WEST BANCORPORATION INC, 10-Q filed on 10/24/2019
Quarterly Report
v3.19.3
Document and Entity Information Document - shares
9 Months Ended
Sep. 30, 2019
Oct. 23, 2019
Document and Entity Information [Abstract]    
Entity Registrant Name WEST BANCORPORATION INC  
Entity Central Index Key 0001166928  
Document Type 10-Q  
Document Period Date Sep. 30, 2019  
Amendment Flag false  
Document Fiscal Year Focus 2019  
Document Fiscal Period Focus Q3  
Current Fiscal Year End Date --12-31  
Entity Current Reporting Status Yes  
Entity Filer Category Accelerated Filer  
Entity Emerging Growth Company false  
Entity Small Business true  
Entity Shell Company false  
Entity Common Stock, Shares Outstanding   16,379,752
v3.19.3
Consolidated Balance Sheets - USD ($)
$ in Thousands
Sep. 30, 2019
Dec. 31, 2018
ASSETS    
Cash and due from banks $ 62,119 $ 46,369
Federal funds sold 67,168 1,105
Cash and cash equivalents 129,287 47,474
Investment securities available for sale, at fair value 410,371 453,758
Federal Home Loan Bank stock, at cost 11,685 12,037
Loans 1,836,730 1,721,830
Allowance for loan losses (17,042) (16,689)
Loans, net 1,819,688 1,705,141
Premises and equipment, net 30,057 21,491
Accrued interest receivable 7,995 7,631
Bank-owned life insurance 34,731 34,249
Deferred tax assets, net 6,085 6,518
Other assets 7,337 8,269
Total assets 2,457,236 2,296,568
Deposits:    
Noninterest-bearing demand 395,925 400,530
Interest-bearing demand 322,487 336,089
Savings 1,015,443 950,501
Time of $250 or more 71,669 55,745
Other time 219,283 151,664
Total deposits 2,024,807 1,894,529
Federal funds purchased 3,535 19,985
Subordinated notes, net 20,435 20,425
Federal Home Loan Bank advances, net of discount 153,998 137,878
Long-term debt 22,954 27,040
Accrued expenses and other liabilities 27,370 5,688
Total liabilities 2,253,099 2,105,545
COMMITMENTS AND CONTINGENCIES (NOTE 8)
STOCKHOLDERS' EQUITY    
Preferred stock, $0.01 par value; authorized 50,000,000 shares; no shares issued and outstanding at September 30, 2019 and December 31, 2018 0 0
Common stock, no par value; authorized 50,000,000 shares; 16,379,752 and 16,295,494 shares issued and outstanding at September 30, 2019 and December 31, 2018, respectively 3,000 3,000
Additional paid-in capital 26,475 25,128
Retained earnings 180,654 169,709
Accumulated other comprehensive loss (5,992) (6,814)
Total stockholders' equity 204,137 191,023
Total liabilities and stockholders' equity $ 2,457,236 $ 2,296,568
v3.19.3
Balance Sheet Parenthetical (Parentheticals) - $ / shares
Sep. 30, 2019
Dec. 31, 2018
Preferred Stock:    
Preferred stock, par value ($ per share) $ 0.01 $ 0.01
Preferred stock, shares authorized 50,000,000 50,000,000
Preferred stock, shares issued 0 0
Preferred stock, shares outstanding 0 0
Common Stock:    
Common Stock, No Par Value $ 0 $ 0
Common stock, shares authorized 50,000,000 50,000,000
Common stock, shares issued 16,379,752 16,295,494
Common stock, shares outstanding 16,379,752 16,295,494
v3.19.3
Consolidated Statements of Income - USD ($)
$ in Thousands
3 Months Ended 9 Months Ended
Sep. 30, 2019
Sep. 30, 2018
Sep. 30, 2019
Sep. 30, 2018
Interest income:        
Loans, including fees $ 22,203 $ 18,347 $ 63,699 $ 51,989
Investment securities:        
Taxable 2,445 2,296 7,405 5,995
Tax-exempt 353 1,199 1,675 3,867
Federal funds sold 611 78 819 336
Total interest income 25,612 21,920 73,598 62,187
Interest expense:        
Deposits 6,771 4,768 19,405 11,578
Federal funds purchased 17 61 219 140
Subordinated notes 258 287 766 819
Federal Home Loan Bank advances 1,300 930 3,666 2,669
Long-term debt 150 187 499 579
Total interest expense 8,496 6,233 24,555 15,785
Net interest income 17,116 15,687 49,043 46,402
Provision for loan losses [1] 300 (400) 300 (250)
Net interest income after provision for loan losses 16,816 16,087 48,743 46,652
Noninterest income:        
Increase in cash value of bank-owned life insurance 168 158 482 468
Realized investment securities gains (losses), net 1 (78) (64) (103)
Other income 361 518 1,246 1,041
Total noninterest income 2,158 2,114 6,276 6,050
Noninterest expense:        
Salaries and employee benefits 5,440 4,774 16,324 14,062
Occupancy 1,379 1,250 3,956 3,731
Data processing 695 670 2,091 2,020
FDIC insurance 0 172 404 499
Professional fees 204 196 647 608
Director fees 233 248 742 758
Write-down of premises 0 0 0 333
Other expenses 1,585 1,251 4,666 3,795
Total noninterest expense 9,536 8,561 28,830 25,806
Income before income taxes 9,438 9,640 26,189 26,896
Income taxes 1,912 2,507 5,106 5,615
Net income $ 7,526 $ 7,133 $ 21,083 $ 21,281
Basic earnings per common share $ 0.46 $ 0.44 $ 1.29 $ 1.31
Diluted earnings per common share $ 0.46 $ 0.43 $ 1.28 $ 1.30
Service charges on deposit accounts [Member]        
Noninterest income:        
Revenue from contract with customer, including assessed tax $ 630 $ 649 $ 1,841 $ 1,925
Debit card usage fees [Member]        
Noninterest income:        
Revenue from contract with customer, including assessed tax 426 422 1,235 1,254
Trust services [Member]        
Noninterest income:        
Revenue from contract with customer, including assessed tax $ 572 $ 445 $ 1,536 $ 1,465
[1] The negative provisions for the various segments are related to the decline in outstanding balances in each of those portfolio segments during the time periods disclosed and/or improvement in the credit quality factors related to those portfolio segments.
v3.19.3
Consolidated Statements of Comprehensive Income - USD ($)
$ in Thousands
3 Months Ended 9 Months Ended
Sep. 30, 2019
Sep. 30, 2018
Sep. 30, 2019
Sep. 30, 2018
Statement of Comprehensive Income [Abstract]        
Net income $ 7,526 $ 7,133 $ 21,083 $ 21,281
Unrealized holding gains (losses) on investment securities arising during the period 1,706 (4,182) 13,673 (12,373)
Unrealized gains on investment securities transferred from held to maturity to available for sale 0 0 0 363
Plus: reclassification adjustment for net (gains) losses realized in net income (1) 78 64 103
Less: other reclassification adjustment 0 0 0 (36)
Income tax benefit (expense) (426) 1,026 (3,434) 2,988
Other comprehensive income (loss) on investment securities 1,279 (3,078) 10,303 (8,955)
Unrealized holding gains (losses) on derivatives arising during the period (5,187) 964 (12,357) 3,512
Plus: reclassification adjustment for net (gains) losses on derivatives realized in net income (100) (10) (351) 25
Plus: reclassification adjustment for amortization of derivative termination costs 24 24 71 71
Income tax benefit (expense) 1,315 (246) 3,156 (905)
Other comprehensive income (loss) on derivatives (3,948) 732 (9,481) 2,703
Total other comprehensive income (loss) (2,669) (2,346) 822 (6,252)
Comprehensive income $ 4,857 $ 4,787 $ 21,905 $ 15,029
v3.19.3
Consolidated Statements of Stockholders' Equity - USD ($)
Total
Preferred Stock [Member]
Common Stock [Member]
Additional Paid-in Capital [Member]
Retained Earnings [Member]
Accumulated Other Comprehensive Income (Loss) [Member]
Balance, Beginning at Dec. 31, 2017 $ 178,098,000 $ 0 $ 3,000,000 $ 23,463,000 $ 153,527,000 $ (1,892,000)
Common Stock, Shares, Outstanding, Beginning at Dec. 31, 2017     16,215,672      
Stockholders' Equity [Roll Forward]            
Reclassification of stranded tax effects of rate change         370,000 (370,000)
Net income 21,281,000       21,281,000  
Other comprehensive income (loss), net of tax (6,252,000)         (6,252,000)
Cash dividends declared, common stock (9,437,000)       (9,437,000)  
Stock-based compensation costs 2,004,000     2,004,000    
Issuance of common stock upon vesting of restricted stock units, net of shares withheld for payroll taxes, value (1,076,000) 0 $ 0 (1,076,000) 0 0
Issuance of common stock upon vesting of restricted stock units, net of shares withheld for payroll taxes, shares     79,822      
Balance, Ending at Sep. 30, 2018 184,618,000   $ 3,000,000 24,391,000 165,741,000 (8,514,000)
Common Stock, Shares, Outstanding, Ending at Sep. 30, 2018     16,295,494      
Balance, Beginning at Jun. 30, 2018 182,352,000 0 $ 3,000,000 23,653,000 161,867,000 (6,168,000)
Common Stock, Shares, Outstanding, Beginning at Jun. 30, 2018     16,295,494      
Stockholders' Equity [Roll Forward]            
Net income 7,133,000 0 $ 0 0 7,133,000 0
Other comprehensive income (loss), net of tax (2,346,000) 0 0 0 0 (2,346,000)
Cash dividends declared, common stock (3,259,000) 0 0 0 (3,259,000) 0
Stock-based compensation costs 738,000 0 0 738,000 0 0
Balance, Ending at Sep. 30, 2018 184,618,000   $ 3,000,000 24,391,000 165,741,000 (8,514,000)
Common Stock, Shares, Outstanding, Ending at Sep. 30, 2018     16,295,494      
Balance, Beginning at Dec. 31, 2018 $ 191,023,000   $ 3,000,000 25,128,000 169,709,000 (6,814,000)
Common Stock, Shares, Outstanding, Beginning at Dec. 31, 2018 16,295,494   16,295,494      
Stockholders' Equity [Roll Forward]            
Net income $ 21,083,000       21,083,000 0
Other comprehensive income (loss), net of tax 822,000         822,000
Cash dividends declared, common stock (10,138,000)       (10,138,000)
Stock-based compensation costs 2,208,000     2,208,000    
Issuance of common stock upon vesting of restricted stock units, net of shares withheld for payroll taxes, value (861,000) 0   (861,000)    
Issuance of common stock upon vesting of restricted stock units, net of shares withheld for payroll taxes, shares     84,258      
Balance, Ending at Sep. 30, 2019 $ 204,137,000   $ 3,000,000 26,475,000 180,654,000 (5,992,000)
Common Stock, Shares, Outstanding, Ending at Sep. 30, 2019 16,379,752   16,379,752.000      
Balance, Beginning at Jun. 30, 2019 $ 201,935,000 0 $ 3,000,000 25,691,000 176,567,000 (3,323,000)
Common Stock, Shares, Outstanding, Beginning at Jun. 30, 2019     16,379,752      
Stockholders' Equity [Roll Forward]            
Net income 7,526,000 0 $ 0 0 7,526,000 0
Other comprehensive income (loss), net of tax (2,669,000) 0 0 0 0 (2,669,000)
Cash dividends declared, common stock (3,439,000) 0 0 0 (3,439,000) 0
Stock-based compensation costs 784,000 $ 0 0 784,000 0 0
Balance, Ending at Sep. 30, 2019 $ 204,137,000   $ 3,000,000 $ 26,475,000 $ 180,654,000 $ (5,992,000)
Common Stock, Shares, Outstanding, Ending at Sep. 30, 2019 16,379,752   16,379,752.000      
v3.19.3
Stockholders' Equity Parenthetical (Parentheticals) - $ / shares
3 Months Ended 9 Months Ended
Sep. 30, 2019
Sep. 30, 2018
Sep. 30, 2019
Sep. 30, 2018
Statement of Stockholders' Equity [Abstract]        
Cash dividends declared per common share $ 0.21 $ 0.20 $ 0.62 $ 0.58
v3.19.3
Consolidated Statements of Cash Flows - USD ($)
$ in Thousands
9 Months Ended
Sep. 30, 2019
Sep. 30, 2018
Cash Flows from Operating Activities:    
Net income $ 21,083 $ 21,281
Adjustments to reconcile net income to net cash provided by operating activities:    
Provision for loan losses [1] 300 (250)
Net amortization and accretion 2,895 3,715
Investment securities losses, net 64 103
Stock-based compensation 2,208 2,004
Increase in cash value of bank-owned life insurance (482) (468)
Gain on sale of premises (307) 0
Depreciation 1,060 1,053
Write-down of premises 0 333
Deferred income taxes 155 (173)
Change in assets and liabilities:    
Increase in accrued interest receivable (364) (438)
Increase in other assets (932) (1,095)
Increase in accrued expenses and other liabilities 1,623 881
Net cash provided by operating activities 27,303 26,946
Cash Flows from Investing Activities:    
Proceeds from sales of securities available for sale 156,437 66,140
Proceeds from maturities and calls of investment securities 33,477 34,883
Purchases of securities available for sale (134,548) (96,170)
Purchases of Federal Home Loan Bank stock (23,378) (10,634)
Proceeds from redemption of Federal Home Loan Bank stock 23,730 9,747
Net increase in loans (114,847) (89,824)
Proceeds from sale of premises 604 0
Purchases of premises and equipment (708) (86)
Net cash used in investing activities (59,233) (85,944)
Cash Flows from Financing Activities:    
Net increase in deposits 130,278 28,479
Net increase (decrease) in federal funds purchased (16,450) 25,700
Principal payments on Federal Home Loan Bank advances (160,000) 0
Proceeds from Federal Home Loan Bank advances 175,000 0
Principal payments on long-term debt (4,086) (5,335)
Common stock dividends paid (10,138) (9,437)
Restricted stock units withheld for payroll taxes (861) (1,076)
Net cash provided by financing activities 113,743 38,331
Net increase (decrease) in cash and cash equivalents 81,813 (20,667)
Cash and Cash Equivalents    
Beginning 47,474 47,949
Ending 129,287 27,282
Supplemental Disclosures of Cash Flow Information:    
Cash payments for interest 23,726 15,471
Cash payments for income taxes 3,280 4,822
Cash Flow, Noncash Investing and Financing Activities Disclosure [Abstract]    
Establishment of lease liability and right-of-use asset 10,435 0
Held to maturity securities, transferred to available for sale securities, amortized cost $ 0 $ 45,527
[1] The negative provisions for the various segments are related to the decline in outstanding balances in each of those portfolio segments during the time periods disclosed and/or improvement in the credit quality factors related to those portfolio segments.
v3.19.3
Organization and Nature of Business and Summary of Significant Accounting Policies (Notes)
9 Months Ended
Sep. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Organization, Consolidation and Presentation of Financial Statements Disclosure and Significant Accounting Policies [Text Block]

