit approximates fair value. The fair value of fixed-rate certificates of deposit is estimated based on discounted contractual cash flows using interest rates currently offered for certificates with similar maturities.

51

Securities Sold under Agreements to Repurchase and Other Borrowings: The carrying amount of variable rate borrowings and securities sold under repurchase agreements approximates fair value and are classified as Level 1. The fair value of fixed rate other borrowings is estimated based on discounted contractual cash flows using the current incremental borrowing rates for similar borrowing arrangements and are classified as Level 2.

Subordinated Deferrable Interest Debentures: The fair value of the Company’s variable rate trust preferred securities is based primarily upon discounted cash flows using rates for securities with similar terms and remaining maturities and are classified as Level 2.

Off-Balance-Sheet Instruments: Because commitments to extend credit and standby letters of credit are typically made using variable rates and have short maturities, the carrying value and fair value are immaterial for disclosure.

Derivatives: The Company has entered into derivative financial instruments to manage interest rate risk. The valuation of these instruments is determined using widely accepted valuation techniques including discounted cash flow analysis on the expected cash flows of the derivatives. This analysis reflects the contractual terms of the derivative, including the period to maturity, and uses observable market-based inputs, including interest rate curves and implied volatilities. The fair value of the derivatives is determined using the market standard methodology of netting the discounted future fixed cash receipts and the discounted expected variable cash payments. The variable cash payments are based on an expectation of future interest rates (forward curves derived from observable market interest rate curves).

The Company incorporates credit valuation adjustments to appropriately reflect both its own nonperformance risk and the respective counterparty’s nonperformance risk in the fair value measurements. In adjusting the fair value of its derivative contracts for the effect of nonperformance risk, the Company has considered the impact of netting any applicable credit enhancements such as collateral postings, thresholds, mutual puts and guarantees.

Although the Company has determined that the majority of the inputs used to value its derivatives fall within Level 2 of the fair value hierarchy, the credit valuation adjustments associated with its derivatives utilize Level 3 inputs, such as estimates of current credit spreads to evaluate the likelihood of default by itself or the counterparty. However, as of September 30, 2016, December 31, 2015 and September 30, 2015, the Company has assessed the significance of the impact of the credit valuation adjustments on the overall valuation of its derivative positions and has determined that the credit valuation adjustment is not significant to the overall valuation of its derivatives. As a result, the Company has determined that its derivative valuation in its entirety is classified in Level 2 of the fair value hierarchy.

52

The following table presents the fair value measurements of assets and liabilities measured at fair value on a recurring basis and the level within the fair value hierarchy in which the fair value measurements fall as of September 30, 2016, December 31, 2015 and September 30, 2015 (dollars in thousands):

	Fair Value Measurements on a Recurring Basis As of September 30, 2016
	Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
U.S. government agencies	$	1,028	$	-	$	1,028	$	-
State, county and municipal securities		155,994		-		155,994		-
Corporate debt securities		29,098		-		27,598		1,500
Mortgage-backed securities		652,004		-		652,004		-
Mortgage loans held for sale		126,263		-		126,263		-
Mortgage banking derivative instruments		5,083		-		5,083		-
Total recurring assets at fair value	$	969,470	$	-	$	967,970	$	1,500
Derivative financial instruments	$	2,964		-	$	2,964		-
Mortgage banking derivative instruments	$	840		-		840		-
Total recurring liabilities at fair value	$	3,804	$	-	$	3,804	$	-

	Fair Value Measurements on a Recurring Basis As of December 31, 2015
	Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
U.S. government agencies	$	14,890	$	-	$	14,890	$	-
State, county and municipal securities		161,316		-		161,316		-
Corporate debt securities		6,017		-		3,019		2,998
Mortgage-backed securities		600,962		-		600,962		-
Mortgage loans held for sale		111,182		-		111,182		-
Mortgage banking derivative instruments		2,687		-		2,687		-
Total recurring assets at fair value	$	897,054	$	-	$	894,056	$	2,998
Derivative financial instruments	$	1,439	$	-	$	1,439	$	-
Mortgage banking derivative instruments		137		-		137		-
Total recurring liabilities at fair value	$	1,576	$	-	$	1,576	$	-

	Fair Value Measurements on a Recurring Basis As of September 30, 2015
	Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
U.S. government agencies	$	14,968	$	-	$	14,968	$	-
State, county and municipal securities		164,865		-		164,865		-
Corporate debt securities		6,032		-		3,532		2,500
Mortgage-backed securities		625,520		-		625,520		-
Mortgage loans held for sale		111,807		-		111,807		-
Mortgage banking derivative instruments		3,025		-		3,025		-
Total recurring assets at fair value	$	926,217	$	-	$	923,717	$	2,500
Derivative financial instruments	$	2,028	$	-	$	2,028	$	-
Total recurring liabilities at fair value	$	2,028	$	-	$	2,028	$	-

53

The following table presents the fair value measurements of assets measured at fair value on a non-recurring basis, as well as the general classification of such instruments pursuant to the valuation hierarchy as of September 30, 2016, December 31, 2015 and September 30, 2015 (dollars in thousands):

	Fair Value Measurements on a Nonrecurring Basis As of September 30, 2016
	Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Impaired loans carried at fair value	$	26,210	$	-	$	-	$	26,210
Other real estate owned		425		-		-		425
Purchased, non-covered other real estate owned		14,126		-		-		14,126
Covered other real estate owned		1,000		-		-		1,000
Total nonrecurring assets at fair value	$	41,761	$	-	$	-	$	41,761

	Fair Value Measurements on a Nonrecurring Basis As of December 31, 2015
	Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Impaired loans carried at fair value	$	27,069	$	-	$	-	$	27,069
Other real estate owned		10,456		-		-		10,456
Purchased, non-covered other real estate owned		14,333		-		-		14,333
Covered other real estate owned		5,011		-		-		5,011
Total nonrecurring assets at fair value	$	56,869	$	-	$	-	$	56,869

	Fair Value Measurements on a Nonrecurring Basis As of September 30, 2015
	Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Impaired loans carried at fair value	$	27,859	$	-	$	-	$	27,859
Other real estate owned		5,737		-		-		5,737
Purchased, non-covered other real estate owned		11,538		-		-		11,538
Covered other real estate owned		12,203		-		-		12,203
Total nonrecurring assets at fair value	$	57,337	$	-	$	-	$	57,337

54

The inputs used to determine estimated fair value of impaired loans and covered loans include market conditions, loan terms, underlying collateral characteristics and discount rates. The inputs used to determine fair value of other real estate owned and covered other real estate owned include market conditions, estimated marketing period or holding period, underlying collateral characteristics and discount rates.

For the nine months ended September 30, 2016, the year ended December 31, 2015 and the nine months ended September 30, 2015, there was not a change in the methods and significant assumptions used to estimate fair value.

The following table shows significant unobservable inputs used in the fair value measurement of Level 3 assets and liabilities (dollars in thousands):

	Fair Value		Valuation Technique	Unobservable Inputs	Range of Discounts			Weighted Average Discount
As of September 30, 2016
Nonrecurring:
Impaired loans	$	26,210	Third-party appraisals and discounted cash flows	Collateral discounts and discount rates		15% - 100	%		27	%
Other real estate owned	$	425	Third-party appraisals, sales contracts, broker price opinions	Collateral discounts and estimated costs to sell		10% - 90	%		12	%
Purchased non-covered other real estate owned	$	14,126	Third-party appraisals	Collateral discounts and estimated costs to sell		10% - 75	%		15	%
Covered other real estate owned	$	1,000	Third-party appraisals	Collateral discounts and estimated costs to sell		15% - 56	%		16	%
Recurring:
Investment securities available for sale	$	1,500	Discounted par values	Credit quality of underlying issuer		0	%		0	%
As of December 31, 2015
Nonrecurring:
Impaired loans	$	27,069	Third-party appraisals and discounted cash flows	Collateral discounts and discount rates		0% - 100	%		29	%
Other real estate owned	$	10,456	Third-party appraisals, sales contracts, broker price opinions	Collateral discounts and estimated costs to sell		10% - 90	%		13	%
Purchased non-covered other real estate owned	$	14,333	Third-party appraisals	Collateral discounts and estimated costs to sell		10% - 69	%		19	%
Covered other real estate owned	$	5,011	Third-party appraisals	Collateral discounts and estimated costs to sell		0% - 74	%		12	%
Recurring:
Investment securities available for sale	$	2,998	Discounted par values	Credit quality of underlying issuer		0	%		0	%
As of September 30, 2015
Nonrecurring:
Impaired loans	$	27,859	Third-party  appraisals and discounted cash flows	Collateral discounts and discount rates		0% - 50	%		25	%
Other real estate owned	$	5,737	Third-party appraisals, sales contracts, broker price opinions	Collateral discounts and estimated costs to sell		0% - 43	%		14	%
Purchased non-covered other real estate owned	$	11,538	Third-party appraisals	Collateral discounts and estimated costs to sell		0% -75	%		20	%
Covered other real estate owned	$	12,203	Third-party appraisals	Collateral discounts and estimated costs to sell		0% - 73	%		12	%
Recurring:
Investment securities available for sale	$	2,500	Discounted par values	Credit quality of underlying issuer		0	%		0	%

55

The carrying amount and estimated fair value of the Company’s financial instruments, not shown elsewhere in these financial statements, were as follows:

			Fair Value Measurements at September 30, 2016 Using:
	Carrying Amount		Level 1		Level 2		Level 3		Total
	(Dollars in Thousands)
Financial assets:
Cash and due from banks	$	123,270	$	123,270	$	-	$	-	$	123,270
Federal funds sold and interest-bearing accounts		90,801		90,801		-		-		90,801
Loans, net		4,922,395		-		-		4,918,360		4,918,360
Accrued interest receivable		21,775		21,775		-		-		21,775
Financial liabilities:
Deposits	$	5,306,098	$	-	$	5,305,463	$	-	$	5,305,463
Securities sold under agreements to repurchase		42,647		42,647		-		-		42,647
FDIC loss-share payable		7,775		-		-		10,141		10,141
Other borrowings		373,461		-		373,461		-		373,461
Accrued interest payable		1,282		1,282		-		-		1,282
Subordinated deferrable interest debentures		83,898		-		66,252		-		66,252

			Fair Value Measurements at December 31, 2015 Using:
	Carrying Amount		Level 1		Level 2		Level 3			Total
	(Dollars in Thousands)
Financial assets:
Cash and due from banks	$	118,518	$	118,518	$	-	$	-		$	118,518
Federal funds sold and interest-bearing accounts		272,045		272,045		-		-			272,045
Loans, net		3,971,974		-		-		3,982,606			3,982,606
FDIC loss-share receivable		6,301		-		-		(944	)		(944	)
Accrued interest receivable		21,274		21,274		-		-			21,274
Financial liabilities:
Deposits	$	4,879,290	$	-	$	4,880,294	$	-		$	4,880,294
Securities sold under agreements to repurchase		63,585		63,585		-		-			63,585
Other borrowings		39,000		-		39,000		-			39,000
Accrued interest payable		1,054		1,054		-		-			1,054
Subordinated deferrable interest debentures		69,874		-		52,785		-			52,785

56

			Fair Value Measurements at September 30, 2015 Using:
	Carrying Amount		Level 1		Level 2		Level 3			Total
	(Dollars in Thousands)
Financial assets:
Cash and due from banks	$	114,396	$	114,396	$	-	$	-		$	114,396
Federal funds sold and interest-bearing accounts		120,925		120,925		-		-			120,925
Loans, net		3,720,713		-		-		3,711,522			3,711,522
FDIC loss-share receivable		4,506		-		-		(4,042	)		(4,042	)
Accrued interest receivable		20,062		20,062		-		-			20,062
Financial liabilities:
Deposits	$	4,530,523	$	-	$	4,531,851	$	-		$	4,531,851
Securities sold under agreements to repurchase		51,506		51,506		-		-			51,506
Other borrowings		39,000		-		39,000		-			39,000
Accrued interest payable		1,149		1,149		-		-			1,149
Subordinated deferrable interest debentures		69,600		-		51,617		-			51,617

57

NOTE 13 – SEGMENT REPORTING

The following tables present selected financial information with respect to the Company’s reportable business segments for the three months ended September 30, 2016 and 2015:

	Three Months Ended September 30, 2016
	Banking  Division		Retail Mortgage Division		Warehouse Lending Division		SBA  Division		Total
	(Dollars in Thousands)
Interest income	$	55,369	$	3,679	$	2,073	$	1,089	$	62,210
Interest expense		4,995		-		-		148		5,143
Net interest income		50,374		3,679		2,073		941		57,067
Provision for loan losses		57		447		94		213		811
Noninterest income		13,949		13,198		555		1,162		28,864
Noninterest expense
Salaries and employee benefits		18,323		8,940		103		616		27,982
Equipment and occupancy expenses		5,490		433		1		65		5,989
Data processing and telecommunications expenses		5,794		364		26		1		6,185
Other expenses		11,533		1,303		26		181		13,043
Total noninterest expense		41,140		11,040		156		863		53,199
Income before income tax expense		23,126		5,390		2,378		1,027		31,921
Income tax expense		7,286		1,887		832		359		10,364
Net income	$	15,840	$	3,503	$	1,546	$	668	$	21,557
Total assets	$	5,841,207	$	356,755	$	203,334	$	92,199	$	6,493,495
Other intangible assets, net ,	$	18,472	$	-	$	-	$	-	$	18,472
Goodwill	$	122,545	$	-	$	-	$	-	$	122,545

	Three Months Ended September 30, 2015
	Banking  Division		Retail Mortgage Division		Warehouse Lending Division		SBA  Division		Total
	(Dollars in Thousands)
Interest income	$	46,734	$	2,485	$	1,128	$	848	$	51,195
Interest expense		3,690		-		-		106		3,796
Net interest income	$	43,044	$	2,485	$	1,128	$	742	$	47,399
Provision for loan losses		960		26		-		-		986
Noninterest income		13,470		9,827		372		1,309		24,978
Noninterest expense
Salaries and employee benefits		17,921		6,138		137		738		24,934
Equipment and occupancy expenses		5,444		397		1		73		5,915
Data processing and telecommunications expenses		4,998		308		22		1		5,329
Other expenses		11,379		662		40		137		12,218
Total noninterest expense		39,742		7,505		200		949		48,396
Income before income tax expense		15,812		4,781		1,300		1,102		22,995
Income tax expense		4,854		1,673		455		386		7,368
Net income	$	10,958	$	3,108	$	845	$	716	$	15,627
Total assets	$	4,805,387	$	216,640	$	92,398	$	101,875	$	5,216,300
Other intangible assets, net	$	18,218	$	-	$	-	$	-	$	18,218
Goodwill	$	87,701	$	-	$	-	$	-	$	87,701

58

The following tables present selected financial information with respect to the Company’s reportable business segments for the nine months ended September 30, 2016 and 2015:

	Nine Months Ended September 30, 2016
	Banking  Division		Retail Mortgage Division		Warehouse Lending Division		SBA  Division		Total
	(Dollars in Thousands)
Interest income	$	158,682	$	9,992	$	4,714	$	2,721	$	176,109
Interest expense		13,567		-		-		450		14,017
Net interest income		145,115		9,992		4,714		2,271		162,092
Provision for loan losses		1,471		540		94		276		2,381
Noninterest income		39,702		36,126		1,328		4,373		81,529
Noninterest expense
Salaries and employee benefits		55,740		23,591		399		1,970		81,700
Equipment and occupancy expenses		16,541		1,326		3		190		18,060
Data processing and telecommunications expenses		17,299		974		71		3		18,347
Other expenses		39,040		3,392		77		542		43,051
Total noninterest expense		128,620		29,283		550		2,705		161,158
Income before income tax expense		54,726		16,295		5,398		3,663		80,082
Income tax expense		17,285		5,703		1,889		1,282		26,159
Net income	$	37,441	$	10,592	$	3,509	$	2,381	$	53,923

	Nine Months Ended September 30, 2015
	Banking Division		Retail Mortgage Division		Warehouse Lending Division		SBA Division		Total
	(Dollars in Thousands)
Interest income	$	126,283	$	6,009	$	3,142	$	2,358	$	137,792
Interest expense		10,594		-		-		279		10,873
Net interest income	$	115,689	$	6,009	$	3,142	$	2,079	$	126,919
Provision for loan losses		4,343		368		-		-		4,711
Noninterest income		31,512		26,532		1,028		4,107		63,179
Noninterest expense
Salaries and employee benefits		48,958		16,257		363		2,453		68,031
Equipment and occupancy expenses		13,964		1,173		4		137		15,278
Data processing and telecommunications expenses		12,922		799		75		7		13,803
Other expenses		45,783		2,744		95		353		48,975
Total noninterest expense		121,627		20,973		537		2,950		146,087
Income before income tax expense		21,231		11,200		3,633		3,236		39,300
Income tax expense		6,277		3,920		1,272		1,133		12,601
Net income		14,954		7,280		2,361		2,103		26,699

59

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations.

Cautionary Note Regarding Any Forward-Looking Statements

Certain of the statements made in this report are “forward-looking statements” within the meaning of, and subject to the protections of, Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). Forward-looking statements include statements with respect to our beliefs, plans, objectives, goals, expectations, anticipations, assumptions, estimates, intentions and future performance and involve known and unknown risks, uncertainties and other factors, many of which may be beyond our control and which may cause the actual results, performance or achievements of the Company to be materially different from future results, performance or achievements expressed or implied by such forward-looking statements.

All statements other than statements of historical fact are statements that could be forward-looking statements. You can identify these forward-looking statements through our use of words such as “may,” “will,” “anticipate,” “assume,” “should,” “indicate,” “would,” “believe,” “contemplate,” “expect,” “estimate,” “continue,” “plan,” “point to,” “project,” “predict,” “could,” “intend,” “target,” “potential” and other similar words and expressions of the future. These forward-looking statements may not be realized due to a variety of factors, including, without limitation, legislative and regulatory initiatives; additional competition in our markets; potential business strategies, including acquisitions or dispositions of assets or internal restructuring, that may be pursued by us; state and federal banking regulations; changes in or application of environmental and other laws and regulations to which we are subject; political, legal and economic conditions and developments; financial market conditions and the results of financing efforts; changes in commodity prices and interest rates; weather, natural disasters and other catastrophic events; and other factors discussed in our filings with the Securities and Exchange Commission under the Exchange Act.

All written or oral forward-looking statements that are made by or are attributable to us are expressly qualified in their entirety by this cautionary notice. Our forward-looking statements apply only as of the date of this report or the respective date of the document from which they are incorporated herein by reference. We have no obligation and do not undertake to update, revise or correct any of the forward-looking statements after the date of this report, or after the respective dates on which such statements otherwise are made, whether as a result of new information, future events or otherwise.

Overview

The following is management’s discussion and analysis of certain significant factors which have affected the financial condition and results of operations of the Company as reflected in the unaudited consolidated balance sheet as of September 30, 2016, as compared with December 31, 2015, and operating results for the three- and nine-month periods ended September 30, 2016 and 2015. These comments should be read in conjunction with the Company’s unaudited consolidated financial statements and accompanying notes appearing elsewhere herein.

60

The following table sets forth unaudited selected financial data for the previous five quarters. This data should be read in conjunction with the consolidated financial statements and the notes thereto and the information contained in this Item 2.

(in thousands, except share data, taxable equivalent)																For Nine Months Ended
	Third Quarter 2016			Second Quarter 2016			First Quarter 2016			Fourth Quarter 2015			Third Quarter 2015			September 30,  2016			September 30,  2015
Results of Operations:
Net interest income	$	57,067		$	54,589		$	50,436		$	48,618		$	47,399		$	162,092		$	126,919
Net interest income (tax equivalent)		58,024			55,525			51,177			49,403			48,120			164,726			128,710
Provision for loan losses		811			889			681			553			986			2,381			4,711
Non-interest income		28,864			28,379			24,286			22,407			24,978			81,529			63,179
Non-interest expense		53,199			52,359			55,600			53,028			48,396			161,158			146,087
Income tax expense		10,364			9,671			6,124			3,296			7,368			26,159			12,601
Net income available to common shareholders		21,557			20,049			12,317			14,148			15,627			53,923			26,699
Selected Average Balances:
Mortgage loans held for sale	$	105,859		$	96,998		$	82,803		$	98,765		$	102,961		$	96,340		$	86,387
Loans, net of unearned income		2,897,771			2,653,171			2,410,747			2,333,577			2,224,490			2,642,498			2,097,996
Purchased non-covered loans		1,086,039			1,111,814			836,187			752,508			788,351			1,022,680			702,117
Purchased loan pools		629,666			630,503			627,178			454,884			323,258			629,118			116,363
Covered loans		113,136			127,595			134,383			180,493			195,175			125,141			215,631
Investment securities		857,433			850,435			806,699			809,641			854,123			840,688			701,437
Earning assets		5,780,455			5,574,608			5,106,011			4,926,671			4,692,915			5,490,525			4,113,541
Assets		6,330,350			6,138,757			5,618,397			5,427,367			5,213,275			6,030,181			4,594,255
Deposits		5,221,219			5,211,355			4,874,310			4,724,531			4,539,715			5,102,729			3,925,479
Common shareholders’ equity		640,382			616,361			542,264			513,098			494,957			599,817			485,213
Period-End Balances:
Mortgage loans held for sale	$	126,263		$	102,757		$	97,439		$	111,182		$	111,807		$	126,263		$	111,807
Loans, net of unearned income		3,091,039			2,819,071			2,528,007			2,406,877			2,290,649			3,091,039			2,290,649
Purchased non-covered loans		1,067,090			1,072,217			1,129,919			771,554			767,494			1,067,090			767,494
Purchased loan pools		624,886			610,425			656,734			592,963			410,072			624,886			410,072
Covered loans		62,291			121,418			130,279			137,529			191,021			62,291			191,021
Earning assets		5,925,072			5,656,932			5,499,656			5,084,658			4,712,675			5,925,072			4,712,675
Total assets		6,493,495			6,221,294			6,097,771			5,588,940			5,216,300			6,493,495			5,216,300
Deposits		5,306,098			5,179,532			5,230,787			4,879,290			4,530,523			5,306,098			4,530,523
Common shareholders’ equity		642,583			625,915			600,828			514,759			502,300			642,583			502,300
Per Common Share Data:
Earnings per share - basic	$	0.62		$	0.58		$	0.38		$	0.44		$	0.49		$	1.58		$	0.84
Earnings per share - diluted		0.61			0.57			0.37			0.43			0.48			1.56			0.84
Common book value per share		18.42			17.96			17.25			15.98			15.60			18.42			15.60
Tangible book value per share		14.38			13.89			13.13			12.65			12.31			14.38			12.31
End of period shares outstanding		34,891,304			34,847,311			34,837,454			32,211,385			32,196,117			34,891,304			32,196,117
Weighted average shares outstanding
Basic		34,869,747			34,832,621			32,752,063			32,199,632			32,195,435			34,155,556			31,614,015
Diluted		35,194,739			35,153,311			33,053,554			32,594,929			32,553,167			34,470,101			31,961,969
Market Price:
High closing price	$	35.80		$	32.39		$	32.68		$	34.90		$	28.75		$	35.80			28.75
Low closing price		29.09			27.89			25.09			27.65			24.97			25.09			22.75
Closing price for quarter		34.95			29.70			29.58			33.99			28.75			34.95			28.75
Average daily trading volume		166,841			215,409			253,779			301,775			174,900			211,351			129,678
Cash dividends declared per share		0.10			0.05			0.05			0.05			0.05			0.20			0.15
Closing price to book value		1.90			1.65			1.71			2.13			1.84			1.90			1.84
Performance Ratios:
Return on average assets		1.35	%		1.31	%		0.88	%		1.03	%		1.19	%		1.19	%		0.74	%
Return on average common equity		13.39	%		13.08	%		9.14	%		10.94	%		12.53	%		12.01	%		7.21	%
Average loans to average deposits		92.55	%		88.65	%		83.94	%		80.86	%		80.05	%		88.50	%		81.99	%
Average equity to average assets		10.12	%		10.04	%		9.65	%		9.45	%		9.49	%		9.95	%		10.56	%
Net interest margin (tax equivalent)		3.99	%		4.01	%		4.03	%		3.98	%		4.07	%		4.01	%		4.18	%
Efficiency ratio (tax equivalent)		61.91	%		63.11	%		74.41	%		74.66	%		66.87	%		66.15	%		76.85	%

61

Results of Operations for the Three Months Ended September 30, 2016 and 2015

Consolidated Earnings and Profitability

Ameris reported net income available to common shareholders of $21.6 million, or $0.61 per diluted share, for the quarter ended September 30, 2016, compared with $15.6 million, or $0.48 per diluted share, for the same period in 2015. The Company’s return on average assets and average shareholders’ equity were 1.35% and 13.39%, respectively, in the third quarter of 2016, compared with 1.19% and 12.53%, respectively, in the third quarter of 2015. During the third quarter of 2015, the Company recorded $0.3 million of after-tax merger and conversion charges. Excluding these merger and conversion charges, the Company’s net income would have been $15.9 million, or $0.49 per diluted share, for the third quarter of 2015. Below is a reconciliation of operating net income to net income, as discussed above.

	For the Three Months Ended September 30,					For the Nine Months Ended September 30,
	2016		2015			2016			2015
	(Dollars in Thousands)
Net income available to common shareholders	$	21,557	$	15,627		$	53,923		$	26,699
Merger and conversion charges		-		446			6,359			6,173
Non-recurring credit resolution related expenses		-		-			-			11,241
Tax effect of non-recurring charges		-		(156	)		(2,226	)		(6,095	)
Plus: After tax adjustments		-		290			4,133			11,319
Operating net income	$	21,557	$	15,917		$	58,056		$	38,018

62

The Company’s retail banking activities have had a significant impact on the overall financial results of the Company. Below is additional information regarding the retail banking activities, mortgage banking activities, warehouse lending activities and SBA activities of the Company during the third quarter of 2016 and 2015, respectively:

	Three Months Ended  September 30, 2016
	Banking  Division		Retail Mortgage Division		Warehouse Lending Division		SBA Division		Total
	(Dollars in Thousands)
Interest income	$	55,369	$	3,679	$	2,073	$	1,089	$	62,210
Interest expense		4,995		-		-		148		5,143
Net interest income		50,374		3,679		2,073		941		57,067
Provision for loan losses		57		447		94		213		811
Noninterest income		13,949		13,198		555		1,162		28,864
Noninterest expense
Salaries and employee benefits		18,323		8,940		103		616		27,982
Equipment and occupancy expenses		5,490		433		1		65		5,989
Data processing and telecommunications expenses		5,794		364		26		1		6,185
Other expenses		11,533		1,303		26		181		13,043
Total noninterest expense		41,140		11,040		156		863		53,199
Income before income tax expense		23,126		5,390		2,378		1,027		31,921
Income tax expense		7,286		1,887		832		359		10,364
Net income Net income	$	15,840	$	3,503	$	1,546	$	668	$	21,557

	Three Months Ended September 30, 2015
	Banking Division		Retail Mortgage Division		Warehouse Lending  Division		SBA  Division		Total
	(Dollars in Thousands)
Interest income	$	46,734	$	2,485	$	1,128	$	848	$	51,195
Interest expense		3,690		-		-		106		3,796
Net interest income	$	43,044	$	2,485	$	1,128	$	742	$	47,399
Provision for loan losses		960		26		-		-		986
Noninterest income		13,470		9,827		372		1,309		24,978
Noninterest expense
Salaries and employee benefits		17,921		6,138		137		738		24,934
Equipment and occupancy expenses		5,444		397		1		73		5,915
Data processing and telecommunications expenses		4,998		308		22		1		5,329
Other expenses		11,379		662		40		137		12,218
Total noninterest expense		39,742		7,505		200		949		48,396
Income before income tax expense		15,812		4,781		1,300		1,102		22,995
Income tax expense		4,854		1,673		455		386		7,368
Net income		10,958		3,108		845		716		15,627

63

Net Interest Income and Margins

The following tables set forth the amount of the Company’s interest income or interest expense for each category of interest-earning assets and interest-bearing liabilities and the average interest rate for total interest-earning assets and total interest-bearing liabilities, net interest spread and net interest margin on average interest-earning assets. Federally tax-exempt income is presented on a taxable-equivalent basis assuming a 35% federal tax rate.

	Quarter Ended September 30,
	2016							2015
	Average Balance		Interest Income/ Expense		Average Yield/ Rate Paid			Average Balance		Interest Income/ Expense		Average Yield/ Rate Paid
	( in Thousands)
ASSETS
Interest-earning assets:
Mortgage loans held for sale	$	105,859	$	826		3.10	%	$	102,961	$	970		3.74	%
Loans		2,897,771		33,672		4.62			2,224,490		27,258		4.86
Purchased non-covered loans		1,086,039		17,629		6.46			788,351		11,911		5.99
Purchased loan pools		629,666		4,346		2.75			323,258		2,997		3.68
Covered loans		113,136		1,667		5.86			195,175		3,192		6.49
Investment securities		857,433		4,872		2.26			854,123		5,342		2.48
Short-term assets		90,551		155		0.68			204,557		246		0.48
Total interest- earning assets		5,780,455		63,167		4.35			4,692,915		51,916		4.39
Noninterest-earning assets		549,895							520,360
Total assets	$	6,330,350						$	5,213,275
LIABILITIES AND STOCKHOLDERS’ EQUITY
Interest-bearing liabilities:
Savings and interest-bearing demand deposits	$	2,787,323	$	1,719		0.25	%	$	2,367,353	$	1,223		0.20	%
Time deposits		887,685		1,355		0.61			871,492		1,298		0.59
Other borrowings		49,345		479		3.86			39,000		322		3.28
FHLB advances		265,202		393		0.59			-		-		-
Federal funds purchased and securities sold under agreements to repurchase		37,305		18		0.19			44,480		39		0.35
Subordinated deferrable interest debentures		83,719		1,179		5.60			69,448		914		5.22
Total interest-bearing liabilities		4,110,579		5,143		0.50			3,391,773		3,796		0.44
Demand deposits		1,546,211							1,300,870
Other liabilities		33,178							25,675
Stockholders’ equity		640,382							494,957
Total liabilities and stockholders’ equity	$	6,330,350						$	5,213,275
Interest rate spread						3.85	%						3.95	%
Net interest income			$	58,024						$	48,120
Net interest margin						3.99	%						4.07	%

On a tax-equivalent basis, net interest income for the third quarter of 2016 was $58.0 million, an increase of $9.9 million, or 20.6%, compared with $48.1 million reported in the same quarter in 2015. The higher net interest income is a result of organic loan growth in the loan portfolio, growth in purchased loan pools and acquisition activity during the first quarter of 2016 coupled with continued low rates in the Company’s cost of funds. The Company’s net interest margin decreased during the third quarter of 2016 to 3.99%, compared with 4.01% during the second quarter of 2016, and compared with 4.07% reported in the third quarter of 2015.

64

Total interest income, on a tax-equivalent basis, during the third quarter of 2016 was $63.2 million, compared with $51.9 million in the same quarter of 2015. Yields on earning assets declined to 4.35%, compared with 4.39% reported in the third quarter of 2015. During the third quarter of 2016, loans comprised 83.6% of earning assets, compared with 77.4% in the same quarter of 2015. This increase is a result of organic growth in the loan portfolio, growth in purchased pool loans and acquisition activity during the first quarter of 2016. Yields on legacy loans decreased to 4.62% in the third quarter of 2016, compared with 4.86% in the same period of 2015. The yield on purchased non-covered loans increased from 5.99% in the third quarter of 2015 to 6.46% during the third quarter of 2016. Yields on purchase loan pools declined from 3.68% in the third quarter of 2015 to 2.75% in the same period in 2016. This decrease in yield on purchased loan pools was attributable to accelerated prepayments and an adjustment on the remaining life of the pools and associated premiums. Covered loan yields decreased from 6.49% in the third quarter of 2015 to 5.86% in the third quarter of 2016. Management anticipates improving economic conditions and increased loan demand will provide consistent interest income.

Total funding costs increased to 0.36% in the third quarter of 2016, compared with 0.32% during the third quarter of 2015. Deposit costs increased slightly from 0.22% in the third quarter of 2015 to 0.23% in the third quarter of 2016. Non-deposit funding costs decreased from 3.31% in the third quarter of 2015 to 1.89% in the third quarter of 2016. The decrease in non-deposit funding costs was driven primarily by an increased utilization of low rate short-term FHLB advances. Ongoing efforts to maintain the percentage of funding from transaction deposits have succeeded such that non-CD deposits averaged 83.0% of total deposits in the third quarter of 2016, compared with 80.8% during the third quarter of 2015. Further opportunity to realize savings on interest expense on deposits may be limited due to the current low level of deposit rates. Average balances of interest bearing deposits and their respective costs for the third quarter of 2016 and 2015 are shown below:

(Dollars in Thousands)	Three Months Ended September 30, 2016					Three Months Ended September 30, 2015
	Average Balance		Average Cost			Average Balance		Average Cost
NOW	$	1,085,828		0.16	%	$	907,618		0.13	%
MMDA		1,435,151		0.34	%		1,219,736		0.29	%
Savings		266,344		0.07	%		239,999		0.07	%
Retail CDs < $100,000		431,570		0.45	%		484,007		0.50	%
Retail CDs > $100,000		451,115		0.75	%		387,485		0.71	%
Brokered CDs		5,000		0.64	%		-		0.00	%
Interest-bearing deposits	$	3,675,008		0.33	%	$	3,238,845		0.31	%

Provision for Loan Losses

The Company’s provision for loan losses during the third quarter of 2016 amounted to $811,000, compared with $889,000 in the second quarter of 2016 and $986,000 in the third quarter of 2015. At September 30, 2016, classified loans still accruing totaled $42.0 million, compared with $46.7 million at September 30, 2015. Non-performing assets as a percentage of total assets decreased from 1.23% at September 30, 2015 to 0.92% at September 30, 2016. Net charge-offs on legacy loans during the third quarter of 2016 were $371,000, or 0.05% of average legacy loans on an annualized basis, compared with $237,000, or 0.04%, in the third quarter of 2015. The Company’s allowance for loan losses allocated to legacy loans at September 30, 2016 was $19.4 million, or 0.63% of legacy loans, decreasing from $22.1 million, or 0.96% of legacy loans, at September 30, 2015 due to improved credit quality of the legacy loan portfolio. The Company’s total allowance for loan losses at September 30, 2016 was $23.0 million, or 0.47% of total loans, decreasing from $22.5 million, or 0.61% of total loans, at September 30, 2015, due to improved credit quality of the loan portfolio.

65

Noninterest Income

Total non-interest income for the third quarter of 2016 was $28.9 million, compared with $25.0 million in the third quarter of 2015.  Service charges on deposit accounts in the third quarter of 2016 increased to $11.4 million, compared with $10.8 million in the third quarter of 2015. Stronger growth in commercial and treasury management accounts contributed to the growth in income, as did growth in core deposit accounts that resulted from the Company’s acquisition during the first quarter of 2016. Income from mortgage-related activities continued to increase, from $10.4 million in the third quarter of 2015, to $14.1 million in the third quarter of 2016, as a result of the Company’s increased number of mortgage bankers and higher levels of production. Total production in the third quarter of 2016 amounted to $410.8 million, compared with $311.0 million in the same quarter of 2015, while spreads (gain on sale) increased to 3.69% in the current quarter compared with 3.52% in the same quarter of 2015. The retail mortgage open pipeline finished the third quarter of 2016 at $145.4 million, compared with $162.6 million at the beginning of the third quarter of 2016 and $105.3 million at the end of the third quarter of 2015. Other non-interest income remained stable at $2.6 million for the third quarter of 2016, compared with $2.5 million during the third quarter of 2015.

Noninterest Expense

Total non-interest expenses for the third quarter of 2016 increased to $53.2 million, compared with $48.4 million in the same quarter 2015. Salaries and employee benefits increased from $24.9 million in the third quarter of 2015 to $28.0 million in the third quarter of 2016. Occupancy and equipment expense remained stable at $6.0 million in the third quarter of 2016 compared with $5.9 million in the third quarter of 2015. Advertising and marketing expense increased to $1.2 million for the third quarter 2016 compared with $667,000 in the third quarter of 2015. Data processing and telecommunications expense increased to $6.2 million in the third quarter of 2016, compared with $5.3 million in the third quarter of 2015. Other noninterest expenses increased from $8.7 million in the third quarter of 2015 to $9.3 million in the third quarter of 2016.

Income Taxes

Income tax expense is influenced by the amount of taxable income, the amount of tax-exempt income and the amount of non-deductible expenses. For the third quarter of 2016, the Company reported income tax expense of $10.4 million, compared with $7.4 million in the same period of 2015. This increase in income tax expense is directly correlated to the increase in pre-tax income for the periods. The Company’s effective tax rate for the three months ending September 30, 2016 and 2015 was 32.5% and 32.0%, respectively.

Results of Operations for the Nine Months Ended September 30, 2016 and 2015

Ameris reported net income available to common shareholders of $53.9 million, or $1.56 per diluted share, for the nine months ended September 30, 2016, compared with $26.7 million, or $0.84 per diluted share, for the same period in 2015. During the first nine months of 2015, the Company completed the acquisition of Merchants and completed the acquisition and data conversion of 18 additional branches in South Georgia and North Florida. The Company recorded approximately $4.0 million of after-tax merger related charges from these acquisitions. Additionally, during the first nine months of 2015, the Company recorded $7.3 million of after-tax OREO write-downs and other credit resolution-related expenses related to an aggressive write-down on remaining non-performing assets. Excluding these acquisition and credit resolution-related expenses, the Company’s net income would have been $58.1 million, or $1.68 per diluted share, and $38.0 million, or $1.19 per diluted share, for the first nine months of 2016 and 2015, respectively. Below is a reconciliation of operating net income to net income, as discussed above.

	For the Three Months Ended September 30,					For the Nine Months Ended September 30,
	2016		2015			2016			2015
	(Dollars in Thousands)
Net income available to common shareholders	$	21,557	$	15,627		$	53,923		$	26,699
Merger and conversion charges		-		446			6,359			6,173
Non-recurring credit resolution related expenses		-		-			-			11,241
Tax effect of non-recurring charges		-		(156	)		(2,226	)		(6,095	)
Plus: After tax adjustments		-		290			4,133			11,319
Operating net income	$	21,557	$	15,917		$	58,056		$	38,018

66

The Company’s retail banking activities have had a significant impact on the overall financial results of the Company. Below is additional information regarding the retail banking activities, mortgage banking activities, warehouse lending activities and SBA activities of the Company during the first nine months of 2016 and 2015, respectively:

	Nine Months Ended  September 30, 2016
	Banking Division		Retail Mortgage Division		Warehouse Lending Division		SBA Division		Total
	(Dollars in Thousands)
Interest income	$	158,682	$	9,992	$	4,714	$	2,721	$	176,109
Interest expense		13,567		-		-		450		14,017
Net interest income		145,115		9,992		4,714		2,271		162,092
Provision for loan losses		1,471		540		94		276		2,381
Noninterest income		39,702		36,126		1,328		4,373		81,529
Noninterest expense
Salaries and employee benefits		55,740		23,591		399		1,970		81,700
Equipment and occupancy expenses		16,541		1,326		3		190		18,060
Data processing and telecommunications expenses		17,299		974		71		3		18,347
Other expenses		39,040		3,392		77		542		43,051
Total noninterest expense		128,620		29,283		550		2,705		161,158
Income before income tax expense		54,726		16,295		5,398		3,663		80,082
Income tax expense		17,285		5,703		1,889		1,282		26,159
Net income	$	37,441	$	10,592	$	3,509	$	2,381	$	53,923

	Nine Months Ended September 30, 2015
	Banking Division		Retail Mortgage Division		Warehouse Lending Division		SBA Division		Total
	(Dollars in Thousands)
Interest income	$	126,283	$	6,009	$	3,142	$	2,358	$	137,792
Interest expense		10,594		-		-		279		10,873
Net interest income	$	115,689	$	6,009	$	3,142	$	2,079	$	126,919
Provision for loan losses		4,343		368		-		-		4,711
Noninterest income		31,512		26,532		1,028		4,107		63,179
Noninterest expense
Salaries and employee benefits		48,958		16,257		363		2,453		68,031
Equipment and occupancy expenses		13,964		1,173		4		137		15,278
Data processing and telecommunications expenses		12,922		799		75		7		13,803
Other expenses		45,783		2,744		95		353		48,975
Total noninterest expense		121,627		20,973		537		2,950		146,087
Income before income tax expense		21,231		11,200		3,633		3,236		39,300
Income tax expense		6,277		3,920		1,272		1,133		12,601
Net income		14,954		7,280		2,361		2,103		26,699

Interest Income

Interest income, on a tax-equivalent basis, for the nine months ended September 30, 2016 was $178.7 million, an increase of $39.2 million as compared with $139.6 million for the same period in 2015. Average earning assets for the nine-month period increased $1.38 billion to $5.49 billion as of September 30, 2016, compared with $4.11 billion as of September 30, 2015. The increase in average earning assets is due to organic growth in the loan portfolio, growth in purchased pool loans and acquisition activity during the second quarter of 2015 and the first quarter of 2016 coupled with continued low rates in the Company’s cost of funds. Yield on average earning assets was 4.35% for the nine months ended September 30, 2016, compared with 4.54% in the first nine months of 2015. The decrease in the yield on average earning assets was primarily attributable to decrease in yields on legacy loans, purchased non-covered loans and purchased loan pools.

67

 Interest Expense

Total interest expense for the nine months ended September 30, 2016 amounted to $14.0 million, reflecting a $3.1 million increase from the $10.9 million expense recorded in the same period of 2015. During the nine-month period ended September 30, 2016, the Company’s funding costs improved slightly to 0.35% from 0.36% reported in 2015. Deposit costs decreased slightly to 0.23% during the nine-month period ended September 30, 2016, compared with 0.24% during the same period in 2015. Total non-deposit funding costs decreased to 2.36% during the nine-month period ended September 30, 2016, compared with 3.04% during the first nine months of 2015. The decrease in non-deposit funding costs was driven primarily by an increased utilization of low rate short-term FHLB advances.

Net Interest Income

The following tables set forth the amount of the Company’s interest income or interest expense for each category of interest-earning assets and interest-bearing liabilities and the average interest rate for total interest-earning assets and total interest-bearing liabilities, net interest spread and net interest margin on average interest-earning assets. Federally tax-exempt income is presented on a taxable-equivalent basis assuming a 35% federal tax rate.

	Nine Months Ended September 30,
	2016							2015
	Average Balance		Interest Income/ Expense		Average Yield/ Rate Paid			Average Balance		Interest Income/ Expense		Average Yield/ Rate Paid
	( in Thousands)
ASSETS
Interest-earning assets:
Mortgage loans held for sale	$	96,340	$	2,402		3.33	%	$	86,387	$	2,426		3.75	%
Loans		2,642,498		93,887		4.75			2,097,996		75,305		4.80
Purchased non-covered loans		1,022,680		47,824		6.25			702,117		34,079		6.49
Purchased loan pools		629,118		13,220		2.81			116,363		3,146		3.61
Covered loans		125,141		5,524		5.90			215,631		10,572		6.56
Investment securities		840,688		15,227		2.42			701,437		13,499		2.57
Short-term assets		134,060		659		0.66			193,610		556		0.38
Total interest- earning assets		5,490,525		178,743		4.35			4,113,541		139,583		4.54
Noninterest-earning assets		539,656							480,714
Total assets	$	6,030,181						$	4,594,255
LIABILITIES AND STOCKHOLDERS’ EQUITY
Interest-bearing liabilities:
Savings and interest-bearing demand deposits	$	2,740,368	$	4,922		0.24	%	$	2,029,111	$	3,414		0.22	%
Time deposits		872,209		3,808		0.58			798,618		3,652		0.61
Other borrowings		47,809		1,333		3.72			41,582		1,034		3.32
FHLB advances		126,855		571		0.60			11,289		31		0.37
Federal funds purchased and securities sold under agreements to repurchase		44,433		77		0.23			47,282		130		0.37
Subordinated deferrable interest debentures		79,912		3,306		5.53			67,369		2,612		5.18
Total interest-bearing liabilities		3,911,586		14,017		0.48			2,995,251		10,873		0.49
Demand deposits		1,490,152							1,097,750
Other liabilities		28,626							16,041
Stockholders’ equity		599,817							485,213
Total liabilities and stockholders’ equity	$	6,030,181						$	4,594,255
Interest rate spread						3.87	%						4.05	%
Net interest income			$	164,726						$	128,710
Net interest margin						4.01	%						4.18	%

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For the year-to-date period ending September 30, 2016, the Company reported $164.7 million of net interest income on a tax-equivalent basis, compared with $128.7 million of net interest income for the same period in 2015.  The average balance of earning assets increased 33.5%, from $4.11 billion during the first nine months of 2015 to $5.49 billion during the first nine months of 2016. The increase in average earning assets is due to organic growth in the loan portfolio, growth in purchased pool loans and acquisition activity during the second quarter of 2015 and the first quarter of 2016. The Company’s net interest margin decreased to 4.01% in the nine-month period ending September 30, 2016, compared with 4.18% in the same period in 2015. The decrease in the net interest margin was primarily attributable to a decrease in yield on earning assets.

Provision for Loan Losses

The provision for loan losses decreased to $2.4 million for the nine months ended September 30, 2016, compared with $4.7 million in the same period in 2015. Non-performing assets (excluding covered assets) totaled $59.9 million at September 30, 2016, compared with $64.2 million at September 30, 2015.  For the nine-month period ended September 30, 2016, the Company had legacy net charge-offs totaling $1.9 million, compared with $2.6 million for the same period in 2015. Annualized legacy net charge-offs as a percentage of average legacy loans decreased to 0.10% during the first nine months of 2016, compared with 0.17% during the first nine months of 2015.

Noninterest Income

Non-interest income for the first nine months of 2016 was $81.5 million, compared with $63.2 million in the same period in 2015. Service charges on deposit accounts increased $7.4 million to $31.7 million in the first nine months of 2016, compared with $24.3 million in the same period in 2015.  Stronger growth in commercial and treasury management accounts contributed to the growth in income, as did growth in core deposit accounts that resulted from the Company’s acquisitions during the second quarter of 2015 and the first quarter of 2016. Income from mortgage banking activity increased from $28.2 million in the first nine months of 2015 to $38.4 million in the first nine months of 2016, due to an increased number of mortgage bankers and higher levels of production. Other non-interest income increased from $7.8 million during the first nine months of 2015 to $8.4 million during the first nine months of 2016.

Noninterest Expense

Total operating expenses for the first nine months of 2016 increased to $161.2 million, compared with $146.1 million in the same period in 2015. Increases in noninterest expenses were driven primarily by the second quarter 2015 acquisitions of Merchants and 18 branches from Bank of America and the first quarter 2016 acquisition of JAXB. Salaries and benefits increased $13.7 million as compared with the first nine months of 2015. Occupancy and equipment expenses for the first nine months of 2016 amounted to $18.1 million, representing an increase of $2.8 million from the same period in 2015. Data processing and telecommunications expenses increased from $13.8 million in the first nine months of 2015 to $18.3 million in the first nine months of 2016. Credit resolution-related expenses, including problem loan and OREO expense and OREO write-downs and losses, decreased to $5.1 million for the first nine months of 2016, compared with $15.5 million in the first nine months of 2015. Credit resolution-related expenses were high in the second quarter of 2015 due to an aggressive write-down on remaining non-performing assets. Merger and conversion charges were $6.4 million and $6.2 million for the nine months ended September 30, 2016 and 2015, respectively, reflecting the second quarter 2015 acquisitions of Merchants and 18 branches from Bank of America and the first quarter 2016 acquisition of JAXB. Other noninterest expense increased $2.8 million for the first nine months of 2016 as compared with the first nine months of 2015.

Income Taxes

In the first nine months of 2016, the Company recorded income tax expense of $26.2 million, compared with $12.6 million in the same period of 2015. This increase in income tax expense is directly correlated to the increase in pre-tax income for the periods. The Company’s effective tax rate for the nine months ended September 30, 2016 and 2015 was 32.7% and 32.1%, respectively.

Financial Condition as of September 30, 2016

Securities

Debt securities with readily determinable fair values are classified as available for sale and recorded at fair value with unrealized gains and losses excluded from earnings and reported in accumulated other comprehensive income, net of the related deferred tax effect. Equity securities, including restricted equity securities, are classified as other investment securities and are recorded at the lower of cost or market value.

The amortization of premiums and accretion of discounts are recognized in interest income using methods approximating the interest method over the life of the securities. Realized gains and losses, determined on the basis of the cost of specific securities sold, are included in earnings on the trade date. Declines in the fair value of securities below their cost that are deemed to be other-than-temporary are reflected in earnings as realized losses.

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In determining whether other-than-temporary impairment losses exist, management considers (1) the length of time and the extent to which the fair value has been less than cost, (2) the financial condition and near-term prospects of the issuer and (3) the intent and ability of the Company to retain its investment in the issuer for a period of time sufficient to allow for any anticipated recovery in fair value.

Management evaluates securities for other-than-temporary impairment at least on a quarterly basis, and more frequently when economic or market concerns warrant such evaluation. Substantially all of the unrealized losses on debt securities are related to changes in interest rates and do not affect the expected cash flows of the issuer or underlying collateral. All unrealized losses are considered temporary because each security carries an acceptable investment grade and the Company does not intend to sell these investment securities at an unrealized loss position at September 30, 2016, and it is more likely than not that the Company will not be required to sell these securities prior to recovery or maturity. Therefore, at September 30, 2016, these investments are not considered impaired on an other-than temporary basis.

The following table illustrates certain information regarding the Company’s investment portfolio with respect to yields, sensitivities and expected cash flows over the next twelve months assuming constant prepayments and maturities:

	Amortized Cost		Fair Value		Yield			Modified Duration		Estimated Cash Flows 12 months
	Dollars in Thousands
September 30, 2016:
U.S. government agencies	$	999	$	1,028		3.20	%		1.16	$	-
State, county and municipal securities		150,083		155,994		4.12	%		5.69		6,685
Corporate debt securities		28,924		29,098		2.89	%		4.56		2,500
Mortgage-backed securities		641,404		652,004		2.20	%		3.59		129,028
Total debt securities	$	821,410	$	838,124		2.57	%		4.01	$	138,213
September 30, 2015:
U.S. government agencies	$	14,957	$	14,968		1.85	%		4.26	$	5,027
State, county and municipal securities		161,509		164,865		3.38	%		4.13		10,110
Corporate debt securities		5,901		6,032		4.97	%		7.63		500
Mortgage-backed securities		622,313		625,520		2.39	%		4.08		104,272
Total debt securities	$	804,680	$	811,385		2.59	%		4.12	$	119,909

Loans and Allowance for Loan Losses

At September 30, 2016, gross loans outstanding (including purchased non-covered loans, purchased loan pools, covered loans and mortgage loans held for sale) were $4.97 billion, an increase from $4.02 billion reported at December 31, 2015 and $3.77 billion reported at September 30, 2015. Mortgage loans held for sale increased from $111.2 million at December 31, 2015 to $126.3 million at September 30, 2016. Legacy loans (excluding purchased non-covered, purchased non-covered loan pools and covered loans) increased $684.2 million, from $2.41 billion at December 31, 2015 to $3.09 billion at September 30, 2016, which was primarily driven by increases in municipal loans and residential mortgages. Purchased non-covered loans increased $295.5 million, from $771.6 million at December 31, 2015 to $1.07 billion at September 30, 2016, primarily as a result of the JAXB acquisition. Purchased non-covered loan pools increased $31.9 million, from $593.0 million at December 31, 2015 to $624.9 million at September 30, 2016 due to the purchase of additional loan pools of $151.5 million during the first nine months of 2016, offset by payments on the portfolio of $115.4 million and premium amortization of $4.2 million. Covered loans decreased $75.2 million, from $137.5 million at December 31, 2015 to $62.3 million at September 30, 2016. The decrease in covered loans reflects a transfer of $45.9 million in loans from covered loans to purchased non-covered loans due to expiration of the loss sharing portion of certain agreements.

The Company regularly monitors the composition of the loan portfolio to evaluate the adequacy of the allowance for loan losses in light of the impact that changes in the economic environment may have on the loan portfolio. The Company focuses on the following loan categories: (1) commercial, financial and agricultural; (2) residential real estate; (3) commercial and farmland real estate; (4) construction and development related real estate; and (5) consumer. The Company’s management has strategically located its branches in select markets in south and southeast Georgia, north Florida, southeast Alabama and throughout South Carolina to take advantage of the growth in these areas.

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The Company’s risk management processes include a loan review program designed to evaluate the credit risk in the loan portfolio and ensure credit grade accuracy. Through the loan review process, the Company conducts (1) a loan portfolio summary analysis, (2) charge-off and recovery analysis, (3) trends in accruing problem loan analysis, and (4) problem and past-due loan analysis. This analysis process serves as a tool to assist management in assessing the overall quality of the loan portfolio and the adequacy of the allowance for loan losses. Loans classified as “substandard” are loans which are inadequately protected by the current sound worth and paying capacity of the borrower or of the collateral pledged. These assets exhibit a well-defined weakness or are characterized by the distinct possibility that the Company will sustain some loss if the deficiencies are not corrected. These weaknesses may be characterized by past due performance, operating losses and/or questionable collateral values. Loans classified as “doubtful” are those loans that have characteristics similar to substandard loans but have an increased risk of loss. Loans classified as “loss” are those loans which are considered uncollectible and are in the process of being charged-off.  

 The allowance for loan losses is a reserve established through charges to earnings in the form of a provision for loan losses. The provision for loan losses is based on management’s evaluation of the size and composition of the loan portfolio, the level of non-performing and past-due loans, historical trends of charged-off loans and recoveries, prevailing economic conditions and other factors management deems appropriate. The Company’s management has established an allowance for loan losses which it believes is adequate for the probable incurred losses in the loan portfolio. Based on a credit evaluation of the loan portfolio, management presents a monthly review of the allowance for loan losses to the Company’s Board of Directors, which primarily focuses on risk by evaluating individual loans in certain risk categories. These categories have also been established by management and take the form of loan grades. By grading the loan portfolio in this manner the Company’s management is able to effectively evaluate the portfolio by risk, which management believes is the most effective way to analyze the loan portfolio and thus analyze the adequacy of the allowance for loan losses.

The allowance for loan losses is established by examining (1) the large classified loans, nonaccrual loans and loans considered impaired and evaluating them individually to determine the specific reserve allocation and (2) the remainder of the loan portfolio to allocate a portion of the allowance based on past loss experience and the economic conditions for the particular loan category. The Company also considers other factors such as changes in lending policies and procedures; changes in national, regional and/or local economic and business conditions; changes in the nature and volume of the loan portfolio; changes in the experience, ability and depth of either the market president or lending staff; changes in the volume and severity of past-due and classified loans; changes in the quality of the Company’s corporate loan review system; and other factors management deems appropriate.

At the end of the third quarter of 2016, the allowance for loan losses allocated to legacy loans totaled $19.4 million, or 0.63% of legacy loans, compared with $20.5 million, or 0.85% of legacy loans, at December 31, 2015 and $22.1 million, or 0.96% of legacy loans, at September 30, 2015. The decrease in the allowance for loan losses as a percentage of legacy loans reflects the change in credit risk of our portfolio, both from the mix of loan and collateral types, as well as the overall improvement in credit quality of the loan portfolio. Our legacy nonaccrual loans declined from $20.6 million at September 30, 2015 to $16.6 million at September 30, 2016. For the first nine months of 2016, our legacy net charge off ratio as a percentage of average legacy loans decreased to 0.10%, compared with 0.17% for the first nine months of 2015. For the nine-month period ended September 30, 2016, the Company recorded legacy net charge-offs totaling $1.9 million, compared with $2.6 million for the period ended September 30, 2015. The provision for loan losses for the nine months ended September 30, 2016 decreased to $2.4 million, compared with $4.7 million during the nine-month period ended September 30, 2015. Our ratio of nonperforming assets to total assets decreased from 1.23% at September 30, 2015 to 0.92% at September 30, 2016.

The balance of the allowance for loan losses allocated to loans collectively evaluated for impairment increased 2.1%, or $362,000, during the first nine months of 2016, while the balance of loans collectively evaluated for impairment increased 25.2%, or $932.9 million during the same period. A significant portion of the loan growth was concentrated in lower risk categories such as municipal lending and did not require as large of an allowance for loan losses as other categories of loans. Purchased non-covered loans, including purchased loan pools, accounted for 29% of the increase in loans and these loans generally require an initial allowance for loan loss that is less than the allowance required on legacy loans due to seasoning and loan to value characteristics of the portfolio. In addition to the change of type of loan growth, we also experienced a decline in our historical loss rates on all loan portfolios. We consider a four year loss rate on all loan categories and our charge off ratio has been steadily declining over that period. We have adjusted the qualitative factors to account for the inherent risks in the portfolio that are not captured in the historical loss rates, such as weak commodity prices for agriculture products, growth rates of certain loan types and other factors management deems appropriate. As a percentage of all loans collectively evaluated for impairment, the allowance allocated to those loans decreased 9 basis points, from 0.46% at December 31, 2015 to 0.37% at September 30, 2016. The largest decrease was in the real estate construction and development category, which decreased from 1.75% at December 31, 2015 to 0.80% at September 30, 2016. The reason for this decline is the positive trend in net losses within that category.

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The balance of the allowance for loan losses allocated to loans individually evaluated for impairment increased 37.3%, or $1.5 million, during the first nine months of 2016, while the balance of loans individually evaluated for impairment decreased 12.9%, or $8.9 million during the same period. The majority of this increase in the allowance for loan losses allocated to loans individually evaluated for impairment is attributable to purchased non-covered loans and covered loans. At September 30, 2016, we had $1.3 million allocated to purchased non-covered loans, including loan pools and $236,000 allocated to covered loans. We did not have any allowance allocated to purchased non-covered loans, including loan pools, and covered loans at December 31, 2015.

The following tables present an analysis of the allowance for loan losses as of and for the nine months ended September 30, 2016 and 2015:

	Nine Months Ended September 30,
(Dollars in Thousands)	2016		2015
Balance of allowance for loan losses at beginning of period	$	21,062	$	21,157
Provision charged to operating expense		2,381		4,711
Charge-offs:
Commercial, financial and agricultural		1,273		937
Real estate – residential		883		966
Real estate – commercial and farmland		708		1,358
Real estate – construction and development		324		465
Consumer installment and Other		192		300
Purchased non-covered loans, including pools		826		772
Covered loans		435		1,661
Total charge-offs		4,641		6,459
Recoveries:
Commercial, financial and agricultural		279		517
Real estate – residential		368		138
Real estate – commercial and farmland		191		304
Real estate – construction and development		474		314
Consumer installment and Other		119		117
Purchased non-covered loans, including pools		1,265		955
Covered loans		1,465		717
Total recoveries		4,161		3,062
Net charge-offs		480		3,397
Balance of allowance for loan losses at end of period	$	22,963	$	22,471

	As of and for the Nine Months Ended September 30, 2016
(Dollars in Thousands)	Legacy loans			Purchased  non-covered  loans, including  pools			Covered loans			Total
Allowance for loan losses at end of period	$	19,433		$	3,294		$	236		$	22,963
Net charge-offs (recoveries) for the period		1,949			(439	)		(1,030	)		480
Loan balances:
End of period		3,091,039			1,691,976			62,291			4,845,306
Average for the period		2,642,498			1,651,798			125,141			4,419,437
Net charge-offs as a percentage of average loans		0.10	%		(0.04	)%		(1.10	)%		0.01	%
Allowance for loan losses as a percentage of end of period loans		0.63	%		0.19	%		0.38	%		0.47	%

	As of and for the Nine Months Ended September 30, 2015
(Dollars in Thousands)	Legacy loans			Purchased      non-covered loans, including pools			Covered loans			Total
Allowance for loan losses at end of period	$	22,069		$	402		$	-		$	22,471
Net charge-offs (recoveries) for the period		2,636			(183	)		944			3,397
Loan balances:
End of period		2,290,649			1,177,566			191,021			3,659,236
Average for the period		2,097,996			818,480			215,631			3,132,107
Net charge-offs as a percentage of average loans		0.17	%		(0.03	)%		0.59	%		0.15	%
Allowance for loan losses as a percentage of end of period loans		0.96	%		0.03	%		0.00	%		0.61	%

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Purchased Non-Covered Assets

Loans that were acquired in transactions and are not covered by the loss-sharing agreements with the FDIC (“purchased non-covered loans”) totaled $1.07 billion, $771.6 million and $767.5 million at September 30, 2016, December 31, 2015 and September 30, 2015, respectively. OREO that was acquired in transactions and is not covered by the loss-sharing agreements with the FDIC totaled $14.1 million, $14.3 million and $11.5 million at September 30, 2016, December 31, 2015 and September 30, 2015, respectively. Purchased non-covered assets include assets that were acquired in FDIC-assisted transactions, but are no longer covered by the loss sharing portion of the agreements.

The Bank initially recorded the loans at their fair values, taking into consideration certain credit quality, risk and liquidity marks. The Company believes its estimation of credit risk and its adjustments to the carrying balances of the acquired loans are adequate. If the Company determines that a loan or group of loans has deteriorated from its initial assessment of fair value, a reserve for loan losses will be established to account for that difference. During the nine months ended September 30, 2016, the year ended December 31, 2015 and the nine months ended September 30, 2015, the Company recorded a net provision for loan loss credit of $439,000, $237,000 and $183,000, respectively, due to recoveries received on previously charged off purchased non-covered loans. If the Company determines that a loan or group of loans has improved from its initial assessment of fair value, then the increase in cash flows over those expected at the acquisition date is recognized as interest income prospectively.

Purchased non-covered loans are shown below according to loan type as of the end of the periods shown:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Commercial, financial and agricultural	$	99,596	$	45,462	$	42,350
Real estate – construction and development		86,099		72,080		71,109
Real estate – commercial and farmland		590,388		390,755		385,032
Real estate – residential		286,169		258,153		263,312
Consumer installment		4,838		5,104		5,691
	$	1,067,090	$	771,554	$	767,494

Purchased Loan Pools

Purchased loan pools are defined as groups of loans that were not acquired in bank acquisitions or FDIC-assisted transactions. As of September 30, 2016, purchased loan pools totaled $624.9 million and consisted of whole-loan, adjustable rate residential mortgages on properties outside the Company’s markets, with principal balances totaling $614.4 million and $10.5 million of purchase premium paid at acquisition. As of December 31, 2015, purchased loan pools totaled $593.0 million and consisted of whole-loan, adjustable rate residential mortgages on properties outside the Company’s markets, with principal balances totaling $580.7 million and $12.3 million of purchase premium paid at acquisition. As of September 30, 2015, purchased loan pools totaled $410.1 million and consisted of whole-loan, adjustable rate residential mortgages on properties outside the Company’s markets, with principal balances totaling $402.1 million and $8.0 million of purchase premium paid at acquisition. The Company has allocated approximately $2.0 million, $581,000 and $402,000 of the allowance for loan losses to the purchased loan pools at September 30, 2016, December 31, 2015 and September 31, 2015, respectively.

Assets Covered by Loss-Sharing Agreements with the FDIC

Loans that were acquired in FDIC-assisted transactions that are covered by the loss-sharing agreements with the FDIC (“covered loans”) totaled $62.3 million, $137.5 million and $191.0 million at September 30, 2016, December 31, 2015 and September 30, 2015, respectively. OREO that is covered by the loss-sharing agreements with the FDIC totaled $1.0 million, $5.0 million and $12.2 million at September 30, 2016, December 31, 2015 and September 30, 2015, respectively. The loss-sharing agreements are subject to the servicing procedures as specified in the agreements with the FDIC. The expected reimbursements under the loss-sharing agreements were recorded as an indemnification asset at their estimated fair value on the acquisition dates. At September 30, 2016 the FDIC loss-share payable amounted to $7.8 million which includes the clawback liability the Bank expects to pay to the FDIC. At December 31, 2015 and September 30, 2015 the FDIC loss-share receivable was $6.3 million and $4.5 million, respectively, which is net of the clawback liability the Bank expects to pay to the FDIC.

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The Bank initially recorded the loans at their fair values, taking into consideration certain credit quality, risk and liquidity marks. The Company believes its estimation of credit risk and its adjustments to the carrying balances of the acquired loans are adequate. If the Company determines that a loan or group of loans has deteriorated from its initial assessment of fair value, a reserve for loan losses will be established to account for that difference. During the nine months ended September 30, 2016, the Company recorded provision for loan loss credit of $1.0 million, net of the FDIC loss-share coverage, due to recoveries on previously charged off covered loans. During the year ended December 31, 2015 and the nine months ended September 30, 2015, the Company recorded provision for loan loss expense of $751,000 and $944,000, respectively, net of the FDIC loss-share receivable, to account for losses where there was a decrease in cash flows from the initial estimates on loans acquired in FDIC-assisted transactions. If the Company determines that a loan or group of loans has improved from its initial assessment of fair value, then the increase in cash flows over those expected at the acquisition date is recognized as interest income prospectively over the remaining life of the loan, with an associated write off of the remaining indemnification asset over the shorter of the life of the loan or the loss-share agreement.

Covered loans are shown below according to loan type as of the end of the periods shown:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Commercial, financial and agricultural	$	830	$	5,546	$	13,349
Real estate – construction and development		3,220		7,612		14,266
Real estate – commercial and farmland		13,688		71,226		103,399
Real estate – residential		44,457		53,038		59,835
Consumer installment		96		107		172
	$	62,291	$	137,529	$	191,021

Non-Performing Assets

Non-performing assets include nonaccrual loans, accruing loans contractually past due 90 days or more, repossessed personal property, and other real estate owned. Loans are placed on nonaccrual status when management has concerns relating to the ability to collect the principal and interest and generally when such loans are 90 days or more past due. Management performs a detailed review and valuation assessment of impaired loans on a quarterly basis and recognizes losses when impairment is identified. A loan is considered impaired when it is probable that not all principal and interest amounts will be collected according to the loan contract. When a loan is placed on nonaccrual status, any interest previously accrued but not collected is reversed against current income.

Nonaccrual loans, excluding purchased non-covered and covered loans, totaled $16.6 million at September 30, 2016, a 19.4% decrease from $20.6 million reported at the end of the third quarter of 2015. Nonaccrual purchased non-covered loans totaled $18.0 million at September 30, 2016, compared with $11.4 million at September 30, 2015. At September 30, 2016, OREO (excluding purchased non-covered and covered OREO) totaled $10.4 million, compared with $16.1 million at December 31, 2015 and $20.7 million at September 30, 2015. Purchased non-covered OREO totaled $14.1 million at September 30, 2016, compared with $11.5 million at September 30, 2015. Management regularly assesses the valuation of OREO through periodic reappraisal and through inquiries received in the marketing process.  At the end of the third quarter of 2016, total non-performing assets decreased to 0.92% of total assets, compared with 1.09% at December 31, 2015 and 1.23% at September 30, 2015.

Non-performing assets (excluding covered assets) at September 30, 2016, December 31, 2015 and September 30, 2015 were as follows:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Total nonaccrual loans (excluding purchased non-covered and covered loans)	$	16,570	$	16,860	$	20,558
Nonaccrual purchased non-covered loans		17,993		13,330		11,374
Nonaccrual purchased loan pools		864		-		-
Accruing loans delinquent 90 days or more		-		-		-
Foreclosed assets (excluding purchased assets)		10,392		16,147		20,730
Purchased, non-covered other real estate owned		14,126		14,333		11,538
Total non-performing assets, excluding covered assets	$	59,945	$	60,670	$	64,200

74

Troubled Debt Restructurings

The restructuring of a loan is considered a “troubled debt restructuring” if both (i) the borrower is experiencing financial difficulties and (ii) the Company has granted a concession.

