Loans and Allowance for Loan Losses (Tables)

The following are changes in the carrying value of acquired credit impaired loans:


	Nine Months Ended September 30,
(Dollars in thousands)	2017		2016
Balance at beginning of period	$	602,546	$	733,870
Fair value of acquired loans		55,850		—
Net reductions for payments, foreclosures, and accretion		(79,258)		(101,556)
Change in the allowance for loan losses on acquired loans		(275)		303
Balance at end of period, net of allowance for loan losses on acquired loans	$	578,863	$	632,617


	Non-acquired		Acquired Non-Credit		Acquired Credit
(Dollars in thousands)	Loans		Impaired Loans		Impaired Loans		Total
Three Months Ended September 30, 2017:
Balance at beginning of period	$	40,149	$	—	$	3,741	$	43,890
Loans charged-off		(1,383)		(275)		—		(1,658)
Recoveries of loans previously charged off (1)		836		279		—		1,115
Net charge-offs		(547)		4		—		(543)
Provision for loan losses charged to operations		1,939		(4)		127		2,062
Provision for loan losses recorded through the FDIC loss share receivable		—		—		—		—
Reduction due to loan removals		—		—		(198)		(198)
Balance at end of period	$	41,541	$	—	$	3,670	$	45,211
Three Months Ended September 30, 2016:
Balance at beginning of period	$	36,939	$	—	$	3,752	$	40,691
Loans charged-off		(1,108)		(280)		—		(1,388)
Recoveries of loans previously charged off (1)		713		120		—		833
Net charge-offs		(395)		(160)		—		(555)
Provision		775		160		(23)		912
Benefit attributable to FDIC loss share agreements		—		—		—		—
Provision for loan losses charged to operations		775		160		(23)		912
Provision for loan losses recorded through the FDIC loss share receivable		—		—		—		—
Reduction due to loan removals		—		—		(326)		(326)
Balance at end of period	$	37,319	$	—	$	3,403	$	40,722


	Non-acquired		Acquired Non-Credit		Acquired Credit
(Dollars in thousands)	Loans		Impaired Loans		Impaired Loans		Total
Nine Months Ended September 30, 2017:
Balance at beginning of period	$	36,960	$	—	$	3,395	$	40,355
Loans charged-off		(3,972)		(1,165)		—		(5,137)
Recoveries of loans previously charged off (1)		2,041		414		—		2,455
Net charge-offs		(1,931)		(751)		—		(2,682)
Provision		6,512		751		819		8,082
Benefit attributable to FDIC loss share agreements		—		—		—		—
Total provision for loan losses charged to operations		6,512		751		819		8,082
Provision for loan losses recorded through the FDIC loss share receivable		—		—		—		—
Reduction due to loan removals		—		—		(544)		(544)
Balance at end of period	$	41,541	$	—	$	3,670	$	45,211
Nine Months Ended September 30, 2016:
Balance at beginning of period	$	34,090	$	—	$	3,706	$	37,796
Loans charged-off		(4,384)		(810)		—		(5,194)
Recoveries of loans previously charged off (1)		2,358		262		—		2,620
Net charge-offs		(2,026)		(548)		—		(2,574)
Provision		5,255		548		372		6,175
Benefit attributable to FDIC loss share agreements		—		—		23		23
Total provision for loan losses charged to operations		5,255		548		395		6,198
Provision for loan losses recorded through the FDIC loss share receivable		—		—		(23)		(23)
Reduction due to loan removals		—		—		(675)		(675)
Balance at end of period	$	37,319	$	—	$	3,403	$	40,722

(1)

– Recoveries related to acquired credit impaired loans are recorded through other noninterest income on the consolidated statement of income and do not run through the ALLL.


	Unpaid		Recorded		Gross
	Contractual		Investment		Recorded		Total
	Principal		With No		Investment		Recorded		Related
(Dollars in thousands)	Balance		Allowance		With Allowance		Investment		Allowance
September 30, 2017
Commercial real estate:
Construction and land development	$	46,664	$	954	$	41,684	$	42,638	$	1,266
Commercial non-owner occupied		2,361		207		509		716		133
Commercial owner occupied		9,504		3,936		1,938		5,874		64
Consumer real estate:
Consumer owner occupied		5,986		1,369		3,086		4,455		47
Home equity loans		3,184		716		1,907		2,623		116
Commercial and industrial		1,753		—		627		627		18
Other income producing property		4,334		—		3,605		3,605		211
Consumer		623		—		254		254		7
Other loans		—		—		—		—		—
Total	$	74,409	$	7,182	$	53,610	$	60,792	$	1,862
December 31, 2016
Commercial real estate:
Construction and land development	$	7,394	$	1,074	$	1,959	$	3,033	$	348
Commercial non-owner occupied		2,417		223		583		806		170
Commercial owner occupied		10,118		3,976		2,269		6,245		67
Consumer real estate:
Consumer owner occupied		7,090		2,120		3,553		5,673		80
Home equity loans		2,165		244		1,430		1,674		40
Commercial and industrial		2,335		—		1,263		1,263		386
Other income producing property		3,166		99		2,273		2,372		242
Consumer		394		—		145		145		4
Other loans		—		—		—		—		—
Total	$	35,079	$	7,736	$	13,475	$	21,211	$	1,337
September 30, 2016
Commercial real estate:
Construction and land development	$	7,744	$	1,331	$	2,100	$	3,431	$	359
Commercial non-owner occupied		2,372		228		536		764		181
Commercial owner occupied		10,204		4,301		2,051		6,352		65
Consumer real estate:
Consumer owner occupied		4,390		1,284		1,843		3,127		58
Home equity loans		2,054		251		1,348		1,599		38
Commercial and industrial		2,738		259		1,194		1,453		385
Other income producing property		5,167		101		4,218		4,319		289
Consumer		342		—		142		142		4
Other		—		—		—		—		—
Total	$	35,011	$	7,755	$	13,432	$	21,187	$	1,379