The accompanying unaudited consolidated financial statements have been prepared by West Bancorporation, Inc. (the Company) pursuant to the rules and regulations of the Securities and Exchange Commission (SEC).  Certain information and footnote disclosures normally included in financial statements have been condensed or omitted pursuant to such rules and regulations. Although management believes that the disclosures are adequate to make the information presented understandable, it is suggested that these interim consolidated financial statements be read in conjunction with the Company's Annual Report on Form 10-K for the year ended December 31, 2018 filed with the SEC on February 28, 2019.  In the opinion of management, the accompanying consolidated financial statements of the Company contain all adjustments necessary to fairly present its financial position as of September 30, 2019 and December 31, 2018, net income, comprehensive income and changes in stockholders' equity for the three and nine months ended September 30, 2019 and 2018, and cash flows for the nine months ended September 30, 2019 and 2018.  The results for these interim periods may not be indicative of results for the entire year or for any other period.

The consolidated financial statements have been prepared in conformity with U.S. generally accepted accounting principles (GAAP) established by the Financial Accounting Standards Board (FASB).  References to GAAP issued by the FASB in these footnotes are to the FASB Accounting Standards Codification™, sometimes referred to as the Codification or ASC.  In preparing the consolidated financial statements, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenue and expenses for the reporting period.  Actual results could differ from those estimates.  Material estimates that are particularly susceptible to significant change in the near term are the fair value of financial instruments and the allowance for loan losses.

The accompanying unaudited consolidated financial statements include the accounts of the Company, West Bank, West Bank's special purpose subsidiaries and West Bank's wholly-owned subsidiary WB Funding Corporation (which was liquidated in March 2018).  All significant intercompany transactions and balances have been eliminated in consolidation.  In accordance with GAAP, West Bancorporation Capital Trust I is recorded on the books of the Company using the equity method of accounting and is not consolidated.

Current accounting developments:  In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842). The guidance in the update supersedes the requirements in ASC Topic 840, Leases. The guidance is intended to increase transparency and comparability among organizations by recognizing right-of-use assets and lease liabilities on the balance sheet. For public companies, this update was effective for interim and annual periods beginning after December 15, 2018. The Company adopted this guidance in the first quarter of 2019. Upon adoption, the Company elected a practical expedient which allowed existing leases to retain their classification as operating leases. The Company also elected the option to account for lease and related non-lease components as a single lease component, and the option not to recognize right-of-use assets and lease liabilities arising from short-term leases (leases with terms of twelve months or less). Lease liabilities are measured at the present value of the remaining lease payments, discounted at the Company's incremental borrowing rate. The right-of-use asset is measured at the amount of the lease liability adjusted for any cumulative prepaid or accrued rent if the lease payments are uneven throughout the lease term. Implementation of the guidance resulted in the recording of a right-of-use asset, included in premises and equipment, and an operating lease liability, included in other liabilities, on the consolidated balance sheet; however it did not have a material impact on the Company's other consolidated financial statements. See additional disclosures in Note 9.

In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments—Credit Losses (Topic 326). The amendments in this update require a financial asset (or a group of financial assets) measured at amortized cost basis to be presented at the net amount expected to be collected. The allowance for credit losses is a valuation account that is deducted from the amortized cost basis of the financial assets to present the net carrying value at the amount expected to be collected on the financial assets. Under the updates, the income statement will reflect the measurement of credit losses for newly recognized financial assets, as well as the expected increases or decreases of expected credit losses that have taken place during the period. The measurement of expected credit losses is based on relevant information about past events, including historical experience, current conditions, and reasonable and supportable forecasts that affect the collectibility of the reported amount of financial assets. An entity must use judgment in determining the relevant information and estimation methods that are appropriate in its circumstances. The allowance for credit losses for purchased financial assets with a more-than-insignificant amount of credit deterioration since origination that are measured at amortized cost basis will be determined in a similar manner to other financial assets measured at amortized cost basis; however, the initial allowance for credit losses will be added to the purchase price rather than being reported as a credit loss expense. Only subsequent changes in the allowance for credit losses will be recorded as a credit loss expense for these assets. Off-balance-sheet arrangements such as commitments to extend credit, guarantees and standby letters of credit that are not considered derivatives under ASC 815 and are not unconditionally cancellable are also within the scope of this update. Credit losses relating to available for sale debt securities should be recorded through an allowance for credit losses. For public companies, the update is effective for annual periods beginning after December 15, 2019, including interim periods within those fiscal years. An entity will apply the amendments in this update on a modified retrospective basis through a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective. In October 2019, the FASB voted to approve amendments to the effective date of ASU No. 2016-13 for smaller reporting companies, as defined by the SEC, and other non-SEC reporting entities. The amendment will delay the effective date to fiscal years beginning after December 31, 2022, including interim periods within those fiscal periods. As the Company is a smaller reporting company, the delay will be applicable to the Company. The final ASU is expected to be issued in November 2019.

The Company is developing its approach for determining the expected credit losses under the new guidance.  The Company continues collecting and retaining historical loan and credit data and is currently evaluating alternative loss estimation models. While the Company currently cannot estimate the impact of adopting this standard, the Company expects the impact will be influenced by the composition, risk characteristics and quality of our loan and securities portfolios, as well as the general economic conditions and forecasts as of the adoption date.

In August 2018, the FASB issued ASU No. 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement. The amendments in this update modify the disclosure requirements for fair value measurements by removing, modifying or adding certain disclosures. The update is effective for interim and annual periods in fiscal years beginning after December 15, 2019, with early adoption permitted for the removed disclosures and delayed adoption until fiscal year 2020 permitted for the new disclosures. The removed and modified disclosures will be adopted on a retrospective basis, and the new disclosures will be adopted on a prospective basis. The adoption will not have a material effect on the Company’s consolidated financial statements.

In April 2019, the FASB issued ASU No. 2019-04, Codification Improvements to Financial Instruments - Credit Losses (ASC 326), Derivatives and Hedging (ASC 815), and Financial Instruments (ASC 825). The amendments in the ASU improve the Codification by eliminating inconsistencies and providing clarifications. The amended guidance in this ASU related to the credit losses will be effective for fiscal years and interim periods beginning after December 15, 2019. The Company is currently evaluating the impact of the ASU on the Company's consolidated financial statements.
v3.19.3
Earnings Per Common Share (Notes)
9 Months Ended
Sep. 30, 2019
Earnings Per Share [Abstract]  
Earnings per Common Share [Text Block]
Earnings per Common Share

Basic earnings per common share are computed by dividing net income by the weighted average number of common shares outstanding for the period.  Diluted earnings per common share reflect the potential dilution that could occur if the Company's outstanding restricted stock units were vested. The dilutive effect was computed using the treasury stock method, which assumes all stock-based awards were exercised and the hypothetical proceeds from exercise were used by the Company to purchase common stock at the average market price during the period.  The incremental shares, to the extent they would have been dilutive, were included in the denominator of the diluted earnings per common share calculation.  The calculations of earnings per common share and diluted earnings per common share for the three and nine months ended September 30, 2019 and 2018 are presented in the following table.

