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Loans (Tables)
 6 Months Ended 9 Months Ended
Jun. 30, 2020
Sep. 30, 2020
Receivables [Abstract]    
Schedule of Loans by Class
The following table presents loans by segment as of the dates indicated:
September 30,
2020		December 31,
2019
Real estate loans:  
Commercial$3,690.9 $3,487.8 
Construction loans:
Land acquisition & development274.8 302.1 
Residential227.9 244.1 
Commercial530.8 431.5 
Total construction loans1,033.5 977.7 
Residential1,311.2 1,246.1 
Agricultural227.7 226.6 
Total real estate loans6,263.3 5,938.2 
Consumer loans:
Indirect812.8 784.6 
Direct and advance lines162.1 179.0 
Credit card69.9 81.6 
Total consumer loans1,044.8 1,045.2 
Commercial2,599.6 1,673.7 
Agricultural274.7 279.1 
Other, including overdrafts4.2 — 
Loans held for investment10,186.6 8,936.2 
Deferred loan fees and costs(34.4)(5.5)
Loans held for investment, net of deferred fees and costs10,152.2 8,930.7 
Allowance for credit losses(145.5)(73.0)
Net loans held for investment$10,006.7 $8,857.7 
  
Schedule of Allowance for Loan Losses by Portfolio Segment
The following tables represent, by loan portfolio segment, the activity in the allowance for credit losses for loans held for investment:
Three Months Ended September 30, 2020Beginning BalanceProvision for Credit Loss ExpenseLoans Charged-OffRecoveries CollectedEnding Balance
Allowance for credit losses (1)
Real estate: 
Commercial real estate:
Non-owner occupied$23.6 $1.5 $— $0.1 $25.2 
Owner occupied19.1 0.1 (0.2)0.1 19.1 
Multi-family8.5 2.3 — — 10.8 
Total commercial real estate51.2 3.9 (0.2)0.2 55.1 
Construction:
Land acquisition & development1.5 (0.5)— 0.2 1.2 
Residential construction1.3 0.3 — — 1.6 
Commercial construction6.3 0.8 — — 7.1 
Total construction9.1 0.6 — 0.2 9.9 
Residential real estate:
Residential 1-4 family10.3 (1.1)— — 9.2 
Home equity and HELOC1.5 — — — 1.5 
Total residential real estate11.8 (1.1)— — 10.7 
Agricultural real estate3.1 (0.2)— — 2.9 
Total real estate75.2 3.2 (0.2)0.4 78.6 
Consumer:
Indirect16.4 0.7 (0.8)0.7 17.0 
Direct and advance lines5.1 0.6 (1.1)0.2 4.8 
Credit card2.0 0.6 (0.6)0.2 2.2 
Total consumer23.5 1.9 (2.5)1.1 24.0 
Commercial:
Commercial and floor plans41.0 (1.2)(3.3)0.2 36.7 
Commercial purpose secured by 1-4 family5.1 (0.2)— 0.1 5.0 
Credit card0.4 0.3 (0.4)— 0.3 
Total commercial46.5 (1.1)(3.7)0.3 42.0 
Agricultural:
Agricultural0.9 — — — 0.9 
Total agricultural0.9 — — — 0.9 
Total allowance for credit losses$146.1 $4.0 $(6.4)$1.8 $145.5 
(1) Amounts presented are exclusive of the allowance for credit losses related to unfunded commitments which are included in “Note 12 - Financial Instruments with Off-Balance Sheet Risk” included in this report.
