NOTE E - ALLOWANCE FOR LOAN AND LEASE LOSSES (ALLL)

The following tables present the activity in the ALLL for non-PCI loan and lease losses by loan class for the three and nine months ended September 30, 2017 and September 30, 2016:



	Three months ended September 30, 2017
(Dollars in thousands)	Construction and land development - commercial			Commercial mortgage			Other commercial real estate			Commercial and industrial			Lease financing			Other			Residential mortgage			Revolving mortgage			Construction and land development - non- commercial			Consumer			Total
Balance at July 1	$	33,559		$	49,746		$	3,612		$	51,068		$	6,404		$	3,302		$	15,843		$	22,465		$	1,503		$	27,800		$	215,302
Provision	(5,150		)	(71		)	891			5,621			884			58			531			842			92			4,785			8,483
Charge-offs	(9		)	(39		)	—			(1,275		)	(687		)	(666		)	(604		)	(218		)	—			(4,996		)	(8,494		)
Recoveries	56			1,446			8			433			3			123			92			228			—			1,203			3,592
Balance at September 30	$	28,456		$	51,082		$	4,511		$	55,847		$	6,604		$	2,817		$	15,862		$	23,317		$	1,595		$	28,792		$	218,883

	Three months ended September 30, 2016
(Dollars in thousands)	Construction and land development - commercial			Commercial mortgage			Other commercial real estate			Commercial and industrial			Lease financing			Other			Residential mortgage			Revolving mortgage			Construction and land development - non- commercial			Consumer			Total
Balance at July 1	$	17,169		$	71,613		$	2,138		$	43,908		$	5,766		$	1,755		$	16,076		$	16,728		$	1,653		$	19,647		$	196,453
Provision	835			(2,163		)	150			2,954			274			183			531			679			88			3,899			7,430
Charge-offs	(77		)	(461		)	—			(1,198		)	(132		)	—			(328		)	(391		)	—			(3,623		)	(6,210		)
Recoveries	69			378			13			328			5			170			334			256			—			1,092			2,645
Balance at September 30	$	17,996		$	69,367		$	2,301		$	45,992		$	5,913		$	2,108		$	16,613		$	17,272		$	1,741		$	21,015		$	200,318

	Nine months ended September 30, 2017
(Dollars in thousands)	Construction and land development - commercial			Commercial mortgage			Other commercial real estate			Commercial and industrial			Lease financing			Other			Residential mortgage			Revolving mortgage			Construction and land development - non- commercial			Consumer			Total
Balance at January 1	$	28,877		$	48,278		$	3,269		$	50,225		$	5,907		$	3,127		$	14,447		$	21,013		$	1,596		$	28,287		$	205,026
Provision	(242		)	574			1,228			10,181			1,645			299			2,037			2,446			(1		)	11,144			29,311
Charge-offs	(499		)	(311		)	(5		)	(7,649		)	(957		)	(853		)	(1,076		)	(1,323		)	—			(14,015		)	(26,688		)
Recoveries	320			2,541			19			3,090			9			244			454			1,181			—			3,376			11,234
Balance at September 30	$	28,456		$	51,082		$	4,511		$	55,847		$	6,604		$	2,817		$	15,862		$	23,317		$	1,595		$	28,792		$	218,883

	Nine months ended September 30, 2016
(Dollars in thousands)	Construction and land development - commercial			Commercial mortgage			Other commercial real estate			Commercial and industrial			Lease financing			Other			Residential mortgage			Revolving mortgage			Construction and land development - non- commercial			Consumer			Total
Balance at January 1	$	16,288		$	69,896		$	2,168		$	43,116		$	5,524		$	1,855		$	14,105		$	15,971		$	1,485		$	19,496		$	189,904
Provision	2,069			(1,067		)	(34		)	5,236			337			(109		)	2,794			3,306			253			8,193			20,978
Charge-offs	(639		)	(454		)	—			(3,690		)	(93		)	(22		)	(680		)	(2,507		)	—			(9,868		)	(17,953		)
Recoveries	278			992			167			1,330			145			384			394			502			3			3,194			7,389
Balance at September 30	$	17,996		$	69,367		$	2,301		$	45,992		$	5,913		$	2,108		$	16,613		$	17,272		$	1,741		$	21,015		$	200,318

The following tables present the allowance for non-PCI loan and lease losses and the recorded investment in loans, by loan class, based on impairment method as of September 30, 2017 and December 31, 2016:



	September 30, 2017
(Dollars in thousands)	Construction and land development - commercial		Commercial mortgage		Other commercial real estate		Commercial and industrial		Lease financing		Other		Residential mortgage		Revolving mortgage		Construction and land development - non-commercial		Consumer		Total
Allowance for loan and lease losses:
ALLL for loans and leases individually evaluated for impairment	$	91	$	3,916	$	204	$	1,260	$	223	$	—	$	1,907	$	1,784	$	94	$	653	$	10,132
ALLL for loans and leases collectively evaluated for impairment	28,365		47,166		4,307		54,587		6,381		2,817		13,955		21,533		1,501		28,139		208,751
Total allowance for loan and lease losses	$	28,456	$	51,082	$	4,511	$	55,847	$	6,604	$	2,817	$	15,862	$	23,317	$	1,595	$	28,792	$	218,883

Loans and leases:
Loans and leases individually evaluated for impairment	$	543	$	71,952	$	1,616	$	9,878	$	1,688	$	522	$	32,127	$	18,830	$	3,660	$	2,226	$	143,042
Loans and leases collectively evaluated for impairment	626,344		9,438,206		433,120		2,645,020		865,116		321,694		3,435,851		2,673,728		223,524		1,509,261		22,171,864
Total loan and leases	$	626,887	$	9,510,158	$	434,736	$	2,654,898	$	866,804	$	322,216	$	3,467,978	$	2,692,558	$	227,184	$	1,511,487	$	22,314,906

	December 31, 2016
(Dollars in thousands)	Construction and land development - commercial		Commercial mortgage		Other commercial real estate		Commercial and industrial		Lease financing		Other		Residential mortgage		Revolving mortgage		Construction and land development - non-commercial		Consumer		Total
Allowance for loan and lease losses:
ALLL for loans and leases individually evaluated for impairment	$	151	$	3,488	$	152	$	1,732	$	75	$	23	$	2,447	$	366	$	109	$	667	$	9,210
ALLL for loans and leases collectively evaluated for impairment	28,726		44,790		3,117		48,493		5,832		3,104		12,000		20,647		1,487		27,620		195,816
Total allowance for loan and lease losses	$	28,877	$	48,278	$	3,269	$	50,225	$	5,907	$	3,127	$	14,447	$	21,013	$	1,596	$	28,287	$	205,026

Loans and leases:
Loans and leases individually evaluated for impairment	$	1,045	$	76,361	$	1,563	$	12,600	$	1,074	$	142	$	31,476	$	7,613	$	2,613	$	1,912	$	136,399
Loans and leases collectively evaluated for impairment	648,112		8,949,859		349,728		2,554,901		825,196		340,122		2,857,648		2,593,731		228,787		1,444,226		20,792,310
Total loan and leases	$	649,157	$	9,026,220	$	351,291	$	2,567,501	$	826,270	$	340,264	$	2,889,124	$	2,601,344	$	231,400	$	1,446,138	$	20,928,709

The following tables show the activity in the allowance for PCI loan losses by loan class for the three and nine months ended September 30, 2017 and September 30, 2016.



	Three months ended September 30, 2017
(Dollars in thousands)	Construction and land development - commercial			Commercial mortgage			Other commercial real estate			Commercial and industrial			Residential mortgage			Revolving mortgage			Consumer and other			Total
Balance at July 1	$	577		$	6,797		$	354		$	456		$	4,829		$	411		$	72		$	13,496
Provision	(78		)	(15		)	(146		)	(133		)	(184		)	(34		)	53			(537		)
Charge-offs	—			—			—			—			—			—			—			—
Recoveries	—			—			—			—			—			—			—			—
Balance at September 30	$	499		$	6,782		$	208		$	323		$	4,645		$	377		$	125		$	12,959

	Three months ended September 30, 2016
(Dollars in thousands)	Construction and land development - commercial			Commercial mortgage			Other commercial real estate			Commercial and industrial			Residential mortgage			Revolving mortgage			Consumer and other			Total
Balance at July 1	$	280		$	5,759		$	616		$	285		$	4,298		$	238		$	79		$	11,555
Provision	74			406			(378		)	101			(134		)	(21		)	29			77
Charge-offs	—			—			—			—			—			—			—			—
Recoveries	—			—			—			—			—			—			—			—
Balance at September 30	$	354		$	6,165		$	238		$	386		$	4,164		$	217		$	108		$	11,632