 
Three Months Ended September 30,
 
Nine Months Ended September 30,
(in thousands, except per share data)
2019
 
2018
 
2019
 
2018
Net income
$
7,526

 
$
7,133

 
$
21,083

 
$
21,281

 
 
 
 
 
 
 
 
Weighted average common shares outstanding
16,380

 
16,295

 
16,352

 
16,268

Weighted average effect of restricted stock units outstanding
86

 
106

 
79

 
132

Diluted weighted average common shares outstanding
16,466

 
16,401

 
16,431

 
16,400

 
 

 
 

 
 

 
 

Basic earnings per common share
$
0.46

 
$
0.44

 
$
1.29

 
$
1.31

Diluted earnings per common share
$
0.46

 
$
0.43

 
$
1.28

 
$
1.30

Number of anti-dilutive common stock equivalents excluded from diluted earnings per share computation
160

 
137

 
183

 
92

v3.19.3
Investment Securities (Notes)
9 Months Ended
Sep. 30, 2019
Investments, Debt and Equity Securities [Abstract]  
Investment Securities [Text Block]
Securities

The following tables show the amortized cost, gross unrealized gains and losses, and fair value of investment securities, by investment security type as of September 30, 2019 and December 31, 2018.
 
September 30, 2019
 
Amortized
Cost
 
Gross
Unrealized
Gains
 
Gross
Unrealized
(Losses)
 
Fair
Value
Securities available for sale:
 
 
 
 
 
 
 
State and political subdivisions
$
46,164

 
$
1,754

 
$

 
$
47,918

Collateralized mortgage obligations (1)
202,616

 
2,055

 
(469
)
 
204,202

Mortgage-backed securities (1)
50,908

 
303

 
(123
)
 
51,088

Asset-backed securities (2)
18,568

 
63

 
(28
)
 
18,603

Collateralized loan obligations
71,909

 
32

 
(70
)
 
71,871

Corporate notes
17,300

 
164

 
(775
)
 
16,689

 
$
407,465

 
$
4,371

 
$
(1,465
)
 
$
410,371

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
December 31, 2018
 
Amortized
Cost
 
Gross
Unrealized
Gains
 
Gross
Unrealized
(Losses)
 
Fair
Value
Securities available for sale:
 
 
 
 
 
 
 
State and political subdivisions
$
152,293

 
$
156

 
$
(3,293
)
 
$
149,156

Collateralized mortgage obligations (1)
161,392

 

 
(4,388
)
 
157,004

Mortgage-backed securities (1)
64,813

 

 
(1,435
)
 
63,378

Asset-backed securities (2)
32,076

 
2

 
(175
)
 
31,903

Trust preferred security
2,153

 

 
(253
)
 
1,900

Corporate notes
51,862

 
124

 
(1,569
)
 
50,417

 
$
464,589

 
$
282

 
$
(11,113
)
 
$
453,758

(1)
All collateralized mortgage obligations and mortgage-backed securities consist of residential mortgage pass-through securities guaranteed by FHLMC or FNMA, real estate mortgage investment conduits guaranteed by FNMA, FHLMC or GNMA, and commercial mortgage pass-through securities guaranteed by the SBA.
(2)
Pass-through asset-backed securities guaranteed by the SBA.

Investment securities with an amortized cost of approximately $138,973 and $126,531 as of September 30, 2019 and December 31, 2018, respectively, were pledged to secure access to the Federal Reserve discount window, for public fund deposits, and for other purposes as required or permitted by law or regulation.
The amortized cost and fair value of investment securities available for sale as of September 30, 2019, by contractual maturity, are shown below. Certain securities have call features that allow the issuer to call the securities prior to maturity.  Expected maturities may differ from contractual maturities for collateralized mortgage obligations, mortgage-backed securities and asset-backed securities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.  Therefore, collateralized mortgage obligations, mortgage-backed securities and asset-backed securities are not included in the maturity categories within the following maturity summary.
 
September 30, 2019
 
Amortized Cost
 
Fair Value
Due in one year or less
$
2,000

 
$
2,001

Due after one year through five years
19,967

 
19,979

Due after five years through ten years
69,079

 
68,432

Due after ten years
44,327

 
46,066

 
135,373

 
136,478

Collateralized mortgage obligations, mortgage-backed securities and asset-backed securities
272,092

 
273,893

 
$
407,465

 
$
410,371

The details of the sales of investment securities available for sale for the three and nine months ended September 30, 2019 and 2018 are summarized in the following table.
 
Three Months Ended September 30,
 
Nine Months Ended September 30,
 
2019
 
2018
 
2019
 
2018
Proceeds from sales
$
11,095

 
$
56,924

 
$
156,437

 
$
66,140

Gross gains on sales
37

 
64

 
868

 
98

Gross losses on sales
36

 
142

 
932

 
201


The following tables show the fair value and gross unrealized losses, aggregated by investment type and length of time that individual securities have been in a continuous loss position, as of September 30, 2019 and December 31, 2018.
 
September 30, 2019
 
Less than 12 months
 
12 months or longer
 
Total
 
Fair
Value
 
Gross
Unrealized
(Losses)
 
Fair
Value
 
Gross
Unrealized
(Losses)
 
Fair
Value
 
Gross
Unrealized
(Losses)
Securities available for sale:
 
 
 
 
 
 
 
 
 
 
 
Collateralized mortgage obligations
$
43,662

 
$
(168
)
 
$
40,628

 
$
(301
)
 
$
84,290

 
$
(469
)
Mortgage-backed securities
14,916

 
(55
)
 
4,821

 
(68
)
 
19,737

 
(123
)
Asset-backed securities
3,842

 
(6
)
 
7,618

 
(22
)
 
11,460

 
(28
)
Collateralized loan obligations
26,890

 
(70
)
 

 

 
26,890

 
(70
)
Corporate notes

 

 
9,225

 
(775
)
 
9,225

 
(775
)
 
$
89,310

 
$
(299
)
 
$
62,292

 
$
(1,166
)
 
$
151,602

 
$
(1,465
)
 
 

 
 

 
 

 
 

 
 

 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
December 31, 2018
 
Less than 12 months
 
12 months or longer
 
Total
 
Fair
Value
 
Gross
Unrealized
(Losses)
 
Fair
Value
 
Gross
Unrealized
(Losses)
 
Fair
Value
 
Gross
Unrealized
(Losses)
Securities available for sale:
 
 
 
 
 
 
 
 
 
 
 
State and political subdivisions
$
21,264

 
$
(221
)
 
$
102,853

 
$
(3,072
)
 
$
124,117

 
$
(3,293
)
Collateralized mortgage obligations
32,230

 
(250
)
 
124,775

 
(4,138
)
 
157,005

 
(4,388
)
Mortgage-backed securities
10,960

 
(103
)
 
51,823

 
(1,332
)
 
62,783

 
(1,435
)
Asset-backed securities
6,668

 
(31
)
 
16,486

 
(144
)
 
23,154

 
(175
)
Trust preferred security

 

 
1,900

 
(253
)
 
1,900

 
(253
)
Corporate notes
19,470

 
(611
)
 
19,041

 
(958
)
 
38,511

 
(1,569
)
 
$
90,592

 
$
(1,216
)
 
$
316,878

 
$
(9,897
)
 
$
407,470

 
$
(11,113
)

As of September 30, 2019, the available for sale securities with unrealized losses included 27 collateralized mortgage obligation securities, seven mortgage-backed securities, three asset-backed securities, four collateralized loan obligation securities and three corporate notes. The Company believed the unrealized losses on securities available for sale as of September 30, 2019 were due to market conditions rather than reduced estimated cash flows. At September 30, 2019, the Company did not intend to sell these securities, did not anticipate that these securities will be required to be sold before anticipated recovery, and expected full principal and interest to be collected. Therefore, the Company did not consider these securities to have other than temporary impairment as of September 30, 2019.
v3.19.3
Loans and Allowance for Loan Losses (Notes)
9 Months Ended
Sep. 30, 2019
Loans and Allowance for Loan Losses [Abstract]  
Loans and Allowance for Loan Losses [Text Block]
Loans and Allowance for Loan Losses

Loans consisted of the following segments as of September 30, 2019 and December 31, 2018.
 
September 30, 2019
 
December 31, 2018
Commercial
$
396,202

 
$
358,763

Real estate:
 
 
 
Construction, land and land development
252,242

 
245,810

1-4 family residential first mortgages
49,460

 
49,052

Home equity
13,158

 
14,469

Commercial
1,120,433

 
1,050,025

Consumer and other
7,423

 
6,211

 
1,838,918

 
1,724,330

Net unamortized fees and costs
(2,188
)
 
(2,500
)
 
$
1,836,730

 
$
1,721,830


Real estate loans of approximately $850,000 and $800,000 were pledged as security for Federal Home Loan Bank (FHLB) advances as of September 30, 2019 and December 31, 2018, respectively.

Loans are stated at the principal amounts outstanding, net of unamortized loan fees and costs, with interest income recognized on the interest method based upon the terms of the loan.  Loan origination fees, net of certain direct origination costs, are deferred and recognized as an adjustment of the related loan yield using the interest method. Loans are reported by the portfolio segments identified above and are analyzed by management on this basis. All loan policies identified below apply to all segments of the loan portfolio.

Delinquencies are determined based on the payment terms of the individual loan agreements. The accrual of interest on past due and other impaired loans is generally discontinued at 90 days past due or when, in the opinion of management, the borrower may be unable to make all payments pursuant to contractual terms.  Unless considered collectible, all interest accrued but not collected for loans that are placed on nonaccrual or charged off is reversed against interest income, if accrued in the current year, or charged to the allowance for loan losses, if accrued in the prior year.  Generally, all payments received while a loan is on nonaccrual status are applied to the principal balance of the loan. Loans are returned to accrual status when all principal and interest amounts contractually due are brought current and future payments are reasonably assured. 

A loan is classified as a troubled debt restructured (TDR) loan when the Company separately concludes that a borrower is experiencing financial difficulties and a concession is granted that would not otherwise be considered. Concessions may include a restructuring of the loan terms to alleviate the burden of the borrower's cash requirements, such as an extension of the payment terms beyond the original maturity date or a change in the interest rate charged.  TDR loans with extended payment terms are accounted for as impaired until performance is established. A change to the interest rate would change the classification of a loan to a TDR loan if the restructured loan yields a rate that is below a market rate for that of a new loan with comparable risk. TDR loans with below-market rates are considered impaired until fully collected. TDR loans may also be reported as nonaccrual or 90 days past due if they are not performing per the restructured terms.

