XML 119 R13.htm IDEA: XBRL DOCUMENT

Note 5 - Loans

12 Months Ended

Dec. 31, 2019

Loans, Notes, Trade and Other Receivables Disclosure [Text Block]

(5) Loans

Composition of loans by primary loan portfolio class follows:

December 31, (in thousands)	2019		2018

Commercial and industrial	$	870,511	$	833,524
Construction and development, excluding undeveloped land(1)		213,822		225,050
Undeveloped land		46,360		30,092

Real estate mortgage:
Commercial investment		736,618		588,610
Owner occupied commercial		473,783		426,373
1-4 family residential		334,358		276,017
Home equity - first lien		48,620		49,500
Home equity - junior lien		73,477		70,947
Subtotal: Real estate mortgage		1,666,856		1,411,447

Consumer		47,467		48,058
Total loans(2)	$	2,845,016	$	2,548,171

(1) Consists of land acquired for development by the borrower, but for which no development has yet taken place.
(2) Total loans are presented inclusive of premiums, discounts, and net loan origination fees and costs.

Fees and costs of originating loans are deferred at origination and amortized over the life of the loan. Loan balances reported herein include deferred loan origination fees, net of deferred loan costs. At December 31, 2019 and 2018, net deferred loan origination costs exceeded deferred loan origination fees, resulting in net negative balances of $564,000 and $592,000.

Bancorp’s credit exposure is diversified with secured and unsecured loans to individuals and businesses. No specific industry concentration exceeds 10% of loans outstanding. While Bancorp has a diversified loan portfolio, a customer’s ability to honor contracts is somewhat dependent upon the economic stability and/or industry in which that customer does business. Loans outstanding and related unfunded commitments are primarily concentrated within Bancorp’s current market areas, which encompass the Louisville, Indianapolis and Cincinnati MSAs.

Bancorp occasionally enters into loan participation agreements with other banks in the ordinary course of business to diversify credit risk. For certain sold participation loans, Bancorp has retained effective control of the loans, typically by restricting the participating institutions from pledging or selling their share of the loan without permission from Bancorp. GAAP requires the participated portion of these loans to be recorded as secured borrowings. The participated portions of these loans are included in the C&I totals above with a corresponding liability reflected in other liabilities. At December 31, 2019 and 2018, the total participated portions of loans of this nature were $8 million and $11 million respectively.

Loans to directors and their related interests, including loans to companies for which directors are principal owners and executive officers are presented in the following table.

Years ended December 31, (in thousands)	2019			2018
Balance as of January 1	$	52,687		$	629
Effect of change in composition of directors and executive officers		—			51,415
Repayment of term loans		(184	)		—
Changes in balances of revolving lines of credit		(9,279	)		643
Balance as of December 31	$	43,224		$	52,687

Loans totaling $0 and $500,000 to directors and executive officers were past due as of December 31, 2019 and 2018.

The following table summarizes loans acquired in Bancorp’s May 1, 2019 KSB acquisition, recast as of December 31, 2019.

May 1, 2019

Contractual

Non-accretable

Accretable

Acquisition-day

(in thousands)

receivable

amount

amount

fair value

Commercial and industrial
$ 8,249 $ — $ (23 ) $ 8,226

Construction and development
10,764 — 43 10,807

Raw Land
7,974 — 43 8,017

Real estate mortgage:

Commercial real estate
84,219 — (456 ) 83,763

1-4 family residential
50,556 — 322 50,878

Home equity - first lien
196 — 3 199

Home equity - junior lien
679 — 5 684

Subtotal: Real estate mortgage
135,650 — (126 ) 135,524

Consumer
1,528 — (73 ) 1,455

Total loans ASC 310-20
164,165 — (136 ) 164,029

Commercial and industrial

Construction and development
— — — —

Raw Land
— — — —

Real estate mortgage:

Commercial real estate
1,351 (1,351 ) — —

1-4 family residential
228 (228 ) — —

Home equity - first lien
— — — —

Home equity - junior lien
— — — —

Subtotal: Real estate mortgage
1,579 (1,579 ) — —

Consumer
— — — —

Total loans ASC 310 purchased- credit-impaired loans
1,579 (1,579 ) — —

Total loans
$ 165,744 $ (1,579 ) $ (136 ) $ 164,029

PCI Loans

The Bank acquired PCI loans on May 1, 2019 related to the KSB acquisition and also during 2013 associated with the TBOC acquisition. PCI loans are accounted for under ASC 310-30, Loans and Debt Securities Acquired with Deteriorated Credit Quality. As provided for under GAAP, management has up to 12 months following the date of acquisition to finalize the fair values of the acquired assets.