	Three Months Ended September 30,
	2017				2016
	Average				Average
	Investment in		Interest Income		Investment in		Interest Income
(Dollars in thousands)	Impaired Loans		Recognized		Impaired Loans		Recognized
Commercial real estate:
Construction and land development	$	36,337	$	486	$	3,762	$	31
Commercial non-owner occupied		735		3		992		—
Commercial owner occupied		5,964		63		6,662		150
Consumer real estate:
Consumer owner occupied		4,515		36		3,547		31
Home equity loans		2,624		29		1,888		13
Commercial and industrial		912		8		1,110		16
Other income producing property		3,623		50		4,659		71
Consumer		245		2		135		—
Other loans		—		—		—		—
Total Impaired Loans	$	54,955	$	677	$	22,755	$	312


	Nine Months Ended September 30,
	2017				2016
	Average				Average
	Investment in		Interest Income		Investment in		Interest Income
(Dollars in thousands)	Impaired Loans		Recognized		Impaired Loans		Recognized
Commercial real estate:
Construction and land development	$	22,835	$	800	$	4,856	$	88
Commercial non-owner occupied		761		15		1,108		23
Commercial owner occupied		6,060		208		7,038		233
Consumer real estate:
Consumer owner occupied		5,064		110		5,338		78
Home equity loans		2,148		75		954		43
Commercial and industrial		945		30		1,470		28
Other income producing property		2,989		153		4,605		157
Consumer		200		5		122		3
Other loans		—		—		211		—
Total Impaired Loans	$	41,002	$	1,396	$	25,702	$	653

Contractual loan payments receivable, estimates of amounts not expected to be collected, other fair value adjustments and the resulting fair values of FASB ASC Topic 310-30 acquired loans impaired and non-impaired at the acquisition date for SBFC (January 3, 2017) are as follows:


	January 3, 2017
	Loans Impaired
(Dollars in thousands)	at Acquisition
Contractual principal and interest	$	73,365
Non-accretable difference		(12,912)
Cash flows expected to be collected		60,453
Accretable difference		(4,603)
Carrying value	$	55,850


	September 30,		December 31,		September 30,
(Dollars in thousands)	2017		2016		2016
Non-acquired loans:
Commercial non-owner occupied real estate:
Construction and land development	$	766,957	$	580,464	$	562,336
Commercial non-owner occupied		949,870		714,715		630,437
Total commercial non-owner occupied real estate		1,716,827		1,295,179		1,192,773
Consumer real estate:
Consumer owner occupied		1,454,758		1,197,621		1,183,441
Home equity loans		419,760		383,218		363,825
Total consumer real estate		1,874,518		1,580,839		1,547,266
Commercial owner occupied real estate		1,278,487		1,177,745		1,153,480
Commercial and industrial		781,757		671,398		617,525
Other income producing property		194,335		178,238		179,595
Consumer		371,758		324,238		305,687
Other loans		12,645		13,404		11,787
Total non-acquired loans		6,230,327		5,241,041		5,008,113
Less allowance for loan losses		(41,541)		(36,960)		(37,319)
Non-acquired loans, net	$	6,188,786	$	5,204,081	$	4,970,794


