LOANS AND ALLOWANCE FOR LOAN LOSSES (Tables)

12 Months Ended

Dec. 31, 2017

LOANS AND ALLOWANCE FOR LOAN LOSSES

Schedule of loans

	December 31,		December 31,
	2017		2016
Commercial
Commercial and industrial	$	515,122	$	461,092
Agricultural		63,869		73,467
Commercial Real Estate
Farm		106,010		111,807
Hotel		119,512		91,213
Construction and development		86,045		102,598
Other		1,125,908		857,078
Residential
1-4 family		681,518		608,366
Home equity		298,653		284,147
Consumer
Direct		66,658		61,574
Indirect		168		331
Total loans		3,063,463		2,651,673
Allowance for loan losses		(22,543)		(22,499)
Net loans	$	3,040,920	$	2,629,174

Schedule of loans acquired through purchase

	As of December 31,		As of December 31,
	2017		2016
Commercial and industrial	$	14,414	$	13,875
Agricultural		887		872
Construction and development		15,177		16,634
Farm real estate		3,045		389
Hotel		10,044		2,983
Other real estate		334,990		164,505
1-4 family		254,040		206,044
Home equity		24,838		14,342
Direct		2,538		2,517
	$	659,973	$	422,161

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

			Commercial
2017	Commercial		Real Estate		Residential		Consumer		Total
Allowance for loan losses
Balance, January 1	$	9,654	$	7,706	$	4,247	$	892	$	22,499
Provision charged to expense		1,862		(1,496)		118		766		1,250
Losses charged off		(780)		(814)		(922)		(3,487)		(6,003)
Recoveries		497		1,033		418		2,849		4,797
Balance, December 31	$	11,233	$	6,429	$	3,861	$	1,020	$	22,543

			Commercial
2016	Commercial		Real Estate		Residential		Consumer		Total
Allowance for loan losses
Balance, January 1	$	6,511	$	10,702	$	3,859	$	948	$	22,020
Provision charged to expense		3,166		(3,540)		1,318		761		1,705
Losses charged off		(682)		(663)		(1,345)		(3,725)		(6,415)
Recoveries		659		1,207		415		2,908		5,189
Balance, December 31	$	9,654	$	7,706	$	4,247	$	892	$	22,499

			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

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, 2017 and 2016:

			Commercial
December 31, 2017	Commercial		Real Estate		Residential		Consumer		Total
Allowance for loan losses
Ending Balance individually evaluated for impairment	$	2,457	$	862	$	142	$	—	$	3,461
Ending Balance collectively evaluated for impairment		8,776		5,567		3,719		1,020		19,082
Ending Balance acquired with deteriorated credit quality		—		—		—		—		—
Total ending allowance balance	$	11,233	$	6,429	$	3,861	$	1,020	$	22,543
Loans
Ending Balance individually evaluated for impairment	$	3,461	$	5,737	$	8,640	$	973	$	18,811
Ending Balance collectively evaluated for impairment		575,530		1,423,353		970,273		65,853		3,035,009
Ending Balance acquired with deteriorated credit quality		—		8,385		1,258		—		9,643
Total ending loan balance excludes $9,095 of accrued interest	$	578,991	$	1,437,475	$	980,171	$	66,826	$	3,063,463

			Commercial
December 31, 2016	Commercial		Real Estate		Residential		Consumer		Total
Allowance for loan losses
Ending Balance individually evaluated for impairment	$	898	$	755	$	147	$	—	$	1,800
Ending Balance collectively evaluated for impairment		8,756		6,951		4,100		892		20,699
Ending Balance acquired with deteriorated credit quality		—		—		—		—		—
Total ending allowance balance	$	9,654	$	7,706	$	4,247	$	892	$	22,499
Loans
Ending Balance individually evaluated for impairment	$	2,705	$	7,904	$	10,458	$	130	$	21,197
Ending Balance collectively evaluated for impairment		531,854		1,147,536		880,357		61,775		2,621,522
Ending Balance acquired with deteriorated credit quality		—		7,256		1,698		—		8,954
Total ending loan balance excludes $7,342 of accrued interest	$	534,559	$	1,162,696	$	892,513	$	61,905	$	2,651,673