Nine Months Ended September 30, 2020Beginning BalanceInitial Impact of Adopting ASC 326Provision for Credit Loss ExpenseLoans Charged-OffRecoveries CollectedEnding Balance
Allowance for credit losses (1)
Real estate:  
Commercial real estate:
Non-owner occupied$8.8 $4.9 $11.4 $— $0.1 $25.2 
Owner occupied10.0 3.5 5.7 (0.3)0.2 19.1 
Multi-family0.7 6.9 3.2 — — 10.8 
Total commercial real estate19.5 15.3 20.3 (0.3)0.3 55.1 
Construction:
Land acquisition & development1.9 (0.1)(0.3)(0.5)0.2 1.2 
Residential construction1.5 (0.9)1.0 — — 1.6 
Commercial construction2.7 1.3 3.1 — — 7.1 
Total construction6.1 0.3 3.8 (0.5)0.2 9.9 
Residential real estate:
Residential 1-4 family1.8 10.6 (3.3)— 0.1 9.2 
Home equity and HELOC1.0 0.5 (0.1)— 0.1 1.5 
Total residential real estate2.8 11.1 (3.4)— 0.2 10.7 
Agricultural real estate0.5 1.8 0.6 — — 2.9 
Total real estate28.9 28.5 21.3 (0.8)0.7 78.6 
Consumer:
Indirect4.5 8.8 5.1 (3.2)1.8 17.0 
Direct and advance lines2.9 3.0 1.3 (3.1)0.7 4.8 
Credit card2.5 0.3 1.0 (2.2)0.6 2.2 
Total consumer9.9 12.1 7.4 (8.5)3.1 24.0 
Commercial:
Commercial and floor plans25.5 (5.1)20.0 (4.7)1.0 36.7 
Commercial purpose secured by 1-4 family5.9 (3.8)2.8 (0.1)0.2 5.0 
Credit card1.2 (1.1)1.0 (0.9)0.1 0.3 
Total commercial32.6 (10.0)23.8 (5.7)1.3 42.0 
Agricultural:
Agricultural1.6 (0.6)— (0.1)— 0.9 
Total agricultural1.6 (0.6)— (0.1)— 0.9 
Total allowance for credit losses$73.0 $30.0 $52.5 $(15.1)$5.1 $145.5 
(1) Amounts presented are exclusive of the allowance for credit losses related to unfunded commitments which are included in “Note 12 - Financial Instruments with Off-Balance Sheet Risk” included in this report.
The following tables represent activity in the allowance for credit losses for loans held for investment under historical GAAP:
Three Months Ended September 30, 2019Beginning BalanceProvision for Credit Loss ExpenseLoans Charged-OffRecoveries CollectedEnding Balance
Allowance for credit losses
Real estate$27.7 $0.4 $(0.3)$0.8 $28.6 
Consumer9.1 2.7 (2.8)0.8 9.8 
Commercial35.7 (0.4)(1.6)1.3 35.0 
Agricultural1.7 (0.1)— — 1.6 
Total allowance for credit losses$74.2 $2.6 $(4.7)$2.9 $75.0 
  
Schedule of Recorded Investment in Impaired Loans The following tables present the amortized cost basis of collateral-dependent loans by class of loans as of September 30, 2020. The comparable period is not presented because the collateral-dependent loans classification did not exist under prior GAAP. Under historical guidance, the recorded investment of impaired loans and the related specific reserve was $64.7 million and $3.6 million, respectively, as of December 31, 2019.
Collateral Type
As of September 30, 2020Business AssetsReal PropertyOtherTotal
Real estate$0.2 $0.5 $— $0.7 
Commercial9.8 5.0 0.4 15.2 
Agricultural— 0.1 — 0.1 
Total collateral-dependent$10.0 $5.6 $0.4 $16.0 
  
Schedule of Recorded Investment in Past Due Loans by Class  
Loans are considered past due if the required principal and interest payments have not been received as of the date such payments were due. Loans classified in the following table as greater than 90 days past due are still accruing interest. The following tables present the contractual aging of the Company’s recorded amortized cost basis in loans by portfolio as of the dates indicated.