Based upon its ongoing assessment of credit quality within the loan portfolio, the Company maintains a Watch List, which includes loans classified as Doubtful, Substandard and Watch according to the Company's classification criteria. These loans involve the anticipated potential for payment defaults or collateral inadequacies. A loan on the Watch List is considered impaired when management believes it is probable the Company will be unable to collect all contractual principal and interest payments due in accordance with the terms of the loan agreement.  Impaired loans are measured based on the present value of expected future cash flows discounted at the loan's effective interest rate or, as a practical expedient, at the loan's observable market price or the fair value of the collateral if the loan is collateral dependent.  The amount of impairment, if any, and any subsequent changes are included in the allowance for loan losses.





TDR loans totaled $32 and $652 as of September 30, 2019 and December 31, 2018, respectively, and were included in the nonaccrual category. There were no loan modifications considered to be TDR that occurred during the three and nine months ended September 30, 2019 and the three months ended September 30, 2018. There was one loan modification considered to be TDR, with a pre- and post-modification recorded investment of $560, that occurred during the nine months ended September 30, 2018.

No TDR loans that were modified within the twelve months preceding September 30, 2019 have subsequently had a payment default. One TDR loan that was modified within the twelve months preceding September 30, 2018, with a recorded investment of $552, has subsequently had a payment default. A TDR loan is considered to have a payment default when it is past due 30 days or more.

The following table summarizes the recorded investment in impaired loans by segment, broken down by loans with no related allowance for loan losses and loans with a related allowance and the amount of that allowance as of September 30, 2019 and December 31, 2018.
 
September 30, 2019
 
December 31, 2018
 
Recorded Investment
 
Unpaid Principal Balance
 
Related Allowance
 
Recorded Investment
 
Unpaid Principal Balance
 
Related Allowance
With no related allowance recorded:
 
 
 
 
 
 
 
 
 
 
 
Commercial
$
442

 
$
442

 
$

 
$
1,014

 
$
1,014

 
$

Real estate:
 
 
 
 
 
 
 
 
 
 
 
Construction, land and land development

 

 

 

 

 

1-4 family residential first mortgages
13

 
13

 

 
106

 
106

 

Home equity
34

 
34

 

 
41

 
41

 

Commercial
32

 
32

 

 
652

 
652

 

Consumer and other

 

 

 

 

 

 
521

 
521

 

 
1,813

 
1,813

 

With an allowance recorded:
 
 
 
 
 
 
 
 
 
 
 
Commercial

 

 

 
15

 
15

 
15

Real estate:
 
 
 
 
 
 
 
 
 
 
 
Construction, land and land development

 

 

 

 

 

1-4 family residential first mortgages

 

 

 

 

 

Home equity

 

 

 

 

 

Commercial

 

 

 
100

 
100

 
100

Consumer and other

 

 

 

 

 

 

 

 

 
115

 
115

 
115

Total:
 
 
 
 
 
 
 
 
 
 
 
Commercial
442

 
442

 

 
1,029

 
1,029

 
15

Real estate:
 
 
 
 
 
 
 
 
 
 
 
Construction, land and land development

 

 

 

 

 

1-4 family residential first mortgages
13

 
13

 

 
106

 
106

 

Home equity
34

 
34

 

 
41

 
41

 

Commercial
32

 
32

 

 
752

 
752

 
100

Consumer and other

 

 

 

 

 

 
$
521

 
$
521

 
$

 
$
1,928

 
$
1,928

 
$
115


   
The balance of impaired loans at September 30, 2019 and December 31, 2018 was composed of six and ten different borrowers, respectively. The Company has no commitments to advance additional funds on any of the impaired loans.


The following table summarizes the average recorded investment and interest income recognized on impaired loans by segment for the three and nine months ended September 30, 2019 and 2018.
 
Three Months Ended September 30,
 
Nine Months Ended September 30,
 
2019
 
2018
 
2019
 
2018
 
Average Recorded Investment
 
Interest Income Recognized
 
Average Recorded Investment
 
Interest Income Recognized
 
Average Recorded Investment
 
Interest Income Recognized
 
Average Recorded Investment
 
Interest Income Recognized
With no related allowance recorded:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Commercial
$
546

 
$
39

 
$
950

 
$

 
$
796

 
$
39

 
$
661

 
$

Real estate:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Construction, land and land development

 

 

 

 

 

 

 

1-4 family residential first mortgages
16

 

 
113

 

 
52

 
6

 
115

 

Home equity
35

 

 
129

 
6

 
34

 
2

 
155

 
6

Commercial
305

 
22

 
707

 

 
495

 
22

 
581

 

Consumer and other

 

 

 

 

 

 

 

 
902

 
61

 
1,899

 
6

 
1,377

 
69

 
1,512

 
6

With an allowance recorded:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Commercial

 

 

 

 
9

 

 

 

Real estate:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Construction, land and land development

 

 

 

 

 

 

 

1-4 family residential first mortgages

 

 

 

 

 

 

 

Home equity

 

 
15

 

 

 

 
17

 

Commercial
45

 
6

 
107

 

 
76

 
6

 
112

 

Consumer and other

 

 

 

 

 

 

 

 
45

 
6

 
122

 

 
85

 
6

 
129

 

Total:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Commercial
546

 
39

 
950

 

 
805

 
39

 
661

 

Real estate:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Construction, land and land development

 

 

 

 

 

 

 

1-4 family residential first mortgages
16

 

 
113

 

 
52

 
6

 
115

 

Home equity
35

 

 
144

 
6

 
34

 
2

 
172

 
6

Commercial
350

 
28

 
814

 

 
571

 
28

 
693

 

Consumer and other

 

 

 

 

 

 

 

 
$
947

 
$
67

 
$
2,021

 
$
6

 
$
1,462

 
$
75

 
$
1,641

 
$
6




The following tables provide an analysis of the payment status of the recorded investment in loans as of September 30, 2019 and December 31, 2018.
 
September 30, 2019
 
30-59
Days Past
Due
 
60-89
Days Past
Due
 
90 Days
or More
Past Due
 
Total
Past Due
 
Current
 
Nonaccrual Loans
 
Total Loans
Commercial
$

 
$

 
$

 
$

 
$
395,760

 
$
442

 
$
396,202

Real estate:
 
 
 
 
 
 
 
 
 
 
 
 
 
Construction, land and
 
 
 
 
 
 
 
 
 
 
 
 
 
land development

 

 

 

 
252,242

 

 
252,242

1-4 family residential
 
 
 
 
 
 
 
 
 
 
 
 
 
first mortgages
171

 

 

 
171

 
49,276

 
13

 
49,460

Home equity

 

 

 

 
13,124

 
34

 
13,158

Commercial

 

 

 

 
1,120,401

 
32

 
1,120,433

Consumer and other

 

 

 

 
7,423

 

 
7,423

Total
$
171

 
$

 
$

 
$
171

 
$
1,838,226

 
$
521

 
$
1,838,918

 
December 31, 2018
 
30-59
Days Past
Due
 
60-89
Days Past
Due
 
90 Days
or More
Past Due
 
Total
Past Due
 
Current
 
Nonaccrual Loans
 
Total
Loans
Commercial
$
54

 
$

 
$

 
$
54

 
$
357,680

 
$
1,029

 
$
358,763

Real estate:
 
 
 
 
 
 
 
 
 
 
 
 
 
Construction, land and
 
 
 
 
 
 
 
 
 
 
 
 
 
land development

 

 

 

 
245,810

 

 
245,810

1-4 family residential
 
 
 
 
 
 
 
 
 
 
 
 
 
first mortgages
157

 

 

 
157

 
48,789

 
106

 
49,052

Home equity

 

 

 

 
14,428

 
41

 
14,469

Commercial

 

 

 

 
1,049,273

 
752

 
1,050,025

Consumer and other

 

 

 

 
6,211

 

 
6,211

Total
$
211

 
$

 
$

 
$
211

 
$
1,722,191

 
$
1,928

 
$
1,724,330


The following tables present the recorded investment in loans by credit quality indicator and loan segment as of September 30, 2019 and December 31, 2018.
 
September 30, 2019
 
Pass
 
Watch
 
Substandard
 
Doubtful
 
Total
Commercial
$
373,737

 
$
21,168

 
$
1,297

 
$

 
$
396,202

Real estate:
 
 
 
 
 
 
 
 
 
Construction, land and land development
252,242

 

 

 

 
252,242

1-4 family residential first mortgages
47,627

 
1,360

 
473

 

 
49,460

Home equity
13,086

 
38

 
34

 

 
13,158

Commercial
1,091,736

 
28,587

 
110

 

 
1,120,433

Consumer and other
7,373

 
50

 

 

 
7,423

Total
$
1,785,801

 
$
51,203

 
$
1,914

 
$

 
$
1,838,918

 
December 31, 2018
 
Pass
 
Watch
 
Substandard
 
Doubtful
 
Total
Commercial
$
336,861

 
$
19,886

 
$
2,016

 
$

 
$
358,763

Real estate:
 
 
 
 
 
 
 
 
 
Construction, land and land development
245,810

 

 

 

 
245,810

1-4 family residential first mortgages
47,923

 
963

 
166

 

 
49,052

Home equity
14,352

 
46

 
71

 

 
14,469

Commercial
1,019,256

 
29,063

 
1,706

 

 
1,050,025

Consumer and other
6,186

 

 
25

 

 
6,211

Total
$
1,670,388

 
$
49,958

 
$
3,984

 
$

 
$
1,724,330


All loans are subject to the assessment of a credit quality indicator. Risk ratings are assigned for each loan at the time of approval, and they change as circumstances dictate during the term of the loan. The Company utilizes a 9-point risk rating scale as shown below, with ratings 1 - 5 included in the Pass column, rating 6 included in the Watch column, ratings 7 - 8 included in the Substandard column and rating 9 included in the Doubtful column. All loans classified as impaired that are included in the specific evaluation of the allowance for loan losses are included in the Substandard column along with all other loans with ratings of 7 - 8.

Risk rating 1: The loan is secured by cash equivalent collateral.

Risk rating 2: The loan is secured by properly margined marketable securities, bonds or cash surrender value of life insurance.

Risk rating 3: The borrower is in strong financial condition and has strong debt service capacity. The loan is performing as agreed, and the financial characteristics and trends of the borrower exceed industry statistics.

Risk rating 4: The borrower's financial condition is satisfactory and stable.  The borrower has satisfactory debt service capacity, and the loan is well secured. The loan is performing as agreed, and the financial characteristics and trends fall in line with industry statistics.

Risk rating 5: The borrower's financial condition is less than satisfactory. The loan is still generally paying as agreed, but strained cash flows may cause some slowness in payments. The collateral values adequately preclude loss on the loan. Financial characteristics and trends lag industry statistics. There may be noncompliance with loan covenants.

Risk rating 6: The borrower's financial condition is deficient. Payment delinquencies may be more common. Collateral values still protect from loss, but margins are narrow. The loan may be reliant on secondary sources of repayment, including liquidation of collateral and guarantor support.

Risk rating 7: The loan is inadequately protected by the current sound worth and paying capacity of the obligor or of the collateral pledged, if any. Well-defined weaknesses exist that jeopardize the liquidation of the debt. The Company is inadequately protected by the valuation or paying capacity of the collateral pledged. If deficiencies are not corrected, there is a distinct possibility that a loss will be sustained.

