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ALLOWANCE FOR LOAN LOSSES: (Tables)
 12 Months Ended
Dec. 31, 2017
Allowance For Loan Losses Disclosure [Abstract]  
Schedule of allowances for loan losses by portfolio segment
The following table presents the activity of the allowance for loan losses by portfolio segment for the years ended December 31, 2017, 2016 and 2015.

Allowance for Loan Losses:
 
 
 
December 31, 2017
 
 
(Dollar amounts in thousands)
 
Commercial
 
Residential
 
Consumer
 
Unallocated
 
Total
Beginning balance
 
$
9,731

 
$
1,553

 
$
5,767

 
$
1,722

 
$
18,773

Provision for loan losses
 
745

 
(179
)
 
4,987

 
(258
)
 
5,295

Loans charged -off
 
(1,572
)
 
(761
)
 
(6,429
)
 
—

 
(8,762
)
Recoveries
 
1,377

 
842

 
2,384

 
—

 
4,603

Ending Balance
 
$
10,281

 
$
1,455

 
$
6,709

 
$
1,464

 
$
19,909



Allowance for Loan Losses:
 
 
 
December 31, 2016
 
 
(Dollar amounts in thousands)
 
Commercial
 
Residential
 
Consumer
 
Unallocated
 
Total
Beginning balance
 
$
11,482

 
$
1,834

 
$
4,945

 
$
1,685

 
$
19,946

Provision for loan losses
 
(755
)
 
54

 
3,964

 
37

 
3,300

Loans charged -off
 
(2,659
)
 
(1,011
)
 
(5,279
)
 
—

 
(8,949
)
Recoveries
 
1,663

 
676

 
2,137

 
—

 
4,476

Ending Balance
 
$
9,731

 
$
1,553

 
$
5,767

 
$
1,722

 
$
18,773


  
Allowance for Loan Losses:
 
 
 
December 31, 2015
 
 
(Dollar amounts in thousands)
 
Commercial
 
Residential
 
Consumer
 
Unallocated
 
Total
Beginning balance
 
$
10,915

 
$
1,374

 
$
4,370

 
$
2,180

 
$
18,839

Provision for loan losses
 
990

 
874

 
3,331

 
(495
)
 
4,700

Loans charged -off
 
(2,852
)
 
(866
)
 
(4,810
)
 
—

 
(8,528
)
Recoveries
 
2,429

 
452

 
2,054

 
—

 
4,935

Ending Balance
 
$
11,482

 
$
1,834

 
$
4,945

 
$
1,685

 
$
19,946
Allocation of the allowance for loan losses by portfolio segment based on the impairment method
The following tables present the allocation of the allowance for loan losses and the recorded investment in loans by portfolio segment and based on impairment method at December 31, 2017 and 2016:
 
Allowance for Loan Losses:
 
 
 
December 31, 2017
 
 
 
 
(Dollar amounts in thousands)
 
Commercial
 
Residential
 
Consumer
 
Unallocated
 
Total
Individually evaluated for impairment
 
$
619

 
$
6

 
$
—

 
$
—

 
$
625

Collectively evaluated for impairment
 
9,662

 
1,449

 
6,709

 
1,464

 
19,284

Acquired with deteriorated credit quality
 
—

 
—

 
—

 
—

 
—

BALANCE AT END OF YEAR
 
$
10,281

 
$
1,455

 
$
6,709

 
$
1,464

 
$
19,909

Loans
 
 

 
 

 
 

 
 

 
 

(Dollar amounts in thousands)
 
Commercial   
 
Residential   
 
Consumer   
 
 
 
Total   
Individually evaluated for impairment
 
$
9,619

 
$
463

 
$
—

 
 

 
$
10,082

Collectively evaluated for impairment
 
1,134,701

 
436,944

 
329,435

 
 

 
1,901,080

Acquired with deteriorated credit quality
 
1,860

 
—

 
—

 
 

 
1,860

BALANCE AT END OF YEAR
 
$
1,146,180

 
$
437,407

 
$
329,435

 
 

 
$
1,913,022


Allowance for Loan Losses:
 