	Construction		Commercial		Commercial		Consumer						Other Income
	& Land		Non-owner		Owner		Owner		Home		Commercial		Producing				Other
(Dollars in thousands)	Development		Occupied		Occupied		Occupied		Equity		& Industrial		Property		Consumer		Loans		Total
Three Months Ended September 30, 2017
Allowance for loan losses:
Balance, June 30, 2017	$	5,746	$	6,164	$	7,539	$	8,569	$	3,247	$	5,143	$	1,379	$	2,532	$	(170)	$	40,149
Charge-offs		(19)		—		—		—		(17)		(440)		(10)		(897)		—		(1,383)
Recoveries		333		80		92		65		38		31		29		168		—		836
Provision (benefit)		(88)		(7)		479		492		(171)		469		(10)		889		(114)		1,939
Balance, September 30, 2017	$	5,972	$	6,237	$	8,110	$	9,126	$	3,097	$	5,203	$	1,388	$	2,692	$	(284)	$	41,541
Loans individually evaluated for impairment	$	1,266	$	133	$	64	$	47	$	116	$	18	$	211	$	7	$	—	$	1,862
Loans collectively evaluated for impairment	$	4,706	$	6,104	$	8,046	$	9,079	$	2,981	$	5,185	$	1,177	$	2,685	$	(284)	$	39,679
Loans:
Loans individually evaluated for impairment	$	42,638	$	716	$	5,874	$	4,455	$	2,623	$	627	$	3,605	$	254	$	—	$	60,792
Loans collectively evaluated for impairment		724,319		949,154		1,272,613		1,450,303		417,137		781,130		190,730		371,504		12,645		6,169,535
Total non-acquired loans	$	766,957	$	949,870	$	1,278,487	$	1,454,758	$	419,760	$	781,757	$	194,335	$	371,758	$	12,645	$	6,230,327
Three Months Ended September 30, 2016
Allowance for loan losses:
Balance , June 30, 2016	$	4,665	$	4,656	$	8,003	$	7,530	$	3,148	$	4,269	$	1,812	$	2,014	$	842	$	36,939
Charge-offs		—		—		(16)		(45)		—		(31)		—		(1,016)		—		(1,108)
Recoveries		241		28		25		27		64		104		8		216		—		713
Provision (benefit)		(795)		(93)		516		338		69		368		(201)		1,094		(521)		775
Balance, September 30, 2016	$	4,111	$	4,591	$	8,528	$	7,850	$	3,281	$	4,710	$	1,619	$	2,308	$	321	$	37,319
Loans individually evaluated for impairment	$	359	$	181	$	65	$	58	$	38	$	385	$	289	$	4	$	—	$	1,379
Loans collectively evaluated for impairment	$	3,752	$	4,410	$	8,463	$	7,792	$	3,243	$	4,325	$	1,330	$	2,304	$	321	$	35,940
Loans:
Loans individually evaluated for impairment	$	3,431	$	764	$	6,352	$	3,127	$	1,599	$	1,453	$	4,319	$	142	$	—	$	21,187
Loans collectively evaluated for impairment		558,905		629,673		1,147,128		1,180,314		362,226		616,072		175,276		305,545		11,787		4,986,926
Total non-acquired loans	$	562,336	$	630,437	$	1,153,480	$	1,183,441	$	363,825	$	617,525	$	179,595	$	305,687	$	11,787	$	5,008,113


	Construction		Commercial		Commercial		Consumer						Other Income
	& Land		Non-owner		Owner		Owner		Home		Commercial		Producing				Other
(Dollars in thousands)	Development		Occupied		Occupied		Occupied		Equity		& Industrial		Property		Consumer		Loans		Total
Nine Months Ended September 30, 2017
Allowance for loan losses:
Balance, December 31, 2016	$	4,091	$	4,980	$	8,022	$	7,820	$	3,211	$	4,842	$	1,542	$	2,350	$	102	$	36,960
Charge-offs		(493)		—		—		(185)		(241)		(629)		(17)		(2,407)		—		(3,972)
Recoveries		555		128		197		141		133		264		77		546		—		2,041
Provision (benefit)		1,819		1,129		(109)		1,350		(6)		726		(214)		2,203		(386)		6,512
Balance, September 30, 2017	$	5,972	$	6,237	$	8,110	$	9,126	$	3,097	$	5,203	$	1,388	$	2,692	$	(284)	$	41,541
Nine Months Ended September 30, 2016
Allowance for loan losses:
Balance, December 31, 2015	$	4,116	$	3,568	$	8,341	$	7,212	$	2,929	$	3,974	$	1,963	$	1,694	$	293	$	34,090
Charge-offs		(159)		—		(117)		(174)		(767)		(358)		(7)		(2,802)		—		(4,384)
Recoveries		848		59		46		125		239		207		47		787		—		2,358
Provision (benefit)		(694)		964		258		687		880		887		(384)		2,629		28		5,255
Balance, September 30, 2016	$	4,111	$	4,591	$	8,528	$	7,850	$	3,281	$	4,710	$	1,619	$	2,308	$	321	$	37,319


	Total Non-acquired Loans
	September 30,		December 31,		September 30,
(Dollars in thousands)	2017		2016		2016
Pass	$	6,116,379	$	5,112,628	$	4,873,202
Special mention		77,757		89,489		93,239
Substandard		36,191		38,924		41,672
Doubtful		—		—		—
	$	6,230,327	$	5,241,041	$	5,008,113