As of September 30, 2016, December 31, 2015 and September 30, 2015, the Company had a balance of $17.1 million, $16.4 million and $13.9 million, respectively, in troubled debt restructurings, excluding purchased non-covered and covered loans. The following table presents the amount of troubled debt restructurings by loan class, excluding purchased non-covered and covered loans, classified separately as accrual and nonaccrual at September 30, 2016, December 31, 2015 and September 30, 2015:

As of September 30, 2016	Accruing Loans				Non-Accruing Loans
Loan class:	#		Balance (in thousands)		#		Balance (in thousands)
Commercial, financial & agricultural		4	$	53		14	$	112
Real estate – construction & development		8		691		2		35
Real estate – commercial & farmland		17		5,535		5		2,015
Real estate – residential		53		7,713		19		849
Consumer installment		7		21		29		120
Total		89	$	14,013		69	$	3,131

As of December 31, 2015	Accruing Loans				Non-Accruing Loans
Loan class:	#		Balance (in thousands)		#		Balance (in thousands)
Commercial, financial & agricultural		4	$	240		10	$	110
Real estate – construction & development		11		792		3		63
Real estate – commercial & farmland		16		5,766		3		596
Real estate – residential		51		7,574		20		1,123
Consumer installment		12		46		23		94
Total		94	$	14,418		59	$	1,986

As of September 30, 2015	Accruing Loans				Non-Accruing Loans
Loan class:	#		Balance (in thousands)		#		Balance (in thousands)
Commercial, financial & agricultural		4	$	238		8	$	68
Real estate – construction & development		12		838		2		30
Real estate – commercial & farmland		15		5,719		4		943
Real estate – residential		51		5,209		16		759
Consumer installment		15		71		18		64
Total		97	$	12,075		48	$	1,864

75

The following table presents the amount of troubled debt restructurings by loan class, excluding purchased non-covered and covered loans, classified separately as those currently paying under restructured terms and those that have defaulted (defined as 30 days past due) under restructured terms at September 30, 2016, December 31, 2015 and September 30, 2015:

As of September 30, 2016	Loans Currently Paying Under Restructured Terms				Loans that have Defaulted Under Restructured Terms
Loan class:	#		Balance (in thousands)		#		Balance (in thousands)
Commercial, financial & agricultural		11	$	86		7	$	80
Real estate – construction & development		9		697		1		29
Real estate – commercial & farmland		16		6,677		6		873
Real estate – residential		60		7,654		12		908
Consumer installment		26		98		10		42
Total		122	$	15,212		36	$	1,932

As of December 31, 2015	Loans Currently Paying Under Restructured Terms				Loans that have Defaulted Under Restructured Terms
Loan class:	#		Balance (in thousands)		#		Balance (in thousands)
Commercial, financial & agricultural		11	$	314		3	$	37
Real estate – construction & development		10		771		4		83
Real estate – commercial & farmland		16		5,739		3		624
Real estate – residential		49		7,086		22		1,610
Consumer installment		20		75		15		65
Total		106	$	13,985		47	$	2,419

As of September 30, 2015	Loans Currently Paying Under Restructured Terms				Loans that have Defaulted Under Restructured Terms
Loan class:	#		Balance (in thousands)		#		Balance (in thousands)
Commercial, financial & agricultural		8	$	288		4	$	17
Real estate – construction & development		10		780		4		88
Real estate – commercial & farmland		14		5,650		5		1,011
Real estate – residential		46		4,212		21		1,756
Consumer installment		18		81		15		55
Total		96	$	11,011		49	$	2,927

76

The following table presents the amount of troubled debt restructurings, excluding purchased non-covered and covered loans, by types of concessions made, classified separately as accrual and nonaccrual at September 30, 2016, December 31, 2015 and September 30, 2015:

As of September 30, 2016	Accruing Loans				Non-Accruing Loans
Type of concession:	#		Balance (in thousands)		#		Balance (in thousands)
Forbearance of interest		9	$	1,588		6	$	179
Forgiveness of principal		3		1,318		1		357
Forbearance of principal		5		2,177		12		357
Rate reduction only		12		1,591		1		29
Rate reduction, forbearance of interest		39		2,652		20		1,657
Rate reduction, forbearance of principal		9		3,069		25		182
Rate reduction, forgiveness of interest		12		1,618		3		366
Rate reduction, forgiveness of principal		-		-		1		4
Total		89	$	14,013		69	$	3,131

As of December 31, 2015	Accruing Loans				Non-Accruing Loans
Type of concession:	#		Balance (in thousands)		#		Balance (in thousands)
Forbearance of interest		10	$	1,891		8	$	247
Forgiveness of principal		2		1,241		1		357
Forbearance of principal		6		2,798		8		158
Rate reduction only		15		1,869		2		226
Rate reduction, forbearance of interest		39		2,504		23		383
Rate reduction, forbearance of principal		12		3,316		15		256
Rate reduction, forgiveness of interest		9		795		2		359
Rate reduction, forgiveness of principal		1		4		-		-
Total		94	$	14,418		59	$	1,986

As of September 30, 2015	Accruing Loans				Non-Accruing Loans
Type of concession:	#		Balance (in thousands)		#		Balance (in thousands)
Forbearance of interest		11	$	1,861		7	$	319
Forgiveness of principal		2		891		2		841
Forbearance of principal		5		101		7		94
Rate reduction only		16		2,329		1		29
Rate reduction, forbearance of interest		40		2,516		21		273
Rate reduction, forbearance of principal		13		3,341		9		206
Rate reduction, forgiveness of interest		9		1,032		1		102
Rate reduction, forgiveness of principal		1		4		-		-
Total		97	$	12,075		48	$	1,864

77

The following table presents the amount of troubled debt restructurings, excluding purchased non-covered and covered loans, by collateral types, classified separately as accrual and nonaccrual at September 30, 2016, December 31, 2015 and September 30, 2015:

As of September 30, 2016	Accruing Loans				Non-Accruing Loans
Collateral type:	#		Balance (in thousands)		#		Balance (in thousands)
Warehouse		5	$	775		-	$	-
Raw land		9		750		2		35
Apartment		1		1,314		2		191
Hotel & motel		3		1,586		-		-
Office		3		482		-		-
Retail, including strip centers		4		1,318		-		-
1-4 family residential		53		7,713		21		858
Church		-		-		3		1,824
Automobile/equipment/CD		11		75		40		219
Unsecured		-		-		1		4
Total		89	$	14,013		69	$	3,131

As of December 31, 2015	Accruing Loans				Non-Accruing Loans
Collateral type:	#		Balance (in thousands)		#		Balance (in thousands)
Warehouse		4	$	608		1	$	198
Raw land		6		165		3		62
Apartment		1		1,314		-		-
Hotel & motel		3		1,882		-		-
Office		3		499		-		-
Retail, including strip centers		3		1,335		1		42
1-4 family residential		58		8,329		22		1,139
Church		-		-		1		357
Automobile/equipment/CD		15		61		30		184
Unsecured		1		225		1		4
Total		94	$	14,418		59	$	1,986

As of September 30, 2015	Accruing Loans				Non-Accruing Loans
Collateral type:	#		Balance (in thousands)		#		Balance (in thousands)
Warehouse		5	$	817		-	$	-
Raw land		5		74		2		30
Agricultural land		1		313		1		59
Hotel & motel		3		1,922		-		-
Office		3		504		-		-
Retail, including strip centers		3		2,164		2		527
1-4 family residential		58		5,972		19		785
Church		-		-		1		357
Automobile/equipment/inventory		18		81		22		101
Unsecured		1		228		1		5
Total		97	$	12,075		48	$	1,864

78

As of September 30, 2016, December 31, 2015 and September 30, 2015, the Company had a balance of $10.4 million, $10.0 million and $7.7 million, respectively, in troubled debt restructurings included in purchased non-covered loans. The following table presents the amount of troubled debt restructurings by loan class of purchased non-covered loans, classified separately as accrual and nonaccrual at September 30, 2016, December 31, 2015 and September 30, 2015:

As of September 30, 2016	Accruing Loans				Non-Accruing Loans
Loan class:	#		Balance (in thousands)		#		Balance (in thousands)
Commercial, financial & agricultural		1	$	1		1	$	16
Real estate – construction & development		2		529		3		33
Real estate – commercial & farmland		13		5,840		3		566
Real estate – residential		16		2,919		5		486
Consumer installment		1		4		2		1
Total		33	$	9,293		14	$	1,102

As of December 31, 2015	Accruing Loans				Non-Accruing Loans
Loan class:	#		Balance (in thousands)		#		Balance (in thousands)
Commercial, financial & agricultural		1	$	2		2	$	21
Real estate – construction & development		1		363		3		42
Real estate – commercial & farmland		14		6,214		3		412
Real estate – residential		13		2,789		4		180
Consumer installment		2		5		2		3
Total		31	$	9,373		14	$	658

As of September 30, 2015	Accruing Loans				Non-Accruing Loans
Loan class:	#		Balance (in thousands)		#		Balance (in thousands)
Commercial, financial & agricultural		-	$	-		1	$	1
Real estate – construction & development		1		351		2		30
Real estate – commercial & farmland		6		4,071		1		36
Real estate – residential		13		2,761		3		397
Consumer installment		2		5		2		3
Total		22	$	7,188		9	$	467

79

The following table presents the amount of troubled debt restructurings by loan class of purchased non-covered loans, classified separately as those currently paying under restructured terms and those that have defaulted (defined as 30 days past due) under restructured terms at September 30, 2016, December 31, 2015 and September 30, 2015:

As of September 30, 2016	Loans Currently Paying Under Restructured Terms				Loans that have Defaulted Under Restructured Terms
Loan class:	#		Balance (in thousands)		#		Balance (in thousands)
Commercial, financial & agricultural		2	$	17		-	$	-
Real estate – construction & development		4		552		1		10
Real estate – commercial & farmland		15		6,199		1		206
Real estate – residential		17		2,804		4		602
Consumer installment		3		5		-		-
Total		41	$	9,577		6	$	818

As of December 31, 2015	Loans Currently Paying Under Restructured Terms				Loans that have Defaulted Under Restructured Terms
Loan class:	#		Balance (in thousands)		#		Balance (in thousands)
Commercial, financial & agricultural		3	$	23		-	$	-
Real estate – construction & development		2		374		2		30
Real estate – commercial & farmland		15		6,570		2		57
Real estate – residential		9		2,086		8		883
Consumer installment		3		7		1		1
Total		32	$	9,060		13	$	971

As of September 30, 2015	Loans Currently Paying Under Restructured Terms				Loans that have Defaulted Under Restructured Terms
Loan class:	#		Balance (in thousands)		#		Balance (in thousands)
Commercial, financial & agricultural		1	$	1		-	$	-
Real estate – construction & development		3		382		-		-
Real estate – commercial & farmland		7		4,106		-		-
Real estate – residential		12		2,451		4		707
Consumer installment		4		8		-		-
Total		27	$	6,948		4	$	707

80

The following table presents the amount of troubled debt restructurings included in purchased non-covered loans, by types of concessions made, classified separately as accrual and nonaccrual at September 30, 2016, December 31, 2015 and September 30, 2015:

As of September 30, 2016	Accruing Loans				Non-Accruing Loans
Type of concession:	#		Balance (in thousands)		#		Balance (in thousands)
Forbearance of interest		5	$	1,799		1	$	65
Forbearance of principal		5		1,227		1		206
Forbearance of principal, extended amortization		1		80		1		331
Rate reduction only		7		4,037		2		74
Rate reduction, forbearance of interest		7		646		7		371
Rate reduction, forbearance of principal		4		1,113		2		55
Rate reduction, forgiveness of interest		4		391		-		-
Total		33	$	9,293		14	$	1,102

As of December 31, 2015	Accruing Loans				Non-Accruing Loans
Type of concession:	#		Balance (in thousands)		#		Balance (in thousands)
Forbearance of interest		4	$	1,465		2	$	87
Forbearance of principal		2		574		-		-
Payment modification only		2		892		-		-
Forbearance of principal, extended amortization		1		86		1		355
Rate reduction only		8		4,054		2		77
Rate reduction, forgiveness of interest		2		152		-		-
Rate reduction, forbearance of interest		8		1,011		8		118
Rate reduction, forbearance of principal		4		1,139		1		21
Total		31	$	9,373		14	$	658

As of September 30, 2015	Accruing Loans				Non-Accruing Loans
Type of concession:	#		Balance (in thousands)		#		Balance (in thousands)
Forbearance of interest		1	$	-		1	$	67
Forbearance of principal		2		586		-		-
Payment modification only		2		835		1		308
Rate reduction only		6		3,700		1		22
Rate reduction, forbearance of interest		6		927		6		70
Rate reduction, forbearance of principal		3		988		-		-
Rate reduction, forgiveness of interest		2		152		-		-
Total		22	$	7,188		9	$	467

81

The following table presents the amount of troubled debt restructurings included in purchased non-covered loans, by collateral types, classified separately as accrual and nonaccrual at September 30, 2016, December 31, 2015 and September 30, 2015:

As of September 30, 2016	Accruing Loans				Non-Accruing Loans
Collateral type:	#		Balance (in thousands)		#		Balance (in thousands)
Warehouse		4	$	1,592		-	$	-
Raw land		1		401		4		89
Hotel & motel		1		155		-		-
Office		2		509		-		-
Retail, including strip centers		4		3,326		1		206
1-4 family residential		19		3,305		6		790
Automobile/equipment/CD		2		5		3		17
Total		33	$	9,293		14	$	1,102

As of December 31, 2015	Accruing Loans				Non-Accruing Loans
Collateral type:	#		Balance (in thousands)		#		Balance (in thousands)
Warehouse		3	$	1,722		-	$	-
Raw land		-		-		4		63
Hotel & motel		1		158		-		-
Retail, including strip centers		5		3,421		-		-
Office		2		530		-		-
1-4 family residential		17		3,535		6		571
Automobile/equipment/inventory		3		7		4		24
Total		31	$	9,373		14	$	658

As of September 30, 2015	Accruing Loans				Non-Accruing Loans
Collateral type:	#		Balance (in thousands)		#		Balance (in thousands)
Warehouse		1	$	289		-	$	-
Raw land		-		-		2		30
Office		1		452		-		-
Retail, including strip centers		4		3,330		-		-
1-4 family residential		14		3,112		4		433
Automobile/equipment/inventory		2		5		3		4
Total		22	$	7,188		9	$	467

82

As of September 30, 2016, December 31, 2015 and September 30, 2015, the Company had a balance of $13.9 million, $15.5 million and $20.5 million, respectively, in troubled debt restructurings included in covered loans. The following table presents the amount of troubled debt restructurings by loan class of covered loans, classified separately as accrual and nonaccrual at September 30, 2016, December 31, 2015 and September 30, 2015:

As of September 30, 2016	Accruing Loans				Non-Accruing Loans
Loan class:	#		Balance (in thousands)		#		Balance (in thousands)
Commercial, financial & agricultural		-	$	-		3	$	76
Real estate – construction & development		4		813		-		-
Real estate – commercial & farmland		4		1,801		2		680
Real estate – residential		88		9,203		27		1,287
Consumer installment		1		6		-		-
Total		97	$	11,823		32	$	2,043

As of December 31, 2015	Accruing Loans				Non-Accruing Loans
Loan class:	#		Balance (in thousands)		#		Balance (in thousands)
Commercial, financial & agricultural		-	$	-		2	$	1
Real estate – construction & development		4		779		-		-
Real estate – commercial & farmland		4		1,967		3		1,067
Real estate – residential		97		10,529		26		1,116
Consumer installment		2		8		-		-
Total		107	$	13,283		31	$	2,184

As of September 30, 2015	Accruing Loans				Non-Accruing Loans
Loan class:	#		Balance (in thousands)		#		Balance (in thousands)
Commercial, financial & agricultural		1	$	2		2	$	-
Real estate – construction & development		3		2,847		3		325
Real estate – commercial & farmland		9		3,101		8		2,449
Real estate – residential		96		10,625		17		1,167
Consumer installment		1		1		-		-
Total		110	$	16,576		30	$	3,941

83

The following table presents the amount of troubled debt restructurings by loan class of covered loans, classified separately as those currently paying under restructured terms and those that have defaulted (defined as 30 days past due) under restructured terms at September 30, 2016, December 31, 2015 and September 30, 2015:

As of September 30, 2016	Loans Currently Paying Under Restructured Terms				Loans that have Defaulted Under Restructured Terms
Loan class:	#		Balance (in thousands)		#		Balance (in thousands)
Commercial, financial & agricultural		1	$	-		2	$	76
Real estate – construction & development		4		813		-		-
Real estate – commercial & farmland		6		2,481		-		-
Real estate – residential		98		9,442		17		1,048
Consumer installment		1		6		-		-
Total		110	$	12,742		19	$	1,124

As of December 31, 2015	Loans Currently Paying Under Restructured Terms				Loans that have Defaulted Under Restructured Terms
Loan class:	#		Balance (in thousands)		#		Balance (in thousands)
Commercial, financial & agricultural		2	$	-		-	$	-
Real estate – construction & development		4		779		-		-
Real estate – commercial & farmland		5		2,890		2		144
Real estate – residential		95		9,057		28		2,589
Consumer installment		2		8		-		-
Total		108	$	12,734		30	$	2,733

As of September 30, 2015	Loans Currently Paying Under Restructured Terms				Loans that have Defaulted Under Restructured Terms
Loan class:	#		Balance (in thousands)		#		Balance (in thousands)
Commercial, financial & agricultural		3	$	3		-	$	-
Real estate – construction & development		6		3,171		-		-
Real estate – commercial & farmland		14		5,372		3		178
Real estate – residential		92		9,240		21		2,552
Consumer installment		1		1		-		-
Total		116	$	17,787		24	$	2,730

84

The following table presents the amount of troubled debt restructurings included in covered loans, by types of concessions made, classified separately as accrual and nonaccrual at September 30, 2016, December 31, 2015 and September 30, 2015:

As of September 30, 2016	Accruing Loans				Non-Accruing Loans
Type of concession:	#		Balance (in thousands)		#		Balance (in thousands)
Forbearance of interest		5	$	1,761		4	$	163
Forbearance of principal		-		-		3		34
Rate reduction only		73		8,708		8		1,114
Rate reduction, forbearance of interest		10		577		15		433
Rate reduction, forbearance of principal		7		692		1		2
Rate reduction, forgiveness of interest		2		85		1		297
Total		97	$	11,823		32	$	2,043

As of December 31, 2015	Accruing Loans				Non-Accruing Loans
Type of concession:	#		Balance (in thousands)		#		Balance (in thousands)
Forbearance of interest		5	$	1,347		4	$	88
Forbearance of principal		-		-		2		4
Rate reduction only		84		10,270		7		744
Rate reduction, forbearance of interest		8		564		16		422
Rate reduction, forbearance of principal		7		708		2		926
Rate reduction, forgiveness of interest		3		394		-		-
Total		107	$	13,283		31	$	2,184

As of September 30, 2015	Accruing Loans				Non-Accruing Loans
Type of concession:	#		Balance (in thousands)		#		Balance (in thousands)
Forbearance of interest		4	$	1,564		9	$	1,342
Forbearance of principal		-		-		3		426
Rate reduction only		89		13,249		8		803
Rate reduction, forbearance of interest		10		655		8		320
Rate reduction, forbearance of principal		4		713		2		1,050
Rate reduction, forgiveness of interest		3		395		-		-
Total		110	$	16,576		30	$	3,941

85

The following table presents the amount of troubled debt restructurings included in covered loans, by collateral types, classified separately as accrual and nonaccrual at September 30, 2016, December 31, 2015 and September 30, 2015:

As of September 30, 2016	Accruing Loans				Non-Accruing Loans
Collateral type:	#		Balance (in thousands)		#		Balance (in thousands)
Raw land		5	$	1,347		-	$	-
Hotel & motel		-		-		1		578
Retail, including strip centers		2		528		-		-
Office		1		473		-		-
1-4 family residential		88		9,469		27		1,337
Automobile/equipment/CD		1		6		4		128
Total		97	$	11,823		32	$	2,043

As of December 31, 2015	Accruing Loans				Non-Accruing Loans
Collateral type:	#		Balance (in thousands)		#		Balance (in thousands)
Raw land		5	$	1,321		-	$	-
Hotel & motel		1		620		1		923
Retail, including strip centers		2		537		1		6
1-4 family residential		97		10,742		27		1,255
Automobile/equipment/inventory		2		63		2		-
Total		107	$	13,283		31	$	2,184

As of September 30, 2015	Accruing Loans				Non-Accruing Loans
Collateral type:	#		Balance (in thousands)		#		Balance (in thousands)
Warehouse		2	$	1,418		-	$	-
Raw land		1		431		4		346
Agricultural land		-		-		1		512
Hotel & motel		4		3,199		1		930
Office		1		90		-		-
Retail, including strip centers		3		662		1		6
1-4 family residential		97		10,718		21		2,147
Automobile/equipment/inventory		2		58		2		-
Total		110	$	16,576		30	$	3,941

86

Commercial Lending Practices

The federal bank regulatory agencies previously issued interagency guidance on commercial real estate lending and prudent risk management practices. This guidance defines commercial real estate (“CRE”) loans as loans secured by raw land, land development and construction (including 1-4 family residential construction), multi-family property and non-farm nonresidential property where the primary or a significant source of repayment is derived from rental income associated with the property, excluding owner occupied properties (loans for which 50% or more of the source of repayment is derived from the ongoing operations and activities conducted by the party, or affiliate of the party, who owns the property) or the proceeds of the sale, refinancing or permanent financing of the property. Loans for owner occupied CRE are generally excluded from the CRE guidance.

The CRE guidance is applicable when either:

(1) total loans for construction, land development, and other land, net of owner occupied loans, represent 100% or more of a bank’s total risk-based capital; or

(2) total loans secured by multifamily and nonfarm nonresidential properties and loans for construction, land development, and other land, net of owner occupied loans, represent 300% or more of a bank’s total risk-based capital.

Banks that are subject to the CRE guidance criteria are required to implement enhanced strategic planning, CRE underwriting policies, risk management and internal controls, portfolio stress testing, risk exposure limits, and other policies, including management compensation and incentives, to address the CRE risks. Higher allowances for loan losses and capital levels may also be appropriate.

As of September 30, 2016, the Company exhibited a concentration in the CRE loan category based on Federal Reserve Call codes. The primary risks of CRE lending are:

(1) within CRE loans, construction and development loans are somewhat dependent upon continued strength in demand for residential real estate, which is reliant on favorable real estate mortgage rates and changing population demographics;

(2) on average, CRE loan sizes are generally larger than non-CRE loan types; and

(3) certain construction and development loans may be less predictable and more difficult to evaluate and monitor.

The following table outlines CRE loan categories and CRE loans as a percentage of total loans as of September 30, 2016 and December 31, 2015. The loan categories and concentrations below are based on Federal Reserve Call codes and include purchased non-covered and covered loans:

(Dollars in Thousands)	September 30, 2016					December 31, 2015
	Balance		% of Total Loans			Balance		% of Total Loans
Construction and development loans	$	417,627		9	%	$	324,385		8	%
Multi-family loans		122,850		2	%		102,320		3	%
Nonfarm non-residential loans		1,778,808		37	%		1,464,652		37	%
Total CRE Loans		2,319,285		48	%	$	1,891,357		48	%
All other loan types		2,526,021		52	%		2,017,566		52	%
Total Loans	$	4,845,306		100	%	$	3,908,923		100	%

The following table outlines the percentage of total CRE loans, net of owner occupied loans, to total risk-based capital, and the Company’s internal concentration limits as of September 30, 2016 and December 31, 2015:

	Internal			September 30, 2016			December 31, 2015
	Limit			Actual			Actual
Construction and development		100	%		65	%		63	%
Commercial real estate		300	%		183	%		189	%

Short-Term Investments

The Company’s short-term investments are comprised of federal funds sold and interest-bearing balances. At September 30, 2016, the Company’s short-term investments were $90.8 million, compared with $272.0 million and $120.9 million at December 31, 2015 and September 30, 2015, respectively. At September 30, 2016, $5.5 million was in federal funds sold and $85.3 million was in interest-bearing balances at correspondent banks and the Federal Reserve Bank of Atlanta.  

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Derivative Instruments and Hedging Activities

The Company has a cash flow hedge that matures September 15, 2020 with a notional amount of $37.1 million at September 30, 2016, December 31, 2015 and September 30, 2015 for the purpose of converting the variable rate on certain junior subordinated debentures to a fixed rate of 4.11%. The fair value of this instrument was a liability of approximately $2.0 million, $1.4 million and $2.0 million at September 30, 2016, December 31, 2015 and September 30, 2015, respectively.

The Company has fair value hedges with a combined notional amount of $20.4 million at September 30, 2016 for the purpose of hedging the change in fair value of certain fixed rate loans. These instruments have maturity dates that range from January 2023 to October 2031 and are indexed to the one-month LIBOR rate. The fair value of these instruments amounted to a liability of approximately $1.0 million at September 30, 2016.

The Company also has forward contracts and IRLCs to hedge changes in the value of the mortgage inventory due to changes in market interest rates. The fair value of these instruments amounted to an asset of approximately $5.1 million, $2.7 million and $3.5 million at September 30, 2016, December 31, 2015 and September 30, 2015, respectively, and a liability of approximately $840,000, $137,000 and $905,000 at September 30, 2016, December 31, 2015 and September 30, 2015, respectively.

No material hedge ineffectiveness from cash flow or fair value hedges was recognized in the statement of operations. All components of each derivative’s gain or loss are included in the assessment of hedge effectiveness.

Capital

On January 29, 2015, the Company completed a private placement of 5,320,000 shares of common stock at a price of $22.50 per share. The Company received net proceeds from the issuance of approximately $114.5 million, after deducting placement agent commissions and other issuance costs. The Company used the net proceeds to fund the acquisitions of Merchants and eighteen Bank of America branches located in North Florida and South Georgia.

Capital management consists of providing equity to support both current and anticipated future operations. The Company is subject to capital adequacy requirements imposed by the Federal Reserve Board (the “FRB”) and the Georgia Department of Banking and Finance (the “GDBF”), and the Bank is subject to capital adequacy requirements imposed by the FDIC and the GDBF.

The FRB, the FDIC and the GDBF have adopted risk-based capital requirements for assessing bank holding company and bank capital adequacy. These standards define and establish minimum capital requirements in relation to assets and off-balance sheet exposure, adjusted for credit risk. The risk-based capital standards currently in effect are designed to make regulatory capital requirements more sensitive to differences in risk profiles among bank holding companies and banks and to account for off-balance sheet exposure. 

In July 2013, the Federal Reserve published final rules for the adoption of the Basel III regulatory capital framework (the "Basel III Capital Rules"). The Basel III Capital Rules defined a new capital measure called "Common Equity Tier 1" ("CET1"), established that Tier 1 capital consist of Common Equity Tier 1 and "Additional Tier 1 Capital" instruments meeting specified requirements, defined Common Equity Tier 1, established a capital conservation buffer and expanded the scope of the adjustments as compared with existing regulations. The capital conservation buffer is being phased in from 0.0% for 2015 and 0.625% for 2016. It is being increased by 0.625% per year until reaching 2.50% by 2019. The Basel III Capital Rules became effective for us on January 1, 2015 with certain transition provisions fully phased in on January 1, 2019.

The regulatory capital standards are defined by the following key measurements:

a) The “Leverage Ratio” is defined as Tier 1 capital to average assets. To be considered “adequately capitalized” under this measurement, a bank must maintain a leverage ratio greater than or equal to 4.00%. For a bank to be considered “well capitalized,” it must maintain a leverage ratio greater than or equal to 5.00%.

b) The “CET1 Ratio” is defined as Common equity tier 1 capital to total risk weighted assets. To be considered “adequately capitalized” under this measurement, a bank must maintain a CET1 ratio greater than or equal to 4.50%. For a bank to be considered “well capitalized,” it must maintain a CET1 ratio greater than or equal to 6.50%.

c) The “Core Capital Ratio” is defined as Tier 1 capital to total risk weighted assets. To be considered “adequately capitalized” under this measurement, a bank must maintain a core capital ratio greater than or equal to 6.00%. For a bank to be considered “well capitalized,” it must maintain a core capital ratio greater than or equal to 8.00%.

d) The “Total Capital Ratio” is defined as total capital to total risk weighted assets. To be considered “adequately capitalized” under this measurement, a bank must maintain a total capital ratio greater than or equal to 8.00%. For a bank to be considered “well capitalized,” it must maintain a total capital ratio greater than or equal to 10.00%.

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As of September 30, 2016, under the regulatory capital standards, the Bank was considered “well capitalized” under all capital measurements. The following table sets forth the regulatory capital ratios of Ameris at September 30, 2016, December 31, 2015 and September 30, 2015.

	September 30, 2016			December 31, 2015			September 30, 2015
Leverage Ratio (tier 1 capital to average assets)
Consolidated		9.09	%		8.70	%		8.85	%
Ameris Bank		9.31			9.32			9.44
CET1 Ratio (common equity tier 1capital to risk weighted assets)
Consolidated		9.08			9.54			10.04
Ameris Bank		10.93			11.74			12.31
Core Capital Ratio (tier 1 capital to risk weighted assets)
Consolidated		10.67			10.96			11.52
Ameris Bank		10.93			11.74			12.31
Total Capital Ratio (total capital to risk weighted assets)
Consolidated		11.11			11.45			12.09
Ameris Bank		11.37			12.24			12.89

Interest Rate Sensitivity and Liquidity

The Company’s primary market risk exposures are credit risk, interest rate risk, and to a lesser degree, liquidity risk. The Bank operates under an Asset Liability Management Policy approved by the Company’s Board of Directors and the Asset and Liability Committee (the “ALCO Committee”). The policy outlines limits on interest rate risk in terms of changes in net interest income and changes in the net market values of assets and liabilities over certain changes in interest rate environments. These measurements are made through a simulation model which projects the impact of changes in interest rates on the Bank’s assets and liabilities. The policy also outlines responsibility for monitoring interest rate risk, and the process for the approval, implementation and monitoring of interest rate risk strategies to achieve the Bank’s interest rate risk objectives.

The ALCO Committee is comprised of senior officers of Ameris and two outside members of the Company’s Board of Directors. The ALCO Committee makes all strategic decisions with respect to the sources and uses of funds that may affect net interest income, including net interest spread and net interest margin. The objective of the ALCO Committee is to identify the interest rate, liquidity and market value risks of the Company’s balance sheet and use reasonable methods approved by the Company’s Board of Directors and executive management to minimize those identified risks.

The normal course of business activity exposes the Company to interest rate risk. Interest rate risk is managed within an overall asset and liability framework for the Company. The principal objectives of asset and liability management are to predict the sensitivity of net interest spreads to potential changes in interest rates, control risk and enhance profitability. Funding positions are kept within predetermined limits designed to properly manage risk and liquidity. The Company employs sensitivity analysis in the form of a net interest income simulation to help characterize the market risk arising from changes in interest rates. In addition, fluctuations in interest rates usually result in changes in the fair market value of the Company’s financial instruments, cash flows and net interest income. The Company’s interest rate risk position is managed by the ALCO Committee.

The Company uses a simulation modeling process to measure interest rate risk and evaluate potential strategies. Interest rate scenario models are prepared using software created and licensed from an outside vendor. The Company’s simulation includes all financial assets and liabilities. Simulation results quantify interest rate risk under various interest rate scenarios. Management then develops and implements appropriate strategies. The ALCO Committee has determined that an acceptable level of interest rate risk would be for net interest income to increase/decrease no more than 20% given a change in selected interest rates of 200 basis points over any 24-month period.

Liquidity management involves the matching of the cash flow requirements of customers, who may be either depositors desiring to withdraw funds or borrowers needing assurance that sufficient funds will be available to meet their credit needs, and the ability of Ameris to manage those requirements. The Company strives to maintain an adequate liquidity position by managing the balances and maturities of interest-earning assets and interest-bearing liabilities so that the balance it has in short-term investments at any given time will adequately cover any reasonably anticipated immediate need for funds. Additionally, the Bank maintains relationships with correspondent banks, which could provide funds on short notice, if needed. The Company has invested in FHLB stock for the purpose of establishing credit lines with the FHLB. The credit availability to the Bank is equal to 30% of the Bank’s total assets as reported on the most recent quarterly financial information submitted to the regulators subject to the pledging of sufficient collateral. At September 30, 2016, December 31, 2015 and September 30, 2015, there were $373.5 million, $39.0 million and $39.0 million, respectively, outstanding borrowings with the Company’s correspondent banks.

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The following liquidity ratios compare certain assets and liabilities to total deposits or total assets:

	September 30, 2016			June 30, 2016			March 31, 2016			December 31, 2015			September 30, 2015
Investment securities available for sale to total deposits		15.80	%		16.29	%		16.00	%		16.05	%		17.91	%
Loans (net of unearned income) to total deposits		91.32	%		89.26	%		84.98	%		80.11	%		80.77	%
Interest-earning assets to total assets		91.25	%		90.62	%		89.98	%		90.81	%		90.17	%
Interest-bearing deposits to total deposits		70.54	%		70.00	%		70.77	%		72.74	%		71.84	%

The liquidity resources of the Company are monitored continuously by the ALCO Committee and on a periodic basis by state and federal regulatory authorities. As determined under guidelines established by these regulatory authorities, the Company’s and the Bank’s liquidity ratios at September 30, 2016 were considered satisfactory. The Company is aware of no events or trends likely to result in a material change in liquidity.

Item 3. Quantitative and Qualitative Disclosures About Market Risk.

The Company is exposed only to U.S. dollar interest rate changes, and, accordingly, the Company manages exposure by considering the possible changes in the net interest margin. The Company does not have any trading instruments nor does it classify any portion of the investment portfolio as held for trading. The Company’s hedging activities are limited to cash flow hedges and fair value hedges and are part of the Company’s program to manage interest rate sensitivity.

At September 30, 2016, the Company had one cash flow hedge with a notional amount of $37.1 million for the purpose of converting the variable rate on certain junior subordinated debentures to a fixed rate. The LIBOR rate swap exchanges fixed rate payments of 4.11% for floating rate payments based on the three-month LIBOR rate and matures September 2020. The fair value of this instrument was a liability of approximately $2.0 million, $1.4 million and $2.0 million at September 30, 2016, December 31, 2015 and September 30, 2015, respectively.

At September 30, 2016, the Company had fair value hedges with a combined notional amount of $20.4 million for the purpose of hedging the change in fair value of certain fixed rate loans. These instruments have maturity dates that range from January 2023 to October 2031 and are indexed to the one-month LIBOR rate. The fair value of these instruments amounted to a liability of approximately $1.0 million at September 30, 2016.

The Company also had forward contracts and IRLCs to hedge changes in the value of the mortgage inventory due to changes in market interest rates. The fair value of these instruments amounted to a net asset of approximately $4.2 million, $2.5 million and $2.6 million at September 30, 2016, December 31, 2015, and September 30, 2015 respectively.

The Company has no exposure to foreign currency exchange rate risk, commodity price risk and other market risks.

Interest rates play a major part in the net interest income of a financial institution. The sensitivity to rate changes is known as “interest rate risk.” The repricing of interest-earning assets and interest-bearing liabilities can influence the changes in net interest income. As part of the Company’s asset/liability management program, the timing of repriced assets and liabilities is referred to as “gap management.”

The Company uses simulation analysis to monitor changes in net interest income due to changes in market interest rates. The simulation of rising, declining and flat interest rate scenarios allows management to monitor and adjust interest rate sensitivity to minimize the impact of market interest rate swings. The analysis of the impact on net interest income over a 12-month and 24-month period is subjected to a gradual and shock 200 basis point increase or decrease in market rates on net interest income and is monitored on a quarterly basis.

Additional information required by Item 305 of Regulation S-K is set forth under Part I, Item 2 of this report.

Item 4. Controls and Procedures.

The Company’s Chief Executive Officer and Chief Financial Officer have evaluated the Company’s disclosure controls and procedures (as such term is defined in Rules 13a-15(e) or 15d-15(e) promulgated under the Exchange Act), as of the end of the period covered by this report, as required by paragraph (b) of Rules 13a-15 or 15d-15 of the Exchange Act. Based on such evaluation, such officers have concluded that, as of the end of the period covered by this report, the Company’s disclosure controls and procedures are effective.

 During the quarter ended September 30, 2016, there was no change in the Company’s internal control over financial reporting identified in connection with the evaluation required by paragraph (d) of Rules 13a-15 or 15d-15 of the Exchange Act that has materially affected, or is reasonably likely to materially affect, the Company’s internal control over financial reporting.  

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PART II - OTHER INFORMATION

Item 1. Legal Proceedings.

From time to time, as a normal incident of the nature and kind of business in which the Company is engaged, various claims or charges are asserted against the Company or the Bank. In the ordinary course of business, the Company and the Bank are also subject to regulatory examinations, information gathering requests, inquiries and investigations. Other than ordinary routine litigation incidental to the Company’s business, management believes based on its current knowledge and after consultation with legal counsel that there are no pending or threatened legal proceedings that will, individually or in the aggregate, have a material adverse effect on the consolidated results of operations or financial condition of the Company.

Item 1A. Risk Factors.

The following risk factor is in addition to the risk factors disclosed in Item 1A. of Part I of our Annual Report on Form 10-K for the year ended December 31, 2015:

Hurricanes or other adverse weather events could disrupt our operations or negatively affect economic conditions in the markets we serve, which could have an adverse effect on our business or results of operations.

Our market areas, located in the southeastern United States, are susceptible to natural disasters, such as hurricanes, tropical storms, other severe weather events and related flooding and wind damage. These natural disasters could negatively impact regional economic conditions, cause a decline in the value of mortgage properties or the destruction of mortgaged properties, cause an increase in the risk of delinquencies, foreclosures or losses on loans originated by us, damage our banking facilities and offices and negatively impact our growth strategy. We cannot predict with certainty whether or to what extent damage that may be caused by severe weather events will affect our operations or assets or the economies in our current or future market areas.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds.

(c) Issuer Purchases of Equity Securities.

The table below sets forth information regarding the Company’s repurchase of shares of its outstanding common stock during the three-month period ended September 30, 2016.

Period:	Total Number of Shares Purchased (1)		Average Price Paid Per Share		Total Number of Shares Purchased as part of Publicly Announced Plans or Programs		Approximate Dollar Value of Shares That May Yet be Purchased Under the Plans or Programs
July 1, 2016 through July 31, 2016		481	$	29.70		-	$	-
August 1, 2016 through August 31, 2016		-		-		-		-
September 1, 2016 through September 30, 2016		-		-		-		-
Total		481	$	29.70		-	$	-

(1) The shares purchased from July 1, 2016 through September 30, 2016 consist of shares of common stock surrendered to the Company in payment of the income tax withholding obligations relating to the vesting of shares of restricted stock.

Item 3. Defaults Upon Senior Securities.

None.

Item 4. Mine Safety Disclosures.

Not applicable.

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Item 5. Other Information.

On November 7, 2016, the Bank and Edwin W. Hortman, Jr., President and Chief Executive Officer of the Company and Chief Executive Officer of the Bank, entered into a Supplemental Executive Retirement Agreement (the “Retirement Agreement”). The Retirement Agreement provides for the payment of an annual retirement benefit of $250,000 for a period of five years, payable in monthly installments, commencing when Mr. Hortman reaches age 75, provided that he remains employed by the Bank until age 66. The Retirement Agreement provides for a reduced benefit in the event that Mr. Hortman terminates his employment prior to reaching age 66. If the termination is voluntary and without “good reason,” as defined in the Retirement Agreement, then the termination benefit is equal to the liability balance then accrued in the Company’s accounting records for Mr. Hortman, to be paid out in monthly installments ratably over a period of five years commencing at age 75; provided, however, that Mr. Hortman does not become vested in this benefit until after the one-year anniversary of the date of the Retirement Agreement. If the termination of employment is involuntary and without “cause,” as defined in the Retirement Agreement, or is voluntary but with good reason, then the termination benefit is equal to the liability balance then accrued in the Company’s accounting records for Mr. Hortman, to be paid out in monthly installments ratably over a period of five years commencing at age 75, without a time-vesting precondition. If Mr. Hortman is terminated for cause at any time, then all remaining benefits under the Retirement Agreement will be forfeited. The Retirement Agreement also provides that if Mr. Hortman dies prior to reaching age 66, then the annual retirement benefit will be payable in monthly installments to his beneficiary for a period of five years, commencing ten years after Mr. Hortman’s death. In addition, if Mr. Hortman becomes disabled prior to reaching age 66, then he will be entitled to a benefit equal to the liability balance then accrued in the Company’s accounting records for him, to be paid out in monthly installments ratably over a period of five years commencing five years after his disability. The Retirement Agreement further provides that, following a “change in control,” as defined in the Retirement Agreement, Mr. Hortman will be entitled to receive the annual retirement benefit in monthly installments for a period of five years commencing at age 75, without regard to whether he continues to be employed by the Bank until reaching age 66.

Also on November 7, 2016, the Bank and Cindi H. Lewis, Executive Vice President, Chief Administrative Officer and Corporate Secretary of the Company and the Bank, entered into an amendment to the Supplemental Executive Retirement Agreement between the Bank and Ms. Lewis dated as of November 7, 2012 to extend the annual retirement benefit of $100,000 provided under that agreement for an additional five years in all circumstances under which Ms. Lewis or her beneficiary would otherwise be entitled to receive benefit payments.

Item 6. Exhibits.

The exhibits required to be furnished with this report are listed on the exhibit index attached hereto.

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

Date: November 9, 2016	AMERIS BANCORP
	/s/ Dennis J. Zember Jr.
	Dennis J. Zember Jr., Executive Vice President, Chief Financial Officer and Chief Operating Officer (duly authorized signatory and principal accounting and financial officer)

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EXHIBIT INDEX

Exhibit No.	Description
3.1	Articles of Incorporation of Ameris Bancorp, as amended (incorporated by reference to Exhibit 2.1 to Ameris Bancorp’s Regulation A Offering Statement on Form 1-A filed with the Commission on August 14, 1987).
3.2	Amendment to Amended Articles of Incorporation of Ameris Bancorp (incorporated by reference to Exhibit 3.1.1 to Ameris Bancorp’s Form 10-K filed with the Commission on March 28, 1996).
3.3	Amendment to Amended Articles of Incorporation of Ameris Bancorp (incorporated by reference to Exhibit 4.3 to Ameris Bancorp’s Registration Statement on Form S-4 filed with the Commission on July 17, 1996).
3.4	Articles of Amendment to the Articles of Incorporation of Ameris Bancorp (incorporated by reference to Exhibit 3.5 to Ameris Bancorp’s Annual Report on Form 10-K filed with the Commission on March 25, 1998).
3.5	Articles of Amendment to the Articles of Incorporation of Ameris Bancorp (incorporated by reference to Exhibit 3.7 to Ameris Bancorp’s Annual Report on Form 10-K filed with the Commission on March 26, 1999).
3.6	Articles of Amendment to the Articles of Incorporation of Ameris Bancorp (incorporated by reference to Exhibit 3.9 to Ameris Bancorp’s Annual Report on Form 10-K filed with the Commission on March 31, 2003).
3.7	Articles of Amendment to the Articles of Incorporation of Ameris Bancorp (incorporated by reference to Exhibit 3.1 to Ameris Bancorp’s Current Report on Form 8-K filed with the Commission on December 1, 2005).
3.8	Articles of Amendment to the Articles of Incorporation of Ameris Bancorp (incorporated by reference to Exhibit 3.1 to Ameris Bancorp’s Current Report on Form 8-K filed with the Commission on November 21, 2008).
3.9	Articles of Amendment to the Articles of Incorporation of Ameris Bancorp (incorporated by reference to Exhibit 3.1 to Ameris Bancorp’s Current Report on Form 8-K filed with the Commission on June 1, 2011).
3.10	Amended and Restated Bylaws of Ameris Bancorp (incorporated by reference to Exhibit 3.1 to Ameris Bancorp’s Current Report on Form 8-K filed with the Commission on March 14, 2005).
10.1*	Supplemental Executive Retirement Agreement by and between Ameris Bank and Edwin W. Hortman, Jr. dated as of November 7, 2016.
10.2*	First Amendment to Supplemental Executive Retirement Agreement by and between Ameris Bank and Cindi H. Lewis dated as of November 7, 2016.
10.3*	Executive Employment Agreement by and among Ameris Bancorp, Ameris Bank and Joseph B. Kissel dated as of July 25, 2016.
31.1	Rule 13a-14(a)/15d-14(a) Certification by the Company’s Chief Executive Officer.
31.2	Rule 13a-14(a)/15d-14(a) Certification by the Company’s Chief Financial Officer.
32.1	Section 1350 Certification by the Company’s Chief Executive Officer.
32.2	Section 1350 Certification by the Company’s Chief Financial Officer.
101	The following financial statements from Ameris Bancorp’s Form 10-Q for the quarter ended September 30, 2016, formatted as interactive data files in XBRL (eXtensible Business Reporting Language): (i) Consolidated Balance Sheets; (ii) Consolidated Statements of Earnings and Comprehensive Income; (iii) Consolidated Statements of Changes in Stockholders’ Equity; (iv) Consolidated Statements of Cash Flows; and (v) Notes to Consolidated Financial Statements.
*	Management contract or other compensatory plan or arrangement.

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EX-10.1

Exhibit 10.1

AMERIS BANK

SUPPLEMENTAL EXECUTIVE RETIREMENT AGREEMENT

This Supplemental Executive Retirement Agreement is adopted as of the 7th day of November, 2016 by and between AMERIS BANK, a bank duly organized under the laws of the State of Georgia (the “Bank”), and EDWIN W. HORTMAN, JR., an individual resident of the State of Georgia (the “Employee”). Certain capitalized terms used in this Agreement have the meanings assigned to them in Article II hereof.

WHEREAS, the Bank wishes to retain the valuable services of its key executives and management and other highly compensated employees by providing attractive and competitive supplemental retirement income and death and other benefit programs to such employees;

WHEREAS, the Bank recognizes that it is in the best interest of both the Bank and such select employees to provide attractive employer-sponsored programs to ensure that such employees have sufficient retirement income for themselves and survivor income for their families and other dependents;

WHEREAS, tax-qualified retirement plans, with the applicable limitations on benefits, and employer contributions under the Code may be inadequate or inappropriate, and an employer-sponsored supplemental income plan may best provide such select employees appropriate levels of income continuation in the specific desired circumstances; and

WHEREAS, the Bank has determined that offering such a non-qualified benefit plan to retain the services of such key executives and management, including the Employee, is in the Bank’s best business interest, and the Bank is willing to provide such a plan to the Employee in return for his current and future services and wishes to provide the terms and conditions for such plan, which terms and conditions are set forth herein;

NOW, THEREFORE, in consideration of the foregoing and the mutual representations, warranties, covenants and agreements set forth herein, the parties hereto, intending to be legally bound hereby, agree as follows:

ARTICLE I

INTRODUCTION

1.1       Effective Date. The effective date of this Agreement is November 7, 2016.

1.2       Purpose. The purpose of this Agreement is to provide the Employee with certain supplemental benefits for retirement income and other income continuation needs for himself and his family and other dependents and to address limitations on total benefits payable under this Agreement, and to do so in such a manner as to retain the services of the Employee for a significant period in order to claim these supplemental benefits. This Agreement is intended to constitute a non-qualified “top-hat” plan under applicable Code sections; this Agreement constitutes an unfunded plan of deferred compensation maintained for a select group of management or highly compensated employees of the Bank pursuant to Sections 201(2), 301(a)(3) and 401(a)(1) of ERISA and an unfunded plan of deferred compensation under the Code.

1.3       Interpretation. Wherever appropriate, pronouns of any gender shall be deemed synonymous, as shall singular and plural pronouns. Headings of Articles and Sections are for convenience of reference only and are not to be considered in the construction or interpretation of this Agreement. References to Articles and Sections are to the Articles and Sections of this Agreement unless otherwise specified. This Agreement shall be interpreted and administered so as to give effect to its purpose as expressed in Section 1.2 and to qualify as a non-qualified, unfunded plan of deferred compensation in compliance with the requirements of Section 409A of the Code and the regulations promulgated thereunder, each as may be amended from time to time.

ARTICLE II

DEFINITIONS

Certain words and phrases are defined when first used in later paragraphs of this Agreement. The following terms, when used in this Agreement, shall have the following respective meanings:

2.1       “Accrued Liability” shall mean that portion of the Employee’s aggregate Normal Retirement Benefit payments as provided for herein that has been accrued on the books of the Bank at any specified time.

2.2       “Administrator” shall mean the person or persons described in Article VI who are charged with the day-to-day administration, interpretation and operation of this Agreement.

2.3       “Agreement” shall mean this Supplemental Executive Retirement Agreement, together with any and all amendments hereto.

2.4       “Bank” shall mean Ameris Bank and its successors or assigns, unless otherwise provided herein.

2.5       “Beneficiary” shall mean any person or trust, or combination, as last designated by the Employee during the Employee’s lifetime upon a “Beneficiary Designation Form,” provided by the Bank and filed with the Administrator, who is specifically named to be a direct or contingent recipient of all or a portion of the Employee’s benefits under this Agreement in the event of the Employee’s death. Such designation shall be revocable by the Employee at any time during the Employee’s lifetime without the consent of any Beneficiary, whether living or born thereafter. Unless expressly provided by law, the Beneficiary may not be designated or revoked and changed by the Employee in any other way. No Beneficiary designation or Beneficiary change shall be effective until received in writing and acknowledged according to established procedures and practices of the Bank. Should the Employee fail to designate the Beneficiary, the Beneficiary shall be the Employee’s estate.

2.6       “Board” shall mean the Board of Directors of the Bank as from time to time constituted.

2.7       “Claimant” has the meaning set forth in Section 6.7.

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2.8       “Cause” shall have the meaning given thereto in any employment agreement then in effect between the Bank or the Holding Company and the Employee, or if no such agreement exists, “Cause” shall mean, as determined by the Board, the following:

A. the commission of an act by the Employee involving gross negligence, willful misconduct or moral turpitude that is materially damaging to the business, customer relations, operations or prospects of the Bank or the Holding Company or that brings the Bank or the Holding Company into public disrepute or disgrace;

B. the commission of an act by the Employee constituting dishonesty or fraud against the Bank or the Holding Company;

C. the Employee is convicted of, or pleads guilty or nolo contendere to, any crime involving breach of trust or moral turpitude or any felony; or

D. a consistent pattern of failure by the Employee to follow the reasonable written instructions or policies of the Employee’s supervisor or the Board.

2.9       “Change in Control” shall mean a change in the ownership or effective control of, or a change in the ownership of a substantial portion of the assets of, the Bank, as provided in Section 409A of the Code.

2.10       “Code” shall mean the Internal Revenue Code of 1986 and the regulations promulgated thereunder, each as may be amended from time to time.

2.11       “Disability” shall mean that the Employee is (A) unable to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment that can be expected to result in death or can be expected to last for a continuous period of not less than twelve (12) months, or (B) receiving income replacement benefits for a period of not less than three (3) months under an accident and health policy covering employees of the Bank, by reason of a medically determinable physical or mental impairment that can be expected to result in death or can be expected to last for a continuous period of not less than twelve (12) months. Medical determination of Disability may be made by either the Social Security Administration or by the provider of an accident or health plan covering employees of the Bank. Upon the request of the Administrator, the Employee must submit proof to the Administrator of the Social Security Administration’s or the provider’s determination.

2.12       “Effective Date” shall mean the date set forth in Section 1.1.

2.13       “Employee” shall mean Edwin W. Hortman, Jr. For purposes of payment of survivor death benefits only, if any, the term “Employee” shall also include a surviving Beneficiary.

2.14       “ERISA” shall mean the Employee Retirement Income Security Act of 1974, as amended.

2.15       “Forfeiture” shall mean the loss of any portion of the Employee’s benefit resulting from the Employee’s termination from employment prior to the time the Employee becomes fully vested in the Employee’s benefit. Such term shall also mean any amounts of the Employee’s benefit lost due to the provisions of Section 4.2. All such Forfeiture amounts shall revert to the Bank and shall not be paid to or on account of the Employee or the Employee’s Beneficiary.

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2.16       “Good Reason” shall have the meaning given thereto in any employment agreement then in effect between the Bank or the Holding Company and the Employee, or if no such agreement exists, “Good Reason” shall mean any of the following, provided that in such latter case, the Employee terminates the Employee’s employment for Good Reason within ninety (90) days following the initial existence of the condition giving rise to Good Reason termination, provides at least thirty (30) days advance written notice to the Bank explaining the basis for Good Reason and the Bank has not remedied such Good Reason within thirty (30) days following such notice:

A. a material reduction in the Employee’s rate of regular compensation from the Bank;

B. a relocation of the Employee’s principal place of employment by more than fifty (50) miles, other than to an office or location closer to the Employee’s home residence and except for required travel on Bank business to an extent substantially consistent with the Employee’s business travel obligations as of the date of relocation; or

C. a material reduction in the Employee’s authority, duties, title or responsibilities, other than any change resulting solely from a change in the publicly-traded status of the Bank or the Holding Company.

2.17       “Holding Company” shall mean Ameris Bancorp, a Georgia corporation, or its successors.

2.18       “Leave of Absence” shall mean a temporary period of time, not to exceed six (6) consecutive calendar months, during which time the Employee shall not be an active employee of the Bank, but shall be treated for purposes of this Agreement as in continuous employment with the Bank, including for purposes of vesting. A Leave of Absence may be either paid or unpaid, but must be agreed to in writing by both the Bank and the Employee. A Leave of Absence that continues beyond six (6) consecutive months shall be treated as a voluntary Termination of Employment, subject to Section 3.3, as of the first date immediately following such six-month period for purposes of this Agreement.

2.19       “Normal Retirement Benefit” has the meaning set forth in Section 3.1.

2.20       “Payment Age” shall mean the Employee’s attainment of age seventy-five (75).

2.21       “Plan Distribution” shall mean any distributions made to the Employee pursuant to this Agreement.

2.22       “Plan Year” shall mean the twelve (12) consecutive month period constituting a calendar year, beginning on January 1 and ending on December 31. However, in any partial year that does not begin on January 1, “Plan Year” shall also mean the period remaining in such partial year ending on December 31.

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2.23       “Prohibited Disclosure” shall mean a material breach of any nondisclosure provision in any employment agreement or nondisclosure or similar restrictive covenant agreement then in effect between the Bank or the Holding Company and the Employee, or if no such agreement exists, “Prohibited Disclosure” means the actual disclosure of trade secrets, customer information or any other confidential or proprietary information of the Bank or the Holding Company to another business or businesses, including, without limitation, known competitors or other organizations or entities that compete with the Bank’s or the Holding Company’s business.

2.24       “Retirement Age” shall mean the Employee’s attainment of age sixty-six (66).

2.25       “Termination of Employment” shall mean the Employee’s “separation from service” with the Bank within the meaning of Section 409A of the Code.

2.26       “Trust” shall mean one or more grantor trusts (so-called “Rabbi Trusts”), if any, established pursuant to Sections 671 et. seq. of the Code and maintained by the Bank for its own administrative convenience in connection with the operation and administration of this Agreement and the management of any of its general assets set aside to help cover its financial obligations under this Agreement. Such Trust, if any, shall be governed by a separate agreement between the Bank and the Trustee. Any such assets held in such a Trust shall remain subject to the claims of the Bank’s general creditors. The Bank shall not be required to establish such a Trust, and may continue or discontinue such a Trust, if created, only subject to those limitations of termination and amendment as may be contained in the Trust agreement.

2.27       “Trustee” shall mean the party or parties named under any Trust agreement (and such successor and/or additional trustees) who shall possess such authority and discretion to hold, manage and control specified assets of the Bank in connection with the operation and administration of this Agreement as provided under the agreement between the Trust and the Bank.

2.28       “Years of Plan Service” shall mean the number of full calendar years the Employee has been employed by the Bank beginning on the Effective Date.

ARTICLE III

EMPLOYEE BENEFITS

3.1       Normal Retirement Benefit; Change in Control. Except as otherwise provided in Articles III and IV, upon the first to occur of (i) the Executive’s achieving Retirement Age while employed by the Bank or (ii) a Change in Control while the Executive is employed by the Bank, the Executive shall be paid an annual benefit of $250,000 (the “Normal Retirement Benefit”) for a period of five (5) years, commencing the first day of the month following the Executive’s Payment Age.

3.2       Death Benefit for Death Prior to Retirement Age. In the event of the Employee’s death while the Employee is employed by the Bank but prior to the Employee’s becoming entitled to receive Normal Retirement Benefit payments or other Plan Distributions, the Employee’s Beneficiary shall receive the Normal Retirement Benefit for a period of five (5) years, commencing the tenth (10th) anniversary of the Employee’s death. Such benefit shall be in lieu of and replacement for all other benefits provided for under this Agreement and shall be in full satisfaction of any and all benefits provided for under this Agreement.

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3.3       Voluntary Termination of Employment Other Than for Good Reason. In the event of the Employee incurring a voluntary Termination of Employment prior to Retirement Age or a Change in Control for any reason other than Good Reason (or as a result of the Employee’s death or Disability), the Bank shall pay the Employee the vested portion of the Accrued Liability determined as of the date of such Termination of Employment, as provided in Section 4.1. Such benefit amount shall be paid out ratably over a period of five (5) years, commencing at Payment Age. Such benefit shall be in lieu of and replacement for all other benefits provided for under this Agreement and shall be in full satisfaction of any and all benefits provided for under this Agreement.

3.4       Involuntary Termination of Employment Other Than for Cause and Voluntary Termination for Good Reason. In the event of the Employee incurring an involuntary Termination of Employment prior to Retirement Age or a Change in Control for any reason other than Cause (or as a result of the Employee’s death or Disability), or a voluntary Termination of Employment for Good Reason, the Bank shall pay the Employee the entire Accrued Liability determined as of the date of such Termination of Employment. Such benefit amount shall be paid out ratably over a period of five (5) years, commencing at Payment Age. Such benefit shall be in lieu of and replacement for all other benefits provided for under this Agreement and shall be in full satisfaction of any and all benefits provided for under this Agreement.

3.5       Plan Termination. Subject to the provisions of Section 409A of the Code, in the event the Bank terminates the Agreement while the Employee is employed by the Bank but prior to the Employee’s becoming entitled to receive Normal Retirement Benefit payments or other Plan Distributions, the Bank shall pay the Employee the entire Accrued Liability determined as of the date of the Agreement’s termination. Such benefit amount shall be paid out ratably over a period of five (5) years, commencing at Payment Age. If the Employee or the Employee’s Beneficiary is already receiving Plan Distributions hereunder when the Agreement is terminated, then such termination shall have no impact on the continuation of such Plan Distributions pursuant to this Agreement. The payment of an Agreement termination benefit pursuant to this Section 3.5 shall be in lieu of and replacement for all other benefits provided for under this Agreement and shall be in full satisfaction of any and all benefits provided for under this Agreement.

3.6       Disability Benefit. In the event of the Employee incurring a Disability while the Employee is employed by the Bank but prior to the Employee’s becoming entitled to receive Normal Retirement Benefit payments, the Bank shall pay Employee the entire Accrued Liability in effect as of the date of Disability. Such benefit amount shall be paid out ratably over a period of five (5) years, commencing the fifth (5th) anniversary of the date the Disability has been determined. The payment of such benefit shall be in lieu of and in replacement for all other benefits provided for under this Agreement and shall be in full satisfaction of any and all benefits provided for under this Agreement.

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ARTICLE IV

VESTING AND FORFEITURE

4.1       Vesting. In the event of the Employee incurring a voluntary Termination of Employment prior to Retirement Age or a Change in Control for any reason other than Good Reason (or as a result of the Employee’s death or Disability), the Employee’s Accrued Liability benefit shall be subject to the following vesting schedule based on the Employee’s Years of Plan Service, and such benefit shall be adjusted, where appropriate, according to the level of vesting achieved as of the date of such termination:

Years of Plan Service	Vested Percentage
1 or less	0%
Greater than 1	100%

4.2       Forfeitures.

A. Termination for Cause; Removal. If the Employee’s employment is terminated for Cause or the Employee becomes subject to a final removal or prohibition order issued by an appropriate federal banking agency pursuant to Section 8(e) of the Federal Deposit Insurance Act, then the Employee shall forfeit all benefits (or the remainder thereof, if any) under this Agreement. Such forfeited amounts shall revert to the Bank and shall not be payable to, or for the benefit of, the Employee, any Beneficiary or any other person claiming benefits through such persons.

B. Violation of Non-Competition and/or Nondisclosure Conditions. If the Employee (1) violates any non-competition, nondisclosure or similar restrictive covenant agreement, or similar covenants set forth in any employment agreement, then in effect between the Bank or the Holding Company and the Employee and to which the Employee is then subject, or (2) if no such agreement exists, engages in Prohibited Disclosure, whether before or after a Termination of Employment, then the Employee shall forfeit all unpaid benefits under this Agreement. The Employee’s compliance with the foregoing covenants and avoidance of Prohibited Disclosure is a pre-condition to the receipt of Plan Distributions prior to Retirement Age and to the continuation of any benefit payments under this Agreement after Plan Distributions have commenced (if payable in installments). Such forfeited amounts shall revert to the Bank and shall not be payable to, or for the benefit of, the Employee, any Beneficiary or any other person claiming benefits through such persons.

ARTICLE V

DISTRIBUTIONS

5.1       Distributions. The Employee’s Plan Distributions shall be distributed only in accordance with the provisions of this Agreement and Section 409A of the Code.

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5.2       Method of Payment. All Plan Distributions shall be made in cash, in U.S. currency. The Bank shall make all benefit payments to the Employee or the Employee’s Beneficiary directly, unless the Bank determines to create a Trust for its own administrative convenience. In such case, the Bank may direct the Trustee to make such payments directly to the Employee or the Employee’s Beneficiary. The payment of any benefits from any Trust by a Trustee shall not be a representation to the Employee of any actual or implied beneficial interest in any assets in such Trust. The Employee, the Employee’s Beneficiary and any other person claiming or receiving benefit payments hereunder remains a general unsecured creditor of the Bank as to such benefit payments.

5.3       Timing of Payment. With respect to payments of Plan Distributions to which the Employee or the Employee’s Beneficiary shall be entitled under Article III of this Agreement, the following provisions shall apply:

A. Normal Retirement Benefit; Change in Control. Commencing the first day of the month following the Employee’s Payment Age, the Bank shall pay the Employee the Normal Retirement Benefit in twelve (12) equal monthly installments. Such benefit shall continue to be paid annually for the period set forth in Section 3.1.

B. Death of the Employee.

1. Death Prior to Retirement Age. In the event of the Employee’s death while the Employee is employed by the Bank but prior to the Employee’s becoming entitled to receive Normal Retirement Benefit payments or other Plan Distributions, the Bank shall pay the Employee’s Beneficiary the Normal Retirement Benefit in twelve (12) equal monthly installments, commencing the tenth (10th) anniversary of the Employee’s death. Such benefit shall continue to be paid annually for the period set forth in Section 3.2.

2. Death Following Commencement of Plan Distributions. In the event of the Employee’s death after the commencement of Plan Distributions but before receiving all such Plan Distributions, the Bank shall distribute to the Employee’s Beneficiary the remaining Plan Distributions at the same time and in the same amounts that such Plan Distributions would have been distributed to the Employee had the Employee survived.

3. Death Before Plan Distributions Commence. If the Employee is entitled to Plan Distributions under this Agreement but dies prior to the commencement of such Plan Distributions, then the Bank shall distribute to the Employee’s Beneficiary the same Plan Distributions at the same time and in the same amounts that such Plan Distributions would have been distributed to the Employee had the Employee survived.

C. Voluntary Termination of Employment Other Than for Good Reason. In the event the Employee incurs a voluntary Termination of Employment prior to Retirement Age or a Change in Control for any reason other than Good Reason (or as a result of the Employee’s death or Disability), the Bank shall pay the Employee each annual portion of the aggregate benefit amount set forth in Section 3.3 in twelve (12) equal monthly installments, commencing upon the first day of the month following the Employee’s Payment Age. Such benefit shall continue to be paid for the period set forth in Section 3.3.

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D. Involuntary Termination of Employment Other Than for Cause and Voluntary Termination for Good Reason. In the event the Employee incurs an involuntary Termination of Employment prior to Retirement Age or a Change in Control for any reason other than Cause (or as a result of the Employee’s death or Disability), or a voluntary Termination of Employment for Good Reason, the Bank shall pay the Employee each annual portion of the aggregate benefit amount set forth in Section 3.4 in twelve (12) equal monthly installments, commencing upon the first day of the month following the Employee’s Payment Age. Such benefit shall continue to be paid for the period set forth in Section 3.4.

E. Plan Termination. Subject to the provisions of Section 409A of the Code, in the event the Bank terminates the Agreement while the Employee is employed by the Bank but prior to the Employee’s becoming entitled to receive Normal Retirement Benefit payments or other Plan Distributions, the Bank shall pay the Employee each annual portion of the aggregate benefit amount set forth in Section 3.5 in twelve (12) equal monthly installments, commencing upon the first day of the month following the Employee’s Payment Age. Such benefit shall continue to be paid for the period set forth in Section 3.5. If the Employee or the Employee’s Beneficiary is already receiving Plan Distributions when the Agreement is terminated, then such termination shall have no impact on the continuation of such benefits pursuant to this Agreement nor shall it result in any incremental benefits being paid to the Employee over and above the then existing Plan Distributions.

F. Disability. In the event of the Employee incurring a Disability while the Employee is employed by the Bank but prior to the Employee’s becoming entitled to receive Normal Retirement Benefit payments, the Bank shall pay the Employee each annual portion of the aggregate benefit amount set forth in Section 3.6 in twelve (12) equal monthly installments, commencing the fifth (5th) anniversary of the date the Disability has been determined. Such benefit shall continue to be paid for the period set forth in Section 3.6.

5.4       Acceleration or Deferral. Acceleration or deferral of the time or schedule of any payment under the Agreement is not permitted except as may be provided by Section 409A of the Code and approved by the Bank and the Employee.

ARTICLE VI

ADMINISTRATION AND CLAIMS PROCEDURE

6.1       Duties of the Administrator. This Agreement shall be administered by an Administrator that shall consist of the Board or such committee or person(s) as the Board shall appoint. The Administrator shall administer this Agreement according to its express terms and shall also have the discretion and authority to (i) make, amend, interpret and enforce all appropriate rules and regulations for the administration of this Agreement and (ii) decide or resolve any and all questions, including interpretations, of this Agreement as may arise in connection with the Agreement to the extent the exercise of such discretion and authority does not conflict with Section 409A of the Code and regulations thereunder. The Administrator shall be the “Plan Administrator” and “Named Fiduciary,” but only to the extent required by ERISA for “top-hat” plans.

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6.2       Agents. In the administration of this Agreement, the Administrator may employ agents and delegate to them such administrative duties as it sees fit (including acting through a duly appointed representative) and may from time to time consult with counsel who may be counsel to the Bank.

6.3       Binding Effect of Decisions. The decision or action of the Administrator with respect to any question arising out of or in connection with the administration, interpretation and application of this Agreement and the rules and regulations promulgated hereunder shall be final and conclusive and binding upon all persons having any interest in this Agreement.

6.4       Indemnity of the Administrator. The Bank shall indemnify and hold harmless the members of the Administrator against any and all claims, losses, damages, expenses or liabilities arising from any action or failure to act with respect to this Agreement, except in the case of willful misconduct by the Administrator or any of its members.

6.5       Bank Information. To enable the Administrator to perform its functions, the Bank shall supply full and timely information to the Administrator on all matters relating to the date and circumstances of the retirement, Disability, death or Termination of Employment of the Employee, and such other pertinent information as the Administrator may reasonably require.

6.6       Costs of the Plan. All the costs and expenses for administering and operating this Agreement shall be borne by the Bank. The Bank shall also bear the expense of any federal or state employment taxes in connection with this Agreement.

6.7       Claims Procedure.

A. Claim. Benefits shall be paid in accordance with the terms of this Agreement. The Employee, any Beneficiary or any person who believes that he or she is being denied a benefit to which he or she is entitled under this Agreement (a “Claimant”) may file a written request for such benefit with the Bank, setting forth his or her claim.

B. Claim Decision. Upon the receipt of a claim, the Administrator shall advise the Claimant that a reply will be forthcoming within ninety (90) days and shall, in fact, deliver such reply within such period. However, the Administrator may extend the reply period for an additional ninety (90) days for reasonable cause. Any claim not granted or denied within such time period shall be deemed to have been denied. If the claim is denied in whole or in part, then the Administrator shall provide written notice to the Claimant, setting forth:

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1. The reason or reasons for such denial;

2. The reference to pertinent provisions of this Agreement on which such denial is based;

3. A description of any additional material or information necessary for the Claimant to perfect his or her claim and an explanation of why such material or such information is necessary;

4. Steps to be taken if the Claimant wishes to submit the claim for review; and

5. The time limits for requesting a review under subsequent provisions of this Section 6.7.

C. Request for Review. Within sixty (60) days after the receipt by the Claimant of the Administrator’s written notice described above, the Claimant may request in writing that the Administrator review its prior determination. The Claimant or his duly authorized representative may, but need not, review the pertinent documents and submit issues and comments in writing for consideration by the Administrator. If the Claimant does not request a review of the Administrator’s determination within such sixty (60) day period, then such Claimant shall be barred and estopped from challenging the Administrator’s determination.

D. Review of Decision. Within sixty (60) days after the Administrator’s receipt of a request for review, the Administrator shall review its prior determination. After considering all materials presented by the Claimant, the Administrator will render a written decision setting forth the reasons for the decision and containing references to the pertinent provisions of this Agreement on which the decision is based. If special circumstances require that the sixty (60) day time period be extended, then the Administrator will so notify the Claimant and shall render the decision as soon as possible, but no later than one hundred twenty (120) days after receipt of the request for review. Any claim not granted or denied within such time period will be deemed to have been denied.

ARTICLE VII

AMENDMENT AND MERGER

7.1       Amendment. This Agreement may be amended only by a written agreement signed by the Bank and the Employee. Notwithstanding the foregoing, the Bank may unilaterally amend this Agreement to comply with tax law, including, without limitation, Section 409A of the Code and any and all regulations and guidance promulgated thereunder. The foregoing authorization also includes such amendment as may be necessary to ensure that the Agreement is treated as a non-qualified plan under the Code and ERISA, or other laws applicable to a non-qualified plan, including, without limitation, the right to amend this Agreement so that any Trust, if applicable, created in conjunction with the Agreement will be treated as a grantor trust under Sections 671 through 679 of the Code, and to otherwise conform the Agreement’s provisions and such Trust, if applicable, to the requirements of any applicable law.

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7.2       Consolidation/Merger/Reorganization. The Bank shall not enter into any consolidation, merger or reorganization transaction without the Bank obtaining from the successor-in-interest organization an agreement to an assignment and assumption of the obligations of the Bank under this Agreement by its successor-in-interest or surviving company or companies. Should such consolidation, merger or reorganization occur with such an assignment and assumption of the obligations hereunder, the term “Bank” as defined and used in this Agreement shall refer to the successor-in-interest or surviving company or companies, as the case may be.

ARTICLE VIII

GENERAL PROVISIONS

8.1       Applicable Law. Except insofar as the law has been superseded by applicable federal law, Georgia law shall govern the construction, validity and administration of this Agreement. This Agreement is intended be a non-qualified unfunded plan of deferred compensation and any ambiguities in its construction shall be resolved in favor of an interpretation which will affect this intention.

8.2       Benefits Not Transferable or Assignable.

A. Benefits under this Agreement shall not be subject to anticipation, alienation, sale, transfer, assignment, pledge, encumbrance or charge, nor shall any such benefits be in any way liable for or subject to the debts, contracts, liabilities, engagements or torts of any person entitled to them. Any attempt to anticipate, alienate, sell, transfer, assign, pledge, encumber or charge such benefits shall be void. This Section 8.2.A. shall also apply to the creation, assignment or recognition of a right to any benefit payable with respect to the Employee pursuant to a domestic relations order, including a qualified domestic relations order under Section 414(p) of the Code.

B. The Bank may bring an action for a declaratory judgment if the Employee’s Beneficiary or any Beneficiary’s benefits hereunder are threatened to be attached by an order from any court. The Bank may seek such declaratory judgment in a court of competent jurisdiction to:

1. Determine the proper recipient or recipients of the benefits to be paid under the Agreement;

2. Protect the operation and consequences of the Agreement for the Bank and the Employee; and

3. Request any other equitable relief the Bank in its sole judgment may feel appropriate.

Benefits which may become payable during the pendency of such an action shall, at the sole discretion of the Bank, either be Paid into the court as they become payable or held in a separate account subject to the court’s final distribution order. Any such delay shall comply in all respects with Section 409A of the Code.

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8.3       Not an Employment Contract. This Agreement is not and shall not be deemed to constitute a contract between the Bank and the Employee for, or to be a consideration for, an inducement to, or a condition of, the employment of the Employee. Nothing contained in this Agreement shall give or be deemed to give the Employee the right to remain in the employment of the Bank or to interfere with the right of the Bank to discharge the Employee at any time. It is expressly understood by the parties that this Agreement relates to the payment of deferred compensation for the Employee’s services and is not intended to be an employment contract.

8.4       Notices.

A. Any notices required or permitted hereunder shall be in writing and shall be deemed to be sufficiently given at the time when delivered personally or when mailed by certified or registered first class mail, postage prepaid, addressed to either party hereto as follows:

If to the Bank:

Ameris Bank

310 First Street SE

Moultrie, GA 31768

or such other address as communicated by the Bank to the Employee in future notices hereunder.

If to the Employee, at his last known address, as indicated by the records of the Bank, or to such changed address as the Employee may have fixed by notice hereunder.

B. Any communication, benefit payment, statement of notice addressed to the Employee or any Beneficiary at the last post office address as shown on the Bank’s records shall be binding on the Employee or such Beneficiary for all purposes of this Agreement. The Bank, and a Trustee, if applicable, shall not be obligated to search for any Employee or any Beneficiary beyond sending a registered letter to such last known address.

8.5       Severability. This Agreement as contained in this document constitutes the entire agreement with the Employee as to the subject matter set forth herein. If any provision of this Agreement shall for any reason be invalid or unenforceable, the remaining provisions of this Agreement shall be carried into effect, unless the effect thereof would be to materially alter or defeat the purposes of this Agreement.

