For the periods ended September 30, 2024 and 2023, and December 31, 2023, the following tables outline the Company’s loan portfolio by the ten portfolio segments where applicable.

Loans held-for-investment by portfolio segment are as follows (dollars in thousands):


	September 30,						December 31,
	2024			2023			2023
Commercial:
C&I	$	1,175,774		$	1,108,240		$	1,164,811
Municipal		333,732			218,358			214,850
Total Commercial		1,509,506			1,326,598			1,379,661
Agricultural		83,269			81,876			84,890
Real Estate:
Construction & Development		1,013,810			929,570			963,158
Farm		315,720			341,052			344,954
Non-Owner Occupied CRE		825,928			828,900			827,969
Owner Occupied CRE		1,086,750			1,002,913			1,037,281
Residential		2,112,196			1,788,913			1,834,593
Total Real Estate		5,354,404			4,891,348			5,007,955
Consumer:
Auto		618,103			540,382			521,859
Non-Auto		157,909			154,492			154,426
Total Consumer		776,012			694,874			676,285
Total Loans		7,723,191			6,994,696			7,148,791
Less: Allowance for credit losses		(99,936	)		(89,714	)		(88,734	)
Loans, net	$	7,623,255		$	6,904,982		$	7,060,057

Outstanding loan balances at September 30, 2024 and 2023, and December 31, 2023, are net of unearned income, including net deferred loan fees.

At September 30, 2024, $5,256,833,000 in loans held by our bank subsidiary were subject to blanket liens as security for a line of credit with the Federal Home Loan Bank of Dallas ("FHLB"). At September 30, 2024, this available line of credit was $2,196,671,000. At September 30, 2024, there was $641,500,000 used on the line advance for undisbursed commitments (letters of credit) used to secure public funds.

The Company had $64,417,000, $39,698,000 and $35,096,000 in nonaccrual, past due 90 days or more and still accruing, and foreclosed assets at September 30, 2024 and 2023, and December 31, 2023, respectively. Nonaccrual loans at September 30, 2024 and 2023, and December 31, 2023, consisted of the following (dollars in thousands):


	September 30,				December 31,
	2024		2023		2023
Commercial:
C&I	$	3,952	$	3,365	$	4,132
Municipal		—		—		—
Total Commercial		3,952		3,365		4,132
Agricultural		2,088		838		155
Real Estate:
Construction & Development		1,617		3,295		1,444
Farm		4,738		5,534		4,804
Non-Owner Occupied CRE		12,787		8,407		8,022
Owner Occupied CRE		29,411		7,812		6,822
Residential		7,741		8,990		7,649
Total Real Estate		56,294		34,038		28,741
Consumer:
Auto		546		465		464
Non-Auto		498		106		117
Total Consumer		1,044		571		581
Total	$	63,378	$	38,812	$	33,609

No significant additional funds are committed to be advanced in connection with nonaccrual loans as of September 30, 2024.

Summary information on the allowance for credit losses for the three and nine-months ended September 30, 2024 and 2023, are outlined by portfolio segment in the following tables (dollars in thousands):


Three-Months Ended September 30, 2024	C&I			Municipal			Agricultural			Construction & Development			Farm
Beginning balance	$	15,251		$	239		$	1,931		$	23,511		$	2,902
Provision for loan losses		1,665			(42	)		294			(3,164	)		272
Recoveries		257			—			8			—			—
Charge-offs		(398	)		—			(8	)		—			—
Ending balance	$	16,775		$	197		$	2,225		$	20,347		$	3,174


Three-Months Ended September 30, 2024 (continued)	Non-Owner Occupied CRE		Owner Occupied CRE		Residential			Auto			Non-Auto			Total
Beginning balance	$	13,028	$	21,054	$	15,668		$	1,073		$	513		$	95,170
Provision for loan losses		869		1,827		3,243			321			267			5,552
Recoveries		3		38		—			145			42			493
Charge-offs		—		—		(174	)		(428	)		(271	)		(1,279	)
Ending balance	$	13,900	$	22,919	$	18,737		$	1,111		$	551		$	99,936


Three-Months Ended September 30, 2023	C&I			Municipal			Agricultural		Construction & Development			Farm
Beginning balance	$	16,530		$	187		$	1,082	$	28,966		$	2,804
Provision for loan losses		(64	)		(2	)		53		(696	)		131
Recoveries		56			—			21		6			—
Charge-offs		(715	)		—			—		—			—
Ending balance	$	15,807		$	185		$	1,156	$	28,276		$	2,935


Three-Months Ended September 30, 2023 (continued)	Non-Owner Occupied CRE		Owner Occupied CRE		Residential			Auto			Non-Auto			Total
Beginning balance	$	13,471	$	12,572	$	9,767		$	829		$	333		$	86,541
Provision for loan losses		2,330		767		1,035			172			95			3,821
Recoveries		16		187		3			96			47			432
Charge-offs		—		—		(7	)		(235	)		(123	)		(1,080	)
Ending balance	$	15,817	$	13,526	$	10,798		$	862		$	352		$	89,714


Nine-Months Ended September 30, 2024	C&I			Municipal		Agricultural			Construction & Development			Farm
Beginning balance	$	15,698		$	195	$	1,281		$	28,553		$	2,914
Provision for loan losses		1,376			2		952			(8,173	)		260
Recoveries		545			—		59			—			—
Charge-offs		(844	)		—		(67	)		(33	)		—
Ending balance	$	16,775		$	197	$	2,225		$	20,347		$	3,174


