LOANS AND ALLOWANCE FOR LOAN LOSSES (Tables)

12 Months Ended

Dec. 31, 2015

LOANS AND ALLOWANCE FOR LOAN LOSSES

Schedule of loans

	December 31,		December 31,
	2015		2014
Commercial
Commercial and industrial	$	380,960	$	275,646
Agricultural		64,704		46,784
Commercial Real Estate
Farm		97,916		76,849
Hotel		72,193		74,962
Construction and development		77,394		61,640
Other		678,381		666,417
Residential
1-4 family		438,808		435,336
Home equity		288,265		274,159
Consumer
Direct		56,312		45,360
Indirect		459		612
Total loans		2,155,392		1,957,765
Allowance for loan losses		(22,020)		(23,250)
Net loans	$	2,133,372	$	1,934,515

Schedule of activity in the allowance for loan losses

These loans are included in the above table and all other tables below in the recorded investment amount.  No allowance for loan losses is provided for these loans at December 31, 2015 and 2014.

	as of December 31,		as of December 31,
	2015		2014
Commercial and industrial	$	9,406	$	26,152
Construction and development		3,666		2,037
Other real estate		81,831		98,436
1-4 family		46,967		36,490
Home equity		19,076		16,278
Direct		2,818		2,006
	$	163,764	$	181,399

Schedule of balance in the allowance for loan losses and the recorded investment by portfolio segment and impairment method

			Commercial
2015	Commercial		Real Estate		Residential		Consumer		Total
Allowance for loan losses
Balance, January 1	$	2,977	$	15,605	$	3,501	$	1,167	$	23,250
Provision charged to expense		4,010		(6,118)		2,115		1,618		1,625
Losses charged off		(978)		(727)		(2,094)		(3,593)		(7,392)
Recoveries		502		1,942		337		1,756		4,537
Balance, December 31	$	6,511	$	10,702	$	3,859	$	948	$	22,020

			Commercial
2014	Commercial		Real Estate		Residential		Consumer		Total
Allowance for loan losses
Balance, January 1	$	3,291	$	20,210	$	3,409	$	699	$	27,609
Provision charged to expense		(1,204)		(1,284)		1,977		2,011		1,500
Losses charged off		(241)		(5,583)		(2,295)		(2,899)		(11,018)
Recoveries		1,131		2,262		410		1,356		5,159
Balance, December 31	$	2,977	$	15,605	$	3,501	$	1,167	$	23,250

			Commercial
2013	Commercial		Real Estate		Residential		Consumer		Total
Allowance for loan losses
Balance, January 1	$	3,894	$	24,157	$	3,180	$	996	$	32,227
Provision charged to expense		208		1,319		1,928		1,079		4,534
Losses charged off		(1,152)		(6,353)		(2,349)		(2,648)		(12,502)
Recoveries		341		1,087		650		1,272		3,350
Balance, December 31	$	3,291	$	20,210	$	3,409	$	699	$	27,609

The following table presents the balance in the allowance for loan losses and the recorded investment by portfolio segment and based on impairment method as of December 31, 2015 and 2014:

			Commercial
December 31, 2015	Commercial		Real Estate		Residential		Consumer		Total
Allowance for loan losses
Ending Balance individually evaluated for impairment	$	92	$	1,166	$	171	$	—	$	1,429
Ending Balance collectively evaluated for impairment		6,419		9,536		3,688		948		20,591
Total ending allowance balance	$	6,511	$	10,702	$	3,859	$	948	$	22,020
Loans
Ending Balance individually evaluated for impairment	$	812	$	8,909	$	9,155	$	113	$	18,989
Ending Balance collectively evaluated for impairment		444,852		916,975		717,918		56,658		2,136,403
Total ending loan balance excludes $5,878 of accrued interest	$	445,664	$	925,884	$	727,073	$	56,771	$	2,155,392

			Commercial
December 31, 2014	Commercial		Real Estate		Residential		Consumer		Total
Allowance for loan losses
Ending Balance individually evaluated for impairment	$	162	$	705	$	183	$	—	$	1,050
Ending Balance collectively evaluated for impairment		2,815		14,900		3,318		1,167		22,200
Total ending allowance balance	$	2,977	$	15,605	$	3,501	$	1,167	$	23,250
Loans
Ending Balance individually evaluated for impairment	$	705	$	24,722	$	10,662	$	220	$	36,309
Ending Balance collectively evaluated for impairment		321,725		855,146		698,833		45,752		1,921,456
Total ending loan balance excludes $5,605 of accrued interest	$	322,430	$	879,868	$	709,495	$	45,972	$	1,957,765