8.6       Employee is General Creditor with No Rights to Assets.

A. The payments to the Employee or the Employee’s Beneficiary hereunder shall be made from assets that shall continue, for all purposes, to be a part of the general, unrestricted assets of the Bank, and no person shall have any interest in any such assets by virtue of the provisions of this Agreement. The Bank’s obligation hereunder shall be an unfunded and unsecured promise to pay money in the future. To the extent that any person acquires a right to receive a benefit from the Bank under the provisions hereof, such right shall be no greater than the right of any unsecured general creditor of the Bank, and no such person shall have nor acquire any legal or equitable right, or claim in or to any property or assets of the Bank. The Bank shall not be obligated under any circumstances to fund obligations under this Agreement.

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B. The Bank, in its sole discretion, may acquire and/or set aside assets or funds to support its financial obligations under this Agreement. No such acquisition or set-aside shall impair or derogate from the Bank’s direct obligation to the Employee or any Beneficiary under this Agreement. However, no Employee or Beneficiary shall be entitled to receive duplicate payments of any benefits provided hereunder because of the existence of such assets or funds.

C. In the event that, in its discretion, the Bank purchases an asset(s) or insurance policy or policies insuring the life of the Employee to allow the Bank to recover the cost of providing benefits, in whole or in part hereunder, neither the Employee nor any Beneficiary shall have any rights whatsoever in such assets or insurance policies or in the proceeds therefrom. The Bank shall be the sole owner and beneficiary of any such assets or insurance policies and shall possess and may exercise all incidents of ownership therein. No such asset or policy, policies or other property shall be held in any trust either for the Employee or any other person nor as collateral security for any obligation of the Bank hereunder. The Employee’s participation in the acquisition of such assets or policy or policies shall not be a representation to the Employee or any Beneficiary of any beneficial interest or ownership in such assets, policy or policies.

8.7       No Trust Relationship Created. Nothing contained in this Agreement shall be deemed to create a trust of any kind or create any fiduciary relationship between the Bank and the Employee, any Beneficiary, any other Beneficiaries of the Employee, or any other person claiming benefits through any such persons. Funds allocated hereunder shall continue for all purposes to be part of the general assets and funds of the Bank, and no person other than the Bank shall have, by virtue of the provisions of this Agreement, any beneficial interest in such assets and funds. The creation of a grantor trust under the Code to hold such assets or funds for the administrative convenience of the Bank shall in no way represent to the Employee or Beneficiary a property or beneficial ownership interest in such assets.

8.8       Agreement between the Bank and Employee Only. This Agreement is solely between the Bank and the Employee. The Employee, the Employee’s Beneficiary or estate or any other person claiming through the Employee, shall only have recourse against the Bank for enforcement of the terms of this Agreement. This Agreement shall be binding upon and inure to the benefit of each the Bank and its successors and assigns and the Employee and his or her heirs, executors, administrators and Beneficiaries.

8.9       Independence of Benefits. The benefits payable under this Agreement are for services already rendered or to be rendered and shall be independent of, and in addition to, any other benefits or compensation, whether by salary, bonus or otherwise, payable to the Employee under any compensation and/or benefit arrangements or plans, incentive cash compensations and stock plans and other retirement or welfare benefit plans, that now exist or may hereafter exist from time to time.

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8.10       Unclaimed Property. Except as may be required by law, the Bank may take of any the following actions if it gives notice to the Employee or any Beneficiary of an entitlement to a benefit under this Agreement, and the Employee or Beneficiary fails to claim such benefit or fails to provide its location to the Bank within three (3) calendar years of such notice:

A. Direct distribution of such benefits, in such proportions as the Bank may determine, to one or more or all, of the Employee’s next of kin, if the Bank knows their location; or

B. Deem this benefit to be forfeited and paid to the Bank if the location of the Employee’s next of kin is not known. However, the Bank shall pay the benefit, unadjusted for gains or losses from the date of such forfeiture, to the Employee or Beneficiary who subsequently makes proper claim to the benefit.

The Bank and any Trustee, if applicable, shall not be liable to any person for payment made in accordance pursuant to applicable state unclaimed property laws.

8.11       Named Beneficiary. As long as this Agreement is in force, the Employee shall be entitled to specify or revoke and change the Beneficiary or Beneficiaries of a survivor benefit, if any, to be paid at the time of the Employee’s death according to procedures set out by the Bank.

8.12       Required Tax Withholding and Reporting. The Bank shall withhold and report federal, state and local income and other tax amounts in connection with this Agreement as may be required by law from time to time.

8.13       Discrepancies between this Agreement and Any Other Understanding. In the event of any discrepancies or ambiguities between the terms of this Agreement and any other understanding between the Bank and the Employee, the terms of this Agreement shall control.

8.14       Compliance with Section 409A of the Code.

A. This Agreement shall be interpreted and administered in a manner so that any amount or benefit payable hereunder shall be paid or provided in a manner that is either exempt from or compliant with the requirements Section 409A of the Code. Nevertheless, the tax treatment of the benefits provided under this Agreement is not warranted or guaranteed, and neither the Bank nor its directors, officers, employees or advisers shall be held liable for any taxes, interest, penalties or other amounts owed by the Employee as a result of the application of Section 409A of the Code.

B. For purposes of Section 409A of the Code, (i) all payments to be made upon a termination of employment under this Agreement may only be made upon a “separation from service” within the meaning of such term under Section 409A of the Code, (ii) each payment made under this Agreement shall be treated as a separate payment and (iii) the right to a series of installment payments under this Agreement is to be treated as a right to a series of separate payments. In no event shall the Employee, directly or indirectly, designate the calendar year of payment.

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C. Notwithstanding any provision in this Agreement to the contrary, if, at the time of the Employee’s separation from service with the Bank, the Employee is a “specified employee” (as defined in Section 409A of the Code) and it is necessary to postpone the commencement of any severance payments otherwise payable pursuant to this Agreement as a result of such separation from service to prevent any accelerated or additional taxes, interest, penalties or other amounts under Section 409A of the Code, then the Bank will postpone the commencement of the payment of any such payments or benefits hereunder (without any reduction in such payments or benefits ultimately paid or provided to the Employee) that are not otherwise exempt from Section 409A of the Code until the Bank’s first payroll date that is six (6) months following the Employee’s separation from service with the Bank. If any payments are postponed pursuant to this Section 8.14, then such postponed amounts will be paid in a lump sum to the Employee on the Bank’s first payroll date that occurs after the date that is six (6) months following the Employee’s separation from service. If the Employee dies during the postponement period prior to the payment of any postponed amount, then such amount shall be paid as provided herein within sixty (60) days after the date of the Employee’s death.

[Signature page follows.]

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IN WITNESS WHEREOF, the Bank and the Employee have executed, or caused to be executed, this Agreement as of the date first set forth above.

BANK:
AMERIS BANK
By:	/s/ Cindi Lewis
Name:  Cindi Lewis
Title:    EVP, Chief Administrative Officer
	and Corporate Secretary
EMPLOYEE:
/s/ Edwin W. Hortman, Jr.
EDWIN W. HORTMAN, JR.

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EX-10.2

Exhibit 10.2

FIRST AMENDMENT

TO

SUPPLEMENTAL EXECUTIVE RETIREMENT AGREEMENT

THIS FIRST AMENDMENT TO SUPPLEMENTAL EXECUTIVE RETIREMENT AGREEMENT (the “Amendment”) is made and entered into as of the 7th day of November, 2016 by and between AMERIS BANK, a bank duly organized under the laws of the State of Georgia (the “Bank”), and CINDI H. LEWIS (the “Employee”).

WHEREAS, the Bank and the Employee have entered into that certain Supplemental Executive Retirement Agreement dated as of November 7, 2012 (the “Original Agreement”; and

WHEREAS, the parties wish to amend the Original Agreement, as set forth herein, to provide for an additional five (5) years of annual benefits, to be paid following the 10-year period during which annual benefits are otherwise payable under the Original Agreement, subject to the other terms and conditions of the Original Agreement applicable to the payment of such benefits;

NOW, THEREFORE, in consideration of the premises and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereby agree as follows:

1.       Amendments. Each reference to “ten (10) years” in Sections 3.1, 3.2, 3.3, 3.4 and 3.5 of the Original Agreement is hereby deleted and replaced with “fifteen (15) years”.

2.       Confirmation of Original Agreement. Except as expressly amended by this Amendment, the Original Agreement shall otherwise remain unmodified and in full force and effect. To the extent of any inconsistency between the Original Agreement and this Amendment, the terms of this Amendment shall control. Any reference to the “Agreement”, as set forth in the Original Agreement, shall mean the Original Agreement as amended by this Amendment.

3.       Severability. If any provision of this Amendment shall for any reason be invalid or unenforceable, the remaining provisions of this Amendment shall be carried into effect, unless the effect thereof would be to materially alter or defeat the purposes of the Original Agreement as amended by this Amendment.

4.       Applicable Law. Except insofar as the law has been superseded by applicable federal law, Georgia law shall govern the construction, validity and administration of this Amendment.

5.       Counterparts; Electronic Signature. This Amendment may be executed in any number of counterparts, all of which, taken together, shall constitute one and the same instrument, and any of the parties or signatories hereto may execute this Amendment by signing any such counterpart. Electronic signatures in the form of handwritten signatures on a facsimile transmittal and scanned and digitized images of a handwritten signature (e.g., scanned document in PDF format) shall have the same force and effect as original manual signatures.

[Signature page follows.]

IN WITNESS WHEREOF, the Bank and the Employee have executed, or caused to be executed, this Amendment as of the date first set forth above.

BANK:
AMERIS BANK
By:	/s/ Edwin W. Hortman, Jr.
Name:  Edwin W. Hortman, Jr.
Title:  Chief Executive Officer
EMPLOYEE:
/s/ Cindi H. Lewis
CINDI H. LEWIS

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EX-10.3

Exhibit 10.3

EXECUTIVE EMPLOYMENT AGREEMENT

THIS EXECUTIVE EMPLOYMENT AGREEMENT (this “Agreement”) is made and entered as of the 25th day of July, 2016, by and among AMERIS BANCORP, a Georgia corporation (the “Bancorp”), AMERIS BANK, a Georgia state-chartered bank and wholly owned subsidiary of the Bancorp (the “Bank”; the Bancorp and the Bank are collectively referred to herein as the “Employer”), and JOSEPH B. KISSEL (“Executive”).

BACKGROUND

WHEREAS, the expertise and experience of Executive in the financial institutions industry are valuable to the Employer;

WHEREAS, it is in the best interests of the Employer to maintain an experienced and sound executive management team to manage the Employer, further the Employer’s overall strategies and protect and enhance shareholder value; and

WHEREAS, the Employer and Executive desire to enter into this Agreement to establish the scope, terms and conditions of Executive’s continued employment by the Employer;

NOW, THEREFORE, in consideration of the foregoing and of the mutual covenants and agreements set forth herein, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:

1.       Effective Date. The effective time and date of this Agreement shall be deemed to be 12:00:01 a.m. on the date of its making first set forth above (the “Effective Date”).

2.       Employment. Executive is employed as the Chief Information Officer of the Employer. Executive’s responsibilities, duties, prerogatives and authority in such offices shall be those customary for persons holding such offices of institutions in the financial institutions industry, as well as such other duties of an executive, managerial or administrative nature, which are consistent with such offices, as shall be specified and designated from time to time by the Board of Directors of the Bancorp (the “Bancorp Board”).

3.       Employment Period. Unless earlier terminated in accordance with Section 6 hereof, Executive’s employment under this Agreement shall begin as of the Effective Date and shall continue until the second anniversary thereof (the “Initial Term”); provided, however, that on the second anniversary of the Effective Date and on each second anniversary thereafter, Executive’s term of employment hereunder shall be extended by two years, unless either Executive or the Employer provides written notice to the other at least 90 days prior to the applicable extension date that Executive’s employment period shall not be further extended (the Initial Term, as so extended, the “Employment Period”). For purposes of this Agreement, “terminate” (and variations and derivatives thereof) shall mean, when used in connection with a cessation of employment, that Executive has incurred a separation from service as defined in Section 409A of the Internal Revenue Code of 1986, as amended (the “Code”), and guidance and regulations issued thereunder (collectively, “Section 409A”).

4.       Extent of Service. During the Employment Period, and excluding any periods of vacation, sick or other leave to which Executive is entitled under this Agreement, Executive agrees to devote all of Executive’s business time and efforts to serving the business and affairs of the Employer commensurate with Executive’s offices. During the Employment Period, it shall not be a violation of this Agreement for Executive, subject to the requirements of Section 11, to (i) serve on civic or charitable boards or committees or (ii) manage personal investments, so long as such activities do not materially interfere with the performance of Executive’s responsibilities to the Employer or violate the Employer’s conflicts of interest or other applicable policies.

5.       Compensation and Benefits.

(a)       Base Salary. During the Employment Period, the Employer will pay to Executive a base salary at the rate of at least $280,000 per year (“Base Salary”), less normal withholdings, payable in equal monthly or more frequent installments as are customary under the Employer’s payroll procedures from time to time. In accordance with the policies and procedures of the Compensation Committee (the “Committee”) of the Bancorp Board, the Employer shall review Executive’s total compensation at least annually and in its sole discretion may adjust Executive’s total compensation from year to year, but during the Employment Period the Employer may not decrease Executive’s Base Salary below $280,000; provided, however, that periodic increases in Base Salary, once granted, shall not be subject to revocation. The annual review of Executive’s total compensation will consider, among other things, changes in the cost of living, Executive’s own performance and the Bancorp’s consolidated performance.

(b)       Incentive Plans. During the Employment Period, Executive shall be entitled to participate, as determined by the Committee, in all incentive plans of the Employer applicable to senior executives of the Employer generally, including, without limitation, short-term and long-term incentive plans and equity compensation plans.

(c)       Benefit Plans. During the Employment Period, Executive or Executive’s dependents, as the case may be, shall be eligible for participation in all employee benefit plans, practices, policies and programs provided by the Employer applicable to senior executives of the Employer generally (the “Benefit Plans”).

(d)       Expenses. During the Employment Period, Executive shall be entitled to receive prompt reimbursement, in accordance with the policies, practices and procedures of the Employer applicable to senior executives of the Employer generally, for all reasonable and necessary out-of-pocket expenses incurred by Executive in the performance of Executive’s duties under this Agreement. The expenses eligible for reimbursement under this Section 5(d) in any year shall not affect any expenses eligible for reimbursement or in-kind benefits in any other year. Executive’s rights under this Section 5(d) are not subject to liquidation or exchange for any other benefit.

(e)       Vacation, Sick and Other Leave. During the Employment Period, Executive shall be entitled annually to a minimum of 20 business days of paid vacation and shall be entitled to those number of business days of paid disability, sick and other leave specified in the employment policies of the Employer.

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6.       Termination of Employment.

(a)       Cause. The Employer may terminate Executive’s employment with the Employer for Cause. For purposes of this Agreement, “Cause” shall mean:

(i)       the willful and continued failure of Executive to perform Executive’s duties with the Employer, other than any such failure resulting from Disability (as defined below), or to follow the directives of the Bancorp Board or a more senior executive of the Employer, following written notice from the Chief Executive Officer of the Employer specifying such failure;

(ii)       Executive’s willful misconduct or gross negligence (including, but not limited to, a material willful violation of the Employer’s written corporate governance and ethics guidelines and codes of conduct) in connection with the Employer’s business or relating to Executive’s duties hereunder;

(iii)       Executive’s habitual substance abuse;

(iv)       Executive’s being convicted of, or pleading guilty or nolo contendere to, a felony or a crime involving moral turpitude;

(v)       Executive’s willful theft, embezzlement or act of comparable dishonesty against the Employer;

(vi)       a willful act by Executive which constitutes a material breach of Executive’s fiduciary duty to the Employer;

(vii)       a material breach by Executive of this Agreement, which breach is not cured (if curable) by Executive within 30 days following Executive’s receipt of written notice thereof; or

(viii)       conduct by Executive that results in the permanent removal of Executive from Executive’s position as an officer or employee of the Bancorp or the Bank pursuant to a written order by any banking regulatory agency with authority or jurisdiction over the Bancorp or the Bank, as the case may be.

For purposes of this Section 6(a), no act or failure to act on the part of Executive shall be considered “willful” unless it is done, or omitted to be done, by Executive in bad faith or without reasonable belief that Executive’s action or omission was in the best interests of the Employer.

(b)       Good Reason. Executive may terminate Executive’s employment with the Employer for Good Reason. For purposes of this Agreement, “Good Reason” shall mean: (i) a material diminution in Executive’s authority, duties or responsibilities; (ii) a material change in the geographic location at which Executive must regularly perform the services to be performed by Executive pursuant to this Agreement (other than a change in such geographic location to an office or other location closer to Executive’s home residence); and (iii) any other action or inaction that constitutes a material breach by the Employer of this Agreement; provided, however, that Executive must provide notice to the Employer of the condition Executive contends is Good Reason within 90 days after the initial existence of the condition, and the Employer must have a period of 30 days to remedy the condition. If the condition is not remedied within such 30-day period, then Executive must provide a Notice of Termination as set forth in Section 6(f) within 30 days after the end of the Employer’s remedy period.

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(c)       Without Cause. The Employer may terminate Executive’s employment without Cause (a “Termination Without Cause”).

(d)       Voluntary Termination. Executive may voluntarily terminate Executive’s employment without Good Reason (a “Voluntary Termination”).

(e)       Death or Disability. Executive’s employment with the Employer shall terminate automatically upon Executive’s death during the Employment Period. If the Employer determines in good faith that the Disability of Executive has occurred during the Employment Period, it may give to Executive written notice in accordance with Sections 6(f) and 14(i) of this Agreement of its intention to terminate Executive’s employment. In such event, Executive’s employment with the Employer shall terminate effective on the 45th day after receipt of such written notice by Executive (the “Disability Effective Date”), provided that, within the 30 days after such receipt, Executive shall not have returned to full-time performance of Executive’s duties. For purposes of this Agreement, “Disability” shall mean the inability of Executive to perform Executive’s duties with the Employer on a full-time basis for 180 days in any one-year period as a result of incapacity due to mental or physical illness or injury.

(f)       Notice of Termination. Any termination (other than for death) shall be communicated by a Notice of Termination given in accordance with Section 14(i) of this Agreement. For purposes of this Agreement, a “Notice of Termination” means a written notice that (i) indicates the specific termination provision in this Agreement relied upon, (ii) to the extent applicable, sets forth in reasonable detail the facts and circumstances claimed to provide a basis for termination of Executive’s employment under the provision so indicated and (iii) if the Termination Date (as defined below) is other than the date of receipt of such notice, specifies the Termination Date (which date shall be not more than 30 days after the giving of such notice, except as otherwise provided in Section 6(e)). The failure to set forth in the Notice of Termination any fact or circumstance which contributes to a showing of Disability, Cause or Good Reason shall not waive any right of Executive or the Employer hereunder or preclude Executive or the Employer from asserting such fact or circumstance in enforcing Executive’s or the Employer’s rights hereunder.

(g)       Termination Date. “Termination Date” means (i) if Executive’s employment is terminated by the Employer for Cause or without Cause, the date of Executive’s receipt of the Notice of Termination or a later date specified therein, as the case may be, (ii) if Executive’s employment is terminated by Executive for Good Reason, the date of the Employer’s receipt of the Notice of Termination, (iii) if Executive’s employment is terminated by Executive as a Voluntary Termination, the date of the Employer’s receipt of the Notice of Termination or a later date specified therein, as the case may be, and (iv) if Executive’s employment is terminated by reason of death or Disability, the Termination Date shall be the date of death of Executive or the Disability Effective Date, as the case may be.

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7.       Obligations of the Employer Upon Termination.

(a)       Cause; Voluntary Termination. If, during the Employment Period, the Employer shall terminate Executive’s employment for Cause or Executive shall terminate Executive’s employment by a Voluntary Termination, then Executive shall be entitled to receive the following (collectively, the “Accrued Amounts”):

(i)       any accrued but unpaid Base Salary and accrued but unused vacation, sick or other leave pay, which shall be paid on the pay date immediately following the Termination Date in accordance with the Employer’s customary payroll procedures;

(ii)       any earned but unpaid cash bonus with respect to any completed fiscal year immediately preceding the Termination Date, which shall be paid on the otherwise applicable payment date; provided, however, that if Executive’s employment is terminated by the Employer for Cause, then any such accrued but unpaid cash bonus shall be forfeited;

(iii)       reimbursement for unreimbursed business expenses properly incurred by Executive, which shall be subject to and paid in accordance with the Employer’s expense reimbursement policies, practices and procedures; and

(iv)       such employee benefits, if any, as to which Executive may be entitled under the Benefit Plans as of the Termination Date.

(b)       Termination Without Cause or for Good Reason. If, during the Employment Period, the Employer shall terminate Executive’s employment without Cause or Executive shall terminate Executive’s employment for Good Reason, then Executive shall be entitled to receive the Accrued Amounts and, subject to Executive’s execution of a release of claims in favor of the Employer, its subsidiaries and affiliates and their respective officers and directors in a form to be provided by the Employer (the “Release”) and such Release becoming effective within 45 days following the Termination Date (such 45-day period, for purposes of this Section 7(b), the “Release Execution Period”), Executive shall also be entitled to receive the following:

(i)       a lump sum amount equal to two times the sum of (A) Executive’s Base Salary and (B) Executive’s highest cash bonus earned with respect to any fiscal year within the three most recently completed fiscal years immediately preceding the Termination Date, which amount shall be paid in cash on or before the 60th day after the Termination Date; provided, however, that if the Release Execution Period begins in one taxable year and ends in another taxable year, then payment shall not be made until the beginning of the second taxable year;

(ii)       a lump sum amount equal to the product of (A) the cash bonus, if any, that Executive would have earned for the fiscal year in which the Termination Date occurs based on the achievement of applicable performance goals for such year and (B) a fraction, the numerator of which is the number of days Executive was employed by the Employer during the year of termination and the denominator of which is the number of days in such year (the “Pro-Rata Bonus”), which amount shall be paid in cash on the date that annual bonuses are paid to senior executives of the Employer generally, but in no event later than two-and-one-half months following the end of the fiscal year in which the Termination Date occurs; and

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(iii)       if Executive timely and properly elects continuation coverage under the Consolidated Omnibus Budget Reconciliation Act of 1985 (“COBRA”), then the Employer shall reimburse Executive for the monthly COBRA premium paid by Executive for Executive and Executive’s dependents until the earliest of: (A) the 18-month anniversary of the Termination Date; (B) the date Executive is no longer eligible to receive COBRA continuation coverage; and (C) the date on which Executive becomes eligible to receive substantially similar coverage from another employer. Such reimbursement shall be paid to Executive on the 15th day of the month immediately following the month in which Executive timely remits the premium payment.

(c)       Death or Disability. If Executive’s employment is terminated during the Employment Period on account of Executive’s death or Disability, Executive (or Executive’s estate or beneficiaries, as the case may be) shall be entitled to receive the following: (i) the Accrued Amounts; and (ii) a lump sum amount equal to the Pro-Rata Bonus, if any, that Executive would have earned for the fiscal year in which the Termination Date occurs based on the achievement of applicable performance goals for such year, which amount shall be paid in cash on the date that annual bonuses are paid to senior executives of the Employer generally, but in no event later than two-and-one-half months following the end of the fiscal year in which the Termination Date occurs. Notwithstanding any other provision contained herein, all payments made in connection with Executive’s Disability shall be provided in a manner that is consistent with federal and state law.

8.       Non-Exclusivity of Rights. Nothing in this Agreement shall prevent or limit Executive’s continuing or future participation in any plan, program, policy or practice provided by the Employer and for which Executive may qualify, nor shall anything herein limit or otherwise affect such rights as Executive may have under any contract or agreement with the Employer, except as expressly provided otherwise in this Agreement. Amounts which are vested benefits or which Executive is otherwise entitled to receive under any plan, policy, practice or program of or any contract or agreement with the Employer at or subsequent to the Termination Date shall be payable in accordance with such plan, policy, practice or program or such contract or agreement, except as expressly modified by this Agreement.

9.       No Mitigation. In no event shall Executive be obligated to seek other employment or take any other action by way of mitigation of the amounts payable to Executive under Section 7 of this Agreement.

10.       Code Section 280G.

(a)       Certain Reductions in Agreement Payments. Anything in this Agreement to the contrary notwithstanding, in the event a nationally recognized independent accounting firm designated by the Employer and reasonably acceptable to Executive (the “Accounting Firm”) shall determine that receipt of all payments or distributions by the Employer and its affiliates in the nature of compensation to or for Executive’s benefit, whether paid or payable pursuant to this Agreement or otherwise (a “Payment”), would subject Executive to the excise tax under Section 4999 of the Code, the Accounting Firm shall determine as required below in this Section 10(a) whether to reduce any of the Payments paid or payable pursuant to this Agreement (the “Agreement Payments”) to the Reduced Amount (as defined below). The Agreement Payments shall be reduced to the Reduced Amount only if the Accounting Firm determines that Executive would have a greater Net After-Tax Receipt (as defined below) of aggregate Payments if Executive’s Agreement Payments were so reduced. If the Accounting Firm determines that Executive would not have a greater Net After-Tax Receipt of aggregate Payments if Executive’s Agreement Payments were so reduced, then Executive shall receive all Agreement Payments to which Executive is entitled.

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(b)       Accounting Firm Determinations. If the Accounting Firm determines that aggregate Agreement Payments should be reduced to the Reduced Amount, then the Employer shall promptly give Executive notice to that effect and a copy of the detailed calculation thereof. All determinations made by the Accounting Firm under this Section 10 shall be binding upon the Employer and Executive and shall be made as soon as reasonably practicable and in no event later than 20 days following the Termination Date. For purposes of reducing the Agreement Payments to the Reduced Amount, only amounts payable under this Agreement (and no other Payments) shall be reduced. The reduction of the amounts payable hereunder, if applicable, shall be made by reducing the payments and benefits under the following sections in the following order: first from Section 7(b)(iii), then from Section 7(b)(ii) and lastly from Section 7(b)(i). All fees and expenses of the Accounting Firm shall be borne solely by the Employer.

(c)       Overpayments; Underpayments. As a result of the uncertainty in the application of Section 4999 of the Code at the time of the initial determination by the Accounting Firm hereunder, it is possible that amounts will have been paid or distributed by the Employer to or for the benefit of Executive pursuant to this Agreement which should not have been so paid or distributed (an “Overpayment”) or that additional amounts which will have not been paid or distributed by the Employer to or for the benefit of Executive pursuant to this Agreement which should have been so paid or distributed (an “Underpayment”), in each case consistent with the calculation of the Reduced Amount hereunder. In the event that the Accounting Firm, based upon the assertion of a deficiency by the Internal Revenue Service against either the Employer or Executive which the Accounting Firm believes has a high probability of success determines that an Overpayment has been made, Executive shall pay any such Overpayment to the Employer together with interest at the applicable federal rate provided for in Section 7872(f)(2) of the Code; provided, however, that no amount shall be payable by Executive to the Employer if and to the extent such payment would not either reduce the amount on which Executive is subject to tax under Section 1 and Section 4999 of the Code or generate a refund of such taxes. In the event that the Accounting Firm, based upon controlling precedent or other substantial authority, determines that an Underpayment has occurred, any such Underpayment shall be paid promptly (and in no event later than 60 days following the date on which the Underpayment is determined) by the Employer to or for the benefit of Executive together with interest at the applicable federal rate provided for in Section 7872(f)(2) of the Code.

(d)       Definitions. The following terms shall have the following meanings for purposes of this Section 10:

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(i)       “Reduced Amount” shall mean the greatest amount of Agreement Payments that can be paid that would not result in the imposition of the excise tax under Section 4999 of the Code if the Accounting Firm determines to reduce Agreement Payments pursuant to Section 10(a).

(ii)       “Net After-Tax Receipt” shall mean the present value (as determined in accordance with Sections 280G(b)(2)(A)(ii) and 280G(d)(4) of the Code) of a Payment net of all taxes imposed on Executive with respect thereto under Sections 1 and 4999 of the Code and under applicable state and local laws, determined by applying the highest marginal rate under Section 1 of the Code and under state and local laws which applied to Executive’s taxable income for the immediately preceding taxable year, or such other rate(s) as the Accounting Firm determined to be likely to apply to Executive in the relevant taxable year(s).

11.       Restrictive Covenants.

(a)       Executive Acknowledgements. Executive acknowledges that (i) the Employer has separately bargained and paid additional consideration for the restrictive covenants in this Section 11 and (ii) the Employer will provide certain benefits to Executive hereunder in reliance on such covenants in view of the unique and essential nature of the services Executive will perform on behalf of the Employer and the irreparable injury that would befall the Employer should Executive breach such covenants. Executive further acknowledges that Executive’s services are of a special, unique and extraordinary character and that Executive’s position with the Employer will place Executive in a position of confidence and trust with customers and employees of the Employer and its subsidiaries and affiliates and with the Employer’s other constituencies and will allow Executive access to Trade Secrets and Confidential Information (each as defined below) concerning the Employer and its subsidiaries and affiliates. Executive further acknowledges that the types and periods of restrictions imposed by the covenants in this Section 11 are fair and reasonable and that such restrictions will not prevent Executive from earning a livelihood.

(b)       Covenants. Having acknowledged the foregoing, Executive covenants and agrees with the Employer as follows:

(i)       While Executive is employed by the Employer and continuing thereafter, Executive shall not disclose or use any Confidential Information or Trade Secret for so long as such information remains Confidential Information or a Trade Secret, as applicable, for any purpose other than as may be necessary and appropriate in the ordinary course of performing Executive’s duties to the Employer during the Employment Period.

(ii)       While Executive is employed by the Employer and for a period of two years thereafter, Executive shall not (except on behalf of or with the prior written consent of the Employer), on Executive’s own behalf or in the service or on behalf of others, solicit or attempt to solicit any customer of the Employer or its subsidiaries or affiliates, including, without limitation, actively sought prospective customers, with whom Executive had Material Contact (as defined below) during Executive’s employment, for the purpose of providing products or services that are Competitive (as defined below) with those offered or provided by the Employer or its subsidiaries or affiliates or, in the event of Executive’s termination, Competitive with those offered or provided by the Employer or its subsidiaries or affiliates within the two years immediately preceding the termination of Executive’s employment.

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(iii)       While Executive is employed by the Employer and for a period of two years thereafter, Executive shall not (except on behalf of or with the prior written consent of the Employer), either directly or indirectly, on Executive’s own behalf or in the service or on behalf of others, perform duties and responsibilities that are the same as or substantially similar to those Executive performs for the Employer or, in the event of Executive’s termination, performed for the Employer within two years prior to the termination of Executive’s employment, for any business which is the same as or essentially the same as the business conducted by the Employer and its subsidiaries and affiliates, within the Restricted Territory (as defined below).

(iv)       While Executive is employed by the Employer and for a period of two years thereafter, Executive shall not (except on behalf of or with the prior written consent of the Employer), on Executive’s own behalf or in the service or on behalf of others, solicit or recruit or attempt to solicit or recruit, directly or by assisting others, any employee of the Employer or its subsidiaries or affiliates, whether or not such employee is a full-time employee or a temporary employee of the Employer or its subsidiaries or affiliates, whether or not such employment is pursuant to a written agreement and whether or not such employment is for a determined period or is at will, to cease working for the Employer.

(v)       Upon the expiration of the Employment Period, or Executive’s earlier termination or resignation, Executive will turn over promptly thereafter to the Employer all physical items and other property belonging to the Employer, including, without limitation, all business correspondence, letters, papers, reports, customer lists, financial statements, credit reports or other Confidential Information, data or documents of the Employer, in the possession or control of Executive, all of which are and will continue to be the sole and exclusive property of the Employer.

(c)       Definitions. For purposes of this Section 11, the following terms shall be defined as set forth below:

(i)       “Competitive,” with respect to particular products or services, shall mean products or services that are the same as or similar to the products or services of the Employer and its subsidiaries and affiliates.

(ii)       “Confidential Information” shall mean data and information: (A) relating to the business of the Employer and its subsidiaries and affiliates, regardless of whether the data or information constitutes a Trade Secret; (B) disclosed to Executive or of which Executive becomes aware as a consequence of Executive’s relationship with the Employer; (C) having value to the Employer; and (D) not generally known to competitors of the Employer. Confidential Information shall include, without limitation, Trade Secrets, methods of operation, names of customers, price lists, financial information and projections, personnel data and similar information; provided, however, that such term shall not mean data or information that (x) has been voluntarily disclosed to the public by the Employer, except where such public disclosure has been made by Executive without authorization from the Employer, (y) has been independently developed and disclosed by others or (z) has otherwise entered the public domain through lawful means.

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(iii)       “Material Contact” shall mean contact between Executive and a customer or prospective customer: (A) with whom or which Executive dealt on behalf of the Employer or its subsidiaries or affiliates; (B) whose dealings with the Employer were coordinated or supervised by Executive; (C) about whom Executive obtained Confidential Information in the ordinary course of business as a result of Executive’s association with the Employer; or (D) who receives products or services as authorized by the Employer, the sale or provision of which results or resulted in compensation, commissions or earnings for Executive within the two years immediately preceding the Termination Date.

(iv)       “Restricted Territory” shall mean the geographic territory within a 50-mile radius of each of the Employer’s corporate offices located at 310 First Street, S.E., Moultrie, Georgia 31768 and 1301 Riverplace Boulevard, Suite 2600, Jacksonville, Florida 32207; provided, however, that if the physical location of either or both of such offices shall change during the Term, then the Restricted Territory shall mean the geographic territory within a 50-mile radius of the physical locations of such offices at such time and, in the event of the termination of Executive’s employment, the Restricted Territory shall mean the geographic territory within a 50-mile radius of the physical locations of such offices on the Termination Date.

(v)       “Trade Secret” shall mean information, without regard to form, including, but not limited to, technical or nontechnical data, a formula, a pattern, a compilation, a program, a device, a method, a technique, a drawing, a process, financial data, financial plans, product plans or a list of actual or potential customers or suppliers, that is not commonly known by or available to the public and which information (A) derives economic value, actual or potential, from not being generally known to, and not being readily ascertainable by proper means by, other persons who can obtain economic value from its disclosure or use and (B) is the subject of efforts that are reasonable under the circumstances to maintain its secrecy.

(d)       Equitable Remedies. Executive acknowledges that irreparable loss and injury would result to the Employer upon the breach of any of the covenants contained in this Section 11 and that damages arising out of such breach would be difficult to ascertain. Executive hereby agrees that, in addition to all other remedies provided at law or in equity, the Employer may petition and obtain from a court of law or equity, without the necessity of proving actual damages and without posting any bond or other security, both temporary and permanent injunctive relief to prevent a breach by Executive of any covenant contained in this Section 11.

(e)       Modification of Covenants. In the event that the provisions of this Section 11 should ever be determined to exceed the time, geographic or other limitations permitted by applicable law, then such provisions shall be modified so as to be enforceable to the maximum extent permitted by law. If such provision(s) cannot be modified to be enforceable, the provision(s) shall be severed from this Agreement to the extent unenforceable. The remaining provisions and any partially enforceable provisions shall remain in full force and effect.

10

12.       Executive’s Representations. Executive hereby represents to the Employer that the execution and delivery of this Agreement by Executive and the Employer and the performance by Executive of Executive’s duties hereunder shall not constitute a breach of, or otherwise contravene, the terms of any employment agreement or other agreement or policy to which Executive is a party or otherwise bound. Executive represents and warrants that Executive is not subject to any employment agreement, nondisclosure agreement, common law nondisclosure obligation, fiduciary duty, noncompetition agreement, restrictive covenant or any other obligation to any former employer or to any other person or entity that conflicts in any way with Executive’s ability to be employed by or perform services for the Employer.

13.       Assignment and Successors.

(a)       Executive. This Agreement is personal to Executive and without the prior written consent of the Employer shall not be assignable by Executive otherwise than by will or the laws of descent and distribution. This Agreement shall inure to the benefit of and be enforceable by Executive’s legal representatives.

(b)       The Employer. This Agreement shall inure to the benefit of and be binding upon the Employer and its successors and assigns. The Bancorp and the Bank will each require any successor to it (whether direct or indirect, by stock or asset purchase, merger, consolidation or otherwise) or to all or substantially all of its business or assets to assume expressly and agree to perform this Agreement in the same manner and to the same extent it would be required to perform it if no such succession had taken place.

14.       Miscellaneous.

(a)       Waiver. Failure of either party to insist, in one or more instances, on performance by the other in strict accordance with the terms and conditions of this Agreement shall not be deemed a waiver or relinquishment of any right granted in this Agreement or of the future performance of any such term or condition or of any other term or condition of this Agreement, unless such waiver is contained in a writing signed by the party making the waiver.

(b)       Severability. If any provision or covenant, or any part thereof, of this Agreement should be held by any court to be invalid, illegal or unenforceable, either in whole or in part, such invalidity, illegality or unenforceability shall not affect the validity, legality enforceability of the remaining provisions or covenants, or any part thereof, of this Agreement, all of which shall remain in full force and effect.

(c)       Entire Agreement. This Agreement contains the entire agreement between the Employer and Executive with respect to the subject matter hereof and from and after the Effective Date supersedes and invalidates all previous employment agreements with Executive. No representations, inducements, promises or agreements, oral or otherwise, which are not embodied herein shall be of any force or effect.

11

(d)       Withholdings. Notwithstanding any other provision of this Agreement, the Employer shall withhold from any amounts payable or benefits provided under this Agreement any federal, state and local taxes as shall be required to be withheld pursuant to any applicable law or regulation.

(e)       Compliance with Section 409A.

(i)       It is intended that this Agreement shall conform with all applicable Section 409A requirements to the extent Section 409A applies to any provisions of the Agreement. Accordingly, in interpreting, construing or applying any provisions of the Agreement, the same shall be construed in such manner as shall meet and comply with Section 409A, and in the event of any inconsistency with Section 409A, the same shall be reformed so as to meet the requirements of Section 409A. For purposes of Section 409A, each payment made under this Agreement shall be treated as a separate payment and the right to a series of installment payments under this Agreement is to be treated as a right to a series of separate payments. In no event shall Executive, directly or indirectly, designate the calendar year of payment. Executive acknowledges that the Employer has not made, and does not make, any representation or warranty regarding the treatment of this Agreement or the benefits payable under this Agreement under federal, state or local income tax laws, including, but not limited to, Section 409A or compliance with the requirements thereof.

(ii)       To the extent Executive is a “specified employee” as defined in Section 409A, notwithstanding the timing of payment provided in any other Section of this Agreement, no payment, distribution or benefit under this Agreement that constitutes a distribution of deferred compensation (within the meaning of Section 409A) upon separation from service (within the meaning of Section 409A), after taking into account all available exemptions, that would otherwise be payable, distributable or settled during the six-month period after separation from service, will be made during such six-month period, and any such payment, distribution or benefit will instead be paid, distributed or settled on the first business day after such six-month period; provided, however, that if Executive dies following the Termination Date and prior to the payment, distribution, settlement or provision of any payments, distributions or benefits delayed on account of Section 409A, then such payments, distributions or benefits shall be paid or provided to the personal representative of Executive’s estate within 30 days after the date of Executive’s death.

(f)       Clawback Provisions. Notwithstanding any other provisions in this Agreement to the contrary, any bonus, incentive-based, equity-based or other similar compensation paid to Executive pursuant to this Agreement or any other agreement or arrangement with the Employer which is subject to recovery under any law, government regulation or stock exchange listing requirement will be subject to such deductions and clawback as may be required to be made pursuant to such law, government regulation or stock exchange listing requirement (or any policy adopted by the Employer pursuant to any such law, government regulation or stock exchange listing requirement).

12

(g)       Governing Law. Except to the extent preempted by federal law, the laws of the State of Georgia shall govern this Agreement in all respects, whether as to its validity, construction, capacity, performance or otherwise.

(h)       Arbitration. Except for any claim for injunctive relief hereunder or as provided in Section 11 hereof, any controversy or claim arising out of or relating to this Agreement, or the breach thereof, shall be settled by binding arbitration in accordance with the rules and procedures of the American Arbitration Association. The place of arbitration shall be selected by the Employer. The decision of the arbitration panel shall be final and binding upon the parties, and judgment upon the award rendered by the arbitration panel may be entered by any court having jurisdiction. The parties agree that Executive and the Employer shall each bear one-half of the administrative expenses (filing and arbitrator costs) associated with the arbitration, and the prevailing party shall be entitled to reimbursement for the additional costs and expenses, including, without limitation, reasonable attorneys’ fees, incurred by such party in connection with any such dispute.

(i)       Notices. Any notice or other communication required or permitted hereunder shall be in writing and shall be delivered personally, by nationally recognized overnight courier service or sent by certified, registered or express mail, postage prepaid. Any such notice shall be deemed given when so delivered personally, when delivered by nationally recognized overnight courier service or, if mailed, five days after the date of deposit in the United States mail, as follows:

To the Employer:

Ameris Bancorp

310 First Street, S.E.

Moultrie, Georgia 31768

Attention: Chief Executive Officer

To Executive:

At the most recent address on file for Executive with the Employer.

Any party may change the address to which notices, requests, demands and other communications shall be delivered or mailed by giving notice thereof to the other party in the same manner provided herein.

(j)       Survival. Notwithstanding anything in this Agreement to the contrary, the provisions of Sections 7, 10, 11 and 14(e)-(j), the definitions of defined terms used therein and the remaining provisions of this Section 14 (to the extent necessary to effectuate the survival of the foregoing provisions) shall survive the termination of this Agreement and any termination of Executive’s employment hereunder.

(k)       Amendments and Modifications. This Agreement may be amended or modified only by a writing signed by all parties hereto that makes specific reference to this Agreement.

[Signature page follows.]

13

IN WITNESS WHEREOF, the parties hereto have duly executed and delivered this Executive Employment Agreement as of the date first above written.

AMERIS BANCORP
By:	/s/ Edwin W. Hortman, Jr.
Name:  Edwin W. Hortman, Jr.
Title:  President & Chief Executive Officer
AMERIS BANK
By:	/s/ Edwin W. Hortman, Jr.
Name:  Edwin W. Hortman, Jr.
Title:  Chief Executive Officer
/s/ Joseph B. Kissel
JOSEPH B. KISSEL

14

EX-31.1

Exhibit 31.1

CERTIFICATION

I, Edwin W. Hortman, Jr., certify that:

1. I have reviewed this Quarterly Report on Form 10-Q for the period ended September 30, 2016, of Ameris Bancorp;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Dated: November 9, 2016	/s/ Edwin W. Hortman, Jr.
	Edwin W. Hortman, Jr., President and Chief Executive Officer
	(principal executive officer)

EX-31.2

Exhibit 31.2

CERTIFICATION

I, Dennis J. Zember Jr., certify that:

1. I have reviewed this Quarterly Report on Form 10-Q for the period ended September 30, 2016, of Ameris Bancorp;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Dated: November 9, 2016	/s/ Dennis J. Zember Jr.
	Dennis J. Zember Jr.,
	Executive Vice President, Chief Financial Officer and Chief Operating Officer
	(principal accounting and financial officer)

EX-32.1

Exhibit 32.1

SECTION 1350 CERTIFICATION

I, Edwin W. Hortman, Jr., President and Chief Executive Officer of Ameris Bancorp (the “Company”), do hereby certify, in accordance with 18 U.S.C. § 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that, to my knowledge:

1. The Quarterly Report on Form 10-Q of the Company for the period ending September 30, 2016 (the “Periodic Report”) fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and

2. The information contained in the Periodic Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Dated: November 9, 2016	/s/ Edwin W. Hortman, Jr.
	Edwin W. Hortman, Jr.,
	President and Chief Executive Officer
	(principal executive officer)

EX-32.2

Exhibit 32.2

SECTION 1350 CERTIFICATION

I, Dennis J. Zember Jr., Executive Vice President, Chief Financial Officer and Chief Operating Officer of Ameris Bancorp (the “Company”), do hereby certify, in accordance with 18 U.S.C. § 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that, to my knowledge:

1. The Quarterly Report on Form 10-Q of the Company for the period ending September 30, 2016 (the “Periodic Report”) fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and

2. The information contained in the Periodic Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Dated: November 9, 2016	/s/ Dennis J. Zember Jr.
	Dennis J. Zember Jr.,
	Executive Vice President, Chief Financial Officer and Chief Operating Officer
	(principal accounting and financial officer)

XML

Document And Entity Information - shares	9 Months Ended
	Sep. 30, 2016	Nov. 01, 2016
Document Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2016
Document Fiscal Year Focus	2016
Document Fiscal Period Focus	Q3
Entity Registrant Name	Ameris Bancorp
Entity Central Index Key	0000351569
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Trading Symbol	ABCB
Entity Common Stock, Shares Outstanding		34,919,974

XML

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015
Assets
Cash and due from banks	$ 123,270	$ 118,518	$ 114,396
Federal funds sold and interest-bearing accounts	90,801	272,045	120,925
Investment securities available for sale, at fair value	838,124	783,185	811,385
Other investments	24,578	9,323	9,322
Mortgage loans held for sale, at fair value	126,263	111,182	111,807
Loans, net of unearned income	3,091,039	2,406,877	2,290,649
Purchased loans not covered by FDIC loss-share agreements ("purchased non-covered loans")	1,067,090	771,554	767,494
Purchased loan pools not covered by FDIC loss-share agreements ("purchased loan pools")	624,886	592,963	410,072
Purchased loans covered by FDIC loss-share agreements ("covered loans")	62,291	137,529	191,021
Less: allowance for loan losses	(22,963)	(21,062)	(22,471)
Loans, net	4,822,343	3,887,861	3,636,765
Other real estate owned, net	10,392	16,147	20,730
Purchased, non-covered other real estate owned, net	14,126	14,333	11,538
Covered other real estate owned, net	1,000	5,011	12,203
Total other real estate owned, net	25,518	35,491	44,471
Premises and equipment, net	122,191	121,639	124,756
FDIC loss-share receivable, net	0	6,301	4,506
Other intangible assets, net	18,472	17,058	18,218
Goodwill	122,545	90,082	87,701
Cash value of bank owned life insurance	77,637	64,251	59,894
Other assets	101,753	72,004	72,154
Total assets	6,493,495	5,588,940	5,216,300
Liabilities
Noninterest-bearing	1,563,316	1,329,857	1,275,800
Interest-bearing	3,742,782	3,549,433	3,254,723
Total deposits	5,306,098	4,879,290	4,530,523
Securities sold under agreements to repurchase	42,647	63,585	51,506
FDIC loss-share payable, net	7,775	0	0
Other borrowings	373,461	39,000	39,000
Other liabilities	37,033	22,432	23,371
Subordinated deferrable interest debentures	83,898	69,874	69,600
Total liabilities	5,850,912	5,074,181	4,714,000
Stockholders’ Equity
Preferred stock, stated value $1,000; 5,000,000 shares authorized; 0 shares issued and outstanding	0	0	0
Common stock, par value $1; 100,000,000 shares authorized; 36,347,637; 33,625,162 and 33,609,894 issued	36,348	33,625	33,610
Capital surplus	409,630	337,349	336,599
Retained earnings	199,769	152,820	140,282
Accumulated other comprehensive income	10,449	3,353	4,197
Treasury stock, at cost, 1,456,333; 1,413,777 and 1,413,777 shares	(13,613)	(12,388)	(12,388)
Total stockholders’ equity	642,583	514,759	502,300
Total liabilities and stockholders’ equity	$ 6,493,495	$ 5,588,940	$ 5,216,300

XML

CONSOLIDATED BALANCE SHEETS [Parenthetical] - $ / shares	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015
Preferred Stock, Par or Stated Value Per Share (in dollars per share)	$ 1,000	$ 1,000	$ 1,000
Preferred Stock, Shares Authorized	5,000,000	5,000,000	5,000,000
Preferred Stock, Shares Issued	0	0	0
Preferred Stock, Shares Outstanding	0	0	0
Common Stock, Par or Stated Value Per Share (in dollars per share)	$ 1	$ 1	$ 1
Common Stock, Shares Authorized	100,000,000	100,000,000	100,000,000
Common Stock, Shares, Issued	36,347,637	33,625,162	33,609,894
Treasury Stock, Shares	1,456,333	1,413,777	1,413,777

XML

CONSOLIDATED STATEMENTS OF EARNINGS AND COMPREHENSIVE INCOME/(LOSS) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Interest income
Interest and fees on loans	$ 57,322	$ 45,775	$ 160,677	$ 124,231
Interest on taxable securities	4,336	4,694	13,476	11,594
Interest on nontaxable securities	397	480	1,297	1,411
Interest on deposits in other banks and federal funds sold	155	246	659	556
Total interest income	62,210	51,195	176,109	137,792
Interest expense
Interest on deposits	3,074	2,521	8,730	7,065
Interest on other borrowings	2,069	1,275	5,287	3,808
Total interest expense	5,143	3,796	14,017	10,873
Net interest income	57,067	47,399	162,092	126,919
Provision for loan losses	811	986	2,381	4,711
Net interest income after provision for loan losses	56,256	46,413	159,711	122,208
Noninterest income
Service charges on deposit accounts	11,358	10,766	31,709	24,346
Mortgage banking activity	14,067	10,404	38,420	28,214
Other service charges, commissions and fees	791	1,145	2,869	2,642
Gain on sale of securities	0	115	94	137
Other noninterest income	2,648	2,548	8,437	7,840
Total noninterest income	28,864	24,978	81,529	63,179
Noninterest expense
Salaries and employee benefits	27,982	24,934	81,700	68,031
Occupancy and equipment expense	5,989	5,915	18,060	15,278
Advertising and marketing expense	1,249	667	2,908	2,141
Amortization of intangible assets	993	1,321	3,332	2,581
Data processing and communications costs	6,185	5,329	18,347	13,803
Credit resolution-related expenses	1,526	1,083	5,089	15,484
Merger and conversion charges	0	446	6,359	6,173
Other noninterest expenses	9,275	8,701	25,363	22,596
Total noninterest expense	53,199	48,396	161,158	146,087
Income before income tax expense	31,921	22,995	80,082	39,300
Income tax expense	10,364	7,368	26,159	12,601
Net income	21,557	15,627	53,923	26,699
Other comprehensive income (loss)
Unrealized holding gains (losses) arising during period on investment securities available for sale, net of tax (benefit) of ($1,481), $936, $4,160 and ($615)	(2,752)	1,739	7,724	(1,143)
Reclassification adjustment for gains included in earnings, net of tax of $0, $40, $33 and $48	0	(75)	(61)	(89)
Unrealized gains (losses) on cash flow hedges arising during period, net of tax (benefit) of $130, ($290), ($306) and ($360)	241	(539)	(567)	(669)
Other comprehensive income (loss)	(2,511)	1,125	7,096	(1,901)
Total comprehensive income (loss)	$ 19,046	$ 16,752	$ 61,019	$ 24,798
Basic earnings per common share	$ 0.62	$ 0.49	$ 1.58	$ 0.84
Diluted earnings per common share	0.61	0.48	1.56	0.84
Dividends declared per common share	$ 0.1	$ 0.05	$ 0.2	$ 0.15
Weighted average common shares outstanding
Basic	34,870	32,195	34,156	31,614
Diluted	35,195	32,553	34,470	31,962

XML

CONSOLIDATED STATEMENTS OF EARNINGS AND COMPREHENSIVE INCOME/(LOSS) [Parenthetical] - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Unrealized holding gains (losses) arising during period on investment securities available for sale, net of tax (benefit)	$ (1,481)	$ 936	$ 4,160	$ (615)
Reclassification adjustment for gains included in earnings, net of tax	0	40	33	48
Unrealized gains (losses) on cash flow hedges arising during the period, net of tax (benefit)	$ 130	$ 290	$ 306	$ 360

XML

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($)	Total	Common Stock [Member]	Capital Surplus [Member]	Retained Earnings [Member]	Accumulated Other Comprehensive Income, Net of Tax [Member] Available-for-sale Securities [Member]	Treasury Stock [Member]
Balance at beginning of period at Dec. 31, 2014		$ 28,159,000	$ 225,015,000	$ 118,412,000	$ 6,098,000	$ (11,656,000)
Balance at beginning of period, shares at Dec. 31, 2014		28,159,027				(1,385,164)
Issuance of common stock		$ 5,320,000	109,569,000
Issuance of common stock ,shares		5,320,000
Issuance of restricted shares		$ 71,000	(71,000)
Issuance of restricted shares, shares		71,000
Cancellation of restricted shares		$ 0	0
Cancellation of restricted shares, shares		0
Proceeds from exercise of stock options		$ 60,000	946,000
Proceeds from exercise of stock options, shares		59,867
Stock-based compensation			1,140,000
Dividends on common shares				(4,829,000)
Purchase of treasury shares						$ (732,000)
Purchase of treasury shares,shares						(28,613)
Net income	$ 26,699,000			26,699,000
Other comprehensive income during the period	(1,901,000)				(1,901)
Balance at end of period at Sep. 30, 2015	502,300,000	$ 33,610,000	336,599,000	140,282,000	4,197,000	$ (12,388,000)
Balance at end of period, shares at Sep. 30, 2015		33,609,894				(1,413,777)
Balance at beginning of period at Dec. 31, 2015	514,759,000	$ 33,625,000	337,349,000	152,820,000	3,353,000	$ (12,388,000)
Balance at beginning of period, shares at Dec. 31, 2015		33,625,162				(1,413,777)
Issuance of common stock		$ 2,549,000	69,906,000
Issuance of common stock ,shares		2,549,469
Issuance of restricted shares		$ 126,000	(126,000)
Issuance of restricted shares, shares		125,581
Cancellation of restricted shares		$ (7,000)	7,000
Cancellation of restricted shares, shares		(7,085)
Proceeds from exercise of stock options		$ 55,000	908,000
Proceeds from exercise of stock options, shares		54,510
Stock-based compensation			1,586,000
Dividends on common shares				(6,974,000)
Purchase of treasury shares						$ (1,225,000)
Purchase of treasury shares,shares						(42,556)
Net income	53,923,000			53,923,000
Other comprehensive income during the period	7,096,000				7,096,000
Balance at end of period at Sep. 30, 2016	$ 642,583,000	$ 36,348,000	$ 409,630,000	$ 199,769,000	$ 10,449,000	$ (13,613,000)
Balance at end of period, shares at Sep. 30, 2016		36,347,637				(1,456,333)

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CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY [Parenthetical] - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015
Net issuance cost	$ 0	$ 4,811

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CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Cash flows from operating activities:
Net income	$ 21,557	$ 15,627	$ 53,923	$ 26,699
Adjustments reconciling net income to net cash provided by operating activities:
Depreciation			7,041	5,735
Amortization of intangible assets	993	1,321	3,332	2,581
Net amortization of investment securities available for sale			5,086	4,397
Amortization Of Purchased Loan Pools			4,149	0
Net Accretion Of Other Borrowings			(57)	0
Amortization Of Subordinated Deferrable Interest Debentures			1,123	769
Net gains on securities available for sale	0	(115)	(94)	(137)
Stock based compensation expense			1,586	1,140
Net losses on sale or disposal of premises and equipment			112	83
Net write-downs and losses on sale of other real estate owned			1,844	12,193
Provision for loan losses	811	986	2,381	4,711	$ 5,264
Accretion of discount on covered loans			(2,855)	(8,105)
Accretion of discount on purchased non-covered loans			(10,071)	(8,055)
Changes in FDIC loss-share receivable/payable, net of cash payments received			10,277	7,756
Increase in cash surrender value of BOLI			(1,318)	(1,027)
Originations of mortgage loans held for sale			(1,051,812)	(784,548)
Payments received on mortgage loans held for sale			1,167	1,002
Proceeds from sales of mortgage loans held for sale			982,898	747,507
Net gains on sale of mortgage loans held for sale			(41,935)	(30,427)
Originations of SBA loans			(57,462)	(41,116)
Proceeds from sales of SBA loans			21,656	29,381
Net gains on sale of SBA loans			(3,054)	(3,158)
Change attributable to other operating activities			9,833	14,630
Net cash provided by (used in) operating activities			(62,250)	(17,989)
Cash flows from investing activities:
Purchase of securities available for sale			(134,786)	(246,090)
Proceeds from maturities of securities available for sale			93,513	64,390
Proceeds from sales of securities available for sale			53,026	69,208	72,528
Decrease (increase) in other investments, net			(13,050)	1,825
Net increase in loans, excluding purchased non-covered and covered loans			(556,182)	(349,541)
Purchases of non-covered loan pools			(151,481)	(422,956)
Payments received on purchased non-covered loans			158,700	123,311
Payments received on purchased loan pools			115,409	12,884
Payments received on covered loans			27,619	60,930
Purchases of premises and equipment			(8,250)	(11,057)
Proceeds from sales of premises and equipment			207	282
Proceeds from sales of other real estate owned			18,329	33,460
Payments received from FDIC under loss-share agreements			4,770	19,089
Net cash proceeds received (paid) from acquisitions			(7,205)	673,840
Net cash provided by (used in) investing activities			(399,381)	29,575
Cash flows from financing activities:
Net increase (decrease) in deposits			25,448	46,315
Net decrease in securities sold under agreements to repurchase			(20,938)	(63,392)
Proceeds from other borrowings			339,500	0
Repayment of other borrowings			(53,513)	(39,881)
Dividends paid - common stock			(5,096)	(4,829)
Purchase of treasury shares			(1,225)	(732)
Issuance of common stock			0	114,889
Proceeds from exercise of stock options			963	1,006
Net cash provided by (used in) financing activities			285,139	53,376
Net increase (decrease) in cash and cash equivalents			(176,492)	64,962
Cash and cash equivalents at beginning of period			390,563	170,359	170,359
Cash and cash equivalents at end of period	$ 214,071	$ 235,321	214,071	235,321	$ 390,563
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION
Cash paid during the year for: Interest			13,791	11,106
Cash paid during the year for: Income taxes			30,969	2,739
Loans (excluding purchased non-covered and covered loans) transferred to other real estate owned			2,101	9,838
Purchased non-covered loans transferred to other real estate owned			3,871	2,565
Covered loans transferred to other real estate owned			2,391	6,909
Loans provided for the sales of other real estate owned			1,471	4,996
Change in unrealized gain on securities available for sale, net of tax			7,724	(1,143)
Change in unrealized loss on cash flow hedge (interest rate swap), net of tax			(567)	(669)
Issuance of common stock in acquisitions			$ 72,455	$ 0

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BASIS OF PRESENTATION AND ACCOUNTING POLICIES

9 Months Ended

Sep. 30, 2016

Accounting Policies [Abstract]

BASIS OF PRESENTATION AND ACCOUNTING POLICIES

NOTE 1 – BASIS OF PRESENTATION AND ACCOUNTING POLICIES

Ameris Bancorp (the “Company” or “Ameris”) is a financial holding company headquartered in Moultrie, Georgia. Ameris conducts substantially all of its operations through its wholly owned banking subsidiary, Ameris Bank (the “Bank”). At September 30, 2016, the Bank operated 99 branches in select markets in Georgia, Alabama, Florida and South Carolina. Our business model capitalizes on the efficiencies of a large financial services company while still providing the community with the personalized banking service expected by our customers. We manage our Bank through a balance of decentralized management responsibilities and efficient centralized operating systems, products and loan underwriting standards. The Company’s Board of Directors and senior managers establish corporate policy, strategy and administrative policies. Within our established guidelines and policies, the banker closest to the customer responds to the differing needs and demands of his or her unique market.

The accompanying unaudited consolidated financial statements for Ameris have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information and Regulation S-X. Accordingly, the financial statements do not include all of the information and footnotes required by accounting principles generally accepted in the United States of America for complete financial statement presentation. The interim consolidated financial statements included herein are unaudited but reflect all adjustments (consisting of normal recurring accruals) which, in the opinion of management, are necessary for a fair presentation of the consolidated financial position and results of operations for the interim periods presented. All significant intercompany accounts and transactions have been eliminated in consolidation. The results of operations for the period ended September 30, 2016 are not necessarily indicative of the results to be expected for the full year. These financial statements should be read in conjunction with the financial statements and notes thereto and the report of our registered independent public accounting firm included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2015.

Recent Accounting Pronouncements

ASU 2016-13 - Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”). ASU 2016-13 significantly changes how entities will measure credit losses for most financial assets and certain other instruments that are not measured at fair value through net income. The standard will replace the current incurred loss approach with an expected loss model, referred to as the current expected credit loss (“CECL”) model. The new standard will apply to financial assets subject to credit losses and measured at amortized cost and certain off-balance sheet credit exposures, which include, but are not limited to, loans, leases, held-to-maturity securities, loan commitments and financial guarantees. ASU 2016-13 simplifies the accounting for purchased credit-impaired debt securities and loans and expands the disclosure requirements regarding an entity’s assumptions, models and methods for estimating the allowance for loan and lease losses. In addition, entities will need to disclose the amortized cost balance for each class of financial asset by credit quality indicator, disaggregated by the year of origination. ASU 2016-13 is effective for interim and annual reporting periods beginning after December 15, 2019. Early adoption is permitted for interim and annual reporting periods beginning after December 15, 2018. Upon adoption, ASU 2016-13 provides for a modified retrospective transition by means of a cumulative-effect adjustment to equity as of the beginning of the period in which the guidance is effective. The Company is currently evaluating the impact this standard will have on the Company’s results of operations, financial position or disclosures.

ASU 2016-09 – Improvements to Employee Share-Based Payment Accounting (“ASU 2016-09”). ASU 2016-09 simplifies various aspects of how share-based payments are accounted for and presented in the financial statements. Under ASU 2016-09, companies will record all excess tax benefits and tax deficiencies as income tax expense or benefit in the income statement and will no longer record excess tax benefits and certain tax deficiencies in additional paid-in capital. The standard eliminates the requirement that excess tax benefits be realized before companies can recognize them. The excess tax benefits will be reported as an operating activity on the statement of cash flows, and the cash paid to a tax authority when shares are withheld to satisfy a company’s statutory income tax withholding obligation will be reported as a financing activity on its statement of cash. In addition, the standard increases the amount an employer can withhold to cover income taxes on awards and still qualify for the exception to liability classification for shares used to satisfy the employer’s statutory income tax withholding obligation. ASU 2016-09 permits companies to make an accounting policy election for the impact of forfeitures on the recognition of expense for share-based payment awards. Forfeitures can be estimated, as required today, or recognized when they occur. ASU 2016-09 is effective for interim and annual reporting periods beginning after December 15, 2016. Early adoption is permitted, but all of the guidance must be adopted in the same period. The Company is currently evaluating the impact this standard will have on the Company’s results of operations, financial position or disclosures.

ASU 2016-02 – Leases (Topic 842) (“ASU 2016-02”). ASU 2016-02 amends the existing standards for lease accounting effectively requiring most leases be carried on the balance sheets of the related lessees by requiring them to recognize a right-of-use asset and a corresponding lease liability. ASU 2016-02 includes qualitative and quantitative disclosure requirements intended to provide greater insight into the nature of an entity’s leasing activities. The standard must be adopted using a modified retrospective transition with a cumulative-effect adjustment to equity as of the beginning of the period in which it is adopted. ASU 2016-02 is effective for annual reporting periods beginning after December 15, 2018, and interim periods within those annual periods with early adoption permitted. The Company is currently evaluating the impact this standard will have on the Company’s results of operations, financial position or disclosures.

ASU 2015-16 – Business Combinations (Topic 805) - Simplifying the Accounting for Measurement-Period Adjustments (“ASU 2015-16”). ASU 2015-16 requires that an acquirer recognize adjustments to estimated amounts that are identified during the measurement period in the reporting period in which the adjustment amounts are determined. The amendments require that the acquirer record, in the same period’s financial statements, the effect on earnings of changes in depreciation, amortization, or other income effects, if any, as a result of the change to the estimated amounts, calculated as if the accounting had been completed at the acquisition date. The standard also requires an entity to present separately on the face of the income statement or disclose in the notes the portion of the amount recorded in current-period earnings by line item that would have been recorded in previous reporting periods if the adjustment to the estimated amounts had been recognized as of the acquisition date. ASU 2015-16 is effective for public business entities for fiscal years beginning after December 15, 2015, including interim periods within those fiscal years. The amendments should be applied prospectively to adjustments to provisional amounts that occur after the effective date with earlier application permitted for financial statements that have not been issued. The Company has early adopted the provisions of this amendment, and the adoption did not have a material impact on the Company's consolidated financial statements.

ASU 2015-03 – Interest – Imputation of Interest (“ASU 2015-03”). ASU 2015-03 simplifies presentation of debt issuance costs by requiring that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of the debt liability, consistent with debt discounts. ASU 2015-03 is effective for annual periods and interim periods within those annual periods beginning after December 15, 2015, and early adoption is permitted. It should be applied on a retrospective basis. The adoption of this standard did not have a material effect on the Company’s results of operations, financial position or disclosures.

ASU 2015-02 “Consolidation (Topic 810) - Amendments to the Consolidation Analysis (“ASU 2015-02”).  ASU 2015-02 includes amendments that are intended to improve targeted areas of consolidation for legal entities including reducing the number of consolidation models from four to two and simplifying the FASB Accounting Standards Codification. ASU 2015-02 is effective for annual and interim periods within those annual periods, beginning after December 15, 2015. The amendments may be applied retrospectively in previously issued financial statements for one or more years with a cumulative effect adjustment to retained earnings as of the beginning of the first year restated. Early adoption is permitted, including adoption in an interim period. The adoption of this standard did not have a material effect on the Company’s results of operations, financial position or disclosures.

ASU 2015-01- Income Statement – Extraordinary and Unusual Items (“ASU 2015-01”). ASU 2015-01 eliminates the concept of extraordinary items by no longer allowing companies to segregate an extraordinary item from the results of operations, separately present an extraordinary item on the income statement, or disclose income taxes or earnings-per-share data applicable to an extraordinary item. ASU 2015-01 is effective for annual periods and interim periods within those annual periods beginning after December 15, 2015, and early adoption is permitted. The adoption of this standard did not have a material effect on the Company’s results of operations, financial position or disclosures.

ASU 2014-09 – Revenue from Contracts with Customers (“ASU 2014-09”). ASU 2014-09 provides guidance that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. ASU 2014-09 is effective prospectively, for annual and interim periods, beginning after December 15, 2016. The Company is currently evaluating the impact this standard will have on the Company’s results of operations, financial position or disclosures.

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BUSINESS COMBINATIONS

9 Months Ended

Sep. 30, 2016

Business Combinations [Abstract]

BUSINESS COMBINATIONS

NOTE 2 – BUSINESS COMBINATIONS

Jacksonville Bancorp, Inc.

On March 11, 2016, the Company completed its acquisition of Jacksonville Bancorp, Inc. (“JAXB”), a bank holding company headquartered in Jacksonville, Florida.  Upon consummation of the acquisition, JAXB was merged with and into the Company, with Ameris as the surviving entity in the merger. At that time, JAXB’s wholly owned banking subsidiary, The Jacksonville Bank (“Jacksonville Bank”), was also merged with and into the Bank. The acquisition expanded the Company’s existing market presence, as Jacksonville Bank had a total of eight full-service branches located in Jacksonville and Jacksonville Beach, Duval County, Florida. Under the terms of the merger, JAXB’s common shareholders received 0.5861 shares of Ameris common stock or $16.50 in cash for each share of JAXB common stock or nonvoting common stock they previously held, subject to the total consideration being allocated 75% stock and 25% cash. As a result, the Company issued 2,549,469 common shares at a fair value of $72.5 million and paid $23.9 million in cash to former shareholders of JAXB.

The acquisition of JAXB was accounted for using the acquisition method of accounting in accordance with FASB ASC 805, Business Combinations. Assets acquired, liabilities assumed and consideration exchanged were recorded at their respective acquisition date fair values. Determining the fair value of assets and liabilities is a complicated process involving significant judgment regarding methods and assumptions used to calculate estimated fair values. Fair values are preliminary and subject to refinement for up to one year after the closing date of the acquisition as additional information regarding the closing date fair values becomes available. During the third quarter of 2016, management revised its initial estimates regarding the valuation of loans, premises and equipment, core deposit intangible and other assets acquired. In addition, management assessed and recorded the deferred tax assets resulting from differences in the carrying values of acquired assets and assumed liabilities for financial reporting purposes and their basis for income tax purposes. This estimate also reflects acquired net operating loss carryforwards and other acquired assets with built-in losses that are expected to be settled or otherwise recovered in future periods where the realization of such benefits would be subject to applicable limitations under Section 382 of the Internal Revenue Code of 1986, as amended. Management continues to evaluate fair value adjustments related to loans, other real estate owned and deferred tax assets.

The following table presents the assets acquired and liabilities of JAXB assumed as of March 11, 2016 and their initial fair value estimates. The fair value adjustments shown in the following table continue to be evaluated by management and may be subject to further adjustment:

	As Recorded by		Initial Fair Value			Subsequent Fair Value			As Recorded
(Dollars in Thousands)	JAXB		Adjustments			Adjustments			by Ameris
Assets
Cash and cash equivalents	$	9,704	$	-		$	-		$	9,704
Federal funds sold and interest-bearing balances		7,027		-			-			7,027
Investment securities		60,836		(942)	(a)		-			59,894
Other investments		2,458		-			-			2,458
Loans		416,831		(15,746)	(b)		1,857	(j)		402,942
Less allowance for loan losses		(12,613)		12,613	(c)		-			-
Loans, net		404,218		(3,133)			1,857			402,942
Other real estate owned		2,873		(1,035)	(d)		-			1,838
Premises and equipment		4,798		-			(31)	(k)		4,767
Intangible assets		288		5,566	(e)		(1,108)	(l)		4,746
Other assets		14,141		23,266	(f)		(1,841)	(m)		35,566
Total assets	$	506,343	$	23,722		$	(1,123)		$	528,942
Liabilities
Deposits:
Noninterest-bearing	$	123,399	$	-		$	-		$	123,399
Interest-bearing		277,539		421	(g)		-			277,960
Total deposits		400,938		421			-			401,359
Other borrowings		48,350		84	(h)		-			48,434
Other liabilities		2,354		-			-			2,354
Subordinated deferrable interest debentures		16,294		(3,393)	(i)		-			12,901
Total liabilities		467,936		(2,888)			-			465,048
Net identifiable assets acquired over (under) liabilities assumed		38,407		26,610			(1,123)			63,894
Goodwill		-		31,375			1,123			32,498
Net assets acquired over (under) liabilities assumed	$	38,407	$	57,985		$	-		$	96,392
Consideration:
Ameris Bancorp common shares issued		2,549,469
Purchase price per share of the Company's common stock	$	28.42
Company common stock issued	$	72,455
Cash exchanged for shares	$	23,937
Fair value of total consideration transferred	$	96,392

Explanation of fair value adjustments

(a) Adjustment reflects the fair value adjustments of the portfolio of securities available for sale as of the acquisition date.

(b) Adjustment reflects the fair value adjustments based on the Company’s evaluation of the acquired loan portfolio, net of the reversal of JAXB remaining fair value adjustments from their prior acquisitions.

(c) Adjustment reflects the elimination of JAXB’s allowance for loan losses.

(d) Adjustment reflects the fair value adjustment based on the Company’s evaluation of the acquired OREO portfolio, which is based largely on contracted sale prices.

(e) Adjustment reflects the recording of core deposit intangible on the acquired core deposit accounts.