	Nine months ended September 30, 2017
(Dollars in thousands)	Construction and land development - commercial			Commercial mortgage			Other commercial real estate			Commercial and industrial			Residential mortgage			Revolving mortgage			Consumer and other			Total
Balance at January 1	$	483		$	6,423		$	502		$	504		$	4,818		$	956		$	83		$	13,769
Provision	16			359			(294		)	(181		)	(173		)	(579		)	42			(810		)
Charge-offs	—			—			—			—			—			—			—			—
Recoveries	—			—			—			—			—			—			—			—
Balance at September 30	$	499		$	6,782		$	208		$	323		$	4,645		$	377		$	125		$	12,959

	Nine months ended September 30, 2016
(Dollars in thousands)	Construction and land development - commercial			Commercial mortgage			Other commercial real estate			Commercial and industrial			Residential mortgage			Revolving mortgage			Consumer and other			Total
Balance at January 1	$	1,082		$	7,838		$	773		$	445		$	5,398		$	523		$	253		$	16,312
Provision	(728		)	(1,508		)	(530		)	(59		)	(863		)	(306		)	(72		)	(4,066		)
Charge-offs	—			(165		)	(5		)	—			(371		)	—			(73		)	(614		)
Recoveries	—			—			—			—			—			—			—			—
Balance at September 30	$	354		$	6,165		$	238		$	386		$	4,164		$	217		$	108		$	11,632

As of September 30, 2017 and December 31, 2016, $310.0 million and $359.7 million, respectively, in PCI loans experienced an adverse change in expected cash flows since the date of acquisition. The corresponding allowance for loan losses was $13.0 million and $13.8 million, respectively.

The following tables show the ending balances of PCI loans and related allowance by class of loans as of September 30, 2017 and December 31, 2016:



	September 30, 2017
(Dollars in thousands)	Construction and land development - commercial		Commercial mortgage		Other commercial real estate		Commercial and industrial		Residential mortgage		Revolving mortgage		Consumer and other		Total
ALLL for loans and leases acquired with deteriorated credit quality	$	499	$	6,782	$	208	$	323	$	4,645	$	377	$	125	$	12,959

Loans acquired with deteriorated credit quality	17,406		393,557		17,771		7,064		327,263		67,847		3,259		834,167

	December 31, 2016
(Dollars in thousands)	Construction and land development - commercial		Commercial mortgage		Other commercial real estate		Commercial and industrial		Residential mortgage		Revolving mortgage		Consumer and other		Total
ALLL for loans and leases acquired with deteriorated credit quality	$	483	$	6,423	$	502	$	504	$	4,818	$	956	$	83	$	13,769

Loans acquired with deteriorated credit quality	20,766		453,013		12,645		11,844		268,777		38,650		3,474		809,169

The following tables provide information on non-PCI impaired loans and leases, exclusive of loans and leases evaluated collectively as a homogeneous group, as of September 30, 2017 and December 31, 2016 including interest income recognized in the period during which the loans and leases were considered impaired.



	September 30, 2017
(Dollars in thousands)	With a recorded allowance		With no recorded allowance		Total		Unpaid principal balance		Related allowance recorded
Non-PCI impaired loans and leases:
Construction and land development - commercial	$	526	$	17	$	543	$	648	$	91
Commercial mortgage	38,286		33,666		71,952		76,859		3,916
Other commercial real estate	1,254		362		1,616		1,939		204
Commercial and industrial	7,433		2,445		9,878		11,568		1,260
Lease financing	1,685		3		1,688		1,688		223
Other	—		522		522		522		—
Residential mortgage	18,840		13,287		32,127		33,712		1,907
Revolving mortgage	9,046		9,784		18,830		20,403		1,784
Construction and land development - noncommercial	781		2,879		3,660		4,365		94
Consumer	1,527		699		2,226		2,445		653
Total non-PCI impaired loans and leases	$	79,378	$	63,664	$	143,042	$	154,149	$	10,132