 
 
December 31, 2016
 
 
 
 
(Dollar amounts in thousands)
 
Commercial
 
Residential
 
Consumer
 
Unallocated
 
Total
Individually evaluated for impairment
 
$
242

 
$
89

 
$
—

 
$
—

 
$
331

Collectively evaluated for impairment
 
9,489

 
1,464

 
5,767

 
1,722

 
18,442

Acquired with deteriorated credit quality
 
—

 
—

 
—

 
—

 
—

BALANCE AT END OF YEAR
 
$
9,731

 
$
1,553

 
$
5,767

 
$
1,722

 
$
18,773

Loans
 
 

 
 

 
 

 
 

 
 

(Dollar amounts in thousands)
 
Commercial   

 
Residential   

 
Consumer   

 
 

 
Total   

Individually evaluated for impairment
 
$
8,051

 
$
549

 
$
—

 
 

 
$
8,600

Collectively evaluated for impairment
 
1,101,269

 
423,099

 
307,226

 
 

 
1,831,594

Acquired with deteriorated credit quality
 
3,415

 
1,431

 
—

 
 

 
4,846

BALANCE AT END OF YEAR
 
$
1,112,735

 
$
425,079

 
$
307,226

 
 

 
$
1,845,040
Schedule of loans individually evaluated for impairment by class of loans
The following tables present loans individually evaluated for impairment by class of loan.
 
December 31, 2017
 
 
 
 
 
Allowance
 
 
 
 
 
Cash Basis
 
 
Unpaid
 
 
 
for Loan
 
Average
 
Interest
 
Interest
 
 
Principal
 
Recorded
 
Losses
 
Recorded
 
Income
 
Income
 
 
Balance
 
Investment
 
Allocated
 
Investment
 
Recognized
 
Recognized
With no related allowance recorded:
 
 

 
 

 
 

 
 

 
 

 
 

Commercial
 
 

 
 

 
 

 
 

 
 

 
 

Commercial & Industrial
 
$
802

 
$
802

 
$
—

 
$
971

 
$
—

 
$
—

Farmland
 
930

 
930

 
—

 
1,265

 
—

 
—

Non Farm, Non Residential
 
2,461

 
2,461

 
—

 
2,781

 
—

 
—

Agriculture
 
123

 
123

 
—

 
239

 
—

 
—

All Other Commercial
 
1,238

 
1,238

 
—

 
1,308

 
—

 
—

Residential
 
 

 
 

 
 

 
 

 
 

 
 

First Liens
 
21

 
21

 
—

 
23

 
—

 
—

Home Equity
 
—

 
—

 
—

 
—

 
—

 
—

Junior Liens
 
—

 
—

 
—

 
—

 
—

 
—

Multifamily
 
—

 
—

 
—

 
—

 
—

 
—

All Other Residential
 
—

 
—

 
—

 
—

 
—

 
—

Consumer
 
 

 
 

 
 

 
 

 
 

 
 

Motor Vehicle
 
—

 
—

 
—

 
—

 
—

 
—

All Other Consumer
 
—

 
—

 
—

 
—

 
—

 
—

With an allowance recorded:
 
 

 
 

 
 

 
 

 
 

 
 

Commercial
 
 

 
 

 
 

 
 

 
 

 
 

Commercial & Industrial
 
493

 
493

 
146

 
514

 
—

 
—

Farmland
 
3,035

 
3,035

 
268

 
669

 
—

 
—

Non Farm, Non Residential
 
—

 
—

 
—

 
131

 


 
—

Agriculture
 
738

 
537

 
205

 
279

 
—

 
—

All Other Commercial
 
—

 
—

 
—

 
—

 
—

 
—

Residential
 
 

 
 

 
 

 
 

 
 

 
 

First Liens
 
442

 
442

 
6

 
483

 
—

 
—

Home Equity
 
—

 
—

 
—

 
—

 
—

 
—

Junior Liens
 
—

 
—

 
—

 
—

 
—

 
—

Multifamily
 
—

 
—

 
—

 
—

 
—

 
—

All Other Residential
 
—

 
—

 
—

 
—

 
—

 
—

Consumer
 
 