(f) Adjustment reflects the deferred taxes on the difference in the carrying values of acquired assets and assumed liabilities for financial reporting purposes and their basis for federal income tax purposes and the reversal of JAXB valuation allowance established on their deferred tax assets.

(g) Adjustment reflects the fair value adjustments based on the Company’s evaluation of the acquired deposits.

(h) Adjustment reflects the fair value adjustments based on the Company’s evaluation of the liability for other borrowings.

(i) Adjustment reflects the fair value adjustment to the subordinated deferrable interest debentures at the acquisition date, net of the reversal of JAXB remaining fair value adjustments from their prior acquisitions.

(j) Adjustment reflects additional recording of fair value adjustment of the acquired loan portfolio.

(k) Adjustment reflects recording of fair value adjustment of the premises and equipment.

(l) Adjustment reflects adjustment to the core deposit intangible on the acquired core deposit accounts.

(m) Adjustment reflects the additional deferred taxes on the difference in the carrying values of acquired assets and assumed liabilities for financial reporting purposes and their basis for federal income tax purposes.

Goodwill of $32.5 million, which is the excess of the purchase price over the fair value of net assets acquired, was recorded in the JAXB acquisition and is the result of expected operational synergies and other factors. This goodwill is not expected to be deductible for tax purposes.

In the acquisition, the Company purchased $402.9 million of loans at fair value, net of $13.9 million, or 3.33%, estimated discount to the outstanding principal balance. Of the total loans acquired, management identified $28.3 million that were considered to be credit impaired and are accounted for under ASC Topic 310-30. The table below summarizes the total contractually required principal and interest cash payments, management’s estimate of expected total cash payments and fair value of the loans as of acquisition date for purchased credit impaired loans. Contractually required principal and interest payments have been adjusted for estimated prepayments.

(Dollars in Thousands)
Contractually required principal and interest	$	42,314
Non-accretable difference		(7,877)
Cash flows expected to be collected		34,437
Accretable yield		(6,182)
Total purchased credit-impaired loans acquired	$	28,255

The following table presents the acquired loan data for the JAXB acquisition.

					Best Estimate
			Gross		at Acquisition
			Contractual		Date of
			Amounts		Contractual
	Fair Value of		Receivable at		Cash Flows
	Acquired Loans at		Acquisition		Not Expected
	Acquisition Date		Date		to be Collected
	(Dollars in Thousands)
Acquired receivables subject to ASC 310-30	$	28,255	$	42,314	$	7,877
Acquired receivables not subject to ASC 310-30	$	374,687	$	488,346	$	-

Branch Acquisition

On June 12, 2015, the Company completed its acquisition of 18 branches from Bank of America, National Association located in Calhoun, Columbia, Dixie, Hamilton, Suwanee and Walton Counties, Florida and Ben Hill, Colquitt, Dougherty, Laurens, Liberty, Thomas, Tift and Ware Counties, Georgia. Under the terms of the Purchase and Assumption Agreement dated January 28, 2015, the Company paid a deposit premium of $20.0 million, equal to 3.00% of the average daily deposits for the 15 calendar-day period immediately prior to the acquisition date. In addition, the Company acquired approximately $4.0 million in loans and $10.7 million in premises and equipment.

The acquisition of the 18 branches was accounted for using the acquisition method of accounting in accordance with FASB ASC 805, Business Combinations. Assets acquired, liabilities assumed and consideration exchanged were recorded at their respective acquisition date fair values. Determining the fair value of assets and liabilities is a complicated process involving significant judgment regarding methods and assumptions used to calculate estimated fair values. Fair values are preliminary and subject to refinement for up to one year after the closing date of the acquisition as additional information regarding the closing date fair values becomes available. During the third and fourth quarters of 2015, management revised its initial estimates regarding the valuation of loans, premises and intangible assets acquired. 

The following table presents the assets acquired and liabilities assumed as of June 12, 2015 and their fair value estimates.

(Dollars in Thousands)	As Recorded by Bank of America		Initial Fair Value Adjustments			Subsequent Fair Value Adjustments			As Recorded by Ameris
Assets
Cash and cash equivalents	$	630,220	$	-		$	-		$	630,220
Loans		4,363		-			(364	)(d)		3,999
Premises and equipment		10,348		1,060	(a)		(755	)(e)		10,653
Intangible assets		-		7,651	(b)		985	(f)		8,636
Other assets		126		-			-			126
Total assets	$	645,057	$	8,711		$	(134	)	$	653,634
Deposits:
Noninterest-bearing	$	149,854	$	-		$	-		$	149,854
Interest-bearing		495,110		(215	)(c)		-			494,895
Total deposits		644,964		(215	)		-			644,749
Other liabilities		93		-			-			93
Total liabilities		645,057		(215	)		-			644,842
Net identifiable assets acquired over (under) liabilities assumed		-		8,926			(134	)		8,792
Goodwill		-		11,076			134			11,210
Net assets acquired over (under) liabilities assumed	$	-	$	20,002		$	-		$	20,002
Consideration:
Cash paid as deposit premium	$	20,002
Fair value of total consideration transferred	$	20,002

Explanation of fair value adjustments

(a) Adjustment reflects the fair value adjustments of the premises and equipment as of the acquisition date.

(b) Adjustment reflects the recording of core deposit intangible on the acquired core deposit accounts.

(c) Adjustment reflects the fair value adjustments based on the Company’s evaluation of the acquired deposits.

(d) Adjustment reflects the fair value adjustments based on the Company’s evaluation of the acquired loan portfolio.

(e) Adjustment reflects additional recording of fair value adjustment of the premises and equipment.

(f) Adjustment reflects additional recording of core deposit intangible on the acquired core deposit accounts.

Goodwill of $11.2 million, which is the excess of the purchase consideration over the fair value of net assets acquired, was recorded in the branch acquisition and is the result of expected operational synergies and other factors.

In the acquisition, the Company purchased $4.0 million of loans at fair value. Management identified $364,000 of overdrafts that were considered to be credit impaired and were subsequently charged off as uncollectible under ASC Topic 310-30.

Merchants & Southern Banks of Florida, Incorporated

On May 22, 2015, the Company completed its acquisition of all shares of the outstanding common stock of Merchants & Southern Banks of Florida, Incorporated (“Merchants”), a bank holding company headquartered in Gainesville, Florida, for a total purchase price of $50,000,000.  Upon consummation of the stock purchase, Merchants was merged with and into the Company, with Ameris as the surviving entity in the merger. At that time, Merchants’ wholly owned banking subsidiary, Merchants and Southern Bank, was also merged with and into the Bank. The acquisition grew the Company’s existing market presence, as Merchants and Southern Bank had a total of 13 banking locations in Alachua, Marion and Clay Counties, Florida.

The acquisition of Merchants was accounted for using the acquisition method of accounting in accordance with FASB ASC 805, Business Combinations. Assets acquired, liabilities assumed and consideration exchanged were recorded at their respective acquisition date fair values. Determining the fair value of assets and liabilities is a complicated process involving significant judgment regarding methods and assumptions used to calculate estimated fair values. Fair values are preliminary and subject to refinement for up to one year after the closing date of the acquisition as additional information regarding the closing date fair values becomes available. During the third and fourth quarters of 2015, management revised its initial estimates regarding the valuation of investment securities, core deposit intangible and other assets acquired. In addition, management continued its assessment and recorded the deferred tax assets resulting from differences in the carrying values of acquired assets and assumed liabilities for financial reporting purposes and their basis for income tax purposes. This estimate also reflects acquired net operating loss carryforwards and other acquired assets with built-in losses that are expected to be settled or otherwise recovered in future periods where the realization of such benefits would be subject to applicable limitations under Section 382 of the Internal Revenue Code of 1986, as amended. During the second quarter of 2016, management revised its initial estimates regarding the valuation of loans.

The following table presents the assets acquired and liabilities of Merchants assumed as of May 22, 2015 and their fair value estimates.

(Dollars in Thousands)	As Recorded by Merchants		Initial Fair Value Adjustments			Subsequent Fair Value Adjustments			As Recorded by Ameris
Assets
Cash and cash equivalents	$	7,527	$	-		$	-		$	7,527
Federal funds sold and interest-bearing balances		106,188		-			-			106,188
Investment securities		164,421		(553)	(a)		(639)	(j)		163,229
Other investments		872		-			(253)	(k)		619
Loans		199,955		(8,500)	(b)		91	(l)		191,546
Less allowance for loan losses		(3,354)		3,354	(c)		-			-
Loans, net		196,601		(5,146)			91			191,546
Other real estate owned		4,082		(1,115)	(d)		-			2,967
Premises and equipment		14,614		(3,680)	(e)		-			10,934
Intangible assets		-		4,577	(f)		(634)	(m)		3,943
Other assets		2,333		2,335	(g)		(1,109)	(n)		3,559
Total assets	$	496,638	$	(3,582)		$	(2,544)		$	490,512
Liabilities
Deposits:
Noninterest-bearing	$	121,708	$	-		$	-		$	121,708
Interest-bearing		286,112		-			41,588	(o)		327,700
Total deposits		407,820		-			41,588			449,408
Federal funds purchased and securities sold under agreements to repurchase		41,588		-			(41,588)	(o)		-
Other liabilities		2,151		81	(h)		-			2,232
Subordinated deferrable interest debentures		6,186		(2,680)	(i)		-			3,506
Total liabilities		457,745		(2,599)			-			455,146
Net identifiable assets acquired over (under) liabilities assumed		38,893		(983)			(2,544)			35,366
Goodwill		-		12,090			2,544			14,634
Net assets acquired over (under) liabilities assumed	$	38,893	$	11,107		$	-		$	50,000
Consideration:
Cash exchanged for shares	$	50,000
Fair value of total consideration transferred	$	50,000

Explanation of fair value adjustments

(a) Adjustment reflects the fair value adjustments of the portfolio of securities available for sale as of the acquisition date.

(b) Adjustment reflects the fair value adjustments based on the Company’s evaluation of the acquired loan portfolio.

(c) Adjustment reflects the elimination of Merchants’ allowance for loan losses.

(d) Adjustment reflects the fair value adjustment based on the Company’s evaluation of the acquired OREO portfolio.

(e) Adjustment reflects the fair value adjustment based on the Company’s evaluation of the acquired premises.

(f) Adjustment reflects the recording of core deposit intangible on the acquired core deposit accounts.

(g) Adjustment reflects the deferred taxes on the difference in the carrying values of acquired assets and assumed liabilities for financial reporting purposes and their basis for federal income tax purposes.

(h) Adjustment reflects the fair value adjustments based on the Company’s evaluation of interest rate swap liabilities.

(i) Adjustment reflects the fair value adjustment to the subordinated deferrable interest debentures at the acquisition date.

(j) Adjustment reflects the additional fair value adjustments of the portfolio of securities available for sale as of the acquisition date.

(k) Adjustment reflects the fair value adjustments of other investments as of the acquisition date.

(l) Adjustment reflects additional recording of fair value adjustment of the acquired loan portfolio.

(m) Adjustment reflects adjustment to the core deposit intangible on the acquired core deposit accounts.

(n) Adjustment reflects the additional deferred taxes on the difference in the carrying values of acquired assets and assumed liabilities for financial reporting purposes and their basis for federal income tax purposes.

(o) Subsequent to acquisition, the acquired securities sold under agreements to repurchase were converted to deposit accounts and are no longer reported as securities sold under agreements to repurchase on the Consolidated Balance Sheet as of December 31, 2015.

Goodwill of $14.6 million, which is the excess of the purchase price over the fair value of net assets acquired, was recorded in the Merchants acquisition and is the result of expected operational synergies and other factors. This goodwill is not expected to be deductible for tax purposes.

In the acquisition, the Company purchased $191.5 million of loans at fair value, net of $8.4 million, or 4.21%, estimated discount to the outstanding principal balance. Of the total loans acquired, management identified $11.2 million that were considered to be credit impaired and are accounted for under ASC Topic 310-30. The table below summarizes the total contractually required principal and interest cash payments, management’s estimate of expected total cash payments and fair value of the loans as of acquisition date for purchased credit impaired loans. Contractually required principal and interest payments have been adjusted for estimated prepayments.

(Dollars in Thousands)
Contractually required principal and interest	$	17,201
Non-accretable difference		(2,712)
Cash flows expected to be collected		14,489
Accretable yield		(3,254)
Total purchased credit-impaired loans acquired	$	11,235

The following table presents the acquired loan data for the Merchants acquisition.

	Fair Value of Acquired Loans at Acquisition Date		Gross Contractual Amounts Receivable at Acquisition Date		Best Estimate at Acquisition Date of Contractual Cash Flows Not Expected to be Collected
	(Dollars in Thousands)
Acquired receivables subject to ASC 310-30	$	11,235	$	14,086	$	2,712
Acquired receivables not subject to ASC 310-30	$	180,311	$	184,906	$	-

The results of operations of JAXB and Merchants subsequent to the respective acquisition dates are included in the Company’s consolidated statements of operations. The following unaudited pro forma information reflects the Company’s estimated consolidated results of operations as if the acquisitions had occurred on January 1, 2015, unadjusted for potential cost savings (in thousands).

	Three Months Ended September 30,				Nine Months Ended September 30,
	2016		2015		2016		2015
Net interest income and noninterest income	$	85,931	$	77,325	$	247,697	$	210,556
Net income	$	21,557	$	17,076	$	54,658	$	32,621
Net income available to common stockholders	$	21,557	$	17,076	$	54,658	$	32,621
Income per common share available to common stockholders – basic	$	0.62	$	0.49	$	1.57	$	0.95
Income per common share available to common stockholders – diluted	$	0.61	$	0.49	$	1.56	$	0.95
Average number of shares outstanding, basic		34,870		34,744		34,817		34,163
Average number of shares outstanding, diluted		35,195		35,102		35,131		34,511

A rollforward of purchased non-covered loans for the nine months ended September 30, 2016, the year ended December 31, 2015 and the nine months ended September 30, 2015 is shown below:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Balance, January 1	$	771,554	$	674,239	$	674,239
Charge-offs, net of recoveries		(904)		(991)		(814)
Additions due to acquisitions		402,942		195,818		195,818
Accretion		10,071		10,590		8,055
Transfers to purchased non-covered other real estate owned		(3,871)		(4,473)		(2,565)
Transfer from covered loans due to loss-share expiration		45,908		50,568		15,462
Payments received		(158,700)		(154,666)		(123,311)
Other		90		469		610
Ending balance	$	1,067,090	$	771,554	$	767,494

The following is a summary of changes in the accretable discounts of purchased non-covered loans during the nine months ended September 30, 2016, the year ended December 31, 2015 and the nine months ended September 30, 2015:

(Dollars in Thousands)	September  30,2016		December 31, 2015		September 30, 2015
Balance, January 1	$	24,785	$	25,716	$	25,716
Additions due to acquisitions		9,991		5,788		4,686
Accretion		(10,071)		(10,590)		(8,055)
Transfer from covered loans due to loss-share expiration		3,457		1,665		-
Accretable discounts removed due to charge-offs		(161)		(1,768)		(1,686)
Transfers between non-accretable and accretable discounts, net		2,263		3,974		(106)
Ending balance	$	30,264	$	24,785	$	20,555

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INVESTMENT SECURITIES

9 Months Ended

Sep. 30, 2016

Investments, Debt and Equity Securities [Abstract]

INVESTMENT SECURITIES

NOTE 3 – INVESTMENT SECURITIES

The Company’s investment policy blends the Company’s liquidity needs and interest rate risk management with its desire to increase income and provide funds for expected growth in loans. The investment securities portfolio consists primarily of U.S. government-sponsored mortgage-backed securities and agencies, state, county and municipal securities and corporate debt securities. The Company’s portfolio and investing philosophy concentrate activities in obligations where the credit risk is limited. For the small portion of the Company’s portfolio found to present credit risk, the Company has reviewed the investments and financial performance of the obligors and believes the credit risk to be acceptable.

The amortized cost and estimated fair value of investment securities available for sale at September 30, 2016, December 31, 2015 and September 30, 2015 are presented below:

	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
	(Dollars in Thousands)
September 30, 2016:
U.S. government agencies	$	999	$	29	$	(0)	$	1,028
State, county and municipal securities		150,083		5,939		(28)		155,994
Corporate debt securities		28,924		194		(20)		29,098
Mortgage-backed securities		641,404		10,917		(317)		652,004
Total debt securities	$	821,410	$	17,079	$	(365)	$	838,124
December 31, 2015:
U.S. government agencies	$	14,959	$	-	$	(69)	$	14,890
State, county and municipal securities		157,681		4,046		(411)		161,316
Corporate debt securities		5,900		145		(28)		6,017
Mortgage-backed securities		599,721		3,945		(2,704)		600,962
Total debt securities	$	778,261	$	8,136	$	(3,212)	$	783,185
September 30, 2015:
U.S. government agencies	$	14,957	$	26	$	(15)	$	14,968
State, county and municipal securities		161,509		3,875		(519)		164,865
Corporate debt securities		5,901		150		(19)		6,032
Mortgage-backed securities		622,313		5,208		(2,001)		625,520
Total debt securities	$	804,680	$	9,259	$	(2,554)	$	811,385

The amortized cost and fair value of available-for-sale securities at September 30, 2016 by contractual maturity are summarized in the table below. Expected maturities for mortgage-backed securities may differ from contractual maturities because in certain cases borrowers can prepay obligations without prepayment penalties. Therefore, these securities are not included in the following maturity summary.

	Amortized Cost		Fair Value
	(Dollars in Thousands)
Due in one year or less	$	5,260	$	5,312
Due from one year to five years		63,450		65,135
Due from five to ten years		56,521		59,169
Due after ten years		54,775		56,504
Mortgage-backed securities		641,404		652,004
	$	821,410	$	838,124

Securities with a carrying value of approximately $416.8 million serve as collateral to secure public deposits, securities sold under agreements to repurchase and for other purposes required or permitted by law at September 30, 2016, compared with $551.0 million and $381.9 million at December 31, 2015 and September 30, 2015, respectively.

 

The following table details the gross unrealized losses and fair value of securities aggregated by category and duration of continuous unrealized loss position at September 30, 2016, December 31, 2015 and September 30, 2015.

	Less Than 12 Months				12 Months or More				Total
Description of Securities	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
	(Dollars in Thousands)
September 30, 2016:
U.S. government agencies	$	-	$	-	$	-	$	-	$	-	$	-
State, county and municipal securities		4,398		(17)		1,634		(11)		6,032		(28)
Corporate debt securities		3,012		(5)		487		(15)		3,499		(20)
Mortgage-backed securities		66,920		(195)		12,519		(122)		79,439		(317)
Total debt securities	$	74,330	$	(217)	$	14,640	$	(148)	$	88,970	$	(365)
December 31, 2015:
U.S. government agencies	$	9,932	$	(27)	$	4,958	$	(42)	$	14,890	$	(69)
State, county and municipal securities		19,293		(199)		11,557		(212)		30,850		(411)
Corporate debt securities		1,383		(28)		-		-		1,383		(28)
Mortgage-backed securities		263,281		(1,950)		29,950		(754)		293,231		(2,704)
Total debt securities	$	293,889	$	(2,204)	$	46,465	$	(1,008)	$	340,354	$	(3,212)
September 30, 2015:
U.S. government agencies	$	-	$	-	$	4,985	$	(15)	$	4,985	$	(15)
State, county and municipal securities		28,339		(297)		10,451		(222)		38,790		(519)
Corporate debt securities		894		(19)		-		-		894		(19)
Mortgage-backed securities		213,439		(1,184)		30,708		(817)		244,147		(2,001)
Total debt securities	$	242,672	$	(1,500)	$	46,144	$	(1,054)	$	288,816	$	(2,554)

As of September 30, 2016, the Company’s securities portfolio consisted of 414 securities, 28 of which were in an unrealized loss position. The majority of unrealized losses are related to the Company’s mortgage-backed securities, as discussed below.

At September 30, 2016, the Company held 23 mortgage-backed securities that were in an unrealized loss position, all of which were issued by U.S. government-sponsored entities and agencies. Because the decline in fair value is attributable to changes in interest rates and illiquidity, and not credit quality, and because the Company does not have the intent to sell these mortgage-backed securities and it is likely that it will not be required to sell the securities before their anticipated recovery, the Company does not consider these securities to be other-than-temporarily impaired at September 30, 2016.

At September 30, 2016, the Company held three state, county and municipal securities and two corporate debt securities that were in an unrealized loss position. Because the decline in fair value is attributable to changes in interest rates, and not credit quality, and because the Company does not have the intent to sell these securities and it is likely that it will not be required to sell the securities before their anticipated recovery, the Company does not consider these securities to be other-than-temporarily impaired at September 30, 2016.

During the first nine months of 2016 and 2015, the Company received timely and current interest and principal payments on all of the securities classified as corporate debt securities, except for one security that began deferring interest during the fourth quarter of 2010. The Company’s investments in subordinated debt include investments in regional and super-regional banks on which the Company prepares regular analysis through review of financial information and credit ratings. Investments in preferred securities are also concentrated in the preferred obligations of regional and super-regional banks through non-pooled investment structures. The Company did not have investments in “pooled” trust preferred securities at September 30, 2016, December 31, 2015 or September 30, 2015.

Management and the Company’s Asset and Liability Committee (the “ALCO Committee”) evaluate securities for other-than-temporary impairment at least on a quarterly basis, and more frequently when economic or market conditions warrant such evaluation. While the majority of the unrealized losses on debt securities relate to changes in interest rates, corporate debt securities have also been affected by reduced levels of liquidity and higher risk premiums. Occasionally, management engages independent third parties to evaluate the Company’s position in certain corporate debt securities to aid management and the ALCO Committee in its determination regarding the status of impairment. The Company believes that each investment poses minimal credit risk and further, that the Company does not intend to sell these investment securities at an unrealized loss position at September 30, 2016, and it is more likely than not that the Company will not be required to sell these securities prior to recovery or maturity. Therefore, at September 30, 2016, these investments are not considered impaired on an other-than-temporary basis.

At September 30, 2016, December 31, 2015 and September 30, 2015, all of the Company’s mortgage-backed securities were obligations of government-sponsored agencies.

The following table is a summary of sales activities in the Company’s investment securities available for sale for the nine months ended September 30, 2016, year ended December 31, 2015 and nine months ended September 30, 2015:

	September 30, 2016		December 31, 2015		September 30, 2015
	(Dollars in Thousands)
Gross gains on sales of securities	$	312	$	396	$	396
Gross losses on sales of securities		(218)		(259)		(259)
Net realized gains on sales of securities available for sale	$	94	$	137	$	137
Sales proceeds	$	53,026	$	72,528	$	69,208

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LOANS

9 Months Ended

Sep. 30, 2016

Receivables [Abstract]

LOANS AND ALLOWANCE FOR LOAN LOSSES

NOTE 4 – LOANS

The Bank engages in a full complement of lending activities, including real estate-related loans, agriculture-related loans, commercial and financial loans and consumer installment loans within select markets in Georgia, Alabama, Florida and South Carolina. During the third quarter of 2016, the Bank began purchasing from an unrelated third party consumer installment home improvement loans made to borrowers throughout the United States. The Bank also purchased residential mortgage loan pools during 2015 and 2016 collateralized by properties located outside our Southeast markets, specifically in California, Washington and Illinois. The Bank concentrates the majority of its lending activities in real estate loans. While risk of loss in the Company’s portfolio is primarily tied to the credit quality of the various borrowers, risk of loss may increase due to factors beyond the Company’s control, such as local, regional and/or national economic downturns. General conditions in the real estate market may also impact the relative risk in the real estate portfolio.

A substantial portion of the Bank’s loans are secured by real estate in the Bank’s primary market area. In addition, a substantial portion of the OREO is located in those same markets. Accordingly, the ultimate collectability of a substantial portion of the Bank’s loan portfolio and the recovery of a substantial portion of the carrying amount of OREO are susceptible to changes in real estate conditions in the Bank’s primary market area.

Commercial, financial and agricultural loans include both secured and unsecured loans for working capital, expansion, crop production, and other business purposes, including SBA guaranteed loans and municipal loans. Short-term working capital loans are secured by non-real estate collateral such as accounts receivable, crops, inventory and equipment. The Bank evaluates the financial strength, cash flow, management, credit history of the borrower and the quality of the collateral securing the loan. The Bank often requires personal guarantees and secondary sources of repayment on commercial, financial and agricultural loans.

Real estate loans include construction and development loans, commercial and farmland loans and residential loans. Construction and development loans include loans for the development of residential neighborhoods, one-to-four family home residential construction loans to builders and consumers, and commercial real estate construction loans, primarily for owner-occupied properties. The Company limits its construction lending risk through adherence to established underwriting procedures. Commercial real estate loans include loans secured by owner-occupied commercial buildings for office, storage, retail, farmland and warehouse space. They also include non-owner occupied commercial buildings such as leased retail and office space. Commercial real estate loans may be larger in size and may involve a greater degree of risk than one-to-four family residential mortgage loans. Payments on such loans are often dependent on successful operation or management of the properties. Residential loans represent permanent mortgage financing and are secured by residential properties located within the Bank's market areas, along with warehouse lines of credit secured by residential mortgages.

Consumer installment loans and other loans include home improvement loans, automobile loans, boat and recreational vehicle financing, and secured and unsecured personal loans. Consumer loans carry greater risks than other loans, as the collateral can consist of rapidly depreciating assets such as automobiles and equipment that may not provide an adequate source of repayment of the loan in the case of default.

Loans are stated at unpaid balances, net of unearned income and deferred loan fees. Balances within the major loans receivable categories are presented in the following table, excluding purchased non-covered and covered loans:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Commercial, financial and agricultural	$	625,947	$	449,623	$	427,747
Real estate – construction and development		328,308		244,693		220,798
Real estate – commercial and farmland		1,297,582		1,104,991		1,067,828
Real estate – residential		766,933		570,430		532,285
Consumer installment		68,305		31,125		31,299
Other		3,964		6,015		10,692
	$	3,091,039	$	2,406,877	$	2,290,649

Purchased non-covered loans are defined as loans that were acquired in bank acquisitions that are not covered by a loss-sharing agreement with the Federal Deposit Insurance Corporation (the “FDIC”). Purchased non-covered loans totaling $1.07 billion, $771.6 million and $767.5 million at September 30, 2016, December 31, 2015 and September 30, 2015, respectively, are not included in the above schedule.

 

Purchased non-covered loans are shown below according to major loan type as of the end of the periods shown:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Commercial, financial and agricultural	$	99,596	$	45,462	$	42,350
Real estate – construction and development		86,099		72,080		71,109
Real estate – commercial and farmland		590,388		390,755		385,032
Real estate – residential		286,169		258,153		263,312
Consumer installment		4,838		5,104		5,691
	$	1,067,090	$	771,554	$	767,494

Purchased loan pools are defined as groups of residential mortgage loans that were not acquired in bank acquisitions or FDIC-assisted transactions. As of September 30, 2016, purchased loan pools totaled $624.9 million and consisted of whole-loan, adjustable rate residential mortgages on properties outside the Company’s markets, with principal balances totaling $614.4 million and $10.5 million of remaining purchase premium paid at acquisition. As of December 31, 2015, purchased loan pools totaled $593.0 million and consisted of whole-loan, adjustable rate residential mortgages on properties outside the Company’s markets, with principal balances totaling $580.7 million and $12.3 million of purchase premium paid at acquisition. As of September 30, 2015, purchased loan pools totaled $410.1 million and consisted of whole-loan, adjustable rate residential mortgages on properties outside the Company’s markets, with principal balances totaling $402.1 million and $8.0 million of purchase premium paid at acquisition. At September 30, 2016, one loan in the purchased loan pools with a principal balance of $864,000 was past due and risk-rated grade 40, while all other loans included in the purchased loan pools were performing current loans, risk-rated grade 20. At December 31, 2015 and September 30, 2015, all loans included in the purchased loan pools were performing current loans, all risk-rated grade 20. At September 30, 2016, December 31, 2015 and September 30, 2015, the Company had allocated $2.0 million, $581,000 and $402,000, respectively, of allowance for loan losses for the purchased loan pools. As part of the due diligence process prior to purchasing an individual mortgage pool, a complete re-underwrite of the individual loan files was conducted. The underwriting process included a review of all income, asset, credit and property related documentation that was used to originate the loan. Underwriters utilized the originating lender’s program guidelines, as well as general prudent mortgage lending standards, to assess each individual loan file.  Additional research was conducted to assess the real estate market conditions and market expectations in the geographic areas where a collateral concentration existed. As part of this review, an automated valuation model was employed to provide current collateral valuations and to support individual loan-to-value ratios.  Additionally, a sample of site inspections was completed to provide further assurance.  The results of the due diligence review were evaluated by officers of the Company in order to determine overall conformance to the Bank’s credit and lending policies.

Covered loans are defined as loans that were acquired in FDIC-assisted transactions that are covered by a loss-sharing agreement with the FDIC. Covered loans totaling $62.3 million, $137.5 million and $191.0 million at September 30, 2016, December 31, 2015 and September 30, 2015, respectively, are not included in the above schedules.

Covered loans are shown below according to loan type as of the end of the periods shown:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Commercial, financial and agricultural	$	830	$	5,546	$	13,349
Real estate – construction and development		3,220		7,612		14,266
Real estate – commercial and farmland		13,688		71,226		103,399
Real estate – residential		44,457		53,038		59,835
Consumer installment		96		107		172
	$	62,291	$	137,529	$	191,021

 

Nonaccrual and Past-Due Loans

A loan is placed on nonaccrual status when, in management’s judgment, the collection of the interest income appears doubtful. Interest receivable that has been accrued and is subsequently determined to have doubtful collectability is charged against interest income.  Interest on loans that are classified as nonaccrual is subsequently applied to principal until the loans are returned to accrual status. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured.  Past-due loans are loans whose principal or interest is past due 30 days or more. In some cases, where borrowers are experiencing financial difficulties, loans may be restructured to provide terms significantly different from the original contractual terms. 

The following table presents an analysis of loans accounted for on a nonaccrual basis, excluding purchased non-covered and covered loans:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Commercial, financial and agricultural	$	1,313	$	1,302	$	1,995
Real estate – construction and development		1,255		1,812		1,753
Real estate – commercial and farmland		7,485		7,019		11,645
Real estate – residential		5,999		6,278		4,810
Consumer installment		518		449		355
	$	16,570	$	16,860	$	20,558

The following table presents an analysis of purchased non-covered loans accounted for on a nonaccrual basis:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Commercial, financial and agricultural	$	744	$	1,064	$	214
Real estate – construction and development		2,403		1,106		916
Real estate – commercial and farmland		7,796		4,920		4,728
Real estate – residential		7,012		6,168		5,464
Consumer installment		38		72		52
	$	17,993	$	13,330	$	11,374

The following table presents an analysis of covered loans accounted for on a nonaccrual basis:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Commercial, financial and agricultural	$	128	$	2,803	$	7,916
Real estate – construction and development		60		1,701		2,934
Real estate – commercial and farmland		1,540		5,034		18,164
Real estate – residential		4,078		3,663		3,979
Consumer installment		28		37		91
	$	5,834	$	13,238	$	33,084

The following table presents an analysis of past-due loans, excluding purchased non-covered and covered past-due loans as of September 30, 2016, December 31, 2015 and September 30, 2015:

	Loans 30-59 Days Past Due		Loans 60-89 Days Past Due		Loans 90 or More Days Past Due		Total Loans Past Due		Current Loans		Total Loans		Loans 90 Days or More Past Due  and Still Accruing
	(Dollars in Thousands)
As of September 30, 2016:
Commercial, financial & agricultural	$	798	$	336	$	1,134	$	2,268	$	623,679	$	625,947	$	-
Real estate – construction & development		5,320		177		1,136		6,633		321,675		328,308		-
Real estate – commercial & farmland		2,726		199		5,788		8,713		1,288,869		1,297,582		-
Real estate – residential		2,890		802		5,035		8,727		758,206		766,933		-
Consumer installment loans		513		174		309		996		67,309		68,305		-
Other		-		-		-		-		3,964		3,964		-
Total	$	12,247	$	1,688	$	13,402	$	27,337	$	3,063,702	$	3,091,039	$	-

	Loans 30-59 Days Past Due		Loans 60-89 Days Past Due		Loans 90 or More Days Past Due		Total Loans Past Due		Current Loans		Total Loans		Loans 90 Days or More Past Due  and Still Accruing
	(Dollars in Thousands)
As of December 31, 2015:
Commercial, financial & agricultural	$	568	$	271	$	835	$	1,674	$	447,949	$	449,623	$	-
Real estate – construction & development		1,413		261		1,739		3,413		241,280		244,693		-
Real estate – commercial & farmland		1,781		641		6,912		9,334		1,095,657		1,104,991		-
Real estate – residential		3,806		2,120		5,121		11,047		559,383		570,430		-
Consumer installment loans		374		188		238		800		30,325		31,125		-
Other		-		-		-		-		6,015		6,015		-
Total	$	7,942	$	3,481	$	14,845	$	26,268	$	2,380,609	$	2,406,877	$	-

	Loans 30-59 Days Past Due		Loans 60-89 Days Past Due		Loans 90 or More Days Past Due		Total Loans Past Due		Current Loans		Total Loans		Loans 90 Days or More Past Due and Still Accruing
	(Dollars in Thousands)
As of September 30, 2015:
Commercial, financial & agricultural	$	781	$	714	$	1,799	$	3,294	$	424,453	$	427,747	$	-
Real estate – construction & development		1,184		417		1,753		3,354		217,444		220,798		-
Real estate – commercial & farmland		4,275		399		8,082		12,756		1,055,072		1,067,828		-
Real estate – residential		6,424		1,558		4,247		12,229		520,056		532,285		-
Consumer installment loans		326		82		227		635		30,664		31,299		-
Other		-		-		-		-		10,692		10,692		-
Total	$	12,990	$	3,170	$	16,108	$	32,268	$	2,258,381	$	2,290,649	$	-

The following table presents an analysis of purchased non-covered past-due loans as of September 30, 2016, December 31, 2015 and September 30, 2015:

	Loans 30-59 Days Past Due		Loans 60-89 Days Past Due		Loans 90 or More Days Past Due		Total Loans Past Due		Current Loans		Total Loans		Loans 90 Days or More Past Due  and Still Accruing
	(Dollars in Thousands)
As of September 30, 2016:
Commercial, financial & agricultural	$	244	$	-	$	624	$	868	$	98,728	$	99,596	$	-
Real estate – construction & development		1,082		233		2,070		3,385		82,714		86,099		-
Real estate – commercial & farmland		1,806		599		6,369		8,774		581,614		590,388		-
Real estate – residential		1,481		2,144		5,379		9,004		277,165		286,169		-
Consumer installment loans		33		267		38		338		4,500		4,838		-
Total	$	4,646	$	3,243	$	14,480	$	22,369	$	1,044,721	$	1,067,090	$	-

	Loans 30-59 Days Past Due		Loans 60-89 Days Past Due		Loans 90 or More Days Past Due		Total Loans Past Due		Current Loans		Total Loans		Loans 90 Days or More Past Due  and Still Accruing
	(Dollars in Thousands)
As of December 31, 2015:
Commercial, financial & agricultural	$	248	$	13	$	846	$	1,107	$	44,355	$	45,462	$	-
Real estate – construction & development		416		687		420		1,523		70,557		72,080		-
Real estate – commercial & farmland		2,479		1,629		3,347		7,455		383,300		390,755		-
Real estate – residential		4,965		2,176		4,928		12,069		246,084		258,153		-
Consumer installment loans		31		9		70		110		4,994		5,104		-
Total	$	8,139	$	4,514	$	9,611	$	22,264	$	749,290	$	771,554	$	-

	Loans 30-59 Days Past Due		Loans 60-89 Days Past Due		Loans 90 or More Days Past Due		Total Loans Past Due		Current Loans		Total Loans		Loans 90 Days or More Past Due and Still Accruing
	(Dollars in Thousands)
As of September 30, 2015:
Commercial, financial & agricultural	$	140	$	11	$	112	$	263	$	42,087	$	42,350	$	-
Real estate – construction & development		322		-		459		781		70,328		71,109		-
Real estate – commercial & farmland		2,681		613		3,391		6,685		378,347		385,032		-
Real estate – residential		3,822		1,672		4,901		10,395		252,917		263,312		-
Consumer installment loans		5		-		49		54		5,637		5,691		-
Total	$	6,970	$	2,296	$	8,912	$	18,178	$	749,316	$	767,494	$	-

The following table presents an analysis of covered past-due loans as of September 30, 2016, December 31, 2015 and September 30, 2015:

	Loans 30-59 Days Past Due		Loans 60-89 Days Past Due		Loans 90 or More Days Past Due		Total Loans Past Due		Current Loans		Total Loans		Loans 90 Days or More Past Due  and Still Accruing
	(Dollars in Thousands)
As of September 30, 2016:
Commercial, financial & agricultural	$	-	$	-	$	128	$	128	$	702	$	830	$	-
Real estate – construction & development		114		4		-		118		3,102		3,220		-
Real estate – commercial & farmland		906		-		1		907		12,781		13,688		-
Real estate – residential		1,047		943		2,589		4,579		39,878		44,457		-
Consumer installment loans		-		-		-		-		96		96		-
Total	$	2,067	$	947	$	2,718	$	5,732	$	56,559	$	62,291	$	-

	Loans 30-59 Days Past Due		Loans 60-89 Days Past Due		Loans 90 or More Days Past Due		Total Loans Past Due		Current Loans		Total Loans		Loans 90 Days or More Past Due  and Still Accruing
	(Dollars in Thousands)
As of December 31, 2015:
Commercial, financial & agricultural	$	-	$	-	$	2,802	$	2,802	$	2,744	$	5,546	$	-
Real estate – construction & development		96		-		1,633		1,729		5,883		7,612		-
Real estate – commercial & farmland		170		205		3,064		3,439		67,787		71,226		-
Real estate – residential		2,155		1,001		2,658		5,814		47,224		53,038		-
Consumer installment loans		-		-		37		37		70		107		-
Total	$	2,421	$	1,206	$	10,194	$	13,821	$	123,708	$	137,529	$	-

	Loans 30-59 Days Past Due		Loans 60-89 Days Past Due		Loans 90 or More Days Past Due		Total Loans Past Due		Current Loans		Total Loans		Loans 90 Days or More Past Due and Still Accruing
	(Dollars in Thousands)
As of September 30, 2015:
Commercial, financial & agricultural	$	40	$	48	$	7,886	$	7,974	$	5,375	$	13,349	$	-
Real estate – construction & development		1,548		68		2,408		4,024		10,242		14,266		-
Real estate – commercial & farmland		1,003		550		6,573		8,126		95,273		103,399		-
Real estate – residential		2,612		783		2,140		5,535		54,300		59,835		-
Consumer installment loans		-		-		49		49		123		172		-
Total	$	5,203	$	1,449	$	19,056	$	25,708	$	165,313	$	191,021	$	-

Impaired Loans

Loans are considered impaired when, based on current information and events, it is probable the Company will be unable to collect all amounts due in accordance with the original contractual terms of the loan agreements. Impaired loans include loans on nonaccrual status and accruing troubled debt restructurings. When determining if the Company will be unable to collect all principal and interest payments due in accordance with the contractual terms of the loan agreement, the Company considers the borrower’s capacity to pay, which includes such factors as the borrower’s current financial statements, an analysis of global cash flow sufficient to pay all debt obligations and an evaluation of secondary sources of repayment, such as guarantor support and collateral value. The Company individually assesses for impairment all nonaccrual loans greater than $100,000 and all troubled debt restructurings greater than $100,000 (including all troubled debt restructurings, whether or not currently classified as such). The tables below include all loans deemed impaired, whether or not individually assessed for impairment. If a loan is deemed impaired, a specific valuation allowance is allocated, if necessary, so that the loan is reported net, at the present value of estimated future cash flows using the loan’s existing rate or at the fair value of collateral if repayment is expected solely from the collateral. Interest payments on impaired loans are typically applied to principal unless collectability of the principal amount is reasonably assured, in which case interest is recognized on a cash basis.

The following is a summary of information pertaining to impaired loans, excluding purchased non-covered and covered loans:

	As of and For the Period Ended
	September 30, 2016		December 31, 2015		September 30, 2015
	(Dollars in Thousands)
Nonaccrual loans	$	16,570	$	16,860	$	20,558
Troubled debt restructurings not included above		14,013		14,418		12,075
Total impaired loans	$	30,583	$	31,278	$	32,633
Quarter-to-date interest income recognized on impaired loans	$	252	$	274	$	241
Year-to-date interest income recognized on impaired loans	$	808	$	909	$	635
Quarter-to-date foregone interest income on impaired loans	$	239	$	265	$	309
Year-to-date foregone interest income on impaired loans	$	710	$	1,204	$	939

The following table presents an analysis of information pertaining to impaired loans, excluding purchased non-covered and covered loans as of September 30, 2016, December 31, 2015 and September 30, 2015:

	Unpaid Contractual Principal Balance		Recorded Investment With No Allowance		Recorded Investment With Allowance		Total Recorded Investment		Related Allowance		Three Month Average Recorded Investment		Nine Month Average Recorded Investment
	(Dollars in Thousands)
As of September 30, 2016:
Commercial, financial & agricultural	$	2,568	$	252	$	1,114	$	1,366	$	118	$	1,736	$	1,640
Real estate – construction & development		2,972		-		1,946		1,946		537		2,001		2,214
Real estate – commercial & farmland		14,015		5,499		7,520		13,019		873		12,776		12,837
Real estate – residential		14,350		2,046		11,667		13,713		2,648		13,686		13,516
Consumer installment loans		586		-		539		539		6		492		479
Total	$	34,491	$	7,797	$	22,786	$	30,583	$	4,182	$	30,691	$	30,686

	Unpaid Contractual Principal Balance		Recorded Investment With No Allowance		Recorded Investment With Allowance		Total Recorded Investment		Related Allowance		Three Month Average Recorded Investment		Twelve Month Average Recorded Investment
	(Dollars in Thousands)
As of December 31, 2015:
Commercial, financial & agricultural	$	3,062	$	158	$	1,385	$	1,543	$	135	$	1,887	$	2,275
Real estate – construction & development		3,581		230		2,374		2,604		774		2,598		3,228
Real estate – commercial & farmland		14,385		6,702		6,083		12,785		1,067		15,074		15,105
Real estate – residential		15,809		1,621		12,230		13,851		2,224		11,935		11,977
Consumer installment loans		592		-		495		495		9		461		488
Total	$	37,429	$	8,711	$	22,567	$	31,278	$	4,209	$	31,955	$	33,073

	Unpaid Contractual Principal Balance		Recorded Investment With No Allowance		Recorded Investment With Allowance		Total Recorded Investment		Related Allowance		Three Month Average Recorded Investment		Nine Month Average Recorded Investment
	(Dollars in Thousands)
As of September 30, 2015:
Commercial, financial & agricultural	$	3,761	$	471	$	1,762	$	2,233	$	528	$	3,289	$	2,458
Real estate – construction & development		3,757		230		2,361		2,591		731		2,503		3,384
Real estate – commercial & farmland		18,652		5,870		11,494		17,364		1,635		16,459		15,684
Real estate – residential		11,549		1,752		8,266		10,018		1,872		10,185		11,509
Consumer installment loans		524		-		426		426		7		483		487
Total	$	38,243	$	8,323	$	24,309	$	32,632	$	4,773	$	32,919	$	33,522

The following is a summary of information pertaining to purchased non-covered impaired loans:

	As of and For the Period Ended
	September 30, 2016		December 31, 2015		September 30, 2015
	(Dollars in Thousands)
Nonaccrual loans	$	17,993	$	13,330	$	11,374
Troubled debt restructurings not included above		9,294		9,373		7,188
Total impaired loans	$	27,287	$	22,703	$	18,562
Quarter-to-date interest income recognized on impaired loans	$	1,339	$	442	$	158
Year-to-date interest income recognized on impaired loans	$	1,885	$	785	$	342
Quarter-to-date foregone interest income on impaired loans	$	264	$	245	$	198
Year-to-date foregone interest income on impaired loans	$	883	$	1,365	$	1,121

The following table presents an analysis of information pertaining to purchased non-covered impaired loans as of September 30, 2016, December 31, 2015 and September 30, 2015:

	Unpaid Contractual Principal Balance		Recorded Investment With No Allowance		Recorded Investment With Allowance		Total Recorded Investment		Related Allowance		Three Month Average Recorded Investment		Nine Month Average Recorded Investment
	(Dollars in Thousands)
As of September 30, 2016:
Commercial, financial & agricultural	$	4,801	$	520	$	225	$	745	$	-	$	710	$	787
Real estate – construction & development		23,284		233		2,699		2,932		183		2,306		2,053
Real estate – commercial & farmland		34,021		1,778		11,858		13,636		380		13,310		13,732
Real estate – residential		12,458		2,705		7,227		9,932		722		9,685		9,163
Consumer installment loans		55		42		-		42		-		43		64
Total	$	74,619	$	5,278	$	22,009	$	27,287	$	1,285	$	26,054	$	25,799

	Unpaid Contractual Principal Balance		Recorded Investment With No Allowance		Recorded Investment With Allowance		Total Recorded Investment		Related Allowance		Three Month Average Recorded Investment		Twelve Month Average Recorded Investment
	(Dollars in Thousands)
As of December 31, 2015:
Commercial, financial & agricultural	$	3,103	$	1,066	$	-	$	1,066	$	-	$	640	$	392
Real estate – construction & development		8,987		1,469		-		1,469		-		1,369		1,429
Real estate – commercial & farmland		14,999		11,134		-		11,134		-		9,966		10,806
Real estate – residential		14,946		8,957		-		8,957		-		8,591		8,067
Consumer installment loans		94		77		-		77		-		67		65
Total	$	42,129	$	22,703	$	-	$	22,703	$	-	$	20,633	$	20,759

	Unpaid Contractual Principal Balance		Recorded Investment With No Allowance		Recorded Investment With Allowance		Total Recorded Investment		Related Allowance		Three Month Average Recorded Investment		Nine Month Average Recorded Investment
	(Dollars in Thousands)
As of September 30, 2015:
Commercial, financial & agricultural	$	1,137	$	214	$	-	$	214	$	-	$	262	$	224
Real estate – construction & development		9,211		1,268		-		1,268		-		1,563		1,419
Real estate – commercial & farmland		13,399		8,799		-		8,799		-		11,245		10,724
Real estate – residential		12,443		8,224		-		8,224		-		8,255		7,845
Consumer installment loans		74		57		-		57		-		76		63
Total	$	36,264	$	18,562	$	-	$	18,562	$	-	$	21,402	$	20,275

The following is a summary of information pertaining to covered impaired loans:

	As of and For the Period Ended
	September 30, 2016		December 31, 2015		September 30, 2015
	(Dollars in Thousands)
Nonaccrual loans	$	5,834	$	13,238	$	33,084
Troubled debt restructurings not included above		11,823		13,283		16,576
Total impaired loans	$	17,657	$	26,521	$	49,660
Quarter-to-date interest income recognized on impaired loans	$	154	$	154	$	268
Year-to-date interest income recognized on impaired loans	$	493	$	886	$	732
Quarter-to-date foregone interest income on impaired loans	$	82	$	181	$	468
Year-to-date foregone interest income on impaired loans	$	400	$	1,596	$	1,416

The following table presents an analysis of information pertaining to covered impaired loans as of September 30, 2016, December 31, 2015 and September 30, 2015:

	Unpaid Contractual Principal Balance		Recorded Investment With No Allowance		Recorded Investment With Allowance		Total Recorded Investment		Related Allowance		Three Month Average Recorded Investment		Nine Month Average Recorded Investment
	(Dollars in Thousands)
As of September 30, 2016:
Commercial, financial & agricultural	$	296	$	128	$	-	$	128	$	-	$	128	$	1,464
Real estate – construction & development		969		63		810		873		1		1,640		2,022
Real estate – commercial & farmland		7,077		83		3,258		3,341		22		4,886		5,837
Real estate – residential		14,450		4,768		8,513		13,281		213		13,418		13,730
Consumer installment loans		43		34		-		34		-		37		41
Total	$	22,835	$	5,076	$	12,581	$	17,657	$	236	$	20,109	$	23,094

	Unpaid Contractual Principal Balance		Recorded Investment With No Allowance		Recorded Investment With Allowance		Total Recorded Investment		Related Allowance		Three Month Average Recorded Investment		Twelve Month Average Recorded Investment
	(Dollars in Thousands)
As of December 31, 2015:
Commercial, financial & agricultural	$	5,188	$	2,802	$	-	$	2,802	$	-	$	5,360	$	7,408
Real estate – construction & development		15,119		2,480		-		2,480		-		4,130		6,906
Real estate – commercial & farmland		20,508		7,001		-		7,001		-		14,133		18,504
Real estate – residential		15,830		14,192		-		14,192		-		14,399		16,010
Consumer installment loans		60		46		-		46		-		69		86
Total	$	56,705	$	26,521	$	-	$	26,521	$	-	$	38,091	$	48,914

	Unpaid Contractual Principal Balance		Recorded Investment With No Allowance		Recorded Investment With Allowance		Total Recorded Investment		Related Allowance		Three Month Average Recorded Investment		Nine Month Average Recorded Investment
	(Dollars in Thousands)
As of September 30, 2015:
Commercial, financial & agricultural	$	11,794	$	7,918	$	-	$	7,918	$	-	$	8,625	$	8,560
Real estate – construction & development		29,596		5,780		-		5,780		-		6,166		8,013
Real estate – commercial & farmland		41,724		21,265		-		21,265		-		20,697		21,380
Real estate – residential		18,097		14,605		-		14,605		-		14,881		16,465
Consumer installment loans		126		92		-		92		-		101		96
Total	$	101,337	$	49,660	$	-	$	49,660	$	-	$	50,470	$	54,514

Credit Quality Indicators

The Company uses a nine category risk grading system to assign a risk grade to each loan in the portfolio. The following is a description of the general characteristics of the grades:

Grade 10 – Prime Credit – This grade represents loans to the Company’s most creditworthy borrowers or loans that are secured by cash or cash equivalents.

Grade 15 – Good Credit – This grade includes loans that exhibit one or more characteristics better than that of a Satisfactory Credit. Generally, the debt service coverage and borrower’s liquidity is materially better than required by the Company’s loan policy.

Grade 20 – Satisfactory Credit – This grade is assigned to loans to borrowers who exhibit satisfactory credit histories, contain acceptable loan structures and demonstrate ability to repay.

Grade 23 – Performing, Under-Collateralized Credit – This grade is assigned to loans that are currently performing and supported by adequate financial information that reflects repayment capacity but exhibits a loan-to-value ratio greater than 110%, based on a documented collateral valuation.

 

Grade 25 – Minimum Acceptable Credit – This grade includes loans which exhibit all the characteristics of a Satisfactory Credit, but warrant more than normal level of banker supervision due to (i) circumstances which elevate the risks of performance (such as start-up operations, untested management, heavy leverage and interim losses); (ii) adverse, extraordinary events that have affected, or could affect, the borrower’s cash flow, financial condition, ability to continue operating profitability or refinancing (such as death of principal, fire and divorce); (iii) loans that require more than the normal servicing requirements (such as any type of construction financing, acquisition and development loans, accounts receivable or inventory loans and floor plan loans); (iv) existing technical exceptions which raise some doubts about the Bank’s perfection in its collateral position or the continued financial capacity of the borrower; or (v) improvements in formerly criticized borrowers, which may warrant banker supervision.

Grade 30 – Other Asset Especially Mentioned – This grade includes loans that exhibit potential weaknesses that deserve management’s close attention. If left uncorrected, these weaknesses may result in deterioration of the repayment prospects for the asset or in the Company’s credit position at some future date.

Grade 40 – Substandard – This grade represents loans which are inadequately protected by the current credit worthiness and paying capacity of the borrower or of the collateral pledged, if any. These assets exhibit a well-defined weakness or are characterized by the distinct possibility that the Bank will sustain some loss if the deficiencies are not corrected. These weaknesses may be characterized by past due performance, operating losses or questionable collateral values.

Grade 50 – Doubtful – This grade includes loans which exhibit all of the characteristics of a substandard loan with the added provision that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions and values, highly questionable or improbable.

Grade 60 – Loss – This grade is assigned to loans which are considered uncollectible and of such little value that their continuance as active assets of the Bank is not warranted. This classification does not mean that the loan has absolutely no recovery or salvage value, but rather it is not practical or desirable to defer writing it off.

The following table presents the loan portfolio, excluding purchased non-covered and covered loans, by risk grade as of September 30, 2016:

Risk Grade	Commercial, financial & agricultural		Real estate - construction & development		Real estate - commercial & farmland		Real estate - residential		Consumer installment loans		Other		Total
	(Dollars in Thousands)
10	$	381,814	$	-	$	9,053	$	127	$	7,787	$	-	$	398,781
15		23,627		6,732		105,298		54,346		386		-		190,389
20		105,573		41,759		835,021		596,886		24,870		3,964		1,608,073
23		372		7,126		8,719		6,530		16		-		22,763
25		108,887		266,728		299,714		87,480		34,339		-		797,148
30		967		3,087		23,457		4,165		88		-		31,764
40		4,707		2,876		16,320		17,399		819		-		42,121
50		-		-		-		-		-		-		-
60		-		-		-		-		-		-		-
Total	$	625,947	$	328,308	$	1,297,582	$	766,933	$	68,305	$	3,964	$	3,091,039

The following table presents the loan portfolio, excluding purchased non-covered and covered loans, by risk grade as of December 31, 2015:

Risk Grade	Commercial, financial & agricultural		Real estate - construction & development		Real estate - commercial & farmland		Real estate - residential		Consumer installment loans		Other		Total
	(Dollars in Thousands)
10	$	241,721	$	294	$	116	$	1,606	$	6,872	$	-	$	250,609
15		28,420		2,074		117,880		78,165		1,191		-		227,730
20		97,142		46,221		685,538		369,624		19,780		6,015		1,224,320
23		559		7,827		13,073		6,112		36		-		27,607
25		77,829		183,512		254,012		91,465		2,595		-		609,413
30		1,492		1,620		13,821		7,347		143		-		24,423
40		2,460		3,145		20,551		16,111		506		-		42,773
50		-		-		-		-		-		-		-
60		-		-		-		-		2		-		2
Total	$	449,623	$	244,693	$	1,104,991	$	570,430	$	31,125	$	6,015	$	2,406,877

The following table presents the loan portfolio, excluding purchased non-covered and covered loans, by risk grade as of September 30, 2015:

Risk Grade	Commercial, financial & agricultural		Real estate - construction & development		Real estate - commercial & farmland		Real estate - residential		Consumer installment loans		Other		Total
	(Dollars in Thousands)
10	$	222,693	$	294	$	116	$	1,490	$	6,688	$	-	$	231,281
15		23,807		2,150		123,515		83,361		1,352		-		234,185
20		99,414		45,091		645,949		327,576		19,302		10,692		1,148,024
23		645		7,754		11,792		6,240		46		-		26,477
25		75,635		159,944		250,575		90,320		3,168		-		579,642
30		2,378		2,035		9,762		7,811		204		-		22,190
40		3,175		3,530		26,119		15,487		537		-		48,848
50		-		-		-		-		2		-		2
60		-		-		-		-		-		-		-
Total	$	427,747	$	220,798	$	1,067,828	$	532,285	$	31,299	$	10,692	$	2,290,649

The following table presents the purchased non-covered loan portfolio by risk grade as of September 30, 2016:

Risk Grade	Commercial, financial & agricultural		Real estate - construction & development		Real estate - commercial & farmland		Real estate - residential		Consumer installment loans		Other		Total
	(Dollars in Thousands)
10	$	5,676	$	-	$	-	$	-	$	867	$	-	$	6,543
15		1,055		-		7,842		32,763		597		-		42,257
20		16,726		7,741		196,901		108,007		1,934		-		331,309
23		-		3,677		11,925		11,902		-		-		27,504
25		70,241		63,343		328,657		111,720		1,319		-		575,280
30		4,716		7,609		26,782		5,731		-		-		44,838
40		1,182		3,729		18,281		16,046		121		-		39,359
50		-		-		-		-		-		-		-
60		-		-		-		-		-		-		-
Total	$	99,596	$	86,099	$	590,388	$	286,169	$	4,838	$	-	$	1,067,090

The following table presents the purchased non-covered loan portfolio by risk grade as of December 31, 2015:

Risk Grade	Commercial, financial & agricultural		Real estate - construction & development		Real estate - commercial & farmland		Real estate - residential		Consumer installment loans		Other		Total
	(Dollars in Thousands)
10	$	8,592	$	-	$	-	$	-	$	1,010	$	-	$	9,602
15		1,186		1,143		10,490		37,808		541		-		51,168
20		10,057		13,678		183,219		128,005		2,031		-		336,990
23		-		438		5,177		6,414		-		-		12,029
25		17,565		47,517		162,253		66,166		1,328		-		294,829
30		6,657		4,185		14,297		5,503		51		-		30,693
40		1,373		5,119		15,319		14,257		143		-		36,211
50		30		-		-		-		-		-		30
60		2		-		-		-		-		-		2
Total	$	45,462	$	72,080	$	390,755	$	258,153	$	5,104	$	-	$	771,554

The following table presents the purchased non-covered loan portfolio by risk grade as of September 30, 2015:

Risk Grade	Commercial, financial & agricultural		Real estate - construction & development		Real estate - commercial & farmland		Real estate - residential		Consumer installment loans		Other		Total
	(Dollars in Thousands)
10	$	8,741	$	-	$	-	$	-	$	1,060	$	-	$	9,801
15		1,229		1,805		8,440		38,643		789		-		50,906
20		10,982		13,518		187,329		133,914		2,291		-		348,034
23		-		230		4,079		6,303		-		-		10,612
25		17,873		48,137		159,816		63,049		1,397		-		290,272
30		2,379		3,418		12,997		7,609		55		-		26,458
40		1,116		4,001		12,371		13,794		99		-		31,381
50		30		-		-		-		-		-		30
60		-		-		-		-		-		-		-
Total	$	42,350	$	71,109	$	385,032	$	263,312	$	5,691	$	-	$	767,494

The following table presents the covered loan portfolio by risk grade as of September 30, 2016:

Risk Grade	Commercial, financial & agricultural		Real estate - construction & development		Real estate - commercial & farmland		Real estate - residential		Consumer installment loans		Other		Total
	(Dollars in Thousands)
10	$	-	$	-	$	-	$	-	$	-	$	-	$	-
15		-		-		-		-		-		-		-
20		23		551		2,203		7,458		-		-		10,235
23		23		-		298		4,016		-		-		4,337
25		657		2,214		5,757		20,349		15		-		28,992
30		-		357		1,825		3,625		46		-		5,853
40		127		98		3,605		9,009		35		-		12,874
50		-		-		-		-		-		-		-
60		-		-		-		-		-		-		-
Total	$	830	$	3,220	$	13,688	$	44,457	$	96	$	-	$	62,291

The following table presents the covered loan portfolio by risk grade as of December 31, 2015:

Risk Grade	Commercial, financial & agricultural		Real estate - construction & development		Real estate - commercial & farmland		Real estate - residential		Consumer installment loans		Other		Total
	(Dollars in Thousands)
10	$	-	$	-	$	-	$	-	$	-	$	-	$	-
15		-		-		-		-		-		-		-
20		93		800		11,698		10,040		-		-		22,631
23		52		-		2,957		5,723		-		-		8,732
25		2,594		3,907		38,741		24,345		11		-		69,598
30		5		828		2,857		4,552		-		-		8,242
40		2,802		2,077		14,973		8,378		96		-		28,326
50		-		-		-		-		-		-		-
60		-		-		-		-		-		-		-
Total	$	5,546	$	7,612	$	71,226	$	53,038	$	107	$	-	$	137,529

The following table presents the covered loan portfolio by risk grade as of September 30, 2015:

Risk Grade	Commercial, financial & agricultural		Real estate - construction & development		Real estate - commercial & farmland		Real estate - residential		Consumer installment loans		Other		Total
	(Dollars in Thousands)
10	$	-	$	-	$	-	$	-	$	-	$	-	$	-
15		-		-		478		115		-		-		593
20		327		1,147		16,211		12,304		42		-		30,031
23		53		-		4,783		6,396		-		-		11,232
25		4,476		8,241		53,126		27,795		37		-		93,675
30		4,060		1,965		5,539		5,481		-		-		17,045
40		4,431		2,913		23,262		7,744		93		-		38,443
50		-		-		-		-		-		-		-
60		2		-		-		-		-		-		2
Total	$	13,349	$	14,266	$	103,399	$	59,835	$	172	$	-	$	191,021

Troubled Debt Restructurings

The restructuring of a loan is considered a “troubled debt restructuring” if both (i) the borrower is experiencing financial difficulties and (ii) the Company has granted a concession. Concessions may include interest rate reductions to below market interest rates, principal forgiveness, restructuring amortization schedules and other actions intended to minimize potential losses. The Company has exhibited the greatest success for rehabilitation of the loan by a reduction in the rate alone (maintaining the amortization of the debt) or a combination of a rate reduction and the forbearance of previously past due interest or principal. This has most typically been evidenced in certain commercial real estate loans whereby a disruption in the borrower’s cash flow resulted in an extended past due status, of which the borrower was unable to catch up completely as the cash flow of the property ultimately stabilized at a level lower than its original level. A reduction in rate, coupled with a forbearance of unpaid principal and/or interest, allowed the net cash flows to service the debt under the modified terms.

The Company’s policy requires a restructure request to be supported by a current, well-documented credit evaluation of the borrower’s financial condition and a collateral evaluation that is no older than six months from the date of the restructure. Key factors of that evaluation include the documentation of current, recurring cash flows, support provided by the guarantor(s) and the current valuation of the collateral. If the appraisal in the file is older than six months, an evaluation must be made as to the continued reasonableness of the valuation. For certain income-producing properties, current rent rolls and/or other income information can be utilized to support the appraisal valuation, when coupled with documented cap rates within our markets and a physical inspection of the collateral to validate the current condition.

The Company’s policy states that in the event a loan has been identified as a troubled debt restructuring, it should be assigned a grade of substandard and placed on nonaccrual status until such time the borrower has demonstrated the ability to service the loan payments based on the restructured terms – generally defined as six months of satisfactory payment history. Missed payments under the original loan terms are not considered under the new structure; however, subsequent missed payments are considered non-performance and are not considered toward the six month required term of satisfactory payment history. The Company’s loan policy states that a nonaccrual loan may be returned to accrual status when (i) none of its principal and interest is due and unpaid, and the Company expects repayment of the remaining contractual principal and interest or (ii) it otherwise becomes well secured and in the process of collection. Restoration to accrual status on any given loan must be supported by a well-documented credit evaluation of the borrower’s financial condition and the prospects for full repayment, approved by the Company’s Chief Credit Officer.

In the normal course of business, the Company renews loans with a modification of the interest rate or terms that are not deemed as troubled debt restructurings because the borrower is not experiencing financial difficulty. The Company modified loans in the first nine months of 2016 and 2015 totaling $58.2 million and $77.4 million, respectively, under such parameters.

As of September 30, 2016, December 31, 2015 and September 30, 2015, the Company had a balance of $17.1 million, $16.4 million and $13.9 million, respectively, in troubled debt restructurings, excluding purchased non-covered and covered loans. The Company has recorded $1.2 million, $1.3 million and $1.3 million in previous charge-offs on such loans at September 30, 2016, December 31, 2015 and September 30, 2015, respectively. The Company’s balance in the allowance for loan losses allocated to such troubled debt restructurings was $2.8 million, $2.7 million and $183,000 at September 30, 2016, December 31, 2015 and September 30, 2015, respectively. At September 30, 2016, the Company did not have any commitments to lend additional funds to debtors whose terms have been modified in troubled restructurings.

During the nine months ending September 30, 2016 and 2015, the Company modified loans as troubled debt restructurings, excluding purchased non-covered and covered loans, with principal balances of $2.9 million and $4.3 million, respectively, and these modifications did not have a material impact on the Company’s allowance for loan loss. The following table presents the loans by class modified as troubled debt restructurings, excluding purchased non-covered and covered loans, which occurred during the nine months ending September 30, 2016 and 2015:

	September 30, 2016			September 30, 2015
		Balance			Balance
Loan class:	#	(in thousands)		#	(in thousands)
Commercial, financial & agricultural	5	$	59	4	$	26
Real estate – construction & development	2		251	2		15
Real estate – commercial & farmland	4		1,658	2		2,125
Real estate – residential	7		887	28		2,089
Consumer installment	9		44	13		47
Total	27	$	2,899	49	$	4,302

Troubled debt restructurings, excluding purchased non-covered and covered loans, with an outstanding balance of $793,000 and $2.6 million defaulted during the nine months ended September 30, 2016 and 2015, respectively, and these defaults did not have a material impact on the Company’s allowance for loan loss. The following table presents the troubled debt restructurings by class that defaulted (defined as 30 days past due) during the nine months ending September 30, 2016 and 2015:

 

	September 30, 2016			September 30, 2015
		Balance			Balance
Loan class:	#	(in thousands)		#	(in thousands)
Commercial, financial & agricultural	5	$	51	4	$	18
Real estate – construction & development	-		-	2		34
Real estate – commercial & farmland	5		517	5		1,011
Real estate – residential	3		219	18		1,473
Consumer installment	2		6	9		32
Total	15	$	793	38	$	2,568

The following table presents the amount of troubled debt restructurings by loan class, excluding purchased non-covered and covered loans, classified separately as accrual and nonaccrual at September 30, 2016, December 31, 2015 and September 30, 2015:

As of September 30, 2016	Accruing Loans			Non-Accruing Loans
		Balance			Balance
Loan class:	#	(in thousands)		#	(in thousands)
Commercial, financial & agricultural	4	$	53	14	$	112
Real estate – construction & development	8		691	2		35
Real estate – commercial & farmland	17		5,535	5		2,015
Real estate – residential	53		7,713	19		849
Consumer installment	7		21	29		120
Total	89	$	14,013	69	$	3,131

As of December 31, 2015	Accruing Loans			Non-Accruing Loans
		Balance			Balance
Loan class:	#	(in thousands)		#	(in thousands)
Commercial, financial & agricultural	4	$	240	10	$	110
Real estate – construction & development	11		792	3		63
Real estate – commercial & farmland	16		5,766	3		596
Real estate – residential	51		7,574	20		1,123
Consumer installment	12		46	23		94
Total	94	$	14,418	59	$	1,986

As of September 30, 2015	Accruing Loans			Non-Accruing Loans
		Balance			Balance
Loan class:	#	(in thousands)		#	(in thousands)
Commercial, financial & agricultural	4	$	238	8	$	68
Real estate – construction & development	12		838	2		30
Real estate – commercial & farmland	15		5,719	4		943
Real estate – residential	51		5,209	16		759
Consumer installment	15		71	18		64
Total	97	$	12,075	48	$	1,864

As of September 30, 2016, December 31, 2015 and September 30, 2015, the Company had a balance of $10.4 million, $10.0 million and $7.7 million, respectively, in troubled debt restructurings included in purchased non-covered loans. The Company has recorded $752,000, $377,000 and $60,000 in previous charge-offs on such loans at September 30, 2016, December 31, 2015 and September 30, 2015, respectively. At September 30, 2016, the Company did not have any commitments to lend additional funds to debtors whose terms have been modified in troubled restructurings.

During the nine months ending September 30, 2016 and 2015, the Company modified purchased non-covered loans as troubled debt restructurings, with principal balances of $1.3 million and $2.4 million, respectively, and these modifications did not have a material impact on the Company’s allowance for loan loss. During the nine months ending September 30, 2016, the Company did not transfer any troubled debt restructurings from the covered loan category to the purchased non-covered loan category due to the expiration of the loss-sharing portion of the agreements. During the nine months ending September 30, 2015, the Company transferred troubled debt restructurings with principal balances $4.1 million from the covered loan category to the purchased non-covered loan category due to the expiration of the loss-sharing portion of the agreements. The following table presents the purchased non-covered loans by class modified as troubled debt restructurings, which occurred during the nine months ending September 30, 2016 and 2015:

	September 30, 2016			September 30, 2015
		Balance			Balance
Loan class:	#	(in thousands)		#	(in thousands)
Commercial, financial & agricultural	-	$	-	1	$	1
Real estate – construction & development	-		-	2		30
Real estate – commercial & farmland	2		235	3		622
Real estate – residential	6		1,076	7		1,730
Consumer installment	-		-	3		8
Total	8	$	1,311	16	$	2,391

Troubled debt restructurings included in purchased non-covered loans with an outstanding balance of $217,000 and $618,000 defaulted during the nine months ended September 30, 2016 and 2015, respectively, and these defaults did not have a material impact on the Company’s allowance for loan loss. The following table presents the troubled debt restructurings by class that defaulted (defined as 30 days past due) during the nine months ending September 30, 2016 and 2015:

 

	September 30, 2016			September 30, 2015
		Balance			Balance
Loan class:	#	(in thousands)		#	(in thousands)
Commercial, financial & agricultural	-	$	-	-	$	-
Real estate – construction & development	1		10	-		-
Real estate – commercial & farmland	1		207	-		-
Real estate – residential	-		-	2		618
Consumer installment	-		-	-		-
Total	2	$	217	2	$	618

The following table presents the amount of troubled debt restructurings by loan class of purchased non-covered loans, classified separately as accrual and nonaccrual at September 30, 2016, December 31, 2015 and September 30, 2015:

As of September 30, 2016	Accruing Loans			Non-Accruing Loans
		Balance			Balance
Loan class:	#	(in thousands)		#	(in thousands)
Commercial, financial & agricultural	1	$	1	1	$	16
Real estate – construction & development	2		529	3		33
Real estate – commercial & farmland	13		5,840	3		566
Real estate – residential	16		2,919	5		486
Consumer installment	1		4	2		1
Total	33	$	9,293	14	$	1,102

As of December 31, 2015	Accruing Loans			Non-Accruing Loans
		Balance			Balance
Loan class:	#	(in thousands)		#	(in thousands)
Commercial, financial & agricultural	1	$	2	2	$	21
Real estate – construction & development	1		363	3		42
Real estate – commercial & farmland	14		6,214	3		412
Real estate – residential	13		2,789	4		180
Consumer installment	2		5	2		3
Total	31	$	9,373	14	$	658

As of September 30, 2015	Accruing Loans			Non-Accruing Loans
		Balance			Balance
Loan class:	#	(in thousands)		#	(in thousands)
Commercial, financial & agricultural	-	$	-	1	$	1
Real estate – construction & development	1		351	2		30
Real estate – commercial & farmland	6		4,071	1		36
Real estate – residential	13		2,761	3		397
Consumer installment	2		5	2		3
Total	22	$	7,188	9	$	467

As of September 30, 2016, December 31, 2015 and September 30, 2015, the Company had a balance of $13.9 million, $15.5 million and $20.5 million, respectively, in troubled debt restructurings included in covered loans. The Company has recorded $791,000, $1.2 million and $1.4 million in previous charge-offs on such loans at September 30, 2016, December 31, 2015 and September 30, 2015, respectively. At September 30, 2016, the Company did not have any commitments to lend additional funds to debtors whose terms have been modified in troubled restructurings.