Schedule of nonperforming loans

December 31	2015		2014
Loans past due 90 days or more still on accrual	$	—	$	—
Troubled debt restructurings (accruing)		3,196		15,243
Non-accrual loans		12,843		13,596
Total	$	16,039	$	28,839

Schedule of loans individually evaluated for impairment by class of loans

					Allowance
	Unpaid				for Loan		Interest		Cash Basis
	Principal		Recorded		Losses		Income		Interest
December 31, 2015	Balance		Investment		Allocated		Recognized		Recognized
With an allowance recorded
Commercial
Commercial and industrial	$	150	$	150	$	92	$	—	$	—
Agricultural		—		—		—		—		—
Commercial Real Estate
Farm		—		—		—		—		—
Hotel		—		—		—		—		—
Construction and development		—		—		—		—		—
Other		2,480		2,363		1,166		—		—
Residential
1-4 Family		1,357		1,309		167		—		—
Home Equity		159		159		4		—		—
Consumer
Direct		—		—		—		—		—
Indirect		—		—		—		—		—
Subtotal — impaired with allowance recorded		4,146		3,981		1,429		—		—
With no related allowance recorded
Commercial
Commercial and industrial	$	676	$	655	$	—	$	34	$	34
Agricultural		7		7		—		—		—
Commercial Real Estate
Farm		496		309		—		12		12
Hotel		—		—		—		—		—
Construction and development		189		186		—		47		47
Other		4,429		3,291		—		160		160
Residential
1-4 Family		6,718		5,391		—		49		49
Home Equity		2,589		2,296		—		17		17
Consumer
Direct		126		113		—		18		18
Indirect		—		—		—		5		5
Subtotal — impaired with no allowance recorded		15,230		12,248		—		342		342
Total impaired loans	$	19,376	$	16,229	$	1,429	$	342	$	342

					Allowance
	Unpaid				for Loan		Interest		Cash Basis
	Principal		Recorded		Losses		Income		Interest
December 31, 2014	Balance		Investment		Allocated		Recognized		Recognized
With an allowance recorded
Commercial
Commercial and industrial	$	82	$	64	$	12	$	—	$	—
Agricultural		397		150		150		—		—
Commercial Real Estate
Farm		76		76		21		—		—
Hotel		—		—		—		—		—
Construction and development		—		—		—		—		—
Other		979		889		684		—		—
Residential
1-4 Family		1,543		1,478		178		—		—
Home Equity		167		167		5		—		—
Consumer
Direct		—		—		—		—		—
Indirect		—		—		—		—		—
Subtotal — impaired with allowance recorded		3,244		2,824		1,050		—		—
With no related allowance recorded
Commercial
Commercial and industrial	$	761	$	491	$	—	$	10	$	10
Agricultural		—		—		—		—		—
Commercial Real Estate
Farm		864		616		—		—		—
Hotel		11,423		11,377		—		—		—
Construction and development		84		78		—		—		—
Other		5,848		4,186		—		94		94
Residential
1-4 Family		7,325		6,400		—		28		28
Home Equity		2,847		2,618		—		15		15
Consumer
Direct		238		213		—		17		17
Indirect		7		7		—		—		—
Subtotal — impaired with no allowance recorded		29,397		25,986		—		164		164
Total impaired loans	$	32,641	$	28,810	$	1,050	$	164	$	164