Nine-Months Ended September 30, 2024 (continued)	Non-Owner Occupied CRE			Owner Occupied CRE		Residential			Auto			Non- Auto			Total
Beginning balance	$	13,425		$	13,813	$	11,654		$	810		$	391		$	88,734
Provision for loan losses		454			8,988		7,168			1,111			580			12,718
Recoveries		34			118		100			346			113			1,315
Charge-offs		(13	)		—		(185	)		(1,156	)		(533	)		(2,831	)
Ending balance	$	13,900		$	22,919	$	18,737		$	1,111		$	551		$	99,936


Nine-Months Ended September 30, 2023	C&I			Municipal			Agricultural			Construction & Development		Farm
Beginning balance	$	16,129		$	1,026		$	1,041		$	26,443	$	1,957
Provision for loan losses		860			(841	)		(128	)		1,727		978
Recoveries		221			—			243			106		—
Charge-offs		(1,403	)		—			—			—		—
Ending balance	$	15,807		$	185		$	1,156		$	28,276	$	2,935


Nine-Months Ended September 30, 2023 (continued)	Non-Owner Occupied CRE		Owner Occupied CRE		Residential			Auto			Non- Auto			Total
Beginning balance	$	9,075	$	9,928	$	9,075		$	845		$	315		$	75,834
Provision for loan losses		6,679		3,390		1,826			341			218			15,050
Recoveries		63		208		18			329			128			1,316
Charge-offs		—		—		(121	)		(653	)		(309	)		(2,486	)
Ending balance	$	15,817	$	13,526	$	10,798		$	862		$	352		$	89,714

Additionally, the Company records a reserve for unfunded commitments in other liabilities, which totaled $8,004,000, $7,903,000 and $7,903,000 at September 30, 2024 and 2023, and December 31, 2023, respectively. The provision for loan losses of $5,552,000 for the three-months ended September 30, 2024 is combined with the provision for unfunded commitments of $571,000 and reported in the net aggregate of $6,123,000 under the provision for credit losses in the consolidated statement of earnings for the three-months ended September 30, 2024. The provision for loan losses of $12,718,000 for the nine-months ended September 30, 2024 is combined with the provision for unfunded commitments of $101,000 and reported in the net aggregate of $12,817,000 under the provision for credit losses in the consolidated statement of earnings for the nine-months ended September 30, 2024.

The $3,821,000 provision for loan losses for the three-months ended September 30, 2023 above is combined with the reversal of provision for unfunded commitments of $1,545,000 and reported in the aggregate of $2,276,000 under the provision for credit losses for the three-months ended September 30, 2023. The $15,050,000 provision for loan losses for the nine-months ended September 30, 2023 above is combined with the reversal of provision for unfunded commitments of $4,419,000 and reported in the aggregate of $10,631,000 under the provision for credit losses for the nine-months ended September 30, 2023.

The Company’s loans that are individually evaluated for credit losses (both collateral and non-collateral dependent) and their related allowances as of September 30, 2024 and 2023, and December 31, 2023, are summarized in the following tables by loan segment (dollars in thousands):


September 30, 2024	Collateral Dependent Loans Individually Evaluated for Credit Losses Without an Allowance		Collateral Dependent Loans Individually Evaluated for Credit Losses With an Allowance		Non-Collateral Dependent Loans Individually Evaluated for Credit Losses		Total Loans Individually Evaluated for Credit Losses		Related Allowance on Collateral Dependent Loans		Related Allowance on Non-Collateral Dependent Loans		Total Allowance for Credit Losses on Loans Individually Evaluated for Credit Losses
Commercial:
C&I	$	1,137	$	2,815	$	21,285	$	25,237	$	1,430	$	3,921	$	5,351
Municipal		—		—		373		373		—		—		—
Total Commercial		1,137		2,815		21,658		25,610		1,430		3,921		5,351
Agricultural		278		1,810		1,150		3,238		1,092		636		1,728
Real Estate:
Construction & Development		1,091		526		8,404		10,021		35		556		591
Farm		412		4,326		5,586		10,324		546		443		989
Non-Owner Occupied CRE		2,234		10,553		25,607		38,394		1,402		2,047		3,449
Owner Occupied CRE		402		29,009		57,364		86,775		6,709		2,888		9,597
Residential		4,142		3,599		43,439		51,180		644		2,373		3,017
Total Real Estate		8,281		48,013		140,400		196,694		9,336		8,307		17,643
Consumer:
Auto		—		546		2,562		3,108		1		4		5
Non-Auto		—		498		775		1,273		87		78		165
Total Consumer		—		1,044		3,337		4,381		88		82		170
Total	$	9,696	$	53,682	$	166,545	$	229,923	$	11,946	$	12,946	$	24,892


September 30, 2023	Collateral Dependent Loans Individually Evaluated for Credit Losses Without an Allowance		Collateral Dependent Loans Individually Evaluated for Credit Losses With an Allowance		Non-Collateral Dependent Loans Individually Evaluated for Credit Losses		Total Loans Individually Evaluated for Credit Losses		Related Allowance on Collateral Dependent Loans		Related Allowance on Non-Collateral Dependent Loans		Total Allowance for Credit Losses on Loans Individually Evaluated for Credit Losses
Commercial:
C&I	$	310	$	3,055	$	20,476	$	23,841	$	2,025	$	4,651	$	6,676
Municipal		—		—		1,377		1,377		—		—		—
Total Commercial		310		3,055		21,853		25,218		2,025		4,651		6,676
Agricultural		215		623		1,278		2,116		58		594		652
Real Estate:
Construction & Development		2,678		617		19,912		23,207		139		1,887		2,026
Farm		553		4,981		2,225		7,759		1,070		133		1,203
Non-Owner Occupied CRE		1,991		6,416		28,127		36,534		889		2,665		3,554
Owner Occupied CRE		5,473		2,339		34,988		42,800		400		1,635		2,035
Residential		6,059		2,931		29,453		38,443		281		1,865		2,146
Total Real Estate		16,754		17,284		114,705		148,743		2,779		8,185		10,964
Consumer:
Auto		—		465		1,858		2,323		1		3		4
Non-Auto		—		106		599		705		—		2		2
Total Consumer		—		571		2,457		3,028		1		5		6
Total	$	17,279	$	21,533	$	140,293	$	179,105	$	4,863	$	13,435	$	18,298