Management utilized the following criteria in determining which loans were classified as PCI loans for its KSB acquisition:

●

Loans classified by management as substandard, doubtful or loss

●

Loans classified as non-accrual when acquired

●

Loans past due 90 days or more when acquired

●

Loans for which management assigned a non-accretable mark

The following table presents loans acquired during 2019 for which it was probable at acquisition date that all contractually required payments would not be collected:

December 31, (in thousands)

2019

Contractually-required principal
$ 1,579

Non-accretable amount
(1,579 )

Accretable amount
—

Carrying value of loans
$ -

The following table presents a rollforward of the accretable amount on all PCI loans:

Years ended December 31, (in thousands)

2019

2018

Balance, beginning of period
$ (69 ) $ (106 )

Transfers between non-accretable and accretable
— —

Net accretion into interest income on loans, including loan fees
69 37

Balance, end of period
$ - $ (69 )

Credit Quality Indicators

Consistent with regulatory guidance, Bancorp categorizes loans into credit risk categories based on relevant information about the ability of borrowers to service their debt such as: current financial information, historical payment experience, credit documentation, public information and current economic trends. Pass-rated loans included all risk-rated loans other than those classified as OAEM, substandard, and doubtful, which are defined below:

●

OAEM: Loans classified as OAEM have potential weaknesses requiring management's heightened attention. These potential weaknesses may result in deterioration of repayment prospects for the loan or of Bancorp's credit position at some future date.

●

Substandard: Loans classified as substandard are inadequately protected by the paying capacity of the obligor or of collateral pledged, if any. Loans so classified have well-defined weaknesses that jeopardize ultimate repayment of the debt. Default is a distinct possibility if the deficiencies are not corrected.

●

Substandard non-performing: Loans classified as substandard non-performing have all the characteristics of substandard loans and have been placed on non-accrual status or have been accounted for as TDRs. Loans are placed on non-accrual status when prospects for recovering both principal and accrued interest are considered doubtful or when a default of principal or interest has existed for 90 days or more.

●

Doubtful: Loans classified as doubtful have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection or repayment in full, on the basis of currently existing facts, conditions and values, highly questionable and improbable.

Internally assigned risk grades of loans by loan portfolio class classification category follows:

(in thousands)

Substandard

Total

December 31, 2019

Pass

OAEM

Substandard

Non-performing

Doubtful

Loans

Commercial and industrial
$ 840,105 $ 704 $ 21,500 $ 8,202 $ — $ 870,511

Construction and development, excluding undeveloped land
213,822 — — — — 213,822

Undeveloped land
46,360 — — — — 46,360

Real estate mortgage:

Commercial investment
722,747 6,459 6,275 1,137 — 736,618

Owner occupied commercial
460,981 1,375 9,050 2,377 — 473,783

1-4 family residential
332,294 1,701 122 241 — 334,358

Home equity - first lien
48,620 — — — — 48,620

Home equity - junior lien
73,273 — 17 187 — 73,477

Subtotal: Real estate mortgage
1,637,915 9,535 15,464 3,942 — 1,666,856

Consumer
47,429 — 38 — — 47,467

Total
$ 2,785,631 $ 10,239 $ 37,002 $ 12,144 $ — $ 2,845,016

(in thousands)

Substandard

Total

December 31, 2018

Pass

OAEM

Substandard

Non-performing

Doubtful

Loans

Commercial and industrial
$ 803,073 $ 11,516 $ 18,703 $ 232 $ — $ 833,524

Construction and development, excluding undeveloped land
220,532 4,200 — 318 — 225,050

Undeveloped land
29,618 — — 474 — 30,092

Real estate mortgage:

Commercial investment
586,543 1,815 15 237 — 588,610

Owner occupied commercial
411,722 9,030 4,500 1,121 — 426,373

1-4 family residential
273,537 1,544 162 774 — 276,017

Home equity - first lien
49,500 — — — — 49,500

Home equity - junior lien
70,437 249 19 242 — 70,947

Subtotal: Real estate mortgage
1,391,739 12,638 4,696 2,374 — 1,411,447

Consumer
48,058 — — — — 48,058

Total
$ 2,493,020 $ 28,354 $ 23,399 $ 3,398 $ — $ 2,548,171

The following tables present the activity in the allowance by loan portfolio class:

Type of loan

Construction

and development,

Commercial

excluding

and

undeveloped

Undeveloped

Real estate

(in thousands)

industrial

land

land

mortgage

Consumer

Total

Balance, January 1, 2019
$ 11,965 $ 1,760 $ 752 $ 10,681 $ 376 $ 25,534

Provision (credit)
684 (644 ) 34 1,021 (95 ) 1,000

Charge-offs
(94 ) — — (38 ) (552 ) (684 )

Recoveries
267 203 — 100 371 941

Balance, December 31, 2019
$ 12,822 $ 1,319 $ 786 $ 11,764 $ 100 $ 26,791

Type of loan

Construction

and development,

Commercial

excluding

and

undeveloped

Undeveloped

Real estate

(in thousands)

industrial

land

land

mortgage

Consumer

Total

Balance, January 1, 2018
$ 11,276 $ 1,724 $ 521 $ 11,012 $ 352 $ 24,885

Provision (credit)
2,539 36 231 (261 ) 160 2,705

Charge-offs
(2,404 ) — — (132 ) (476 ) (3,012 )

Recoveries
554 — — 62 340 956

Balance, December 31, 2018
$ 11,965 $ 1,760 $ 752 $ 10,681 $ 376 $ 25,534

Type of loan

Construction

and development,

Commercial

excluding

and

undeveloped

Undeveloped

Real estate

(in thousands)

industrial

land

land

mortgage

Consumer

Total

Balance, January 1, 2017
$ 10,483 $ 1,923 $ 684 $ 10,573 $ 344 $ 24,007

Provision (credit)
2,373 (199 ) (163 ) 383 156 2,550

Charge-offs
(1,782 ) — — (98 ) (549 ) (2,429 )

Recoveries
202 — — 154 401 757

Balance, December 31, 2017
$ 11,276 $ 1,724 $ 521 $ 11,012 $ 352 $ 24,885

The considerations by Bancorp in computing its allowance are determined based on the various risk characteristics of each loan segment. Relevant risk characteristics are as follows:

●

C&I: Loans in this category are made to businesses. Generally these loans are secured by assets of the business and repayment is expected from cash flows of the business. A decline in the strength of the business or a weakened economy and decreased consumer and/or business spending may have an effect on the credit quality in this loan category.

●

C&D, excluding undeveloped land: Loans in this category primarily include owner-occupied and investment C&D loans and commercial development projects. In most cases, C&D loans require only interest to be paid during the construction period. Upon completion or stabilization, C&D loans generally convert to permanent financing in the real estate mortgage segment, requiring principal amortization. Repayment of development loans is derived from sale of lots or units. Credit risk is affected by construction delays, cost overruns, market conditions and availability of permanent financing; to the extent such permanent financing is not being provided by Bancorp.

●

Undeveloped land: Loans in this category are secured by land acquired for development by the borrower, but for which no development has yet taken place. Credit risk is primarily dependent upon the financial strength of the borrower, but can also be affected by market conditions and time to sell lots at an adequate price in the future. Credit risk is also affected by availability of permanent financing, including to the end user, to the extent such permanent financing is not being provided by Bancorp.

●

Real estate mortgage: Loans in this category are made to and secured by owner-occupied residential real estate, owner-occupied real estate used for business purposes, and income-producing investment properties. Underlying properties are generally located in Bancorp's primary market areas. For owner occupied residential and owner-occupied CRE, repayment is dependent on financial strength of the borrower. A decline in the strength of the business, weakened economy, unemployment, decreased consumer and/or business spending and real estate prices may have an effect on the credit quality in this loan category. For income-producing investment properties, repayment is dependent on financial strength of tenants, and to a lesser extent the borrowers’ financial strength. Cash flows of income producing investment properties may be adversely impacted by a downturn in the economy as reflected by increased vacancy rates, which in turn, will have an effect on credit quality and property values.

●

Consumer: Loans in this category may be either secured or unsecured and repayment is dependent on credit quality of the individual borrower and, if applicable, adequacy of collateral securing the loan. Therefore, the overall health of the economy, including unemployment rates, as well as home and securities prices, will have a significant effect on credit quality in this loan category.