Schedule of nonperforming loans

December 31	2017		2016
Loans past due 90 days or more still on accrual	$	265	$	2,135
Troubled debt restructurings (accruing)		2,403		3,270
Non-accrual loans		15,895		15,808
Total	$	18,563	$	21,213

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, 2017	Balance		Investment		Allocated		Recognized		Recognized
With an allowance recorded
Commercial
Commercial and industrial	$	1,936	$	1,902	$	1,632	$	—	$	—
Agricultural		1,438		1,438		825		—		—
Commercial Real Estate
Farm		709		708		433		—		—
Hotel		—		—		—		—		—
Construction and development		—		—		—		—		—
Other		3,031		2,802		429		—		—
Residential
1-4 Family		1,052		1,009		141		—		—
Home Equity		97		97		1		—		—
Consumer
Direct		—		—		—		—		—
Indirect		—		—		—		—		—
Subtotal — impaired with allowance recorded		8,263		7,956		3,461		—		—
With no related allowance recorded
Commercial
Commercial and industrial	$	453	$	25	$	—	$	172	$	172
Agricultural		96		96		—		—		—
Commercial Real Estate
Farm		426		153		—		—		—
Hotel		—		—		—		—		—
Construction and development		37		37		—		—		—
Other		2,193		1,809		—		102		102
Residential
1-4 Family		7,893		6,381		—		46		46
Home Equity		1,376		1,153		—		19		19
Consumer
Direct		1,079		973		—		4		4
Indirect		—		—		—		—		—
Subtotal — impaired with no allowance recorded		13,553		10,627		—		343		343
Total impaired loans	$	21,816	$	18,583	$	3,461	$	343	$	343

					Allowance
	Unpaid				for Loan		Interest		Cash Basis
	Principal		Recorded		Losses		Income		Interest
December 31, 2016	Balance		Investment		Allocated		Recognized		Recognized
With an allowance recorded
Commercial
Commercial and industrial	$	719	$	689	$	429	$	—	$	—
Agricultural		1,441		1,441		469		—		—
Commercial Real Estate
Farm		1,106		1,105		360		—		—
Hotel		—		—		—		—		—
Construction and development		—		—		—		—		—
Other		1,900		1,755		395		—		—
Residential
1-4 Family		1,091		1,046		146		—		—
Home Equity		15		105		1		—		—
Consumer
Direct		—		—		—		—		—
Indirect		—		—		—		—		—
Subtotal — impaired with allowance recorded		6,272		6,141		1,800		—		—
With no related allowance recorded
Commercial
Commercial and industrial	$	1,028	$	322	$	—	$	53	$	53
Agricultural		254		253		—		—		—
Commercial Real Estate
Farm		506		241		—		—		—
Hotel		64		64		—		—		—
Construction and development		239		162		—		—		—
Other		3,558		2,652		—		200		200
Residential
1-4 Family		9,215		7,432		—		53		53
Home Equity		2,233		1,875		—		47		47
Consumer
Direct		139		130		—		12		12
Indirect		—		—		—		—		—
Subtotal — impaired with no allowance recorded		17,236		13,131		—		365		365
Total impaired loans	$	23,508	$	19,272	$	1,800	$	365	$	365

					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

Schedule of average recorded investment of impaired loans

	2017		2016		2015
Commercial
Commercial and industrial	$	1,211	$	805	$	1,165
Agricultural		1,668		998		31
Commercial Real Estate
Farm		1,442		933		401
Hotel		1,783		26		2,851
Construction and development		651		156		53
Other		4,635		4,800		5,734
Residential
1-4 family		7,600		7,642		7,362
Home equity		1,699		2,212		2,268
Consumer
Direct		816		123		130
Indirect		—		—		1
Total loans	$	21,505	$	17,695	$	19,996