	December 31, 2016
(Dollars in thousands)	With a recorded allowance		With no recorded allowance		Total		Unpaid principal balance		Related allowance recorded
Non-PCI impaired loans and leases:
Construction and land development - commercial	$	1,002	$	43	$	1,045	$	1,172	$	151
Commercial mortgage	42,875		33,486		76,361		82,658		3,488
Other commercial real estate	1,279		284		1,563		1,880		152
Commercial and industrial	8,920		3,680		12,600		16,637		1,732
Lease financing	1,002		72		1,074		1,074		75
Other	142		—		142		233		23
Residential mortgage	20,269		11,207		31,476		32,588		2,447
Revolving mortgage	1,825		5,788		7,613		8,831		366
Construction and land development - noncommercial	645		1,968		2,613		3,030		109
Consumer	1,532		380		1,912		2,086		667
Total non-PCI impaired loans and leases	$	79,491	$	56,908	$	136,399	$	150,189	$	9,210

The following tables show the average non-PCI impaired loan balance and the interest income recognized by loan class for the three and nine months ended September 30, 2017 and September 30, 2016:



	Three months ended September 30, 2017				Three months ended September 30, 2016
(Dollars in thousands)	Average balance		Interest income recognized		Average balance		Interest income recognized
Non-PCI impaired loans and leases:
Construction and land development - commercial	$	754	$	8	$	3,297	$	44
Commercial mortgage	73,099		653		78,994		642
Other commercial real estate	1,720		8		1,571		13
Commercial and industrial	9,501		96		9,676		84
Lease financing	1,752		12		1,169		14
Other	557		8		569		6
Residential mortgage	31,290		228		28,008		214
Revolving mortgage	18,066		150		7,373		48
Construction and land development - noncommercial	3,676		35		408		5
Consumer	2,233		27		1,507		20
Total non-PCI impaired loans and leases	$	142,648	$	1,225	$	132,572	$	1,090

	Nine months ended September 30, 2017				Nine months ended September 30, 2016
(Dollars in thousands)	Average balance		Interest income recognized		Average balance		Interest income recognized
Non-PCI impaired loans and leases:
Construction and land development - commercial	$	926	$	31	$	3,232	$	125
Commercial mortgage	74,177		1,946		83,794		2,024
Other commercial real estate	1,610		25		957		25
Commercial and industrial	10,396		298		11,722		319
Lease financing	1,744		40		1,347		49
Other	396		15		818		30
Residential mortgage	33,673		753		25,497		564
Revolving mortgage	11,506		269		6,701		120
Construction and land development - noncommercial	3,155		101		459		16
Consumer	2,062		74		1,398		58
Total non-PCI impaired loans and leases	$	139,645	$	3,552	$	135,925	$	3,330

Troubled Debt Restructurings

BancShares accounts for certain loan modifications or restructurings as troubled debt restructurings (TDRs). In general, the modification or restructuring of a loan is considered a TDR if, for economic reasons or legal reasons related to a borrower's financial difficulties, a concession is granted to the borrower that creditors would not otherwise grant. Concessions may relate to the contractual interest rate, maturity date, payment structure or other actions. In accordance with GAAP, acquired loans accounted for under ASC 310-30, Loans and Debt Securities Acquired with Deteriorated Credit Quality, are not initially considered to be TDRs, but can be classified as such if a modification is made subsequent to acquisition. Subsequent modifications of a PCI loan accounted for in a pool that would otherwise meet the definition of a TDR is not reported, or accounted for, as a TDR since pooled PCI loans are excluded from the scope of TDR accounting.

The following table provides a summary of total TDRs by accrual status.



	September 30, 2017						December 31, 2016
(Dollars in thousands)	Accruing		Nonaccruing		Total		Accruing		Nonaccruing		Total
Commercial loans
Construction and land development - commercial	$	2,824	$	334	$	3,158	$	3,292	$	308	$	3,600
Commercial mortgage	63,027		16,056		79,083		70,263		14,435		84,698
Other commercial real estate	702		834		1,536		1,635		80		1,715
Commercial and industrial	7,155		1,625		8,780		9,193		1,436		10,629
Lease financing	775		913		1,688		882		192		1,074
Other	522		—		522		64		78		142
Total commercial TDRs	75,005		19,762		94,767		85,329		16,529		101,858
Noncommercial
Residential mortgage	31,398		7,286		38,684		34,012		5,117		39,129
Revolving mortgage	15,124		3,347		18,471		6,346		1,431		7,777
Construction and land development - noncommercial	234		—		234		240		—		240
Consumer and other	1,903		323		2,226		1,603		309		1,912
Total noncommercial TDRs	48,659		10,956		59,615		42,201		6,857		49,058
Total TDRs	$	123,664	$	30,718	$	154,382	$	127,530	$	23,386	$	150,916

The majority of TDRs are included in the special mention, substandard or doubtful grading categories. When a restructured loan subsequently defaults, it is evaluated and downgraded if appropriate. The more severely graded the loan, the lower the estimated expected cash flows and the greater the allowance recorded. TDRs are evaluated individually for impairment through a review of collateral values or analysis of cash flows.