December 31, 2023	Collateral Dependent Loans Individually Evaluated for Credit Losses Without an Allowance		Collateral Dependent Loans Individually Evaluated for Credit Losses With an Allowance		Non-Collateral Dependent Loans Individually Evaluated for Credit Losses		Total Loans Individually Evaluated for Credit Losses		Related Allowance on Collateral Dependent Loans		Related Allowance on Non-Collateral Dependent Loans		Total Allowance for Credit Losses on Loans Individually Evaluated for Credit Losses
Commercial:
C&I	$	1,322	$	2,810	$	18,633	$	22,765	$	1,363	$	4,495	$	5,858
Municipal		—		—		733		733		—		—		—
Total Commercial		1,322		2,810		19,366		23,498		1,363		4,495		5,858
Agricultural		57		98		1,304		1,459		50		700		750
Real Estate:
Construction & Development		758		686		22,545		23,989		148		2,253		2,401
Farm		—		4,804		1,362		6,166		937		57		994
Non-Owner Occupied CRE		1,919		6,103		29,117		37,139		700		2,984		3,684
Owner Occupied CRE		4,661		2,161		35,746		42,568		232		1,431		1,663
Residential		3,909		3,740		30,257		37,906		360		1,799		2,159
Total Real Estate		11,247		17,494		119,027		147,768		2,377		8,524		10,901
Consumer:
Auto		—		464		2,125		2,589		1		3		4
Non-Auto		—		117		782		899		—		60		60
Total Consumer		—		581		2,907		3,488		1		63		64
Total	$	12,626	$	20,983	$	142,604	$	176,213	$	3,791	$	13,782	$	17,573

The Company’s allowance for loans that are individually evaluated for credit losses and collectively evaluated for credit losses as of September 30, 2024 and 2023, and December 31, 2023, are summarized in the following table by loan segment (dollars in thousands). Allocation of a portion of the allowance to one category of loans does not preclude its availability to absorb losses in other categories.


September 30, 2024	C&I		Municipal		Agricultural		Construction & Development		Farm
Loans individually evaluated for credit losses	$	5,351	$	—	$	1,728	$	591	$	989
Loans collectively evaluated for credit losses		11,424		197		497		19,756		2,185
Total	$	16,775	$	197	$	2,225	$	20,347	$	3,174


September 30, 2024 (continued)	Non-Owner Occupied CRE		Owner Occupied CRE		Residential		Auto		Non-Auto		Total
Loans individually evaluated for credit losses	$	3,449	$	9,597	$	3,017	$	5	$	165	$	24,892
Loans collectively evaluated for credit losses		10,451		13,322		15,720		1,106		386		75,044
Total	$	13,900	$	22,919	$	18,737	$	1,111	$	551	$	99,936


September 30, 2023	C&I		Municipal		Agricultural		Construction & Development		Farm
Loans individually evaluated for credit losses	$	6,676	$	—	$	652	$	2,026	$	1,203
Loans collectively evaluated for credit losses		9,131		185		504		26,250		1,732
Total	$	15,807	$	185	$	1,156	$	28,276	$	2,935


September 30, 2023 (continued)	Non-Owner Occupied CRE		Owner Occupied CRE		Residential		Auto		Non-Auto		Total
Loans individually evaluated for credit losses	$	3,554	$	2,035	$	2,146	$	4	$	2	$	18,298
Loans collectively evaluated for credit losses		12,263		11,491		8,652		858		350		71,416
Total	$	15,817	$	13,526	$	10,798	$	862	$	352	$	89,714

The Company’s recorded investment in loans as of September 30, 2024 and 2023, and December 31, 2023, related to the balance in the allowance for credit losses follows below (dollars in thousands):


September 30, 2024	C&I		Municipal		Agricultural		Construction & Development		Farm
Loans individually evaluated for credit losses	$	25,237	$	373	$	3,238	$	10,021	$	10,324
Loans collectively evaluated for credit losses		1,150,537		333,359		80,031		1,003,789		305,396
Total	$	1,175,774	$	333,732	$	83,269	$	1,013,810	$	315,720


September 30, 2024 (continued)	Non-Owner Occupied CRE		Owner Occupied CRE		Residential		Auto		Non-Auto		Total
Loans individually evaluated for credit losses	$	38,394	$	86,775	$	51,180	$	3,108	$	1,273	$	229,923
Loans collectively evaluated for credit losses		787,534		999,975		2,061,016		614,995		156,636		7,493,268
Total	$	825,928	$	1,086,750	$	2,112,196	$	618,103	$	157,909	$	7,723,191


September 30, 2023	C&I		Municipal		Agricultural		Construction & Development		Farm
Loans individually evaluated for credit losses	$	23,841	$	1,377	$	2,116	$	23,207	$	7,759
Loans collectively evaluated for credit losses		1,084,399		216,981		79,760		906,363		333,293
Total	$	1,108,240	$	218,358	$	81,876	$	929,570	$	341,052