	30 - 59 Days		60 - 89 Days		90+ Days		Total				Total
(Dollars in thousands)	Past Due		Past Due		Past Due		Past Due		Current		Loans
September 30, 2017
Commercial real estate:
Construction and land development	$	728	$	76	$	483	$	1,287	$	765,670	$	766,957
Commercial non-owner occupied		26		567		85		678		949,192		949,870
Commercial owner occupied		2,382		300		1,824		4,506		1,273,981		1,278,487
Consumer real estate:
Consumer owner occupied		2,587		1,514		1,073		5,174		1,449,584		1,454,758
Home equity loans		841		416		1,361		2,618		417,142		419,760
Commercial and industrial		772		1,162		92		2,026		779,731		781,757
Other income producing property		76		100		252		428		193,907		194,335
Consumer		541		110		441		1,092		370,666		371,758
Other loans		—		—		—		—		12,645		12,645
	$	7,953	$	4,245	$	5,611	$	17,809	$	6,212,518	$	6,230,327
December 31, 2016
Commercial real estate:
Construction and land development	$	256	$	313	$	1,026	$	1,595	$	578,869	$	580,464
Commercial non-owner occupied		647		232		137		1,016		713,699		714,715
Commercial owner occupied		1,272		957		1,478		3,707		1,174,038		1,177,745
Consumer real estate:
Consumer owner occupied		1,473		246		1,454		3,173		1,194,448		1,197,621
Home equity loans		566		889		838		2,293		380,925		383,218
Commercial and industrial		1,033		216		345		1,594		669,804		671,398
Other income producing property		310		94		147		551		177,687		178,238
Consumer		666		355		395		1,416		322,822		324,238
Other loans		—		—		—		—		13,404		13,404
	$	6,223	$	3,302	$	5,820	$	15,345	$	5,225,696	$	5,241,041
September 30, 2016
Commercial real estate:
Construction and land development	$	548	$	249	$	1,079	$	1,876	$	560,460	$	562,336
Commercial non-owner occupied		655		768		207		1,630		628,807		630,437
Commercial owner occupied		1,795		71		1,267		3,133		1,150,347		1,153,480
Consumer real estate:
Consumer owner occupied		1,549		894		1,682		4,125		1,179,316		1,183,441
Home equity loans		1,000		186		832		2,018		361,807		363,825
Commercial and industrial		229		739		674		1,642		615,883		617,525
Other income producing property		318		187		413		918		178,677		179,595
Consumer		286		430		302		1,018		304,669		305,687
Other loans		—		—		—		—		11,787		11,787
	$	6,380	$	3,524	$	6,456	$	16,360	$	4,991,753	$	5,008,113


	Consumer Owner Occupied						Home Equity						Consumer
	September 30,		December 31,		September 30,		September 30,		December 31,		September 30,		September 30,		December 31,		September 30,
(Dollars in thousands)	2017		2016		2016		2017		2016		2016		2017		2016		2016
Pass	$	1,427,278	$	1,167,768	$	1,155,481	$	405,945	$	368,655	$	349,382	$	370,258	$	322,654	$	304,117
Special mention		14,914		15,283		14,370		7,346		8,145		8,493		316		468		611
Substandard		12,566		14,570		13,590		6,469		6,418		5,950		1,184		1,116		959
Doubtful		—		—		—		—		—		—		—		—		—
	$	1,454,758	$	1,197,621	$	1,183,441	$	419,760	$	383,218	$	363,825	$	371,758	$	324,238	$	305,687


	Other						Consumer Total
	September 30, 2017		December 31, 2016		September 30, 2016		September 30, 2017		December 31, 2016		September 30, 2016
Pass	$	12,645	$	13,404	$	11,787	$	2,216,126	$	1,872,481	$	1,820,767
Special mention		—		—		—		22,576		23,896		23,474
Substandard		—		—		—		20,219		22,104		20,499
Doubtful		—		—		—		—		—		—
	$	12,645	$	13,404	$	11,787	$	2,258,921	$	1,918,481	$	1,864,740



	Construction & Development						Commercial Non-owner Occupied							Commercial Owner Occupied
	September 30,		December 31,		September 30,			September 30,		December 31,		September 30,		September 30,		December 31,		September 30,
(Dollars in thousands)	2017		2016		2016			2017		2016		2016		2017		2016		2016
Pass	$	755,633	$	567,398	$	548,984		$	939,125	$	701,150	$	615,521	$	1,247,881	$	1,149,417	$	1,118,421
Special mention		7,445		8,421		8,492			8,475		11,434		11,499		24,277		22,133		26,429
Substandard		3,879		4,645		4,860			2,270		2,131		3,417		6,329		6,195		8,630
Doubtful		—		—		—			—		—		—		—		—		—
	$	766,957	$	580,464	$	562,336		$	949,870	$	714,715	$	630,437	$	1,278,487	$	1,177,745	$	1,153,480


	Commercial & Industrial						Other Income Producing Property						Commercial Total
	September 30,		December 31,		September 30,		September 30,		December 31,		September 30,		September 30,		December 31,		September 30,
	2017		2016		2016		2017		2016		2016		2017		2016		2016
Pass	$	770,975	$	655,157	$	604,058	$	186,639	$	167,025	$	165,451	$	3,900,253	$	3,240,147	$	3,052,435
Special mention		8,894		14,325		11,246		6,090		9,280		12,099		55,181		65,593		69,765
Substandard		1,888		1,916		2,221		1,606		1,933		2,045		15,972		16,820		21,173
Doubtful		—		—		—		—		—		—		—		—		—
	$	781,757	$	671,398	$	617,525	$	194,335	$	178,238	$	179,595	$	3,971,406	$	3,322,560	$	3,143,373


	September 30,		December 31,		September 30,
(Dollars in thousands)	2017		2016		2016
FASB ASC Topic 310-30 acquired loans:
Commercial loans greater than or equal to $1 million-Community Bank & Trust ("CBT")	$	8,439	$	8,617	$	10,958
Commercial real estate		199,082		210,204		220,489
Commercial real estate—construction and development		46,248		44,373		47,081
Residential real estate		249,666		258,100		268,968
Consumer		53,302		59,300		61,866
Commercial and industrial		25,796		25,347		26,658
Total FASB ASC Topic 310-30 acquired loans		582,533		605,941		636,020
Less allowance for loan losses		(3,670)		(3,395)		(3,403)
FASB ASC Topic 310-30 acquired loans, net	$	578,863	$	602,546	$	632,617


