Allowance for Credit Losses (Tables)

6 Months Ended

Jun. 30, 2023

Roll forward of the allowance for loan losses

The following tables provide a roll-forward of the allowance for credit losses by loan category and a breakdown of the ending balance of the allowance based on the Company’s credit loss methodology for the periods presented:


	Commercial		Real Estate - Construction		Real Estate - 1-4 Family Mortgage		Real Estate - Commercial Mortgage		Lease Financing		Installment Loans to Individuals		Total
Three Months Ended June 30, 2023
Allowance for credit losses:
Beginning balance	$	44,678	$	19,959	$	45,981	$	72,770	$	2,437	$	9,467	$	195,292

Charge-offs	(4,939)		(57)		(212)		(397)		—		(580)		(6,185)
Recoveries	1,274		—		170		278		6		556		2,284
Net (charge-offs) recoveries	(3,665)		(57)		(42)		(119)		6		(24)		(3,901)
Provision for (recovery of) credit losses on loans	297		(777)		495		3,016		37		(68)		3,000
Ending balance	$	41,310	$	19,125	$	46,434	$	75,667	$	2,480	$	9,375	$	194,391
Six Months Ended June 30, 2023
Allowance for credit losses:
Beginning balance	$	44,255	$	19,114	$	44,727	$	71,798	$	2,463	$	9,733	$	192,090
Initial impact of purchased credit deteriorated loans acquired during the period	(26)		—		—		—		—		—		(26)
Charge-offs	(5,468)		(57)		(215)		(5,512)		—		(1,390)		(12,642)
Recoveries	1,999		—		194		489		11		1,316		4,009
Net (charge-offs) recoveries	(3,469)		(57)		(21)		(5,023)		11		(74)		(8,633)
Provision for (recovery of) credit losses on loans	550		68		1,728		8,892		6		(284)		10,960
Ending balance	$	41,310	$	19,125	$	46,434	$	75,667	$	2,480	$	9,375	$	194,391
Period-End Amount Allocated to:
Individually evaluated	$	10,773	$	—	$	703	$	1,269	$	—	$	270	$	13,015
Collectively evaluated	30,537		19,125		45,731		74,398		2,480		9,105		181,376
Ending balance	$	41,310	$	19,125	$	46,434	$	75,667	$	2,480	$	9,375	$	194,391
Loans:
Individually evaluated	$	21,418	$	—	$	13,545	$	40,239	$	—	$	270	$	75,472
Collectively evaluated	1,707,652		1,369,019		3,335,109		5,212,240		122,370		108,654		11,855,044
Ending balance	$	1,729,070	$	1,369,019	$	3,348,654	$	5,252,479	$	122,370	$	108,924	$	11,930,516

Nonaccruing loans with no allowance for credit losses	$	2,021	$	—	$	10,516	$	3,969	$	—	$	—	$	16,506


	Commercial		Real Estate - Construction		Real Estate - 1-4 Family Mortgage		Real Estate - Commercial Mortgage		Lease Financing		Installment Loans to Individuals		Total

Three Months Ended June 30, 2022
Allowance for credit losses:
Beginning balance	$	33,606	$	18,411	$	36,848	$	65,231	$	1,582	$	10,790	$	166,468

Charge-offs	(2,239)		—		(161)		(708)		—		(850)		(3,958)
Recoveries	431		—		169		192		11		818		1,621
Net (charge-offs) recoveries	(1,808)		—		8		(516)		11		(32)		(2,337)
Provision for (recovery of) credit losses on loans	(1,605)		(1,121)		5,054		(342)		209		(195)		2,000
Ending balance	$	30,193	$	17,290	$	41,910	$	64,373	$	1,802	$	10,563	$	166,131
Six Months Ended June 30, 2022
Allowance for credit losses:
Beginning balance	$	33,922	$	16,419	$	32,356	$	68,940	$	1,486	$	11,048	$	164,171
Initial impact of purchased credit deteriorated loans acquired during the period	1,648		—		—		—		—		—		1,648
Charge-offs	(4,341)		—		(324)		(714)		(7)		(1,629)		(7,015)
Recoveries	1,567		—		347		347		23		1,543		3,827
Net (charge-offs) recoveries	(2,774)		—		23		(367)		16		(86)		(3,188)
Provision for (recovery of) credit losses on loans	(2,603)		871		9,531		(4,200)		300		(399)		3,500
Ending balance	$	30,193	$	17,290	$	41,910	$	64,373	$	1,802	$	10,563	$	166,131
Period-End Amount Allocated to:
Individually evaluated	$	4,567	$	—	$	85	$	1,674	$	—	$	570	$	6,896
Collectively evaluated	25,626		17,290		41,825		62,699		1,802		9,993		159,235
Ending balance	$	30,193	$	17,290	$	41,910	$	64,373	$	1,802	$	10,563	$	166,131
Loans:
Individually evaluated	$	9,534	$	—	$	4,127	$	11,716	$	—	$	570	$	25,947
Collectively evaluated	1,487,738		1,126,363		3,025,956		4,705,797		101,350		130,593		10,577,797
Ending balance	$	1,497,272	$	1,126,363	$	3,030,083	$	4,717,513	$	101,350	$	131,163	$	10,603,744

Nonaccruing loans with no allowance for credit losses	$	849	$	—	$	3,594	$	3,492	$	—	$	—	$	7,935

Unfunded loan commitments, allowance for credit losses

The following table provides a roll-forward of the allowance for credit losses on unfunded loan commitments for the periods presented.


Three Months Ended June 30,	2023		2022
Allowance for credit losses on unfunded loan commitments:
Beginning balance	$	18,618	$	19,485
(Recovery of) provision for credit losses on unfunded loan commitments (included in other noninterest expense)	(1,000)		450
Ending balance	$	17,618	$	19,935

Six Months Ended June 30,	2023		2022
Allowance for credit losses on unfunded loan commitments:
Beginning balance	$	20,118	$	20,035
Recovery of credit losses on unfunded loan commitments (included in other noninterest expense)	(2,500)		(100)
Ending balance	$	17,618	$	19,935