During the nine months ending September 30, 2016 and 2015, the Company modified covered loans as troubled debt restructurings with principal balances of $603,000 and $2.5 million, respectively, and these modifications did not have a material impact on the Company’s allowance for loan loss. The following table presents the covered loans by class modified as troubled debt restructurings during the nine months ending September 30, 2016 and 2015:

 

	September 30, 2016			September 30, 2015
		Balance			Balance
Loan class:	#	(in thousands)		#	(in thousands)
Commercial, financial & agricultural	1	$	76	1	$	-
Real estate – construction & development	-		-	2		312
Real estate – commercial & farmland	1		473	5		1,492
Real estate – residential	2		54	12		679
Consumer installment	-		-	-		-
Total	4	$	603	20	$	2,483

Troubled debt restructurings of covered loans with an outstanding balance of $516,000 and $1.3 million defaulted during the nine months ended September 30, 2016 and 2015, respectively, and these defaults did not have a material impact on the Company’s allowance for loan loss. The following table presents the troubled debt restructurings by class that defaulted (defined as 30 days past due) during the nine months ending September 30, 2016 and 2015:

 

	September 30, 2016			September 30, 2015
		Balance			Balance
Loan class:	#	(in thousands)		#	(in thousands)
Commercial, financial & agricultural	2	$	76	-	$	-
Real estate – construction & development	-		-	-		-
Real estate – commercial & farmland	-		-	3		177
Real estate – residential	11		440	9		1,088
Consumer installment	-		-	-		-
Total	13	$	516	12	$	1,265

The following table presents the amount of troubled debt restructurings by loan class of covered loans, classified separately as accrual and nonaccrual at September 30, 2016, December 31, 2015 and September 30, 2015:

As of September 30, 2016	Accruing Loans			Non-Accruing Loans
		Balance			Balance
Loan class:	#	(in thousands)		#	(in thousands)
Commercial, financial & agricultural	-	$	-	3	$	76
Real estate – construction & development	4		813	-		-
Real estate – commercial & farmland	4		1,801	2		680
Real estate – residential	88		9,203	27		1,287
Consumer installment	1		6	-		-
Total	97	$	11,823	32	$	2,043

As of December 31, 2015	Accruing Loans			Non-Accruing Loans
		Balance			Balance
Loan class:	#	(in thousands)		#	(in thousands)
Commercial, financial & agricultural	-	$	-	2	$	1
Real estate – construction & development	4		779	-		-
Real estate – commercial & farmland	4		1,967	3		1,067
Real estate – residential	97		10,529	26		1,116
Consumer installment	2		8	-		-
Total	107	$	13,283	31	$	2,184

As of September 30, 2015	Accruing Loans			Non-Accruing Loans
		Balance			Balance
Loan class:	#	(in thousands)		#	(in thousands)
Commercial, financial & agricultural	1	$	2	2	$	-
Real estate – construction & development	3		2,847	3		325
Real estate – commercial & farmland	9		3,101	8		2,449
Real estate – residential	96		10,625	17		1,167
Consumer installment	1		1	-		-
Total	110	$	16,576	30	$	3,941

Allowance for Loan Losses

The allowance for loan losses represents an allowance for probable incurred losses in the loan portfolio. The adequacy of the allowance for loan losses is evaluated periodically based on a review of all significant loans, with a particular emphasis on non-accruing, past-due and other loans that management believes might be potentially impaired or warrant additional attention. The Company segregates the loan portfolio by type of loan and utilizes this segregation in evaluating exposure to risks within the portfolio. In addition, based on internal reviews and external reviews performed by regulatory authorities, the Company further segregates the loan portfolio by loan grades based on an assessment of risk for a particular loan or group of loans. Certain reviewed loans are assigned specific allowances when a review of relevant data determines that a general allocation is not sufficient or when the review affords management the opportunity to adjust the amount of exposure in a given credit. In establishing allowances, management considers historical loan loss experience but adjusts this data with a significant emphasis on current loan quality trends, current economic conditions and other factors in the markets where the Company operates. Factors considered include, among others, current valuations of real estate in the Company’s markets, unemployment rates, the effect of weather conditions on agricultural related entities and other significant local economic events.

The Company has developed a methodology for determining the adequacy of the allowance for loan losses which is monitored by the Company’s Chief Credit Officer. Procedures provide for the assignment of a risk rating for every loan included in the total loan portfolio, with the exception of certain mortgage loans serviced at a third party, mortgage warehouse lines and overdraft protection loans, which are treated as pools for risk-rating purposes. The risk rating schedule provides nine ratings of which five ratings are classified as pass ratings and four ratings are classified as criticized ratings. Each risk rating is assigned a percentage factor to be applied to the loan balance to determine the adequate amount of reserve. All relationships greater than $1.0 million and a sample of relationships greater than $250,000 are reviewed annually by the Bank’s independent internal loan review department. As a result of these loan reviews, certain loans may be identified as having deteriorating credit quality. Other loans that surface as problem loans may also be assigned specific reserves. Past-due loans are assigned risk ratings based on the number of days past due. The calculation of the allowance for loan losses, including underlying data and assumptions, is reviewed regularly by the Company’s Chief Financial Officer and the independent internal loan review department.

 

Loan losses are charged against the allowance when management believes the collection of a loan’s principal is unlikely. Subsequent recoveries are credited to the allowance. Consumer loans are charged-off in accordance with the Federal Financial Institutions Examination Council’s (“FFIEC”) Uniform Retail Credit Classification and Account Management Policy. Commercial loans are charged-off when they are deemed uncollectible, which usually involves a triggering event within the collection effort. If the loan is collateral dependent, the loss is more easily identified and is charged-off when it is identified, usually based upon receipt of an appraisal. However, when a loan has guarantor support, the Company may carry the estimated loss as a reserve against the loan while collection efforts with the guarantor are pursued. If, after collection efforts with the guarantor are complete, the deficiency is still considered uncollectible, the loss is charged-off and any further collections are treated as recoveries. In all situations, when a loan is downgraded to an Asset Quality Rating of 60 (Loss per the regulatory guidance), the uncollectible portion is charged-off.

The following table details activity in the allowance for loan losses by portfolio segment for the nine months ended September 30, 2016, the year ended December 31, 2015 and the nine months ended September 30, 2015. Allocation of a portion of the allowance to one category of loans does not preclude its availability to absorb losses in other categories.

	Commercial, financial & agricultural		Real estate –  construction & development		Real estate – commercial & farmland		Real estate - residential		Consumer installment loans and Other		Purchased non-covered loans, including pools		Covered loans		Total
	(Dollars in Thousands)
Three months ended September 30, 2016:
Balance, June 30, 2016	$	1,667	$	3,599	$	7,459	$	4,263	$	2,160	$	2,056	$	530	$	21,734
Provision for loan losses		677		(521)		(554)		2,649		(1,595)		1,247		(1,092)		811
Loans charged off		(326)		(60)		-		(292)		(74)		(408)		(291)		(1,451)
Recoveries of loans previously charged off		119		131		13		40		78		399		1,089		1,869
Balance, September 30, 2016	$	2,137	$	3,149	$	6,918	$	6,660	$	569	$	3,294	$	236	$	22,963
Nine months ended September 30, 2016:
Balance, January 1, 2016	$	1,144	$	5,009	$	7,994	$	4,760	$	1,574	$	581	$	-	$	21,062
Provision for loan losses		1,987		(2,010)		(559)		2,415		(932)		2,274		(794)		2,381
Loans charged off		(1,273)		(324)		(708)		(883)		(192)		(826)		(435)		(4,641)
Recoveries of loans previously charged off		279		474		191		368		119		1,265		1,465		4,161
Balance, September 30, 2016	$	2,137	$	3,149	$	6,918	$	6,660	$	569	$	3,294	$	236	$	22,963
Period-end amount allocated to:
Loans individually evaluated for impairment (1)	$	107	$	529	$	883	$	2,629	$	-	$	1,286	$	236	$	5,670
Loans collectively evaluated for impairment		2,030		2,620		6,035		4,031		569		2,008		-		17,293
Ending balance	$	2,137	$	3,149	$	6,918	$	6,660	$	569	$	3,294	$	236	$	22,963
Loans:
Individually evaluated for impairment (1)	$	424	$	1,154	$	11,699	$	11,571	$	-	$	22,173	$	12,818	$	59,839
Collectively evaluated for impairment		625,523		327,154		1,285,883		755,362		72,269		1,536,176		27,953		4,630,320
Acquired with deteriorated credit quality		-		-		-		-		-		133,627		21,520		155,147
Ending balance	$	625,947	$	328,308	$	1,297,582	$	766,933	$	72,269	$	1,691,976	$	62,291	$	4,845,306

(1) At September 30, 2016, loans individually evaluated for impairment includes all nonaccrual loans greater than $100,000 and all troubled debt restructurings greater than $100,000, including all troubled debt restructurings and not only those currently classified as troubled debt restructurings.

	Commercial, financial & agricultural		Real estate – construction & development		Real estate – commercial & farmland		Real estate - residential		Consumer installment loans and Other		Purchased non-covered loans, including pools		Covered loans		Total
	(Dollars in Thousands)
Twelve months ended December 31, 2015:
Balance, January 1, 2015	$	2,004	$	5,030	$	8,823	$	4,129	$	1,171	$	-	$	-	$	21,157
Provision for loan losses		(73)		278		1,221		2,067		676		344		751		5,264
Loans charged off		(1,438)		(622)		(2,367)		(1,587)		(410)		(950)		(1,759)		(9,133)
Recoveries of loans previously charged off		651		323		317		151		137		1,187		1,008		3,774
Balance, December 31, 2015	$	1,144	$	5,009	$	7,994	$	4,760	$	1,574	$	581	$	-	$	21,062
Period-end amount allocated to:
Loans individually evaluated for impairment (1)	$	126	$	759	$	1,074	$	2,172	$	-	$	-	$	-	$	4,131
Loans collectively evaluated for impairment		1,018		4,250		6,920		2,588		1,574		581		-		16,931
Ending balance	$	1,144	$	5,009	$	7,994	$	4,760	$	1,574	$	581	$	-	$	21,062
Loans:
Individually evaluated for impairment (1)	$	323	$	1,958	$	11,877	$	9,554	$	-	$	22,672	$	22,317	$	68,701
Collectively evaluated for impairment		449,300		242,735		1,093,114		560,876		37,140		1,261,821		52,451		3,697,437
Acquired with deteriorated credit quality		-		-		-		-		-		80,024		62,761		142,785
Ending balance	$	449,623	$	244,693	$	1,104,991	$	570,430	$	37,140	$	1,364,517	$	137,529	$	3,908,923

(1) At December 31, 2015, loans individually evaluated for impairment includes all nonaccrual loans greater than $200,000 and all troubled debt restructurings greater than $100,000, including all troubled debt restructurings and not only those currently classified as troubled debt restructurings.

	Commercial, financial & agricultural		Real estate – construction & development		Real estate – commercial & farmland		Real estate - residential		Consumer installment loans and Other		Purchased non-covered loans, including pools		Covered loans		Total
	(Dollars in Thousands)
Three months ended September 30, 2015:
Balance, June 30, 2015	$	1,426	$	5,365	$	8,381	$	4,805	$	1,681	$	-	$	-	$	21,658
Provision for loan losses		110		643		43		1,238		(1,386)		531		(193)		986
Loans charged off		(135)		(105)		(184)		(234)		(61)		(302)		(246)		(1,267)
Recoveries of loans previously charged off		117		6		272		54		33		173		439		1,094
Balance, September 30, 2015	$	1,518	$	5,909	$	8,512	$	5,863	$	267	$	402	$	-	$	22,471
Nine months ended September 30, 2015:
Balance, January 1, 2015	$	2,004	$	5,030	$	8,823	$	4,129	$	1,171	$	-	$	-	$	21,157
Provision for loan losses		(66)		1,030		743		2,562		(721)		219		944		4,711
Loans charged off		(937)		(465)		(1,358)		(966)		(300)		(772)		(1,661)		(6,459)
Recoveries of loans previously charged off		517		314		304		138		117		955		717		3,062
Balance, September 30, 2015	$	1,518	$	5,909	$	8,512	$	5,863	$	267	$	402	$	-	$	22,471
Period-end amount allocated to:
Loans individually evaluated for impairment (1)	$	521	$	708	$	1,622	$	1,848	$	-	$	-	$	-	$	4,699
Loans collectively evaluated for impairment		997		5,201		6,890		4,015		267		402		-		17,772
Ending balance	$	1,518	$	5,909	$	8,512	$	5,863	$	267	$	402	$	-	$	22,471
Loans:
Individually evaluated for impairment (1)	$	1,286	$	1,820	$	13,306	$	8,415	$	-	$	-	$	-	$	24,827
Collectively evaluated for impairment		426,461		218,978		1,054,522		523,870		41,991		1,078,686		83,974		3,428,482
Acquired with deteriorated credit quality		-		-		-		-		-		98,880		107,047		205,927
Ending balance	$	427,747	$	220,798	$	1,067,828	$	532,285	$	41,991	$	1,177,566	$	191,021	$	3,659,236

(1) At September 30, 2015, loans individually evaluated for impairment includes all nonaccrual loans greater than $200,000 and all troubled debt restructurings greater than $100,000, including all troubled debt restructurings and not only those currently classified as troubled debt restructurings.

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ASSETS ACQUIRED IN FDIC-ASSISTED ACQUISITIONS

9 Months Ended

Sep. 30, 2016

Banking and Thrift [Abstract]

ASSETS ACQUIRED IN FDIC-ASSISTED ACQUISITIONS

NOTE 5 – ASSETS ACQUIRED IN FDIC-ASSISTED ACQUISITIONS

From October 2009 through July 2012, the Company participated in ten FDIC-assisted acquisitions whereby the Company purchased certain failed institutions out of the FDIC’s receivership. These institutions include the following:

Bank Acquired	Location	Branches	Date Acquired
American United Bank (“AUB”)	Lawrenceville, Ga.	1	October 23, 2009
United Security Bank (“USB”)	Sparta, Ga.	2	November 6, 2009
Satilla Community Bank (“SCB”)	St. Marys, Ga.	1	May 14, 2010
First Bank of Jacksonville (“FBJ”)	Jacksonville, Fl.	2	October 22, 2010
Tifton Banking Company (“TBC”)	Tifton, Ga.	1	November 12, 2010
Darby Bank & Trust (“DBT”)	Vidalia, Ga.	7	November 12, 2010
High Trust Bank (“HTB”)	Stockbridge, Ga.	2	July 15, 2011
One Georgia Bank (“OGB”)	Midtown Atlanta, Ga.	1	July 15, 2011
Central Bank of Georgia (“CBG”)	Ellaville, Ga.	5	February 24, 2012
Montgomery Bank & Trust (“MBT”)	Ailey, Ga.	2	July 6, 2012

The determination of the initial fair values of loans at the acquisition date and the initial fair values of the related FDIC indemnification assets involves a high degree of judgment and complexity. The carrying values of the acquired loans and the FDIC indemnification assets reflect management’s best estimate of the fair value of each of these assets as of the date of acquisition. However, the amount that the Company realizes on these assets could differ materially from the carrying values reflected in the financial statements included in this report, based upon the timing and amount of collections on the acquired loans in future periods. Because of the loss-sharing agreements with the FDIC on these assets, the Company does not expect to incur any significant losses. To the extent the actual values realized for the acquired loans are different from the estimates, the indemnification assets will generally be affected in an offsetting manner due to the loss-sharing support from the FDIC.

FASB ASC 310-30, Loans and Debt Securities Acquired with Deteriorated Credit Quality (“ASC 310-30”), applies to a loan with evidence of deterioration of credit quality since origination, acquired by completion of a transfer for which it is probable, at acquisition, that the investor will be unable to collect all contractually required payments receivable. ASC 310-30 prohibits carrying over or creating an allowance for loan losses upon initial recognition for loans which fall under the scope of this statement. At the acquisition dates, a majority of these loans were valued based on the liquidation value of the underlying collateral because the future cash flows are primarily based on the liquidation of underlying collateral. There was no allowance for credit losses established related to these ASC 310-30 loans at the acquisition dates, based on the provisions of this statement. Over the life of the acquired loans, the Company continues to estimate cash flows expected to be collected. If the expected cash flows expected to be collected increases, then the Company adjusts the amount of accretable discount recognized on a prospective basis over the loan’s remaining life. If the expected cash flows expected to be collected decreases, then the Company records a provision for loan loss in its consolidated statement of operations.

Each acquisition with loss-sharing agreements has separate agreements for the single family residential assets (“SFR”) and the non-single family assets (“NSF”). The SFR agreements cover losses and recoveries for ten years. The NSF agreements are for eight years. During the first five years, losses and recoveries are covered. During the final three years, only recoveries, net of expenses, are covered. The AUB SFR agreement was terminated during 2012 and Ameris received a payment of $87,000. The AUB and USB NSF agreements passed their five-year anniversaries during the fourth quarter of 2014, the SCB NSF agreement passed its five-year anniversary during the second quarter of 2015, the FBJ, TBC and DBT NSF agreements passed their five-year anniversaries during the fourth quarter of 2015 and the HTB and OGB NSF agreements passed their five-year anniversaries during the third quarter of 2016. Losses will no longer be reimbursed on these agreements. The remaining NSF assets for these eight agreements have been reclassified to purchased non-covered loans and purchased non-covered other real estate owned.

 

At September 30, 2016, the Company’s FDIC loss-sharing payable totaled $7.8 million, which is comprised of an accrued clawback liability of $8.9 million and $1.3 million in current activity incurred but not yet remitted to the FDIC (net recoveries offset by reimbursable expenses), less remaining indemnification of $2.4 million (for reimbursements associated with anticipated losses in future quarters).

 

The following table summarizes components of all covered assets at September 30, 2016, December 31, 2015 and September 30, 2015 and their origin (dollars in thousands):

	Covered loans		Less: Fair value adjustments		Total covered loans		OREO		Less: Fair value adjustments		Total covered OREO		Total covered assets		FDIC loss-share receivable (payable)
As of September 30, 2016:
AUB	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	12
USB		3,309		13		3,296		30		-		30		3,326		(1,682)
SCB		4,475		61		4,414		-		-		-		4,414		89
FBJ		3,811		488		3,323		-		-		-		3,323		(164)
DBT		12,964		690		12,274		-		-		-		12,274		(4,898)
TBC		1,867		7		1,860		-		-		-		1,860		(2,727)
HTB		1,926		35		1,891		-		-		-		1,891		1,538
OGB		1,086		32		1,054		-		-		-		1,054		(776)
CBG		36,468		2,289		34,179		974		4		970		35,149		833
Total	$	65,906	$	3,615	$	62,291	$	1,004	$	4	$	1,000	$	63,291	$	(7,775)

	Covered loans		Less: Fair value adjustments		Total covered loans		OREO		Less: Fair value adjustments		Total covered OREO		Total covered assets		FDIC loss-share receivable (payable)
As of December 31, 2015:
AUB	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	111
USB		3,639		16		3,623		165		-		165		3,788		(1,424)
SCB		5,228		124		5,104		-		-		-		5,104		149
FBJ		4,782		562		4,220		41		-		41		4,261		252
DBT		15,934		1,131		14,803		-		-		-		14,803		(1,084)
TBC		2,159		11		2,148		-		-		-		2,148		1,446
HTB		44,405		3,881		40,524		2,433		643		1,790		42,314		3,875
OGB		27,561		1,900		25,661		160		-		160		25,821		913
CBG		44,865		3,419		41,446		3,139		284		2,855		44,301		2,063
Total	$	148,573	$	11,044	$	137,529	$	5,938	$	927	$	5,011	$	142,540	$	6,301

	Covered loans		Less: Fair value adjustments		Total covered loans		OREO		Less: Fair value adjustments		Total covered OREO		Total covered assets		FDIC loss-share receivable (payable)
As of September 30, 2015:
AUB	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	115
USB		3,686		17		3,669		165		-		165		3,834		(1,453)
SCB		5,269		174		5,095		-		-		-		5,095		280
FBJ		13,826		991		12,835		984		171		813		13,648		679
DBT		44,112		3,107		41,005		5,044		624		4,420		45,425		(1,737)
TBC		16,813		481		16,332		1,480		116		1,364		17,696		(2,225)
HTB		45,345		3,999		41,346		2,985		955		2,030		43,376		4,108
OGB		28,309		1,971		26,338		320		39		281		26,619		1,517
CBG		48,397		3,996		44,401		3,474		344		3,130		47,531		3,222
Total	$	205,757	$	14,736	$	191,021	$	14,452	$	2,249	$	12,203	$	203,224	$	4,506

A rollforward of acquired covered loans for the nine months ended September 30, 2016, the year ended December 31, 2015 and the nine months ended September 30, 2015 is shown below:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Balance, January 1	$	137,529	$	271,279	$	271,279
Charge-offs, net of recoveries		(2,218)		(5,558)		(5,062)
Accretion		2,855		9,658		8,105
Transfer to covered other real estate owned		(2,391)		(7,910)		(6,909)
Transfer to purchased, non-covered loans due to loss-share expiration		(45,908)		(50,568)		(15,462)
Payments received		(27,576)		(79,372)		(60,930)
Ending balance	$	62,291	$	137,529	$	191,021

The following is a summary of changes in the accretable discounts of acquired loans during the nine months ended September 30, 2016, the year ended December 31, 2015 and the nine months ended September 30, 2015:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Balance, January 1	$	9,063	$	15,578	$	15,578
Accretion		(2,855)		(9,658)		(8,105)
Transfer to purchased, non-covered loans due to loss-share expiration		(3,457)		(1,665)		(84)
Transfers between non-accretable and accretable discounts, net		281		4,808		3,312
Ending balance	$	3,032	$	9,063	$	10,701

The shared-loss agreements are subject to the servicing procedures as specified in the agreement with the FDIC. The expected reimbursements under the shared-loss agreements were recorded as an indemnification asset at their estimated fair values on the acquisition dates. As of September 30, 2016, December 31, 2015 and September 30, 2015, the Company has recorded a clawback liability of $8.9 million, $8.2 million and $7.7 million, respectively, which represents the obligation of the Company to reimburse the FDIC should actual losses be less than certain thresholds established in each loss-share agreement. Changes in the FDIC shared-loss receivable (payable) for the nine months ended September 30, 2016, for the year ended December 31, 2015 and for the nine months ended September 30, 2015 are as follows:

 

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Beginning balance, January 1	$	6,301	$	31,351	$	31,351
Payments received from FDIC		(4,770)		(19,273)		(19,089)
Accretion, net		(3,351)		(8,878)		(7,914)
Changes in clawback liability		(682)		(2,008)		(1,483)
Increase in receivable due to:
Net charge-offs on covered loans		(4,118)		416		1,180
Write downs of covered other real estate owned		203		4,752		2,349
Reimbursable expenses on covered assets		604		2,582		2,312
Other activity, net		(1,962)		(2,641)		(4,200)
Ending balance	$	(7,775)	$	6,301	$	4,506

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OTHER REAL ESTATE OWNED

9 Months Ended

Sep. 30, 2016

Banking and Thrift [Abstract]

OTHER REAL ESTATE OWNED

NOTE 6. OTHER REAL ESTATE OWNED

The following is a summary of the activity in other real estate owned during the nine months ended September 30, 2016, the year ended December 31, 2015 and the nine months ended September 30, 2015:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Beginning balance, January 1	$	16,147	$	33,160	$	33,160
Loans transferred to other real estate owned		2,101		11,261		9,838
Net gains (losses) on sale and write-downs		(1,276)		(9,971)		(9,583)
Sales proceeds		(6,580)		(18,303)		(12,685)
Ending balance	$	10,392	$	16,147	$	20,730

The following is a summary of the activity in purchased, non-covered other real estate owned during the nine months ended September 30, 2016, the year ended December 31, 2015 and the nine months ended September 30, 2015:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Beginning balance, January 1	$	14,333	$	15,585	$	15,585
Loans transferred to other real estate owned		3,871		4,473		2,565
Acquired in acquisitions		1,838		2,160		2,189
Transfer from covered other real estate owned due to loss-share expiration		466		3,148		75
Net gains (losses) on sale and write-downs		(68)		201		326
Sales proceeds		(6,314)		(11,234)		(9,202)
Ending balance	$	14,126	$	14,333	$	11,538

The following is a summary of the activity in covered other real estate owned during the nine months ended September 30, 2016, the year ended December 31, 2015 and the nine months ended September 30, 2015:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Beginning balance, January 1	$	5,011	$	19,907	$	19,907
Loans transferred to other real estate owned		2,391		7,910		6,909
Transfer from covered other real estate owned due to loss-share expiration		(466)		(3,148)		(75)
Net gains (losses) on sale and write-downs		(500)		(5,926)		(2,936)
Sales proceeds		(5,436)		(13,732)		(11,602)
Ending balance	$	1,000	$	5,011	$	12,203

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SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE

9 Months Ended

Sep. 30, 2016

Brokers and Dealers [Abstract]

SECURITIES SOLD UNDER REPURCHASE AGREEMENTS

NOTE 7 – SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE

The Company classifies the sales of securities under agreements to repurchase as short-term borrowings. The amounts received under these agreements are reflected as a liability in the Company’s consolidated balance sheets and the securities underlying these agreements are included in investment securities in the Company’s consolidated balance sheets. At September 30, 2016, December 31, 2015 and September 30, 2015, all securities sold under agreements to repurchase mature on a daily basis. The market value of the securities fluctuate on a daily basis due to market conditions. The Company monitors the market value of the securities underlying these agreements on a daily basis and is required to transfer additional securities if the market value of the securities fall below the repurchase agreement price. The Company maintains an unpledged securities portfolio that it believes is sufficient to protect against a decline in the market value of the securities sold under agreements to repurchase.

The following is a summary of the Company’s securities sold under agreements to repurchase at September 30, 2016, December 31, 2015 and September 30, 2015:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Securities sold under agreements to repurchase	$	42,647	$	63,585	$	51,506

At September 30, 2016, December 31, 2015 and September 30, 2015, the investment securities underlying these agreements were all mortgage-backed securities.

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OTHER BORROWINGS

9 Months Ended

Sep. 30, 2016

Debt Disclosure [Abstract]

OTHER BORROWINGS

NOTE 8 – OTHER BORROWINGS

The Company has, from time to time, utilized certain borrowing arrangements with various financial institutions to fund growth in earning assets or provide additional liquidity when appropriate spreads can be realized. At September 30, 2016, December 31, 2015 and September 30, 2015, there were $373.5 million, $39.0 million and $39.0 million, respectively, in outstanding borrowings with the Company’s correspondent banks.

Other borrowings consist of the following:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Daily Rate Credit from Federal Home Loan Bank with a variable interest rate (0.56% at September 30, 2016)	$	227,500	$	-	$	-
Advance from Federal Home Loan Bank with a fixed interest rate of 0.40%, due October 14, 2016		100,000	$	-		-
Advance from Federal Home Loan Bank with a fixed interest rate of 1.40%, due January 9, 2017		4,008	$	-		-
Advance from Federal Home Loan Bank with a fixed interest rate of 1.23%, due May 30, 2017		5,009	$	-		-
Advances under revolving credit agreement with a regional bank with interest at 90-day LIBOR plus 3.50% (4.34% at September 30, 2016, 3.92% at December 31, 2015, and 3.78% at September 30, 2015) due in August 2017, secured by subsidiary bank stock		36,000		24,000		24,000
Advances under revolving credit agreement with a regional bank with a fixed interest rate of 8.00% due January 2017		860		-		-
Advance from correspondent bank with a fixed interest rate of 4.25%, due October 15, 2019, secured by a loan receivable		84		-		-
Subordinated debt issued by The Prosperity Banking Company due September 2016 with an interest rate of 90-day LIBOR plus 1.75% (2.28% at December 31, 2015 and 2.09% at September 30, 2015)		-		15,000		15,000
Total	$	373,461	$	39,000	$	39,000

The advances from the Federal Home Loan Bank (“FHLB”) are collateralized by a blanket lien on all first mortgage loans and other specific loans in addition to FHLB stock. At September 30, 2016, $661.5 million was available for borrowing on lines with the FHLB.

As of September 30, 2016, the Company maintained credit arrangements with various financial institutions to purchase federal funds up to $67 million.

At September 30, 2016, $4.0 million was available for borrowing under the revolving credit agreement with a regional bank, secured by subsidiary bank stock.

The Company also participates in the Federal Reserve discount window borrowings. At September 30, 2016, the Company had $861.5 million of loans pledged at the Federal Reserve discount window and had $574.7 million available for borrowing.

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COMMITMENTS AND CONTINGENCIES

9 Months Ended

Sep. 30, 2016

Commitments and Contingencies Disclosure [Abstract]

COMMITMENTS AND CONTINGENT LIABILITIES

NOTE 9 – COMMITMENTS AND CONTINGENCIES

Loan Commitments

The Company is a party to financial instruments with off-balance-sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments include commitments to extend credit and standby letters of credit. They involve, to varying degrees, elements of credit risk and interest rate risk in excess of the amount recognized in the balance sheets.

The Company’s exposure to credit loss is represented by the contractual amount of those instruments. The Company uses the same credit policies in making commitments and conditional obligations as it does for on-balance-sheet instruments. A summary of the Company’s commitments is as follows:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Commitments to extend credit	$	924,374	$	548,898	$	500,631
Unused lines of credit	$	62,544	$	52,798	$	53,465
Financial standby letters of credit	$	14,002	$	14,712	$	11,929
Mortgage interest rate lock commitments	$	134,619	$	77,710	$	79,635

Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Since many of the commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. The amount of collateral obtained, if deemed necessary by the Company upon extension of credit, is based on management’s credit evaluation of the customer.

Standby letters of credit are conditional commitments issued by the Company to guarantee the performance of a customer to a third party. Those guarantees are primarily issued to support public and private borrowing arrangements. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loans to customers. Collateral is required in instances which the Company deems necessary.

Other Commitments

During the third quarter of 2016, the Bank began purchasing from an unrelated third party consumer installment home improvement loans made to borrowers throughout the United States. Under the purchase agreement, the Bank has committed to increasing outstanding balances of the home improvement loans by $12.5 million per month until the aggregate purchase commitment of $150.0 million has been reached. As of September 30, 2016, the carrying value of consumer installment home improvement loans purchased under the agreement totaled approximately $32.8 million.

As of September 30, 2016, a $75.0 million letter of credit issued by the Federal Home Loan Bank was used to guarantee the Bank’s performance related to public fund deposit balances.

 

Contingencies

Certain conditions may exist as of the date the financial statements are issued, which may result in a loss to the Company but which will only be resolved when one or more future events occur or fail to occur. The Company’s management and its legal counsel assess such contingent liabilities, and such assessment inherently involves an exercise of judgment. In assessing loss contingencies related to legal proceedings that are pending against the Company or unasserted claims that may result in such proceedings, the Company’s legal counsel evaluates the perceived merits of any legal proceedings or unasserted claims as well as the perceived merits of the amount of relief sought or expected to be sought therein.

If the assessment of a contingency indicates that it is probable that a material loss has been incurred and the amount of the liability can be estimated, then the estimated liability would be accrued in the Company’s financial statements. If the assessment indicates that a potentially material loss contingency is not probable, but is reasonably possible, or is probable but cannot be estimated, then the nature of the contingent liability, together with an estimate of the range of possible loss if determinable and material, would be disclosed.

Loss contingencies considered remote are generally not disclosed unless they involve guarantees, in which case the nature of the guarantee would be disclosed.

A former borrower of the Company has filed a claim related to a loan previously made by the Company asserting lender liability.  The case was tried without a jury and an order was issued by the court against the Company awarding the borrower approximately $2.9 million on August 8, 2013.  The order is currently on appeal to the South Carolina Court of Appeals and the Company is asserting it had no fiduciary responsibility to the borrower.  As of September 30, 2016, the Company believes that it has valid bases in law and fact to overturn on appeal the verdict. As a result, the Company believes that the likelihood that the amount of the judgment will be affirmed is not probable, and, accordingly, that the amount of any loss cannot be reasonably estimated at this time. Because the Company believes that this potential loss is not probable or estimable, it has not recorded any reserves or contingencies related to this legal matter. In the event that the Company's assumptions used to evaluate this matter as neither probable nor estimable change in future periods, it may be required to record a liability for an adverse outcome.

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ACCUMULATED OTHER COMPREHENSIVE INCOME

9 Months Ended

Sep. 30, 2016

Equity [Abstract]

ACCUMULATED OTHER COMPREHENSIVE INCOME

NOTE 10 – ACCUMULATED OTHER COMPREHENSIVE INCOME 

Accumulated other comprehensive income for the Company consists of changes in net unrealized gains and losses on investment securities available for sale and interest rate swap derivatives. The following tables present a summary of the accumulated other comprehensive income balances, net of tax, as of September 30, 2016 and 2015:

(Dollars in Thousands)	Unrealized Gain (Loss) on Derivatives		Unrealized Gain (Loss) on Securities		Accumulated Other Comprehensive Income (Loss)
Balance, January 1, 2016	$	152	$	3,201	$	3,353
Reclassification for gains included in net income, net of tax		-		(61)		(61)
Current year changes, net of tax		(567)		7,724		7,157
Balance, September 30, 2016	$	(415)	$	10,864	$	10,449

(Dollars in Thousands)	Unrealized Gain (Loss) on Derivatives		Unrealized Gain (Loss) on Securities		Accumulated Other Comprehensive Income (Loss)
Balance, January 1, 2015	$	508	$	5,590	$	6,098
Reclassification for gains included in net income, net of tax		-		(89)		(89)
Current year changes, net of tax		(669)		(1,143)		(1,812)
Balance, September 30, 2015	$	(161)	$	4,358	$	4,197

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WEIGHTED AVERAGE SHARES OUTSTANDING

9 Months Ended

Sep. 30, 2016

Earnings Per Share [Abstract]

WEIGHTED AVERAGE SHARES OUTSTANDING

NOTE 11 – WEIGHTED AVERAGE SHARES OUTSTANDING

Earnings per share have been computed based on the following weighted average number of common shares outstanding:

	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
	2016		2015		2016		2015
	(Share Data in Thousands)				(Share Data in Thousands)
Basic shares outstanding		34,870		32,195		34,156		31,614
Plus: Dilutive effect of ISOs		108		126		100		118
Plus: Dilutive effect of restricted share grants		217		232		214		230
Diluted shares outstanding		35,195		32,553		34,470		31,962

For the three- and nine-month periods ended September 30, 2016 and 2015, there were no potential common shares with strike prices that would cause them to be anti-dilutive.

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FAIR VALUE MEASURES

9 Months Ended

Sep. 30, 2016

Fair Value Disclosures [Abstract]

FAIR VALUE MEASURES

NOTE 12 – FAIR VALUE MEASURES

The fair value of an asset or liability is the current amount that would be exchanged between willing parties, other than in a forced liquidation. Fair value is best determined based upon quoted market prices. However, in many instances, there are no quoted market prices for the Company’s various assets and liabilities. In cases where quoted market prices are not available, fair value is based on discounted cash flows or other valuation techniques. These techniques are significantly affected by the assumptions used, including the discount rate and estimates of future cash flows. Accordingly, the fair value estimates may not be realized in an immediate settlement of the asset or liability. The accounting standard for disclosures about fair value measures excludes certain financial instruments and all nonfinancial instruments from its disclosure requirements. Accordingly, the aggregate fair value amounts presented may not necessarily represent the underlying fair value of the Company.

The Company has elected to record mortgage loans held-for-sale at fair value in order to eliminate the complexities and inherent difficulties of achieving hedge accounting and to better align reported results with the underlying economic changes in value of the loans and related hedge instruments. This election impacts the timing and recognition of origination fees and costs, as well as servicing value, which are now recognized in earnings at the time of origination. Interest income on mortgage loans held-for-sale is recorded on an accrual basis in the consolidated statement of earnings and comprehensive income under the heading “Interest income – interest and fees on loans”. The servicing value is included in the fair value of the interest rate lock commitments (“IRLCs”) with borrowers. The mark to market adjustments related to loans held-for-sale and the associated economic hedges are captured in mortgage banking activities. Net gains of $4.9 million and $3.3 million resulting from fair value changes of these mortgage loans were recorded in income during the nine months ended September 30, 2016 and 2015, respectively. The amount does not reflect changes in fair values of related derivative instruments used to hedge exposure to market-related risks associated with these mortgage loans. The change in fair value of both mortgage loans held for sale and the related derivative instruments are recorded in “Mortgage banking activity” in the Consolidated Statements of Earnings and Comprehensive Income. The Company’s valuation of mortgage loans held for sale incorporates an assumption for credit risk; however, given the short-term period that the Company holds these loans, valuation adjustments attributable to instrument-specific credit risk is nominal.

 

The following table summarizes the difference between the fair value and the principal balance for mortgage loans held for sale measured at fair value as of September 30, 2016, December 31, 2015 and September 30, 2015:

	September 30, 2016		December 31, 2015		September 30, 2015
	(Dollars in Thousands)
Aggregate fair value of mortgage loans held for sale	$	126,263	$	111,182	$	111,807
Aggregate unpaid principal balance	$	121,308	$	107,652	$	108,179
Past-due loans of 90 days or more	$	-	$	-	$	-
Nonaccrual loans	$	-	$	-	$	-

The Company utilizes fair value measurements to record fair value adjustments to certain assets and liabilities and to determine fair value disclosures. Securities available for sale, mortgage loans held for sale and derivatives are recorded at fair value on a recurring basis. From time to time, the Company may be required to record at fair value other assets on a nonrecurring basis, such as impaired loans and OREO. Additionally, the Company is required to disclose, but not record, the fair value of other financial instruments.

Fair Value Hierarchy

The Company groups assets and liabilities at fair value in three levels, based on the markets in which the assets and liabilities are traded and the reliability of the assumptions used to determine fair value. These levels are:

Level 1 - Quoted prices in active markets for identical assets or liabilities.

Level 2 - Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.

Level 3 - Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

The following methods and assumptions were used by the Company in estimating the fair value of assets and liabilities recorded at fair value and for estimating the fair value of its financial instruments:

Cash and Due From Banks, Federal Funds Sold and Interest-Bearing Accounts:  The carrying amount of cash and due from banks, federal funds sold and interest-bearing accounts approximates fair value.

Investment Securities Available for Sale:  The fair value of securities available for sale is determined by various valuation methodologies. Where quoted market prices are available in an active market, securities are classified within Level 1 of the valuation hierarchy. If quoted market prices are not available, then fair values are estimated by using pricing models, quoted prices of securities with similar characteristics, or discounted cash flows. Level 2 securities include mortgage-backed securities issued by government-sponsored enterprises and municipal bonds. The Level 2 fair value pricing is provided by an independent third-party and is based upon similar securities in an active market. In certain cases where Level 1 or Level 2 inputs are not available, securities are classified within Level 3 of the hierarchy and include certain residual municipal securities and other less liquid securities.

Other Investments: FHLB stock is included in other investments at its original cost basis. It is not practical to determine the fair value of FHLB stock due to restrictions placed on its transferability.

Mortgage Loans Held for Sale: The Company records mortgage loans held for sale at fair value. The fair value of mortgage loans held for sale is determined on outstanding commitments from third party investors in the secondary markets and is classified within Level 2 of the valuation hierarchy.

Loans: The carrying amount of variable-rate loans that reprice frequently and have no significant change in credit risk approximates fair value. The fair value of fixed-rate loans is estimated based on discounted contractual cash flows, using interest rates currently being offered for loans with similar terms to borrowers with similar credit quality. The fair value of impaired loans is estimated based on discounted contractual cash flows or underlying collateral values, where applicable. A loan is determined to be impaired if the Company believes it is probable that all principal and interest amounts due according to the terms of the note will not be collected as scheduled. The fair value of impaired loans is determined in accordance with ASC 310-10, Accounting by Creditors for Impairment of a Loan, and generally results in a specific reserve established through a charge to the provision for loan losses. Losses on impaired loans are charged to the allowance when management believes the uncollectability of a loan is confirmed. Management has determined that the majority of impaired loans are Level 3 assets due to the extensive use of market appraisals.

Other Real Estate Owned: The fair value of other real estate owned (“OREO”) is determined using certified appraisals, internal evaluations and broker price opinions that value the property at its highest and best uses by applying traditional valuation methods common to the industry. The Company does not hold any OREO for profit purposes and all other real estate is actively marketed for sale. In most cases, management has determined that additional write-downs are required beyond what is calculable from the appraisal to carry the property at levels that would attract buyers. Because this additional write-down is not based on observable inputs, management has determined that other real estate owned should be classified as Level 3.

Covered Other Real Estate Owned: Covered other real estate owned includes other real estate owned on which the majority of losses would be covered by loss-sharing agreements with the FDIC. Management initially valued these assets at fair value using mostly unobservable inputs and, as such, has classified these assets as Level 3.

Intangible Assets: Intangible assets consist of core deposit premiums acquired in connection with business combinations and are based on the established value of acquired customer deposits. The core deposit premium is initially recognized based on a valuation performed as of the consummation date and is amortized over an estimated useful life of three to ten years.

FDIC Loss-Share Receivable/Payable: Because the FDIC will reimburse the Company for certain acquired loans should the Company experience a loss, an indemnification asset is recorded at fair value at the acquisition date. The indemnification asset is recognized at the same time as the indemnified loans, and measured on the same basis, subject to collectability or contractual limitations. The shared loss agreements on the acquisition date reflect the reimbursements expected to be received from the FDIC, using an appropriate discount rate, which reflects counterparty credit risk and other uncertainties. The shared loss agreements continue to be measured on the same basis as the related indemnified loans, and the loss-share receivable is impacted by changes in estimated cash flows associated with these loans.

Accrued Interest Receivable/Payable:  The carrying amount of accrued interest receivable and accrued interest payable approximates fair value.

Cash Value of Bank Owned Life Insurance: The carrying value of cash value of bank owned life insurance approximates fair value.

Deposits:  The carrying amount of demand deposits, savings deposits and variable-rate certificates of deposit approximates fair value. The fair value of fixed-rate certificates of deposit is estimated based on discounted contractual cash flows using interest rates currently offered for certificates with similar maturities.

Securities Sold under Agreements to Repurchase and Other Borrowings: The carrying amount of variable rate borrowings and securities sold under repurchase agreements approximates fair value and are classified as Level 1. The fair value of fixed rate other borrowings is estimated based on discounted contractual cash flows using the current incremental borrowing rates for similar borrowing arrangements and are classified as Level 2.

Subordinated Deferrable Interest Debentures: The fair value of the Company’s variable rate trust preferred securities is based primarily upon discounted cash flows using rates for securities with similar terms and remaining maturities and are classified as Level 2.

Off-Balance-Sheet Instruments: Because commitments to extend credit and standby letters of credit are typically made using variable rates and have short maturities, the carrying value and fair value are immaterial for disclosure.

Derivatives: The Company has entered into derivative financial instruments to manage interest rate risk. The valuation of these instruments is determined using widely accepted valuation techniques including discounted cash flow analysis on the expected cash flows of the derivatives. This analysis reflects the contractual terms of the derivative, including the period to maturity, and uses observable market-based inputs, including interest rate curves and implied volatilities. The fair value of the derivatives is determined using the market standard methodology of netting the discounted future fixed cash receipts and the discounted expected variable cash payments. The variable cash payments are based on an expectation of future interest rates (forward curves derived from observable market interest rate curves).

The Company incorporates credit valuation adjustments to appropriately reflect both its own nonperformance risk and the respective counterparty’s nonperformance risk in the fair value measurements. In adjusting the fair value of its derivative contracts for the effect of nonperformance risk, the Company has considered the impact of netting any applicable credit enhancements such as collateral postings, thresholds, mutual puts and guarantees.

Although the Company has determined that the majority of the inputs used to value its derivatives fall within Level 2 of the fair value hierarchy, the credit valuation adjustments associated with its derivatives utilize Level 3 inputs, such as estimates of current credit spreads to evaluate the likelihood of default by itself or the counterparty. However, as of September 30, 2016, December 31, 2015 and September 30, 2015, the Company has assessed the significance of the impact of the credit valuation adjustments on the overall valuation of its derivative positions and has determined that the credit valuation adjustment is not significant to the overall valuation of its derivatives. As a result, the Company has determined that its derivative valuation in its entirety is classified in Level 2 of the fair value hierarchy.

The following table presents the fair value measurements of assets and liabilities measured at fair value on a recurring basis and the level within the fair value hierarchy in which the fair value measurements fall as of September 30, 2016, December 31, 2015 and September 30, 2015 (dollars in thousands):

	Fair Value Measurements on a Recurring Basis As of September 30, 2016
	Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
U.S. government agencies	$	1,028	$	-	$	1,028	$	-
State, county and municipal securities		155,994		-		155,994		-
Corporate debt securities		29,098		-		27,598		1,500
Mortgage-backed securities		652,004		-		652,004		-
Mortgage loans held for sale		126,263		-		126,263		-
Mortgage banking derivative instruments		5,083		-		5,083		-
Total recurring assets at fair value	$	969,470	$	-	$	967,970	$	1,500
Derivative financial instruments	$	2,964		-	$	2,964		-
Mortgage banking derivative instruments	$	840		-		840		-
Total recurring liabilities at fair value	$	3,804	$	-	$	3,804	$	-

	Fair Value Measurements on a Recurring Basis As of December 31, 2015
	Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
U.S. government agencies	$	14,890	$	-	$	14,890	$	-
State, county and municipal securities		161,316		-		161,316		-
Corporate debt securities		6,017		-		3,019		2,998
Mortgage-backed securities		600,962		-		600,962		-
Mortgage loans held for sale		111,182		-		111,182		-
Mortgage banking derivative instruments		2,687		-		2,687		-
Total recurring assets at fair value	$	897,054	$	-	$	894,056	$	2,998
Derivative financial instruments	$	1,439	$	-	$	1,439	$	-
Mortgage banking derivative instruments		137		-		137		-
Total recurring liabilities at fair value	$	1,576	$	-	$	1,576	$	-

	Fair Value Measurements on a Recurring Basis As of September 30, 2015
	Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
U.S. government agencies	$	14,968	$	-	$	14,968	$	-
State, county and municipal securities		164,865		-		164,865		-
Corporate debt securities		6,032		-		3,532		2,500
Mortgage-backed securities		625,520		-		625,520		-
Mortgage loans held for sale		111,807		-		111,807		-
Mortgage banking derivative instruments		3,025		-		3,025		-
Total recurring assets at fair value	$	926,217	$	-	$	923,717	$	2,500
Derivative financial instruments	$	2,028	$	-	$	2,028	$	-
Total recurring liabilities at fair value	$	2,028	$	-	$	2,028	$	-

The following table presents the fair value measurements of assets measured at fair value on a non-recurring basis, as well as the general classification of such instruments pursuant to the valuation hierarchy as of September 30, 2016, December 31, 2015 and September 30, 2015 (dollars in thousands):

	Fair Value Measurements on a Nonrecurring Basis As of September 30, 2016
	Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Impaired loans carried at fair value	$	26,210	$	-	$	-	$	26,210
Other real estate owned		425		-		-		425
Purchased, non-covered other real estate owned		14,126		-		-		14,126
Covered other real estate owned		1,000		-		-		1,000
Total nonrecurring assets at fair value	$	41,761	$	-	$	-	$	41,761

	Fair Value Measurements on a Nonrecurring Basis As of December 31, 2015
	Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Impaired loans carried at fair value	$	27,069	$	-	$	-	$	27,069
Other real estate owned		10,456		-		-		10,456
Purchased, non-covered other real estate owned		14,333		-		-		14,333
Covered other real estate owned		5,011		-		-		5,011
Total nonrecurring assets at fair value	$	56,869	$	-	$	-	$	56,869

	Fair Value Measurements on a Nonrecurring Basis As of September 30, 2015
	Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Impaired loans carried at fair value	$	27,859	$	-	$	-	$	27,859
Other real estate owned		5,737		-		-		5,737
Purchased, non-covered other real estate owned		11,538		-		-		11,538
Covered other real estate owned		12,203		-		-		12,203
Total nonrecurring assets at fair value	$	57,337	$	-	$	-	$	57,337

The inputs used to determine estimated fair value of impaired loans and covered loans include market conditions, loan terms, underlying collateral characteristics and discount rates. The inputs used to determine fair value of other real estate owned and covered other real estate owned include market conditions, estimated marketing period or holding period, underlying collateral characteristics and discount rates.

For the nine months ended September 30, 2016, the year ended December 31, 2015 and the nine months ended September 30, 2015, there was not a change in the methods and significant assumptions used to estimate fair value.

The following table shows significant unobservable inputs used in the fair value measurement of Level 3 assets and liabilities (dollars in thousands):

	Fair Value		Valuation Technique	Unobservable Inputs	Range of Discounts		Weighted  Average Discount
As of September 30, 2016
Nonrecurring:
Impaired loans	$	26,210	Third-party appraisals and discounted cash flows	Collateral discounts and discount rates	15% - 100	%	27	%
Other real estate owned	$	425	Third-party appraisals, sales contracts, broker price opinions	Collateral discounts and estimated costs to sell	10% - 90	%	12	%
Purchased non-covered other real estate owned	$	14,126	Third-party appraisals	Collateral discounts and estimated costs to sell	10% - 75	%	15	%
Covered other real estate owned	$	1,000	Third-party appraisals	Collateral discounts and estimated costs to sell	15% - 56	%	16	%
Recurring:
Investment securities available for sale	$	1,500	Discounted par values	Credit quality of underlying issuer	0	%	0	%
As of December 31, 2015
Nonrecurring:
Impaired loans	$	27,069	Third-party appraisals and discounted cash flows	Collateral discounts and discount rates	0% - 100	%	29	%
Other real estate owned	$	10,456	Third-party appraisals, sales contracts, broker price opinions	Collateral discounts and estimated costs to sell	10% - 90	%	13	%
Purchased non-covered other real estate owned	$	14,333	Third-party appraisals	Collateral discounts and estimated costs to sell	10% - 69	%	19	%
Covered other real estate owned	$	5,011	Third-party appraisals	Collateral discounts and estimated costs to sell	0% - 74	%	12	%
Recurring:
Investment securities available for sale	$	2,998	Discounted par values	Credit quality of underlying issuer	0	%	0	%
As of September 30, 2015
Nonrecurring:
Impaired loans	$	27,859	Third-party appraisals and discounted cash flows	Collateral discounts and discount rates	0% - 50	%	25	%
Other real estate owned	$	5,737	Third-party appraisals, sales contracts, broker price opinions	Collateral discounts and estimated costs to sell	0% - 43	%	14	%
Purchased non-covered other real estate owned	$	11,538	Third-party appraisals	Collateral discounts and estimated costs to sell	0% -75	%	20	%
Covered other real estate owned	$	12,203	Third-party appraisals	Collateral discounts and estimated costs to sell	0% - 73	%	12	%
Recurring:
Investment securities available for sale	$	2,500	Discounted par values	Credit quality of underlying issuer	0	%	0	%

The carrying amount and estimated fair value of the Company’s financial instruments, not shown elsewhere in these financial statements, were as follows:

			Fair Value Measurements at September 30, 2016 Using:
	Carrying Amount		Level 1		Level 2		Level 3		Total
	(Dollars in Thousands)
Financial assets:
Cash and due from banks	$	123,270	$	123,270	$	-	$	-	$	123,270
Federal funds sold and interest-bearing accounts		90,801		90,801		-		-		90,801
Loans, net		4,922,395		-		-		4,918,360		4,918,360
Accrued interest receivable		21,775		21,775		-		-		21,775
Financial liabilities:
Deposits	$	5,306,098	$	-	$	5,305,463	$	-	$	5,305,463
Securities sold under agreements to repurchase		42,647		42,647		-		-		42,647
FDIC loss-share payable		7,775		-		-		10,141		10,141
Other borrowings		373,461		-		373,461		-		373,461
Accrued interest payable		1,282		1,282		-		-		1,282
Subordinated deferrable interest debentures		83,898		-		66,252		-		66,252

			Fair Value Measurements at December 31, 2015 Using:
	Carrying Amount		Level 1		Level 2		Level 3		Total
	(Dollars in Thousands)
Financial assets:
Cash and due from banks	$	118,518	$	118,518	$	-	$	-	$	118,518
Federal funds sold and interest-bearing accounts		272,045		272,045		-		-		272,045
Loans, net		3,971,974		-		-		3,982,606		3,982,606
FDIC loss-share receivable		6,301		-		-		(944)		(944)
Accrued interest receivable		21,274		21,274		-		-		21,274
Financial liabilities:
Deposits	$	4,879,290	$	-	$	4,880,294	$	-	$	4,880,294
Securities sold under agreements to repurchase		63,585		63,585		-		-		63,585
Other borrowings		39,000		-		39,000		-		39,000
Accrued interest payable		1,054		1,054		-		-		1,054
Subordinated deferrable interest debentures		69,874		-		52,785		-		52,785

			Fair Value Measurements at September 30, 2015 Using:
	Carrying Amount		Level 1		Level 2		Level 3		Total
	(Dollars in Thousands)
Financial assets:
Cash and due from banks	$	114,396	$	114,396	$	-	$	-	$	114,396
Federal funds sold and interest-bearing accounts		120,925		120,925		-		-		120,925
Loans, net		3,720,713		-		-		3,711,522		3,711,522
FDIC loss-share receivable		4,506		-		-		(4,042)		(4,042)
Accrued interest receivable		20,062		20,062		-		-		20,062
Financial liabilities:
Deposits	$	4,530,523	$	-	$	4,531,851	$	-	$	4,531,851
Securities sold under agreements to repurchase		51,506		51,506		-		-		51,506
Other borrowings		39,000		-		39,000		-		39,000
Accrued interest payable		1,149		1,149		-		-		1,149
Subordinated deferrable interest debentures		69,600		-		51,617		-		51,617

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SEGMENT REPORTING

9 Months Ended

Sep. 30, 2016

Segment Reporting [Abstract]

SEGMENT REPORTING

NOTE 13 – SEGMENT REPORTING

The following tables present selected financial information with respect to the Company’s reportable business segments for the three months ended September 30, 2016 and 2015:

	Three Months Ended September 30, 2016
	Banking Division		Retail Mortgage Division		Warehouse Lending Division		SBA Division		Total
	(Dollars in Thousands)
Interest income	$	55,369	$	3,679	$	2,073	$	1,089	$	62,210
Interest expense		4,995		-		-		148		5,143
Net interest income		50,374		3,679		2,073		941		57,067
Provision for loan losses		57		447		94		213		811
Noninterest income		13,949		13,198		555		1,162		28,864
Noninterest expense
Salaries and employee benefits		18,323		8,940		103		616		27,982
Equipment and occupancy expenses		5,490		433		1		65		5,989
Data processing and telecommunications expenses		5,794		364		26		1		6,185
Other expenses		11,533		1,303		26		181		13,043
Total noninterest expense		41,140		11,040		156		863		53,199
Income before income tax expense		23,126		5,390		2,378		1,027		31,921
Income tax expense		7,286		1,887		832		359		10,364
Net income	$	15,840	$	3,503	$	1,546	$	668	$	21,557
Total assets	$	5,841,207	$	356,755	$	203,334	$	92,199	$	6,493,495
Other intangible assets, net ,	$	18,472	$	-	$	-	$	-	$	18,472
Goodwill	$	122,545	$	-	$	-	$	-	$	122,545

	Three Months Ended September 30, 2015
	Banking Division		Retail Mortgage Division		Warehouse Lending Division		SBA Division		Total
	(Dollars in Thousands)
Interest income	$	46,734	$	2,485	$	1,128	$	848	$	51,195
Interest expense		3,690		-		-		106		3,796
Net interest income	$	43,044	$	2,485	$	1,128	$	742	$	47,399
Provision for loan losses		960		26		-		-		986
Noninterest income		13,470		9,827		372		1,309		24,978
Noninterest expense
Salaries and employee benefits		17,921		6,138		137		738		24,934
Equipment and occupancy expenses		5,444		397		1		73		5,915
Data processing and telecommunications expenses		4,998		308		22		1		5,329
Other expenses		11,379		662		40		137		12,218
Total noninterest expense		39,742		7,505		200		949		48,396
Income before income tax expense		15,812		4,781		1,300		1,102		22,995
Income tax expense		4,854		1,673		455		386		7,368
Net income	$	10,958	$	3,108	$	845	$	716	$	15,627
Total assets	$	4,805,387	$	216,640	$	92,398	$	101,875	$	5,216,300
Other intangible assets, net	$	18,218	$	-	$	-	$	-	$	18,218
Goodwill	$	87,701	$	-	$	-	$	-	$	87,701

The following tables present selected financial information with respect to the Company’s reportable business segments for the nine months ended September 30, 2016 and 2015:

	Nine Months Ended September 30, 2016
	Banking Division		Retail Mortgage Division		Warehouse Lending Division		SBA Division		Total
	(Dollars in Thousands)
Interest income	$	158,682	$	9,992	$	4,714	$	2,721	$	176,109
Interest expense		13,567		-		-		450		14,017
Net interest income		145,115		9,992		4,714		2,271		162,092
Provision for loan losses		1,471		540		94		276		2,381
Noninterest income		39,702		36,126		1,328		4,373		81,529
Noninterest expense
Salaries and employee benefits		55,740		23,591		399		1,970		81,700
Equipment and occupancy expenses		16,541		1,326		3		190		18,060
Data processing and telecommunications expenses		17,299		974		71		3		18,347
Other expenses		39,040		3,392		77		542		43,051
Total noninterest expense		128,620		29,283		550		2,705		161,158
Income before income tax expense		54,726		16,295		5,398		3,663		80,082
Income tax expense		17,285		5,703		1,889		1,282		26,159
Net income	$	37,441	$	10,592	$	3,509	$	2,381	$	53,923

	Nine Months Ended September 30, 2015
	Banking Division		Retail Mortgage Division		Warehouse Lending Division		SBA  Division		Total
	(Dollars in Thousands)
Interest income	$	126,283	$	6,009	$	3,142	$	2,358	$	137,792
Interest expense		10,594		-		-		279		10,873
Net interest income	$	115,689	$	6,009	$	3,142	$	2,079	$	126,919
Provision for loan losses		4,343		368		-		-		4,711
Noninterest income		31,512		26,532		1,028		4,107		63,179
Noninterest expense
Salaries and employee benefits		48,958		16,257		363		2,453		68,031
Equipment and occupancy expenses		13,964		1,173		4		137		15,278
Data processing and telecommunications expenses		12,922		799		75		7		13,803
Other expenses		45,783		2,744		95		353		48,975
Total noninterest expense		121,627		20,973		537		2,950		146,087
Income before income tax expense		21,231		11,200		3,633		3,236		39,300
Income tax expense		6,277		3,920		1,272		1,133		12,601
Net income		14,954		7,280		2,361		2,103		26,699

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BUSINESS COMBINATIONS (Tables)

9 Months Ended

Sep. 30, 2016

Pro Forma Information of Acquisitions

The following unaudited pro forma information reflects the Company’s estimated consolidated results of operations as if the acquisitions had occurred on January 1, 2015, unadjusted for potential cost savings (in thousands).

	Three Months Ended September 30,				Nine Months Ended September 30,
	2016		2015		2016		2015
Net interest income and noninterest income	$	85,931	$	77,325	$	247,697	$	210,556
Net income	$	21,557	$	17,076	$	54,658	$	32,621
Net income available to common stockholders	$	21,557	$	17,076	$	54,658	$	32,621
Income per common share available to common stockholders – basic	$	0.62	$	0.49	$	1.57	$	0.95
Income per common share available to common stockholders – diluted	$	0.61	$	0.49	$	1.56	$	0.95
Average number of shares outstanding, basic		34,870		34,744		34,817		34,163
Average number of shares outstanding, diluted		35,195		35,102		35,131		34,511

Rollforward of Acquired Non-Covered Loans

A rollforward of purchased non-covered loans for the nine months ended September 30, 2016, the year ended December 31, 2015 and the nine months ended September 30, 2015 is shown below:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Balance, January 1	$	771,554	$	674,239	$	674,239
Charge-offs, net of recoveries		(904)		(991)		(814)
Additions due to acquisitions		402,942		195,818		195,818
Accretion		10,071		10,590		8,055
Transfers to purchased non-covered other real estate owned		(3,871)		(4,473)		(2,565)
Transfer from covered loans due to loss-share expiration		45,908		50,568		15,462
Payments received		(158,700)		(154,666)		(123,311)
Other		90		469		610
Ending balance	$	1,067,090	$	771,554	$	767,494

Schedule of Changes in Accretable Discounts Related Acquired Loans

The following is a summary of changes in the accretable discounts of purchased non-covered loans during the nine months ended September 30, 2016, the year ended December 31, 2015 and the nine months ended September 30, 2015:

(Dollars in Thousands)	September  30,2016		December 31, 2015		September 30, 2015
Balance, January 1	$	24,785	$	25,716	$	25,716
Additions due to acquisitions		9,991		5,788		4,686
Accretion		(10,071)		(10,590)		(8,055)
Transfer from covered loans due to loss-share expiration		3,457		1,665		-
Accretable discounts removed due to charge-offs		(161)		(1,768)		(1,686)
Transfers between non-accretable and accretable discounts, net		2,263		3,974		(106)
Ending balance	$	30,264	$	24,785	$	20,555

Bank Of America [Member]

Estimated Fair Value of Assets Acquired and Liabilities Assumed

The following table presents the assets acquired and liabilities assumed as of June 12, 2015 and their fair value estimates.

(Dollars in Thousands)	As Recorded by Bank of America		Initial Fair Value Adjustments			Subsequent Fair Value Adjustments			As Recorded by Ameris
Assets
Cash and cash equivalents	$	630,220	$	-		$	-		$	630,220
Loans		4,363		-			(364	)(d)		3,999
Premises and equipment		10,348		1,060	(a)		(755	)(e)		10,653
Intangible assets		-		7,651	(b)		985	(f)		8,636
Other assets		126		-			-			126
Total assets	$	645,057	$	8,711		$	(134	)	$	653,634
Deposits:
Noninterest-bearing	$	149,854	$	-		$	-		$	149,854
Interest-bearing		495,110		(215	)(c)		-			494,895
Total deposits		644,964		(215	)		-			644,749
Other liabilities		93		-			-			93
Total liabilities		645,057		(215	)		-			644,842
Net identifiable assets acquired over (under) liabilities assumed		-		8,926			(134	)		8,792
Goodwill		-		11,076			134			11,210
Net assets acquired over (under) liabilities assumed	$	-	$	20,002		$	-		$	20,002
Consideration:
Cash paid as deposit premium	$	20,002
Fair value of total consideration transferred	$	20,002

Explanation of fair value adjustments

(a) Adjustment reflects the fair value adjustments of the premises and equipment as of the acquisition date.

(b) Adjustment reflects the recording of core deposit intangible on the acquired core deposit accounts.

(c) Adjustment reflects the fair value adjustments based on the Company’s evaluation of the acquired deposits.

(d) Adjustment reflects the fair value adjustments based on the Company’s evaluation of the acquired loan portfolio.

(e) Adjustment reflects additional recording of fair value adjustment of the premises and equipment.

(f) Adjustment reflects additional recording of core deposit intangible on the acquired core deposit accounts.

Merchants and Southern Banks of Florida [Member]

Estimated Fair Value of Assets Acquired and Liabilities Assumed

The following table presents the assets acquired and liabilities of Merchants assumed as of May 22, 2015 and their fair value estimates.

(Dollars in Thousands)	As Recorded by Merchants		Initial Fair Value Adjustments			Subsequent Fair Value Adjustments			As Recorded by Ameris
Assets
Cash and cash equivalents	$	7,527	$	-		$	-		$	7,527
Federal funds sold and interest-bearing balances		106,188		-			-			106,188
Investment securities		164,421		(553)	(a)		(639)	(j)		163,229
Other investments		872		-			(253)	(k)		619
Loans		199,955		(8,500)	(b)		91	(l)		191,546
Less allowance for loan losses		(3,354)		3,354	(c)		-			-
Loans, net		196,601		(5,146)			91			191,546
Other real estate owned		4,082		(1,115)	(d)		-			2,967
Premises and equipment		14,614		(3,680)	(e)		-			10,934
Intangible assets		-		4,577	(f)		(634)	(m)		3,943
Other assets		2,333		2,335	(g)		(1,109)	(n)		3,559
Total assets	$	496,638	$	(3,582)		$	(2,544)		$	490,512
Liabilities
Deposits:
Noninterest-bearing	$	121,708	$	-		$	-		$	121,708
Interest-bearing		286,112		-			41,588	(o)		327,700
Total deposits		407,820		-			41,588			449,408
Federal funds purchased and securities sold under agreements to repurchase		41,588		-			(41,588)	(o)		-
Other liabilities		2,151		81	(h)		-			2,232
Subordinated deferrable interest debentures		6,186		(2,680)	(i)		-			3,506
Total liabilities		457,745		(2,599)			-			455,146
Net identifiable assets acquired over (under) liabilities assumed		38,893		(983)			(2,544)			35,366
Goodwill		-		12,090			2,544			14,634
Net assets acquired over (under) liabilities assumed	$	38,893	$	11,107		$	-		$	50,000
Consideration:
Cash exchanged for shares	$	50,000
Fair value of total consideration transferred	$	50,000

Explanation of fair value adjustments

(a) Adjustment reflects the fair value adjustments of the portfolio of securities available for sale as of the acquisition date.

(b) Adjustment reflects the fair value adjustments based on the Company’s evaluation of the acquired loan portfolio.

(c) Adjustment reflects the elimination of Merchants’ allowance for loan losses.

(d) Adjustment reflects the fair value adjustment based on the Company’s evaluation of the acquired OREO portfolio.

(e) Adjustment reflects the fair value adjustment based on the Company’s evaluation of the acquired premises.

(f) Adjustment reflects the recording of core deposit intangible on the acquired core deposit accounts.

(g) Adjustment reflects the deferred taxes on the difference in the carrying values of acquired assets and assumed liabilities for financial reporting purposes and their basis for federal income tax purposes.

(h) Adjustment reflects the fair value adjustments based on the Company’s evaluation of interest rate swap liabilities.

(i) Adjustment reflects the fair value adjustment to the subordinated deferrable interest debentures at the acquisition date.

(j) Adjustment reflects the additional fair value adjustments of the portfolio of securities available for sale as of the acquisition date.

(k) Adjustment reflects the fair value adjustments of other investments as of the acquisition date.

(l) Adjustment reflects additional recording of fair value adjustment of the acquired loan portfolio.

(m) Adjustment reflects adjustment to the core deposit intangible on the acquired core deposit accounts.

(n) Adjustment reflects the additional deferred taxes on the difference in the carrying values of acquired assets and assumed liabilities for financial reporting purposes and their basis for federal income tax purposes.

(o) Subsequent to acquisition, the acquired securities sold under agreements to repurchase were converted to deposit accounts and are no longer reported as securities sold under agreements to repurchase on the Consolidated Balance Sheet as of December 31, 2015.

Summary of Contractually Required Principal and Interest Cash Payment of the Loans As of Acquisition Date for Purchased Credit Impaired Loans

The table below summarizes the total contractually required principal and interest cash payments, management’s estimate of expected total cash payments and fair value of the loans as of acquisition date for purchased credit impaired loans. Contractually required principal and interest payments have been adjusted for estimated prepayments.

(Dollars in Thousands)
Contractually required principal and interest	$	17,201
Non-accretable difference		(2,712)
Cash flows expected to be collected		14,489
Accretable yield		(3,254)
Total purchased credit-impaired loans acquired	$	11,235

Schedule of Acquired Loans

The following table presents the acquired loan data for the Merchants acquisition.

	Fair Value of Acquired Loans at Acquisition Date		Gross Contractual Amounts Receivable at Acquisition Date		Best Estimate at Acquisition Date of Contractual Cash Flows Not Expected to be Collected
	(Dollars in Thousands)
Acquired receivables subject to ASC 310-30	$	11,235	$	14,086	$	2,712
Acquired receivables not subject to ASC 310-30	$	180,311	$	184,906	$	-

Jacksonville Bancorp, Inc [Member]

Estimated Fair Value of Assets Acquired and Liabilities Assumed

The following table presents the assets acquired and liabilities of JAXB assumed as of March 11, 2016 and their initial fair value estimates. The fair value adjustments shown in the following table continue to be evaluated by management and may be subject to further adjustment:

	As Recorded by		Initial Fair Value			Subsequent Fair Value			As Recorded
(Dollars in Thousands)	JAXB		Adjustments			Adjustments			by Ameris
Assets
Cash and cash equivalents	$	9,704	$	-		$	-		$	9,704
Federal funds sold and interest-bearing balances		7,027		-			-			7,027
Investment securities		60,836		(942	)(a)		-			59,894
Other investments		2,458		-			-			2,458
Loans		416,831		(15,746	)(b)		1,857	(j)		402,942
Less allowance for loan losses		(12,613)		12,613	(c)		-			-
Loans, net		404,218		(3,133)			1,857			402,942
Other real estate owned		2,873		(1,035	)(d)		-			1,838
Premises and equipment		4,798		-			(31	)(k)		4,767
Intangible assets		288		5,566	(e)		(1,108	)(l)		4,746
Other assets		14,141		23,266	(f)		(1,841	)(m)		35,566
Total assets	$	506,343	$	23,722		$	(1,123)		$	528,942
Liabilities
Deposits:
Noninterest-bearing	$	123,399	$	-		$	-		$	123,399
Interest-bearing		277,539		421	(g)		-			277,960
Total deposits		400,938		421			-			401,359
Other borrowings		48,350		84	(h)		-			48,434
Other liabilities		2,354		-			-			2,354
Subordinated deferrable interest debentures		16,294		(3,393	)(i)		-			12,901
Total liabilities		467,936		(2,888)			-			465,048
Net identifiable assets acquired over (under) liabilities assumed		38,407		26,610			(1,123)			63,894
Goodwill		-		31,375			1,123			32,498
Net assets acquired over (under) liabilities assumed	$	38,407	$	57,985		$	-		$	96,392
Consideration:
Ameris Bancorp common shares issued		2,549,469
Purchase price per share of the Company's common stock	$	28.42
Company common stock issued	$	72,455
Cash exchanged for shares	$	23,937
Fair value of total consideration transferred	$	96,392

Explanation of fair value adjustments

(a) Adjustment reflects the fair value adjustments of the portfolio of securities available for sale as of the acquisition date.

(b) Adjustment reflects the fair value adjustments based on the Company’s evaluation of the acquired loan portfolio, net of the reversal of JAXB remaining fair value adjustments from their prior acquisitions.

(c) Adjustment reflects the elimination of JAXB’s allowance for loan losses.

(d) Adjustment reflects the fair value adjustment based on the Company’s evaluation of the acquired OREO portfolio, which is based largely on contracted sale prices.

(e) Adjustment reflects the recording of core deposit intangible on the acquired core deposit accounts.

(f) Adjustment reflects the deferred taxes on the difference in the carrying values of acquired assets and assumed liabilities for financial reporting purposes and their basis for federal income tax purposes and the reversal of JAXB valuation allowance established on their deferred tax assets.

(g) Adjustment reflects the fair value adjustments based on the Company’s evaluation of the acquired deposits.

(h) Adjustment reflects the fair value adjustments based on the Company’s evaluation of the liability for other borrowings.