Total Loans
30 - 5960 - 89> 9030 or More
DaysDaysDaysDaysCurrentNon-accrualTotal
As of September 30, 2020Past DuePast DuePast DuePast DueLoans
Loans (1)
Loans
Real estate
Commercial$5.6 $0.6 $3.6 $9.8 $3,671.2 $9.9 $3,690.9 
Construction:
Land acquisition & development1.4 0.6 0.5 2.5 271.7 0.6 274.8 
Residential0.4 0.2 1.5 2.1 225.8 — 227.9 
Commercial0.1 — — 0.1 530.2 0.5 530.8 
Total construction loans1.9 0.8 2.0 4.7 1,027.7 1.1 1,033.5 
Residential1.7 2.3 0.2 4.2 1,302.4 4.6 1,311.2 
Agricultural— 0.1 — 0.1 220.0 7.6 227.7 
Total real estate loans9.2 3.8 5.8 18.8 6,221.3 23.2 6,263.3 
Consumer:
Indirect consumer4.0 1.6 0.1 5.7 805.3 1.8 812.8 
Other consumer0.5 0.2 0.1 0.8 160.8 0.5 162.1 
Credit card0.7 0.3 0.6 1.6 68.3 — 69.9 
Total consumer loans5.2 2.1 0.8 8.1 1,034.4 2.3 1,044.8 
Commercial5.6 8.2 2.1 15.9 2,567.5 16.2 2,599.6 
Agricultural1.8 0.2 0.9 2.9 268.7 3.1 274.7 
Other, including overdrafts— — — — 4.2 — 4.2 
Loans held for investment$21.8 $14.3 $9.6 $45.7 $10,096.1 $44.8 $10,186.6 

Total Loans
30 - 5960 - 89> 9030 or More
DaysDaysDaysDaysCurrentNon-accrualTotal
As of December 31, 2019Past DuePast DuePast DuePast DueLoans
Loans (1)
Loans
Real estate
Commercial$5.5 $1.1 $0.6 $7.2 $3,467.6 $13.0 $3,487.8 
Construction:
Land acquisition & development0.7 0.8 0.3 1.8 298.9 1.4 302.1 
Residential1.5 0.8 — 2.3 241.8 — 244.1 
Commercial— — — — 431.0 0.5 431.5 
Total construction loans2.2 1.6 0.3 4.1 971.7 1.9 977.7 
Residential3.8 1.4 1.1 6.3 1,235.2 4.6 1,246.1 
Agricultural0.8 0.5 — 1.3 220.1 5.2 226.6 
Total real estate loans12.3 4.6 2.0 18.9 5,894.6 24.7 5,938.2 
Consumer:
Indirect consumer7.6 1.9 0.5 10.0 773.0 1.6 784.6 
Other consumer1.2 0.5 0.1 1.8 176.7 0.5 179.0 
Credit card0.8 0.5 0.8 2.1 79.5 — 81.6 
Total consumer loans9.6 2.9 1.4 13.9 1,029.2 2.1 1,045.2 
Commercial4.8 2.6 2.3 9.7 1,650.3 13.7 1,673.7 
Agricultural0.9 0.1 — 1.0 275.7 2.4 279.1 
Other, including overdrafts— — — — — — — 
Loans held for investment$27.6 $10.2 $5.7 $43.5 $8,849.8 $42.9 $8,936.2 
(1) As of September 30, 2020 and December 31, 2019, none of our non-accrual loans were earning interest income. Additionally, no material interest income was recognized on non-accrual loans during the three and nine months ended September 30, 2020 and 2019, respectively. No material and $0.3 million of accrued interest was reversed during the three and nine months ended September 30, 2020.