 
 

 
 

 
 

 
 

 
 

Motor Vehicle
 
—

 
—

 
—

 
—

 
—

 
—

All Other Consumer
 
—

 
—

 
—

 
—

 
—

 
—

TOTAL
 
$
10,283

 
$
10,082

 
$
625

 
$
8,663

 
$
—

 
$
—

 












December 31, 2016
 
 
 
 
 
Allowance
 
 
 
 
 
Cash Basis
 
 
Unpaid
 
 
 
for Loan
 
Average
 
Interest
 
Interest
 
 
Principal
 
Recorded
 
Losses
 
Recorded
 
Income
 
Income
 
 
Balance
 
Investment
 
Allocated
 
Investment
 
Recognized
 
Recognized
With no related allowance recorded:
 
 

 
 

 
 

 
 

 
 

 
 

Commercial
 
 

 
 

 
 

 
 

 
 

 
 

Commercial & Industrial
 
$
1,181

 
$
1,181

 
$
—

 
$
981

 
$
—

 
$
—

Farmland
 
826

 
826

 
—

 
770

 
—

 
—

Non Farm, Non Residential
 
3,368

 
2,996

 
—

 
3,096

 
—

 
—

Agriculture
 
622

 
487

 
—

 
351

 
—

 
—

All Other Commercial
 
1,367

 
1,367

 
—

 
1,477

 
—

 
—

Residential
 
 

 
 

 
 

 
 

 
 

 
 

First Liens
 
25

 
25

 
—

 
27

 
—

 
—

Home Equity
 
—

 
—

 
—

 
—

 
—

 
—

Junior Liens
 
—

 
—

 
—

 
—

 
—

 
—

Multifamily
 
—

 
—

 
—

 
—

 
—

 
—

All Other Residential
 
—

 
—

 
—

 
—

 
—

 
—

Consumer
 
 

 
 

 
 

 
 

 
 

 
 

Motor Vehicle
 
—

 
—

 
—

 
—

 
—

 
—

All Other Consumer
 
—

 
—

 
—

 
—

 
—

 
—

With an allowance recorded:
 
 

 
 

 
 

 
 

 
 

 
 

Commercial
 
 

 
 

 
 

 
 

 
 

 
 

Commercial & Industrial
 
537

 
537

 
36

 
819

 
—

 
—

Farmland
 
—

 
—

 
—

 
—

 
—

 
—

Non Farm, Non Residential
 
657

 
657

 
206

 
1,016

 


 
—

Agriculture
 
—

 
—

 
—

 
114

 
—

 
—

All Other Commercial
 
—

 
—

 
—

 
45

 
—

 
—

Residential
 
 

 
 

 
 

 
 

 
 

 
 

First Liens
 
524

 
524

 
89

 
647

 
—

 
—

Home Equity
 
—

 
—

 
—

 
—

 
—

 
—

Junior Liens
 
—

 
—

 
—

 
—

 
—

 
—

Multifamily
 
—

 
—

 
—

 
—

 
—

 
—

All Other Residential
 
—

 
—

 
—

 
—

 
—

 
—

Consumer
 
 

 
 

 
 

 
 

 
 

 
 

Motor Vehicle
 
—

 
—

 
—

 
—

 
—

 
—

All Other Consumer
 
—

 
—

 
—

 
—

 
—

 
—

TOTAL
 
$
9,107

 
$
8,600

 
$
331

 
$
9,343

 
$
—

 
$
—

 

 
December 31, 2015
 
 
 
 
 
Cash Basis
 
 
Average
 
Interest
 
Interest
 
 
Recorded
 
Income
 
Income
 
 
Investment
 
Recognized
 
Recognized
With no related allowance recorded:
 
 

 
 

 
 

Commercial
 
 

 
 

 
 

Commercial & Industrial
 
$
1,796

 
$
—

 
$
—

Farmland
 
—

 
—

 
—

Non Farm, Non Residential
 
2,080

 
—

 
—

Agriculture
 
—

 
—

 
—

All Other Commercial
 
1,175

 
—

 
—

Residential
 
 

