PARENT COMPANY FINANCIAL INFORMATION

12 Months Ended

Dec. 31, 2020

Condensed financial information for Southside Bancshares, Inc. (parent company only) was as follows (in thousands, except share amounts):


CONDENSED BALANCE SHEETS	December 31,
	2020		2019
ASSETS
Cash and due from banks	$	100,016	$	10,152
Investment in bank subsidiaries at equity in underlying net assets	1,028,609		949,680
Investment in nonbank subsidiaries at equity in underlying net assets	1,826		1,826
Other assets	4,732		4,186
Total assets	$	1,135,183	$	965,844
LIABILITIES AND SHAREHOLDERS’ EQUITY
Subordinated notes, net of unamortized debt issuance costs	$	197,251	$	98,576
Trust preferred subordinated debentures, net of unamortized debt issuance costs	60,255		60,250
Other liabilities	2,380		2,438
Total liabilities	259,886		161,264
Shareholders’ equity:
Common stock: ($1.25 par value, 80,000,000 shares authorized, 37,934,819 shares issued at December 31, 2020 and 37,887,662 shares issued at December 31, 2019)	47,419		47,360
Paid-in capital	771,511		766,718
Retained earnings	111,208		80,274
Treasury stock: (shares at cost, 4,983,645 at December 31, 2020 and 4,064,405 at December 31, 2019)	(123,921)		(94,008)
AOCI	69,080		4,236
Total shareholders’ equity	875,297		804,580
Total liabilities and shareholders’ equity	$	1,135,183	$	965,844

CONDENSED STATEMENTS OF INCOME


	Years Ended December 31,
	2020		2019		2018
Income
Dividends from subsidiary	$	72,000	$	50,000	$	90,000
Interest income	55		83		78
Total income	72,055		50,083		90,078
Expense
Interest expense	8,129		8,436		8,269
Other	3,240		2,927		3,662
Total expense	11,369		11,363		11,931
Income before income tax expense	60,686		38,720		78,147
Income tax benefit	2,375		2,368		2,489
Income before equity in undistributed earnings of subsidiaries	63,061		41,088		80,636
Equity in undistributed earnings of subsidiaries	19,092		33,466		(6,498)
Net income	$	82,153	$	74,554	$	74,138

CONDENSED STATEMENTS OF CASH FLOWS


	Years Ended December 31,
	2020		2019		2018

OPERATING ACTIVITIES:
Net Income	$	82,153	$	74,554	$	74,138
Adjustments to reconcile net income to net cash provided by operations:
Amortization	202		173		164
Stock compensation expense	197		—		—
Equity in undistributed earnings of subsidiaries	(19,092)		(33,466)		6,498
Net change in other assets	(546)		104		6,060
Net change in other liabilities	(58)		(979)		1,377
Net cash provided by operating activities	62,856		40,386		88,237
INVESTING ACTIVITIES:


Net cash used in investing activities	—		—		—
FINANCING ACTIVITIES:
Net proceeds from issuance of subordinated long-term debt	98,478		—		—
Purchase of common stock	(30,989)		(2,181)		(47,193)
Proceeds from issuance of common stock	2,723		3,037		3,883
Cash dividends paid	(43,204)		(42,521)		(41,979)

Net cash provided by (used) in financing activities	27,008		(41,665)		(85,289)

Net increase (decrease) in cash and cash equivalents	89,864		(1,279)		2,948
Cash and cash equivalents at beginning of period	10,152		11,431		8,483
Cash and cash equivalents at end of period	$	100,016	$	10,152	$	11,431