Loans Held for Investment (Tables)

12 Months Ended

Dec. 31, 2024

The following table presents loans by class of receivable and portfolio segment as of the dates indicated:


	2024		2023
Real estate:
Commercial	$	9,263.2	$	8,869.2
Construction	1,244.6		1,826.5
Residential	2,191.6		2,244.3
Agricultural	701.1		716.8
Total real estate	13,400.5		13,656.8
Consumer:
Indirect	725.0		740.9
Direct and advance lines	134.0		141.6
Credit card	77.6		76.5
Total consumer	936.6		959.0
Commercial	2,829.4		2,906.8
Agricultural	687.9		769.4
Other, including overdrafts	1.6		0.1
Loans held for investment	17,856.0		18,292.1
Deferred loan fees and costs	(11.1)		(12.5)
Loans held for investment, net of deferred fees and costs	17,844.9		18,279.6
Allowance for credit losses	(204.1)		(227.7)
Net loans held for investment	$	17,640.8	$	18,051.9

Schedule of Allowance for Loan Losses by Portfolio Segment

The following tables represent, by loan portfolio segments, the activity in the ACL for loans held for investment:


December 31, 2024	Beginning Balance		Provision for Credit Losses		Loans Charged-Off(2)		Recoveries Collected		Ending Balance
Allowance for credit losses (1)
















Real estate	$	160.1	$	17.7	$	(39.6)	$	1.2	$	139.4




Consumer	13.0		14.3		(15.4)		4.9		16.8




Commercial	50.2		44.3		(59.4)		3.8		38.9



Agricultural	4.4		4.6		(0.3)		0.3		9.0
Total allowance for credit losses	$	227.7	$	80.9	$	(114.7)	$	10.2	$	204.1


December 31, 2023	Beginning Balance		Provision for (reversal of) Credit Loss		Loans Charged-Off(2)		Recoveries Collected		Ending Balance
Allowance for credit losses (1)
















Real estate	138.7		35.2		(18.5)		4.7		160.1




Consumer	23.3		(1.0)		(14.0)		4.7		13.0




Commercial	54.9		(3.9)		(3.4)		2.6		50.2



Agricultural	3.2		0.8		—		0.4		4.4
Total allowance for credit losses	$	220.1	$	31.1	$	(35.9)	$	12.4	$	227.7


December 31, 2022	Beginning Balance		ACL Recorded for PCD Loans		Provision for (reversal of) Credit Loss		Loans Charged-Off(2)		Recoveries Collected		Ending Balance
Allowance for credit losses (1)
Real estate:
Commercial real estate:
Non-owner occupied	$	17.3	$	17.2	$	(4.2)	$	(3.5)	$	0.4	$	27.2
Owner occupied	13.3		9.5		(2.7)		(2.5)		1.9		19.5
Multi-family	13.3		10.9		8.7		(5.7)		0.7		27.9
Total commercial real estate	43.9		37.6		1.8		(11.7)		3.0		74.6
Construction:
Land acquisition & development	0.5		3.4		(0.4)		(2.6)		0.4		1.3
Residential construction	2.4		—		1.1		—		0.1		3.6
Commercial construction	6.0		0.2		31.6		(6.6)		—		31.2
Total construction	8.9		3.6		32.3		(9.2)		0.5		36.1
Residential real estate:
Residential 1-4 family	13.4		0.1		6.9		(0.2)		0.3		20.5
Home equity and HELOC	1.2		—		—		(0.1)		0.5		1.6
Total residential real estate	14.6		0.1		6.9		(0.3)		0.8		22.1
Agricultural real estate	1.9		2.3		1.5		(0.2)		0.4		5.9
Total real estate	69.3		43.6		42.5		(21.4)		4.7		138.7
Consumer:
Indirect	14.3		—		2.7		(4.0)		2.3		15.3
Direct and advance lines	4.6		—		2.2		(3.7)		2.1		5.2
Credit card	2.2		—		2.4		(2.4)		0.6		2.8
Total consumer	21.1		—		7.3		(10.1)		5.0		23.3
Commercial:
Commercial and floor plans	27.1		11.2		15.1		(6.6)		2.2		49.0
Commercial purpose secured by 1-4 family	4.4		0.2		1.2		(0.2)		0.1		5.7
Credit card	0.1		—		1.4		(1.3)		—		0.2
Total commercial	31.6		11.4		17.7		(8.1)		2.3		54.9
Agricultural:
Agricultural	0.3		4.5		0.9		(5.4)		2.9		3.2

Total agricultural	0.3		4.5		0.9		(5.4)		2.9		3.2
Total allowance for credit losses	$	122.3	$	59.5	$	68.4	$	(45.0)	$	14.9	$	220.1
(1) Amounts presented exclude the ACL related to unfunded commitments and investment securities. The allowance for credit losses related to unfunded commitments and investment securities are included in the “Financial Instruments with Off-Balance Sheet Risk” Note and “Investment Securities” Note, respectively.
(2) Loans, or portions thereof, are charged-off against the ACL when management believes the collectability of the principal is unlikely, or, with respect to consumer installment loans, according to an established delinquency schedule.