 
 

 
 

First Liens
 
18

 
—

 
—

Home Equity
 
—

 
—

 
—

Junior Liens
 
—

 
—

 
—

Multifamily
 
—

 
—

 
—

All Other Residential
 
—

 
—

 
—

Consumer
 
 

 
 

 
 

Motor Vehicle
 
—

 
—

 
—

All Other Consumer
 
—

 
—

 
—

With an allowance recorded:
 
 

 
 

 
 

Commercial
 
 

 
 

 
 

Commercial & Industrial
 
3,463

 
—

 
—

Farmland
 
—

 
—

 
—

Non Farm, Non Residential
 
3,682

 


 
—

Agriculture
 
—

 
—

 
—

All Other Commercial
 
483

 
—

 
—

Residential
 
 

 
 

 
 

First Liens
 
460

 
—

 
—

Home Equity
 
—

 
—

 
—

Junior Liens
 


 
—

 
—

Multifamily
 
—

 
—

 
—

All Other Residential
 
—

 
—

 
—

Consumer
 
 

 
 

 
 

Motor Vehicle
 
—

 
—

 
—

All Other Consumer
 
—

 
—

 
—

TOTAL
 
$
13,157

 
$
—

 
$
—
Schedule of non-performing loans
The following tables present the recorded investment in nonperforming loans by class of loans.
 
 
December 31, 2017
 
 
 
 
Loans Past
 
Troubled Debt
 
 
 
 
Due Over
90 Day Still
 
Restructured
 
 
(Dollar amounts in thousands)
 
Accruing
 
Accrual
 
Non-accrual
 
Non-accrual
Commercial
 
 

 
 

 
 

 
 

Commercial & Industrial
 
$
41

 
$
2

 
$
212

 
$
1,679

Farmland
 
19

 
—

 
—

 
4,141

Non Farm, Non Residential
 
—

 
56

 
2,440

 
172

Agriculture
 
—

 
—

 
—

 
707

All Other Commercial
 
—

 
—

 
—

 
1,236

Residential
 
 

 


 
 
 
 

First Liens
 
1,011

 
3,105

 
575

 
3,972

Home Equity
 
8

 
—

 
—

 
249

Junior Liens
 
137

 
—

 
—

 
134

Multifamily
 
—

 
—

 
—

 
—

All Other Residential
 
—

 
—

 
—

 
90

Consumer
 
 

 
 

 
 
 
 

Motor Vehicle
 
268

 
9

 
—

 
242

All Other Consumer
 
—

 
177

 
527

 
623

TOTAL
 
$
1,484

 
$
3,349

 
$
3,754

 
$
13,245
Troubled debt restructurings on financing receivables
During the years ending December 31, 2017, 2016, and 2015 the terms of certain loans were modified as troubled debt restructurings (TDRs). The following tables present the activity for TDR's.
 
 
 
 
 
 
 
 
2017
(Dollar amounts in thousands)
 
Commercial
 
Residential
 
Consumer
 
Total
January 1,
 
$
3,386

 
$
4,447

 
$
732

 
$
8,565

    Added
 
—

 
227

 
386

 
613

    Charged Off
 
—

 
(289
)
 
(141
)
 
(430
)
    Payments
 
(677
)
 
(774
)
 
(263
)
 
(1,714
)
December 31,
 
$
2,709

 
$
3,611

 
$
714

 
$
7,034

 
 
 
 
 
 
 
 
2016
(Dollar amounts in thousands)
 
Commercial
 
Residential
 
Consumer
 
Total
January 1,
 
$
3,584

 
$
5,593

 
$
683

 
$
9,860

    Added
 
—

 
123

 
369

 
492

    Charged Off
 
—

 
(321
)
 
(70
)
 
(391
)
    Payments
 
(198
)
 
(948
)
 
(250
)
 
(1,396
)
December 31,
 
$
3,386

 
$
4,447

 
$
732

 
$
8,565


 
 
 
 
 
 
 
 
2015
(Dollar amounts in thousands)
 
Commercial
 
Residential
 
Consumer
 
Total
January 1,
 
$
8,955

 
$
5,189

 
$
614

 
$
14,758

    Added
 
—

 
748

 
342

 
1,090

    Charged Off
 
—

 
(65
)
 
(52
)
 
(117
)
    Payments
 
(5,371
)
 
(279
)
 
(221
)
 
(5,871
)
December 31,
 
$
3,584

 
$
5,593

 
$
683

 
$
9,860
Aging of recorded investment in loans by past due category and class of loans
The following tables present the aging of the recorded investment in loans by past due category and class of loans.
 