	September 30,		December 31,		September 30,
(Dollars in thousands)	2017		2016		2016
Contractual principal and interest	$	741,268	$	778,822	$	822,340
Non-accretable difference		(26,160)		(17,502)		(22,222)
Cash flows expected to be collected		715,108		761,320		800,118
Accretable yield		(132,575)		(155,379)		(164,098)
Carrying value	$	582,533	$	605,941	$	636,020
Allowance for acquired loan losses	$	(3,670)	$	(3,395)	$	(3,403)


	Nine Months Ended September 30,
(Dollars in thousands)	2017		2016
Balance at beginning of period	$	155,379	$	201,538
Addition from the SBFC acquisition		4,603		—
Accretion		(43,873)		(56,850)
Reclass of nonaccretable difference due to improvement in expected cash flows		16,772		18,631
Other changes, net		(306)		779
Balance at end of period	$	132,575	$	164,098


	Commercial				Commercial
	Loans Greater				Real Estate-
	Than or Equal		Commercial		Construction and		Residential				Commercial
(Dollars in thousands)	to $1 Million-CBT		Real Estate		Development		Real Estate		Consumer		and Industrial		Single Pay		Total
Three Months Ended September 30, 2017
Allowance for loan losses:
Balance, June 30, 2017	$	—	$	40	$	92	$	2,741	$	548	$	320	$	—	$	3,741
Provision (benefit) for loan losses before benefit attributable to FDIC loss share agreements		—		(40)		133		184		(85)		(65)		—		127
Benefit attributable to FDIC loss share agreements		—		—		—		—		—		—		—		—
Total provision (benefit) for loan losses charged to operations		—		(40)		133		184		(85)		(65)		—		127
Provision for loan losses recorded through the FDIC loss share receivable		—		—		—		—		—		—		—		—
Reduction due to loan removals		—		—		(36)		(149)		(1)		(12)		—		(198)
Balance, September 30, 2017	$	—	$	—	$	189	$	2,776	$	462	$	243	$	—	$	3,670
Loans individually evaluated for impairment	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Loans collectively evaluated for impairment	$	—	$	—	$	189	$	2,776	$	462	$	243	$	—	$	3,670
Loans:*
Loans individually evaluated for impairment	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Loans collectively evaluated for impairment		8,439		199,082		46,248		249,666		53,302		25,796		—		582,533
Total acquired credit impaired loans	$	8,439	$	199,082	$	46,248	$	249,666	$	53,302	$	25,796	$	—	$	582,533

Three Months Ended September 30, 2016
Allowance for loan losses:
Balance , June 30, 2016	$	—	$	35	$	151	$	2,592	$	778	$	196	$	—	$	3,752
Provision (benefit) for loan losses before benefit attributable to FDIC loss share agreements		—		—		—		2		(23)		(2)		—		(23)
Benefit attributable to FDIC loss share agreements		—		—		—		—		—		—		—		—
Total provision (benefit) for loan losses charged to operations		—		—		—		2		(23)		(2)		—		(23)
Provision for loan losses recorded through the FDIC loss share receivable		—		—		—		—		—		—		—		—
Reduction due to loan removals		—		5		(6)		(102)		(211)		(12)		—		(326)
Balance, September 30, 2016	$	—	$	40	$	145	$	2,492	$	544	$	182	$	—	$	3,403
Loans individually evaluated for impairment	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Loans collectively evaluated for impairment	$	—	$	40	$	145	$	2,492	$	544	$	182	$	—	$	3,403
Loans:*
Loans individually evaluated for impairment	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Loans collectively evaluated for impairment		10,958		220,489		47,081		268,968		61,866		26,658		—		636,020
Total acquired credit impaired loans	$	10,958	$	220,489	$	47,081	$	268,968	$	61,866	$	26,658	$	—	$	636,020


	Commercial				Commercial
	Loans Greater				Real Estate-
	Than or Equal		Commercial		Construction and		Residential				Commercial
(Dollars in thousands)	to $1 Million-CBT		Real Estate		Development		Real Estate		Consumer		and Industrial		Single Pay		Total
Nine Months Ended September 30, 2017
Allowance for loan losses:
Balance, December 31, 2016	$	—	$	41	$	139	$	2,419	$	558	$	238	$	—	$	3,395
Provision (benefit) for loan losses before benefit attributable to FDIC loss share agreements		—		(40)		130		743		(85)		71		—		819
Benefit attributable to FDIC loss share agreements		—		—		—		—		—		—		—		—
Total provision (benefit) for loan losses charged to operations		—		(40)		130		743		(85)		71		—		819
Provision (benefit) for loan losses recorded through the FDIC loss share receivable		—		—		—		—		—		—		—		—
Reduction due to loan removals		—		(1)		(80)		(386)		(11)		(66)		—		(544)
Balance, September 30, 2017	$	—	$	—	$	189	$	2,776	$	462	$	243	$	—	$	3,670
Nine Months Ended September 30, 2016
Allowance for loan losses:
Balance, December 31, 2015	$	—	$	56	$	177	$	2,986	$	313	$	174	$	—	$	3,706
Provision (benefit) for loan losses before benefit attributable to FDIC loss share agreements		—		1		—		(178)		511		38		—		372
Benefit attributable to FDIC loss share agreements		—		—		—		23		—		—		—		23
Total provision (benefit) for loan losses charged to operations		—		1		—		(155)		511		38		—		395
Provision for loan losses recorded through the FDIC loss share receivable		—		—		—		(23)		—		—		—		(23)
Reduction due to loan removals		—		(16)		(32)		(316)		(281)		(30)		—		(675)
Balance, September 30, 2016	$	—	$	41	$	145	$	2,492	$	543	$	182	$	—	$	3,403