September 30, 2023 (continued)	Non-Owner Occupied CRE		Owner Occupied CRE		Residential		Auto		Non-Auto		Total
Loans individually evaluated for credit losses	$	36,534	$	42,800	$	38,443	$	2,323	$	705	$	179,105
Loans collectively evaluated for credit losses		792,366		960,113		1,750,470		538,059		153,787		6,815,591
Total	$	828,900	$	1,002,913	$	1,788,913	$	540,382	$	154,492	$	6,994,696


December 31, 2023	C&I		Municipal		Agricultural		Construction & Development		Farm
Loans individually evaluated for credit losses	$	22,765	$	733	$	1,459	$	23,989	$	6,166
Loans collectively evaluated for credit losses		1,142,046		214,117		83,431		939,169		338,788
Total	$	1,164,811	$	214,850	$	84,890	$	963,158	$	344,954


December 31, 2023 (continued)	Non-Owner Occupied CRE		Owner Occupied CRE		Residential		Auto		Non-Auto		Total
Loans individually evaluated for credit losses	$	37,139	$	42,568	$	37,906	$	2,589	$	899	$	176,213
Loans collectively evaluated for credit losses		790,830		994,713		1,796,687		519,270		153,527		6,972,578
Total	$	827,969	$	1,037,281	$	1,834,593	$	521,859	$	154,426	$	7,148,791

From a credit risk standpoint, the Company rates its loans in one of five categories: (i) pass, (ii) special mention, (iii) substandard, (iv) doubtful or (v) loss (which are charged-off).

The ratings of loans reflect a judgment about the risks of default and loss associated with the loan. The Company reviews the ratings on our credits as part of our ongoing monitoring of the credit quality of our loan portfolio. Ratings are adjusted to reflect the degree of risk and loss that are felt to be inherent in each credit as of each reporting period. Our methodology is structured so that specific allocations are increased in accordance with deterioration in credit quality (and a corresponding increase in risk and loss) or decreased in accordance with improvement in credit quality (and a corresponding decrease in risk and loss).

Credits rated special mention show clear signs of financial weaknesses or deterioration in credit worthiness, however, such concerns are not so pronounced that the Company generally expects to experience significant loss within the short-term. Such credits typically maintain the ability to perform within standard credit terms and credit exposure is not as prominent as credits rated more harshly.

Credits rated substandard are those in which the normal repayment of principal and interest may be, or has been, jeopardized by reason of adverse trends or developments of a financial, managerial, economic or political nature, or important weaknesses exist in collateral. A protracted workout on these credits is a distinct possibility. Prompt corrective action is therefore required to strengthen the Company’s position, and/or to reduce exposure and to assure that adequate remedial measures are taken by the borrower. Credit exposure becomes more likely in such credits and a serious evaluation of the secondary support to the credit is performed.

Credits rated doubtful are those in which full collection of principal appears highly questionable, and which some degree of loss is anticipated, even though the ultimate amount of loss may not yet be certain and/or other factors exist which could affect collection of debt. Based upon available information, positive action by the Company is required to avert or minimize loss. Credits rated doubtful are generally also placed on nonaccrual.

The following summarizes the Company’s internal ratings of its loans held-for-investment, including the year of origination, by portfolio segments, at September 30, 2024 (dollars in millions):


September 30,	2024		2023		2022		2021		2020		Prior		Revolving Loans Amortized Cost Basis		Total
C&I
Risk rating:
Pass	$	533	$	331	$	175	$	57	$	25	$	30	$	—	$	1,151
Special mention		9		1		—		—		—		—		—		10
Substandard		5		3		3		1		1		2		—		15
Doubtful		—		—		—		—		—		—		—		—
Total	$	547	$	335	$	178	$	58	$	26	$	32	$	—	$	1,176
Year-to-Date Gross Charge-Offs	$	—	$	1	$	—	$	—	$	—	$	—	$	—	$	1


September 30,	2024		2023		2022		2021		2020		Prior		Revolving Loans Amortized Cost Basis		Total
Municipal
Risk rating:
Pass	$	131	$	29	$	79	$	13	$	9	$	73	$	—	$	334
Special mention		—		—		—		—		—		—		—		—
Substandard		—		—		—		—		—		—		—		—
Doubtful		—		—		—		—		—		—		—		—
Total	$	131	$	29	$	79	$	13	$	9	$	73	$	—	$	334
Year-to-Date Gross Charge-Offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—


September 30,	2024		2023		2022		2021		2020		Prior		Revolving Loans Amortized Cost Basis		Total
Agricultural
Risk rating:
Pass	$	53	$	19	$	5	$	2	$	1	$	—	$	—	$	80
Special mention		—		—		—		—		—		—		—		—
Substandard		3		—		—		—		—		—		—		3
Doubtful		—		—		—		—		—		—		—		—
Total	$	56	$	19	$	5	$	2	$	1	$	—	$	—	$	83
Year-to-Date Gross Charge-Offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—


September 30,	2024		2023		2022		2021		2020		Prior		Revolving Loans Amortized Cost Basis		Total
Construction & Development
Risk rating:
Pass	$	513	$	227	$	180	$	57	$	17	$	9	$	1	$	1,004
Special mention		2		—		—		—		—		—		—		2
Substandard		5		2		1		—		—		—		—		8
Doubtful		—		—		—		—		—		—		—		—
Total	$	520	$	229	$	181	$	57	$	17	$	9	$	1	$	1,014
Year-to-Date Gross Charge-Offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—