Risk rating 8: All the characteristics of rating 7 exist with the added condition that the loan is past due more than 90 days or there is reason to believe the Company will not receive its principal and interest according to the terms of the loan agreement.

Risk rating 9: All the weaknesses inherent in risk ratings 7 and 8 exist with the added condition that collection or liquidation, on the basis of currently known facts, conditions and values, is highly questionable and improbable. A loan reaching this category would most likely be charged off.

Credit quality indicators for all loans and the Company's risk rating process are dynamic and updated on a continuous basis. Risk ratings are updated as circumstances that could affect the repayment of an individual loan are brought to management's attention through an established monitoring process. Individual lenders initiate changes as appropriate for ratings 1 through 5, and changes for ratings 6 through 9 are initiated via communications with management. The likelihood of loss increases as the risk rating increases and is generally preceded by a loan appearing on the Watch List, which consists of all loans with a risk rating of 6 or worse. Written action plans with firm target dates for resolution of identified problems are maintained and reviewed on a quarterly basis for all segments of loans included on the Watch List.

In addition to the Company's internal credit monitoring practices and procedures, an outsourced independent credit review function is in place to further assess assigned internal risk classifications and monitor compliance with internal lending policies and procedures.

In all portfolio segments, the primary risks are that a borrower's income stream diminishes to the point that the borrower is not able to make scheduled principal and interest payments and any collateral securing the loan declines in value. The risk of declining collateral values is present for most types of loans.

Commercial loans consist primarily of loans to businesses for various purposes, including revolving lines to finance current operations, inventory and accounts receivable, and capital expenditure loans to finance equipment and other fixed assets.  These loans generally have short maturities, have either adjustable or fixed interest rates, and are either unsecured or secured by inventory, accounts receivable and/or fixed assets. For commercial loans, the primary source of repayment is from the operation of the business.

Real estate loans include various types of loans for which the Company holds real property as collateral, and consist of loans on commercial properties and single and multifamily residences.  Real estate loans are typically structured to mature or reprice every five to ten years with payments based on amortization periods up to 30 years.  The majority of construction loans are to contractors and developers for construction of commercial buildings or residential real estate. These loans typically have maturities of up to 24 months. The Company's loan policy includes minimum appraisal and other credit guidelines.

Consumer loans include loans extended to individuals for household, family and other personal expenditures not secured by real estate.  The majority of the Company's consumer lending is for vehicles, consolidation of personal debts and household improvements. The repayment source for consumer loans, including 1-4 family residential and home equity loans, is typically wages.

The allowance for loan losses is established through a provision for loan losses charged to expense.  The allowance is an amount that management believes will be adequate to absorb probable losses on existing loans based on an evaluation of the collectability of loans and prior loss experience.  This evaluation also takes into consideration such factors as changes in the nature and volume of the loan portfolio, overall portfolio quality, the review of specific problem loans, and the current economic conditions that may affect the borrower's ability to pay.  Loans are charged-off against the allowance for loan losses when management believes that collectability of the principal is unlikely. While management uses the best information available to make its evaluations, future adjustments to the allowance may be necessary if there are significant changes in economic conditions or the other factors relied upon.

The allowance for loan losses consists of specific and general components.  The specific component relates to loans that meet the definition of impaired.  The general component covers the remaining loans and is based on historical loss experience adjusted for qualitative factors such as delinquency trends, loan growth, economic elements and local market conditions.  These same policies are applied to all segments of loans. In addition, regulatory agencies, as an integral part of their examination processes, periodically review the Company's allowance for loan losses, and may require the Company to make additions to the allowance based on their judgment about information available to them at the time of their examinations.

The following tables detail the changes in the allowance for loan losses by segment for the three and nine months ended September 30, 2019 and 2018.
 
Three Months Ended September 30, 2019
 
 
 
Real Estate
 
 
 
 
 
Commercial
 
Construction and Land
 
1-4 Family Residential
 
Home Equity
 
Commercial
 
Consumer and Other
 
Total
Beginning balance
$
3,732

 
$
2,286

 
$
222

 
$
139

 
$
10,275

 
$
83

 
$
16,737

Charge-offs
(199
)
 

 

 

 

 

 
(199
)
Recoveries
168

 

 
5

 
27

 
3

 
1

 
204

Provision (1)
12

 
81

 
(8
)
 
(19
)
 
233

 
1

 
300

Ending balance
$
3,713

 
$
2,367

 
$
219

 
$
147

 
$
10,511

 
$
85

 
$
17,042

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Three Months Ended September 30, 2018
 
 
 
Real Estate
 
 
 
 
 
Commercial
 
Construction and Land
 
1-4 Family Residential
 
Home Equity
 
Commercial
 
Consumer and Other
 
Total
Beginning balance
$
3,673

 
$
1,911

 
$
304

 
$
182

 
$
10,369

 
$
79

 
$
16,518

Charge-offs

 

 

 

 

 

 

Recoveries
539

 

 
7

 
6

 
2

 
1

 
555

Provision (1)
(907
)
 
185

 
(23
)
 

 
346

 
(1
)
 
(400
)
Ending balance
$
3,305

 
$
2,096

 
$
288

 
$
188

 
$
10,717

 
$
79

 
$
16,673

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Nine Months Ended September 30, 2019
 
 
 
Real Estate
 
 
 
 
 
Commercial
 
Construction and Land
 
1-4 Family Residential
 
Home Equity
 
Commercial
 
Consumer and Other
 
Total
Beginning balance
$
3,508

 
$
2,384

 
$
250

 
$
171

 
$
10,301

 
$
75

 
$
16,689

Charge-offs
(254
)
 

 

 

 

 

 
(254
)
Recoveries
227

 

 
14

 
50

 
9

 
7

 
307

Provision (1)
232

 
(17
)
 
(45
)
 
(74
)
 
201

 
3

 
300

Ending balance
$
3,713

 
$
2,367

 
$
219

 
$
147

 
$
10,511

 
$
85

 
$
17,042

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Nine Months Ended September 30, 2018
 
 
 
Real Estate
 
 
 
 
 
Commercial
 
Construction and Land
 
1-4 Family Residential
 
Home Equity
 
Commercial
 
Consumer and Other
 
Total
Beginning balance
$
3,866

 
$
2,213

 
$
319

 
$
186

 
$
9,770

 
$
76

 
$
16,430

Charge-offs
(208
)
 

 

 
(1
)
 

 

 
(209
)
Recoveries
649

 

 
14

 
17

 
9

 
13

 
702

Provision (1)
(1,002
)
 
(117
)
 
(45
)
 
(14
)
 
938

 
(10
)
 
(250
)
Ending balance
$
3,305

 
$
2,096

 
$
288

 
$
188

 
$
10,717

 
$
79

 
$
16,673

(1)
The negative provisions for the various segments are related to the decline in outstanding balances in each of those portfolio segments during the time periods disclosed and/or improvement in the credit quality factors related to those portfolio segments.
The following tables present a breakdown of the allowance for loan losses disaggregated on the basis of impairment analysis method by segment as of September 30, 2019 and December 31, 2018.
 
September 30, 2019
 
 
 
Real Estate
 
 
 
 
 
Commercial
 
Construction and Land
 
1-4 Family Residential
 
Home Equity
 
Commercial
 
Consumer and Other
 
Total
Ending balance:
 
 
 
 
 
 
 
 
 
 
 
 
 
Individually evaluated for impairment
$

 
$

 
$

 
$

 
$

 
$

 
$

Collectively evaluated for impairment
3,713

 
2,367

 
219

 
147

 
10,511

 
85

 
17,042

Total
$
3,713

 
$
2,367

 
$
219

 
$
147

 
$
10,511

 
$
85

 
$
17,042

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
December 31, 2018
 
 
 
Real Estate
 
 
 
 
 
Commercial
 
Construction and Land
 
1-4 Family Residential
 
Home Equity
 
Commercial
 
Consumer and Other
 
Total
Ending balance:
 
 
 
 
 
 
 
 
 
 
 
 
 
Individually evaluated for impairment
$
15

 
$

 
$

 
$

 
$
100

 
$

 
$
115

Collectively evaluated for impairment
3,493

 
2,384

 
250

 
171

 
10,201

 
75

 
16,574

Total
$
3,508

 
$
2,384

 
$
250

 
$
171

 
$
10,301

 
$
75

 
$
16,689


The following tables present the recorded investment in loans, exclusive of unamortized fees and costs, disaggregated on the basis of impairment analysis method by segment as of September 30, 2019 and December 31, 2018.
 
September 30, 2019
 
 
 
Real Estate
 
 
 
 
 
Commercial
 
Construction and Land
 
1-4 Family Residential
 
Home Equity
 
Commercial
 
Consumer and Other
 
Total
Ending balance:
 
 
 
 
 
 
 
 
 
 
 
 
 
Individually evaluated for impairment
$
442

 
$

 
$
13

 
$
34

 
$
32

 
$

 
$
521

Collectively evaluated for impairment
395,760

 
252,242

 
49,447

 
13,124

 
1,120,401

 
7,423

 
1,838,397

Total
$
396,202

 
$
252,242

 
$
49,460

 
$
13,158

 
$
1,120,433

 
$
7,423

 
$
1,838,918

 
December 31, 2018
 
 
 
Real Estate
 
 
 
 
 
Commercial
 
Construction and Land
 
1-4 Family Residential
 
Home Equity
 
Commercial
 
Consumer and Other
 
Total
Ending balance:
 
 
 
 
 
 
 
 
 
 
 
 
 
Individually evaluated for impairment
$
1,029

 
$

 
$
106

 
$
41

 
$
752

 
$

 
$
1,928

Collectively evaluated for impairment
357,734

 
245,810

 
48,946

 
14,428

 
1,049,273

 
6,211

 
1,722,402

Total
$
358,763

 
$
245,810

 
$
49,052

 
$
14,469

 
$
1,050,025

 
$
6,211

 
$
1,724,330

v3.19.3
Derivatives (Notes)
9 Months Ended
Sep. 30, 2019
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative [Text Block]
Derivatives

The Company has entered into various interest rate swaps as part of its interest rate risk management strategy. The Company uses interest rate swap agreements to manage its exposures to the variability in certain interest payments due to interest rate movements. The interest rate swaps involve the receipt of variable amounts from a counterparty in exchange for the Company making fixed payments. At December 31, 2018, the Company had three interest rate swaps with a total notional amount of $110,000 hedging the variable interest payments on certain borrowings and customer deposits. In the first nine months of 2019, the Company has entered into eight additional interest rate swaps. Four of these swaps with a total notional amount of $100,000 hedge the interest payments of rolling fixed-rate one- or three-month funding consisting of FHLB advances or brokered deposits. Three of these swaps with a total notional amount of $75,000 are forward-starting swaps to hedge the interest payments of rolling one-month funding consisting of FHLB advances or brokered deposits, with starting dates from December 2019 to September 2020. Lastly, the Company entered into one interest rate swap with a notional amount of $50,000 to hedge the interest payments of money market deposit accounts. The interest rate swaps are designated as cash flow hedges.