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, 2017		December 31, 2016		December 31, 2017		December 31, 2016
Commercial
Commercial and industrial	$	1,890	$	882	$	—	$	—
Agricultural		1,471		1,631		—		—
Commercial Real Estate
Farm		861		1,347		—		—
Hotel		—		64		—		—
Construction and development		—		122		—		2,135
Other		3,722		3,219		—		—
Residential
1-4 Family		6,365		7,163		265		—
Home Equity		635		1,273		—		—
Consumer
Direct		951		107		—		—
Indirect		—		—		—		—
Total	$	15,895	$	15,808	$	265	$	2,135

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, 2017	Loans		Past Due		Past Due		Past Due		Past Due		Past Due
Commercial
Commercial and industrial	$	515,122	$	723	$	6	$	1,890	$	2,619	$	512,503
Agricultural		63,869		34		—		1,438		1,472		62,397
Commercial Real Estate
Farm		106,010		4		—		783		787		105,223
Hotel		119,512		—		—		—		—		119,512
Construction and development		86,045		—		—		—		—		86,045
Other		1,125,908		983		263		2,505		3,751		1,122,157
Residential
1-4 Family		681,518		5,703		2,103		3,239		11,045		670,473
Home Equity		298,653		553		264		387		1,204		297,449
Consumer
Direct		66,658		130		—		928		1,058		65,600
Indirect		168		—		—		—		—		168
Total — excludes $9,095 of accrued interest	$	3,063,463	$	8,130	$	2,636	$	11,170	$	21,936	$	3,041,527

							Greater than
	Total		30-59 Days		60-89 Days		90 Days		Total		Loans Not
December 31, 2016	Loans		Past Due		Past Due		Past Due		Past Due		Past Due
Commercial
Commercial and industrial	$	461,092	$	—	$	—	$	176	$	176	$	460,916
Agricultural		73,467		215		—		1,606		1,821		71,646
Commercial Real Estate
Farm		111,807		81		—		1,243		1,324		110,483
Hotel		91,213		—		—		63		63		91,150
Construction and development		102,598		1,416		—		2,223		3,639		98,959
Other		857,078		1,268		90		1,812		3,170		853,908
Residential
1-4 Family		608,366		4,884		2,002		3,262		10,148		598,218
Home Equity		284,147		830		137		914		1,881		282,266
Consumer
Direct		61,574		936		—		66		1,002		60,572
Indirect		331		10		—		—		10		321
Total — excludes $7,342 of accrued interest	$	2,651,673	$	9,640	$	2,229	$	11,365	$	23,234	$	2,628,439

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, 2017, 2016 and 2015:

		Pre-Modification		Post-Modification
		Outstanding Recorded		Outstanding Recorded
For the year ended December 31, 2017	Number of Loans	Investment		Investment
Commercial Real Estate
Other	1		53		53
Residential
1-4 Family	4		557		557
Total	5	$	610	$	610

		Pre-Modification		Post-Modification
		Outstanding Recorded		Outstanding Recorded
For the year ended December 31, 2016	Number of Loans	Investment		Investment
Commercial
Agricultural	1	$	89	$	89
Other	2		298		298
Residential
1-4 Family	1		124		124
Home Equity	4		76		76
Total	8	$	587	$	587

		Pre-Modification		Post-Modification
		Outstanding Recorded		Outstanding Recorded
For the year ended December 31, 2015	Number of Loans	Investment		Investment
Commercial
Commercial and industrial	3	$	216	$	216
Other	—		—		—
Commercial real estate
Other	9		1,664		1,403
Home Equity	0		—		—
Residential
1-4 Family	3		215		215
Home Equity	2		44		44
Total	17	$	2,139	$	1,878

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, 2017, 2016 and 2015:

For the year ended December 31, 2017	Number of Loans	Recorded Investment
Commercial real estate
Other	4	$	511
Residential
1-4 Family	2		209
Total	6	$	720

For the year ended December 31, 2016	Number of Loans	Recorded Investment
Commercial real estate
Other	2	$	149
Residential
1-4 Family	2		250
Home equity	1		10
Total	5	$	409

For the year ended December 31, 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