September 30,	2024		2023		2022		2021		2020		Prior		Revolving Loans Amortized Cost Basis		Total
Farm
Risk rating:
Pass	$	76	$	44	$	76	$	65	$	20	$	25	$	—	$	306
Special mention		—		—		—		—		—		—		—		—
Substandard		—		1		4		—		4		1		—		10
Doubtful		—		—		—		—		—		—		—		—
Total	$	76	$	45	$	80	$	65	$	24	$	26	$	—	$	316
Year-to-Date Gross Charge-Offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—


September 30,	2024		2023		2022		2021		2020		Prior		Revolving Loans Amortized Cost Basis		Total
Non-Owner Occupied CRE
Risk rating:
Pass	$	147	$	91	$	244	$	155	$	60	$	91	$	—	$	788
Special mention		1		—		—		1		—		1		—		3
Substandard		3		3		1		7		6		15		—		35
Doubtful		—		—		—		—		—		—		—		—
Total	$	151	$	94	$	245	$	163	$	66	$	107	$	—	$	826
Year-to-Date Gross Charge-Offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—


September 30,	2024		2023		2022		2021		2020		Prior		Revolving Loans Amortized Cost Basis		Total
Owner Occupied CRE
Risk rating:
Pass	$	128	$	138	$	279	$	185	$	104	$	166	$	—	$	1,000
Special mention		2		5		—		5		1		1		—		14
Substandard		2		4		42		13		1		11		—		73
Doubtful		—		—		—		—		—		—		—		—
Total	$	132	$	147	$	321	$	203	$	106	$	178	$	—	$	1,087
Year-to-Date Gross Charge-Offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—


September 30,	2024		2023		2022		2021		2020		Prior		Revolving Loans Amortized Cost Basis		Total
Residential
Risk rating:
Pass	$	448	$	392	$	392	$	278	$	136	$	246	$	167	$	2,059
Special mention		2		1		1		2		—		2		—		8
Substandard		4		7		12		3		4		11		4		45
Doubtful		—		—		—		—		—		—		—		—
Total	$	454	$	400	$	405	$	283	$	140	$	259	$	171	$	2,112
Year-to-Date Gross Charge-Offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—


September 30,	2024		2023		2022		2021		2020		Prior		Revolving Loans Amortized Cost Basis		Total
Auto
Risk rating:
Pass	$	271	$	137	$	144	$	45	$	14	$	4	$	—	$	615
Special mention		—		—		—		—		—		—		—		—
Substandard		—		1		1		1		—		—		—		3
Doubtful		—		—		—		—		—		—		—		—
Total	$	271	$	138	$	145	$	46	$	14	$	4	$	—	$	618
Year-to-Date Gross Charge-Offs	$	—	$	—	$	1	$	—	$	—	$	—	$	—	$	1


September 30,	2024		2023		2022		2021		2020		Prior		Revolving Loans Amortized Cost Basis		Total
Non-Auto
Risk rating:
Pass	$	59	$	42	$	31	$	15	$	2	$	1	$	7	$	157
Special mention		—		—		—		—		—		—		—		—
Substandard		—		—		1		—		—		—		—		1
Doubtful		—		—		—		—		—		—		—		—
Total	$	59	$	42	$	32	$	15	$	2	$	1	$	7	$	158
Year-to-Date Gross Charge-Offs	$	—	$	—	$	1	$	—	$	—	$	—	$	—	$	1


September 30,	2024		2023		2022		2021		2020		Prior		Revolving Loans Amortized Cost Basis		Total
Total Loans
Risk rating:
Pass	$	2,359	$	1,450	$	1,605	$	872	$	388	$	645	$	175	$	7,494
Special mention		16		7		1		8		1		4		—		37
Substandard		22		21		65		25		16		40		4		193
Doubtful		—		—		—		—		—		—		—		—
Total	$	2,397	$	1,478	$	1,671	$	905	$	405	$	689	$	179	$	7,724
Year-to-Date Gross Charge-Offs	$	—	$	1	$	2	$	—	$	—	$	—	$	—	$	3

The following summarizes the Company’s internal ratings of its loans held-for-investment, including the year of origination, by portfolio segments, at September 30, 2023 (dollars in millions):


September 30,	2023		2022		2021		2020		2019		Prior		Revolving Loans Amortized Cost Basis		Total
C&I
Risk rating:
Pass	$	524	$	386	$	94	$	40	$	16	$	24	$	—	$	1,084
Special mention		7		1		—		—		1		—		—		9
Substandard		2		5		3		2		1		2		—		15
Doubtful		—		—		—		—		—		—		—		—
Total	$	533	$	392	$	97	$	42	$	18	$	26	$	—	$	1,108
Year-to-Date Gross Charge-Offs	$	—	$	—	$	1	$	—	$	—	$	—	$	—	$	1


September 30,	2023		2022		2021		2020		2019		Prior		Revolving Loans Amortized Cost Basis		Total
Municipal
Risk rating:
Pass	$	20	$	83	$	16	$	14	$	2		82	$	—	$	217
Special mention		—		—		—		—		—		—		—		—
Substandard		—		—		1		—		—		—		—		1
Doubtful		—		—		—		—		—		—		—		—
Total	$	20	$	83	$	17	$	14	$	2	$	82	$	—	$	218
Year-to-Date Gross Charge-Offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—