The Company is exposed to credit risk in the event of nonperformance by counterparties to the interest rate swaps, which is minimized by collateral-pledging provisions in the agreements. Derivative contracts are executed with a Credit Support Annex, which is a bilateral ratings-sensitive agreement that requires collateral postings at established credit threshold levels. These agreements protect the interests of the Company and its counterparties should either party suffer a credit rating deterioration. As of September 30, 2019 and December 31, 2018, the Company pledged $10,770 and $0, respectively, of collateral to the counterparty in the form of cash on deposit with a third party. The Company's counterparty was required to pledge $0 and $2,410 at September 30, 2019 and December 31, 2018, respectively. The Company estimates there will be approximately $155 reclassified from accumulated other comprehensive income (AOCI) to interest expense through the 12 months ending September 30, 2020. Interest rate swaps with a total notional amount of $70,000 were terminated in 2015, subject to termination fees totaling $541. The termination fees are being reclassified from accumulated other comprehensive income to interest expense over the remaining life of the underlying cash flows through June 2020.

The table below identifies the balance sheet category and fair values of the Company's derivative instruments designated as cash flow hedges as of September 30, 2019 and December 31, 2018.
 
 
Notional
Amount
 
Fair Value
 
Balance Sheet
Category
 
Weighted Average Floating Rate Received
 
Weighted Average Fixed Rate Paid
 
Weighted Average Maturity - Years
September 30, 2019
 
 
 
 
 
 
 
 
 
 
 
 
Interest rate swaps
 
$
260,000

 
$
(9,249
)
 
Other Liabilities
 
2.42
%
 
2.34
%
 
5.7
Forward-starting interest rate swaps
 
75,000

 
(1,594
)
 
Other Liabilities
 
%
 
1.73
%
 
6.0
December 31, 2018
 
 
 
 
 
 
 
 
 
 
 
 
Interest rate swaps
 
$
110,000

 
$
1,863

 
Other Assets
 
3.22
%
 
2.82
%
 
5.7

The following table identifies the pre-tax gains or losses recognized on the Company's derivative instruments designated as cash flow hedges for the nine months ended September 30, 2019 and 2018.
 
 
 
 
 
 
Reclassified from AOCI into Income
 
 
Amount of Pre-tax Gain (Loss) Recognized in OCI
 
 
 
 
 
 
Amount of Gain (Loss)
 
 
Nine Months Ended September 30,
 
 
 
Nine Months Ended September 30,
 
 
2019
 
2018
 
Category
 
2019
 
2018
Interest rate swaps
 
$
(12,357
)
 
$
3,512

 
Interest Expense
 
$
280

 
$
(96
)
v3.19.3
Deferred Income Taxes (Notes)
9 Months Ended
Sep. 30, 2019
Components of Deferred Tax Assets and Liabilities [Abstract]  
Deferred Income Taxes [Text Block]
Income Taxes

Net deferred tax assets consisted of the following as of September 30, 2019 and December 31, 2018.  
 
September 30, 2019
 
December 31, 2018
Deferred tax assets:
 
 
 
Allowance for loan losses
$
4,261

 
$
4,172

Net unrealized losses on securities available for sale

 
2,708

Net unrealized losses on interest rate swaps
2,727

 

Lease liability
2,362

 

Accrued expenses
238

 
346

Restricted stock compensation
636

 
704

State net operating loss carryforward
1,096

 
1,021

Capital loss carryforward
3

 

Other
57

 
67

 
11,380

 
9,018

Deferred tax liabilities:
 
 
 
Right-of-use asset
2,304

 

Net deferred loan fees and costs
199

 
183

Net unrealized gains on securities available for sale
726

 

Net unrealized gains on interest rate swaps

 
429

Premises and equipment
758

 
694

Other
209

 
173

 
4,196

 
1,479

Net deferred tax assets before valuation allowance
7,184

 
7,539

Valuation allowance
(1,099
)
 
(1,021
)
Net deferred tax assets
$
6,085

 
$
6,518


The Company has recorded a valuation allowance against the tax effect of capital loss and state net operating loss carryforwards, as management believes it is more likely than not that these carryforwards will expire without being utilized. The state net operating loss carryforwards expire in 2020 and thereafter. The capital loss carryforward expires in 2022.
v3.19.3
Comprehensive Income (Notes)
9 Months Ended
Sep. 30, 2019
Equity [Abstract]  
Comprehensive Income [Text Block]
.  Accumulated Other Comprehensive Income (Loss)

The following table summarizes the changes in the balances of each component of accumulated other comprehensive income (loss), net of tax, for the nine months ended September 30, 2019 and 2018.
 
 
Unrealized
 
Unrealized
 
Accumulated
 
 
Gains
 
Gains
 
Other
 
 
(Losses) on
 
(Losses) on
 
Comprehensive
 
 
Securities
 
Derivatives
 
Income (Loss)
Balance, December 31, 2018
 
$
(8,123
)
 
$
1,309

 
$
(6,814
)
Other comprehensive income (loss) before reclassifications
 
10,255

 
(9,268
)
 
987

Amounts reclassified from accumulated other comprehensive income
 
48

 
(213
)
 
(165
)
Net current period other comprehensive income (loss)
 
10,303

 
(9,481
)
 
822

Balance, September 30, 2019
 
$
2,180

 
$
(8,172
)
 
$
(5,992
)
 
 
 
 
 
 
 
Balance, December 31, 2017
 
$
(2,237
)
 
$
345

 
$
(1,892
)
Transfer of securities held to maturity to securities available for sale
 
273

 

 
273

Other comprehensive income (loss) before reclassifications
 
(9,281
)
 
2,634

 
(6,647
)
Amounts reclassified from accumulated other comprehensive income
 
53

 
69

 
122

Net current period other comprehensive income (loss)
 
(8,955
)
 
2,703

 
(6,252
)
Reclassification of stranded tax effects
 
(475
)
 
105

 
(370
)
Balance, September 30, 2018
 
$
(11,667
)
 
$
3,153

 
$
(8,514
)
v3.19.3
Commitments and Contingencies (Notes)
9 Months Ended
Sep. 30, 2019
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies [Text Block]
Commitments and Contingencies

Financial instruments with off-balance-sheet risk: The Company is party to financial instruments with off-balance-sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments include commitments to extend credit and standby letters of credit.  These instruments involve, to varying degrees, elements of credit risk in excess of the amount recognized in the consolidated balance sheets. The Company's exposure to credit loss in the event of nonperformance by the other party to the financial instrument for commitments to extend credit and standby letters of credit is represented by the contractual amount of those instruments. The Company uses the same credit policies in making commitments and conditional obligations that it uses for on-balance-sheet instruments.  The Company's commitments consisted of the following approximate amounts as of September 30, 2019 and December 31, 2018
 
September 30, 2019
 
December 31, 2018
Commitments to extend credit
$
682,185

 
$
641,581

Standby letters of credit
6,630

 
6,631

 
$
688,815

 
$
648,212


West Bank previously executed Mortgage Partnership Finance (MPF) Master Commitments (Commitments) with the FHLB of Des Moines to deliver residential mortgage loans and to guarantee the payment of any realized losses that exceed the FHLB's first loss account for mortgages delivered under the Commitments. West Bank receives credit enhancement fees from the FHLB for providing this guarantee and continuing to assist with managing the credit risk of the MPF Program residential mortgage loans. The outstanding balance of mortgage loans sold under the MPF Program was $68,271 and $78,024 at September 30, 2019 and December 31, 2018, respectively.

Contractual commitments: The Company had remaining commitments to invest in qualified affordable housing projects totaling $2,241 and $4,421 as of September 30, 2019 and December 31, 2018, respectively.

Contingencies: Neither the Company nor West Bank is a party, and no property of these entities is subject, to any material pending legal proceedings, other than ordinary routine litigation incidental to West Bank's business. The Company does not know of any proceeding contemplated by a governmental authority against the Company or West Bank.
v3.19.3
Leases Leases (Notes)
9 Months Ended
Sep. 30, 2019
Leases Disclosure [Abstract]  
Leases of Lessee Disclosure [Text Block]
Leases

Effective January 1, 2019, the Company adopted ASU 2016-02, Leases (Topic 842) and all subsequent ASUs that modified Topic 842. The Company leases real estate for its main office, nine branch offices and office space for operations departments under various operating lease agreements. The lease agreements have maturity dates ranging from May 2021 to February 2033, some of which include options to renew at the Company's discretion. If at lease inception, the Company considers the exercising of a renewal option to be reasonably certain, the Company will include the extended term in the measurement of the right-of-use asset and lease liability. The weighted average remaining life of the term of these leases was 7.9 years as of September 30, 2019.

The discount rate used in determining the lease liability for each individual lease was the FHLB fixed advance rate which corresponded with the remaining lease term as of January 1, 2019 for leases that existed at adoption and as of the lease commencement date for leases entered into subsequent to January 1, 2019. The weighted average discount rate used in the measurement of the operating lease liability was 3.16% as of September 30, 2019.

The total operating lease costs were $418 and $1,212 for the three and nine months ended September 30, 2019, respectively. The right-of-use asset and lease liability were $9,216 and $9,449 as of September 30, 2019, respectively.

Total estimated rental commitments for the operating leases were as follows as of September 30, 2019.
2019
$
421

2020
1,681

2021
1,627

2022
1,583

2023
1,565

Thereafter
3,882

Total lease payments
10,759

Less: interest
(1,310
)
Present value of lease liability
$
9,449

v3.19.3
Fair Value Measurements (Notes)
9 Months Ended
Sep. 30, 2019
Fair Value Disclosures [Abstract]  
Fair Value Disclosures [Text Block]
Fair Value Measurements

Accounting guidance on fair value measurements and disclosures defines fair value and establishes a framework for measuring the fair value of assets and liabilities using a hierarchy system.  Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants in the market in which the reporting entity transacts business.

The Company's balance sheet contains investment securities available for sale and derivative instruments that are recorded at fair value on a recurring basis.  The three-level valuation hierarchy for disclosure of fair value is as follows:

Level 1 uses quoted market prices in active markets for identical assets or liabilities.

Level 2 uses observable market-based inputs or unobservable inputs that are corroborated by market data.

Level 3 uses unobservable inputs that are not corroborated by market data.

The Company's policy is to recognize transfers between levels at the end of each reporting period, if applicable. There were no transfers between levels of the fair value hierarchy during the nine months ended September 30, 2019.

The following is a description of valuation methodologies used for financial assets and liabilities recorded at fair value on a recurring basis.

Investment securities available for sale: When available, quoted market prices are used to determine the fair value of investment securities (Level 1). If quoted market prices are not available, the Company determines fair value based on various sources and may apply matrix pricing with observable prices for similar bonds where a price for the identical bond is not observable (Level 2). The fair values of these securities are determined by pricing models that consider observable market data such as interest rate volatilities, LIBOR yield curve, credit spreads, prices from market makers and live trading systems. For the corporate bond portfolio, the Company has elected to use a matrix pricing model as a practical expedient to individual quoted market prices.