*— The carrying value of acquired credit impaired loans includes a non accretable difference which is primarily associated with the assessment of credit quality of acquired loans.


	Commercial Loans Greater												Commercial Real Estate—
	Than or Equal to												Construction and
	$1 million-CBT						Commercial Real Estate						Development
	September 30,		December 31,		September 30,		September 30,		December 31,		September 30,		September 30,		December 31,		September 30,
(Dollars in thousands)	2017		2016		2016		2017		2016		2016		2017		2016		2016
Pass	$	8,120	$	8,297	$	9,616	$	152,305	$	162,870	$	164,737	$	26,666	$	21,150	$	20,889
Special mention		—		—		1,000		22,638		26,238		32,081		6,455		12,643		14,092
Substandard		319		320		342		24,139		21,096		23,671		13,127		10,580		12,100
Doubtful		—		—		—		—		—		—		—		—		—
	$	8,439	$	8,617	$	10,958	$	199,082	$	210,204	$	220,489	$	46,248	$	44,373	$	47,081


	Residential Real Estate						Consumer						Commercial & Industrial
	September 30,		December 31,		September 30,		September 30,		December 31,		September 30,		September 30,		December 31,		September 30,
	2017		2016		2016		2017		2016		2016		2017		2016		2016
Pass	$	133,969	$	138,343	$	143,946	$	8,261	$	8,513	$	9,072	$	15,755	$	17,371	$	18,715
Special mention		50,488		52,546		54,597		17,733		19,685		20,635		1,397		4,614		4,476
Substandard		65,209		67,211		70,425		27,308		31,102		32,159		8,644		3,362		3,467
Doubtful		—		—		—		—		—		—		—		—		—
	$	249,666	$	258,100	$	268,968	$	53,302	$	59,300	$	61,866	$	25,796	$	25,347	$	26,658


	Total Acquired
	Credit Impaired Loans
	September 30,		December 31,		September 30,
	2017		2016		2016
Pass	$	345,076	$	356,544	$	366,975
Special mention		98,711		115,726		126,881
Substandard		138,746		133,671		142,164
Doubtful		—		—		—
	$	582,533	$	605,941	$	636,020


	30 - 59 Days		60 - 89 Days		90+ Days		Total				Total
(Dollars in thousands)	Past Due		Past Due		Past Due		Past Due		Current		Loans
September 30, 2017
Commercial loans greater than or equal to $1 million-CBT	$	—	$	—	$	—	$	—	$	8,439	$	8,439
Commercial real estate		2,018		404		1,427		3,849		195,233		199,082
Commercial real estate—construction and development		22		234		3,239		3,495		42,753		46,248
Residential real estate		3,608		2,750		7,148		13,506		236,160		249,666
Consumer		670		259		943		1,872		51,430		53,302
Commercial and industrial		314		571		361		1,246		24,550		25,796
	$	6,632	$	4,218	$	13,118	$	23,968	$	558,565	$	582,533
December 31, 2016
Commercial loans greater than or equal to $1 million-CBT	$	—	$	—	$	—	$	—	$	8,617	$	8,617
Commercial real estate		573		357		2,667		3,597		206,607		210,204
Commercial real estate—construction and development		168		489		3,612		4,269		40,104		44,373
Residential real estate		4,688		1,105		6,777		12,570		245,530		258,100
Consumer		1,412		381		1,231		3,024		56,276		59,300
Commercial and industrial		46		24		536		606		24,741		25,347
	$	6,887	$	2,356	$	14,823	$	24,066	$	581,875	$	605,941
September 30, 2016
Commercial loans greater than or equal to $1 million-CBT	$	—	$	—	$	—	$	—	$	10,958	$	10,958
Commercial real estate		896		238		2,813		3,947		216,542		220,489
Commercial real estate—construction and development		266		1,971		1,137		3,374		43,707		47,081
Residential real estate		4,260		2,015		5,717		11,992		256,976		268,968
Consumer		1,124		332		1,233		2,689		59,177		61,866
Commercial and industrial		10		30		637		677		25,981		26,658
	$	6,556	$	4,586	$	11,537	$	22,679	$	613,341	$	636,020