September 30,	2023		2022		2021		2020		2019		Prior		Revolving Loans Amortized Cost Basis		Total
Agricultural
Risk rating:
Pass	$	42	$	30	$	5	$	2	$	1		—	$	—	$	80
Special mention		—		—		—		—		—		—		—		—
Substandard		1		1		—		—		—		—		—		2
Doubtful		—		—		—		—		—		—		—		—
Total	$	43	$	31	$	5	$	2	$	1	$	—	$	—	$	82
Year-to-Date Gross Charge-Offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—


September 30,	2023		2022		2021		2020		2019		Prior		Revolving Loans Amortized Cost Basis		Total
Construction & Development
Risk rating:
Pass	$	373	$	401	$	94	$	22	$	10	$	7	$	—	$	907
Special mention		7		4		—		—		—		—		—		11
Substandard		8		3		1		—		—		—		—		12
Doubtful		—		—		—		—		—		—		—		—
Total	$	388	$	408	$	95	$	22	$	10	$	7	$	—	$	930
Year-to-Date Gross Charge-Offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—


September 30,	2023		2022		2021		2020		2019		Prior		Revolving Loans Amortized Cost Basis		Total
Farm
Risk rating:
Pass	$	83	$	116	$	75	$	25	$	9	$	25	$	—	$	333
Special mention		—		—		—		—		—		—		—		—
Substandard		—		1		1		5		—		1		—		8
Doubtful		—		—		—		—		—		—		—		—
Total	$	83	$	117	$	76	$	30	$	9	$	26	$	—	$	341
Year-to-Date Gross Charge-Offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—


September 30,	2023		2022		2021		2020		2019		Prior		Revolving Loans Amortized Cost Basis		Total
Non-Owner Occupied CRE
Risk rating:
Pass	$	134	$	240	$	182	$	116	$	45	$	75	$	—	$	792
Special mention		—		4		1		—		11		2		—		18
Substandard		1		1		1		7		2		7		—		19
Doubtful		—		—		—		—		—		—		—		—
Total	$	135	$	245	$	184	$	123	$	58	$	84	$	—	$	829
Year-to-Date Gross Charge-Offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—


September 30,	2023		2022		2021		2020		2019		Prior		Revolving Loans Amortized Cost Basis		Total
Owner Occupied CRE
Risk rating:
Pass	$	81	$	320	$	228	$	118	$	64	$	149	$	—	$	960
Special mention		1		—		5		—		3		—		—		9
Substandard		3		6		4		—		5		16		—		34
Doubtful		—		—		—		—		—		—		—		—
Total	$	85	$	326	$	237	$	118	$	72	$	165	$	—	$	1,003
Year-to-Date Gross Charge-Offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—


September 30,	2023		2022		2021		2020		2019		Prior		Revolving Loans Amortized Cost Basis		Total
Residential
Risk rating:
Pass	$	368	$	443	$	325	$	165	$	70	$	241	$	139	$	1,751
Special mention		—		2		2		2		—		3		1		10
Substandard		4		5		4		3		2		8		2		28
Doubtful		—		—		—		—		—		—		—		—
Total	$	372	$	450	$	331	$	170	$	72	$	252	$	142	$	1,789
Year-to-Date Gross Charge-Offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—


September 30,	2023		2022		2021		2020		2019		Prior		Revolving Loans Amortized Cost Basis		Total
Auto
Risk rating:
Pass	$	168	$	237	$	86	$	32	$	13	$	2	$	—	$	538
Special mention		—		—		—		—		—		—		—		—
Substandard		—		1		1		—		—		—		—		2
Doubtful		—		—		—		—		—		—		—		—
Total	$	168	$	238	$	87	$	32	$	13	$	2	$	—	$	540
Year-to-Date Gross Charge-Offs	$	—	$	1	$	—	$	—	$	—	$	—	$	—	$	1


September 30,	2023		2022		2021		2020		2019		Prior		Revolving Loans Amortized Cost Basis		Total
Non-Auto
Risk rating:
Pass	$	60	$	54	$	26	$	5	$	1	$	1	$	7	$	154
Special mention		—		—		—		—		—		—		—		—
Substandard		1		—		—		—		—		—		—		1
Doubtful		—		—		—		—		—		—		—		—
Total	$	61	$	54	$	26	$	5	$	1	$	1	$	7	$	155
Year-to-Date Gross Charge-Offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—


September 30,	2023		2022		2021		2020		2019		Prior		Revolving Loans Amortized Cost Basis		Total
Total Loans
Risk rating:
Pass	$	1,853	$	2,310	$	1,131	$	539	$	231	$	606	$	146	$	6,816
Special mention		15		11		8		2		15		5		1		57
Substandard		20		23		16		17		10		34		2		122
Doubtful		—		—		—		—		—		—		—		—
Total	$	1,888	$	2,344	$	1,155	$	558	$	256	$	645	$	149	$	6,995
Year-to-Date Gross Charge-Offs	$	—	$	1	$	1	$	—	$	—	$	—	$	—	$	2

The following summarizes the Company’s internal ratings of its loans held-for-investment, including the year of origination, by portfolio segments, at December 31, 2023 (dollars in millions):


December 31,	2023		2022		2021		2020		2019		Prior		Revolving Loans Amortized Cost Basis		Total
C&I
Risk rating:
Pass	$	720	$	276	$	73	$	36	$	14	$	23	$	—	$	1,142
Special mention		1		1		—		—		1		—		—		3
Substandard		12		2		2		1		1		2		—		20
Doubtful		—		—		—		—		—		—		—		—
Total	$	733	$	279	$	75	$	37	$	16	$	25	$	—	$	1,165
Year-to-Date Gross Charge-Offs	$	—	$	—	$	1	$	—	$	—	$	—	$	—	$	1