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 30 days or more past the contractual payment due date. Loans classified in the following table as 90 days or more past due continue to accrue interest. The following tables present the contractual aging of the Company’s recorded principal balance of loans by class of receivable as of the dates indicated:



	30 - 59		60 - 89		90 or more
	Days		Days		Days		Total Loans		Current		Non-accrual		Total
As of December 31, 2024	Past Due		Past Due		Past Due		Past Due		Loans		Loans(1)(2)(3)		Loans
Real estate:
Commercial	$	4.9	$	2.8	$	—	$	7.7	$	9,200.1	$	55.4	$	9,263.2




Construction	3.7		—		—		3.7		1,237.6		3.3		1,244.6
Residential	6.6		2.7		0.4		9.7		2,166.5		15.4		2,191.6
Agricultural	7.6		2.8		—		10.4		685.4		5.3		701.1
Total real estate	22.8		8.3		0.4		31.5		13,289.6		79.4		13,400.5
Consumer:
Indirect	8.4		2.6		0.7		11.7		709.4		3.9		725.0
Direct and advance lines	0.6		0.2		0.3		1.1		132.3		0.6		134.0
Credit card	0.7		0.5		1.0		2.2		75.4		—		77.6
Total consumer	9.7		3.3		2.0		15.0		917.1		4.5		936.6
Commercial	11.2		3.0		0.6		14.8		2,781.1		33.5		2,829.4
Agricultural	2.4		2.8		—		5.2		661.8		20.9		687.9
Other, including overdrafts	—		—		—		—		1.6		—		1.6
Loans held for investment	$	46.1	$	17.4	$	3.0	$	66.5	$	17,651.2	$	138.3	$	17,856.0



	30 - 59		60 - 89		90 or more
	Days		Days		Days		Total Loans		Current		Non-accrual		Total
As of December 31, 2023	Past Due		Past Due		Past Due		Past Due		Loans		Loans(1)(2)(3)		Loans
Real estate:
Commercial	$	12.7	$	6.1	$	—	$	18.8	$	8,822.2	$	28.2	$	8,869.2




Construction	3.1		0.4		—		3.5		1,805.8		17.2		1,826.5
Residential	11.9		3.1		0.6		15.6		2,218.0		10.7		2,244.3
Agricultural	1.8		—		—		1.8		709.6		5.4		716.8
Total real estate	29.5		9.6		0.6		39.7		13,555.6		61.5		13,656.8
Consumer:
Indirect	8.0		2.2		0.4		10.6		727.6		2.7		740.9
Direct and advance lines	0.9		0.2		—		1.1		140.2		0.3		141.6
Credit card	0.7		0.5		0.6		1.8		74.7		—		76.5
Total consumer	9.6		2.9		1.0		13.5		942.5		3.0		959.0
Commercial	14.5		1.1		0.3		15.9		2,879.4		11.5		2,906.8
Agricultural	0.1		—		3.0		3.1		735.9		30.4		769.4
Other, including overdrafts	—		—		—		—		0.1		—		0.1
Loans held for investment	$	53.7	$	13.6	$	4.9	$	72.2	$	18,113.5	$	106.4	$	18,292.1

(1) As of December 31, 2024 and 2023, none of our non-accrual loans were earning interest income. Additionally, $5.5 million and no material interest income was recognized on non-accrual loans at December 31, 2024 and 2023, respectively. There were $4.1 million and $2.7 million in reversals of accrued interest at December 31, 2024 and 2023, respectively.

(2) As of December 31, 2024 and 2023, there were approximately $56.9 million and $33.3 million, respectively, of non-accrual loans for which there was no related ACL, as these loans had sufficient collateral securing the loan for repayment.

(3) As of December 31, 2024, there were approximately $13.5 million, $6.2 million, and $40.5 million of non-accrual loans that were 30-59 days past due, 60-89 days past due, and 90 days or more past due, respectively. As of December 31, 2023, there were approximately $1.8 million, $16.7 million, and $44.2 million of non-accrual loans that were 30-59 days past due, 60-89 days past due, and 90 days or more past due, respectively.

