Loans (Tables)

3 Months Ended

Mar. 31, 2019

Loans

Summary of major classifications of loans

	March 31,		December 31,
(Dollars in thousands)	2019		2018
Real estate – residential mortgage	$	183,697	$	184,901
Real estate – construction 1		65,588		54,461
Commercial, financial and agricultural 2		459,820		455,935
Equity lines		54,111		55,660
Consumer		12,833		15,009
Consumer finance		299,592		296,154
		1,075,641		1,062,120
Less allowance for loan losses		(33,589)		(34,023)
Loans, net	$	1,042,052	$	1,028,097

¹ Includes the Corporation’s real estate construction lending and consumer real estate lot lending.

² Includes the Corporation’s commercial real estate lending, land acquisition and development lending, builder line lending and commercial business lending.

Schedule of acquired loans

	March 31, 2019						December 31, 2018
	Acquired Loans -		Acquired Loans -				Acquired Loans -		Acquired Loans -
	Purchased		Purchased		Acquired Loans -		Purchased		Purchased		Acquired Loans -
(Dollars in thousands)	Credit Impaired		Performing		Total		Credit Impaired		Performing		Total
Outstanding principal balance	$	9,537	$	37,687	$	47,224	$	9,734	$	38,768	$	48,502
Carrying amount
Real estate – residential mortgage	$	280	$	8,543	$	8,823	$	284	$	8,823	$	9,107
Commercial, financial and agricultural1		1,489		18,110		19,599		1,461		18,982		20,443
Equity lines		90		9,224		9,314		90		9,063		9,153
Consumer		—		5		5		—		6		6
Total acquired loans	$	1,859	$	35,882	$	37,741	$	1,835	$	36,874	$	38,709

¹ Includes acquired loans classified by the Corporation as commercial real estate lending, land acquisition and development lending, builder line lending and commercial business lending.

Summary of change in the accretable yield of PCI loan portfolio

	Three Months Ended March 31,
(Dollars in thousands)	2019		2018
Accretable yield, balance at beginning of period	$	5,987	$	7,304
Accretion		(469)		(977)
Reclassification of nonaccretable difference due to improvement in expected cash flows		256		871
Other changes, net		162		(398)
Accretable yield, balance at end of period	$	5,936	$	6,800

Schedule of loans on nonaccrual status

	March 31,		December 31,
(Dollars in thousands)	2019		2018
Real estate – residential mortgage	$	701	$	594
Commercial, financial and agricultural:
Commercial business lending		29		24
Equity lines		760		883
Consumer		124		—
Consumer finance		520		712
Total loans on nonaccrual status	$	2,134	$	2,213

Schedule of past due status of loans

The past due status of loans as of March 31, 2019 was as follows:

															90+ Days
	30 - 59 Days		60 - 89 Days		90+ Days		Total								Past Due and
(Dollars in thousands)	Past Due		Past Due		Past Due		Past Due		PCI		Current1		Total Loans		Accruing
Real estate – residential mortgage	$	969	$	—	$	136	$	1,105	$	280	$	182,312	$	183,697	$	6
Real estate – construction:
Construction lending		—		—		—		—		—		53,319		53,319		—
Consumer lot lending		—		—		—		—		—		12,269		12,269		—
Commercial, financial and agricultural:
Commercial real estate lending		64		—		315		379		1,489		301,212		303,080		315
Land acquisition and development lending		—		—		—		—		—		45,245		45,245		—
Builder line lending		—		—		—		—		—		29,180		29,180		—
Commercial business lending		45		—		29		74		—		82,241		82,315		—
Equity lines		299		122		619		1,040		90		52,981		54,111		—
Consumer		52		—		—		52		—		12,781		12,833		7
Consumer finance		6,573		870		520		7,963		—		291,629		299,592		—
Total	$	8,002	$	992	$	1,619	$	10,613	$	1,859	$	1,063,169	$	1,075,641	$	328

¹ For the purposes of the table above, “Current” includes loans that are 1-29 days past due.

The table above includes nonaccrual loans that are current of $616,000, 30-59 days past due of $90,000, 60-89 days past due of $122,000 and 90+ days past due of $1.31 million.

The past due status of loans as of December 31, 2018 was as follows:

															90+ Days
	30 - 59 Days		60 - 89 Days		90+ Days		Total								Past Due and
(Dollars in thousands)	Past Due		Past Due		Past Due		Past Due		PCI		Current1		Total Loans		Accruing
Real estate – residential mortgage	$	1,221	$	—	$	37	$	1,258	$	284	$	183,359	$	184,901	$	9
Real estate – construction:
Construction lending		—		—		—		—		—		42,051		42,051		—
Consumer lot lending		—		—		—		—		—		12,410		12,410		—
Commercial, financial and agricultural:
Commercial real estate lending		—		—		315		315		1,461		309,057		310,833		315
Land acquisition and development lending		—		—		—		—		—		43,404		43,404		—
Builder line lending		—		—		—		—		—		31,201		31,201		—
Commercial business lending		163		19		24		206		—		70,291		70,497		—
Equity lines		46		584		325		955		90		54,615		55,660		—
Consumer		31		—		—		31		—		14,978		15,009		—
Consumer finance		11,419		1,965		712		14,096		—		282,058		296,154		—
Total	$	12,880	$	2,568	$	1,413	$	16,861	$	1,835	$	1,043,424	$	1,062,120	$	324

¹ For the purposes of the table above, “Current” includes loans that are 1-29 days past due.

The table above includes nonaccrual loans that are current of $458,000, 30-59 days past due of $97,000, 60‑89 days past due of $560,000 and 90+ days past due of $1.10 million.

Schedule of impaired loans

Impaired loans, which included TDRs of $4.68 million, and the related allowance at March 31, 2019 were as follows:

			Recorded		Recorded
			Investment		Investment				Average
	Unpaid		in Loans		in Loans				Balance-		Interest
	Principal		without		with		Related		Impaired		Income
(Dollars in thousands)	Balance		Specific Reserve		Specific Reserve		Allowance		Loans		Recognized
Real estate – residential mortgage	$	3,134	$	1,273	$	1,760	$	127	$	3,099	$	35
Commercial, financial and agricultural:
Commercial real estate lending		1,752		3		1,710		69		1,768		23
Builder line lending		437		437		—		—		437		7
Equity lines		225		30		187		187		217		—
Consumer		131		—		128		124		129		—
Total	$	5,679	$	1,743	$	3,785	$	507	$	5,650	$	65

Impaired loans, which included TDRs of $5.45 million, and the related allowance at December 31, 2018 were as follows:

			Recorded		Recorded
			Investment		Investment				Average
	Unpaid		in Loans		in Loans				Balance-		Interest
	Principal		without		with		Related		Impaired		Income
(Dollars in thousands)	Balance		Specific Reserve		Specific Reserve		Allowance		Loans		Recognized
Real estate – residential mortgage	$	3,057	$	1,288	$	1,677	$	92	$	3,056	$	142
Commercial, financial and agricultural:
Commercial real estate lending		2,468		1,498		927		10		2,653		132
Commercial business lending		33		25		—		—		26		—
Equity lines		365		31		326		326		359		2
Consumer		5		—		5		—		5		—
Total	$	5,928	$	2,842	$	2,935	$	428	$	6,099	$	276