	September 30,		December 31,		September 30,
(Dollars in thousands)	2017		2016		2016
Commercial non-owner occupied real estate:
Construction and land development	$	57	$	672	$	1,156
Commercial non-owner occupied		2,755		578		601
Total commercial non-owner occupied real estate		2,812		1,250		1,757
Consumer real estate:
Consumer owner occupied		3,674		5,711		5,048
Home equity loans		308		1,629		1,564
Total consumer real estate		3,982		7,340		6,612
Commercial owner occupied real estate		557		2,189		2,049
Commercial and industrial		1,952		420		587
Other income producing property		1,083		356		584
Consumer		1,123		930		796
Restructured loans		858		1,979		2,499
Total loans on nonaccrual status	$	12,367	$	14,464	$	14,884


	September 30,		December 31,		September 30,
(Dollars in thousands)	2017		2016		2016
FASB ASC Topic 310-20 acquired loans:
Commercial non-owner occupied real estate:
Construction and land development	$	76,886	$	10,090	$	10,683
Commercial non-owner occupied		199,704		34,628		35,775
Total commercial non-owner occupied real estate		276,590		44,718		46,458
Consumer real estate:
Consumer owner occupied		492,615		408,270		435,132
Home equity loans		164,291		160,879		168,758
Total consumer real estate		656,906		569,149		603,890
Commercial owner occupied real estate		207,572		27,195		29,444
Commercial and industrial		101,427		13,641		14,201
Other income producing property		76,924		39,342		43,152
Consumer		136,136		142,654		148,512
Total FASB ASC Topic 310-20 acquired loans	$	1,455,555	$	836,699	$	885,657

The following tables present a disaggregated analysis of activity in the allowance for loan losses and loan balances for acquired non-credit impaired loans:


	Construction		Commercial		Commercial		Consumer						Other Income
	& Land		Non-owner		Owner		Owner		Home		Commercial		Producing
(Dollars in thousands)	Development		Occupied		Occupied		Occupied		Equity		& Industrial		Property		Consumer		Total
Three Months Ended September 30, 2017
Allowance for loan losses:
Balance at beginning of period	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Charge-offs		—		—		—		(80)		(71)		(1)		—		(123)		(275)
Recoveries		1		—		1		—		274		1		—		2		279
Provision (benefit)		(1)		—		(1)		80		(203)		—		—		121		(4)
Balance, September 30, 2017	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Loans individually evaluated for impairment	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Loans collectively evaluated for impairment	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Loans:
Loans individually evaluated for impairment	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Loans collectively evaluated for impairment		76,886		199,704		207,572		492,615		164,291		101,427		76,924		136,136		1,455,555
Total acquired non-credit impaired loans	$	76,886	$	199,704	$	207,572	$	492,615	$	164,291	$	101,427	$	76,924	$	136,136	$	1,455,555

Three Months Ended September 30, 2016
Allowance for loan losses:
Balance at beginning of period	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Charge-offs		—		—		(3)		—		(105)		(23)		—		(149)		(280)
Recoveries		1		—		—		3		89		1		—		26		120
Provision (benefit)		(1)		—		3		(3)		16		22		—		123		160
Balance, September 30, 2016	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Loans individually evaluated for impairment	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Loans collectively evaluated for impairment	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Loans:
Loans individually evaluated for impairment	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Loans collectively evaluated for impairment		10,683		35,775		29,444		435,132		168,758		14,201		43,152		148,512		885,657
Total acquired non-credit impaired loans	$	10,683	$	35,775	$	29,444	$	435,132	$	168,758	$	14,201	$	43,152	$	148,512	$	885,657


	Construction		Commercial		Commercial		Consumer						Other Income
	& Land		Non-owner		Owner		Owner		Home		Commercial		Producing
(Dollars in thousands)	Development		Occupied		Occupied		Occupied		Equity		& Industrial		Property		Consumer		Total
Nine Months Ended September 30, 2017
Allowance for loan losses:
Balance, December 31, 2016	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Charge-offs		—		—		—		(89)		(736)		(3)		—		(337)		(1,165)
Recoveries		3		—		1		42		343		3		1		21		414
Provision (benefit)		(3)		—		(1)		47		393		—		(1)		316		751
Balance, September 30, 2017	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Nine Months Ended September 30, 2016
Allowance for loan losses:
Balance, December 31, 2015	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Charge-offs		—		—		(3)		—		(292)		(30)		—		(485)		(810)
Recoveries		3		—		—		9		197		3		1		49		262
Provision (benefit)		(3)		—		3		(9)		95		27		(1)		436		548
Balance, September 30, 2016	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—


	Total Acquired
	Non-credit Impaired Loans
	September 30,		December 31,		September 30,
(Dollars in thousands)	2017		2016		2016
Pass	$	1,417,304	$	812,320	$	860,150
Special mention		24,570		13,355		14,066
Substandard		13,681		11,024		11,441
Doubtful		—		—		—
	$	1,455,555	$	836,699	$	885,657