(i) Adjustment reflects the fair value adjustment to the subordinated deferrable interest debentures at the acquisition date, net of the reversal of JAXB remaining fair value adjustments from their prior acquisitions.

(j) Adjustment reflects additional recording of fair value adjustment of the acquired loan portfolio.

(k) Adjustment reflects additional recording of fair value adjustment of the premises and equipment.

(l) Adjustment reflects adjustment to the core deposit intangible on the acquired core deposit accounts.

(m) Adjustment reflects the additional deferred taxes on the difference in the carrying values of acquired assets and assumed liabilities for financial reporting purposes and their basis for federal income tax purposes.

Summary of Contractually Required Principal and Interest Cash Payment of the Loans As of Acquisition Date for Purchased Credit Impaired Loans

The table below summarizes the total contractually required principal and interest cash payments, management’s estimate of expected total cash payments and fair value of the loans as of acquisition date for purchased credit impaired loans. Contractually required principal and interest payments have been adjusted for estimated prepayments.

(Dollars in Thousands)
Contractually required principal and interest	$	42,314
Non-accretable difference		(7,877)
Cash flows expected to be collected		34,437
Accretable yield		(6,182)
Total purchased credit-impaired loans acquired	$	28,255

Schedule of Acquired Loans

The following table presents the acquired loan data for the JAXB acquisition.

					Best Estimate
			Gross		at Acquisition
			Contractual		Date of
			Amounts		Contractual
	Fair Value of		Receivable at		Cash Flows
	Acquired Loans at		Acquisition		Not Expected
	Acquisition Date		Date		to be Collected
	(Dollars in Thousands)
Acquired receivables subject to ASC 310-30	$	28,255	$	42,314	$	7,877
Acquired receivables not subject to ASC 310-30	$	374,687	$	488,346	$	-

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INVESTMENT SECURITIES (Tables)

9 Months Ended

Sep. 30, 2016

Investments, Debt and Equity Securities [Abstract]

Amortized Cost and Estimated Fair Value of Investment Securities Available for Sale

The amortized cost and estimated fair value of investment securities available for sale at September 30, 2016, December 31, 2015 and September 30, 2015 are presented below:

	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
	(Dollars in Thousands)
September 30, 2016:
U.S. government agencies	$	999	$	29	$	(0)	$	1,028
State, county and municipal securities		150,083		5,939		(28)		155,994
Corporate debt securities		28,924		194		(20)		29,098
Mortgage-backed securities		641,404		10,917		(317)		652,004
Total debt securities	$	821,410	$	17,079	$	(365)	$	838,124
December 31, 2015:
U.S. government agencies	$	14,959	$	-	$	(69)	$	14,890
State, county and municipal securities		157,681		4,046		(411)		161,316
Corporate debt securities		5,900		145		(28)		6,017
Mortgage-backed securities		599,721		3,945		(2,704)		600,962
Total debt securities	$	778,261	$	8,136	$	(3,212)	$	783,185
September 30, 2015:
U.S. government agencies	$	14,957	$	26	$	(15)	$	14,968
State, county and municipal securities		161,509		3,875		(519)		164,865
Corporate debt securities		5,901		150		(19)		6,032
Mortgage-backed securities		622,313		5,208		(2,001)		625,520
Total debt securities	$	804,680	$	9,259	$	(2,554)	$	811,385

Amortized Cost and Fair Value of Available for Sale Securities by Contractual Maturity

The amortized cost and fair value of available-for-sale securities at September 30, 2016 by contractual maturity are summarized in the table below. Expected maturities for mortgage-backed securities may differ from contractual maturities because in certain cases borrowers can prepay obligations without prepayment penalties. Therefore, these securities are not included in the following maturity summary.

	Amortized Cost		Fair Value
	(Dollars in Thousands)
Due in one year or less	$	5,260	$	5,312
Due from one year to five years		63,450		65,135
Due from five to ten years		56,521		59,169
Due after ten years		54,775		56,504
Mortgage-backed securities		641,404		652,004
	$	821,410	$	838,124

Schedule of Gross Unrealized Losses and Fair Value of Securities

The following table details the gross unrealized losses and fair value of securities aggregated by category and duration of continuous unrealized loss position at September 30, 2016, December 31, 2015 and September 30, 2015.

	Less Than 12 Months				12 Months or More				Total
Description of Securities	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
	(Dollars in Thousands)
September 30, 2016:
U.S. government agencies	$	-	$	-	$	-	$	-	$	-	$	-
State, county and municipal securities		4,398		(17)		1,634		(11)		6,032		(28)
Corporate debt securities		3,012		(5)		487		(15)		3,499		(20)
Mortgage-backed securities		66,920		(195)		12,519		(122)		79,439		(317)
Total debt securities	$	74,330	$	(217)	$	14,640	$	(148)	$	88,970	$	(365)
December 31, 2015:
U.S. government agencies	$	9,932	$	(27)	$	4,958	$	(42)	$	14,890	$	(69)
State, county and municipal securities		19,293		(199)		11,557		(212)		30,850		(411)
Corporate debt securities		1,383		(28)		-		-		1,383		(28)
Mortgage-backed securities		263,281		(1,950)		29,950		(754)		293,231		(2,704)
Total debt securities	$	293,889	$	(2,204)	$	46,465	$	(1,008)	$	340,354	$	(3,212)
September 30, 2015:
U.S. government agencies	$	-	$	-	$	4,985	$	(15)	$	4,985	$	(15)
State, county and municipal securities		28,339		(297)		10,451		(222)		38,790		(519)
Corporate debt securities		894		(19)		-		-		894		(19)
Mortgage-backed securities		213,439		(1,184)		30,708		(817)		244,147		(2,001)
Total debt securities	$	242,672	$	(1,500)	$	46,144	$	(1,054)	$	288,816	$	(2,554)

Gross Realized Gains And Losses On Sales Of Available For Sale Securities

The following table is a summary of sales activities in the Company’s investment securities available for sale for the nine months ended September 30, 2016, year ended December 31, 2015 and nine months ended September 30, 2015:

	September 30, 2016		December 31, 2015		September 30, 2015
	(Dollars in Thousands)
Gross gains on sales of securities	$	312	$	396	$	396
Gross losses on sales of securities		(218)		(259)		(259)
Net realized gains on sales of securities available for sale	$	94	$	137	$	137
Sales proceeds	$	53,026	$	72,528	$	69,208

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LOANS (Tables)

9 Months Ended

Sep. 30, 2016

Schedule of Accounts Notes Loans and Financial Receivables

Balances within the major loans receivable categories are presented in the following table, excluding purchased non-covered and covered loans:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Commercial, financial and agricultural	$	625,947	$	449,623	$	427,747
Real estate – construction and development		328,308		244,693		220,798
Real estate – commercial and farmland		1,297,582		1,104,991		1,067,828
Real estate – residential		766,933		570,430		532,285
Consumer installment		68,305		31,125		31,299
Other		3,964		6,015		10,692
	$	3,091,039	$	2,406,877	$	2,290,649

Summary of Covered Loans According to Loan Type

Covered loans are shown below according to loan type as of the end of the periods shown:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Commercial, financial and agricultural	$	830	$	5,546	$	13,349
Real estate – construction and development		3,220		7,612		14,266
Real estate – commercial and farmland		13,688		71,226		103,399
Real estate – residential		44,457		53,038		59,835
Consumer installment		96		107		172
	$	62,291	$	137,529	$	191,021

Schedule of Allowances for Loan Losses by Portfolio Segment

The following table details activity in the allowance for loan losses by portfolio segment for the nine months ended September 30, 2016, the year ended December 31, 2015 and the nine months ended September 30, 2015. Allocation of a portion of the allowance to one category of loans does not preclude its availability to absorb losses in other categories.

	Commercial, financial & agricultural		Real estate –  construction & development		Real estate – commercial & farmland		Real estate - residential		Consumer installment loans and Other		Purchased non-covered loans, including pools		Covered loans		Total
	(Dollars in Thousands)
Three months ended September 30, 2016:
Balance, June 30, 2016	$	1,667	$	3,599	$	7,459	$	4,263	$	2,160	$	2,056	$	530	$	21,734
Provision for loan losses		677		(521)		(554)		2,649		(1,595)		1,247		(1,092)		811
Loans charged off		(326)		(60)		-		(292)		(74)		(408)		(291)		(1,451)
Recoveries of loans previously charged off		119		131		13		40		78		399		1,089		1,869
Balance, September 30, 2016	$	2,137	$	3,149	$	6,918	$	6,660	$	569	$	3,294	$	236	$	22,963
Nine months ended September 30, 2016:
Balance, January 1, 2016	$	1,144	$	5,009	$	7,994	$	4,760	$	1,574	$	581	$	-	$	21,062
Provision for loan losses		1,987		(2,010)		(559)		2,415		(932)		2,274		(794)		2,381
Loans charged off		(1,273)		(324)		(708)		(883)		(192)		(826)		(435)		(4,641)
Recoveries of loans previously charged off		279		474		191		368		119		1,265		1,465		4,161
Balance, September 30, 2016	$	2,137	$	3,149	$	6,918	$	6,660	$	569	$	3,294	$	236	$	22,963
Period-end amount allocated to:
Loans individually evaluated for impairment (1)	$	107	$	529	$	883	$	2,629	$	-	$	1,286	$	236	$	5,670
Loans collectively evaluated for impairment		2,030		2,620		6,035		4,031		569		2,008		-		17,293
Ending balance	$	2,137	$	3,149	$	6,918	$	6,660	$	569	$	3,294	$	236	$	22,963
Loans:
Individually evaluated for impairment (1)	$	424	$	1,154	$	11,699	$	11,571	$	-	$	22,173	$	12,818	$	59,839
Collectively evaluated for impairment		625,523		327,154		1,285,883		755,362		72,269		1,536,176		27,953		4,630,320
Acquired with deteriorated credit quality		-		-		-		-		-		133,627		21,520		155,147
Ending balance	$	625,947	$	328,308	$	1,297,582	$	766,933	$	72,269	$	1,691,976	$	62,291	$	4,845,306

(1) At September 30, 2016, loans individually evaluated for impairment includes all nonaccrual loans greater than $100,000 and all troubled debt restructurings greater than $100,000, including all troubled debt restructurings and not only those currently classified as troubled debt restructurings.

	Commercial, financial & agricultural		Real estate – construction & development		Real estate – commercial & farmland		Real estate - residential		Consumer installment loans and Other		Purchased non-covered loans, including pools		Covered loans		Total
	(Dollars in Thousands)
Twelve months ended December 31, 2015:
Balance, January 1, 2015	$	2,004	$	5,030	$	8,823	$	4,129	$	1,171	$	-	$	-	$	21,157
Provision for loan losses		(73)		278		1,221		2,067		676		344		751		5,264
Loans charged off		(1,438)		(622)		(2,367)		(1,587)		(410)		(950)		(1,759)		(9,133)
Recoveries of loans previously charged off		651		323		317		151		137		1,187		1,008		3,774
Balance, December 31, 2015	$	1,144	$	5,009	$	7,994	$	4,760	$	1,574	$	581	$	-	$	21,062
Period-end amount allocated to:
Loans individually evaluated for impairment (1)	$	126	$	759	$	1,074	$	2,172	$	-	$	-	$	-	$	4,131
Loans collectively evaluated for impairment		1,018		4,250		6,920		2,588		1,574		581		-		16,931
Ending balance	$	1,144	$	5,009	$	7,994	$	4,760	$	1,574	$	581	$	-	$	21,062
Loans:
Individually evaluated for impairment (1)	$	323	$	1,958	$	11,877	$	9,554	$	-	$	22,672	$	22,317	$	68,701
Collectively evaluated for impairment		449,300		242,735		1,093,114		560,876		37,140		1,261,821		52,451		3,697,437
Acquired with deteriorated credit quality		-		-		-		-		-		80,024		62,761		142,785
Ending balance	$	449,623	$	244,693	$	1,104,991	$	570,430	$	37,140	$	1,364,517	$	137,529	$	3,908,923

(1) At December 31, 2015, loans individually evaluated for impairment includes all nonaccrual loans greater than $200,000 and all troubled debt restructurings greater than $100,000, including all troubled debt restructurings and not only those currently classified as troubled debt restructurings.

	Commercial, financial & agricultural		Real estate – construction & development		Real estate – commercial & farmland		Real estate - residential		Consumer installment loans and Other		Purchased non-covered loans, including pools		Covered loans		Total
	(Dollars in Thousands)
Three months ended September 30, 2015:
Balance, June 30, 2015	$	1,426	$	5,365	$	8,381	$	4,805	$	1,681	$	-	$	-	$	21,658
Provision for loan losses		110		643		43		1,238		(1,386)		531		(193)		986
Loans charged off		(135)		(105)		(184)		(234)		(61)		(302)		(246)		(1,267)
Recoveries of loans previously charged off		117		6		272		54		33		173		439		1,094
Balance, September 30, 2015	$	1,518	$	5,909	$	8,512	$	5,863	$	267	$	402	$	-	$	22,471
Nine months ended September 30, 2015:
Balance, January 1, 2015	$	2,004	$	5,030	$	8,823	$	4,129	$	1,171	$	-	$	-	$	21,157
Provision for loan losses		(66)		1,030		743		2,562		(721)		219		944		4,711
Loans charged off		(937)		(465)		(1,358)		(966)		(300)		(772)		(1,661)		(6,459)
Recoveries of loans previously charged off		517		314		304		138		117		955		717		3,062
Balance, September 30, 2015	$	1,518	$	5,909	$	8,512	$	5,863	$	267	$	402	$	-	$	22,471
Period-end amount allocated to:
Loans individually evaluated for impairment (1)	$	521	$	708	$	1,622	$	1,848	$	-	$	-	$	-	$	4,699
Loans collectively evaluated for impairment		997		5,201		6,890		4,015		267		402		-		17,772
Ending balance	$	1,518	$	5,909	$	8,512	$	5,863	$	267	$	402	$	-	$	22,471
Loans:
Individually evaluated for impairment (1)	$	1,286	$	1,820	$	13,306	$	8,415	$	-	$	-	$	-	$	24,827
Collectively evaluated for impairment		426,461		218,978		1,054,522		523,870		41,991		1,078,686		83,974		3,428,482
Acquired with deteriorated credit quality		-		-		-		-		-		98,880		107,047		205,927
Ending balance	$	427,747	$	220,798	$	1,067,828	$	532,285	$	41,991	$	1,177,566	$	191,021	$	3,659,236

(1) At September 30, 2015, loans individually evaluated for impairment includes all nonaccrual loans greater than $200,000 and all troubled debt restructurings greater than $100,000, including all troubled debt restructurings and not only those currently classified as troubled debt restructurings.

Summary of Financial Receivable Nonaccrual Basis

The following table presents an analysis of loans accounted for on a nonaccrual basis, excluding purchased non-covered and covered loans:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Commercial, financial and agricultural	$	1,313	$	1,302	$	1,995
Real estate – construction and development		1,255		1,812		1,753
Real estate – commercial and farmland		7,485		7,019		11,645
Real estate – residential		5,999		6,278		4,810
Consumer installment		518		449		355
	$	16,570	$	16,860	$	20,558

Summary of Credit Quality Indicate Financial Receivable

The following table presents the loan portfolio, excluding purchased non-covered and covered loans, by risk grade as of September 30, 2016:

Risk Grade	Commercial, financial & agricultural		Real estate - construction & development		Real estate - commercial & farmland		Real estate - residential		Consumer installment loans		Other		Total
	(Dollars in Thousands)
10	$	381,814	$	-	$	9,053	$	127	$	7,787	$	-	$	398,781
15		23,627		6,732		105,298		54,346		386		-		190,389
20		105,573		41,759		835,021		596,886		24,870		3,964		1,608,073
23		372		7,126		8,719		6,530		16		-		22,763
25		108,887		266,728		299,714		87,480		34,339		-		797,148
30		967		3,087		23,457		4,165		88		-		31,764
40		4,707		2,876		16,320		17,399		819		-		42,121
50		-		-		-		-		-		-		-
60		-		-		-		-		-		-		-
Total	$	625,947	$	328,308	$	1,297,582	$	766,933	$	68,305	$	3,964	$	3,091,039

The following table presents the loan portfolio, excluding purchased non-covered and covered loans, by risk grade as of December 31, 2015:

Risk Grade	Commercial, financial & agricultural		Real estate - construction & development		Real estate - commercial & farmland		Real estate - residential		Consumer installment loans		Other		Total
	(Dollars in Thousands)
10	$	241,721	$	294	$	116	$	1,606	$	6,872	$	-	$	250,609
15		28,420		2,074		117,880		78,165		1,191		-		227,730
20		97,142		46,221		685,538		369,624		19,780		6,015		1,224,320
23		559		7,827		13,073		6,112		36		-		27,607
25		77,829		183,512		254,012		91,465		2,595		-		609,413
30		1,492		1,620		13,821		7,347		143		-		24,423
40		2,460		3,145		20,551		16,111		506		-		42,773
50		-		-		-		-		-		-		-
60		-		-		-		-		2		-		2
Total	$	449,623	$	244,693	$	1,104,991	$	570,430	$	31,125	$	6,015	$	2,406,877

The following table presents the loan portfolio, excluding purchased non-covered and covered loans, by risk grade as of September 30, 2015:

Risk Grade	Commercial, financial & agricultural		Real estate - construction & development		Real estate - commercial & farmland		Real estate - residential		Consumer installment loans		Other		Total
	(Dollars in Thousands)
10	$	222,693	$	294	$	116	$	1,490	$	6,688	$	-	$	231,281
15		23,807		2,150		123,515		83,361		1,352		-		234,185
20		99,414		45,091		645,949		327,576		19,302		10,692		1,148,024
23		645		7,754		11,792		6,240		46		-		26,477
25		75,635		159,944		250,575		90,320		3,168		-		579,642
30		2,378		2,035		9,762		7,811		204		-		22,190
40		3,175		3,530		26,119		15,487		537		-		48,848
50		-		-		-		-		2		-		2
60		-		-		-		-		-		-		-
Total	$	427,747	$	220,798	$	1,067,828	$	532,285	$	31,299	$	10,692	$	2,290,649

Summary of Troubled Debt Restructuring by Loan Class, Classified Separately under Restructured Terms

The following table presents the amount of troubled debt restructurings by loan class, excluding purchased non-covered and covered loans, classified separately as accrual and nonaccrual at September 30, 2016, December 31, 2015 and September 30, 2015:

As of September 30, 2016	Accruing Loans			Non-Accruing Loans
		Balance			Balance
Loan class:	#	(in thousands)		#	(in thousands)
Commercial, financial & agricultural	4	$	53	14	$	112
Real estate – construction & development	8		691	2		35
Real estate – commercial & farmland	17		5,535	5		2,015
Real estate – residential	53		7,713	19		849
Consumer installment	7		21	29		120
Total	89	$	14,013	69	$	3,131

As of December 31, 2015	Accruing Loans			Non-Accruing Loans
		Balance			Balance
Loan class:	#	(in thousands)		#	(in thousands)
Commercial, financial & agricultural	4	$	240	10	$	110
Real estate – construction & development	11		792	3		63
Real estate – commercial & farmland	16		5,766	3		596
Real estate – residential	51		7,574	20		1,123
Consumer installment	12		46	23		94
Total	94	$	14,418	59	$	1,986

As of September 30, 2015	Accruing Loans			Non-Accruing Loans
		Balance			Balance
Loan class:	#	(in thousands)		#	(in thousands)
Commercial, financial & agricultural	4	$	238	8	$	68
Real estate – construction & development	12		838	2		30
Real estate – commercial & farmland	15		5,719	4		943
Real estate – residential	51		5,209	16		759
Consumer installment	15		71	18		64
Total	97	$	12,075	48	$	1,864

Purchased Non Covered Loans [Member]

Summary of Covered Loans According to Loan Type

Purchased non-covered loans are shown below according to major loan type as of the end of the periods shown:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Commercial, financial and agricultural	$	99,596	$	45,462	$	42,350
Real estate – construction and development		86,099		72,080		71,109
Real estate – commercial and farmland		590,388		390,755		385,032
Real estate – residential		286,169		258,153		263,312
Consumer installment		4,838		5,104		5,691
	$	1,067,090	$	771,554	$	767,494

Summary of Financial Receivable Nonaccrual Basis

The following table presents an analysis of purchased non-covered loans accounted for on a nonaccrual basis:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Commercial, financial and agricultural	$	744	$	1,064	$	214
Real estate – construction and development		2,403		1,106		916
Real estate – commercial and farmland		7,796		4,920		4,728
Real estate – residential		7,012		6,168		5,464
Consumer installment		38		72		52
	$	17,993	$	13,330	$	11,374

Summary of Past Due Financial Receivables

The following table presents an analysis of purchased non-covered past-due loans as of September 30, 2016, December 31, 2015 and September 30, 2015:

	Loans 30-59 Days Past Due		Loans 60-89 Days Past Due		Loans 90 or More Days Past Due		Total Loans Past Due		Current Loans		Total Loans		Loans 90 Days or More Past Due  and Still Accruing
	(Dollars in Thousands)
As of September 30, 2016:
Commercial, financial & agricultural	$	244	$	-	$	624	$	868	$	98,728	$	99,596	$	-
Real estate – construction & development		1,082		233		2,070		3,385		82,714		86,099		-
Real estate – commercial & farmland		1,806		599		6,369		8,774		581,614		590,388		-
Real estate – residential		1,481		2,144		5,379		9,004		277,165		286,169		-
Consumer installment loans		33		267		38		338		4,500		4,838		-
Total	$	4,646	$	3,243	$	14,480	$	22,369	$	1,044,721	$	1,067,090	$	-

	Loans 30-59 Days Past Due		Loans 60-89 Days Past Due		Loans 90 or More Days Past Due		Total Loans Past Due		Current Loans		Total Loans		Loans 90 Days or More Past Due  and Still Accruing
	(Dollars in Thousands)
As of December 31, 2015:
Commercial, financial & agricultural	$	248	$	13	$	846	$	1,107	$	44,355	$	45,462	$	-
Real estate – construction & development		416		687		420		1,523		70,557		72,080		-
Real estate – commercial & farmland		2,479		1,629		3,347		7,455		383,300		390,755		-
Real estate – residential		4,965		2,176		4,928		12,069		246,084		258,153		-
Consumer installment loans		31		9		70		110		4,994		5,104		-
Total	$	8,139	$	4,514	$	9,611	$	22,264	$	749,290	$	771,554	$	-

	Loans 30-59 Days Past Due		Loans 60-89 Days Past Due		Loans 90 or More Days Past Due		Total Loans Past Due		Current Loans		Total Loans		Loans 90 Days or More Past Due and Still Accruing
	(Dollars in Thousands)
As of September 30, 2015:
Commercial, financial & agricultural	$	140	$	11	$	112	$	263	$	42,087	$	42,350	$	-
Real estate – construction & development		322		-		459		781		70,328		71,109		-
Real estate – commercial & farmland		2,681		613		3,391		6,685		378,347		385,032		-
Real estate – residential		3,822		1,672		4,901		10,395		252,917		263,312		-
Consumer installment loans		5		-		49		54		5,637		5,691		-
Total	$	6,970	$	2,296	$	8,912	$	18,178	$	749,316	$	767,494	$	-

Summary of Impaired Financial Receivables

The following is a summary of information pertaining to purchased non-covered impaired loans:

	As of and For the Period Ended
	September 30, 2016		December 31, 2015		September 30, 2015
	(Dollars in Thousands)
Nonaccrual loans	$	17,993	$	13,330	$	11,374
Troubled debt restructurings not included above		9,294		9,373		7,188
Total impaired loans	$	27,287	$	22,703	$	18,562
Quarter-to-date interest income recognized on impaired loans	$	1,339	$	442	$	158
Year-to-date interest income recognized on impaired loans	$	1,885	$	785	$	342
Quarter-to-date foregone interest income on impaired loans	$	264	$	245	$	198
Year-to-date foregone interest income on impaired loans	$	883	$	1,365	$	1,121

The following table presents an analysis of information pertaining to purchased non-covered impaired loans as of September 30, 2016, December 31, 2015 and September 30, 2015:

	Unpaid Contractual Principal Balance		Recorded Investment With No Allowance		Recorded Investment With Allowance		Total Recorded Investment		Related Allowance		Three Month Average Recorded Investment		Nine Month Average Recorded Investment
	(Dollars in Thousands)
As of September 30, 2016:
Commercial, financial & agricultural	$	4,801	$	520	$	225	$	745	$	-	$	710	$	787
Real estate – construction & development		23,284		233		2,699		2,932		183		2,306		2,053
Real estate – commercial & farmland		34,021		1,778		11,858		13,636		380		13,310		13,732
Real estate – residential		12,458		2,705		7,227		9,932		722		9,685		9,163
Consumer installment loans		55		42		-		42		-		43		64
Total	$	74,619	$	5,278	$	22,009	$	27,287	$	1,285	$	26,054	$	25,799

	Unpaid Contractual Principal Balance		Recorded Investment With No Allowance		Recorded Investment With Allowance		Total Recorded Investment		Related Allowance		Three Month Average Recorded Investment		Twelve Month Average Recorded Investment
	(Dollars in Thousands)
As of December 31, 2015:
Commercial, financial & agricultural	$	3,103	$	1,066	$	-	$	1,066	$	-	$	640	$	392
Real estate – construction & development		8,987		1,469		-		1,469		-		1,369		1,429
Real estate – commercial & farmland		14,999		11,134		-		11,134		-		9,966		10,806
Real estate – residential		14,946		8,957		-		8,957		-		8,591		8,067
Consumer installment loans		94		77		-		77		-		67		65
Total	$	42,129	$	22,703	$	-	$	22,703	$	-	$	20,633	$	20,759

	Unpaid Contractual Principal Balance		Recorded Investment With No Allowance		Recorded Investment With Allowance		Total Recorded Investment		Related Allowance		Three Month Average Recorded Investment		Nine Month Average Recorded Investment
	(Dollars in Thousands)
As of September 30, 2015:
Commercial, financial & agricultural	$	1,137	$	214	$	-	$	214	$	-	$	262	$	224
Real estate – construction & development		9,211		1,268		-		1,268		-		1,563		1,419
Real estate – commercial & farmland		13,399		8,799		-		8,799		-		11,245		10,724
Real estate – residential		12,443		8,224		-		8,224		-		8,255		7,845
Consumer installment loans		74		57		-		57		-		76		63
Total	$	36,264	$	18,562	$	-	$	18,562	$	-	$	21,402	$	20,275

Summary of Credit Quality Indicate Financial Receivable

The following table presents the purchased non-covered loan portfolio by risk grade as of September 30, 2016:

Risk Grade	Commercial, financial & agricultural		Real estate - construction & development		Real estate - commercial & farmland		Real estate - residential		Consumer installment loans		Other		Total
	(Dollars in Thousands)
10	$	5,676	$	-	$	-	$	-	$	867	$	-	$	6,543
15		1,055		-		7,842		32,763		597		-		42,257
20		16,726		7,741		196,901		108,007		1,934		-		331,309
23		-		3,677		11,925		11,902		-		-		27,504
25		70,241		63,343		328,657		111,720		1,319		-		575,280
30		4,716		7,609		26,782		5,731		-		-		44,838
40		1,182		3,729		18,281		16,046		121		-		39,359
50		-		-		-		-		-		-		-
60		-		-		-		-		-		-		-
Total	$	99,596	$	86,099	$	590,388	$	286,169	$	4,838	$	-	$	1,067,090

The following table presents the purchased non-covered loan portfolio by risk grade as of December 31, 2015:

Risk Grade	Commercial, financial & agricultural		Real estate - construction & development		Real estate - commercial & farmland		Real estate - residential		Consumer installment loans		Other		Total
	(Dollars in Thousands)
10	$	8,592	$	-	$	-	$	-	$	1,010	$	-	$	9,602
15		1,186		1,143		10,490		37,808		541		-		51,168
20		10,057		13,678		183,219		128,005		2,031		-		336,990
23		-		438		5,177		6,414		-		-		12,029
25		17,565		47,517		162,253		66,166		1,328		-		294,829
30		6,657		4,185		14,297		5,503		51		-		30,693
40		1,373		5,119		15,319		14,257		143		-		36,211
50		30		-		-		-		-		-		30
60		2		-		-		-		-		-		2
Total	$	45,462	$	72,080	$	390,755	$	258,153	$	5,104	$	-	$	771,554

The following table presents the purchased non-covered loan portfolio by risk grade as of September 30, 2015:

Risk Grade	Commercial, financial & agricultural		Real estate - construction & development		Real estate - commercial & farmland		Real estate - residential		Consumer installment loans		Other		Total
	(Dollars in Thousands)
10	$	8,741	$	-	$	-	$	-	$	1,060	$	-	$	9,801
15		1,229		1,805		8,440		38,643		789		-		50,906
20		10,982		13,518		187,329		133,914		2,291		-		348,034
23		-		230		4,079		6,303		-		-		10,612
25		17,873		48,137		159,816		63,049		1,397		-		290,272
30		2,379		3,418		12,997		7,609		55		-		26,458
40		1,116		4,001		12,371		13,794		99		-		31,381
50		30		-		-		-		-		-		30
60		-		-		-		-		-		-		-
Total	$	42,350	$	71,109	$	385,032	$	263,312	$	5,691	$	-	$	767,494

Summary of Troubled Debt Restructurings by Loan Class

The following table presents the purchased non-covered loans by class modified as troubled debt restructurings, which occurred during the nine months ending September 30, 2016 and 2015:

	September 30, 2016			September 30, 2015
		Balance			Balance
Loan class:	#	(in thousands)		#	(in thousands)
Commercial, financial & agricultural	-	$	-	1	$	1
Real estate – construction & development	-		-	2		30
Real estate – commercial & farmland	2		235	3		622
Real estate – residential	6		1,076	7		1,730
Consumer installment	-		-	3		8
Total	8	$	1,311	16	$	2,391

Summary of Troubled Debt Restructuring by Loan Class, Classified Separately under Restructured Terms

The following table presents the troubled debt restructurings by class that defaulted (defined as 30 days past due) during the nine months ending September 30, 2016 and 2015:

 

	September 30, 2016			September 30, 2015
		Balance			Balance
Loan class:	#	(in thousands)		#	(in thousands)
Commercial, financial & agricultural	-	$	-	-	$	-
Real estate – construction & development	1		10	-		-
Real estate – commercial & farmland	1		207	-		-
Real estate – residential	-		-	2		618
Consumer installment	-		-	-		-
Total	2	$	217	2	$	618

Loans Excluding Purchased Non Covered And Covered Loan [Member]

Summary of Past Due Financial Receivables

	Loans 30-59 Days Past Due		Loans 60-89 Days Past Due		Loans 90 or More Days Past Due		Total Loans Past Due		Current Loans		Total Loans		Loans 90 Days or More Past Due  and Still Accruing
	(Dollars in Thousands)
As of September 30, 2016:
Commercial, financial & agricultural	$	798	$	336	$	1,134	$	2,268	$	623,679	$	625,947	$	-
Real estate – construction & development		5,320		177		1,136		6,633		321,675		328,308		-
Real estate – commercial & farmland		2,726		199		5,788		8,713		1,288,869		1,297,582		-
Real estate – residential		2,890		802		5,035		8,727		758,206		766,933		-
Consumer installment loans		513		174		309		996		67,309		68,305		-
Other		-		-		-		-		3,964		3,964		-
Total	$	12,247	$	1,688	$	13,402	$	27,337	$	3,063,702	$	3,091,039	$	-

	Loans 30-59 Days Past Due		Loans 60-89 Days Past Due		Loans 90 or More Days Past Due		Total Loans Past Due		Current Loans		Total Loans		Loans 90 Days or More Past Due  and Still Accruing
	(Dollars in Thousands)
As of December 31, 2015:
Commercial, financial & agricultural	$	568	$	271	$	835	$	1,674	$	447,949	$	449,623	$	-
Real estate – construction & development		1,413		261		1,739		3,413		241,280		244,693		-
Real estate – commercial & farmland		1,781		641		6,912		9,334		1,095,657		1,104,991		-
Real estate – residential		3,806		2,120		5,121		11,047		559,383		570,430		-
Consumer installment loans		374		188		238		800		30,325		31,125		-
Other		-		-		-		-		6,015		6,015		-
Total	$	7,942	$	3,481	$	14,845	$	26,268	$	2,380,609	$	2,406,877	$	-

	Loans 30-59 Days Past Due		Loans 60-89 Days Past Due		Loans 90 or More Days Past Due		Total Loans Past Due		Current Loans		Total Loans		Loans 90 Days or More Past Due and Still Accruing
	(Dollars in Thousands)
As of September 30, 2015:
Commercial, financial & agricultural	$	781	$	714	$	1,799	$	3,294	$	424,453	$	427,747	$	-
Real estate – construction & development		1,184		417		1,753		3,354		217,444		220,798		-
Real estate – commercial & farmland		4,275		399		8,082		12,756		1,055,072		1,067,828		-
Real estate – residential		6,424		1,558		4,247		12,229		520,056		532,285		-
Consumer installment loans		326		82		227		635		30,664		31,299		-
Other		-		-		-		-		10,692		10,692		-
Total	$	12,990	$	3,170	$	16,108	$	32,268	$	2,258,381	$	2,290,649	$	-

Summary of Impaired Financial Receivables

The following is a summary of information pertaining to impaired loans, excluding purchased non-covered and covered loans:

	As of and For the Period Ended
	September 30, 2016		December 31, 2015		September 30, 2015
	(Dollars in Thousands)
Nonaccrual loans	$	16,570	$	16,860	$	20,558
Troubled debt restructurings not included above		14,013		14,418		12,075
Total impaired loans	$	30,583	$	31,278	$	32,633
Quarter-to-date interest income recognized on impaired loans	$	252	$	274	$	241
Year-to-date interest income recognized on impaired loans	$	808	$	909	$	635
Quarter-to-date foregone interest income on impaired loans	$	239	$	265	$	309
Year-to-date foregone interest income on impaired loans	$	710	$	1,204	$	939

The following table presents an analysis of information pertaining to impaired loans, excluding purchased non-covered and covered loans as of September 30, 2016, December 31, 2015 and September 30, 2015:

	Unpaid Contractual Principal Balance		Recorded Investment With No Allowance		Recorded Investment With Allowance		Total Recorded Investment		Related Allowance		Three Month Average Recorded Investment		Nine Month Average Recorded Investment
	(Dollars in Thousands)
As of September 30, 2016:
Commercial, financial & agricultural	$	2,568	$	252	$	1,114	$	1,366	$	118	$	1,736	$	1,640
Real estate – construction & development		2,972		-		1,946		1,946		537		2,001		2,214
Real estate – commercial & farmland		14,015		5,499		7,520		13,019		873		12,776		12,837
Real estate – residential		14,350		2,046		11,667		13,713		2,648		13,686		13,516
Consumer installment loans		586		-		539		539		6		492		479
Total	$	34,491	$	7,797	$	22,786	$	30,583	$	4,182	$	30,691	$	30,686

	Unpaid Contractual Principal Balance		Recorded Investment With No Allowance		Recorded Investment With Allowance		Total Recorded Investment		Related Allowance		Three Month Average Recorded Investment		Twelve Month Average Recorded Investment
	(Dollars in Thousands)
As of December 31, 2015:
Commercial, financial & agricultural	$	3,062	$	158	$	1,385	$	1,543	$	135	$	1,887	$	2,275
Real estate – construction & development		3,581		230		2,374		2,604		774		2,598		3,228
Real estate – commercial & farmland		14,385		6,702		6,083		12,785		1,067		15,074		15,105
Real estate – residential		15,809		1,621		12,230		13,851		2,224		11,935		11,977
Consumer installment loans		592		-		495		495		9		461		488
Total	$	37,429	$	8,711	$	22,567	$	31,278	$	4,209	$	31,955	$	33,073

	Unpaid Contractual Principal Balance		Recorded Investment With No Allowance		Recorded Investment With Allowance		Total Recorded Investment		Related Allowance		Three Month Average Recorded Investment		Nine Month Average Recorded Investment
	(Dollars in Thousands)
As of September 30, 2015:
Commercial, financial & agricultural	$	3,761	$	471	$	1,762	$	2,233	$	528	$	3,289	$	2,458
Real estate – construction & development		3,757		230		2,361		2,591		731		2,503		3,384
Real estate – commercial & farmland		18,652		5,870		11,494		17,364		1,635		16,459		15,684
Real estate – residential		11,549		1,752		8,266		10,018		1,872		10,185		11,509
Consumer installment loans		524		-		426		426		7		483		487
Total	$	38,243	$	8,323	$	24,309	$	32,632	$	4,773	$	32,919	$	33,522

Summary of Troubled Debt Restructurings by Loan Class

The following table presents the loans by class modified as troubled debt restructurings, excluding purchased non-covered and covered loans, which occurred during the nine months ending September 30, 2016 and 2015:

	September 30, 2016			September 30, 2015
		Balance			Balance
Loan class:	#	(in thousands)		#	(in thousands)
Commercial, financial & agricultural	5	$	59	4	$	26
Real estate – construction & development	2		251	2		15
Real estate – commercial & farmland	4		1,658	2		2,125
Real estate – residential	7		887	28		2,089
Consumer installment	9		44	13		47
Total	27	$	2,899	49	$	4,302

Troubled Debt Restructurings On Financing Receivables Payment Default

The following table presents the troubled debt restructurings by class that defaulted (defined as 30 days past due) during the nine months ending September 30, 2016 and 2015:

 

	September 30, 2016			September 30, 2015
		Balance			Balance
Loan class:	#	(in thousands)		#	(in thousands)
Commercial, financial & agricultural	5	$	51	4	$	18
Real estate – construction & development	-		-	2		34
Real estate – commercial & farmland	5		517	5		1,011
Real estate – residential	3		219	18		1,473
Consumer installment	2		6	9		32
Total	15	$	793	38	$	2,568

Financing Receivable Troubled Debt Restructuring [Member]

Summary of Financial Receivable Nonaccrual Basis

The following table presents the covered loans by class modified as troubled debt restructurings during the nine months ending September 30, 2016 and 2015:

 

	September 30, 2016			September 30, 2015
		Balance			Balance
Loan class:	#	(in thousands)		#	(in thousands)
Commercial, financial & agricultural	1	$	76	1	$	-
Real estate – construction & development	-		-	2		312
Real estate – commercial & farmland	1		473	5		1,492
Real estate – residential	2		54	12		679
Consumer installment	-		-	-		-
Total	4	$	603	20	$	2,483

Covered Loans [Member]

Summary of Financial Receivable Nonaccrual Basis

The following table presents an analysis of covered loans accounted for on a nonaccrual basis:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Commercial, financial and agricultural	$	128	$	2,803	$	7,916
Real estate – construction and development		60		1,701		2,934
Real estate – commercial and farmland		1,540		5,034		18,164
Real estate – residential		4,078		3,663		3,979
Consumer installment		28		37		91
	$	5,834	$	13,238	$	33,084

Summary of Past Due Financial Receivables

The following table presents an analysis of covered past-due loans as of September 30, 2016, December 31, 2015 and September 30, 2015:

	Loans 30-59 Days Past Due		Loans 60-89 Days Past Due		Loans 90 or More Days Past Due		Total Loans Past Due		Current Loans		Total Loans		Loans 90 Days or More Past Due  and Still Accruing
	(Dollars in Thousands)
As of September 30, 2016:
Commercial, financial & agricultural	$	-	$	-	$	128	$	128	$	702	$	830	$	-
Real estate – construction & development		114		4		-		118		3,102		3,220		-
Real estate – commercial & farmland		906		-		1		907		12,781		13,688		-
Real estate – residential		1,047		943		2,589		4,579		39,878		44,457		-
Consumer installment loans		-		-		-		-		96		96		-
Total	$	2,067	$	947	$	2,718	$	5,732	$	56,559	$	62,291	$	-

	Loans 30-59 Days Past Due		Loans 60-89 Days Past Due		Loans 90 or More Days Past Due		Total Loans Past Due		Current Loans		Total Loans		Loans 90 Days or More Past Due  and Still Accruing
	(Dollars in Thousands)
As of December 31, 2015:
Commercial, financial & agricultural	$	-	$	-	$	2,802	$	2,802	$	2,744	$	5,546	$	-
Real estate – construction & development		96		-		1,633		1,729		5,883		7,612		-
Real estate – commercial & farmland		170		205		3,064		3,439		67,787		71,226		-
Real estate – residential		2,155		1,001		2,658		5,814		47,224		53,038		-
Consumer installment loans		-		-		37		37		70		107		-
Total	$	2,421	$	1,206	$	10,194	$	13,821	$	123,708	$	137,529	$	-

	Loans 30-59 Days Past Due		Loans 60-89 Days Past Due		Loans 90 or More Days Past Due		Total Loans Past Due		Current Loans		Total Loans		Loans 90 Days or More Past Due and Still Accruing
	(Dollars in Thousands)
As of September 30, 2015:
Commercial, financial & agricultural	$	40	$	48	$	7,886	$	7,974	$	5,375	$	13,349	$	-
Real estate – construction & development		1,548		68		2,408		4,024		10,242		14,266		-
Real estate – commercial & farmland		1,003		550		6,573		8,126		95,273		103,399		-
Real estate – residential		2,612		783		2,140		5,535		54,300		59,835		-
Consumer installment loans		-		-		49		49		123		172		-
Total	$	5,203	$	1,449	$	19,056	$	25,708	$	165,313	$	191,021	$	-

Summary of Impaired Financial Receivables

The following is a summary of information pertaining to covered impaired loans:

	As of and For the Period Ended
	September 30, 2016		December 31, 2015		September 30, 2015
	(Dollars in Thousands)
Nonaccrual loans	$	5,834	$	13,238	$	33,084
Troubled debt restructurings not included above		11,823		13,283		16,576
Total impaired loans	$	17,657	$	26,521	$	49,660
Quarter-to-date interest income recognized on impaired loans	$	154	$	154	$	268
Year-to-date interest income recognized on impaired loans	$	493	$	886	$	732
Quarter-to-date foregone interest income on impaired loans	$	82	$	181	$	468
Year-to-date foregone interest income on impaired loans	$	400	$	1,596	$	1,416

The following table presents an analysis of information pertaining to covered impaired loans as of September 30, 2016, December 31, 2015 and September 30, 2015:

	Unpaid Contractual Principal Balance		Recorded Investment With No Allowance		Recorded Investment With Allowance		Total Recorded Investment		Related Allowance		Three Month Average Recorded Investment		Nine Month Average Recorded Investment
	(Dollars in Thousands)
As of September 30, 2016:
Commercial, financial & agricultural	$	296	$	128	$	-	$	128	$	-	$	128	$	1,464
Real estate – construction & development		969		63		810		873		1		1,640		2,022
Real estate – commercial & farmland		7,077		83		3,258		3,341		22		4,886		5,837
Real estate – residential		14,450		4,768		8,513		13,281		213		13,418		13,730
Consumer installment loans		43		34		-		34		-		37		41
Total	$	22,835	$	5,076	$	12,581	$	17,657	$	236	$	20,109	$	23,094

	Unpaid Contractual Principal Balance		Recorded Investment With No Allowance		Recorded Investment With Allowance		Total Recorded Investment		Related Allowance		Three Month Average Recorded Investment		Twelve Month Average Recorded Investment
	(Dollars in Thousands)
As of December 31, 2015:
Commercial, financial & agricultural	$	5,188	$	2,802	$	-	$	2,802	$	-	$	5,360	$	7,408
Real estate – construction & development		15,119		2,480		-		2,480		-		4,130		6,906
Real estate – commercial & farmland		20,508		7,001		-		7,001		-		14,133		18,504
Real estate – residential		15,830		14,192		-		14,192		-		14,399		16,010
Consumer installment loans		60		46		-		46		-		69		86
Total	$	56,705	$	26,521	$	-	$	26,521	$	-	$	38,091	$	48,914

	Unpaid Contractual Principal Balance		Recorded Investment With No Allowance		Recorded Investment With Allowance		Total Recorded Investment		Related Allowance		Three Month Average Recorded Investment		Nine Month Average Recorded Investment
	(Dollars in Thousands)
As of September 30, 2015:
Commercial, financial & agricultural	$	11,794	$	7,918	$	-	$	7,918	$	-	$	8,625	$	8,560
Real estate – construction & development		29,596		5,780		-		5,780		-		6,166		8,013
Real estate – commercial & farmland		41,724		21,265		-		21,265		-		20,697		21,380
Real estate – residential		18,097		14,605		-		14,605		-		14,881		16,465
Consumer installment loans		126		92		-		92		-		101		96
Total	$	101,337	$	49,660	$	-	$	49,660	$	-	$	50,470	$	54,514

Summary of Credit Quality Indicate Financial Receivable

The following table presents the covered loan portfolio by risk grade as of September 30, 2016:

Risk Grade	Commercial, financial & agricultural		Real estate - construction & development		Real estate - commercial & farmland		Real estate - residential		Consumer installment loans		Other		Total
	(Dollars in Thousands)
10	$	-	$	-	$	-	$	-	$	-	$	-	$	-
15		-		-		-		-		-		-		-
20		23		551		2,203		7,458		-		-		10,235
23		23		-		298		4,016		-		-		4,337
25		657		2,214		5,757		20,349		15		-		28,992
30		-		357		1,825		3,625		46		-		5,853
40		127		98		3,605		9,009		35		-		12,874
50		-		-		-		-		-		-		-
60		-		-		-		-		-		-		-
Total	$	830	$	3,220	$	13,688	$	44,457	$	96	$	-	$	62,291

The following table presents the covered loan portfolio by risk grade as of December 31, 2015:

Risk Grade	Commercial, financial & agricultural		Real estate - construction & development		Real estate - commercial & farmland		Real estate - residential		Consumer installment loans		Other		Total
	(Dollars in Thousands)
10	$	-	$	-	$	-	$	-	$	-	$	-	$	-
15		-		-		-		-		-		-		-
20		93		800		11,698		10,040		-		-		22,631
23		52		-		2,957		5,723		-		-		8,732
25		2,594		3,907		38,741		24,345		11		-		69,598
30		5		828		2,857		4,552		-		-		8,242
40		2,802		2,077		14,973		8,378		96		-		28,326
50		-		-		-		-		-		-		-
60		-		-		-		-		-		-		-
Total	$	5,546	$	7,612	$	71,226	$	53,038	$	107	$	-	$	137,529

The following table presents the covered loan portfolio by risk grade as of September 30, 2015:

Risk Grade	Commercial, financial & agricultural		Real estate - construction & development		Real estate - commercial & farmland		Real estate - residential		Consumer installment loans		Other		Total
	(Dollars in Thousands)
10	$	-	$	-	$	-	$	-	$	-	$	-	$	-
15		-		-		478		115		-		-		593
20		327		1,147		16,211		12,304		42		-		30,031
23		53		-		4,783		6,396		-		-		11,232
25		4,476		8,241		53,126		27,795		37		-		93,675
30		4,060		1,965		5,539		5,481		-		-		17,045
40		4,431		2,913		23,262		7,744		93		-		38,443
50		-		-		-		-		-		-		-
60		2		-		-		-		-		-		2
Total	$	13,349	$	14,266	$	103,399	$	59,835	$	172	$	-	$	191,021

Summary of Troubled Debt Restructurings by Loan Class

The following table presents the amount of troubled debt restructurings by loan class of covered loans, classified separately as accrual and nonaccrual at September 30, 2016, December 31, 2015 and September 30, 2015:

As of September 30, 2016	Accruing Loans			Non-Accruing Loans
		Balance			Balance
Loan class:	#	(in thousands)		#	(in thousands)
Commercial, financial & agricultural	-	$	-	3	$	76
Real estate – construction & development	4		813	-		-
Real estate – commercial & farmland	4		1,801	2		680
Real estate – residential	88		9,203	27		1,287
Consumer installment	1		6	-		-
Total	97	$	11,823	32	$	2,043

As of December 31, 2015	Accruing Loans			Non-Accruing Loans
		Balance			Balance
Loan class:	#	(in thousands)		#	(in thousands)
Commercial, financial & agricultural	-	$	-	2	$	1
Real estate – construction & development	4		779	-		-
Real estate – commercial & farmland	4		1,967	3		1,067
Real estate – residential	97		10,529	26		1,116
Consumer installment	2		8	-		-
Total	107	$	13,283	31	$	2,184

As of September 30, 2015	Accruing Loans			Non-Accruing Loans
		Balance			Balance
Loan class:	#	(in thousands)		#	(in thousands)
Commercial, financial & agricultural	1	$	2	2	$	-
Real estate – construction & development	3		2,847	3		325
Real estate – commercial & farmland	9		3,101	8		2,449
Real estate – residential	96		10,625	17		1,167
Consumer installment	1		1	-		-
Total	110	$	16,576	30	$	3,941

Summary of Troubled Debt Restructuring by Loan Class, Classified Separately under Restructured Terms

The following table presents the troubled debt restructurings by class that defaulted (defined as 30 days past due) during the nine months ending September 30, 2016 and 2015:

 

	September 30, 2016			September 30, 2015
		Balance			Balance
Loan class:	#	(in thousands)		#	(in thousands)
Commercial, financial & agricultural	2	$	76	-	$	-
Real estate – construction & development	-		-	-		-
Real estate – commercial & farmland	-		-	3		177
Real estate – residential	11		440	9		1,088
Consumer installment	-		-	-		-
Total	13	$	516	12	$	1,265

Accrual And Non Accrual [Member] | Purchased Non Covered Loans [Member]

Summary of Troubled Debt Restructurings by Loan Class

The following table presents the amount of troubled debt restructurings by loan class of purchased non-covered loans, classified separately as accrual and nonaccrual at September 30, 2016, December 31, 2015 and September 30, 2015:

As of September 30, 2016	Accruing Loans			Non-Accruing Loans
		Balance			Balance
Loan class:	#	(in thousands)		#	(in thousands)
Commercial, financial & agricultural	1	$	1	1	$	16
Real estate – construction & development	2		529	3		33
Real estate – commercial & farmland	13		5,840	3		566
Real estate – residential	16		2,919	5		486
Consumer installment	1		4	2		1
Total	33	$	9,293	14	$	1,102

As of December 31, 2015	Accruing Loans			Non-Accruing Loans
		Balance			Balance
Loan class:	#	(in thousands)		#	(in thousands)
Commercial, financial & agricultural	1	$	2	2	$	21
Real estate – construction & development	1		363	3		42
Real estate – commercial & farmland	14		6,214	3		412
Real estate – residential	13		2,789	4		180
Consumer installment	2		5	2		3
Total	31	$	9,373	14	$	658

As of September 30, 2015	Accruing Loans			Non-Accruing Loans
		Balance			Balance
Loan class:	#	(in thousands)		#	(in thousands)
Commercial, financial & agricultural	-	$	-	1	$	1
Real estate – construction & development	1		351	2		30
Real estate – commercial & farmland	6		4,071	1		36
Real estate – residential	13		2,761	3		397
Consumer installment	2		5	2		3
Total	22	$	7,188	9	$	467

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ASSETS ACQUIRED IN FDIC-ASSISTED ACQUISITIONS (Tables)

9 Months Ended

Sep. 30, 2016

Schedule of Acquisition Details

From October 2009 through July 2012, the Company participated in ten FDIC-assisted acquisitions whereby the Company purchased certain failed institutions out of the FDIC’s receivership. These institutions include the following:

Bank Acquired	Location	Branches	Date Acquired
American United Bank (“AUB”)	Lawrenceville, Ga.	1	October 23, 2009
United Security Bank (“USB”)	Sparta, Ga.	2	November 6, 2009
Satilla Community Bank (“SCB”)	St. Marys, Ga.	1	May 14, 2010
First Bank of Jacksonville (“FBJ”)	Jacksonville, Fl.	2	October 22, 2010
Tifton Banking Company (“TBC”)	Tifton, Ga.	1	November 12, 2010
Darby Bank & Trust (“DBT”)	Vidalia, Ga.	7	November 12, 2010
High Trust Bank (“HTB”)	Stockbridge, Ga.	2	July 15, 2011
One Georgia Bank (“OGB”)	Midtown Atlanta, Ga.	1	July 15, 2011
Central Bank of Georgia (“CBG”)	Ellaville, Ga.	5	February 24, 2012
Montgomery Bank & Trust (“MBT”)	Ailey, Ga.	2	July 6, 2012

Components of Covered Assets

The following table summarizes components of all covered assets at September 30, 2016, December 31, 2015 and September 30, 2015 and their origin (dollars in thousands):

	Covered loans		Less: Fair value adjustments		Total covered loans		OREO		Less: Fair value adjustments		Total covered OREO		Total covered assets		FDIC loss-share receivable (payable)
As of September 30, 2016:
AUB	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	12
USB		3,309		13		3,296		30		-		30		3,326		(1,682)
SCB		4,475		61		4,414		-		-		-		4,414		89
FBJ		3,811		488		3,323		-		-		-		3,323		(164)
DBT		12,964		690		12,274		-		-		-		12,274		(4,898)
TBC		1,867		7		1,860		-		-		-		1,860		(2,727)
HTB		1,926		35		1,891		-		-		-		1,891		1,538
OGB		1,086		32		1,054		-		-		-		1,054		(776)
CBG		36,468		2,289		34,179		974		4		970		35,149		833
Total	$	65,906	$	3,615	$	62,291	$	1,004	$	4	$	1,000	$	63,291	$	(7,775)

	Covered loans		Less: Fair value adjustments		Total covered loans		OREO		Less: Fair value adjustments		Total covered OREO		Total covered assets		FDIC loss-share receivable (payable)
As of December 31, 2015:
AUB	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	111
USB		3,639		16		3,623		165		-		165		3,788		(1,424)
SCB		5,228		124		5,104		-		-		-		5,104		149
FBJ		4,782		562		4,220		41		-		41		4,261		252
DBT		15,934		1,131		14,803		-		-		-		14,803		(1,084)
TBC		2,159		11		2,148		-		-		-		2,148		1,446
HTB		44,405		3,881		40,524		2,433		643		1,790		42,314		3,875
OGB		27,561		1,900		25,661		160		-		160		25,821		913
CBG		44,865		3,419		41,446		3,139		284		2,855		44,301		2,063
Total	$	148,573	$	11,044	$	137,529	$	5,938	$	927	$	5,011	$	142,540	$	6,301

	Covered loans		Less: Fair value adjustments		Total covered loans		OREO		Less: Fair value adjustments		Total covered OREO		Total covered assets		FDIC loss-share receivable (payable)
As of September 30, 2015:
AUB	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	115
USB		3,686		17		3,669		165		-		165		3,834		(1,453)
SCB		5,269		174		5,095		-		-		-		5,095		280
FBJ		13,826		991		12,835		984		171		813		13,648		679
DBT		44,112		3,107		41,005		5,044		624		4,420		45,425		(1,737)
TBC		16,813		481		16,332		1,480		116		1,364		17,696		(2,225)
HTB		45,345		3,999		41,346		2,985		955		2,030		43,376		4,108
OGB		28,309		1,971		26,338		320		39		281		26,619		1,517
CBG		48,397		3,996		44,401		3,474		344		3,130		47,531		3,222
Total	$	205,757	$	14,736	$	191,021	$	14,452	$	2,249	$	12,203	$	203,224	$	4,506

Rollforward of Acquired Covered Loans

A rollforward of acquired covered loans for the nine months ended September 30, 2016, the year ended December 31, 2015 and the nine months ended September 30, 2015 is shown below:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Balance, January 1	$	137,529	$	271,279	$	271,279
Charge-offs, net of recoveries		(2,218)		(5,558)		(5,062)
Accretion		2,855		9,658		8,105
Transfer to covered other real estate owned		(2,391)		(7,910)		(6,909)
Transfer to purchased, non-covered loans due to loss-share expiration		(45,908)		(50,568)		(15,462)
Payments received		(27,576)		(79,372)		(60,930)
Ending balance	$	62,291	$	137,529	$	191,021

Schedule Of Changes In Accretable Discounts Of Acquired Loans

The following is a summary of changes in the accretable discounts of acquired loans during the nine months ended September 30, 2016, the year ended December 31, 2015 and the nine months ended September 30, 2015:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Balance, January 1	$	9,063	$	15,578	$	15,578
Accretion		(2,855)		(9,658)		(8,105)
Transfer to purchased, non-covered loans due to loss-share expiration		(3,457)		(1,665)		(84)
Transfers between non-accretable and accretable discounts, net		281		4,808		3,312
Ending balance	$	3,032	$	9,063	$	10,701

Changes in FDIC Shared-Loss Receivable

Changes in the FDIC shared-loss receivable (payable) for the nine months ended September 30, 2016, for the year ended December 31, 2015 and for the nine months ended September 30, 2015 are as follows:

 

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Beginning balance, January 1	$	6,301	$	31,351	$	31,351
Payments received from FDIC		(4,770)		(19,273)		(19,089)
Accretion, net		(3,351)		(8,878)		(7,914)
Changes in clawback liability		(682)		(2,008)		(1,483)
Increase in receivable due to:
Net charge-offs on covered loans		(4,118)		416		1,180
Write downs of covered other real estate owned		203		4,752		2,349
Reimbursable expenses on covered assets		604		2,582		2,312
Other activity, net		(1,962)		(2,641)		(4,200)
Ending balance	$	(7,775)	$	6,301	$	4,506

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OTHER REAL ESTATE OWNED (Tables)

9 Months Ended

Sep. 30, 2016

Banking and Thrift [Abstract]

Summary of Activity in Other Real Estate Owned

The following is a summary of the activity in other real estate owned during the nine months ended September 30, 2016, the year ended December 31, 2015 and the nine months ended September 30, 2015:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Beginning balance, January 1	$	16,147	$	33,160	$	33,160
Loans transferred to other real estate owned		2,101		11,261		9,838
Net gains (losses) on sale and write-downs		(1,276)		(9,971)		(9,583)
Sales proceeds		(6,580)		(18,303)		(12,685)
Ending balance	$	10,392	$	16,147	$	20,730

Summary of Activity in Purchased Non-Covered Other Real Estate Owned

The following is a summary of the activity in purchased, non-covered other real estate owned during the nine months ended September 30, 2016, the year ended December 31, 2015 and the nine months ended September 30, 2015:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Beginning balance, January 1	$	14,333	$	15,585	$	15,585
Loans transferred to other real estate owned		3,871		4,473		2,565
Acquired in acquisitions		1,838		2,160		2,189
Transfer from covered other real estate owned due to loss-share expiration		466		3,148		75
Net gains (losses) on sale and write-downs		(68)		201		326
Sales proceeds		(6,314)		(11,234)		(9,202)
Ending balance	$	14,126	$	14,333	$	11,538

Summary of Activity in Covered Other Real Estate Owned

The following is a summary of the activity in covered other real estate owned during the nine months ended September 30, 2016, the year ended December 31, 2015 and the nine months ended September 30, 2015:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Beginning balance, January 1	$	5,011	$	19,907	$	19,907
Loans transferred to other real estate owned		2,391		7,910		6,909
Transfer from covered other real estate owned due to loss-share expiration		(466)		(3,148)		(75)
Net gains (losses) on sale and write-downs		(500)		(5,926)		(2,936)
Sales proceeds		(5,436)		(13,732)		(11,602)
Ending balance	$	1,000	$	5,011	$	12,203

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SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE (Tables)

9 Months Ended

Sep. 30, 2016

Brokers and Dealers [Abstract]

Summary of Securities Sold Under Repurchase Agreements

The following is a summary of the Company’s securities sold under agreements to repurchase at September 30, 2016, December 31, 2015 and September 30, 2015:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Securities sold under agreements to repurchase	$	42,647	$	63,585	$	51,506

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OTHER BORROWINGS (Tables)

9 Months Ended

Sep. 30, 2016

Debt Disclosure [Abstract]

OTHER BORROWINGS

Other borrowings consist of the following:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Daily Rate Credit from Federal Home Loan Bank with a variable interest rate (0.56% at September 30, 2016)	$	227,500	$	-	$	-
Advance from Federal Home Loan Bank with a fixed interest rate of 0.40%, due October 14, 2016		100,000	$	-		-
Advance from Federal Home Loan Bank with a fixed interest rate of 1.40%, due January 9, 2017		4,008	$	-		-
Advance from Federal Home Loan Bank with a fixed interest rate of 1.23%, due May 30, 2017		5,009	$	-		-
Advances under revolving credit agreement with a regional bank with interest at 90-day LIBOR plus 3.50% (4.34% at September 30, 2016, 3.92% at December 31, 2015, and 3.78% at September 30, 2015) due in August 2017, secured by subsidiary bank stock		36,000		24,000		24,000
Advances under revolving credit agreement with a regional bank with a fixed interest rate of 8.00% due January 2017		860		-		-
Advance from correspondent bank with a fixed interest rate of 4.25%, due October 15, 2019, secured by a loan receivable		84		-		-
Subordinated debt issued by The Prosperity Banking Company due September 2016 with an interest rate of 90-day LIBOR plus 1.75% (2.28% at December 31, 2015 and 2.09% at September 30, 2015)		-		15,000		15,000
Total	$	373,461	$	39,000	$	39,000

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COMMITMENTS AND CONTINGENCIES (Tables)

9 Months Ended

Sep. 30, 2016

Commitments and Contingencies Disclosure [Abstract]

Schedule of Guarantor Obligations

A summary of the Company’s commitments is as follows:

(Dollars in Thousands)	September 30, 2016		December 31, 2015		September 30, 2015
Commitments to extend credit	$	924,374	$	548,898	$	500,631
Unused lines of credit	$	62,544	$	52,798	$	53,465
Financial standby letters of credit	$	14,002	$	14,712	$	11,929
Mortgage interest rate lock commitments	$	134,619	$	77,710	$	79,635

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ACCUMULATED OTHER COMPREHENSIVE INCOME (Tables)

9 Months Ended

Sep. 30, 2016

Equity [Abstract]

Summary of Accumulated Other Comprehensive Income

The following tables present a summary of the accumulated other comprehensive income balances, net of tax, as of September 30, 2016 and 2015:

(Dollars in Thousands)	Unrealized Gain (Loss) on Derivatives		Unrealized Gain (Loss) on Securities		Accumulated Other Comprehensive Income (Loss)
Balance, January 1, 2016	$	152	$	3,201	$	3,353
Reclassification for gains included in net income, net of tax		-		(61)		(61)
Current year changes, net of tax		(567)		7,724		7,157
Balance, September 30, 2016	$	(415)	$	10,864	$	10,449

(Dollars in Thousands)	Unrealized Gain (Loss) on Derivatives		Unrealized Gain (Loss) on Securities		Accumulated Other Comprehensive Income (Loss)
Balance, January 1, 2015	$	508	$	5,590	$	6,098
Reclassification for gains included in net income, net of tax		-		(89)		(89)
Current year changes, net of tax		(669)		(1,143)		(1,812)
Balance, September 30, 2015	$	(161)	$	4,358	$	4,197

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WEIGHTED AVERAGE SHARES OUTSTANDING (Tables)

9 Months Ended

Sep. 30, 2016

Earnings Per Share [Abstract]

Summary of Weighted Average Number of Shares

Earnings per share have been computed based on the following weighted average number of common shares outstanding:

	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
	2016		2015		2016		2015
	(Share Data in Thousands)				(Share Data in Thousands)
Basic shares outstanding		34,870		32,195		34,156		31,614
Plus: Dilutive effect of ISOs		108		126		100		118
Plus: Dilutive effect of restricted share grants		217		232		214		230
Diluted shares outstanding		35,195		32,553		34,470		31,962

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FAIR VALUE MEASURES (Tables)

9 Months Ended

Sep. 30, 2016

Fair Value Disclosures [Abstract]

Difference Between Fair Value and Principal Balance for Mortgage Loans Held for Sale Measured at Fair Value

The following table summarizes the difference between the fair value and the principal balance for mortgage loans held for sale measured at fair value as of September 30, 2016, December 31, 2015 and September 30, 2015:

	September 30, 2016		December 31, 2015		September 30, 2015
	(Dollars in Thousands)
Aggregate fair value of mortgage loans held for sale	$	126,263	$	111,182	$	111,807
Aggregate unpaid principal balance	$	121,308	$	107,652	$	108,179
Past-due loans of 90 days or more	$	-	$	-	$	-
Nonaccrual loans	$	-	$	-	$	-

Fair Value Measurements of Assets and Liabilities Measured on Recurring Basis

The following table presents the fair value measurements of assets and liabilities measured at fair value on a recurring basis and the level within the fair value hierarchy in which the fair value measurements fall as of September 30, 2016, December 31, 2015 and September 30, 2015 (dollars in thousands):

	Fair Value Measurements on a Recurring Basis As of September 30, 2016
	Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
U.S. government agencies	$	1,028	$	-	$	1,028	$	-
State, county and municipal securities		155,994		-		155,994		-
Corporate debt securities		29,098		-		27,598		1,500
Mortgage-backed securities		652,004		-		652,004		-
Mortgage loans held for sale		126,263		-		126,263		-
Mortgage banking derivative instruments		5,083		-		5,083		-
Total recurring assets at fair value	$	969,470	$	-	$	967,970	$	1,500
Derivative financial instruments	$	2,964		-	$	2,964		-
Mortgage banking derivative instruments	$	840		-		840		-
Total recurring liabilities at fair value	$	3,804	$	-	$	3,804	$	-

	Fair Value Measurements on a Recurring Basis As of December 31, 2015
	Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
U.S. government agencies	$	14,890	$	-	$	14,890	$	-
State, county and municipal securities		161,316		-		161,316		-
Corporate debt securities		6,017		-		3,019		2,998
Mortgage-backed securities		600,962		-		600,962		-
Mortgage loans held for sale		111,182		-		111,182		-
Mortgage banking derivative instruments		2,687		-		2,687		-
Total recurring assets at fair value	$	897,054	$	-	$	894,056	$	2,998
Derivative financial instruments	$	1,439	$	-	$	1,439	$	-
Mortgage banking derivative instruments		137		-		137		-
Total recurring liabilities at fair value	$	1,576	$	-	$	1,576	$	-

	Fair Value Measurements on a Recurring Basis As of September 30, 2015
	Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
U.S. government agencies	$	14,968	$	-	$	14,968	$	-
State, county and municipal securities		164,865		-		164,865		-
Corporate debt securities		6,032		-		3,532		2,500
Mortgage-backed securities		625,520		-		625,520		-
Mortgage loans held for sale		111,807		-		111,807		-
Mortgage banking derivative instruments		3,025		-		3,025		-
Total recurring assets at fair value	$	926,217	$	-	$	923,717	$	2,500
Derivative financial instruments	$	2,028	$	-	$	2,028	$	-
Total recurring liabilities at fair value	$	2,028	$	-	$	2,028	$	-

Summary of Fair Value Measurements of Assets Measured at Fair Value on Non-Recurring Basis

The following table presents the fair value measurements of assets measured at fair value on a non-recurring basis, as well as the general classification of such instruments pursuant to the valuation hierarchy as of September 30, 2016, December 31, 2015 and September 30, 2015 (dollars in thousands):

	Fair Value Measurements on a Nonrecurring Basis As of September 30, 2016
	Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Impaired loans carried at fair value	$	26,210	$	-	$	-	$	26,210
Other real estate owned		425		-		-		425
Purchased, non-covered other real estate owned		14,126		-		-		14,126
Covered other real estate owned		1,000		-		-		1,000
Total nonrecurring assets at fair value	$	41,761	$	-	$	-	$	41,761

	Fair Value Measurements on a Nonrecurring Basis As of December 31, 2015
	Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Impaired loans carried at fair value	$	27,069	$	-	$	-	$	27,069
Other real estate owned		10,456		-		-		10,456
Purchased, non-covered other real estate owned		14,333		-		-		14,333
Covered other real estate owned		5,011		-		-		5,011
Total nonrecurring assets at fair value	$	56,869	$	-	$	-	$	56,869

	Fair Value Measurements on a Nonrecurring Basis As of September 30, 2015
	Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Impaired loans carried at fair value	$	27,859	$	-	$	-	$	27,859
Other real estate owned		5,737		-		-		5,737
Purchased, non-covered other real estate owned		11,538		-		-		11,538
Covered other real estate owned		12,203		-		-		12,203
Total nonrecurring assets at fair value	$	57,337	$	-	$	-	$	57,337

Summary of Significant Unobservable Inputs Used in Fair Value Measurement of Level 3 Assets and Liabilities

The following table shows significant unobservable inputs used in the fair value measurement of Level 3 assets and liabilities (dollars in thousands):

	Fair Value		Valuation Technique	Unobservable Inputs	Range of Discounts		Weighted  Average Discount
As of September 30, 2016
Nonrecurring:
Impaired loans	$	26,210	Third-party appraisals and discounted cash flows	Collateral discounts and discount rates	15% - 100	%	27	%
Other real estate owned	$	425	Third-party appraisals, sales contracts, broker price opinions	Collateral discounts and estimated costs to sell	10% - 90	%	12	%
Purchased non-covered other real estate owned	$	14,126	Third-party appraisals	Collateral discounts and estimated costs to sell	10% - 75	%	15	%
Covered other real estate owned	$	1,000	Third-party appraisals	Collateral discounts and estimated costs to sell	15% - 56	%	16	%
Recurring:
Investment securities available for sale	$	1,500	Discounted par values	Credit quality of underlying issuer	0	%	0	%
As of December 31, 2015
Nonrecurring:
Impaired loans	$	27,069	Third-party appraisals and discounted cash flows	Collateral discounts and discount rates	0% - 100	%	29	%
Other real estate owned	$	10,456	Third-party appraisals, sales contracts, broker price opinions	Collateral discounts and estimated costs to sell	10% - 90	%	13	%
Purchased non-covered other real estate owned	$	14,333	Third-party appraisals	Collateral discounts and estimated costs to sell	10% - 69	%	19	%
Covered other real estate owned	$	5,011	Third-party appraisals	Collateral discounts and estimated costs to sell	0% - 74	%	12	%
Recurring:
Investment securities available for sale	$	2,998	Discounted par values	Credit quality of underlying issuer	0	%	0	%
As of September 30, 2015
Nonrecurring:
Impaired loans	$	27,859	Third-party appraisals and discounted cash flows	Collateral discounts and discount rates	0% - 50	%	25	%
Other real estate owned	$	5,737	Third-party appraisals, sales contracts, broker price opinions	Collateral discounts and estimated costs to sell	0% - 43	%	14	%
Purchased non-covered other real estate owned	$	11,538	Third-party appraisals	Collateral discounts and estimated costs to sell	0% -75	%	20	%
Covered other real estate owned	$	12,203	Third-party appraisals	Collateral discounts and estimated costs to sell	0% - 73	%	12	%
Recurring:
Investment securities available for sale	$	2,500	Discounted par values	Credit quality of underlying issuer	0	%	0	%

Carrying Amount and Estimated Fair Value of Financial Instruments

The carrying amount and estimated fair value of the Company’s financial instruments, not shown elsewhere in these financial statements, were as follows:

			Fair Value Measurements at September 30, 2016 Using:
	Carrying Amount		Level 1		Level 2		Level 3		Total
	(Dollars in Thousands)
Financial assets:
Cash and due from banks	$	123,270	$	123,270	$	-	$	-	$	123,270
Federal funds sold and interest-bearing accounts		90,801		90,801		-		-		90,801
Loans, net		4,922,395		-		-		4,918,360		4,918,360
Accrued interest receivable		21,775		21,775		-		-		21,775
Financial liabilities:
Deposits	$	5,306,098	$	-	$	5,305,463	$	-	$	5,305,463
Securities sold under agreements to repurchase		42,647		42,647		-		-		42,647
FDIC loss-share payable		7,775		-		-		10,141		10,141
Other borrowings		373,461		-		373,461		-		373,461
Accrued interest payable		1,282		1,282		-		-		1,282
Subordinated deferrable interest debentures		83,898		-		66,252		-		66,252

			Fair Value Measurements at December 31, 2015 Using:
	Carrying Amount		Level 1		Level 2		Level 3		Total
	(Dollars in Thousands)
Financial assets:
Cash and due from banks	$	118,518	$	118,518	$	-	$	-	$	118,518
Federal funds sold and interest-bearing accounts		272,045		272,045		-		-		272,045
Loans, net		3,971,974		-		-		3,982,606		3,982,606
FDIC loss-share receivable		6,301		-		-		(944)		(944)
Accrued interest receivable		21,274		21,274		-		-		21,274
Financial liabilities:
Deposits	$	4,879,290	$	-	$	4,880,294	$	-	$	4,880,294
Securities sold under agreements to repurchase		63,585		63,585		-		-		63,585
Other borrowings		39,000		-		39,000		-		39,000
Accrued interest payable		1,054		1,054		-		-		1,054
Subordinated deferrable interest debentures		69,874		-		52,785		-		52,785

			Fair Value Measurements at September 30, 2015 Using:
	Carrying Amount		Level 1		Level 2		Level 3		Total
	(Dollars in Thousands)
Financial assets:
Cash and due from banks	$	114,396	$	114,396	$	-	$	-	$	114,396
Federal funds sold and interest-bearing accounts		120,925		120,925		-		-		120,925
Loans, net		3,720,713		-		-		3,711,522		3,711,522
FDIC loss-share receivable		4,506		-		-		(4,042)		(4,042)
Accrued interest receivable		20,062		20,062		-		-		20,062
Financial liabilities:
Deposits	$	4,530,523	$	-	$	4,531,851	$	-	$	4,531,851
Securities sold under agreements to repurchase		51,506		51,506		-		-		51,506
Other borrowings		39,000		-		39,000		-		39,000
Accrued interest payable		1,149		1,149		-		-		1,149
Subordinated deferrable interest debentures		69,600		-		51,617		-		51,617

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SEGMENT REPORTING (Tables)

9 Months Ended

Sep. 30, 2016

Segment Reporting [Abstract]

Schedule of Financial Information with Respect to Company's Reportable Business Segments

The following tables present selected financial information with respect to the Company’s reportable business segments for the three months ended September 30, 2016 and 2015:

	Three Months Ended September 30, 2016
	Banking Division		Retail Mortgage Division		Warehouse Lending Division		SBA Division		Total
	(Dollars in Thousands)
Interest income	$	55,369	$	3,679	$	2,073	$	1,089	$	62,210
Interest expense		4,995		-		-		148		5,143
Net interest income		50,374		3,679		2,073		941		57,067
Provision for loan losses		57		447		94		213		811
Noninterest income		13,949		13,198		555		1,162		28,864
Noninterest expense
Salaries and employee benefits		18,323		8,940		103		616		27,982
Equipment and occupancy expenses		5,490		433		1		65		5,989
Data processing and telecommunications expenses		5,794		364		26		1		6,185
Other expenses		11,533		1,303		26		181		13,043
Total noninterest expense		41,140		11,040		156		863		53,199
Income before income tax expense		23,126		5,390		2,378		1,027		31,921
Income tax expense		7,286		1,887		832		359		10,364
Net income	$	15,840	$	3,503	$	1,546	$	668	$	21,557
Total assets	$	5,841,207	$	356,755	$	203,334	$	92,199	$	6,493,495
Other intangible assets, net ,	$	18,472	$	-	$	-	$	-	$	18,472
Goodwill	$	122,545	$	-	$	-	$	-	$	122,545

	Three Months Ended September 30, 2015
	Banking Division		Retail Mortgage Division		Warehouse Lending Division		SBA Division		Total
	(Dollars in Thousands)
Interest income	$	46,734	$	2,485	$	1,128	$	848	$	51,195
Interest expense		3,690		-		-		106		3,796
Net interest income	$	43,044	$	2,485	$	1,128	$	742	$	47,399
Provision for loan losses		960		26		-		-		986
Noninterest income		13,470		9,827		372		1,309		24,978
Noninterest expense
Salaries and employee benefits		17,921		6,138		137		738		24,934
Equipment and occupancy expenses		5,444		397		1		73		5,915
Data processing and telecommunications expenses		4,998		308		22		1		5,329
Other expenses		11,379		662		40		137		12,218
Total noninterest expense		39,742		7,505		200		949		48,396
Income before income tax expense		15,812		4,781		1,300		1,102		22,995
Income tax expense		4,854		1,673		455		386		7,368
Net income	$	10,958	$	3,108	$	845	$	716	$	15,627
Total assets	$	4,805,387	$	216,640	$	92,398	$	101,875	$	5,216,300
Other intangible assets, net	$	18,218	$	-	$	-	$	-	$	18,218
Goodwill	$	87,701	$	-	$	-	$	-	$	87,701

The following tables present selected financial information with respect to the Company’s reportable business segments for the nine months ended September 30, 2016 and 2015:

	Nine Months Ended September 30, 2016
	Banking Division		Retail Mortgage Division		Warehouse Lending Division		SBA Division		Total
	(Dollars in Thousands)
Interest income	$	158,682	$	9,992	$	4,714	$	2,721	$	176,109
Interest expense		13,567		-		-		450		14,017
Net interest income		145,115		9,992		4,714		2,271		162,092
Provision for loan losses		1,471		540		94		276		2,381
Noninterest income		39,702		36,126		1,328		4,373		81,529
Noninterest expense
Salaries and employee benefits		55,740		23,591		399		1,970		81,700
Equipment and occupancy expenses		16,541		1,326		3		190		18,060
Data processing and telecommunications expenses		17,299		974		71		3		18,347
Other expenses		39,040		3,392		77		542		43,051
Total noninterest expense		128,620		29,283		550		2,705		161,158
Income before income tax expense		54,726		16,295		5,398		3,663		80,082
Income tax expense		17,285		5,703		1,889		1,282		26,159
Net income	$	37,441	$	10,592	$	3,509	$	2,381	$	53,923

	Nine Months Ended September 30, 2015
	Banking Division		Retail Mortgage Division		Warehouse Lending Division		SBA  Division		Total
	(Dollars in Thousands)
Interest income	$	126,283	$	6,009	$	3,142	$	2,358	$	137,792
Interest expense		10,594		-		-		279		10,873
Net interest income	$	115,689	$	6,009	$	3,142	$	2,079	$	126,919
Provision for loan losses		4,343		368		-		-		4,711
Noninterest income		31,512		26,532		1,028		4,107		63,179
Noninterest expense
Salaries and employee benefits		48,958		16,257		363		2,453		68,031
Equipment and occupancy expenses		13,964		1,173		4		137		15,278
Data processing and telecommunications expenses		12,922		799		75		7		13,803
Other expenses		45,783		2,744		95		353		48,975
Total noninterest expense		121,627		20,973		537		2,950		146,087
Income before income tax expense		21,231		11,200		3,633		3,236		39,300
Income tax expense		6,277		3,920		1,272		1,133		12,601
Net income		14,954		7,280		2,361		2,103		26,699

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BUSINESS COMBINATIONS (Details) - USD ($) $ / shares in Units, $ in Thousands				1 Months Ended	9 Months Ended
		Mar. 11, 2016	Jun. 12, 2015	May 22, 2015	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Deposits:
Goodwill					$ 122,545	$ 87,701	$ 90,082
Consideration:
Company common stock issued					$ 72,455	$ 0
As Recorded by Ameris [Member]
Assets
Other assets		$ 35,566
Total assets		528,942
Bank Of America [Member]
Assets
Cash and cash equivalents			$ 630,220
Loans			4,363
Premises and equipment			10,348
Intangible assets			0
Other assets			126
Total assets			645,057
Deposits:
Noninterest-bearing			149,854
Interest-bearing			495,110
Total deposits			644,964
Other liabilities			93
Total liabilities			645,057
Net identifiable assets acquired over (under) liabilities assumed			0
Goodwill			0
Net assets acquired over (under) liabilities assumed			0
Consideration:
Cash exchanged for shares			20,000
Cash paid as deposit premium			20,002
Fair value of total consideration transferred			20,002
Bank Of America [Member] | Subsequent Fair Value Adjustments [Member]
Assets
Cash and cash equivalents			0
Loans	[1]		(364)
Premises and equipment	[2]		(755)
Intangible assets	[3]		985
Other assets			0
Total assets			(134)
Deposits:
Noninterest-bearing			0
Interest-bearing			0
Total deposits			0
Other liabilities			0
Total liabilities			0
Net identifiable assets acquired over (under) liabilities assumed			(134)
Goodwill			134
Net assets acquired over (under) liabilities assumed			0
Bank Of America [Member] | Initial Fair Value Adjustments [Member]
Assets
Cash and cash equivalents			0
Loans			0
Premises and equipment	[4]		1,060
Intangible assets	[5]		7,651
Total assets			8,711
Deposits:
Noninterest-bearing			0
Interest-bearing	[6]		(215)
Total deposits			(215)
Other liabilities			0
Total liabilities			(215)
Net identifiable assets acquired over (under) liabilities assumed			8,926
Goodwill			11,076
Net assets acquired over (under) liabilities assumed			20,002
Bank Of America [Member] | As Recorded by Ameris [Member]
Assets
Cash and cash equivalents			630,220
Loans			3,999
Premises and equipment			10,653
Intangible assets			8,636
Other assets			126
Total assets			653,634
Deposits:
Noninterest-bearing			149,854
Interest-bearing			494,895
Total deposits			644,749
Other liabilities			93
Total liabilities			644,842
Net identifiable assets acquired over (under) liabilities assumed			8,792
Goodwill			11,210
Net assets acquired over (under) liabilities assumed			$ 20,002
Merchants and Southern Banks of Florida [Member]
Assets
Cash and cash equivalents				$ 7,527
Federal funds sold and interest-bearing balances				106,188
Investment securities				164,421
Other investments				872
Loans				199,955
Less allowance for loan losses				(3,354)
Loans, net				196,601
Other real estate owned				4,082
Premises and equipment				14,614
Intangible assets				0
Other assets				2,333
Total assets				496,638
Deposits:
Noninterest-bearing				121,708
Interest-bearing				286,112
Total deposits				407,820
Federal funds purchased and securities sold under agreements to repurchase				41,588
Other liabilities				2,151
Subordinated deferrable interest debentures				6,186
Total liabilities				457,745
Net identifiable assets acquired over (under) liabilities assumed				38,893
Goodwill				0
Net assets acquired over (under) liabilities assumed				38,893
Consideration:
Cash exchanged for shares				50,000
Fair value of total consideration transferred				50,000
Merchants and Southern Banks of Florida [Member] | Subsequent Fair Value Adjustments [Member]
Assets
Cash and cash equivalents				0
Federal funds sold and interest-bearing balances				0
Investment securities	[7]			(639)
Other investments	[8]			(253)
Loans	[9]			91
Less allowance for loan losses				0
Loans, net				91
Other real estate owned				0
Premises and equipment				0
Intangible assets	[3]			(634)
Other assets	[10]			(1,109)
Total assets				(2,544)
Deposits:
Noninterest-bearing				0
Interest-bearing	[11]			41,588
Total deposits				41,588
Federal funds purchased and securities sold under agreements to repurchase	[11]			(41,588)
Other liabilities				0
Subordinated deferrable interest debentures				0
Total liabilities				0
Net identifiable assets acquired over (under) liabilities assumed				(2,544)
Goodwill				2,544
Net assets acquired over (under) liabilities assumed				0
Merchants and Southern Banks of Florida [Member] | Initial Fair Value Adjustments [Member]
Assets
Cash and cash equivalents				0
Federal funds sold and interest-bearing balances				0
Investment securities	[12]			(553)
Other investments				0
Loans	[1]			(8,500)
Less allowance for loan losses	[13]			3,354
Loans, net				(5,146)
Other real estate owned	[14]			(1,115)
Premises and equipment	[15]			(3,680)
Intangible assets	[5]			4,577
Other assets	[16]			2,335
Total assets				(3,582)
Deposits:
Noninterest-bearing				0
Interest-bearing				0
Total deposits				0
Federal funds purchased and securities sold under agreements to repurchase				0
Other liabilities	[17]			81
Subordinated deferrable interest debentures	[18]			(2,680)
Total liabilities				(2,599)
Net identifiable assets acquired over (under) liabilities assumed				(983)
Goodwill				12,090
Net assets acquired over (under) liabilities assumed				11,107
Merchants and Southern Banks of Florida [Member] | As Recorded by Ameris [Member]
Assets
Cash and cash equivalents				7,527
Federal funds sold and interest-bearing balances				106,188
Investment securities				163,229
Other investments				619
Loans				191,546
Less allowance for loan losses				0
Loans, net				191,546
Other real estate owned				2,967
Premises and equipment				10,934
Intangible assets				3,943
Other assets				3,559
Total assets				490,512
Deposits:
Noninterest-bearing				121,708
Interest-bearing				327,700
Total deposits				449,408
Federal funds purchased and securities sold under agreements to repurchase				0
Other liabilities				2,232
Subordinated deferrable interest debentures				3,506
Total liabilities				455,146
Net identifiable assets acquired over (under) liabilities assumed				35,366
Goodwill				14,634
Net assets acquired over (under) liabilities assumed				$ 50,000
Jacksonville Bancorp, Inc [Member]
Assets
Cash and cash equivalents		9,704
Federal funds sold and interest-bearing balances		7,027
Investment securities		60,836
Other investments		2,458
Loans		416,831
Less allowance for loan losses		(12,613)
Loans, net		404,218
Other real estate owned		2,873
Premises and equipment		4,798
Intangible assets		288
Other assets		14,141
Total assets		506,343
Deposits:
Noninterest-bearing		123,399
Interest-bearing		277,539
Total deposits		400,938
Other borrowings		48,350
Other liabilities		2,354
Subordinated deferrable interest debentures		16,294
Total liabilities		467,936
Net identifiable assets acquired over (under) liabilities assumed		38,407
Goodwill		0
Net assets acquired over (under) liabilities assumed		$ 38,407
Consideration:
Ameris Bancorp common shares issued		2,549,469
Purchase price per share of the Company’s common stock		$ 28.42
Company common stock issued		$ 72,455
Cash exchanged for shares		23,937
Fair value of total consideration transferred		96,392
Jacksonville Bancorp, Inc [Member] | Subsequent Fair Value Adjustments [Member]
Assets
Cash and cash equivalents		0
Federal funds sold and interest-bearing balances		0
Investment securities		0
Other investments		0
Loans	[9]	1,857
Less allowance for loan losses		0
Loans, net		1,857
Other real estate owned		0
Premises and equipment	[2]	(31)
Intangible assets	[19]	(1,108)
Other assets	[10]	(1,841)
Total assets		(1,123)
Deposits:
Noninterest-bearing		0
Interest-bearing		0
Total deposits		0
Other borrowings		0
Other liabilities		0
Subordinated deferrable interest debentures		0
Total liabilities		0
Net identifiable assets acquired over (under) liabilities assumed		(1,123)
Goodwill		1,123
Net assets acquired over (under) liabilities assumed		0
Jacksonville Bancorp, Inc [Member] | Initial Fair Value Adjustments [Member]
Assets
Cash and cash equivalents		0
Federal funds sold and interest-bearing balances		0
Investment securities	[12]	(942)
Other investments		0
Loans	[20]	(15,746)
Less allowance for loan losses	[21]	12,613
Loans, net		(3,133)
Other real estate owned	[22]	(1,035)
Premises and equipment		0
Intangible assets	[5]	5,566
Other assets	[23]	23,266
Total assets		23,722
Deposits:
Noninterest-bearing		0
Interest-bearing	[6]	421
Total deposits		421
Other borrowings	[24]	84
Other liabilities		0
Subordinated deferrable interest debentures	[25]	(3,393)
Total liabilities		(2,888)
Net identifiable assets acquired over (under) liabilities assumed		26,610
Goodwill		31,375
Net assets acquired over (under) liabilities assumed		57,985
Jacksonville Bancorp, Inc [Member] | As Recorded by Ameris [Member]
Assets
Cash and cash equivalents		9,704
Federal funds sold and interest-bearing balances		7,027
Investment securities		59,894
Other investments		2,458
Loans		402,942
Less allowance for loan losses		0
Loans, net		402,942
Other real estate owned		1,838
Premises and equipment		4,767
Intangible assets		4,746
Deposits:
Noninterest-bearing		123,399
Interest-bearing		277,960
Total deposits		401,359
Other borrowings		48,434
Other liabilities		2,354
Subordinated deferrable interest debentures		12,901
Total liabilities		465,048
Net identifiable assets acquired over (under) liabilities assumed		63,894
Goodwill		32,498
Net assets acquired over (under) liabilities assumed		$ 96,392
Consideration:
Ameris Bancorp common shares issued		2,549,469

[1] Adjustment reflects the fair value adjustments based on the Company’s evaluation of the acquired loan portfolio.

[2] Adjustment reflects recording of fair value adjustment of the premises and equipment.

[3] Adjustment reflects additional recording of core deposit intangible on the acquired core deposit accounts.

[4] Adjustment reflects the fair value adjustments of the premises and equipment as of the acquisition date.

[5] Adjustment reflects the recording of core deposit intangible on the acquired core deposit accounts.

[6] Adjustment reflects the fair value adjustments based on the Company’s evaluation of the acquired deposits.

[7] Adjustment reflects the additional fair value adjustments of the portfolio of securities available for sale as of the acquisition date.

[8] Adjustment reflects the fair value adjustments of other investments as of the acquisition date.

[9] Adjustment reflects additional recording of fair value adjustment of the acquired loan portfolio.

[10] Adjustment reflects the additional deferred taxes on the difference in the carrying values of acquired assets and assumed liabilities for financial reporting purposes and their basis for federal income tax purposes.

[11] Subsequent to acquisition, the acquired securities sold under agreements to repurchase were converted to deposit accounts and are no longer reported as securities sold under agreements to repurchase on the Consolidated Balance Sheet as of December 31, 2015.

[12] Adjustment reflects the fair value adjustments of the portfolio of securities available for sale as of the acquisition date.

[13] Adjustment reflects the elimination of Merchants’ allowance for loan losses.

[14] Adjustment reflects the fair value adjustment based on the Company’s evaluation of the acquired OREO portfolio.

[15] Adjustment reflects the fair value adjustment based on the Company’s evaluation of the acquired premises.

[16] Adjustment reflects the deferred taxes on the difference in the carrying values of acquired assets and assumed liabilities for financial reporting purposes and their basis for federal income tax purposes.

[17] Adjustment reflects the fair value adjustments based on the Company’s evaluation of interest rate swap liabilities.

[18] Adjustment reflects the fair value adjustment to the subordinated deferrable interest debentures at the acquisition date.

[19] Adjustment reflects adjustment to the core deposit intangible on the acquired core deposit accounts.

[20] Adjustment reflects the fair value adjustments based on the Company’s evaluation of the acquired loan portfolio, net of the reversal of JAXB remaining fair value adjustments from their prior acquisitions.

[21] Adjustment reflects the elimination of JAXB’s allowance for loan losses.

[22] Adjustment reflects the fair value adjustment based on the Company’s evaluation of the acquired OREO portfolio, which is based largely on contracted sale prices.

[23] Adjustment reflects the deferred taxes on the difference in the carrying values of acquired assets and assumed liabilities for financial reporting purposes and their basis for federal income tax purposes and the reversal of JAXB valuation allowance established on their deferred tax assets.

[24] Adjustment reflects the fair value adjustments based on the Company’s evaluation of the liability for other borrowings.

[25] Adjustment reflects the fair value adjustment to the subordinated deferrable interest debentures at the acquisition date, net of the reversal of JAXB remaining fair value adjustments from their prior acquisitions.

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BUSINESS COMBINATIONS (Details 1) $ in Thousands	Sep. 30, 2016 USD ($)
Merchants and Southern Banks of Florida [Member]
Contractually required principal and interest	$ 17,201
Non-accretable difference	(2,712)
Cash flows expected to be collected	14,489
Accretable yield	(3,254)
Total purchased credit-impaired loans acquired	11,235
Jacksonville Bancorp, Inc [Member]
Contractually required principal and interest	42,314
Non-accretable difference	(7,877)
Cash flows expected to be collected	34,437
Accretable yield	(6,182)
Total purchased credit-impaired loans acquired	$ 28,255

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BUSINESS COMBINATIONS (Details 2) - USD ($) $ in Thousands	Mar. 11, 2016	May 22, 2015
Merchants and Southern Banks of Florida [Member]
Acquired receivables subject to ASC 310-30, Fair Value of Acquired Loans at Acquisition Date		$ 11,235
Acquired receivables subject to ASC 310-30, Gross Contractual Amounts Receivable at Acquisition Date		14,086
Acquired receivables subject to ASC 310-30, Best Estimate at Acquisition Date of Contractual Cash Flows Not Expected to be Collected		2,712
Acquired receivables not subject to ASC 310-30, Fair Value of Acquired Loans at Acquisition Date		180,311
Acquired receivables not subject to ASC 310-30, Gross Contractual Amounts Receivable at Acquisition Date		184,906
Acquired receivables not subject to ASC 310-30, Best Estimate at Acquisition Date of Contractual Cash Flows Not Expected to be Collected		$ 0
Jacksonville Bancorp, Inc [Member]
Acquired receivables subject to ASC 310-30, Fair Value of Acquired Loans at Acquisition Date	$ 28,255
Acquired receivables subject to ASC 310-30, Gross Contractual Amounts Receivable at Acquisition Date	42,314
Acquired receivables subject to ASC 310-30, Best Estimate at Acquisition Date of Contractual Cash Flows Not Expected to be Collected	7,877
Acquired receivables not subject to ASC 310-30, Fair Value of Acquired Loans at Acquisition Date	374,687
Acquired receivables not subject to ASC 310-30, Gross Contractual Amounts Receivable at Acquisition Date	488,346
Acquired receivables not subject to ASC 310-30, Best Estimate at Acquisition Date of Contractual Cash Flows Not Expected to be Collected	$ 0

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BUSINESS COMBINATIONS (Details 3) - Coastal Bankshares, Inc. [Member] - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Net interest income and noninterest income	$ 85,931	$ 77,325	$ 247,697	$ 210,556
Net income	21,557	17,076	54,658	32,621
Net income available to common stockholders	$ 21,557	$ 17,076	$ 54,658	$ 32,621
Income per common share available to common stockholders - basic	$ 0.62	$ 0.49	$ 1.57	$ 0.95
Income per common share available to common stockholders - diluted	$ 0.61	$ 0.49	$ 1.56	$ 0.95
Average number of shares outstanding, basic	34,870	34,744	34,817	34,163
Average number of shares outstanding, diluted	35,195	35,102	35,131	34,511

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BUSINESS COMBINATIONS (Details 4) - USD ($) $ in Thousands	9 Months Ended		12 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Transfers to purchased non-covered other real estate owned	$ (3,871)	$ (2,565)
Non Covered Loan [Member]
Balance, beginning of year	771,554	674,239	$ 674,239
Charge-offs, net of recoveries	(904)	(814)	(991)
Additions due to acquisitions	402,942	195,818	195,818
Accretion	10,071	8,055	10,590
Transfers to purchased non-covered other real estate owned	(3,871)	(2,565)	(4,473)
Transfer from covered loans due to loss-share expiration	45,908	15,462	50,568
Payments received	(158,700)	(123,311)	(154,666)
Other	90	610	469
Balance, ending of year	$ 1,067,090	$ 767,494	$ 771,554

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BUSINESS COMBINATIONS (Details 5) - USD ($) $ in Thousands	9 Months Ended		12 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Schedule Of Covered Loans Acquired Accretable Discounts [Line Items]
Accretion	$ (10,071)	$ (8,055)
Non Covered Loan [Member]
Schedule Of Covered Loans Acquired Accretable Discounts [Line Items]
Balance, beginning of year	771,554	674,239	$ 674,239
Additions due to acquisitions	402,942	195,818	195,818
Transfer from covered loans due to loss-share expiration	45,908	15,462	50,568
Balance, ending of year	1,067,090	767,494	771,554
Discount Accretion [Member] | Non Covered Loan [Member]
Schedule Of Covered Loans Acquired Accretable Discounts [Line Items]
Balance, beginning of year	24,785	25,716	25,716
Additions due to acquisitions	9,991	4,686	5,788
Accretion	(10,071)	(8,055)	(10,590)
Transfer from covered loans due to loss-share expiration	3,457	0	1,665
Accretable discounts removed due to charge-offs	(161)	(1,686)	(1,768)
Transfers between non-accretable and accretable discounts, net	2,263	(106)	3,974
Balance, ending of year	$ 30,264	$ 20,555	$ 24,785

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BUSINESS COMBINATIONS (Details Textual)			1 Months Ended	9 Months Ended
	Mar. 11, 2016 USD ($) shares	Jun. 12, 2015 USD ($)	May 22, 2015 USD ($)	Sep. 30, 2016 USD ($)	Sep. 30, 2015 USD ($)	Dec. 31, 2015 USD ($)
Goodwill, excess of the merger consideration over fair value of net assets				$ 122,545,000	$ 87,701,000	$ 90,082,000
Description of Merger Agreement	Under the terms of the merger, JAXBs common shareholders received 0.5861 shares of Ameris common stock or $16.50 in cash for each share of JAXB common stock or nonvoting common stock they previously held, subject to the total consideration being allocated 75% stock and 25% cash.
Business Combination, Consideration Transferred, Equity Interests Issued and Issuable				$ 72,455,000	$ 0
Merchants and Southern Banks of Florida [Member]
Number of banking locations			13
Goodwill, excess of the merger consideration over fair value of net assets			$ 0
Fair value of loans acquired			191,500,000
Net of loans acquired			$ 8,400,000
Estimated discount			4.21%
Accretable yield			$ 11,200,000
Payments to Acquire Businesses, Gross			50,000,000
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Property, Plant, and Equipment			14,614,000
Purchase price			50,000,000
Merchants and Southern Banks of Florida [Member] | As Recorded by Acquired Bank [Member]
Goodwill, excess of the merger consideration over fair value of net assets			14,634,000
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Property, Plant, and Equipment			$ 10,934,000
Bank Of America [Member]
Goodwill, excess of the merger consideration over fair value of net assets		$ 0
Fair value of loans acquired		4,000,000
Net of loans acquired		4,000,000
Accretable yield		$ 364,000
Number Of Bank Branches		18
Deposit Premium On Deposits Assumed		3.00%
Average Daily Deposits Period		15 years
Payments to Acquire Businesses, Gross		$ 20,000,000
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Property, Plant, and Equipment		10,348,000
Purchase price		20,002,000
Bank Of America [Member] | As Recorded by Acquired Bank [Member]
Goodwill, excess of the merger consideration over fair value of net assets		11,210,000
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Property, Plant, and Equipment		$ 10,653,000
Jacksonville Bancorp, Inc [Member]
Goodwill, excess of the merger consideration over fair value of net assets	$ 0
Issuance of common stock, shares | shares	2,549,469
Accretable yield	$ 28,300,000
Payments to Acquire Businesses, Gross	23,937,000
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Property, Plant, and Equipment	4,798,000
Purchase price	96,392,000
Discount on loans acquired	$ 13,900,000
Percentage of discount on loans acquired	3.33%
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Noncurrent Liabilities, Long-term Debt	$ 402,900,000
Business Combination, Consideration Transferred, Equity Interests Issued and Issuable	72,455,000
Jacksonville Bancorp, Inc [Member] | As Recorded by Acquired Bank [Member]
Goodwill, excess of the merger consideration over fair value of net assets	$ 32,498,000
Issuance of common stock, shares | shares	2,549,469
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Property, Plant, and Equipment	$ 4,767,000

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INVESTMENT SECURITIES (Details) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	$ 821,410	$ 778,261	$ 804,680
Gross Unrealized Gains	17,079	8,136	9,259
Gross Unrealized Losses	(365)	(3,212)	(2,554)
Fair Value	838,124	783,185	811,385
U.S. government sponsored agencies [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	999	14,959	14,957
Gross Unrealized Gains	29	0	26
Gross Unrealized Losses	0	(69)	(15)
Fair Value	1,028	14,890	14,968
State, county and municipal securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	150,083	157,681	161,509
Gross Unrealized Gains	5,939	4,046	3,875
Gross Unrealized Losses	(28)	(411)	(519)
Fair Value	155,994	161,316	164,865
Corporate Debt Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	28,924	5,900	5,901
Gross Unrealized Gains	194	145	150
Gross Unrealized Losses	(20)	(28)	(19)
Fair Value	29,098	6,017	6,032
Mortgage-backed securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	641,404	599,721	622,313
Gross Unrealized Gains	10,917	3,945	5,208
Gross Unrealized Losses	(317)	(2,704)	(2,001)
Fair Value	$ 652,004	$ 600,962	$ 625,520

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INVESTMENT SECURITIES (Details 1) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015
Schedule of Available-for-sale Securities [Line Items]
Due in one year or less, Amortized Cost	$ 5,260
Due from one year to five years, Amortized Cost	63,450
Due from five to ten years, Amortized Cost	56,521
Due after ten years, Amortized Cost	54,775
Mortgage-backed Securities, Amortized Cost	641,404
Amortized Cost	821,410	$ 778,261	$ 804,680
Due in one year or less,Fair Value	5,312
Due from one year to five years, Fair Value	65,135
Due from five to ten years, Fair Value	59,169
Due after ten years, Fair Value	56,504
Mortgage-backed securities, Fair Value	652,004
Total Fair Value	$ 838,124	$ 783,185	$ 811,385

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INVESTMENT SECURITIES (Details 2) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015
Schedule of Available-for-sale Securities [Line Items]
Less Than 12 Months, Fair Value	$ 74,330	$ 293,889	$ 242,672
12 Months or More, Fair Value	14,640	46,465	46,144
Total Fair Value	88,970	340,354	288,816
Less Than 12 Months, Unrealized Losses	(217)	(2,204)	(1,500)
12 Months or More, Unrealized Losses	(148)	(1,008)	(1,054)
Total Unrealized Losses	(365)	(3,212)	(2,554)
US Government Agencies [Member]
Schedule of Available-for-sale Securities [Line Items]
Less Than 12 Months, Fair Value	0	9,932	0
12 Months or More, Fair Value	0	4,958	4,985
Total Fair Value	0	14,890	4,985
Less Than 12 Months, Unrealized Losses	0	(27)	0
12 Months or More, Unrealized Losses	0	(42)	(15)
Total Unrealized Losses	0	(69)	(15)
State, county and municipal securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Less Than 12 Months, Fair Value	4,398	19,293	28,339
12 Months or More, Fair Value	1,634	11,557	10,451
Total Fair Value	6,032	30,850	38,790
Less Than 12 Months, Unrealized Losses	(17)	(199)	(297)
12 Months or More, Unrealized Losses	(11)	(212)	(222)
Total Unrealized Losses	(28)	(411)	(519)
Corporate Debt Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Less Than 12 Months, Fair Value	3,012	1,383	894
12 Months or More, Fair Value	487	0	0
Total Fair Value	3,499	1,383	894
Less Than 12 Months, Unrealized Losses	(5)	(28)	(19)
12 Months or More, Unrealized Losses	(15)	0	0
Total Unrealized Losses	(20)	(28)	(19)
Mortgage-Backed Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Less Than 12 Months, Fair Value	66,920	263,281	213,439
12 Months or More, Fair Value	12,519	29,950	30,708
Total Fair Value	79,439	293,231	244,147
Less Than 12 Months, Unrealized Losses	(195)	(1,950)	(1,184)
12 Months or More, Unrealized Losses	(122)	(754)	(817)
Total Unrealized Losses	$ (317)	$ (2,704)	$ (2,001)

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INVESTMENT SECURITIES (Details 3) - USD ($) $ in Thousands	9 Months Ended		12 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Schedule of Available-for-sale Securities [Line Items]
Gross gains on sales of securities	$ 312	$ 396	$ 396
Gross losses on sales of securities	(218)	(259)	(259)
Net realized gains on sales of securities available for sale	94	137	137
Sales proceeds	$ 53,026	$ 69,208	$ 72,528

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INVESTMENT SECURITIES (Details Textual) $ in Millions	Sep. 30, 2016 USD ($)	Dec. 31, 2015 USD ($)	Sep. 30, 2015 USD ($)
Schedule of Available-for-sale Securities [Line Items]
Pledged Securities, carrying value	$ 416.8	$ 551.0	$ 381.9
Debt Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Number Of Securities In Security Portfolio	414
Number of securities in unrealized loss position	28
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member]
Schedule of Available-for-sale Securities [Line Items]
Number of securities in unrealized loss position	23
State, County and Municipal Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Number of securities in unrealized loss position	3
Corporate Debt Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Number of securities in unrealized loss position	2

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LOANS (Details) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and Leases Receivable, Net of Deferred Income	$ 3,091,039	$ 2,406,877	$ 2,290,649
Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and Leases Receivable, Net of Deferred Income	3,091,039	2,406,877	2,290,649
Commercial, financial & agricultural [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and Leases Receivable, Net of Deferred Income	625,947	449,623	427,747
Real Estate - construction & development [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and Leases Receivable, Net of Deferred Income	328,308	244,693	220,798
Real Estate - Commercial & Farmland [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and Leases Receivable, Net of Deferred Income	1,297,582	1,104,991	1,067,828
Real Estate - Residential [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and Leases Receivable, Net of Deferred Income	766,933	570,430	532,285
Consumer installment [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and Leases Receivable, Net of Deferred Income	68,305	31,125	31,299
Other [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and Leases Receivable, Net of Deferred Income	$ 3,964	$ 6,015	$ 10,692

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LOANS (Details 1) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total non-covered loans	$ 22,963	$ 21,062	$ 22,471
Purchased Non-Covered Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total non-covered loans	1,067,090	771,554	767,494
Purchased Non-Covered Loans [Member] | Commercial, financial & agricultural [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total non-covered loans	99,596	45,462	42,350
Purchased Non-Covered Loans [Member] | Real Estate - construction & development [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total non-covered loans	86,099	72,080	71,109
Purchased Non-Covered Loans [Member] | Real Estate - Commercial & Farmland [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total non-covered loans	590,388	390,755	385,032
Purchased Non-Covered Loans [Member] | Real Estate - Residential [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total non-covered loans	286,169	258,153	263,312
Purchased Non-Covered Loans [Member] | Consumer installment [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total non-covered loans	$ 4,838	$ 5,104	$ 5,691

XML

LOANS (Details 2) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015
Accounts, Notes, Loans and Financing Receivable [Line Items]
Covered Loans	$ 62,291	$ 137,529	$ 191,021
Commercial, financial & agricultural [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Covered Loans	830	5,546	13,349
Real Estate - construction & development [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Covered Loans	3,220	7,612	14,266
Real Estate - commercial & farmland [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Covered Loans	13,688	71,226	103,399
Real Estate - residential [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Covered Loans	44,457	53,038	59,835
Consumer installment [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Covered Loans	$ 96	$ 107	$ 172

XML

LOANS (Details 3) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015
Excluding Purchased Non-Covered and Covered Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccrual loans	$ 16,570	$ 16,860	$ 20,558
Purchased Non-Covered Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccrual loans	17,993	13,330	11,374
Covered Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccrual loans	5,834	13,238	33,084
Commercial, financial & agricultural [Member] | Excluding Purchased Non-Covered and Covered Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccrual loans	1,313	1,302	1,995
Commercial, financial & agricultural [Member] | Purchased Non-Covered Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccrual loans	744	1,064	214
Commercial, financial & agricultural [Member] | Covered Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccrual loans	128	2,803	7,916
Real Estate - construction & development [Member] | Excluding Purchased Non-Covered and Covered Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccrual loans	1,255	1,812	1,753
Real Estate - construction & development [Member] | Purchased Non-Covered Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccrual loans	2,403	1,106	916
Real Estate - construction & development [Member] | Covered Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccrual loans	60	1,701	2,934
Real Estate - Commercial & Farmland [Member] | Excluding Purchased Non-Covered and Covered Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccrual loans	7,485	7,019	11,645
Real Estate - Commercial & Farmland [Member] | Purchased Non-Covered Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccrual loans	7,796	4,920	4,728
Real Estate - Commercial & Farmland [Member] | Covered Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccrual loans	1,540	5,034	18,164
Real Estate - Residential [Member] | Excluding Purchased Non-Covered and Covered Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccrual loans	5,999	6,278	4,810
Real Estate - Residential [Member] | Purchased Non-Covered Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccrual loans	7,012	6,168	5,464
Real Estate - Residential [Member] | Covered Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccrual loans	4,078	3,663	3,979
Consumer installment [Member] | Excluding Purchased Non-Covered and Covered Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccrual loans	518	449	355
Consumer installment [Member] | Purchased Non-Covered Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccrual loans	38	72	52
Consumer installment [Member] | Covered Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccrual loans	$ 28	$ 37	$ 91

XML

LOANS (Details 4) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	$ 58,200		$ 77,400
Total Loans	3,091,039	$ 2,406,877	2,290,649
Excluding Purchased Non-Covered and Covered Loans [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	27,337	26,268	32,268
Current Loans	3,063,702	2,380,609	2,258,381
Total Loans	3,091,039	2,406,877	2,290,649
Loans 90 Days or More Past Due and Still Accruing	0	0	0
Excluding Purchased Non-Covered and Covered Loans [Member] | Financing Receivables, 30 to 59 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	12,247	7,942	12,990
Excluding Purchased Non-Covered and Covered Loans [Member] | Financing Receivables, 60 to 89 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	1,688	3,481	3,170
Excluding Purchased Non-Covered and Covered Loans [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	13,402	14,845	16,108
Commercial Financial And Agricultural [Member] | Excluding Purchased Non-Covered and Covered Loans [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	2,268	1,674	3,294
Current Loans	623,679	447,949	424,453
Total Loans	625,947	449,623	427,747
Loans 90 Days or More Past Due and Still Accruing	0	0	0
Commercial Financial And Agricultural [Member] | Excluding Purchased Non-Covered and Covered Loans [Member] | Financing Receivables, 30 to 59 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	798	568	781
Commercial Financial And Agricultural [Member] | Excluding Purchased Non-Covered and Covered Loans [Member] | Financing Receivables, 60 to 89 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	336	271	714
Commercial Financial And Agricultural [Member] | Excluding Purchased Non-Covered and Covered Loans [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	1,134	835	1,799
Real Estate Construction And Development [Member] | Excluding Purchased Non-Covered and Covered Loans [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	6,633	3,413	3,354
Current Loans	321,675	241,280	217,444
Total Loans	328,308	244,693	220,798
Loans 90 Days or More Past Due and Still Accruing	0	0	0
Real Estate Construction And Development [Member] | Excluding Purchased Non-Covered and Covered Loans [Member] | Financing Receivables, 30 to 59 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	5,320	1,413	1,184
Real Estate Construction And Development [Member] | Excluding Purchased Non-Covered and Covered Loans [Member] | Financing Receivables, 60 to 89 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	177	261	417
Real Estate Construction And Development [Member] | Excluding Purchased Non-Covered and Covered Loans [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	1,136	1,739	1,753
Commercial And Farmland [Member] | Excluding Purchased Non-Covered and Covered Loans [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	8,713	9,334	12,756
Current Loans	1,288,869	1,095,657	1,055,072
Total Loans	1,297,582	1,104,991	1,067,828
Loans 90 Days or More Past Due and Still Accruing	0	0	0
Commercial And Farmland [Member] | Excluding Purchased Non-Covered and Covered Loans [Member] | Financing Receivables, 30 to 59 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	2,726	1,781	4,275
Commercial And Farmland [Member] | Excluding Purchased Non-Covered and Covered Loans [Member] | Financing Receivables, 60 to 89 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	199	641	399
Commercial And Farmland [Member] | Excluding Purchased Non-Covered and Covered Loans [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	5,788	6,912	8,082
Real Estate - Residential [Member] | Excluding Purchased Non-Covered and Covered Loans [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	8,727	11,047	12,229
Current Loans	758,206	559,383	520,056
Total Loans	766,933	570,430	532,285
Loans 90 Days or More Past Due and Still Accruing	0	0	0
Real Estate - Residential [Member] | Excluding Purchased Non-Covered and Covered Loans [Member] | Financing Receivables, 30 to 59 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	2,890	3,806	6,424
Real Estate - Residential [Member] | Excluding Purchased Non-Covered and Covered Loans [Member] | Financing Receivables, 60 to 89 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	802	2,120	1,558
Real Estate - Residential [Member] | Excluding Purchased Non-Covered and Covered Loans [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	5,035	5,121	4,247
Consumer Installment [Member] | Excluding Purchased Non-Covered and Covered Loans [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	996	800	635
Current Loans	67,309	30,325	30,664
Total Loans	68,305	31,125	31,299
Loans 90 Days or More Past Due and Still Accruing	0	0	0
Consumer Installment [Member] | Excluding Purchased Non-Covered and Covered Loans [Member] | Financing Receivables, 30 to 59 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	513	374	326
Consumer Installment [Member] | Excluding Purchased Non-Covered and Covered Loans [Member] | Financing Receivables, 60 to 89 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	174	188	82
Consumer Installment [Member] | Excluding Purchased Non-Covered and Covered Loans [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	309	238	227
Other [Member] | Excluding Purchased Non-Covered and Covered Loans [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	0	0	0
Current Loans	3,964	6,015	10,692
Total Loans	3,964	6,015	10,692
Loans 90 Days or More Past Due and Still Accruing	0	0	0
Other [Member] | Excluding Purchased Non-Covered and Covered Loans [Member] | Financing Receivables, 30 to 59 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	0	0	0
Other [Member] | Excluding Purchased Non-Covered and Covered Loans [Member] | Financing Receivables, 60 to 89 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	0	0	0
Other [Member] | Excluding Purchased Non-Covered and Covered Loans [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	$ 0	$ 0	$ 0

XML

LOANS (Details 5) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	$ 58,200		$ 77,400
Total Loans	3,091,039	$ 2,406,877	2,290,649
Purchased Non Covered Loans [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	22,369	22,264	18,178
Current Loans	1,044,721	749,290	749,316
Total Loans	1,067,090	771,554	767,494
Loans 90 Days or More Past Due and Still Accruing	0	0	0
Purchased Non Covered Loans [Member] | Financing Receivables, 30 to 59 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	4,646	8,139	6,970
Purchased Non Covered Loans [Member] | Financing Receivables, 60 to 89 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	3,243	4,514	2,296
Purchased Non Covered Loans [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	14,480	9,611	8,912
Commercial Financial And Agricultural [Member] | Purchased Non Covered Loans [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	868	1,107	263
Current Loans	98,728	44,355	42,087
Total Loans	99,596	45,462	42,350
Loans 90 Days or More Past Due and Still Accruing	0	0	0
Commercial Financial And Agricultural [Member] | Purchased Non Covered Loans [Member] | Financing Receivables, 30 to 59 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	244	248	140
Commercial Financial And Agricultural [Member] | Purchased Non Covered Loans [Member] | Financing Receivables, 60 to 89 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	0	13	11
Commercial Financial And Agricultural [Member] | Purchased Non Covered Loans [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	624	846	112
Real Estate Construction And Development [Member] | Purchased Non Covered Loans [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	3,385	1,523	781
Current Loans	82,714	70,557	70,328
Total Loans	86,099	72,080	71,109
Loans 90 Days or More Past Due and Still Accruing	0	0	0
Real Estate Construction And Development [Member] | Purchased Non Covered Loans [Member] | Financing Receivables, 30 to 59 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	1,082	416	322
Real Estate Construction And Development [Member] | Purchased Non Covered Loans [Member] | Financing Receivables, 60 to 89 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	233	687	0
Real Estate Construction And Development [Member] | Purchased Non Covered Loans [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	2,070	420	459
Commercial And Farmland [Member] | Purchased Non Covered Loans [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	8,774	7,455	6,685
Current Loans	581,614	383,300	378,347
Total Loans	590,388	390,755	385,032
Loans 90 Days or More Past Due and Still Accruing	0	0	0
Commercial And Farmland [Member] | Purchased Non Covered Loans [Member] | Financing Receivables, 30 to 59 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	1,806	2,479	2,681
Commercial And Farmland [Member] | Purchased Non Covered Loans [Member] | Financing Receivables, 60 to 89 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	599	1,629	613
Commercial And Farmland [Member] | Purchased Non Covered Loans [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	6,369	3,347	3,391
Residential Real Estate [Member] | Purchased Non Covered Loans [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	9,004	12,069	10,395
Current Loans	277,165	246,084	252,917
Total Loans	286,169	258,153	263,312
Loans 90 Days or More Past Due and Still Accruing	0	0	0
Residential Real Estate [Member] | Purchased Non Covered Loans [Member] | Financing Receivables, 30 to 59 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	1,481	4,965	3,822
Residential Real Estate [Member] | Purchased Non Covered Loans [Member] | Financing Receivables, 60 to 89 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	2,144	2,176	1,672
Residential Real Estate [Member] | Purchased Non Covered Loans [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	5,379	4,928	4,901
Consumer Installment [Member] | Purchased Non Covered Loans [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	338	110	54
Current Loans	4,500	4,994	5,637
Total Loans	4,838	5,104	5,691
Loans 90 Days or More Past Due and Still Accruing	0	0	0
Consumer Installment [Member] | Purchased Non Covered Loans [Member] | Financing Receivables, 30 to 59 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	33	31	5
Consumer Installment [Member] | Purchased Non Covered Loans [Member] | Financing Receivables, 60 to 89 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	267	9	0
Consumer Installment [Member] | Purchased Non Covered Loans [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans Past Due	$ 38	$ 70	$ 49

XML

LOANS (Details 6) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans Past Due	$ 58,200		$ 77,400
Total Loans	3,091,039	$ 2,406,877	2,290,649
Covered Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans Past Due	5,732	13,821	25,708
Current Loans	56,559	123,708	165,313
Total Loans	62,291	137,529	191,021
Loans 90 Days or More Past Due and Still Accruing	0	0	0
Covered Loans [Member] | Financing Receivables, 30 to 59 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans Past Due	2,067	2,421	5,203
Covered Loans [Member] | Financing Receivables, 60 to 89 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans Past Due	947	1,206	1,449
Covered Loans [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans Past Due	2,718	10,194	19,056
Commercial, financial & agricultural [Member] | Covered Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans Past Due	128	2,802	7,974
Current Loans	702	2,744	5,375
Total Loans	830	5,546	13,349
Loans 90 Days or More Past Due and Still Accruing	0	0	0
Commercial, financial & agricultural [Member] | Covered Loans [Member] | Financing Receivables, 30 to 59 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans Past Due	0	0	40
Commercial, financial & agricultural [Member] | Covered Loans [Member] | Financing Receivables, 60 to 89 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans Past Due	0	0	48
Commercial, financial & agricultural [Member] | Covered Loans [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans Past Due	128	2,802	7,886
Real Estate - construction & development [Member] | Covered Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans Past Due	118	1,729	4,024
Current Loans	3,102	5,883	10,242
Total Loans	3,220	7,612	14,266
Loans 90 Days or More Past Due and Still Accruing	0	0	0
Real Estate - construction & development [Member] | Covered Loans [Member] | Financing Receivables, 30 to 59 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans Past Due	114	96	1,548
Real Estate - construction & development [Member] | Covered Loans [Member] | Financing Receivables, 60 to 89 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans Past Due	4	0	68
Real Estate - construction & development [Member] | Covered Loans [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans Past Due	0	1,633	2,408
Commercial And Farmland [Member] | Covered Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans Past Due	907	3,439	8,126
Current Loans	12,781	67,787	95,273
Total Loans	13,688	71,226	103,399
Loans 90 Days or More Past Due and Still Accruing	0	0	0
Commercial And Farmland [Member] | Covered Loans [Member] | Financing Receivables, 30 to 59 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans Past Due	906	170	1,003
Commercial And Farmland [Member] | Covered Loans [Member] | Financing Receivables, 60 to 89 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans Past Due	0	205	550
Commercial And Farmland [Member] | Covered Loans [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans Past Due	1	3,064	6,573
Residential Real Estate [Member] | Covered Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans Past Due	4,579	5,814	5,535
Current Loans	39,878	47,224	54,300
Total Loans	44,457	53,038	59,835
Loans 90 Days or More Past Due and Still Accruing	0	0	0
Residential Real Estate [Member] | Covered Loans [Member] | Financing Receivables, 30 to 59 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans Past Due	1,047	2,155	2,612
Residential Real Estate [Member] | Covered Loans [Member] | Financing Receivables, 60 to 89 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans Past Due	943	1,001	783
Residential Real Estate [Member] | Covered Loans [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans Past Due	2,589	2,658	2,140
Consumer installment [Member] | Covered Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans Past Due	0	37	49
Current Loans	96	70	123
Total Loans	96	107	172
Loans 90 Days or More Past Due and Still Accruing	0	0	0
Consumer installment [Member] | Covered Loans [Member] | Financing Receivables, 30 to 59 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans Past Due	0	0	0
Consumer installment [Member] | Covered Loans [Member] | Financing Receivables, 60 to 89 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans Past Due	0	0	0
Consumer installment [Member] | Covered Loans [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans Past Due	$ 0	$ 37	$ 49

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LOANS (Details 7) - Loans Excluding Purchased Non Covered And Covered Loan [Member] - USD ($) $ in Thousands	3 Months Ended			9 Months Ended		12 Months Ended
	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccrual loans	$ 16,570	$ 16,860	$ 20,558	$ 16,570	$ 20,558	$ 16,860
Troubled debt restructurings not included above	14,013	14,418	12,075	14,013	12,075	14,418
Total impaired loans	30,583	31,278	32,633	30,583	32,633	31,278
Interest income recognized on impaired loans	252	274	241	808	635	909
Foregone interest income on impaired loans	$ 239	$ 265	$ 309	$ 710	$ 939	$ 1,204

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LOANS (Details 8) - Loans Excluding Purchased Non Covered And Covered Loan [Member] - USD ($) $ in Thousands	3 Months Ended			9 Months Ended		12 Months Ended
	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Accounts, Notes, Loans and Financing Receivable [Line Items]
Unpaid Contractual Principal Balance	$ 34,491	$ 37,429	$ 38,243	$ 34,491	$ 38,243	$ 37,429
Recorded Investment With No Allowance	7,797	8,711	8,323	7,797	8,323	8,711
Recorded Investment With Allowance	22,786	22,567	24,309	22,786	24,309	22,567
Total impaired loans	30,583	31,278	32,633	30,583	32,633	31,278
Related Allowance	4,182	4,209	4,773	4,182	4,773	4,209
Average Recorded Investment	30,691	31,955	32,919	30,686	33,522	33,073
Commercial, financial & agricultural [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Unpaid Contractual Principal Balance	2,568	3,062	3,761	2,568	3,761	3,062
Recorded Investment With No Allowance	252	158	471	252	471	158
Recorded Investment With Allowance	1,114	1,385	1,762	1,114	1,762	1,385
Total impaired loans	1,366	1,543	2,233	1,366	2,233	1,543
Related Allowance	118	135	528	118	528	135
Average Recorded Investment	1,736	1,887	3,289	1,640	2,458	2,275
Real Estate - construction & development [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Unpaid Contractual Principal Balance	2,972	3,581	3,757	2,972	3,757	3,581
Recorded Investment With No Allowance	0	230	230	0	230	230
Recorded Investment With Allowance	1,946	2,374	2,361	1,946	2,361	2,374
Total impaired loans	1,946	2,604	2,591	1,946	2,591	2,604
Related Allowance	537	774	731	537	731	774
Average Recorded Investment	2,001	2,598	2,503	2,214	3,384	3,228
Commercial And Farmland [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Unpaid Contractual Principal Balance	14,015	14,385	18,652	14,015	18,652	14,385
Recorded Investment With No Allowance	5,499	6,702	5,870	5,499	5,870	6,702
Recorded Investment With Allowance	7,520	6,083	11,494	7,520	11,494	6,083
Total impaired loans	13,019	12,785	17,364	13,019	17,364	12,785
Related Allowance	873	1,067	1,635	873	1,635	1,067
Average Recorded Investment	12,776	15,074	16,459	12,837	15,684	15,105
Residential Real Estate [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Unpaid Contractual Principal Balance	14,350	15,809	11,549	14,350	11,549	15,809
Recorded Investment With No Allowance	2,046	1,621	1,752	2,046	1,752	1,621
Recorded Investment With Allowance	11,667	12,230	8,266	11,667	8,266	12,230
Total impaired loans	13,713	13,851	10,018	13,713	10,018	13,851
Related Allowance	2,648	2,224	1,872	2,648	1,872	2,224
Average Recorded Investment	13,686	11,935	10,185	13,516	11,509	11,977
Consumer installment [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Unpaid Contractual Principal Balance	586	592	524	586	524	592
Recorded Investment With No Allowance	0	0	0	0	0	0
Recorded Investment With Allowance	539	495	426	539	426	495
Total impaired loans	539	495	426	539	426	495
Related Allowance	6	9	7	6	7	9
Average Recorded Investment	$ 492	$ 461	$ 483	$ 479	$ 487	$ 488

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LOANS (Details 9) - Purchased Non Covered Loans [Member] - USD ($) $ in Thousands	3 Months Ended			9 Months Ended		12 Months Ended
	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccrual loans	$ 17,993	$ 13,330	$ 11,374	$ 17,993	$ 11,374	$ 13,330
Troubled debt restructurings not included above	9,294	9,373	7,188	9,294	7,188	9,373
Total impaired loans	27,287	22,703	18,562	27,287	18,562	22,703
Interest income recognized on impaired loans	1,339	442	158	1,885	342	785
Forgone interest income on impaired loans	$ 264	$ 245	$ 198	$ 883	$ 1,121	$ 1,365

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LOANS (Details 10) - Purchased Non Covered Loans [Member] - USD ($) $ in Thousands	3 Months Ended			9 Months Ended		12 Months Ended
	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Accounts, Notes, Loans and Financing Receivable [Line Items]
Unpaid Contractual Principal Balance	$ 74,619	$ 42,129	$ 36,264	$ 74,619	$ 36,264	$ 42,129
Recorded Investment With No Allowance	5,278	22,703	18,562	5,278	18,562	22,703
Recorded Investment With Allowance	22,009	0	0	22,009	0	0
Total Recorded Investment	27,287	22,703	18,562	27,287	18,562	22,703
Related Allowance	1,285	0	0	1,285	0	0
Average Recorded Investment	26,054	20,633	21,402	25,799	20,275	20,759
Commercial Financial And Agricultural [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Unpaid Contractual Principal Balance	4,801	3,103	1,137	4,801	1,137	3,103
Recorded Investment With No Allowance	520	1,066	214	520	214	1,066
Recorded Investment With Allowance	225	0	0	225	0	0
Total Recorded Investment	745	1,066	214	745	214	1,066
Related Allowance	0	0	0	0	0	0
Average Recorded Investment	710	640	262	787	224	392
Real Estate Construction And Development [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Unpaid Contractual Principal Balance	23,284	8,987	9,211	23,284	9,211	8,987
Recorded Investment With No Allowance	233	1,469	1,268	233	1,268	1,469
Recorded Investment With Allowance	2,699	0	0	2,699	0	0
Total Recorded Investment	2,932	1,469	1,268	2,932	1,268	1,469
Related Allowance	183	0	0	183	0	0
Average Recorded Investment	2,306	1,369	1,563	2,053	1,419	1,429
Commercial And Farmland [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Unpaid Contractual Principal Balance	34,021	14,999	13,399	34,021	13,399	14,999
Recorded Investment With No Allowance	1,778	11,134	8,799	1,778	8,799	11,134
Recorded Investment With Allowance	11,858	0	0	11,858	0	0
Total Recorded Investment	13,636	11,134	8,799	13,636	8,799	11,134
Related Allowance	380	0	0	380	0	0
Average Recorded Investment	13,310	9,966	11,245	13,732	10,724	10,806
Residential Real Estate [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Unpaid Contractual Principal Balance	12,458	14,946	12,443	12,458	12,443	14,946
Recorded Investment With No Allowance	2,705	8,957	8,224	2,705	8,224	8,957
Recorded Investment With Allowance	7,227	0	0	7,227	0	0
Total Recorded Investment	9,932	8,957	8,224	9,932	8,224	8,957
Related Allowance	722	0	0	722	0	0
Average Recorded Investment	9,685	8,591	8,255	9,163	7,845	8,067
Consumer installment [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Unpaid Contractual Principal Balance	55	94	74	55	74	94
Recorded Investment With No Allowance	42	77	57	42	57	77
Recorded Investment With Allowance	0	0	0	0	0	0
Total Recorded Investment	42	77	57	42	57	77
Related Allowance	0	0	0	0	0	0
Average Recorded Investment	$ 43	$ 67	$ 76	$ 64	$ 63	$ 65

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LOANS (Details 11) - Impaired Covered Loans [Member] - USD ($) $ in Thousands	3 Months Ended			9 Months Ended		12 Months Ended
	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccrual loans	$ 5,834	$ 13,238	$ 33,084	$ 5,834	$ 33,084	$ 13,238
Troubled debt restructurings not included above	11,823	13,283	16,576	11,823	16,576	13,283
Total impaired loans	17,657	26,521	49,660	17,657	49,660	26,521
Interest income recognized on impaired loans	154	154	268	493	732	886
Foregone interest income on impaired loans	$ 82	$ 181	$ 468	$ 400	$ 1,416	$ 1,596

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LOANS (Details 12) - Covered Loans [Member] - USD ($) $ in Thousands	3 Months Ended			9 Months Ended		12 Months Ended
	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Accounts, Notes, Loans and Financing Receivable [Line Items]
Unpaid Contractual Principal Balance	$ 22,835	$ 56,705	$ 101,337	$ 22,835	$ 101,337	$ 56,705
Recorded Investment With No Allowance	5,076	26,521	49,660	5,076	49,660	26,521
Recorded Investment With Allowance	12,581	0	0	12,581	0	0
Total Recorded Investment	17,657	26,521	49,660	17,657	49,660	26,521
Related Allowance	236	0	0	236	0	0
Average Recorded Investment	20,109	38,091	50,470	23,094	54,514	48,914
Commercial, financial & agricultural [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Unpaid Contractual Principal Balance	296	5,188	11,794	296	11,794	5,188
Recorded Investment With No Allowance	128	2,802	7,918	128	7,918	2,802
Recorded Investment With Allowance	0	0	0	0	0	0
Total Recorded Investment	128	2,802	7,918	128	7,918	2,802
Related Allowance	0	0	0	0	0	0
Average Recorded Investment	128	5,360	8,625	1,464	8,560	7,408
Real Estate - construction & development [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Unpaid Contractual Principal Balance	969	15,119	29,596	969	29,596	15,119
Recorded Investment With No Allowance	63	2,480	5,780	63	5,780	2,480
Recorded Investment With Allowance	810	0	0	810	0	0
Total Recorded Investment	873	2,480	5,780	873	5,780	2,480
Related Allowance	1	0	0	1	0	0
Average Recorded Investment	1,640	4,130	6,166	2,022	8,013	6,906
Real Estate - Commercial & Farmland [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Unpaid Contractual Principal Balance	7,077	20,508	41,724	7,077	41,724	20,508
Recorded Investment With No Allowance	83	7,001	21,265	83	21,265	7,001
Recorded Investment With Allowance	3,258	0	0	3,258	0	0
Total Recorded Investment	3,341	7,001	21,265	3,341	21,265	7,001
Related Allowance	22	0	0	22	0	0
Average Recorded Investment	4,886	14,133	20,697	5,837	21,380	18,504
Residential Real Estate [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Unpaid Contractual Principal Balance	14,450	15,830	18,097	14,450	18,097	15,830
Recorded Investment With No Allowance	4,768	14,192	14,605	4,768	14,605	14,192
Recorded Investment With Allowance	8,513	0	0	8,513	0	0
Total Recorded Investment	13,281	14,192	14,605	13,281	14,605	14,192
Related Allowance	213	0	0	213	0	0
Average Recorded Investment	13,418	14,399	14,881	13,730	16,465	16,010
Consumer Installment [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Unpaid Contractual Principal Balance	43	60	126	43	126	60
Recorded Investment With No Allowance	34	46	92	34	92	46
Recorded Investment With Allowance	0	0	0	0	0	0
Total Recorded Investment	34	46	92	34	92	46
Related Allowance	0	0	0	0	0	0
Average Recorded Investment	$ 37	$ 69	$ 101	$ 41	$ 96	$ 86

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LOANS (Details 13) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	$ 3,091,039	$ 2,406,877	$ 2,290,649
Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	3,091,039	2,406,877	2,290,649
Commercial, financial & agricultural [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	625,947	449,623	427,747
Real Estate - construction & development [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	328,308	244,693	220,798
Real Estate - Commercial & Farmland [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	1,297,582	1,104,991	1,067,828
Real estate - residential [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	766,933	570,430	532,285
Consumer installment [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	68,305	31,125	31,299
Other [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	3,964	6,015	10,692
10 [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	398,781	250,609	231,281
10 [Member] | Commercial, financial & agricultural [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	381,814	241,721	222,693
10 [Member] | Real Estate - construction & development [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	294	294
10 [Member] | Real Estate - Commercial & Farmland [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	9,053	116	116
10 [Member] | Real estate - residential [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	127	1,606	1,490
10 [Member] | Consumer installment [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	7,787	6,872	6,688
10 [Member] | Other [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
15 [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	190,389	227,730	234,185
15 [Member] | Commercial, financial & agricultural [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	23,627	28,420	23,807
15 [Member] | Real Estate - construction & development [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	6,732	2,074	2,150
15 [Member] | Real Estate - Commercial & Farmland [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	105,298	117,880	123,515
15 [Member] | Real estate - residential [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	54,346	78,165	83,361
15 [Member] | Consumer installment [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	386	1,191	1,352
15 [Member] | Other [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
20 [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	1,608,073	1,224,320	1,148,024
20 [Member] | Commercial, financial & agricultural [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	105,573	97,142	99,414
20 [Member] | Real Estate - construction & development [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	41,759	46,221	45,091
20 [Member] | Real Estate - Commercial & Farmland [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	835,021	685,538	645,949
20 [Member] | Real estate - residential [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	596,886	369,624	327,576
20 [Member] | Consumer installment [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	24,870	19,780	19,302
20 [Member] | Other [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	3,964	6,015	10,692
23 [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	22,763	27,607	26,477
23 [Member] | Commercial, financial & agricultural [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	372	559	645
23 [Member] | Real Estate - construction & development [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	7,126	7,827	7,754
23 [Member] | Real Estate - Commercial & Farmland [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	8,719	13,073	11,792
23 [Member] | Real estate - residential [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	6,530	6,112	6,240
23 [Member] | Consumer installment [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	16	36	46
23 [Member] | Other [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
25 [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	797,148	609,413	579,642
25 [Member] | Commercial, financial & agricultural [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	108,887	77,829	75,635
25 [Member] | Real Estate - construction & development [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	266,728	183,512	159,944
25 [Member] | Real Estate - Commercial & Farmland [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	299,714	254,012	250,575
25 [Member] | Real estate - residential [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	87,480	91,465	90,320
25 [Member] | Consumer installment [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	34,339	2,595	3,168
25 [Member] | Other [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
30 [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	31,764	24,423	22,190
30 [Member] | Commercial, financial & agricultural [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	967	1,492	2,378
30 [Member] | Real Estate - construction & development [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	3,087	1,620	2,035
30 [Member] | Real Estate - Commercial & Farmland [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	23,457	13,821	9,762
30 [Member] | Real estate - residential [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	4,165	7,347	7,811
30 [Member] | Consumer installment [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	88	143	204
30 [Member] | Other [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
40 [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	42,121	42,773	48,848
40 [Member] | Commercial, financial & agricultural [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	4,707	2,460	3,175
40 [Member] | Real Estate - construction & development [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	2,876	3,145	3,530
40 [Member] | Real Estate - Commercial & Farmland [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	16,320	20,551	26,119
40 [Member] | Real estate - residential [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	17,399	16,111	15,487
40 [Member] | Consumer installment [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	819	506	537
40 [Member] | Other [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
50 [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	2
50 [Member] | Commercial, financial & agricultural [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
50 [Member] | Real Estate - construction & development [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
50 [Member] | Real Estate - Commercial & Farmland [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
50 [Member] | Real estate - residential [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
50 [Member] | Consumer installment [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	2
50 [Member] | Other [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
60 [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	2	0
60 [Member] | Commercial, financial & agricultural [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
60 [Member] | Real Estate - construction & development [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
60 [Member] | Real Estate - Commercial & Farmland [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
60 [Member] | Real estate - residential [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
60 [Member] | Consumer installment [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	2	0
60 [Member] | Other [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	$ 0	$ 0	$ 0

XML

LOANS (Details 14) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	$ 3,091,039	$ 2,406,877	$ 2,290,649
Purchased Non Covered Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	1,067,090	771,554	767,494
Purchased Non Covered Loans [Member] | 10 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	6,543	9,602	9,801
Purchased Non Covered Loans [Member] | 15 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	42,257	51,168	50,906
Purchased Non Covered Loans [Member] | 20 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	331,309	336,990	348,034
Purchased Non Covered Loans [Member] | 23 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	27,504	12,029	10,612
Purchased Non Covered Loans [Member] | 25 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	575,280	294,829	290,272
Purchased Non Covered Loans [Member] | 30 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	44,838	30,693	26,458
Purchased Non Covered Loans [Member] | 40 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	39,359	36,211	31,381
Purchased Non Covered Loans [Member] | 50 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	30	30
Purchased Non Covered Loans [Member] | 60 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	2	0
Purchased Non Covered Loans [Member] | Commercial Financial And Agricultural [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	99,596	45,462	42,350
Purchased Non Covered Loans [Member] | Commercial Financial And Agricultural [Member] | 10 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	5,676	8,592	8,741
Purchased Non Covered Loans [Member] | Commercial Financial And Agricultural [Member] | 15 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	1,055	1,186	1,229
Purchased Non Covered Loans [Member] | Commercial Financial And Agricultural [Member] | 20 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	16,726	10,057	10,982
Purchased Non Covered Loans [Member] | Commercial Financial And Agricultural [Member] | 23 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Purchased Non Covered Loans [Member] | Commercial Financial And Agricultural [Member] | 25 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	70,241	17,565	17,873
Purchased Non Covered Loans [Member] | Commercial Financial And Agricultural [Member] | 30 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	4,716	6,657	2,379
Purchased Non Covered Loans [Member] | Commercial Financial And Agricultural [Member] | 40 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	1,182	1,373	1,116
Purchased Non Covered Loans [Member] | Commercial Financial And Agricultural [Member] | 50 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	30	30
Purchased Non Covered Loans [Member] | Commercial Financial And Agricultural [Member] | 60 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	2	0
Purchased Non Covered Loans [Member] | Real Estate Construction And Development [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	86,099	72,080	71,109
Purchased Non Covered Loans [Member] | Real Estate Construction And Development [Member] | 10 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Purchased Non Covered Loans [Member] | Real Estate Construction And Development [Member] | 15 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	1,143	1,805
Purchased Non Covered Loans [Member] | Real Estate Construction And Development [Member] | 20 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	7,741	13,678	13,518
Purchased Non Covered Loans [Member] | Real Estate Construction And Development [Member] | 23 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	3,677	438	230
Purchased Non Covered Loans [Member] | Real Estate Construction And Development [Member] | 25 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	63,343	47,517	48,137
Purchased Non Covered Loans [Member] | Real Estate Construction And Development [Member] | 30 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	7,609	4,185	3,418
Purchased Non Covered Loans [Member] | Real Estate Construction And Development [Member] | 40 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	3,729	5,119	4,001
Purchased Non Covered Loans [Member] | Real Estate Construction And Development [Member] | 50 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Purchased Non Covered Loans [Member] | Real Estate Construction And Development [Member] | 60 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Purchased Non Covered Loans [Member] | Commercial And Farmland [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	590,388	390,755	385,032
Purchased Non Covered Loans [Member] | Commercial And Farmland [Member] | 10 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Purchased Non Covered Loans [Member] | Commercial And Farmland [Member] | 15 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	7,842	10,490	8,440
Purchased Non Covered Loans [Member] | Commercial And Farmland [Member] | 20 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	196,901	183,219	187,329
Purchased Non Covered Loans [Member] | Commercial And Farmland [Member] | 23 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	11,925	5,177	4,079
Purchased Non Covered Loans [Member] | Commercial And Farmland [Member] | 25 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	328,657	162,253	159,816
Purchased Non Covered Loans [Member] | Commercial And Farmland [Member] | 30 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	26,782	14,297	12,997
Purchased Non Covered Loans [Member] | Commercial And Farmland [Member] | 40 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	18,281	15,319	12,371
Purchased Non Covered Loans [Member] | Commercial And Farmland [Member] | 50 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Purchased Non Covered Loans [Member] | Commercial And Farmland [Member] | 60 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Purchased Non Covered Loans [Member] | Residential Real Estate [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	286,169	258,153	263,312
Purchased Non Covered Loans [Member] | Residential Real Estate [Member] | 10 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Purchased Non Covered Loans [Member] | Residential Real Estate [Member] | 15 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	32,763	37,808	38,643
Purchased Non Covered Loans [Member] | Residential Real Estate [Member] | 20 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	108,007	128,005	133,914
Purchased Non Covered Loans [Member] | Residential Real Estate [Member] | 23 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	11,902	6,414	6,303
Purchased Non Covered Loans [Member] | Residential Real Estate [Member] | 25 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	111,720	66,166	63,049
Purchased Non Covered Loans [Member] | Residential Real Estate [Member] | 30 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	5,731	5,503	7,609
Purchased Non Covered Loans [Member] | Residential Real Estate [Member] | 40 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	16,046	14,257	13,794
Purchased Non Covered Loans [Member] | Residential Real Estate [Member] | 50 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Purchased Non Covered Loans [Member] | Residential Real Estate [Member] | 60 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Purchased Non Covered Loans [Member] | Consumer installment [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	4,838	5,104	5,691
Purchased Non Covered Loans [Member] | Consumer installment [Member] | 10 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	867	1,010	1,060
Purchased Non Covered Loans [Member] | Consumer installment [Member] | 15 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	597	541	789
Purchased Non Covered Loans [Member] | Consumer installment [Member] | 20 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	1,934	2,031	2,291
Purchased Non Covered Loans [Member] | Consumer installment [Member] | 23 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Purchased Non Covered Loans [Member] | Consumer installment [Member] | 25 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	1,319	1,328	1,397
Purchased Non Covered Loans [Member] | Consumer installment [Member] | 30 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	51	55
Purchased Non Covered Loans [Member] | Consumer installment [Member] | 40 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	121	143	99
Purchased Non Covered Loans [Member] | Consumer installment [Member] | 50 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Purchased Non Covered Loans [Member] | Consumer installment [Member] | 60 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Purchased Non Covered Loans [Member] | Other [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Purchased Non Covered Loans [Member] | Other [Member] | 10 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Purchased Non Covered Loans [Member] | Other [Member] | 15 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Purchased Non Covered Loans [Member] | Other [Member] | 20 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Purchased Non Covered Loans [Member] | Other [Member] | 23 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Purchased Non Covered Loans [Member] | Other [Member] | 25 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Purchased Non Covered Loans [Member] | Other [Member] | 30 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Purchased Non Covered Loans [Member] | Other [Member] | 40 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Purchased Non Covered Loans [Member] | Other [Member] | 50 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Purchased Non Covered Loans [Member] | Other [Member] | 60 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	$ 0	$ 0	$ 0