 
 
 
 
 
Greater
 
 
 
 
 
 
December 31, 2017
 
30-59 Days
 
60-89 Days
 
than 90 days
 
Total
 
 
 
 
(Dollar amounts in thousands)
 
Past Due
 
Past Due
 
Past Due
 
Past Due
 
Current
 
Total
Commercial
 
 

 
 

 
 

 
 

 
 

 
 

Commercial & Industrial
 
$
372

 
$
80

 
$
640

 
$
1,092

 
$
474,709

 
$
475,801

Farmland
 
341

 
—

 
3,671

 
4,012

 
104,457

 
108,469

Non Farm, Non Residential
 
141

 
—

 
—

 
141

 
200,804

 
200,945

Agriculture
 
141

 
—

 
561

 
702

 
152,388

 
153,090

All Other Commercial
 
—

 
—

 
—

 
—

 
207,875

 
207,875

Residential
 
 

 
 

 
 

 
 

 
 

 
 

First Liens
 
5,467

 
1,317

 
1,434

 
8,218

 
247,029

 
255,247

Home Equity
 
310

 
46

 
8

 
364

 
35,752

 
36,116

Junior Liens
 
274

 
106

 
194

 
574

 
41,688

 
42,262

Multifamily
 
—

 
—

 
—

 
—

 
90,141

 
90,141

All Other Residential
 
300

 
—

 
12

 
312

 
13,329

 
13,641

Consumer
 
 

 
 

 
 

 
 

 
 

 
 

Motor Vehicle
 
4,770

 
697

 
294

 
5,761

 
298,211

 
303,972

All Other Consumer
 
107

 
22

 
—

 
129

 
25,334

 
25,463

TOTAL
 
$
12,223

 
$
2,268

 
$
6,814

 
$
21,305

 
$
1,891,717

 
$
1,913,022


 
 
 
 
 
 
Greater
 
 
 
 
 
 
December 31, 2016
 
30-59 Days
 
60-89 Days
 
than 90 days
 
Total
 
 
 
 
(Dollar amounts in thousands)
 
Past Due
 
Past Due
 
Past Due
 
Past Due
 
Current
 
Total
Commercial
 
 

 
 

 
 

 
 

 
 

 
 

Commercial & Industrial
 
$
370

 
$
114

 
$
1,199

 
$
1,683

 
$
474,406

 
$
476,089

Farmland
 
235

 
22

 
46

 
303

 
110,897

 
111,200

Non Farm, Non Residential
 
153

 
—

 
215

 
368

 
195,120

 
195,488

Agriculture
 
246

 
—

 
467

 
713

 
151,059

 
151,772

All Other Commercial
 
15

 
—

 
—

 
15

 
178,171

 
178,186

Residential
 
 

 
 

 
 

 
 

 
 

 
 

First Liens
 
3,862

 
954

 
1,516

 
6,332

 
264,446

 
270,778

Home Equity
 
186

 
64

 
27

 
277

 
35,782

 
36,059

Junior Liens
 
271

 
—

 
224

 
495

 
36,912

 
37,407

Multifamily
 
—

 
—

 
—

 
—

 
67,799

 
67,799

All Other Residential
 
42

 
12

 
—

 
54

 
12,982

 
13,036

Consumer
 
 

 
 

 
 

 
 

 
 

 
 