The following table shows the accrual status of non-PCI and PCI TDRs.



(Dollars in thousands)	September 30, 2017		December 31, 2016
Accruing TDRs:
PCI	$	19,719	$	26,068
Non-PCI	103,945		101,462
Total accruing TDRs	123,664		127,530
Nonaccruing TDRs:
PCI	300		301
Non-PCI	30,418		23,085
Total nonaccruing TDRs	30,718		23,386
All TDRs:
PCI	20,019		26,369
Non-PCI	134,363		124,547
Total TDRs	$	154,382	$	150,916

The following tables provide the types of non-PCI TDRs made during the three and nine months ended September 30, 2017 and September 30, 2016, as well as a summary of loans that were modified as a TDR during the twelve month periods ended September 30, 2017 and September 30, 2016 that subsequently defaulted during the three and nine months ended September 30, 2017 and September 30, 2016. BancShares defines payment default as movement of the TDR to nonaccrual status, which is generally 90 days past due for TDRs, foreclosure or charge-off, whichever occurs first.



	Three months ended September 30, 2017						Three months ended September 30, 2016
	All restructurings			Restructurings with payment default			All restructurings			Restructurings with payment default
(Dollars in thousands)	Number of Loans	Recorded investment at period end		Number of Loans	Recorded investment at period end		Number of Loans	Recorded investment at period end		Number of Loans	Recorded investment at period end
Non-PCI loans and leases
Interest only period provided
Commercial mortgage	3	$	696	—	$	—	—	$	—	—	$	—
Residential mortgage	—	—		—	—		1	124		1	124
Total interest only	3	696		—	—		1	124		1	124

Loan term extension
Commercial mortgage	—	—		—	—		3	1,321		—	—
Commercial and industrial	1	10		—	—		1	22		—	—
Residential mortgage	2	123		—	—		4	572		—	—
Revolving mortgage	1	20		—	—		—	—		—	—
Consumer	2	3		—	—		1	9		—	—
Total loan term extension	6	156		—	—		9	1,924		—	—

Below market interest rate
Construction and land development - commercial	—	—		—	—		7	128		2	16
Commercial mortgage	10	3,643		5	701		6	2,651		1	32
Other commercial real estate	2	210		—	—		2	178		—	—
Commercial and industrial	4	230		2	30		12	2,340		5	569
Lease financing	—	—		—	—		2	81		2	81
Residential mortgage	28	1,850		9	936		37	2,449		13	849
Revolving mortgage	14	567		8	274		1	12		—	—
Construction and land development - noncommercial	2	33		1	11		—	—		—	—
Consumer	1	4		2	4		3	31		2	17
Other	—	—		—	—		1	44		—	—
Total below market interest rate	61	6,537		27	1,956		71	7,914		25	1,564

Discharged from bankruptcy
Construction and land development - commercial	—	—		—	—		1	23		1	23
Commercial mortgage	5	2,249		1	429		1	13		1	13
Commercial and industrial	9	865		6	809		—	—		—	—
Lease financing	—	—		15	180		—	—		—	—
Residential mortgage	6	1,357		2	186		2	29		6	143
Revolving mortgage	10	469		5	189		9	407		3	37
Consumer	10	161		9	99		11	150		5	74
Total discharged from bankruptcy	40	5,101		38	1,892		24	622		16	290
Total non-PCI restructurings	110	$	12,490	65	$	3,848	105	$	10,584	42	$	1,978



	Nine months ended September 30, 2017						Nine months ended September 30, 2016
	All restructurings			Restructurings with payment default			All restructurings			Restructurings with payment default
(Dollars in thousands)	Number of Loans	Recorded investment at period end		Number of Loans	Recorded investment at period end		Number of Loans	Recorded investment at period end		Number of Loans	Recorded investment at period end
Non-PCI loans and leases
Interest only period provided
Commercial mortgage	5	$	1,097	1	$	328	1	$	245	1	$	245
Residential mortgage	—	—		—	—		1	124		1	124
Revolving mortgage	1	83		—	—		—	—		—	—
Total interest only	6	1,180		1	328		2	369		2	369