XML

LOANS (Details 15) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	$ 3,091,039	$ 2,406,877	$ 2,290,649
Covered Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	62,291	137,529	191,021
Covered Loans [Member] | 10 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Covered Loans [Member] | 15 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	593
Covered Loans [Member] | 20 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	10,235	22,631	30,031
Covered Loans [Member] | 23 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	4,337	8,732	11,232
Covered Loans [Member] | 25 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	28,992	69,598	93,675
Covered Loans [Member] | 30 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	5,853	8,242	17,045
Covered Loans [Member] | 40 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	12,874	28,326	38,443
Covered Loans [Member] | 50 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Covered Loans [Member] | 60 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	2
Covered Loans [Member] | Commercial Financial And Agricultural [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	830	5,546	13,349
Covered Loans [Member] | Commercial Financial And Agricultural [Member] | 10 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Covered Loans [Member] | Commercial Financial And Agricultural [Member] | 15 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Covered Loans [Member] | Commercial Financial And Agricultural [Member] | 20 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	23	93	327
Covered Loans [Member] | Commercial Financial And Agricultural [Member] | 23 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	23	52	53
Covered Loans [Member] | Commercial Financial And Agricultural [Member] | 25 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	657	2,594	4,476
Covered Loans [Member] | Commercial Financial And Agricultural [Member] | 30 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	5	4,060
Covered Loans [Member] | Commercial Financial And Agricultural [Member] | 40 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	127	2,802	4,431
Covered Loans [Member] | Commercial Financial And Agricultural [Member] | 50 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Covered Loans [Member] | Commercial Financial And Agricultural [Member] | 60 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	2
Covered Loans [Member] | Real Estate Construction And Development [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	3,220	7,612	14,266
Covered Loans [Member] | Real Estate Construction And Development [Member] | 10 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Covered Loans [Member] | Real Estate Construction And Development [Member] | 15 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Covered Loans [Member] | Real Estate Construction And Development [Member] | 20 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	551	800	1,147
Covered Loans [Member] | Real Estate Construction And Development [Member] | 23 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Covered Loans [Member] | Real Estate Construction And Development [Member] | 25 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	2,214	3,907	8,241
Covered Loans [Member] | Real Estate Construction And Development [Member] | 30 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	357	828	1,965
Covered Loans [Member] | Real Estate Construction And Development [Member] | 40 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	98	2,077	2,913
Covered Loans [Member] | Real Estate Construction And Development [Member] | 50 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Covered Loans [Member] | Real Estate Construction And Development [Member] | 60 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Covered Loans [Member] | Real estate - commercial & farmland [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	13,688	71,226	103,399
Covered Loans [Member] | Real estate - commercial & farmland [Member] | 10 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Covered Loans [Member] | Real estate - commercial & farmland [Member] | 15 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	478
Covered Loans [Member] | Real estate - commercial & farmland [Member] | 20 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	2,203	11,698	16,211
Covered Loans [Member] | Real estate - commercial & farmland [Member] | 23 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	298	2,957	4,783
Covered Loans [Member] | Real estate - commercial & farmland [Member] | 25 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	5,757	38,741	53,126
Covered Loans [Member] | Real estate - commercial & farmland [Member] | 30 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	1,825	2,857	5,539
Covered Loans [Member] | Real estate - commercial & farmland [Member] | 40 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	3,605	14,973	23,262
Covered Loans [Member] | Real estate - commercial & farmland [Member] | 50 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Covered Loans [Member] | Real estate - commercial & farmland [Member] | 60 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Covered Loans [Member] | Real estate - residential [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	44,457	53,038	59,835
Covered Loans [Member] | Real estate - residential [Member] | 10 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Covered Loans [Member] | Real estate - residential [Member] | 15 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	115
Covered Loans [Member] | Real estate - residential [Member] | 20 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	7,458	10,040	12,304
Covered Loans [Member] | Real estate - residential [Member] | 23 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	4,016	5,723	6,396
Covered Loans [Member] | Real estate - residential [Member] | 25 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	20,349	24,345	27,795
Covered Loans [Member] | Real estate - residential [Member] | 30 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	3,625	4,552	5,481
Covered Loans [Member] | Real estate - residential [Member] | 40 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	9,009	8,378	7,744
Covered Loans [Member] | Real estate - residential [Member] | 50 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Covered Loans [Member] | Real estate - residential [Member] | 60 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Covered Loans [Member] | Consumer installment [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	96	107	172
Covered Loans [Member] | Consumer installment [Member] | 10 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Covered Loans [Member] | Consumer installment [Member] | 15 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Covered Loans [Member] | Consumer installment [Member] | 20 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	42
Covered Loans [Member] | Consumer installment [Member] | 23 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Covered Loans [Member] | Consumer installment [Member] | 25 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	15	11	37
Covered Loans [Member] | Consumer installment [Member] | 30 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	46	0	0
Covered Loans [Member] | Consumer installment [Member] | 40 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	35	96	93
Covered Loans [Member] | Consumer installment [Member] | 50 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Covered Loans [Member] | Consumer installment [Member] | 60 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Covered Loans [Member] | Other [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Covered Loans [Member] | Other [Member] | 10 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Covered Loans [Member] | Other [Member] | 15 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Covered Loans [Member] | Other [Member] | 20 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Covered Loans [Member] | Other [Member] | 23 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Covered Loans [Member] | Other [Member] | 25 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Covered Loans [Member] | Other [Member] | 30 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Covered Loans [Member] | Other [Member] | 40 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Covered Loans [Member] | Other [Member] | 50 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	0	0	0
Covered Loans [Member] | Other [Member] | 60 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans portfolio by risk grade	$ 0	$ 0	$ 0

XML

LOANS (Details 16) $ in Thousands	Sep. 30, 2016 USD ($) Contract	Dec. 31, 2015 USD ($)	Sep. 30, 2015 USD ($) Contract
Non Covered Loan [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	8		16
Troubled debt restructuring loans | $	$ 1,311		$ 2,391
Loans Excluding Purchased Non Covered And Covered Loan [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	27		49
Troubled debt restructuring loans | $	$ 14,013	$ 14,418	$ 12,075
Commercial, financial & agricultural [Member] | Non Covered Loan [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	0		1
Troubled debt restructuring loans | $	$ 0		$ 1
Commercial, financial & agricultural [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	5		4
Troubled debt restructuring loans | $	$ 59		$ 26
Real Estate - construction & development [Member] | Non Covered Loan [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	0		2
Troubled debt restructuring loans | $	$ 0		$ 30
Real Estate - construction & development [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	2		2
Troubled debt restructuring loans | $	$ 251		$ 15
Real estate - commercial & farmland [Member] | Non Covered Loan [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	2		3
Troubled debt restructuring loans | $	$ 235		$ 622
Real estate - commercial & farmland [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	4		2
Troubled debt restructuring loans | $	$ 1,658		$ 2,125
Real estate - residential [Member] | Non Covered Loan [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	6		7
Troubled debt restructuring loans | $	$ 1,076		$ 1,730
Real estate - residential [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	7		28
Troubled debt restructuring loans | $	$ 887		$ 2,089
Consumer installment [Member] | Non Covered Loan [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	0		3
Troubled debt restructuring loans | $	$ 0		$ 8
Consumer installment [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	9		13
Troubled debt restructuring loans | $	$ 44		$ 47

XML

LOANS (Details 17) $ in Thousands	Sep. 30, 2016 USD ($) Contract	Dec. 31, 2015 USD ($)	Sep. 30, 2015 USD ($) Contract
Excluding Purchased Non-Covered and Covered Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	27		49
Troubled debt restructuring loans	$ 14,013	$ 14,418	$ 12,075
Excluding Purchased Non-Covered and Covered Loans [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	15		38
Troubled debt restructuring loans	$ 793		$ 2,568
Covered Loans [Member]
Financing Receivable, Modifications [Line Items]
Troubled debt restructuring loans	$ 13,900	15,500	$ 20,500
Covered Loans [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	13		12
Troubled debt restructuring loans	$ 516		$ 1,265
Purchased Non Covered Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	4		20
Troubled debt restructuring loans	$ 9,294	9,373	$ 7,188
Purchased Non Covered Loans [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	2		2
Troubled debt restructuring loans	$ 217		$ 618
Commercial Financial And Agricultural [Member] | Excluding Purchased Non-Covered and Covered Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	5		4
Troubled debt restructuring loans	$ 59		$ 26
Commercial Financial And Agricultural [Member] | Excluding Purchased Non-Covered and Covered Loans [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	5		4
Troubled debt restructuring loans	$ 51		$ 18
Commercial Financial And Agricultural [Member] | Covered Loans [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	2		0
Troubled debt restructuring loans	$ 76		$ 0
Commercial Financial And Agricultural [Member] | Purchased Non Covered Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	1		1
Troubled debt restructuring loans	$ 76	$ 21	$ 1
Commercial Financial And Agricultural [Member] | Purchased Non Covered Loans [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	0		0
Troubled debt restructuring loans	$ 0		$ 0
Real Estate Construction And Development [Member] | Excluding Purchased Non-Covered and Covered Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	2		2
Troubled debt restructuring loans	$ 251		$ 15
Real Estate Construction And Development [Member] | Excluding Purchased Non-Covered and Covered Loans [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	0		2
Troubled debt restructuring loans	$ 0		$ 34
Real Estate Construction And Development [Member] | Covered Loans [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	0		0
Troubled debt restructuring loans	$ 0		$ 0
Real Estate Construction And Development [Member] | Purchased Non Covered Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	0		2
Troubled debt restructuring loans	$ 0		$ 312
Real Estate Construction And Development [Member] | Purchased Non Covered Loans [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	1		0
Troubled debt restructuring loans	$ 10		$ 0
Commercial And Farmland [Member] | Excluding Purchased Non-Covered and Covered Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	4		2
Troubled debt restructuring loans	$ 1,658		$ 2,125
Commercial And Farmland [Member] | Excluding Purchased Non-Covered and Covered Loans [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	5		5
Troubled debt restructuring loans	$ 517		$ 1,011
Commercial And Farmland [Member] | Covered Loans [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	0		3
Troubled debt restructuring loans	$ 0		$ 177
Commercial And Farmland [Member] | Purchased Non Covered Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	1		5
Troubled debt restructuring loans	$ 473		$ 1,492
Commercial And Farmland [Member] | Purchased Non Covered Loans [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	1		0
Troubled debt restructuring loans	$ 207		$ 0
Residential Real Estate [Member] | Excluding Purchased Non-Covered and Covered Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	7		28
Troubled debt restructuring loans	$ 887		$ 2,089
Residential Real Estate [Member] | Excluding Purchased Non-Covered and Covered Loans [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	3		18
Troubled debt restructuring loans	$ 219		$ 1,473
Residential Real Estate [Member] | Covered Loans [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	11		9
Troubled debt restructuring loans	$ 440		$ 1,088
Residential Real Estate [Member] | Purchased Non Covered Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	2		12
Troubled debt restructuring loans	$ 54		$ 679
Residential Real Estate [Member] | Purchased Non Covered Loans [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	0		2
Troubled debt restructuring loans	$ 0		$ 618
Consumer installment [Member] | Excluding Purchased Non-Covered and Covered Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	9		13
Troubled debt restructuring loans	$ 44		$ 47
Consumer installment [Member] | Excluding Purchased Non-Covered and Covered Loans [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	2		9
Troubled debt restructuring loans	$ 6		$ 32
Consumer installment [Member] | Covered Loans [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	0		0
Troubled debt restructuring loans	$ 0		$ 0
Consumer installment [Member] | Purchased Non Covered Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	0		0
Troubled debt restructuring loans	$ 0		$ 0
Consumer installment [Member] | Purchased Non Covered Loans [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	0		0
Troubled debt restructuring loans	$ 0		$ 0

XML

LOANS (Details 18) $ in Thousands	Sep. 30, 2016 USD ($) Contract	Dec. 31, 2015 USD ($) Contract	Sep. 30, 2015 USD ($) Contract Number
Purchased Non Covered Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	4		20
Troubled debt restructuring loans	$ 9,294	$ 9,373	$ 7,188
Purchased Non Covered Loans [Member] | Non-Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	14	14	9
Troubled debt restructuring loans	$ 1,102	$ 658	$ 467
Purchased Non Covered Loans [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	2		2
Troubled debt restructuring loans	$ 217		$ 618
Purchased Non Covered Loans [Member] | Financing Receivables, 30 Days Past Due [Member] | Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	33	31	22
Troubled debt restructuring loans	$ 9,293	$ 9,373	$ 7,188
Loans Excluding Purchased Non Covered And Covered Loan [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	27		49
Troubled debt restructuring loans	$ 14,013	$ 14,418	$ 12,075
Loans Excluding Purchased Non Covered And Covered Loan [Member] | Non-Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	69
Troubled debt restructuring loans	$ 3,131
Loans Excluding Purchased Non Covered And Covered Loan [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	15		38
Troubled debt restructuring loans	$ 793		$ 2,568
Loans Excluding Purchased Non Covered And Covered Loan [Member] | Financing Receivables, 30 Days Past Due [Member] | Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	89	94	97
Troubled debt restructuring loans	$ 14,013	$ 14,418	$ 12,075
Loans Excluding Purchased Non Covered And Covered Loan [Member] | Financing Receivables, 30 Days Past Due [Member] | Non-Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract		59	48
Troubled debt restructuring loans		$ 1,986	$ 1,864
Covered Loans [Member]
Financing Receivable, Modifications [Line Items]
Troubled debt restructuring loans	$ 13,900	$ 15,500	$ 20,500
Covered Loans [Member] | Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts	97	107	110
Troubled debt restructuring loans	$ 11,823	$ 13,283	$ 16,576
Covered Loans [Member] | Non-Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts	32	31	30
Troubled debt restructuring loans	$ 2,043	$ 2,184	$ 3,941
Covered Loans [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	13		12
Troubled debt restructuring loans	$ 516		$ 1,265
Commercial, financial & agricultural [Member] | Purchased Non Covered Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	1		1
Troubled debt restructuring loans	$ 76	$ 21	$ 1
Commercial, financial & agricultural [Member] | Purchased Non Covered Loans [Member] | Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	1	1	0
Troubled debt restructuring loans	$ 1	$ 2	$ 0
Commercial, financial & agricultural [Member] | Purchased Non Covered Loans [Member] | Non-Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	1	2	1
Troubled debt restructuring loans	$ 16
Commercial, financial & agricultural [Member] | Purchased Non Covered Loans [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	0		0
Troubled debt restructuring loans	$ 0		$ 0
Commercial, financial & agricultural [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	5		4
Troubled debt restructuring loans	$ 59		$ 26
Commercial, financial & agricultural [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	5		4
Troubled debt restructuring loans	$ 51		$ 18
Commercial, financial & agricultural [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member] | Financing Receivables, 30 Days Past Due [Member] | Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	4	4	4
Troubled debt restructuring loans	$ 53	$ 240	$ 238
Commercial, financial & agricultural [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member] | Financing Receivables, 30 Days Past Due [Member] | Non-Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	14	10	8
Troubled debt restructuring loans	$ 112	$ 110	$ 68
Commercial, financial & agricultural [Member] | Covered Loans [Member] | Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts	0	0	1
Troubled debt restructuring loans	$ 0	$ 0	$ 2
Commercial, financial & agricultural [Member] | Covered Loans [Member] | Non-Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts	3	2	2
Troubled debt restructuring loans	$ 76	$ 1	$ 0
Commercial, financial & agricultural [Member] | Covered Loans [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	2		0
Troubled debt restructuring loans	$ 76		$ 0
Real Estate - construction & development [Member] | Purchased Non Covered Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	0		2
Troubled debt restructuring loans	$ 0		$ 312
Real Estate - construction & development [Member] | Purchased Non Covered Loans [Member] | Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	2	1	1
Troubled debt restructuring loans	$ 529	$ 363	$ 351
Real Estate - construction & development [Member] | Purchased Non Covered Loans [Member] | Non-Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	3	3	2
Troubled debt restructuring loans	$ 33	$ 42	$ 30
Real Estate - construction & development [Member] | Purchased Non Covered Loans [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	1		0
Troubled debt restructuring loans	$ 10		$ 0
Real Estate - construction & development [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	2		2
Troubled debt restructuring loans	$ 251		$ 15
Real Estate - construction & development [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	0		2
Troubled debt restructuring loans	$ 0		$ 34
Real Estate - construction & development [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member] | Financing Receivables, 30 Days Past Due [Member] | Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	8	11	12
Troubled debt restructuring loans	$ 691	$ 792	$ 838
Real Estate - construction & development [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member] | Financing Receivables, 30 Days Past Due [Member] | Non-Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	2	3	2
Troubled debt restructuring loans	$ 35	$ 63	$ 30
Real Estate - construction & development [Member] | Covered Loans [Member] | Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts	4	4	3
Troubled debt restructuring loans	$ 813	$ 779	$ 2,847
Real Estate - construction & development [Member] | Covered Loans [Member] | Non-Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts	0	0	3
Troubled debt restructuring loans	$ 0	$ 0	$ 325
Real Estate - construction & development [Member] | Covered Loans [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	0		0
Troubled debt restructuring loans	$ 0		$ 0
Real estate - commercial & farmland [Member] | Purchased Non Covered Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	1		5
Troubled debt restructuring loans	$ 473		$ 1,492
Real estate - commercial & farmland [Member] | Purchased Non Covered Loans [Member] | Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	13	14	6
Troubled debt restructuring loans	$ 5,840	$ 6,214	$ 4,071
Real estate - commercial & farmland [Member] | Purchased Non Covered Loans [Member] | Non-Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	3	3	1
Troubled debt restructuring loans	$ 566	$ 412	$ 36
Real estate - commercial & farmland [Member] | Purchased Non Covered Loans [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	1		0
Troubled debt restructuring loans	$ 207		$ 0
Real estate - commercial & farmland [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	4		2
Troubled debt restructuring loans	$ 1,658		$ 2,125
Real estate - commercial & farmland [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	5		5
Troubled debt restructuring loans	$ 517		$ 1,011
Real estate - commercial & farmland [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member] | Financing Receivables, 30 Days Past Due [Member] | Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	17	16	15
Troubled debt restructuring loans	$ 5,535	$ 5,766	$ 5,719
Real estate - commercial & farmland [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member] | Financing Receivables, 30 Days Past Due [Member] | Non-Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	5	3	4
Troubled debt restructuring loans	$ 2,015	$ 596	$ 943
Real estate - commercial & farmland [Member] | Covered Loans [Member] | Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts	4	4	9
Troubled debt restructuring loans	$ 1,801	$ 1,967	$ 3,101
Real estate - commercial & farmland [Member] | Covered Loans [Member] | Non-Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts	2	3	8
Troubled debt restructuring loans	$ 680	$ 1,067	$ 2,449
Real estate - commercial & farmland [Member] | Covered Loans [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	0		3
Troubled debt restructuring loans	$ 0		$ 177
Real Estate - Residential [Member] | Purchased Non Covered Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	2		12
Troubled debt restructuring loans	$ 54		$ 679
Real Estate - Residential [Member] | Purchased Non Covered Loans [Member] | Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	16	13	13
Troubled debt restructuring loans	$ 2,919	$ 2,789	$ 2,761
Real Estate - Residential [Member] | Purchased Non Covered Loans [Member] | Non-Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	5	4	3
Troubled debt restructuring loans	$ 486	$ 180	$ 397
Real Estate - Residential [Member] | Purchased Non Covered Loans [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	0		2
Troubled debt restructuring loans	$ 0		$ 618
Real Estate - Residential [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	7		28
Troubled debt restructuring loans	$ 887		$ 2,089
Real Estate - Residential [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	3		18
Troubled debt restructuring loans	$ 219		$ 1,473
Real Estate - Residential [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member] | Financing Receivables, 30 Days Past Due [Member] | Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	53	51	51
Troubled debt restructuring loans	$ 7,713	$ 7,574	$ 5,209
Real Estate - Residential [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member] | Financing Receivables, 30 Days Past Due [Member] | Non-Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	19	20	16
Troubled debt restructuring loans	$ 849	$ 1,123	$ 759
Real Estate - Residential [Member] | Covered Loans [Member] | Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts	88	97	96
Troubled debt restructuring loans	$ 9,203	$ 10,529	$ 10,625
Real Estate - Residential [Member] | Covered Loans [Member] | Non-Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts	27	26	17
Troubled debt restructuring loans	$ 1,287	$ 1,116	$ 1,167
Real Estate - Residential [Member] | Covered Loans [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	11		9
Troubled debt restructuring loans	$ 440		$ 1,088
Consumer installment [Member] | Purchased Non Covered Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	0		0
Troubled debt restructuring loans	$ 0		$ 0
Consumer installment [Member] | Purchased Non Covered Loans [Member] | Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	1	2	2
Troubled debt restructuring loans	$ 4	$ 5	$ 5
Consumer installment [Member] | Purchased Non Covered Loans [Member] | Non-Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	2	2	2
Troubled debt restructuring loans	$ 1	$ 3	$ 3
Consumer installment [Member] | Purchased Non Covered Loans [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	0		0
Troubled debt restructuring loans	$ 0		$ 0
Consumer installment [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	9		13
Troubled debt restructuring loans	$ 44		$ 47
Consumer installment [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	2		9
Troubled debt restructuring loans	$ 6		$ 32
Consumer installment [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member] | Financing Receivables, 30 Days Past Due [Member] | Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	7	12	15
Troubled debt restructuring loans	$ 21	$ 46	$ 71
Consumer installment [Member] | Loans Excluding Purchased Non Covered And Covered Loan [Member] | Financing Receivables, 30 Days Past Due [Member] | Non-Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	29	23	18
Troubled debt restructuring loans	$ 120	$ 94	$ 64
Consumer installment [Member] | Covered Loans [Member] | Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts	1	2	1
Troubled debt restructuring loans	$ 6	$ 8	$ 1
Consumer installment [Member] | Covered Loans [Member] | Non-Accruing Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts	0	0	0
Troubled debt restructuring loans	$ 0	$ 0	$ 0
Consumer installment [Member] | Covered Loans [Member] | Financing Receivables, 30 Days Past Due [Member]
Financing Receivable, Modifications [Line Items]
Number of contracts | Contract	0		0
Troubled debt restructuring loans	$ 0		$ 0

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LOANS (Details 19) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015	Sep. 30, 2016		Dec. 31, 2015		Sep. 30, 2015
Financing Receivable, Allowance for Credit Losses [Line Items]
Balance, Allowance	$ 21,734	$ 21,658	$ 21,062	$ 21,157	$ 21,157
Provision for loan losses	811	986	2,381	4,711	5,264
Loans charged off	(1,451)	(1,267)	(4,641)	(6,459)	(9,133)
Recoveries of loans previously charged off	1,869	1,094	4,161	3,062	3,774
Balance, Allowance	22,963	22,471	22,963	22,471	21,062
Loans individually evaluated for impairment, Allowance						$ 5,670	[1]	$ 4,131	[2]	$ 4,699	[3]
Loans collectively evaluated for impairment, Allowance						17,293		16,931		17,772
Balance, Allowance	21,734	21,658	22,963	21,157	21,062	22,963		21,062		22,471
Individually evaluated for impairment, Loan						59,839	[1]	68,701	[2]	24,827	[3]
Collectively evaluated for impairment, Loan						4,630,320		3,697,437		3,428,482
Acquired with deteriorated credit quality, Loan						155,147		142,785		205,927
Ending balance, Loan						1,067,090		771,554		767,494
Commercial Financial And Agricultural [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Balance, Allowance	1,667	1,426	1,144	2,004	2,004
Provision for loan losses	677	110	1,987	(66)	(73)
Loans charged off	(326)	(135)	(1,273)	(937)	(1,438)
Recoveries of loans previously charged off	119	117	279	517	651
Balance, Allowance	2,137	1,518	2,137	1,518	1,144
Loans individually evaluated for impairment, Allowance						107	[1]	126	[2]	521	[3]
Loans collectively evaluated for impairment, Allowance						2,030		1,018		997
Balance, Allowance	1,667	1,426	2,137	2,004	1,144	2,137		1,144		1,518
Individually evaluated for impairment, Loan						424	[1]	323	[2]	1,286	[3]
Collectively evaluated for impairment, Loan						625,523		449,300		426,461
Acquired with deteriorated credit quality, Loan						0		0		0
Ending balance, Loan						625,947		449,623		427,747
Real Estate Construction And Development [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Balance, Allowance	3,599	5,365	5,009	5,030	5,030
Provision for loan losses	(521)	643	(2,010)	1,030	278
Loans charged off	(60)	(105)	(324)	(465)	(622)
Recoveries of loans previously charged off	131	6	474	314	323
Balance, Allowance	3,149	5,909	3,149	5,909	5,009
Loans individually evaluated for impairment, Allowance						529	[1]	759	[2]	708	[3]
Loans collectively evaluated for impairment, Allowance						2,620		4,250		5,201
Balance, Allowance	3,599	5,365	3,149	5,030	5,009	3,149		5,009		5,909
Individually evaluated for impairment, Loan						1,154	[1]	1,958	[2]	1,820	[3]
Collectively evaluated for impairment, Loan						327,154		242,735		218,978
Acquired with deteriorated credit quality, Loan						0		0		0
Ending balance, Loan						328,308		244,693		220,798
Real estate - commercial & farmland [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Balance, Allowance	7,459	8,381	7,994	8,823	8,823
Provision for loan losses	(554)	43	(559)	743	1,221
Loans charged off	0	(184)	(708)	(1,358)	(2,367)
Recoveries of loans previously charged off	13	272	191	304	317
Balance, Allowance	6,918	8,512	6,918	8,512	7,994
Loans individually evaluated for impairment, Allowance						883	[1]	1,074	[2]	1,622	[3]
Loans collectively evaluated for impairment, Allowance						6,035		6,920		6,890
Balance, Allowance	7,459	8,381	6,918	8,823	7,994	6,918		7,994		8,512
Individually evaluated for impairment, Loan						11,699	[1]	11,877	[2]	13,306	[3]
Collectively evaluated for impairment, Loan						1,285,883		1,093,114		1,054,522
Acquired with deteriorated credit quality, Loan						0		0		0
Ending balance, Loan						1,297,582		1,104,991		1,067,828
Residential Real Estate [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Balance, Allowance	4,263	4,805	4,760	4,129	4,129
Provision for loan losses	2,649	1,238	2,415	2,562	2,067
Loans charged off	(292)	(234)	(883)	(966)	(1,587)
Recoveries of loans previously charged off	40	54	368	138	151
Balance, Allowance	6,660	5,863	6,660	5,863	4,760
Loans individually evaluated for impairment, Allowance						2,629	[1]	2,172	[2]	1,848	[3]
Loans collectively evaluated for impairment, Allowance						4,031		2,588		4,015
Balance, Allowance	4,263	4,805	6,660	4,129	4,760	6,660		4,760		5,863
Individually evaluated for impairment, Loan						11,571	[1]	9,554	[2]	8,415	[3]
Collectively evaluated for impairment, Loan						755,362		560,876		523,870
Acquired with deteriorated credit quality, Loan						0		0		0
Ending balance, Loan						766,933		570,430		532,285
Consumer installment loans and Other [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Balance, Allowance	2,160	1,681	1,574	1,171	1,171
Provision for loan losses	(1,595)	(1,386)	(932)	(721)	676
Loans charged off	(74)	(61)	(192)	(300)	(410)
Recoveries of loans previously charged off	78	33	119	117	137
Balance, Allowance	569	267	569	267	1,574
Loans individually evaluated for impairment, Allowance						0	[1]	0	[2]	0	[3]
Loans collectively evaluated for impairment, Allowance						569		1,574		267
Balance, Allowance	2,160	1,681	569	1,171	1,574	569		1,574		267
Individually evaluated for impairment, Loan						0	[1]	0	[2]	0	[3]
Collectively evaluated for impairment, Loan						72,269		37,140		41,991
Acquired with deteriorated credit quality, Loan						0		0		0
Ending balance, Loan						72,269		37,140		41,991
Covered Loans [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Balance, Allowance	530	0	0	0	0
Provision for loan losses	(1,092)	(193)	(794)	944	751
Loans charged off	(291)	(246)	(435)	(1,661)	(1,759)
Recoveries of loans previously charged off	1,089	439	1,465	717	1,008
Balance, Allowance	236	0	236	0	0
Loans individually evaluated for impairment, Allowance						236	[1]	0	[2]	0	[3]
Loans collectively evaluated for impairment, Allowance						0		0		0
Balance, Allowance	530	0	236	0	0	236		0		0
Individually evaluated for impairment, Loan						12,818	[1]	22,317	[2]	0	[3]
Collectively evaluated for impairment, Loan						27,953		52,451		83,974
Acquired with deteriorated credit quality, Loan						21,520		62,761		107,047
Ending balance, Loan						62,291		137,529		191,021
Purchased Non Covered Loans [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Balance, Allowance	2,056	0	581	0	0
Provision for loan losses	1,247	531	2,274	219	344
Loans charged off	(408)	(302)	(826)	(772)	(950)
Recoveries of loans previously charged off	399	173	1,265	955	1,187
Balance, Allowance	3,294	402	3,294	402	581
Loans individually evaluated for impairment, Allowance						1,286	[1]	0	[2]	0	[3]
Loans collectively evaluated for impairment, Allowance						2,008		581		402
Balance, Allowance	$ 2,056	$ 0	$ 3,294	$ 0	$ 581	3,294		581		402
Individually evaluated for impairment, Loan						22,173	[1]	22,672	[2]	0	[3]
Collectively evaluated for impairment, Loan						1,536,176		1,261,821		1,078,686
Acquired with deteriorated credit quality, Loan						133,627		80,024		98,880
Ending balance, Loan						$ 1,691,976		$ 1,364,517		$ 1,177,566

[1] At September 30, 2016, loans individually evaluated for impairment includes all nonaccrual loans greater than $100,000 and all troubled debt restructurings greater than $100,000, including all troubled debt restructurings and not only those currently classified as troubled debt restructurings.

[2] At December 31, 2015, loans individually evaluated for impairment includes all nonaccrual loans greater than $200,000 and all troubled debt restructurings greater than $100,000, including all troubled debt restructurings and not only those currently classified as troubled debt restructurings.

[3] At September 30, 2015, loans individually evaluated for impairment includes all nonaccrual loans greater than $200,000 and all troubled debt restructurings greater than $100,000, including all troubled debt restructurings and not only those currently classified as troubled debt restructurings.

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LOANS (Details Textual) - USD ($)	9 Months Ended		12 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans And Leases Receivable Gross Carrying Amount Non Covered Loans	$ 1,070,000,000
Covered Loans Acquired	62,300,000	$ 191,000,000	$ 137,500,000
Troubled debt restructurings, previous charge-offs	1,200,000	1,300,000	1,300,000
Allowance for loan losses allocated to troubled debt restructurings	2,800,000	183,000	2,700,000
Purchased Loan Pools	624,886,000	410,072,000	592,963,000
Mortgage Loans on Real Estate, Face Amount of Mortgages	614,400,000	402,100,000	580,700,000
Purchase Premium Paid At Acquisition	10,500,000	8,000,000	12,300,000
Residential mortgages on properties principal balances	614,400,000	402,100,000	580,700,000
Allowance for Loan and Lease Losses, Loans Acquired	2,000,000	402,000	581,000
Troubled Debt Restructurings Excluding Purchased Non-covered And Covered Loans	17,100,000	13,900,000	16,400,000
Loans and Leases Receivable, Allowance	22,963,000	22,471,000	21,062,000
Modified Loans Value	58,200,000	77,400,000
Purchased Non Covered Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccrual loans	17,993,000	11,374,000	13,330,000
Troubled debt restructuring loans	9,294,000	7,188,000	9,373,000
Troubled debt restructurings, provision for loan loss expense	217,000	618,000
Loans and Leases Receivable, Allowance	1,067,090,000	767,494,000	771,554,000
Modified Loans Value	22,369,000	18,178,000	22,264,000
Non Accrual Purchased Loans Pools	864,000
Covered Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccrual loans	5,834,000	33,084,000	13,238,000
Troubled debt restructurings, previous charge-offs	791,000	1,400,000	1,200,000
Troubled debt restructurings principal balances		1,300,000
Troubled debt restructuring loans	13,900,000	20,500,000	15,500,000
Financing Receivable, Modifications, Post-Modification Recorded Investment	516,000
Modified Loans Value	5,732,000	25,708,000	13,821,000
Loans Excluding Purchased Non Covered And Covered Loan [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccrual loans	16,570,000	20,558,000	16,860,000
Troubled debt restructurings principal balances	2,900,000
Financing Receivable, Modifications, Subsequent Default, Recorded Investment	793,000	2,600,000
Troubled debt restructuring loans	14,013,000	12,075,000	14,418,000
Financing Receivable, Modifications, Post-Modification Recorded Investment			4,300,000
Modified Loans Value	27,337,000	32,268,000	26,268,000
Purchased Non Covered Loans 1 [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccrual loans	10,400,000	7,700,000	10,000,000
Troubled debt restructurings, previous charge-offs	752,000	60,000	377,000
Troubled debt restructurings principal balances		4,100,000
Financing Receivable, Modifications, Subsequent Default, Recorded Investment	1,300,000	2,400,000
Troubled debt restructuring loans	603,000	2,500,000
Substandard [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccrual loans	$ 100,000
Minimum [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loan To Value Ratio	110.00%
Minimum [Member] | Substandard [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccrual loans	$ 100,000	200,000	200,000
Troubled debt restructuring loans	100,000	$ 100,000	$ 100,000
Minimum [Member] | Independent Third Party Loan Review [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Amount Of Loan Relationship With Risk Ratings Sample Reviewed Annually	250,000
Minimum [Member] | Internal Loan Review Department [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Amount of Loan Relationship With Risk Ratings Reviewed Annually	$ 1,000,000

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ASSETS ACQUIRED IN FDIC-ASSISTED ACQUISITIONS (Details)	9 Months Ended
	Sep. 30, 2016
American United Bank (AUB) [Member]
Business Acquisition [Line Items]
Bank Acquired	American United Bank (“AUB”)
Branches	1
Date Acquired	Oct. 23, 2009
United Security Bank (USB) [Member]
Business Acquisition [Line Items]
Bank Acquired	United Security Bank (“USB”)
Branches	2
Date Acquired	Nov. 06, 2009
Satilla Community Bank (SCB) [Member]
Business Acquisition [Line Items]
Bank Acquired	Satilla Community Bank (“SCB”)
Branches	1
Date Acquired	May 14, 2010
First Bank of Jacksonville (FBJ) [Member]
Business Acquisition [Line Items]
Bank Acquired	First Bank of Jacksonville (“FBJ”)
Branches	2
Date Acquired	Oct. 22, 2010
Tifton Banking Company (TBC) [Member]
Business Acquisition [Line Items]
Bank Acquired	Tifton Banking Company (“TBC”)
Branches	1
Date Acquired	Nov. 12, 2010
Darby Bank & Trust (DBT) [Member]
Business Acquisition [Line Items]
Bank Acquired	Darby Bank & Trust (“DBT”)
Branches	7
Date Acquired	Nov. 12, 2010
High Trust Bank (HTB) [Member]
Business Acquisition [Line Items]
Bank Acquired	High Trust Bank (“HTB”)
Branches	2
Date Acquired	Jul. 15, 2011
One Georgia Bank (OGB) [Member]
Business Acquisition [Line Items]
Bank Acquired	One Georgia Bank (“OGB”)
Branches	1
Date Acquired	Jul. 15, 2011
Central Bank of Georgia (CBG) [Member]
Business Acquisition [Line Items]
Bank Acquired	Central Bank of Georgia (“CBG”)
Branches	5
Date Acquired	Feb. 24, 2012
Montgomery Bank & Trust (MBT) [Member]
Business Acquisition [Line Items]
Bank Acquired	Montgomery Bank & Trust (“MBT”)
Branches	2
Date Acquired	Jul. 06, 2012

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ASSETS ACQUIRED IN FDIC-ASSISTED ACQUISITIONS (Details 1) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015
Covered Assets [Line Items]
Covered loans	$ 65,906	$ 148,573	$ 205,757
Less: Fair value adjustments	3,615	11,044	14,736
Total covered loans	62,291	137,529	191,021
OREO	1,004	5,938	14,452
Less: Fair value adjustments	4	927	2,249
Total covered OREO	1,000	5,011	12,203
Total covered assets	63,291	142,540	203,224
FDIC loss-share receivable	0	6,301	4,506
FDIC loss-share payable	(7,775)	0	0
American United Bank [Member]
Covered Assets [Line Items]
Covered loans	0	0	0
Less: Fair value adjustments	0	0	0
Total covered loans	0	0	0
OREO	0	0	0
Less: Fair value adjustments	0	0	0
Total covered OREO	0	0	0
Total covered assets	0	0	0
FDIC loss-share receivable	12	111	115
United Security Bank [Member]
Covered Assets [Line Items]
Covered loans	3,309	3,639	3,686
Less: Fair value adjustments	13	16	17
Total covered loans	3,296	3,623	3,669
OREO	30	165	165
Less: Fair value adjustments	0	0	0
Total covered OREO	30	165	165
Total covered assets	3,326	3,788	3,834
FDIC loss-share payable	(1,682)	(1,424)	(1,453)
Satilla Community Bank [Member]
Covered Assets [Line Items]
Covered loans	4,475	5,228	5,269
Less: Fair value adjustments	61	124	174
Total covered loans	4,414	5,104	5,095
OREO	0	0	0
Less: Fair value adjustments	0	0	0
Total covered OREO	0	0	0
Total covered assets	4,414	5,104	5,095
FDIC loss-share receivable	89	149	280
First Bank of Jacksonville [Member]
Covered Assets [Line Items]
Covered loans	3,811	4,782	13,826
Less: Fair value adjustments	488	562	991
Total covered loans	3,323	4,220	12,835
OREO	0	41	984
Less: Fair value adjustments	0	0	171
Total covered OREO	0	41	813
Total covered assets	3,323	4,261	13,648
FDIC loss-share receivable		252	679
FDIC loss-share payable	(164)
Darby Bank and Trust [Member]
Covered Assets [Line Items]
Covered loans	12,964	15,934	44,112
Less: Fair value adjustments	690	1,131	3,107
Total covered loans	12,274	14,803	41,005
OREO	0	0	5,044
Less: Fair value adjustments	0	0	624
Total covered OREO	0	0	4,420
Total covered assets	12,274	14,803	45,425
FDIC loss-share payable	(4,898)	(1,084)	(1,737)
Tifton Banking Company [Member]
Covered Assets [Line Items]
Covered loans	1,867	2,159	16,813
Less: Fair value adjustments	7	11	481
Total covered loans	1,860	2,148	16,332
OREO	0	0	1,480
Less: Fair value adjustments	0	0	116
Total covered OREO	0	0	1,364
Total covered assets	1,860	2,148	17,696
FDIC loss-share receivable		1,446
FDIC loss-share payable	(2,727)		(2,225)
High Trust Bank [Member]
Covered Assets [Line Items]
Covered loans	1,926	44,405	45,345
Less: Fair value adjustments	35	3,881	3,999
Total covered loans	1,891	40,524	41,346
OREO	0	2,433	2,985
Less: Fair value adjustments	0	643	955
Total covered OREO	0	1,790	2,030
Total covered assets	1,891	42,314	43,376
FDIC loss-share receivable	1,538	3,875	4,108
One Georgia Bank [Member]
Covered Assets [Line Items]
Covered loans	1,086	27,561	28,309
Less: Fair value adjustments	32	1,900	1,971
Total covered loans	1,054	25,661	26,338
OREO	0	160	320
Less: Fair value adjustments	0	0	39
Total covered OREO	0	160	281
Total covered assets	1,054	25,821	26,619
FDIC loss-share receivable		913	1,517
FDIC loss-share payable	(776)
Central Bank of Georgia [Member]
Covered Assets [Line Items]
Covered loans	36,468	44,865	48,397
Less: Fair value adjustments	2,289	3,419	3,996
Total covered loans	34,179	41,446	44,401
OREO	974	3,139	3,474
Less: Fair value adjustments	4	284	344
Total covered OREO	970	2,855	3,130
Total covered assets	35,149	44,301	47,531
FDIC loss-share receivable	$ 833	$ 2,063	$ 3,222

XML

ASSETS ACQUIRED IN FDIC-ASSISTED ACQUISITIONS (Details 2) - USD ($) $ in Thousands	9 Months Ended		12 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Covered Loans [Line Items]
Transfer to covered other real estate owned	$ (3,871)	$ (2,565)
Loans with Deterioration of Credit Quality [Member]
Covered Loans [Line Items]
Balance, beginning of year	137,529	271,279	$ 271,279
Charge-offs, net of recoveries	(2,218)	(5,062)	(5,558)
Accretion	2,855	8,105	9,658
Transfer to covered other real estate owned	(2,391)	(6,909)	(7,910)
Transfer to purchased, non-covered loans due to loss-share expiration	(45,908)	(15,462)	(50,568)
Payments received	(27,576)	(60,930)	(79,372)
Balance, ending of year	$ 62,291	$ 191,021	$ 137,529

XML

ASSETS ACQUIRED IN FDIC-ASSISTED ACQUISITIONS (Details 3) - Accretable Discount for Covered Loans [Member] - USD ($) $ in Thousands	9 Months Ended		12 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Business Combinations
Balance, beginning of year	$ 9,063	$ 15,578	$ 15,578
Accretion	(2,855)	(8,105)	(9,658)
Transfer to purchased, non-covered loans due to loss-share expiration	(3,457)	(84)	(1,665)
Transfers between non-accretable and accretable discounts, net	281	3,312	4,808
Balance, ending of year	$ 3,032	$ 10,701	$ 9,063

XML

ASSETS ACQUIRED IN FDIC-ASSISTED ACQUISITIONS (Details 4) - USD ($) $ in Thousands	9 Months Ended		12 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Business Combinations [Abstract]
Beginning balance	$ 6,301	$ 31,351	$ 31,351
Payments received from FDIC	(4,770)	(19,089)	(19,273)
Amortization, net	(3,351)	(7,914)	(8,878)
Changes in clawback liability	(682)	(1,483)	(2,008)
Net charge-offs on covered loans	(4,118)	1,180	416
Write downs of covered other real estate owned	203	2,349	4,752
Reimbursable expenses on covered assets	604	2,312	2,582
Other activity, net	(1,962)	(4,200)	(2,641)
Ending balance	$ (7,775)	$ 4,506	$ 6,301

XML

ASSETS ACQUIRED IN FDIC-ASSISTED ACQUISITIONS (Details Textual) - USD ($)	12 Months Ended
	Dec. 31, 2012	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015
Business Combinations [Abstract]
Current Activity Incurred		$ 1,300,000
Clawback Liability		8,900,000	$ 8,200,000	$ 7,700,000
Reimbursement Revenue	$ 87,000
FDIC loss-sharing payable		7,800,000
Remaining Indemnification		$ 2,400,000

XML

OTHER REAL ESTATE OWNED (Details) - USD ($) $ in Thousands	9 Months Ended		12 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Beginning balance, January 1	$ 16,147	$ 33,160	$ 33,160
Loans transferred to other real estate owned	2,101	9,838	11,261
Net gains (losses) on sale and write-downs	(1,276)	(9,583)	(9,971)
Sales proceeds	(6,580)	(12,685)	(18,303)
Ending balance	$ 10,392	$ 20,730	$ 16,147

XML

OTHER REAL ESTATE OWNED (Details 1) - Purchased Non-Covered Other Real Estate Owned [Member] - USD ($) $ in Thousands	9 Months Ended		12 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Balance, January 1	$ 14,333	$ 15,585	$ 15,585
Loans transferred to other real estate owned	3,871	2,565	4,473
Acquired in acquisitions	1,838	2,189	2,160
Transfer from covered other real estate owned due to loss-share expiration	466	75	3,148
Net gains (losses) on sale and write-downs	(68)	326	201
Sales proceeds	(6,314)	(9,202)	(11,234)
Ending balance	$ 14,126	$ 11,538	$ 14,333

XML

OTHER REAL ESTATE OWNED (Details 2) - Covered Other Real Estate Owned [Member] - USD ($) $ in Thousands	9 Months Ended		12 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Beginning balance, January 1	$ 5,011	$ 19,907	$ 19,907
Loans transferred to other real estate owned	2,391	6,909	7,910
Transfer from covered other real estate owned due to loss-share expiration	(466)	(75)	(3,148)
Net gains (losses) on sale and write-downs	(500)	(2,936)	(5,926)
Sales proceeds	(5,436)	(11,602)	(13,732)
Ending balance	$ 1,000	$ 12,203	$ 5,011

XML

SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE (Details) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015
Disclosure of Repurchase Agreements [Abstract]
Securities sold under agreements to repurchase	$ 42,647	$ 63,585	$ 51,506

XML

OTHER BORROWINGS (Details) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015
Other Borrowings [Line Items]
Other borrowings	$ 373,461	$ 39,000	$ 39,000
Daily Rate Credit From Federal Home Loan Bank [Member]
Other Borrowings [Line Items]
Advance from correspondent bank	227,500	0	0
Fixed Rate Advance [Member]
Other Borrowings [Line Items]
Advance from correspondent bank	100,000	0	0
Fixed Rate Advance One [Member]
Other Borrowings [Line Items]
Advance from correspondent bank	4,008	0	0
Fixed Rate Advance Two [Member]
Other Borrowings [Line Items]
Advance from correspondent bank	5,009	0	0
Revolving Credit Facility One [Member]
Other Borrowings [Line Items]
Long-term Line of Credit	860	0	0
Revolving Credit Facility [Member]
Other Borrowings [Line Items]
Long-term Line of Credit	36,000	24,000	24,000
Correspondent Bank Advances [Member]
Other Borrowings [Line Items]
Other borrowings	84	0	0
Subordinated Debt One [Member]
Other Borrowings [Line Items]
Subordinated debt issued	$ 0	$ 15,000	$ 15,000

XML

OTHER BORROWINGS [Parenthetical] (Details)	9 Months Ended
	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015
Daily Rate Credit From Federal Home Loan Bank [Member]
Other Borrowings [Line Items]
Debt Instrument, Interest Rate, Effective Percentage	0.56%
Revolving Credit Facility [Member]
Other Borrowings [Line Items]
Debt Instrument, Interest Rate, Effective Percentage	8.00%
Debt instrument, maturity period	January 2017
Revolving Credit Facility One [Member]
Other Borrowings [Line Items]
Debt Instrument, Description of Variable Rate Basis	Advances under revolving credit agreement with a regional bank with interest at 90-day LIBOR plus 3.50% (4.34% at September 30, 2016, 3.92% at December 31, 2015, and 3.78% at September 30, 2015) due in August 2017, secured by subsidiary bank stock
Debt Instrument, Interest Rate, Effective Percentage	4.34%	3.92%	3.78%
Debt instrument, maturity period	August 2017
Correspondent Bank Advances [Member]
Other Borrowings [Line Items]
Debt Instrument, Interest Rate, Effective Percentage	4.25%
Debt instrument, maturity period	October 15, 2019
Fixed Rate Advance One [Member]
Other Borrowings [Line Items]
Debt Instrument, Interest Rate, Effective Percentage	1.40%
Debt instrument, maturity period	January 9, 2017
Fixed Rate Advance Two [Member]
Other Borrowings [Line Items]
Debt Instrument, Interest Rate, Effective Percentage	1.23%
Debt instrument, maturity period	May 30, 2017
Subordinated Debt [Member]
Other Borrowings [Line Items]
Debt Instrument, Description of Variable Rate Basis	Subordinated debt issued by The Prosperity Banking Company due September 2016 with an interest rate of 90-day LIBOR plus 1.75% (2.28% at December 31, 2015 and 2.09% at September 30, 2015)
Debt Instrument, Interest Rate, Effective Percentage		2.28%	2.09%
Fixed Rate Advance [Member]
Other Borrowings [Line Items]
Debt Instrument, Interest Rate, Effective Percentage	0.40%
Debt instrument, maturity period	October 14, 2016

XML

OTHER BORROWINGS (Details Textual) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015
Other borrowings	$ 373,461	$ 39,000	$ 39,000
Federal Home Loan Bank, Advances, General Debt Obligations, Amount of Available, Unused Funds	661,500
Credit arrangements for federal funds purchase	67,000
Pledged Assets Separately Reported, Loans Pledged for Federal Reserve Bank, at Fair Value	861,500
Line of Credit Facility, Remaining Borrowing Capacity	4,000
Loans pledged at federal reserve discount window available for borrowing	$ 574,700

XML

COMMITMENTS AND CONTINGENCIES (Details) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015
Commitments to extend credit	$ 924,374	$ 548,898	$ 500,631
Unused lines of credit	62,544	52,798	53,465
Financial standby letters of credit	14,002	14,712	11,929
Mortgage interest rate lock commitments	$ 134,619	$ 77,710	$ 79,635

XML

COMMITMENTS AND CONTINGENCIES (Details Textual) - USD ($) $ in Millions	Aug. 08, 2013	Sep. 30, 2016
Litigation Settlement, Amount	$ 2.9
Letters of Credit Outstanding, Amount		$ 75.0
Consumer Installment Home Improvement Loans [Member]
Amount Committed to Increase Home Improvement Loans (Per Month)		12.5
Aggregate Purchase Commitment for Home Improvement Loans		150.0
Home Improvement Loans, Carrying Value		$ 32.8

XML

ACCUMULATED OTHER COMPREHENSIVE INCOME (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning Balance			$ 3,353	$ 6,098
Reclassification for gains included in net income, net of tax	$ 0	$ (75)	(61)	(89)
Current year changes, net of tax			7,157	(1,812)
Ending Balance	10,449	4,197	10,449	4,197
Unrealized Gain (Loss) on Derivatives [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning Balance			152	508
Reclassification for gains included in net income, net of tax			0	0
Current year changes, net of tax			(567)	(669)
Ending Balance	(415)	(161)	(415)	(161)
Unrealized Gain (Loss) on Securities [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning Balance			3,201	5,590
Reclassification for gains included in net income, net of tax			(61)	(89)
Current year changes, net of tax			7,724	(1,143)
Ending Balance	$ 10,864	$ 4,358	$ 10,864	$ 4,358

XML

WEIGHTED AVERAGE SHARES OUTSTANDING (Details) - shares shares in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Basic shares outstanding	34,870	32,195	34,156	31,614
Plus: Dilutive effect of ISOs	108	126	100	118
Plus: Dilutive effect of restricted share grants	217	232	214	230
Diluted shares outstanding	35,195	32,553	34,470	31,962

XML

WEIGHTED AVERAGE SHARES OUTSTANDING (Details Textual) - shares	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Anti-dilutive common shares excluded	0	0	0	0

XML

FAIR VALUE MEASURES (Details) - Mortgage Loans Held for Sale [Member] - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015
Assets And Liabilities Carrying Value And Fair Value [Line Items]
Aggregate fair value of mortgage loans held for sale	$ 126,263	$ 111,182	$ 111,807
Aggregate unpaid principal balance	121,308	107,652	108,179
Past-due loans of 90 days or more	0	0	0
Nonaccrual loans	$ 0	$ 0	$ 0

XML

FAIR VALUE MEASURES (Details 1) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Recurring assets at fair value	$ 969,470	$ 897,054	$ 926,217
Recurring liabilities at fair value	3,804	1,576	2,028
Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Recurring assets at fair value	0	0	0
Recurring liabilities at fair value	0	0	0
Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Recurring assets at fair value	967,970	894,056	923,717
Recurring liabilities at fair value	3,804	1,576	2,028
Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Recurring assets at fair value	1,500	2,998	2,500
Recurring liabilities at fair value	0	0	0
U.S. government sponsored agencies [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Recurring assets at fair value	1,028	14,890	14,968
U.S. government sponsored agencies [Member] | Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Recurring assets at fair value	0	0	0
U.S. government sponsored agencies [Member] | Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Recurring assets at fair value	1,028	14,890	14,968
U.S. government sponsored agencies [Member] | Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Recurring assets at fair value	0	0	0
State, county and municipal securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Recurring assets at fair value	155,994	161,316	164,865
State, county and municipal securities [Member] | Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Recurring assets at fair value	0	0	0
State, county and municipal securities [Member] | Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Recurring assets at fair value	155,994	161,316	164,865
State, county and municipal securities [Member] | Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Recurring assets at fair value	0	0	0
Corporate debt securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Recurring assets at fair value	29,098	6,017	6,032
Corporate debt securities [Member] | Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Recurring assets at fair value	0	0	0
Corporate debt securities [Member] | Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Recurring assets at fair value	27,598	3,019	3,532
Corporate debt securities [Member] | Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Recurring assets at fair value	1,500	2,998	2,500
Mortgage-backed securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Recurring assets at fair value	652,004	600,962	625,520
Mortgage-backed securities [Member] | Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Recurring assets at fair value	0	0	0
Mortgage-backed securities [Member] | Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Recurring assets at fair value	652,004	600,962	625,520
Mortgage-backed securities [Member] | Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Recurring assets at fair value	0	0	0
Mortgage loans held for sale [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Recurring assets at fair value	126,263	111,182	111,807
Mortgage loans held for sale [Member] | Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Recurring assets at fair value	0	0	0
Mortgage loans held for sale [Member] | Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Recurring assets at fair value	126,263	111,182	111,807
Mortgage loans held for sale [Member] | Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Recurring assets at fair value	0	0	0
Mortgage banking derivative instruments [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Recurring assets at fair value	5,083	2,687	3,025
Recurring liabilities at fair value	840	137
Mortgage banking derivative instruments [Member] | Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Recurring assets at fair value	0	0	0
Recurring liabilities at fair value	0	0
Mortgage banking derivative instruments [Member] | Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Recurring assets at fair value	5,083	2,687	3,025
Recurring liabilities at fair value	840	137
Mortgage banking derivative instruments [Member] | Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Recurring assets at fair value	0	0	0
Recurring liabilities at fair value	0	0
Derivative financial instruments [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Recurring liabilities at fair value	2,964	1,439	2,028
Derivative financial instruments [Member] | Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Recurring liabilities at fair value	0	0	0
Derivative financial instruments [Member] | Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Recurring liabilities at fair value	2,964	1,439	2,028
Derivative financial instruments [Member] | Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Recurring liabilities at fair value	$ 0	$ 0	$ 0

XML

FAIR VALUE MEASURES (Details 2) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Nonrecurring assets at fair value	$ 41,761	$ 56,869	$ 57,337
Level 1 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Nonrecurring assets at fair value	0	0	0
Level 2 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Nonrecurring assets at fair value	0	0	0
Level 3 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Nonrecurring assets at fair value	41,761	56,869	57,337
Impaired loans carried at fair value [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Nonrecurring assets at fair value	26,210	27,069	27,859
Impaired loans carried at fair value [Member] | Level 1 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Nonrecurring assets at fair value	0	0	0
Impaired loans carried at fair value [Member] | Level 2 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Nonrecurring assets at fair value	0	0	0
Impaired loans carried at fair value [Member] | Level 3 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Nonrecurring assets at fair value	26,210	27,069	27,859
Other real estate owned [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Nonrecurring assets at fair value	425	10,456	5,737
Other real estate owned [Member] | Level 1 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Nonrecurring assets at fair value	0	0	0
Other real estate owned [Member] | Level 2 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Nonrecurring assets at fair value	0	0	0
Other real estate owned [Member] | Level 3 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Nonrecurring assets at fair value	425	10,456	5,737
Purchased, non-covered other real estate owned [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Nonrecurring assets at fair value	14,126	14,333	11,538
Purchased, non-covered other real estate owned [Member] | Level 1 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Nonrecurring assets at fair value	0	0	0
Purchased, non-covered other real estate owned [Member] | Level 2 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Nonrecurring assets at fair value	0	0	0
Purchased, non-covered other real estate owned [Member] | Level 3 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Nonrecurring assets at fair value	14,126	14,333	11,538
Covered other real estate owned [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Nonrecurring assets at fair value	1,000	5,011	12,203
Covered other real estate owned [Member] | Level 1 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Nonrecurring assets at fair value	0	0	0
Covered other real estate owned [Member] | Level 2 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Nonrecurring assets at fair value	0	0	0
Covered other real estate owned [Member] | Level 3 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Nonrecurring assets at fair value	$ 1,000	$ 5,011	$ 12,203

XML

FAIR VALUE MEASURES (Details 3) - USD ($) $ in Thousands	9 Months Ended		12 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Fair Value Disclosure, Nonrecurring	$ 41,761	$ 57,337	$ 56,869
Assets, Fair Value Disclosure, Recurring	969,470	926,217	897,054
Level 3 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Fair Value Disclosure, Nonrecurring	41,761	57,337	56,869
Assets, Fair Value Disclosure, Recurring	1,500	2,500	2,998
Fair Value, Measurements, Recurring [Member] | Level 3 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Assets, Fair Value Disclosure, Recurring	$ 1,500	$ 2,500	$ 2,998
Valuation Technique	Discounted par values	Discounted par values	Discounted par values
Fair Value Measurements Unobservable Inputs	Credit quality of underlying issuer	Credit quality of underlying issuer	Credit quality of underlying issuer
Fair value inputs discount rate range	0.00%	0.00%	0.00%
Fair Value, Measurements, Recurring [Member] | Weighted Average Daily Balance [Member] | Level 3 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Fair value inputs discount rate range	0.00%	0.00%	0.00%
Impaired Loans Carried At Fair Value [Member] | Fair Value, Measurements, Nonrecurring [Member] | Level 3 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Fair Value Disclosure, Nonrecurring	$ 26,210	$ 27,859	$ 27,069
Valuation Technique	Third-party appraisals and discounted cash flows	Third-party appraisals and discounted cash flows	Third-party appraisals and discounted cash flows
Fair Value Measurements Unobservable Inputs	Collateral discounts and discount rates	Collateral discounts and discount rates	Collateral discounts and discount rates
Impaired Loans Carried At Fair Value [Member] | Fair Value, Measurements, Nonrecurring [Member] | Maximum [Member] | Level 3 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Fair value inputs discount rate range	100.00%	50.00%	100.00%
Impaired Loans Carried At Fair Value [Member] | Fair Value, Measurements, Nonrecurring [Member] | Minimum [Member] | Level 3 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Fair value inputs discount rate range	15.00%	0.00%	0.00%
Impaired Loans Carried At Fair Value [Member] | Fair Value, Measurements, Nonrecurring [Member] | Weighted Average Daily Balance [Member] | Level 3 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Fair value inputs discount rate range	27.00%	25.00%	29.00%
Other real estate owned [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Fair Value Disclosure, Nonrecurring	$ 425	$ 5,737	$ 10,456
Other real estate owned [Member] | Level 3 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Fair Value Disclosure, Nonrecurring	425	5,737	10,456
Other real estate owned [Member] | Fair Value, Measurements, Nonrecurring [Member] | Level 3 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Fair Value Disclosure, Nonrecurring	$ 425	$ 5,737	$ 10,456
Valuation Technique	Third-party appraisals, sales contracts, broker price opinions	Third-party appraisals, sales contracts, broker price opinions	Third-party appraisals, sales contracts, broker price opinions
Fair Value Measurements Unobservable Inputs	Collateral discounts and estimated costs to sell	Collateral discounts and estimated costs to sell	Collateral discounts and estimated costs to sell
Other real estate owned [Member] | Fair Value, Measurements, Nonrecurring [Member] | Maximum [Member] | Level 3 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Fair value inputs discount rate range	90.00%	43.00%	90.00%
Other real estate owned [Member] | Fair Value, Measurements, Nonrecurring [Member] | Minimum [Member] | Level 3 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Fair value inputs discount rate range	10.00%	0.00%	10.00%
Other real estate owned [Member] | Fair Value, Measurements, Nonrecurring [Member] | Weighted Average Daily Balance [Member] | Level 3 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Fair value inputs discount rate range	12.00%	14.00%	13.00%
Purchased, non-covered other real estate owned [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Fair Value Disclosure, Nonrecurring	$ 14,126	$ 11,538	$ 14,333
Purchased, non-covered other real estate owned [Member] | Level 3 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Fair Value Disclosure, Nonrecurring	14,126	11,538	14,333
Purchased, non-covered other real estate owned [Member] | Fair Value, Measurements, Nonrecurring [Member] | Level 3 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Fair Value Disclosure, Nonrecurring	$ 14,126	$ 11,538	$ 14,333
Valuation Technique	Third-party appraisals	Third-party appraisals	Third-party appraisals
Fair Value Measurements Unobservable Inputs	Collateral discounts and estimated costs to sell	Collateral discounts and estimated costs to sell	Collateral discounts and estimated costs to sell
Purchased, non-covered other real estate owned [Member] | Fair Value, Measurements, Nonrecurring [Member] | Maximum [Member] | Level 3 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Fair value inputs discount rate range	75.00%	75.00%	69.00%
Purchased, non-covered other real estate owned [Member] | Fair Value, Measurements, Nonrecurring [Member] | Minimum [Member] | Level 3 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Fair value inputs discount rate range	10.00%	0.00%	10.00%
Purchased, non-covered other real estate owned [Member] | Fair Value, Measurements, Nonrecurring [Member] | Weighted Average Daily Balance [Member] | Level 3 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Fair value inputs discount rate range	15.00%	20.00%	19.00%
Covered other real estate owned [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Fair Value Disclosure, Nonrecurring	$ 1,000	$ 12,203	$ 5,011
Covered other real estate owned [Member] | Level 3 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Fair Value Disclosure, Nonrecurring	1,000	12,203	5,011
Covered other real estate owned [Member] | Fair Value, Measurements, Nonrecurring [Member] | Level 3 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Fair Value Disclosure, Nonrecurring	$ 1,000	$ 12,203	$ 5,011
Valuation Technique	Third-party appraisals	Third-party appraisals	Third-party appraisals
Fair Value Measurements Unobservable Inputs	Collateral discounts and estimated costs to sell	Collateral discounts and estimated costs to sell	Collateral discounts and estimated costs to sell
Covered other real estate owned [Member] | Fair Value, Measurements, Nonrecurring [Member] | Maximum [Member] | Level 3 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Fair value inputs discount rate range	56.00%	73.00%	74.00%
Covered other real estate owned [Member] | Fair Value, Measurements, Nonrecurring [Member] | Minimum [Member] | Level 3 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Fair value inputs discount rate range	15.00%	0.00%	0.00%
Covered other real estate owned [Member] | Fair Value, Measurements, Nonrecurring [Member] | Weighted Average Daily Balance [Member] | Level 3 [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Fair value inputs discount rate range	16.00%	12.00%	12.00%

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FAIR VALUE MEASURES (Details 4) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015
Financial assets:
Cash and due from banks	$ 123,270	$ 118,518	$ 114,396
Federal funds sold and interest-bearing accounts	90,801	272,045	120,925
Loans, net	4,922,395	3,971,974	3,720,713
FDIC loss-share receivable	0	6,301	4,506
Accrued interest receivable	21,775	21,274	20,062
Financial liabilities:
Deposits	5,306,098	4,879,290	4,530,523
Securities sold under agreements to repurchase	42,647	63,585	51,506
FDIC loss-share payable	7,775	0	0
Other borrowings	373,461	39,000	39,000
Accrued interest payable	1,282	1,054	1,149
Subordinated deferrable interest debentures	83,898	69,874	69,600
Fair Value [Member]
Financial assets:
Cash and due from banks	123,270	118,518	114,396
Federal funds sold and interest-bearing accounts	90,801	272,045	120,925
Loans, net	4,918,360	3,982,606	3,711,522
FDIC loss-share receivable		(944)	(4,042)
Accrued interest receivable	21,775	21,274	20,062
Financial liabilities:
Deposits	5,305,463	4,880,294	4,531,851
Securities sold under agreements to repurchase	42,647	63,585	51,506
FDIC loss-share payable	10,141
Other borrowings	373,461	39,000	39,000
Accrued interest payable	1,282	1,054	1,149
Subordinated deferrable interest debentures	66,252	52,785	51,617
Fair Value [Member] | Fair Value, Inputs, Level 1 [Member]
Financial assets:
Cash and due from banks	123,270	118,518	114,396
Federal funds sold and interest-bearing accounts	90,801	272,045	120,925
Loans, net	0	0	0
FDIC loss-share receivable		0	0
Accrued interest receivable	21,775	21,274	20,062
Financial liabilities:
Deposits	0	0	0
Securities sold under agreements to repurchase	42,647	63,585	51,506
FDIC loss-share payable	0
Other borrowings	0	0	0
Accrued interest payable	1,282	1,054	1,149
Subordinated deferrable interest debentures	0	0	0
Fair Value [Member] | Fair Value, Inputs, Level 2 [Member]
Financial assets:
Cash and due from banks	0	0	0
Federal funds sold and interest-bearing accounts	0	0	0
Loans, net	0	0	0
FDIC loss-share receivable		0	0
Accrued interest receivable	0	0	0
Financial liabilities:
Deposits	5,305,463	4,880,294	4,531,851
Securities sold under agreements to repurchase	0	0	0
FDIC loss-share payable	0
Other borrowings	373,461	39,000	39,000
Accrued interest payable	0	0	0
Subordinated deferrable interest debentures	66,252	52,785	51,617
Fair Value [Member] | Fair Value, Inputs, Level 3 [Member]
Financial assets:
Cash and due from banks	0	0	0
Federal funds sold and interest-bearing accounts	0	0	0
Loans, net	4,918,360	3,982,606	3,711,522
FDIC loss-share receivable		(944)	(4,042)
Accrued interest receivable	0	0	0
Financial liabilities:
Deposits	0	0	0
Securities sold under agreements to repurchase	0	0	0
FDIC loss-share payable	10,141
Other borrowings	0	0	0
Accrued interest payable	0	0	0
Subordinated deferrable interest debentures	$ 0	$ 0	$ 0

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FAIR VALUE MEASURES (Details Textual) - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015
Net Gains (Losses) From Change In Fair Value Of Mortgages Loans Held For Sale	$ 4.9	$ 3.3

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SEGMENT REPORTING (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Segment Reporting Information [Line Items]
Interest income	$ 62,210	$ 51,195	$ 176,109	$ 137,792
Interest expense	5,143	3,796	14,017	10,873
Net interest income	57,067	47,399	162,092	126,919
Provision for loan losses	811	986	2,381	4,711	$ 5,264
Noninterest income	28,864	24,978	81,529	63,179
Noninterest expense
Salaries and employee benefits	27,982	24,934	81,700	68,031
Equipment and occupancy expenses	5,989	5,915	18,060	15,278
Data processing and telecommunications expenses	6,185	5,329	18,347	13,803
Other expenses	13,043	12,218	43,051	48,975
Total noninterest expense	53,199	48,396	161,158	146,087
Income before income tax expense	31,921	22,995	80,082	39,300
Income tax expense	10,364	7,368	26,159	12,601
Net income	21,557	15,627	53,923	26,699
Total assets	6,493,495	5,216,300	6,493,495	5,216,300	5,588,940
Other intangible assets, net	18,472	18,218	18,472	18,218	17,058
Goodwill	122,545	87,701	122,545	87,701	$ 90,082
Banking Division [Member]
Segment Reporting Information [Line Items]
Interest income	55,369	46,734	158,682	126,283
Interest expense	4,995	3,690	13,567	10,594
Net interest income	50,374	43,044	145,115	115,689
Provision for loan losses	57	960	1,471	4,343
Noninterest income	13,949	13,470	39,702	31,512
Noninterest expense
Salaries and employee benefits	18,323	17,921	55,740	48,958
Equipment and occupancy expenses	5,490	5,444	16,541	13,964
Data processing and telecommunications expenses	5,794	4,998	17,299	12,922
Other expenses	11,533	11,379	39,040	45,783
Total noninterest expense	41,140	39,742	128,620	121,627
Income before income tax expense	23,126	15,812	54,726	21,231
Income tax expense	7,286	4,854	17,285	6,277
Net income	15,840	10,958	37,441	14,954
Total assets	5,841,207	4,805,387	5,841,207	4,805,387
Other intangible assets, net	18,472	18,218	18,472	18,218
Goodwill	122,545	87,701	122,545	87,701
Retail Mortgage Division [Member]
Segment Reporting Information [Line Items]
Interest income	3,679	2,485	9,992	6,009
Interest expense	0	0	0	0
Net interest income	3,679	2,485	9,992	6,009
Provision for loan losses	447	26	540	368
Noninterest income	13,198	9,827	36,126	26,532
Noninterest expense
Salaries and employee benefits	8,940	6,138	23,591	16,257
Equipment and occupancy expenses	433	397	1,326	1,173
Data processing and telecommunications expenses	364	308	974	799
Other expenses	1,303	662	3,392	2,744
Total noninterest expense	11,040	7,505	29,283	20,973
Income before income tax expense	5,390	4,781	16,295	11,200
Income tax expense	1,887	1,673	5,703	3,920
Net income	3,503	3,108	10,592	7,280
Total assets	356,755	216,640	356,755	216,640
Other intangible assets, net	0	0	0	0
Goodwill	0	0	0	0
Warehouse Lending Division [Member]
Segment Reporting Information [Line Items]
Interest income	2,073	1,128	4,714	3,142
Interest expense	0	0	0	0
Net interest income	2,073	1,128	4,714	3,142
Provision for loan losses	94	0	94	0
Noninterest income	555	372	1,328	1,028
Noninterest expense
Salaries and employee benefits	103	137	399	363
Equipment and occupancy expenses	1	1	3	4
Data processing and telecommunications expenses	26	22	71	75
Other expenses	26	40	77	95
Total noninterest expense	156	200	550	537
Income before income tax expense	2,378	1,300	5,398	3,633
Income tax expense	832	455	1,889	1,272
Net income	1,546	845	3,509	2,361
Total assets	203,334	92,398	203,334	92,398
Other intangible assets, net	0	0	0	0
Goodwill	0	0	0	0
SBA Division [Member]
Segment Reporting Information [Line Items]
Interest income	1,089	848	2,721	2,358
Interest expense	148	106	450	279
Net interest income	941	742	2,271	2,079
Provision for loan losses	213	0	276	0
Noninterest income	1,162	1,309	4,373	4,107
Noninterest expense
Salaries and employee benefits	616	738	1,970	2,453
Equipment and occupancy expenses	65	73	190	137
Data processing and telecommunications expenses	1	1	3	7
Other expenses	181	137	542	353
Total noninterest expense	863	949	2,705	2,950
Income before income tax expense	1,027	1,102	3,663	3,236
Income tax expense	359	386	1,282	1,133
Net income	668	716	2,381	2,103
Total assets	92,199	101,875	92,199	101,875
Other intangible assets, net	0	0	0	0
Goodwill	$ 0	$ 0	$ 0	$ 0