Financing receivable, Modified


December 31, 2024	Principal Forgiveness		Term Extension		Rate Reduction		Term Extension and Interest Rate Reduction		Total		% of Total Class of Loans Held for Investment (1)
Real estate:
Commercial	$	—	$	26.4	$	—	$	—	$	26.4	0.28	%
Construction	—		1.9		—		—		1.9		0.15
Residential	—		—		—		0.3		0.3		0.01
Agricultural	—		12.0		—		—		12.0		1.71
Total real estate	—		40.3		—		0.3		40.6		0.30
Consumer:
Indirect	—		0.1		—		—		0.1		0.01


Total consumer	—		0.1		—		—		0.1		0.01
Commercial	—		8.9		—		0.6		9.5		0.34
Agricultural	—		20.1		—		—		20.1		2.92

Loans held for investment(2)	$	—	$	69.4	$	—	$	0.9	$	70.3	0.39	%

December 31, 2023
Real estate:
Commercial	$	1.5	$	28.6	$	1.1	$	0.6	$	31.8	0.36	%
Construction	—		13.7		—		—		13.7		0.75
Residential	0.1		0.6		—		—		0.7		0.03
Agricultural	—		6.4		—		—		6.4		0.89
Total real estate	1.6		49.3		1.1		0.6		52.6		0.39
Consumer:
Indirect	—		0.1		—		—		0.1		0.01
Direct and advance lines	—		0.1		—		—		0.1		0.07

Total consumer	—		0.2		—		—		0.2		0.02
Commercial	—		7.4		—		0.2		7.6		0.26
Agricultural	—		36.1		—		—		36.1		4.69

Loans held for investment(2)	$	1.6	$	93.0	$	1.1	$	0.8	$	96.5	0.53	%

(1) Based on the principal balance as of period end, divided by the period end principal balance of the corresponding class of receivables.

(2) As of December 31, 2024 and 2023, the Company excluded $0.2 million and $1.6 million, respectively, in accrued interest from the amortized cost of the identified loans.

The following tables present the financial effect of the loan modifications presented above to borrowers experiencing financial difficulty during the years ended December 31, 2024 and 2023:



						Term Extension and Interest Rate Reduction
December 31, 2024	Principal Forgiveness		Weighted-Average Months of Term Extension	Weighted-Average Interest Rate Reduction		Weighted-Average Months of Term Extension	Weighted-Average Interest Rate Reduction
Real estate:
Commercial	$	—	8.6	—	%	0.0	—	%
Construction	—		4.0	—		0.0	—
Residential	—		0.0	—		31.2	3.43
Agricultural	—		10.4	—		0.0	—
Total real estate	—
Consumer:
Indirect	—		7.0	—		0.0	—


Total consumer	—
Commercial	—		20.2	—		10.0	0.98
Agricultural	—		9.4	—		0.0	—

Loans held for investment (1)	$	—

December 31, 2023
Real estate:
Commercial	$	1.3	5.8	0.35	%	6.0	0.25	%
Construction	—		9.1	—		0.0	—
Residential	0.3		131.6	—		0.0	—
Agricultural	—		4.5	—		0.0	—
Total real estate	1.6
Consumer:
Indirect	—		8.3	—		0.0	—
Direct and advance lines	—		62.1	—		0.0	—

Total consumer	—
Commercial	—		12.2	—		14.6	0.51
Agricultural	—		9.2	—		0.0	—

Loans held for investment (1)	$	1.6

(1) Balances based on loan original contractual terms.

Financing Receivable Repayment Through Operation or Sale of Collateral

The following tables present the principal balance of collateral-dependent loans by class of receivable as of the dates indicated:


	Collateral Type
As of December 31, 2024	Business Assets		Real Property		Other		Total
Real estate:
Commercial	$	—	$	47.3	$	—	$	47.3
Construction	—		3.2		—		3.2
Residential	—		2.7		—		2.7
Agricultural	—		1.8		—		1.8
Total real estate	—		55.0		—		55.0
Commercial	20.3		1.1		0.8		22.2
Agricultural	—		20.3		0.1		20.4
Total collateral-dependent loans	$	20.3	$	76.4	$	0.9	$	97.6

	Collateral Type
As of December 31, 2023	Business Assets		Real Property		Other		Total
Real estate:
Commercial	$	—	$	26.6	$	—	$	26.6
Construction	—		17.0		—		17.0
Residential	—		0.5		—		0.5
Agricultural	—		1.2		—		1.2
Total real estate	—		45.3		—		45.3
Commercial	4.5		1.4		0.7		6.6
Agricultural	0.7		—		—		0.7
Total collateral-dependent loans	$	5.2	$	46.7	$	0.7	$	52.6