Schedule of Acquired Loans with Credit Impairment
Information regarding IIBK loans acquired deemed credit impaired as of the April 8, 2019 acquisition date are as follows:
Contractually required principal and interest payments $24.1 
Contractual cash flows not expected to be collected (“non-accretable discount”)3.9 
Cash flows expected to be collected20.2 
Interest component of cash flows expected to be collected (“accretable discount”)3.4 
Fair value of acquired credit-impaired loans$16.8 
  
Schedule of Recorded Investment in Criticized Loans by Class and Credit Quality Indicator
The Company evaluates the credit quality and loan performance for the allowance for credit loan losses of the following segments based on the aforementioned risk scale:
September 30, 2020
Term Loans Amortized Cost Basis by Origination Year
Risk by Collateral20202019201820172016PriorRevolving Loans Amortized Cost BasisTotal
Commercial real estate non-owner occupied:
Pass$397.3 $299.3 $213.8 $108.8 $159.0 $368.2 $12.8 $1,559.2 
Special mention— 3.1 0.9 0.1 0.7 17.6 — 22.4 
Substandard15.9 2.8 0.9 4.1 1.1 14.8 — 39.6 
Doubtful— — 0.2 — — — — 0.2 
Total$413.2 $305.2 $215.8 $113.0 $160.8 $400.6 $12.8 $1,621.4 
Commercial real estate owner occupied:
Pass$325.0 $324.4 $220.9 $131.4 $166.3 $407.1 $13.9 $1,589.0 
Special mention7.3 8.7 7.8 3.1 15.4 14.6 0.2 57.1 
Substandard6.7 6.6 12.4 5.2 18.5 13.6 0.5 63.5 
Doubtful0.2 — — 0.1 — 0.1 — 0.4 
Total$339.2 $339.7 $241.1 $139.8 $200.2 $435.4 $14.6 $1,710.0 
Commercial multi-family:
Pass$106.0 $63.0 $29.2 $42.4 $26.1 $90.8 $1.9 $359.4 
Special mention— — — — — — — — 
Substandard— — — — — 0.1 — 0.1 
Doubtful— — — — — — — — 
Total$106.0 $63.0 $29.2 $42.4 $26.1 $90.9 $1.9 $359.5 
Land, acquisition and development:
Pass$81.0 $71.0 $40.4 $33.0 $9.4 $28.5 $6.1 $269.4 
Special mention0.4 0.1 — 1.0 — 1.2 0.3 3.0 
Substandard0.4 — 1.2 0.1 — 0.2 0.4 2.3 
Doubtful— — — — — 0.1 — 0.1 
Total$81.8 $71.1 $41.6 $34.1 $9.4 $30.0 $6.8 $274.8 
Residential construction:
Pass$65.1 $73.3 $14.9 $5.6 $0.3 $0.1 $66.8 $226.1 
Special mention— — — — — — — — 
Substandard0.6 — 1.2 — — — — 1.8 
Doubtful— — — — — — — — 
Total$65.7 $73.3 $16.1 $5.6 $0.3 $0.1 $66.8 $227.9 
Commercial construction:
Pass$188.4 $223.3 $84.2 $12.0 $9.7 $0.3 $8.7 $526.6 
Special mention— 1.4 1.5 — — — — 2.9 
Substandard— 0.8 — — — 0.1 — 0.9 
Doubtful— — 0.4 — — — — 0.4 
Total$188.4 $225.5 $86.1 $12.0 $9.7 $0.4 $8.7 $530.8 
Agricultural real estate:
Pass$35.7 $46.6 $31.2 $18.1 $14.3 $30.2 $6.4 $182.5 
Special mention3.4 7.6 1.2 1.6 0.9 3.9 0.9 19.5 
Substandard0.1 8.3 3.5 1.1 3.5 5.4 1.8 23.7 
Doubtful— 2.0 — — — — — 2.0 
Total$39.2 $64.5 $35.9 $20.8 $18.7 $39.5 $9.1 $227.7 
September 30, 2020
Term Loans Amortized Cost Basis by Origination Year
Risk by Collateral20202019201820172016PriorRevolving Loans Amortized Cost BasisTotal
Commercial and floor plans:
Pass$1,385.9 $173.4 $150.5 $86.3 $48.8 $100.3 $236.6 $2,181.8 
Special mention8.9 1.2 2.0 7.3 4.2 0.6 2.9 27.1 