The following table presents the recorded investment in non-accrual and loans past due 90-days-or-more and still accruing interest:

Past Due 90-Days-or-More

Non-accrual

and Still Accruing Interest

(in thousands)

December 31, 2019

December 31, 2018

December 31, 2019

December 31, 2018

Commercial and industrial
$ 8,202 $ 192 $ — $ 12

Construction and development, excluding undeveloped land
— 318 — —

Undeveloped land
— 474 — —

Real estate mortgage:

Commercial investment
740 138 396 99

Owner occupied commercial
2,278 586 — 535

1-4 family residential
123 760 104 —

Home equity - first lien
— — — —

Home equity - junior lien
151 143 35 99

Subtotal: Real estate mortgage
3,292 1,627 535 733

Consumer
— — — —

Total loans
$ 11,494 $ 2,611 $ 535 $ 745

In the course of working with borrowers, Bancorp may elect to restructure the contractual terms of certain loans. TDRs occur when, for economic, legal, or other reasons related to a borrower’s financial difficulties, Bancorp grants a concession to the borrower that it would not otherwise consider. Bancorp did not recognize new TDRs, nor did any TDRs default, in years ended December 31, 2019 and 2018. Detail of outstanding TDRs included in total non-performing loans follows:

December 31, 2019

December 31, 2018

Specific

Additional

Specific

Additional

reserve

commitment

reserve

commitment

(in thousands)

Balance

allocation

to lend

Balance

allocation

to lend

Commercial and industrial
$ 21 $ 21 $ — $ 28 $ 28 $ —

1-4 family residential
13 13 — 14 14 —

Total TDRs
$ 34 $ 34 $ — $ 42 $ 42 $ —

Impaired loans include non-accrual loans and loans past due 90 days-or-more accruing interest in addition to a nominal amount TDRs, which continue to accrue interest.

As of December 31, 2019 formal foreclosure proceedings were in process on 1-4 family residential mortgage loans with a total recorded investment of $239,000, as compared with $528,000 as of December 31, 2018.

The following tables present the balance in the recorded investment in loans and by portfolio loan class and based on impairment evaluation method:

(in thousands)

Loans

Allowance

December 31, 2019

Loans

individually

evaluated for

impairment

Loans

collectively

evaluated for

impairment

Loans acquired

with deteriorated

credit quality

Total loans

Loans

individually

evaluated for

impairment

Loans

collectively

evaluated for

impairment

Loans acquired

with deteriorated

credit quality

Total allowance

Commercial and industrial
$ 8,223 $ 862,288 $ — $ 870,511 $ 1,150 $ 11,672 $ — $ 12,822

Construction and development, excluding undeveloped land
— 213,822 — 213,822 — 1,319 — 1,319

Undeveloped land
— 46,360 — 46,360 — 786 — 786

Real estate mortgage
3,307 1,663,549 — 1,666,856 13 11,751 — 11,764

Consumer
— 47,467 — 47,467 — 100 — 100

Total
$ 11,530 $ 2,833,486 $ — $ 2,845,016 $ 1,163 $ 25,628 $ — $ 26,791

(in thousands)

Loans

Allowance

December 31, 2018

Loans

individually

evaluated for

impairment

Loans

collectively

evaluated for

impairment

Loans acquired

with deteriorated

credit quality

Total loans

Loans

individually

evaluated for

impairment

Loans

collectively

evaluated for

impairment

Loans acquired

with deteriorated

credit quality

Total allowance

Commercial and industrial
$ 220 $ 833,304 $ — $ 833,524 $ 28 $ 11,937 $ — $ 11,965

Construction and development, excluding undeveloped land
318 224,732 — 225,050 — 1,760 — 1,760

Undeveloped land
474 29,618 — 30,092 — 752 — 752

Real estate mortgage
1,641 1,409,806 — 1,411,447 14 10,667 — 10,681

Consumer
— 48,058 — 48,058 — 376 — 376

Total
$ 2,653 $ 2,545,518 $ — $ 2,548,171 $ 42 $ 25,492 $ — $ 25,534

The following table’s present loans individually evaluated for impairment by loan portfolio class:

As of

Twelve Months Ended

December 31, 2019

December 31, 2019

Unpaid

Average

Interest

Recorded

principal

Related

recorded

income

(in thousands)

investment

balance

allowance

investment

recognized

Impaired loans with no related allowance:

Commercial and industrial
$ 174 $ 174 $ — $ 166 $ —

Construction and development, excluding undeveloped land
— — — 64 —

Undeveloped land
— — — 95 —

Real estate mortgage

Commercial investment
741 741 — 448 —

Owner occupied commercial
2,278 2,736 — 1,437 —

1-4 family residential
124 124 — 516 —

Home equity - first lien
— — — — —

Home equity - junior lien
151 151 — 293 —

Subtotal: Real estate mortgage
3,294 3,752 — 2,694 —

Consumer
— — — — —

Subtotal
$ 3,468 $ 3,926 $ — $ 3,019 $ —

Impaired loans with an allowance:

Commercial and industrial
$ 8,049 $ 8,049 $ 1,150 $ 1,631 $ —

Construction and development, excluding undeveloped land
— — — — —

Undeveloped land
— — — — —

Real estate mortgage

Commercial investment
— — — — —

Owner occupied commercial
— — — — —

1-4 family residential
13 13 13 13 —

Home equity - first lien
— — — — —

Home equity - junior lien
— — — — —

Subtotal: Real estate mortgage
13 13 13 13 —

Consumer
— — — — —

Subtotal
$ 8,062 $ 8,062 $ 1,163 $ 1,644 $ —

Total:

Commercial and industrial
$ 8,223 $ 8,223 $ 1,150 $ 1,797 $ —

Construction and development, excluding undeveloped land
— — — 64 —

Undeveloped land
— — — 95 —

Real estate mortgage

Commercial investment
741 741 — 448 —

Owner occupied commercial
2,278 2,736 — 1,437 —

1-4 family residential
137 137 13 529 —

Home equity - first lien
— — — — —

Home equity - junior lien
151 151 — 293 —

Subtotal: Real estate mortgage
3,307 3,765 13 2,707 —

Consumer
— — — — —

Total impaired loans
$ 11,530 $ 11,988 $ 1,163 $ 4,663 $ —

As of

Twelve Months Ended

December 31, 2018

December 31, 2018

Unpaid

Average

Interest

Recorded

principal

Related

recorded

income

(in thousands)

investment

balance

allowance

investment

recognized

Impaired loans with no related allowance:

Commercial and industrial
$ 192 $ 707 $ — $ 161 $ —

Construction and development, excluding undeveloped land
318 489 — 437 —

Undeveloped land
474 506 — 474 —

Real estate mortgage

Commercial investment
138 138 — 35 —

Owner occupied commercial
586 1,023 — 1,503 —

1-4 family residential
760 760 — 1,242 —

Home equity - first lien
— — — — —

Home equity - junior lien
143 143 — 73 —

Subtotal: Real estate mortgage
1,627 2,064 — 2,853 —

Consumer
— — — 23 —

Subtotal
$ 2,611 $ 3,766 $ — $ 3,948 $ —

Impaired loans with an allowance:

Commercial and industrial
$ 28 $ 28 $ 28 $ 1,851 $ 2

Construction and development, excluding undeveloped land
— — — — —

Undeveloped land
— — — 24 —

Real estate mortgage

Commercial investment
— — — — —

Owner occupied commercial
— — — 897 —

1-4 family residential
14 14 14 14 1

Home equity - first lien
— — — — —

Home equity - junior lien
— — — — —

Subtotal: Real estate mortgage
14 14 14 911 1

Consumer
— — — — —

Subtotal
$ 42 $ 42 $ 42 $ 2,786 $ 3

Total:

Commercial and industrial
$ 220 $ 735 $ 28 $ 2,012 $ 2

Construction and development, excluding undeveloped land
318 489 — 437 —

Undeveloped land
474 506 — 498 —

Real estate mortgage

Commercial investment
138 138 — 35 —

Owner occupied commercial
586 1,023 — 2,400 —

1-4 family residential
774 774 14 1,256 1

Home equity - first lien
— — — — —

Home equity - junior lien
143 143 — 73 —

Subtotal: Real estate mortgage
1,641 2,078 14 3,764 1

Consumer
— — — 23 —

Total impaired loans
$ 2,653 $ 3,808 $ 42 $ 6,734 $ 3

As of

Twelve Months Ended

December 31, 2017

December 31, 2017

Unpaid

Average

Interest

Recorded

principal

Related

recorded

income

(in thousands)

investment

balance

allowance

investment

recognized

Impaired loans with no related allowance:

Commercial and industrial
$ 1,142 $ 2,202 $ — $ 411 $ —

Construction and development, excluding undeveloped land
664 834 — 559 —

Undeveloped land
474 506 — 425 —

Real estate mortgage

Commercial investment
52 53 — 110 —

Owner occupied commercial
3,332 3,789 — 1,678 —

1-4 family residential
1,637 1,657 — 935 —

Home equity - first lien
— — — — —

Home equity - junior lien
31 31 — 186 —

Subtotal: Real estate mortgage
5,052 5,530 — 2,909 —

Consumer
— — — — —

Subtotal
$ 7,332 $ 9,072 $ — $ 4,304 $ —

Impaired loans with an allowance:

Commercial and industrial
$ 34 $ 34 $ 34 $ 1,882 $ 78

Construction and development, excluding undeveloped land
— — — — —

Undeveloped land
— — — 48 —

Real estate mortgage

Commercial investment
— — — — —

Owner occupied commercial
— — — — —

1-4 family residential
14 14 14 5 —

Home equity - first lien
— — — — —

Home equity - junior lien
— — — — —

Subtotal: Real estate mortgage
14 14 14 5 —

Consumer
— — — 46 —

Subtotal
$ 48 $ 48 $ 48 $ 1,981 $ 78

Total:

Commercial and industrial
$ 1,176 $ 2,236 $ 34 $ 2,293 $ 78

Construction and development, excluding undeveloped land
664 834 — 559 —

Undeveloped land
474 506 — 473 —

Real estate mortgage

Commercial investment
52 53 — 110 —

Owner occupied commercial
3,332 3,789 — 1,678 —

1-4 family residential
1,651 1,671 14 940 —

Home equity - first lien
— — — — —

Home equity - junior lien
31 31 — 186 —

Subtotal: Real estate mortgage
5,066 5,544 14 2,914 —

Consumer
— — — 46 —

Total impaired loans
$ 7,380 $ 9,120 $ 48 $ 6,285 $ 78

Differences between recorded investment amounts and unpaid principal balance amounts less related allowance are due to partial charge-offs which have occurred over the lives of certain loans.

Interest paid on impaired or non-accrual loans that was used to reduce principal was $552,000, $93,000 and $338,000 in 2019, 2018 and 2017. Interest income that would have been recorded if non-accrual loans were on a current basis in accordance with their original terms was $491,000, $391,000 and $159,000 in 2019, 2018 and 2017. No interest income was recognized on a cash basis in 2019, 2018, or 2017.

The following table presents the aging of the recorded investment in loans by portfolio class:

90 or More

Days Past Due

(in thousands)

30-59 Days

60-89 days

(includes all

Total

Total

December 31, 2019

Current

Past Due

Past Due

non-accrual)

Past Due

Loans

Commercial and industrial
$ 861,860 $ 253 $ 194 $ 8,204 $ 8,651 $ 870,511

Construction and development, excluding undeveloped land
213,766 6 50 — 56 213,822

Undeveloped land
46,360 — — — — 46,360

Real estate mortgage:

Commercial investment
735,387 94 — 1,137 1,231 736,618

Owner occupied commercial
470,951 467 86 2,279 2,832 473,783

1-4 family residential
332,718 1,368 33 239 1,640 334,358

Home equity - first lien
48,441 179 — — 179 48,620

Home equity - junior lien
72,995 196 100 186 482 73,477

Subtotal: Real estate mortgage
1,660,492 2,304 219 3,841 6,364 1,666,856

Consumer
47,379 84 4 — 88 47,467

Total
$ 2,829,857 $ 2,647 $ 467 $ 12,045 $ 15,159 $ 2,845,016

90 or More

Days Past Due

(in thousands)

30-59 Days

60-89 days

(includes all

Total

Total

December 31, 2018

Current

Past Due

Past Due

non-accrual)

Past Due

Loans

Commercial and industrial
$ 832,923 $ 197 $ 200 $ 204 $ 601 $ 833,524

Construction and development, excluding undeveloped land
224,732 — — 318 318 225,050

Undeveloped land
29,552 66 — 474 540 30,092

Real estate mortgage:

Commercial investment
586,884 1,382 107 237 1,726 588,610

Owner occupied commercial
421,143 2,732 1,377 1,121 5,230 426,373

1-4 family residential
274,547 374 336 760 1,470 276,017

Home equity - first lien
49,321 179 — — 179 49,500

Home equity - junior lien
70,467 182 56 242 480 70,947

Subtotal: Real estate mortgage
1,402,362 4,849 1,876 2,360 9,085 1,411,447

Consumer
48,058 — — — — 48,058

Total
$ 2,537,627 $ 5,112 $ 2,076 $ 3,356 $ 10,544 $ 2,548,171