Generally, management obtains the fair value of investment securities at the end of each reporting period via a third-party pricing service. Management reviewed the valuation process used by the third party and believed the process was valid. On a quarterly basis, management corroborates the fair values of a randomly selected sample of investment securities by obtaining pricing from an independent financial market data vendor and comparing the two sets of fair values. Any significant variances are reviewed and investigated. For a sample of securities, prices are further validated by management by obtaining details of the inputs used by the pricing service. Those inputs were independently tested, and management concluded the fair values were consistent with GAAP requirements and the investment securities were properly classified in the fair value hierarchy.

Derivative instruments: The Company's derivative instruments consist of interest rate swaps, which are accounted for as cash flow hedges. The Company's derivative positions are classified within Level 2 of the fair value hierarchy and are valued using models generally accepted in the financial services industry and that use actively quoted or observable market input values from external market data providers and/or non-binding broker-dealer quotations. The fair value of the derivatives is determined using discounted cash flow models. These models’ key assumptions include the contractual terms of the respective contract along with significant observable inputs, including interest rates, yield curves, nonperformance risk and volatility.

The following tables present the balances of financial assets and liabilities measured at fair value on a recurring basis by level as of September 30, 2019 and December 31, 2018.

 
 
September 30, 2019
 
 
Total
 
Level 1
 
Level 2
 
Level 3
Financial assets:
 
 
 
 
 
 
 
 
Investment securities available for sale:
 
 
 
 
 
 
 
 
State and political subdivisions
 
$
47,918

 
$

 
$
47,918

 
$

Collateralized mortgage obligations
 
204,202

 

 
204,202

 

Mortgage-backed securities
 
51,088

 

 
51,088

 

Asset-backed securities
 
18,603

 

 
18,603

 

Collateralized loan obligations
 
71,871

 

 
71,871

 

Corporate notes
 
16,689

 

 
16,689

 

 
 
 
 
 
 
 
 
 
Financial liabilities:
 
 
 
 
 
 
 
 
Derivative instruments, interest rate swaps
 
$
10,843

 
$

 
$
10,843

 
$


 
 
December 31, 2018
 
 
Total
 
Level 1
 
Level 2
 
Level 3
Financial assets:
 
 
 
 
 
 
 
 
Investment securities available for sale:
 
 

 
 

 
 

 
 

State and political subdivisions
 
$
149,156

 
$

 
$
149,156

 
$

Collateralized mortgage obligations
 
157,004

 

 
157,004

 

Mortgage-backed securities
 
63,378

 

 
63,378

 

Asset-backed securities
 
31,903

 

 
31,903

 

Trust preferred security
 
1,900

 

 
1,900

 

Corporate notes
 
50,417

 

 
50,417

 

Derivative instruments, interest rate swaps
 
1,863

 

 
1,863

 


Certain assets are measured at fair value on a nonrecurring basis. That is, they are subject to fair value adjustments in certain circumstances (for example, when there is evidence of impairment).  As of both September 30, 2019 and December 31, 2018, impaired loans with a fair value adjustment had a net book value of $0.  Impaired loans are classified within Level 3 of the fair value hierarchy and are evaluated and valued at the lower of cost or fair value when the loan is identified as impaired.  Fair value is measured based on the value of the collateral securing these loans.  The types of collateral vary widely and could include accounts receivables, inventory, a variety of equipment and real estate.  Evaluations of the underlying assets are completed for each impaired loan with a specific reserve. Collateral evaluations are reviewed and discounted as appropriate based on knowledge of the specific type of collateral. In the case of real estate, an independent appraisal may be obtained. Types of discounts considered include aging of receivables, condition of the collateral, potential market for the collateral and estimated disposal costs. These discounts will vary from loan to loan and may be discounted based on management's opinions concerning market developments or the client's business.
GAAP requires disclosure of the fair value of financial assets and financial liabilities, including those that are not measured and reported at fair value on a recurring or nonrecurring basis.  The following table presents the carrying amounts and approximate fair values of financial assets and liabilities as of September 30, 2019 and December 31, 2018

 
 
 
September 30, 2019
 
December 31, 2018
 
Fair Value Hierarchy Level
 
Carrying Amount
 
Approximate Fair Value
 
Carrying Amount
 
Approximate Fair Value
Financial assets:
 
 
 
 
 
 
 
 
 
Cash and due from banks
Level 1
 
$
62,119

 
$
62,119

 
$
46,369

 
$
46,369

Federal funds sold
Level 1
 
67,168

 
67,168

 
1,105

 
1,105

Investment securities available for sale
Level 2
 
410,371

 
410,371

 
453,758

 
453,758

Federal Home Loan Bank stock
Level 1
 
11,685

 
11,685

 
12,037

 
12,037

Loans, net
Level 2
 
1,819,688

 
1,839,219

 
1,705,141

 
1,688,700

Accrued interest receivable
Level 1
 
7,995

 
7,995

 
7,631

 
7,631

Interest rate swaps
Level 2
 

 

 
1,863

 
1,863

Financial liabilities:
 
 
 
 
 
 
 
 
 
Deposits
Level 2
 
$
2,024,807

 
$
2,025,620

 
$
1,894,529

 
$
1,893,621

Federal funds purchased
Level 1
 
3,535

 
3,535

 
19,985

 
19,985

Subordinated notes, net
Level 2
 
20,435

 
17,854

 
20,425

 
15,498

Federal Home Loan Bank advances, net
Level 2
 
153,998

 
153,998

 
137,878

 
137,878

Long-term debt
Level 2
 
22,954

 
22,934

 
27,040

 
27,000

Accrued interest payable
Level 1
 
2,146

 
2,146

 
1,317

 
1,317

Interest rate swaps
Level 2
 
10,843

 
10,843

 

 

Off-balance-sheet financial instruments:
 
 
 
 
 
 
 
 
 
Commitments to extend credit
Level 3
 

 

 

 

Standby letters of credit
Level 3
 

 

 

 

v3.19.3
Basis of Presentation (Policies)
9 Months Ended
Sep. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Basis of Accounting, Policy [Policy Text Block]
The accompanying unaudited consolidated financial statements have been prepared by West Bancorporation, Inc. (the Company) pursuant to the rules and regulations of the Securities and Exchange Commission (SEC).  Certain information and footnote disclosures normally included in financial statements have been condensed or omitted pursuant to such rules and regulations. Although management believes that the disclosures are adequate to make the information presented understandable, it is suggested that these interim consolidated financial statements be read in conjunction with the Company's Annual Report on Form 10-K for the year ended December 31, 2018 filed with the SEC on February 28, 2019.  In the opinion of management, the accompanying consolidated financial statements of the Company contain all adjustments necessary to fairly present its financial position as of September 30, 2019 and December 31, 2018, net income, comprehensive income and changes in stockholders' equity for the three and nine months ended September 30, 2019 and 2018, and cash flows for the nine months ended September 30, 2019 and 2018.  The results for these interim periods may not be indicative of results for the entire year or for any other period.

The consolidated financial statements have been prepared in conformity with U.S. generally accepted accounting principles (GAAP) established by the Financial Accounting Standards Board (FASB).  References to GAAP issued by the FASB in these footnotes are to the FASB Accounting Standards Codification™, sometimes referred to as the Codification or ASC.
Use of Estimates, Policy [Policy Text Block]
In preparing the consolidated financial statements, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenue and expenses for the reporting period.  Actual results could differ from those estimates.  Material estimates that are particularly susceptible to significant change in the near term are the fair value of financial instruments and the allowance for loan losses
Consolidation, Policy [Policy Text Block]
The accompanying unaudited consolidated financial statements include the accounts of the Company, West Bank, West Bank's special purpose subsidiaries and West Bank's wholly-owned subsidiary WB Funding Corporation (which was liquidated in March 2018).  All significant intercompany transactions and balances have been eliminated in consolidation.  In accordance with GAAP, West Bancorporation Capital Trust I is recorded on the books of the Company using the equity method of accounting and is not consolidated.
New Accounting Pronouncements, Policy [Policy Text Block]

Current accounting developments:  In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842). The guidance in the update supersedes the requirements in ASC Topic 840, Leases. The guidance is intended to increase transparency and comparability among organizations by recognizing right-of-use assets and lease liabilities on the balance sheet. For public companies, this update was effective for interim and annual periods beginning after December 15, 2018. The Company adopted this guidance in the first quarter of 2019. Upon adoption, the Company elected a practical expedient which allowed existing leases to retain their classification as operating leases. The Company also elected the option to account for lease and related non-lease components as a single lease component, and the option not to recognize right-of-use assets and lease liabilities arising from short-term leases (leases with terms of twelve months or less). Lease liabilities are measured at the present value of the remaining lease payments, discounted at the Company's incremental borrowing rate. The right-of-use asset is measured at the amount of the lease liability adjusted for any cumulative prepaid or accrued rent if the lease payments are uneven throughout the lease term. Implementation of the guidance resulted in the recording of a right-of-use asset, included in premises and equipment, and an operating lease liability, included in other liabilities, on the consolidated balance sheet; however it did not have a material impact on the Company's other consolidated financial statements. See additional disclosures in Note 9.

In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments—Credit Losses (Topic 326). The amendments in this update require a financial asset (or a group of financial assets) measured at amortized cost basis to be presented at the net amount expected to be collected. The allowance for credit losses is a valuation account that is deducted from the amortized cost basis of the financial assets to present the net carrying value at the amount expected to be collected on the financial assets. Under the updates, the income statement will reflect the measurement of credit losses for newly recognized financial assets, as well as the expected increases or decreases of expected credit losses that have taken place during the period. The measurement of expected credit losses is based on relevant information about past events, including historical experience, current conditions, and reasonable and supportable forecasts that affect the collectibility of the reported amount of financial assets. An entity must use judgment in determining the relevant information and estimation methods that are appropriate in its circumstances. The allowance for credit losses for purchased financial assets with a more-than-insignificant amount of credit deterioration since origination that are measured at amortized cost basis will be determined in a similar manner to other financial assets measured at amortized cost basis; however, the initial allowance for credit losses will be added to the purchase price rather than being reported as a credit loss expense. Only subsequent changes in the allowance for credit losses will be recorded as a credit loss expense for these assets. Off-balance-sheet arrangements such as commitments to extend credit, guarantees and standby letters of credit that are not considered derivatives under ASC 815 and are not unconditionally cancellable are also within the scope of this update. Credit losses relating to available for sale debt securities should be recorded through an allowance for credit losses. For public companies, the update is effective for annual periods beginning after December 15, 2019, including interim periods within those fiscal years. An entity will apply the amendments in this update on a modified retrospective basis through a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective. In October 2019, the FASB voted to approve amendments to the effective date of ASU No. 2016-13 for smaller reporting companies, as defined by the SEC, and other non-SEC reporting entities. The amendment will delay the effective date to fiscal years beginning after December 31, 2022, including interim periods within those fiscal periods. As the Company is a smaller reporting company, the delay will be applicable to the Company. The final ASU is expected to be issued in November 2019.