Substandard6.0 4.6 4.5 0.5 4.5 2.5 11.9 34.5 
Doubtful2.2 3.7 0.1 — 0.1 2.6 0.1 8.8 
Total$1,403.0 $182.9 $157.1 $94.1 $57.6 $106.0 $251.5 $2,252.2 
Commercial purpose secured by 1-4 family:
Pass$60.3 $62.9 $38.4 $23.8 $16.7 $42.4 $19.5 $264.0 
Special mention0.3 0.6 0.3 0.3 0.6 0.9 0.4 3.4 
Substandard2.4 1.1 4.4 0.3 1.4 1.4 0.1 11.1 
Doubtful— — 0.1 — — — — 0.1 
Total$63.0 $64.6 $43.2 $24.4 $18.7 $44.7 $20.0 $278.6 
Agricultural:
Pass$39.5 $26.5 $14.2 $5.7 $3.9 $1.4 $140.9 $232.1 
Special mention2.6 0.6 0.5 0.1 0.1 0.4 13.8 18.1 
Substandard6.4 1.9 4.3 1.4 0.1 0.4 8.2 22.7 
Doubtful— 0.1 — 0.1 — — — 0.2 
Total$48.5 $29.1 $19.0 $7.3 $4.1 $2.2 $162.9 $273.1 
The following tables present the recorded investment of our other loan portfolios based on the credit risk profile of loans that are performing and loans that are nonperforming as of the periods indicated:
September 30, 2020
Term Loans Amortized Cost Basis by Origination Year
Risk by Collateral20202019201820172016PriorRevolving Loans Amortized Cost BasisTotal
Residential 1-4 family:
Performing$311.1 $119.8 $71.4 $57.9 $76.9 $270.2 $— $907.3 
Nonperforming— 0.7 0.2 — — 0.9 — 1.8 
Total$311.1 $120.5 $71.6 $57.9 $76.9 $271.1 $— $909.1 
Consumer home equity and HELOC:
Performing$10.2 $8.3 $9.6 $10.7 $5.3 $16.7 $340.7 $401.5 
Nonperforming0.1 — — 0.1 — 0.4 — 0.6 
Total$10.3 $8.3 $9.6 $10.8 $5.3 $17.1 $340.7 $402.1 
Consumer indirect:
Performing$273.8 $212.9 $134.0 $85.9 $56.8 $48.9 $— $812.3 
Nonperforming— 0.2 0.1 — 0.1 0.1 — 0.5 
Total$273.8 $213.1 $134.1 $85.9 $56.9 $49.0 $— $812.8 
Consumer direct and advance line:
Performing$40.6 $34.1 $33.9 $14.1 $6.5 $9.8 $22.9 $161.9 
Nonperforming— — 0.1 0.1 — — — 0.2 
Total$40.6 $34.1 $34.0 $14.2 $6.5 $9.8 $22.9 $162.1 
The following table presents the recorded investment in credit card loans based on payment activity:
As of September 30, 2020ConsumerCommercialAgriculturalTotal
Credit Card:
Performing$69.3 $68.5 $1.5 $139.3 
Nonperforming0.6 0.3 0.1 1.0 
Total$69.9 $68.8 $1.6 $140.3 
The following presents the recorded investment in the Company’s loans by risk grades and loan class as of the date shown below:
As of December 31, 2019PassOther Assets
Especially
Mentioned		SubstandardDoubtfulTotal
Criticized
Loans		Total Loans
Real estate:    
Commercial$3,305.0 $84.7 $97.3 $0.8 $182.8 $3,487.8 
Construction:
Land acquisition & development295.4 3.8 1.9 1.0 6.7 302.1 
Residential241.0 0.9 2.2 — 3.1 244.1 
Commercial428.3 1.7 1.5 — 3.2 431.5 
Total construction loans964.7 6.4 5.6 1.0 13.0 977.7 
Residential1,235.4 2.6 7.8 0.3 10.7 1,246.1 
Agricultural185.7 14.3 26.6 — 40.9 226.6 
Total real estate loans5,690.8 108.0 137.3 2.1 247.4 5,938.2 
Consumer:
Indirect consumer781.5 0.2 2.9 — 3.1 784.6 
Direct consumer177.7 0.4 0.8 0.1 1.3 179.0 
Credit card81.6 — — — — 81.6 
Total consumer loans1,040.8 0.6 3.7 0.1 4.4 1,045.2 
Commercial1,569.4 40.4 60.3 3.6 104.3 1,673.7 
Agricultural247.8 8.5 22.7 0.1 31.3 279.1 
Total$8,548.8 $157.5 $224.0 $5.9 $387.4 $8,936.2