Loan term extension
Construction and land development - commercial	—	—		—	—		2	424		—	—
Commercial mortgage	1	425		—	—		7	2,407		—	—
Other commercial real estate	—	—		—	—		1	743		—	—
Commercial and industrial	7	411		—	—		1	22		1	—
Residential mortgage	6	328		—	—		11	1,539		—	—
Revolving mortgage	10	1,059		1	31		—	—		—	—
Consumer	6	42		—	—		1	9		—	—
Other	1	522		—	—		—	—		—	—
Total loan term extension	31	2,787		1	31		23	5,144		1	—

Below market interest rate
Construction and land development - commercial	1	—		—	—		14	510		4	43
Commercial mortgage	33	8,580		11	1,185		34	8,983		11	1,719
Other commercial real estate	3	211		2	210		3	652		1	9
Commercial and industrial	19	884		5	314		26	3,086		12	2,121
Lease financing	3	755		2	701		2	81		2	81
Residential mortgage	81	4,570		29	2,216		137	8,703		37	2,301
Revolving mortgage	64	2,826		22	678		5	109		—	—
Construction and land development - noncommercial	10	696		1	11		—	—		—	—
Consumer	16	89		3	17		6	49		3	17
Other	1	—		—	—		2	125		1	81
Total below market interest rate	231	18,611		75	5,332		229	22,298		71	6,372

Discharged from bankruptcy
Construction and land development - commercial	1	16		1	16		1	23		1	23
Commercial mortgage	9	3,207		2	1,134		3	291		1	13
Commercial and industrial	10	865		7	809		3	135		—	—
Lease financing	16	180		15	180		—	—		—	—
Residential mortgage	25	2,443		10	1,134		18	1,030		14	647
Revolving mortgage	32	1,630		13	875		42	2,564		13	177
Construction and land development - noncommercial	1	19		1	19		—	—		—	—
Consumer	52	539		27	212		40	467		12	137
Total discharged from bankruptcy	146	8,899		76	4,379		107	4,510		41	997
Total non-PCI restructurings	414	$	31,477	153	$	10,070	361	$	32,321	115	$	7,738

The following tables provide the types of PCI TDRs made during the three and nine months ended September 30, 2017 and September 30, 2016, as well as a summary of loans that were modified as a TDR during the twelve month periods ended September 30, 2017 and September 30, 2016 that subsequently defaulted during the three and nine months ended September 30, 2017 and September 30, 2016.



	Three months ended September 30, 2017						Three months ended September 30, 2016
	All restructurings			Restructurings with payment default			All restructurings			Restructurings with payment default
(Dollars in thousands)	Number of loans	Recorded investment at period end		Number of loans	Recorded investment at period end		Number of loans	Recorded investment at period end		Number of loans	Recorded investment at period end
PCI loans
Below market interest rate
Commercial mortgage	1	$	260	—	$	—	—	$	—	—	$	—
Residential mortgage	1	62		—	—		2	140		1	79
Total below market interest rate	2	322		—	—		2	140		1	79

Discharged from bankruptcy
Commercial mortgage	2	280		1	257		1	2,985		—	—
Residential mortgage	1	88		1	166		—	—		—	—
Total discharged from bankruptcy	3	368		2	423		1	2,985		—	—
Total PCI restructurings	5	$	690	2	$	423	3	$	3,125	1	$	79



	Nine months ended September 30, 2017						Nine months ended September 30, 2016
	All restructurings			Restructurings with payment default			All restructurings			Restructurings with payment default
(Dollars in thousands)	Number of loans	Recorded investment at period end		Number of loans	Recorded investment at period end		Number of loans	Recorded investment at period end		Number of loans	Recorded investment at period end
PCI loans
Below market interest rate
Construction and land development - commercial	—	$	—	—	$	—	1	$	53	—	$	—
Commercial mortgage	3	599		—	—		3	2,026		—	—
Residential mortgage	4	316		—	—		3	188		1	79
Total below market interest rate	7	915		—	—		7	2,267		1	79

Discharged from bankruptcy
Commercial mortgage	2	280		1	257		1	2,985		—	—
Residential mortgage	3	502		1	166		—	—		—	—
Total discharged from bankruptcy	5	782		2	423		1	2,985		—	—
Total PCI restructurings	12	$	1,697	2	$	423	8	$	5,252	1	$	79

For the three and nine months ended September 30, 2017 and September 30, 2016, the pre-modification and post-modification outstanding recorded investments of loans modified as TDRs were not materially different.