Loans (Tables)

3 Months Ended

Mar. 31, 2018

The following is a summary of loans:



(Dollars in thousands)	March 31, 2018				December 31, 2017
	Amount		%		Amount		%
Commercial:
Commercial real estate (1)		$1,217,278	36	%		$1,210,495	36	%
Commercial & industrial (2)	603,830		18		612,334		18
Total commercial	1,821,108		54		1,822,829		54
Residential Real Estate:
Residential real estate (3)	1,249,890		37		1,227,248		36
Consumer:
Home equity	285,723		8		292,467		9
Other (4)	30,685		1		31,527		1
Total consumer	316,408		9		323,994		10
Total loans (5)		$3,387,406	100	%		$3,374,071	100	%


(1)	Commercial real estate loans consist of commercial mortgages primarily secured by income producing property, as well as construction and development loans. Construction and development loans are made to businesses for land development or the on-site construction of industrial, commercial, or residential buildings.


(2)	Commercial & industrial consist of loans to businesses and individuals, a substantial portion of which are fully or partially collateralized by real estate.


(3)	Residential real estate loans consist of mortgage and homeowner construction loans secured by one- to four- family residential properties.


(4)	Other consumer loans consists of loans to individuals secured by general aviation aircraft and other personal installment loans.


(5)	Includes net unamortized loan origination costs of $4.1 million and $3.8 million, respectively, at March 31, 2018 and December 31, 2017 and net unamortized premiums on purchased loans of $855 thousand and $878 thousand, respectively, at March 31, 2018 and December 31, 2017.

Past Due Loans

The following tables present an age analysis of past due loans, segregated by class of loans:



(Dollars in thousands)	Days Past Due
March 31, 2018	30-59		60-89		Over 90		Total Past Due		Current		Total Loans
Commercial:
Commercial real estate		$—		$—		$—		$—		$1,217,278		$1,217,278
Commercial & industrial	2,898		—		397		3,295		600,535		603,830
Total commercial	2,898		—		397		3,295		1,817,813		1,821,108
Residential Real Estate:
Residential real estate	6,909		789		4,108		11,806		1,238,084		1,249,890
Consumer:
Home equity	3,203		744		288		4,235		281,488		285,723
Other	20		2		—		22		30,663		30,685
Total consumer	3,223		746		288		4,257		312,151		316,408
Total loans		$13,030		$1,535		$4,793		$19,358		$3,368,048		$3,387,406



(Dollars in thousands)	Days Past Due
December 31, 2017	30-59		60-89		Over 90		Total Past Due		Current		Total Loans
Commercial:
Commercial real estate		$6		$—		$4,954		$4,960		$1,205,535		$1,210,495
Commercial & industrial	3,793		2		281		4,076		608,258		612,334
Total commercial	3,799		2		5,235		9,036		1,813,793		1,822,829
Residential Real Estate:
Residential real estate	1,678		2,274		3,903		7,855		1,219,393		1,227,248
Consumer:
Home equity	2,798		75		268		3,141		289,326		292,467
Other	29		—		14		43		31,484		31,527
Total consumer	2,827		75		282		3,184		320,810		323,994
Total loans		$8,304		$2,351		$9,420		$20,075		$3,353,996		$3,374,071

Impaired Loans

The following is a summary of impaired loans:



(Dollars in thousands)	Recorded Investment (1)				Unpaid Principal				Related Allowance
	Mar 31, 2018		Dec 31, 2017		Mar 31, 2018		Dec 31, 2017		Mar 31, 2018		Dec 31, 2017
No Related Allowance Recorded
Commercial:
Commercial real estate		$—		$—		$—		$—		$—		$—
Commercial & industrial	5,427		4,986		6,257		5,081		—		—
Total commercial	5,427		4,986		6,257		5,081		—		—
Residential Real Estate:
Residential real estate	8,288		9,069		8,455		9,256		—		—
Consumer:
Home equity	560		557		560		557		—		—
Other	114		14		115		14		—		—
Total consumer	674		571		675		571		—		—
Subtotal	14,389		14,626		15,387		14,908		—		—
With Related Allowance Recorded
Commercial:
Commercial real estate		$—		$4,954		$—		$9,910		$—		$1,018
Commercial & industrial	456		191		508		212		53		1
Total commercial	456		5,145		508		10,122		53		1,019
Residential Real Estate:
Residential real estate	1,421		715		1,467		741		112		104
Consumer:
Home equity	223		—		223		—		108		—
Other	28		133		26		132		5		6
Total consumer	251		133		249		132		113		6
Subtotal	2,128		5,993		2,224		10,995		278		1,129
Total impaired loans		$16,517		$20,619		$17,611		$25,903		$278		$1,129
Total:
Commercial		$5,883		$10,131		$6,765		$15,203		$53		$1,019
Residential real estate	9,709		9,784		9,922		9,997		112		104
Consumer	925		704		924		703		113		6
Total impaired loans		$16,517		$20,619		$17,611		$25,903		$278		$1,129

(1)

The recorded investment in impaired loans consists of unpaid principal balance, net of charge-offs, interest payments received applied to principal and unamortized deferred loan origination fees and costs. For accruing impaired loans (troubled debt restructurings for which management has concluded that the collectibility of the loan is not in doubt), the recorded investment also includes accrued interest.

The following tables present the average recorded investment balance of impaired loans and interest income recognized on impaired loans segregated by loan class.




(Dollars in thousands)	Average Recorded Investment				Interest Income Recognized
Three months ended March 31,	2018		2017		2018		2017
Commercial:
Commercial real estate		$4,100		$9,780		$—		$26
Commercial & industrial	5,492		6,965		66		76
Total commercial	9,592		16,745		66		102
Residential Real Estate:
Residential real estate	9,850		16,240		112		122
Consumer:
Home equity	667		969		9		10
Other	144		143		3		4
Total consumer	811		1,112		12		14
Totals		$20,253		$34,097		$190		$238

Nonaccrual Loans

The following is a summary of nonaccrual loans, segregated by class of loans:



(Dollars in thousands)	Mar 31, 2018		Dec 31, 2017
Commercial:
Commercial real estate		$—		$4,954
Commercial & industrial	397		283
Total commercial	397		5,237
Residential Real Estate:
Residential real estate	9,340		9,414
Consumer:
Home equity	771		544
Other	13		16
Total consumer	784		560
Total nonaccrual loans		$10,521		$15,211
Accruing loans 90 days or more past due		$—		$—

Credit Quality Indicators Commercial

The following table presents the commercial loan portfolio, segregated by category of credit quality indicator:



(Dollars in thousands)	Pass				Special Mention				Classified
	Mar 31, 2018		Dec 31, 2017		Mar 31, 2018		Dec 31, 2017		Mar 31, 2018		Dec 31, 2017
Commercial:
Mortgages		$1,044,335		$1,067,373		$1,077		$—		$—		$5,114
Construction & development	171,866		138,008		—		—		—		—
Commercial real estate	1,216,201		1,205,381		1,077		—		—		5,114
Commercial & industrial	559,377		592,749		37,290		9,804		7,163		9,781
Total commercial		$1,775,578		$1,798,130		$38,367		$9,804		$7,163		$14,895

Credit Quality Indicators Residential & Consumer

The following table presents the residential and consumer loan portfolios, segregated by category of credit quality indicator:



(Dollars in thousands)	Current				Past Due
	Mar 31, 2018		Dec 31, 2017		Mar 31, 2018		Dec 31, 2017
Residential Real Estate:
Self-originated mortgages		$1,112,533		$1,091,291		$10,347		$6,413
Purchased mortgages	125,551		128,102		1,459		1,442
Total residential real estate		$1,238,084		$1,219,393		$11,806		$7,855
Consumer:
Home equity		$281,488		$289,326		$4,235		$3,141
Other	30,663		31,484		22		43
Total consumer		$312,151		$320,810		$4,257		$3,184