	30 - 59 Days		60 - 89 Days		90+ Days		Total				Total
(Dollars in thousands)	Past Due		Past Due		Past Due		Past Due		Current		Loans
September 30, 2017
Commercial real estate:
Construction and land development	$	117	$	199	$	225	$	541	$	76,345	$	76,886
Commercial non-owner occupied		618		—		—		618		199,086		199,704
Commercial owner occupied		330		97		893		1,320		206,252		207,572
Consumer real estate:
Consumer owner occupied		1,404		535		761		2,700		489,915		492,615
Home equity loans		1,240		455		999		2,694		161,597		164,291
Commercial and industrial		749		464		98		1,311		100,116		101,427
Other income producing property		164		64		37		265		76,659		76,924
Consumer		364		814		620		1,798		134,338		136,136
	$	4,986	$	2,628	$	3,633	$	11,247	$	1,444,308	$	1,455,555
December 31, 2016
Commercial real estate:
Construction and land development	$	4	$	—	$	160	$	164	$	9,926	$	10,090
Commercial non-owner occupied		—		—		—		—		34,628		34,628
Commercial owner occupied		—		—		106		106		27,089		27,195
Consumer real estate:
Consumer owner occupied		330		113		256		699		407,571		408,270
Home equity loans		476		941		741		2,158		158,721		160,879
Commercial and industrial		2		—		—		2		13,639		13,641
Other income producing property		131		1		—		132		39,210		39,342
Consumer		437		210		576		1,223		141,431		142,654
	$	1,380	$	1,265	$	1,839	$	4,484	$	832,215	$	836,699
September 30, 2016
Commercial real estate:
Construction and land development	$	5	$	—	$	160	$	165	$	10,518	$	10,683
Commercial non-owner occupied		—		28		—		28		35,747		35,775
Commercial owner occupied		326		110		302		738		28,706		29,444
Consumer real estate:
Consumer owner occupied		140		417		221		778		434,354		435,132
Home equity loans		719		207		921		1,847		166,911		168,758
Commercial and industrial		38		—		—		38		14,163		14,201
Other income producing property		26		—		—		26		43,126		43,152
Consumer		409		97		549		1,055		147,457		148,512
	$	1,663	$	859	$	2,153	$	4,675	$	880,982	$	885,657


	September 30,		December 31,		September 30,
(Dollars in thousands)	2017		2016		2016
Commercial non-owner occupied real estate:
Construction and land development	$	233	$	232	$	235
Commercial non-owner occupied		—		—		—
Total commercial non-owner occupied real estate		233		232		235
Consumer real estate:
Consumer owner occupied		1,891		1,405		1,112
Home equity loans		1,813		1,643		1,588
Total consumer real estate		3,704		3,048		2,700
Commercial owner occupied real estate		—		61		302
Commercial and industrial		114		1		1
Other income producing property		107		145		149
Consumer		1,299		1,241		1,246
Total loans on nonaccrual status	$	5,457	$	4,728	$	4,633


							Commercial Non-owner
	Construction & Development						Occupied						Commercial Owner Occupied
	September 30,		December 31,		September 30,		September 30,		December 31,		September 30,		September 30,		December 31,		September 30,
(Dollars in thousands)	2017		2016		2016		2017		2016		2016		2017		2016		2016
Pass	$	74,665	$	8,997	$	9,562	$	195,808	$	28,368	$	29,509	$	201,498	$	26,920	$	28,926
Special mention		1,403		253		278		3,806		6,171		6,173		4,048		—		—
Substandard		818		840		843		90		89		93		2,026		275		518
Doubtful		—		—		—		—		—		—		—		—		—
	$	76,886	$	10,090	$	10,683	$	199,704	$	34,628	$	35,775	$	207,572	$	27,195	$	29,444


							Other Income Producing
	Commercial & Industrial						Property						Commercial Total
	September 30,		December 31,		September 30,		September 30,		December 31,		September 30,		September 30,		December 31,		September 30,
	2017		2016		2016		2017		2016		2016		2017		2016		2016
Pass	$	95,523	$	13,475	$	14,016	$	74,994	$	38,361	$	42,159	$	642,488	$	116,121	$	124,172
Special mention		5,385		117		122		1,208		273		276		15,850		6,814		6,849
Substandard		519		49		63		722		708		717		4,175		1,961		2,234
Doubtful		—		—		—		—		—		—		—		—		—
	$	101,427	$	13,641	$	14,201	$	76,924	$	39,342	$	43,152	$	662,513	$	124,896	$	133,255


	Consumer Owner Occupied						Home Equity						Consumer
	September 30,		December 31,		September 30,		September 30,		December 31,		September 30,		September 30,		December 31,		September 30,
(Dollars in thousands)	2017		2016		2016		2017		2016		2016		2017		2016		2016
Pass	$	487,393	$	404,761	$	431,712	$	154,461	$	151,752	$	158,672	$	132,962	$	139,686	$	145,594
Special mention		2,502		1,326		759		5,077		4,113		5,340		1,141		1,102		1,118
Substandard		2,720		2,183		2,661		4,753		5,014		4,746		2,033		1,866		1,800
Doubtful		—		—		—		—		—		—		—		—		—
	$	492,615	$	408,270	$	435,132	$	164,291	$	160,879	$	168,758	$	136,136	$	142,654	$	148,512


	Consumer Total
	September 30,		December 31,		September 30,
	2017		2016		2016
Pass	$	774,816	$	696,199	$	735,978
Special mention		8,720		6,541		7,217
Substandard		9,506		9,063		9,207
Doubtful		—		—		—
	$	793,042	$	711,803	$	752,402