Schedule of risk category of loans by class of loans

			Special
December 31, 2017	Pass		Mention		Substandard		Non-accrual
Commercial
Commercial and industrial	$	468,610	$	3,786	$	2,340	$	1,885
Agricultural		53,271		1,556		369		1,438
Commercial Real Estate
Farm		85,763		3,055		1,536		857
Hotel		119,512		—		—		—
Construction and development		65,825		—		1,613		—
Other		1,003,129		23,636		14,208		3,099
Total	$	1,796,110	$	32,033	$	20,066	$	7,279

			Special
December 31, 2016	Pass		Mention		Substandard		Non-accrual
Commercial
Commercial and industrial	$	415,064	$	3,347	$	5,297	$	827
Agricultural		61,637		2,283		—		1,441
Commercial Real Estate
Farm		89,297		2,209		694		1,340
Hotel		88,166		—		2,983		64
Construction and development		74,811		3,600		2,287		31
Other		752,063		9,087		7,365		2,141
Total	$	1,481,038	$	20,526	$	18,626	$	5,844

Schedule of performing/non performing loans by category of loans

December 31, 2017	Performing		Watch		Substandard
Commercial
Commercial and industrial	$	38,490	$	6	$	5
Agricultural		7,202		—		33
Commercial Real Estate
Farm		14,795		—		4
Construction and development		18,607		—		—
Other		81,167		46		623
Total	$	160,261	$	52	$	665

December 31, 2016	Performing		Watch		Substandard
Commercial
Commercial and industrial	$	36,502	$	—	$	55
Agricultural		7,916		—		190
Commercial Real Estate
Farm		18,260		—		7
Hotel		—		—		—
Construction and development		21,778		—		91
Other		85,254		90		1,078
Total	$	169,710	$	90	$	1,421

December 31, 2017	Performing		Watch		Substandard
Residential
1-4 family	$	676,176	$	2,103	$	3,239
Home equity		298,002		264		387
Total	$	974,178	$	2,367	$	3,626

December 31, 2016	Performing		Watch		Substandard
Residential
1-4 family	$	603,102	$	2,002	$	3,262
Home equity		283,096		137		914
Total	$	886,198	$	2,139	$	4,176

December 31, 2017	Performing		Substandard		Loss
Consumer
Direct	$	65,707	$	—	$	951
Indirect		168		—		—
Total	$	65,875	$	—	$	951

December 31, 2016	Performing		Substandard		Loss
Consumer
Direct	$	61,508	$	4	$	62
Indirect		331		—		—
Total	$	61,839	$	4	$	62

Financing receivables purchased and/or sold, by portfolio segment

The following table presents financing receivables purchased and/or sold during the year by portfolio segment:

			Commercial
2017	Commercial		Real Estate		Residential		Consumer		Total
Purchases	$	12,281	$	304,702	$	109,300	$	1,258	$	427,541
Sales						243,179				243,179
			Commercial
2016	Commercial		Real Estate		Residential		Consumer		Total
Purchases	$	14,241	$	138,896	$	201,397	$	809	$	355,343
Sales						256,946				256,946

Carrying amount of purchased credit impaired loans

		2017		2016
Commercial	$	11,649	$	10,817
1-4 Family		1,940		2,399
Outstanding Balance	$	13,589	$	13,216
Carrying amount, net of allowance of $0 and $0	$	9,643	$	8,954

Schedule of accretable yield, or income to be collected

Accretable yield, or income to be collected is as follows:

		2017		2016
Balance at January 1	$	—	$	—
New loans purchased		580		—
Accretion of income		(249)		—
Reclassifications from nonaccretable difference		—		—
Balance at December 31	$	331	$	—

Purchased credit impaired loans for which it was probable that all contractually required payments would not be collected

		2017		2016		2015
Contractually required payments receivable of
loans purchased during the year:
Commercial	$	9,912	$	12,907	$	—
1-4 Family		274		3,268		—
	$	10,186	$	16,175	$	—
Fair value of acquired loans at acquisition	$	7,614	$	11,560	$	—