Motor Vehicle
 
4,048

 
732

 
313

 
5,093

 
277,604

 
282,697

All Other Consumer
 
143

 
22

 
3

 
168

 
24,361

 
24,529

TOTAL
 
$
9,571

 
$
1,920

 
$
4,010

 
$
15,501

 
$
1,829,539

 
$
1,845,040
Analysis of risk category of loans by class of loans
Beginning in July 2016, the Company's loan rating process no longer includes all loans in a loan relationship. Therefore, certain first lien mortgage loans and consumer loans that were previously rated in a loan relationship have been included in the not rated category as of December 31, 2016. As of December 31, 2017 and 2016, and based on the most recent analysis performed, the risk category of loans by class of loans is as follows:
 
December 31, 2017
 
 
 
Special
 
 
 
 
 
 
 
 
(Dollar amounts in thousands)
 
Pass
 
Mention
 
Substandard
 
Doubtful
 
Not Rated
 
Total
Commercial
 
 

 
 

 
 

 
 

 
 

 
 

Commercial & Industrial
 
$
430,015

 
$
19,889

 
$
18,611

 
$
38

 
$
5,947

 
$
474,500

Farmland
 
88,338

 
10,782

 
7,466

 
—

 
10

 
106,596

Non Farm, Non Residential
 
179,181

 
7,689

 
13,632

 
—

 
—

 
200,502

Agriculture
 
111,724

 
17,482

 
21,388

 
—

 
342

 
150,936

All Other Commercial
 
194,170

 
2,723

 
7,459

 
—

 
2,604

 
206,956

Residential
 
 

 
 

 
 

 
 

 
 

 
 

First Liens
 
45,320

 
750

 
3,980

 
5

 
204,329

 
254,384

Home Equity
 
319

 
—

 
64

 
—

 
35,653

 
36,036

Junior Liens
 
1,882

 
76

 
342

 
100

 
39,755

 
42,155

Multifamily
 
89,936

 
—

 
—

 
—

 
36

 
89,972

All Other Residential
 
—

 
—

 
67

 
—

 
13,529

 
13,596

Consumer
 
 

 
 

 
 

 
 

 
 

 
 

Motor Vehicle
 
—

 
—

 
731

 
—

 
301,900

 
302,631

All Other Consumer
 
—

 
—

 
44

 
—

 
25,301

 
25,345

TOTAL
 
$
1,140,885

 
$
59,391

 
$
73,784

 
$
143

 
$
629,406

 
$
1,903,609

 
December 31, 2016
 
 
 
Special
 
 
 
 
 
 
 
 
(Dollar amounts in thousands)
 
Pass
 
Mention
 
Substandard
 
Doubtful
 
Not Rated
 
Total
Commercial
 
 

 
 

 
 

 
 

 
 

 
 

Commercial & Industrial
 
$
427,262

 
$
16,286

 
$
25,177

 
$
449

 
$
5,730

 
$
474,904

Farmland
 
95,115

 
8,300

 
5,238

 
—

 
532

 
109,185

Non Farm, Non Residential
 
172,739

 
5,745

 
16,601

 
—

 
—

 
195,085

Agriculture
 
121,983

 
13,885

 
12,301

 
—

 
1,366

 
149,535

All Other Commercial
 
163,492

 
596

 
10,058

 
76

 
3,251

 
177,473

Residential
 
 

 
 

 
 

 
 

 
 

 
 

First Liens
 
43,674

 
1,541

 
4,466

 
18

 
220,249

 
269,948

Home Equity
 
363

 
—

 
86

 
—

 
35,554

 
36,003

Junior Liens
 
1,826

 
85

 
401

 
26

 
34,977

 
37,315

Multifamily
 
66,133

 
1,430

 
15

 
—

 
65

 
67,643

All Other Residential
 
—

 
—

 
—

 
—

 
13,002

 
13,002

Consumer
 
 

 
 

 
 

 
 

 
 

 
 

Motor Vehicle
 
—

 
—

 
331

 
—

 
281,134

 
281,465

All Other Consumer
 
—

 
—

 
25

 
—

 
24,391

 
24,416

TOTAL
 
$
1,092,587

 
$
47,868

 
$
74,699

 
$
569

 
$
620,251

 
$
1,835,974