					Allowance
	Unpaid				for Loan		Interest		Cash Basis
	Principal		Recorded		Losses		Income		Interest
December 31, 2013	Balance		Investment		Allocated		Recognized		Recognized
With an allowance recorded
Commercial
Commercial and industrial	$	194	$	177	$	13	$	—	$	—
Agricultural		—		—		—		—		—
Commercial Real Estate
Farm		625		436		61		—		—
Hotel		—		—		—		—		—
Construction and development		—		—		—		—		—
Other		7,309		6,382		1,106		—		—
Residential
1-4 Family		1,089		981		102		—		—
Home Equity		50		50		3		—		—
Consumer
Direct		126		126		2		—		—
Indirect		—		—		—		—		—
Subtotal — impaired with allowance recorded		9,393		8,152		1,287		—		—
With no related allowance recorded
Commercial
Commercial and industrial	$	204	$	123	$	—	$	12	$	12
Agricultural		—		—		—		—		—
Commercial Real Estate
Farm		767		657		—		11		11
Hotel		—		—		—		1		1
Construction and development		942		795		—		45		45
Other		8,651		6,377		—		72		72
Residential
1-4 Family		8,931		8,007		—		15		15
Home Equity		1,860		1,759		—		13		13
Consumer
Direct		675		649		—		17		17
Indirect		11		10		—		—		—
Subtotal — impaired with no allowance recorded		22,041		18,377		—		186		186
Total impaired loans	$	31,434	$	26,529	$	1,287	$	186	$	186

Schedule of average recorded investment of impaired loans

	2015		2014		2013
Commercial
Commercial and industrial	$	1,165	$	308	$	997
Agricultural		31		195		—
Commercial Real Estate
Farm		401		875		1,360
Hotel		2,851		7,255		1,194
Construction and development		53		270		1,514
Other		5,734		9,259		18,150
Residential
1-4 family		7,362		8,062		10,372
Home equity		2,268		2,535		2,420
Consumer
Direct		130		264		893
Indirect		1		6		14
Total loans	$	19,996	$	29,029	$	36,914

Schedule of recorded investment in nonaccrual and loans past due over 90 days still on accrual by class of loans

					Past due over
					90 days and
	Non-accrual				still accruing
December 31,	2015		2014		2015		2014
Commercial
Commercial and industrial	$	654	$	479	$	—	$	—
Agricultural		7		150		—		—
Commercial Real Estate
Farm		308		692		—		—
Hotel		—		—		—		—
Construction and development		144		78		—		—
Other		4,791		3,744		—		—
Residential
1-4 Family		5,211		6,428		—		—
Home Equity		1,639		1,841		—		—
Consumer
Direct		89		177		—		—
Indirect		—		7		—		—
Total	$	12,843	$	13,596	$	—	$	—

Schedule of aging of the recorded investment in past due loans

							Greater than
	Total		30-59 Days		60-89 Days		90 Days		Total		Loans Not
December 31, 2015	Loans		Past Due		Past Due		Past Due		Past Due		Past Due
Commercial
Commercial and industrial	$	380,960	$	93	$	—	$	249	$	342	$	380,618
Agricultural		64,704		20		—		7		27		64,677
Commercial Real Estate
Farm		97,916		—		—		119		119		97,797
Hotel		72,193		—		13		—		13		72,180
Construction and development		77,394		—		67		144		211		77,183
Other		678,381		873		102		2,601		3,576		674,805
Residential
1-4 Family		438,808		3,726		1,904		2,771		8,401		430,407
Home Equity		288,265		410		446		1,133		1,989		286,276
Consumer
Direct		56,312		40		65		68		173		56,139
Indirect		459		2		—		—		2		457
Total — excludes $5,878 of accrued interest	$	2,155,392	$	5,164	$	2,597	$	7,092	$	14,853	$	2,140,539

							Greater than
	Total		30-59 Days		60-89 Days		90 Days		Total		Loans Not
December 31, 2014	Loans		Past Due		Past Due		Past Due		Past Due		Past Due
Commercial
Commercial and industrial	$	275,646	$	441	$	75	$	210	$	726	$	274,920
Agricultural		46,784		—		—		—		—		46,784
Commercial Real Estate
Farm		76,849		—		—		327		327		76,522
Hotel		74,962		—		—		—		—		74,962
Construction and development		61,640		—		78		—		78		61,562
Other		666,417		933		755		1,919		3,607		662,810
Residential
1-4 Family		435,336		6,217		1,719		3,186		11,122		424,214
Home Equity		274,159		751		250		1,521		2,522		271,637
Consumer
Direct		45,360		91		17		162		270		45,090
Indirect		612		6		7		—		13		599
Total — excludes $5,605 of accrued interest	$	1,957,765	$	8,439	$	2,901	$	7,325	$	18,665	$	1,939,100

Schedule of loans by class modified as troubled debt restructurings

The following tables present loans by class modified as troubled debt restructurings that occurred during the year ending December 31, 2015, 2014 and 2013:

		Pre-Modification		Post-Modification
		Outstanding Recorded		Outstanding Recorded
2015	Number of Loans	Investment		Investment
Commercial
Commercial and industrial	3	$	216	$	216
Commercial Real Estate
Other	9		1,664		1,403
Residential
1-4 Family	3		215		215
Home Equity	2		44		44
Total	17	$	2,139	$	1,878

		Pre-Modification		Post-Modification
		Outstanding Recorded		Outstanding Recorded
2014	Number of Loans	Investment		Investment
Commercial
Hotel	2	$	15,362	$	11,550
Other	2		1,015		1,015
Residential
1-4 Family	5		628		628
Home Equity	1		34		34
Consumer
Direct	1		26		26
Total	11	$	17,065	$	13,253

		Pre-Modification		Post-Modification
		Outstanding Recorded		Outstanding Recorded
2013	Number of Loans	Investment		Investment
Commercial
Commercial and industrial	1	$	28	$	28
Commercial Real Estate
Other real estate	3		344		344
Residential
1-4 Family	7		359		359
Home Equity	1		20		20
Consumer
Direct	1		30		30
Total	13	$	781	$	781

Schedule of loans by class modified as troubled debt restructurings for which there was a payment default within twelve months following the modification

The following tables present loans by class modified as troubled debt restructurings for which there was a payment default within twelve months following the modification during the years ending December 31, 2015, 2014 and 2013:

2015	Number of Loans	Recorded Investment
Commercial real estate
Other	3	$	863
Residential
1-4 Family	2		232
Home equity	2		88
Total	7	$	1,183

2014	Number of Loans	Recorded Investment
Commercial real estate
Other	1	$	1,431
Residential
1-4 Family	2		102
Home Equity	1		14
Total	4	$	1,547

2013	Number of Loans	Recorded Investment
Residential
1-4 Family	2	$	89
Home Equity	1		15
Consumer
Direct	1		4
Total	4	$	108

Schedule of risk category of loans by class of loans

			Special
December 31, 2015	Pass		Mention		Substandard		Non-accrual
Commercial
Commercial and industrial	$	338,436	$	8,324	$	636	$	555
Agricultural		58,253		—		—		—
Commercial Real Estate
Farm		75,924		328		713		308
Hotel		72,193		—		—		—
Construction and development		60,246		—		2,499		113
Other		576,619		10,367		3,309		3,811
Total	$	1,181,671	$	19,019	$	7,157	$	4,787

			Special
December 31, 2014	Pass		Mention		Substandard		Non-accrual
Commercial
Commercial and industrial	$	226,731	$	9,926	$	1,596	$	35
Agricultural		46,634		—		—		150
Commercial Real Estate
Farm		75,191		966		—		692
Hotel		60,704		2,835		11,423		—
Construction and development		60,971		372		219		78
Other		525,758		20,823		9,689		2,323
Total	$	995,989	$	34,922	$	22,927	$	3,278

Schedule of performing/non performing loans by category of loans

December 31, 2015	Performing		Watch		Substandard
Commercial
Commercial and industrial	$	32,910	$	—	$	99
Agricultural		6,444		—		7
Commercial Real Estate
Construction and development		14,438		67		31
Farm		20,643		—		—
Other		83,193		102		980
Total	$	157,628	$	169	$	1,117

December 31, 2014	Performing		Watch		Substandard
Commercial
Commercial and industrial	$	36,839	$	75	$	444
Commercial Real Estate
Other		106,247		156		1,421
Total	$	143,086	$	231	$	1,865

December 31, 2015	Performing		Watch		Substandard
Residential
1-4 family	$	434,133	$	1,904	$	2,771
Home equity		286,686		446		1,133
Total	$	720,819	$	2,350	$	3,904

December 31, 2014	Performing		Watch		Substandard
Residential
1-4 family	$	430,431	$	1,719	$	3,186
Home equity		272,388		250		1,521
Total	$	702,819	$	1,969	$	4,707

December 31, 2015	Performing		Substandard		Loss
Consumer
Direct	$	56,179	$	101	$	32
Indirect		459		—		—
Total	$	56,638	$	101	$	32

December 31, 2014	Performing		Substandard		Loss
Consumer
Direct	$	45,181	$	142	$	37
Indirect		605		7		—
Total	$	45,786	$	149	$	37