December 31,	2023		2022		2021		2020		2019		Prior		Revolving Loans Amortized Cost Basis		Total
Municipal
Risk rating:
Pass	$	25	$	83	$	15	$	10	$	1	$	80	$	—	$	214
Special mention		—		—		—		—		—		—		—		—
Substandard		—		—		1		—		—		—		—		1
Doubtful		—		—		—		—		—		—		—		—
Total	$	25	$	83	$	16	$	10	$	1	$	80	$	—	$	215
Year-to-Date Gross Charge-Offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—


December 31,	2023		2022		2021		2020		2019		Prior		Revolving Loans Amortized Cost Basis		Total
Agricultural
Risk rating:
Pass	$	63	$	15	$	4	$	1	$	1	$	—	$	—	$	84
Special mention		—		—		—		—		—		—		—		—
Substandard		1		—		—		—		—		—		—		1
Doubtful		—		—		—		—		—		—		—		—
Total	$	64	$	15	$	4	$	1	$	1	$	—	$	—	$	85
Year-to-Date Gross Charge-Offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—


December 31,	2023		2022		2021		2020		2019		Prior		Revolving Loans Amortized Cost Basis		Total
Construction & Development
Risk rating:
Pass	$	515	$	311	$	78	$	20	$	9	$	6	$	—	$	939
Special mention		8		2		—		—		—		—		—		10
Substandard		9		4		1		—		—		—		—		14
Doubtful		—		—		—		—		—		—		—		—
Total	$	532	$	317	$	79	$	20	$	9	$	6	$	—	$	963
Year-to-Date Gross Charge-Offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—


December 31,	2023		2022		2021		2020		2019		Prior		Revolving Loans Amortized Cost Basis		Total
Farm
Risk rating:
Pass	$	101	$	111	$	73	$	24	$	8	$	22	$	—	$	339
Special mention		—		—		—		—		—		—		—		—
Substandard		—		—		—		5		—		1		—		6
Doubtful		—		—		—		—		—		—		—		—
Total	$	101	$	111	$	73	$	29	$	8	$	23	$	—	$	345
Year-to-Date Gross Charge-Offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—


December 31,	2023		2022		2021		2020		2019		Prior		Revolving Loans Amortized Cost Basis		Total
Non-Owner Occupied CRE
Risk rating:
Pass	$	167	$	232	$	172	$	106	$	41	$	73	$	—	$	791
Special mention		—		5		1		—		—		2		—		8
Substandard		2		1		2		7		13		4		—		29
Doubtful		—		—		—		—		—		—		—		—
Total	$	169	$	238	$	175	$	113	$	54	$	79	$	—	$	828
Year-to-Date Gross Charge-Offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—


December 31,	2023		2022		2021		2020		2019		Prior		Revolving Loans Amortized Cost Basis		Total
Owner Occupied CRE
Risk rating:
Pass	$	154	$	305	$	217	$	114	$	62	$	142	$	—	$	994
Special mention		1		1		4		—		1		1		—		8
Substandard		3		6		4		—		7		15		—		35
Doubtful		—		—		—		—		—		—		—		—
Total	$	158	$	312	$	225	$	114	$	70	$	158	$	—	$	1,037
Year-to-Date Gross Charge-Offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—


December 31,	2023		2022		2021		2020		2019		Prior		Revolving Loans Amortized Cost Basis		Total
Residential
Risk rating:
Pass	$	477	$	415	$	313	$	158	$	67	$	229	$	138	$	1,797
Special mention		1		2		2		2		—		3		1		11
Substandard		4		4		3		3		3		7		3		27
Doubtful		—		—		—		—		—		—		—		—
Total	$	482	$	421	$	318	$	163	$	70	$	239	$	142	$	1,835
Year-to-Date Gross Charge-Offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—


December 31,	2023		2022		2021		2020		2019		Prior		Revolving Loans Amortized Cost Basis		Total
Auto
Risk rating:
Pass	$	195	$	212	$	74	$	26	$	10	$	2	$	—	$	519
Special mention		—		—		—		—		—		—		—		—
Substandard		—		1		1		1		—		—		—		3
Doubtful		—		—		—		—		—		—		—		—
Total	$	195	$	213	$	75	$	27	$	10	$	2	$	—	$	522
Year-to-Date Gross Charge-Offs	$	—	$	1	$	—	$	—	$	—	$	—	$	—	$	1


December 31,	2023		2022		2021		2020		2019		Prior		Revolving Loans Amortized Cost Basis		Total
Non-Auto
Risk rating:
Pass	$	71	$	47	$	22	$	4	$	1	$	1	$	7	$	153
Special mention		—		—		—		—		—		—		—		—
Substandard		1		—		—		—		—		—		—		1
Doubtful		—		—		—		—		—		—		—		—
Total	$	72	$	47	$	22	$	4	$	1	$	1	$	7	$	154
Year-to-Date Gross Charge-Offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—


December 31,	2023		2022		2021		2020		2019		Prior		Revolving Loans Amortized Cost Basis		Total
Total Loans
Risk rating:
Pass	$	2,488	$	2,007	$	1,041	$	499	$	214	$	578	$	145	$	6,972
Special mention		11		11		7		2		2		6		1		40
Substandard		32		18		14		17		24		29		3		137
Doubtful		—		—		—		—		—		—		—		—
Total	$	2,531	$	2,036	$	1,062	$	518	$	240	$	613	$	149	$	7,149
Year-to-Date Gross Charge-Offs	$	—	$	1	$	1	$	—	$	—	$	—	$	—	$	2

At September 30, 2024 and 2023, and December 31, 2023, the Company’s past due loans are as follows (dollars in thousands):


September 30, 2024	15-59 Days Past Due*		60-89 Days Past Due		Greater Than 90 Days		Total Past Due		Current		Total Loans		90 Days Past Due Still Accruing
Commercial:
C&I	$	3,570	$	672	$	1,261	$	5,503	$	1,170,271	$	1,175,774	$	224
Municipal		—		—		—		—		333,732		333,732		—
Total Commercial		3,570		672		1,261		5,503		1,504,003		1,509,506		224
Agricultural		192		134		1,617		1,943		81,326		83,269		—
Real Estate:
Construction & Development		9,116		155		911		10,182		1,003,628		1,013,810		245
Farm		777		—		—		777		314,943		315,720		—
Non-Owner Occupied CRE		203		87		2,682		2,972		822,956		825,928		—
Owner Occupied CRE		4,045		403		1,234		5,682		1,081,068		1,086,750		—
Residential		18,074		2,438		515		21,027		2,091,169		2,112,196		35
Total Real Estate		32,215		3,083		5,342		40,640		5,313,764		5,354,404		280
Consumer:
Auto		964		79		43		1,086		617,017		618,103		—
Non-Auto		220		212	.			432		157,477		157,909		—
Total Consumer		1,184		291		43		1,518		774,494		776,012		—
Total	$	37,161	$	4,180	$	8,263	$	49,604	$	7,673,587	$	7,723,191	$	504


September 30, 2023	15-59 Days Past Due*		60-89 Days Past Due		Greater Than 90 Days		Total Past Due		Current		Total Loans		90 Days Past Due Still Accruing
Commercial:
C&I	$	5,111	$	390	$	1,388	$	6,889	$	1,101,351	$	1,108,240	$	109
Municipal		481		—		—		481		217,877		218,358		—
Total Commercial		5,592		390		1,388		7,370		1,319,228		1,326,598		109
Agricultural		187		—		550		737		81,139		81,876		32
Real Estate:
Construction & Development		10,037		169		1,986		12,192		917,378		929,570		—
Farm		706		—		205		911		340,141		341,052		—
Non-Owner Occupied CRE		2,748		—		—		2,748		826,152		828,900		—
Owner Occupied CRE		1,867		—		476		2,343		1,000,570		1,002,913		—
Residential		9,049		1,658		2,067		12,774		1,776,139		1,788,913		148
Total Real Estate		24,407		1,827		4,734		30,968		4,860,380		4,891,348		148
Consumer:
Auto		339		176		32		547		539,835		540,382		—
Non-Auto		217		2		9		228		154,264		154,492		—
Total Consumer		556		178		41		775		694,099		694,874		—
Total	$	30,742	$	2,395	$	6,713	$	39,850	$	6,954,846	$	6,994,696	$	289


December 31, 2023	15-59 Days Past Due*		60-89 Days Past Due		Greater Than 90 Days		Total Past Due		Current		Total Loans		90 Days Past Due Still Accruing
Commercial:
C&I	$	8,789	$	1,624	$	1,700	$	12,113	$	1,152,698	$	1,164,811	$	141
Municipal		102		—		—		102		214,748		214,850		—
Total Commercial		8,891		1,624		1,700		12,215		1,367,446		1,379,661		141
Agricultural		850		246		4		1,100		83,790		84,890		—
Real Estate:
Construction & Development		8,887		2,115		1,856		12,858		950,300		963,158		863
Farm		1,024		195		—		1,219		343,735		344,954		—
Non-Owner Occupied CRE		3,565		—		—		3,565		824,404		827,969		—
Owner Occupied CRE		2,818		240		1,823		4,881		1,032,400		1,037,281		—
Residential		12,293		828		2,816		15,937		1,818,656		1,834,593		—
Total Real Estate		28,587		3,378		6,495		38,460		4,969,495		5,007,955		863
Consumer:
Auto		1,482		251		24		1,757		520,102		521,859		—
Non-Auto		341		51		—		392		154,034		154,426		—
Total Consumer		1,823		302		24		2,149		674,136		676,285		—
Total	$	40,151	$	5,550	$	8,223	$	53,924	$	7,094,867	$	7,148,791	$	1,004

* The Company monitors commercial, agricultural and real estate loans after such loans are 15 days past due. Consumer loans are monitored after such loans are 30 days past due.

On January 1, 2023, the Company adopted the accounting guidance in ASU 2022-02, which eliminates the recognition and measurement of a troubled debt restructuring ("TDR). Due to the removal of the TDR designation, the Company evaluates all loan restructurings according to the accounting guidance for loan modifications to determine if the restructuring results in a new loan or a continuation of the existing loan. Loan modifications to borrowers experiencing financial difficulty that result in a direct change in the timing or amount of contractual cash flows include situations where there is principal forgiveness, term extensions, interest rate reduction, and combinations of the listed modifications. Therefore, the disclosures related to loan restructurings are only for modifications that directly affect cash flows.

An assessment of whether a borrower is experiencing financial difficulty is made on the date of a modification. Because the effect of most modifications made to borrowers experiencing financial difficulty is already included in the allowance for credit losses due to the measurement methodologies used to estimate the allowance, a change to the allowance for credit losses is generally not recorded upon modification. During the nine-months ended September 30, 2024 and 2023, respectively, loan modifications made to borrowers experiencing financial difficulty was insignificant.