The Company is developing its approach for determining the expected credit losses under the new guidance.  The Company continues collecting and retaining historical loan and credit data and is currently evaluating alternative loss estimation models. While the Company currently cannot estimate the impact of adopting this standard, the Company expects the impact will be influenced by the composition, risk characteristics and quality of our loan and securities portfolios, as well as the general economic conditions and forecasts as of the adoption date.

In August 2018, the FASB issued ASU No. 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement. The amendments in this update modify the disclosure requirements for fair value measurements by removing, modifying or adding certain disclosures. The update is effective for interim and annual periods in fiscal years beginning after December 15, 2019, with early adoption permitted for the removed disclosures and delayed adoption until fiscal year 2020 permitted for the new disclosures. The removed and modified disclosures will be adopted on a retrospective basis, and the new disclosures will be adopted on a prospective basis. The adoption will not have a material effect on the Company’s consolidated financial statements.

In April 2019, the FASB issued ASU No. 2019-04, Codification Improvements to Financial Instruments - Credit Losses (ASC 326), Derivatives and Hedging (ASC 815), and Financial Instruments (ASC 825). The amendments in the ASU improve the Codification by eliminating inconsistencies and providing clarifications. The amended guidance in this ASU related to the credit losses will be effective for fiscal years and interim periods beginning after December 15, 2019. The Company is currently evaluating the impact of the ASU on the Company's consolidated financial statements.
Earnings Per Share, Policy [Policy Text Block]
Basic earnings per common share are computed by dividing net income by the weighted average number of common shares outstanding for the period.  Diluted earnings per common share reflect the potential dilution that could occur if the Company's outstanding restricted stock units were vested. The dilutive effect was computed using the treasury stock method, which assumes all stock-based awards were exercised and the hypothetical proceeds from exercise were used by the Company to purchase common stock at the average market price during the period.  The incremental shares, to the extent they would have been dilutive, were included in the denominator of the diluted earnings per common share calculation.
Financing Receivable, Fee and Interest Income [Policy Text Block]
Loans are stated at the principal amounts outstanding, net of unamortized loan fees and costs, with interest income recognized on the interest method based upon the terms of the loan.  Loan origination fees, net of certain direct origination costs, are deferred and recognized as an adjustment of the related loan yield using the interest method. Loans are reported by the portfolio segments identified above and are analyzed by management on this basis.
Loans and Leases Receivable, Nonaccrual Loan and Lease Status, Policy [Policy Text Block]
Delinquencies are determined based on the payment terms of the individual loan agreements. The accrual of interest on past due and other impaired loans is generally discontinued at 90 days past due or when, in the opinion of management, the borrower may be unable to make all payments pursuant to contractual terms.  Unless considered collectible, all interest accrued but not collected for loans that are placed on nonaccrual or charged off is reversed against interest income, if accrued in the current year, or charged to the allowance for loan losses, if accrued in the prior year.  Generally, all payments received while a loan is on nonaccrual status are applied to the principal balance of the loan. Loans are returned to accrual status when all principal and interest amounts contractually due are brought current and future payments are reasonably assured. 
Troubled Debt Restructuring [Policy Text Block]
A loan is classified as a troubled debt restructured (TDR) loan when the Company separately concludes that a borrower is experiencing financial difficulties and a concession is granted that would not otherwise be considered. Concessions may include a restructuring of the loan terms to alleviate the burden of the borrower's cash requirements, such as an extension of the payment terms beyond the original maturity date or a change in the interest rate charged.  TDR loans with extended payment terms are accounted for as impaired until performance is established. A change to the interest rate would change the classification of a loan to a TDR loan if the restructured loan yields a rate that is below a market rate for that of a new loan with comparable risk. TDR loans with below-market rates are considered impaired until fully collected. TDR loans may also be reported as nonaccrual or 90 days past due if they are not performing per the restructured terms.

Impaired Financing Receivable, Policy [Policy Text Block]
Based upon its ongoing assessment of credit quality within the loan portfolio, the Company maintains a Watch List, which includes loans classified as Doubtful, Substandard and Watch according to the Company's classification criteria. These loans involve the anticipated potential for payment defaults or collateral inadequacies. A loan on the Watch List is considered impaired when management believes it is probable the Company will be unable to collect all contractual principal and interest payments due in accordance with the terms of the loan agreement.  Impaired loans are measured based on the present value of expected future cash flows discounted at the loan's effective interest rate or, as a practical expedient, at the loan's observable market price or the fair value of the collateral if the loan is collateral dependent.  The amount of impairment, if any, and any subsequent changes are included in the allowance for loan losses.
Loans and Leases Receivable, Allowance for Loan Losses Policy [Policy Text Block]
The allowance for loan losses is established through a provision for loan losses charged to expense.  The allowance is an amount that management believes will be adequate to absorb probable losses on existing loans based on an evaluation of the collectability of loans and prior loss experience.  This evaluation also takes into consideration such factors as changes in the nature and volume of the loan portfolio, overall portfolio quality, the review of specific problem loans, and the current economic conditions that may affect the borrower's ability to pay.  Loans are charged-off against the allowance for loan losses when management believes that collectability of the principal is unlikely. While management uses the best information available to make its evaluations, future adjustments to the allowance may be necessary if there are significant changes in economic conditions or the other factors relied upon.

The allowance for loan losses consists of specific and general components.  The specific component relates to loans that meet the definition of impaired.  The general component covers the remaining loans and is based on historical loss experience adjusted for qualitative factors such as delinquency trends, loan growth, economic elements and local market conditions.  These same policies are applied to all segments of loans. In addition, regulatory agencies, as an integral part of their examination processes, periodically review the Company's allowance for loan losses, and may require the Company to make additions to the allowance based on their judgment about information available to them at the time of their examinations.
Fair Value Measurement, Policy [Policy Text Block]
Accounting guidance on fair value measurements and disclosures defines fair value and establishes a framework for measuring the fair value of assets and liabilities using a hierarchy system.  Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants in the market in which the reporting entity transacts business.

The Company's balance sheet contains investment securities available for sale and derivative instruments that are recorded at fair value on a recurring basis.  The three-level valuation hierarchy for disclosure of fair value is as follows:

Level 1 uses quoted market prices in active markets for identical assets or liabilities.

Level 2 uses observable market-based inputs or unobservable inputs that are corroborated by market data.

Level 3 uses unobservable inputs that are not corroborated by market data.

The Company's policy is to recognize transfers between levels at the end of each reporting period, if applicable. There were no transfers between levels of the fair value hierarchy during the nine months ended September 30, 2019.

The following is a description of valuation methodologies used for financial assets and liabilities recorded at fair value on a recurring basis.

Investment securities available for sale: When available, quoted market prices are used to determine the fair value of investment securities (Level 1). If quoted market prices are not available, the Company determines fair value based on various sources and may apply matrix pricing with observable prices for similar bonds where a price for the identical bond is not observable (Level 2). The fair values of these securities are determined by pricing models that consider observable market data such as interest rate volatilities, LIBOR yield curve, credit spreads, prices from market makers and live trading systems. For the corporate bond portfolio, the Company has elected to use a matrix pricing model as a practical expedient to individual quoted market prices.

Generally, management obtains the fair value of investment securities at the end of each reporting period via a third-party pricing service. Management reviewed the valuation process used by the third party and believed the process was valid. On a quarterly basis, management corroborates the fair values of a randomly selected sample of investment securities by obtaining pricing from an independent financial market data vendor and comparing the two sets of fair values. Any significant variances are reviewed and investigated. For a sample of securities, prices are further validated by management by obtaining details of the inputs used by the pricing service. Those inputs were independently tested, and management concluded the fair values were consistent with GAAP requirements and the investment securities were properly classified in the fair value hierarchy.

Derivative instruments: The Company's derivative instruments consist of interest rate swaps, which are accounted for as cash flow hedges. The Company's derivative positions are classified within Level 2 of the fair value hierarchy and are valued using models generally accepted in the financial services industry and that use actively quoted or observable market input values from external market data providers and/or non-binding broker-dealer quotations. The fair value of the derivatives is determined using discounted cash flow models. These models’ key assumptions include the contractual terms of the respective contract along with significant observable inputs, including interest rates, yield curves, nonperformance risk and volatility.
Fair Value Transfer, Policy [Policy Text Block]
The Company's policy is to recognize transfers between levels at the end of each reporting period, if applicable.
Fair Value of Financial Instruments, Policy [Policy Text Block]
GAAP requires disclosure of the fair value of financial assets and financial liabilities, including those that are not measured and reported at fair value on a recurring or nonrecurring basis.  
Off-Balance-Sheet Credit Exposure, Policy [Policy Text Block]
The Company is party to financial instruments with off-balance-sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments include commitments to extend credit and standby letters of credit.  These instruments involve, to varying degrees, elements of credit risk in excess of the amount recognized in the consolidated balance sheets. The Company's exposure to credit loss in the event of nonperformance by the other party to the financial instrument for commitments to extend credit and standby letters of credit is represented by the contractual amount of those instruments. The Company uses the same credit policies in making commitments and conditional obligations that it uses for on-balance-sheet instruments. 
v3.19.3
Earnings Per Common Share (Tables)
9 Months Ended
Sep. 30, 2019
Earnings Per Share [Abstract]  
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]
The calculations of earnings per common share and diluted earnings per common share for the three and nine months ended September 30, 2019 and 2018 are presented in the following table.

 
Three Months Ended September 30,
 
Nine Months Ended September 30,
(in thousands, except per share data)
2019
 
2018
 
2019
 
2018
Net income
$
7,526

 
$
7,133

 
$
21,083

 
$
21,281

 
 
 
 
 
 
 
 
Weighted average common shares outstanding
16,380

 
16,295

 
16,352

 
16,268

Weighted average effect of restricted stock units outstanding
86

 
106

 
79

 
132

Diluted weighted average common shares outstanding
16,466

 
16,401

 
16,431

 
16,400

 
 

 
 

 
 

 
 

Basic earnings per common share
$
0.46

 
$
0.44

 
$
1.29

 
$
1.31

Diluted earnings per common share
$
0.46

 
$
0.43

 
$
1.28

 
$
1.30

Number of anti-dilutive common stock equivalents excluded from diluted earnings per share computation
160

 
137

 
183

 
92



v3.19.3
Investment Securities (Tables)
9 Months Ended
Sep. 30, 2019
Investments, Debt and Equity Securities [Abstract]  
Unrealized Gain (Loss) on Investments [Table Text Block]

The following tables show the amortized cost, gross unrealized gains and losses, and fair value of investment securities, by investment security type as of September 30, 2019 and December 31, 2018.
 
September 30, 2019
 
Amortized
Cost
 
Gross
Unrealized
Gains
 
Gross
Unrealized
(Losses)
 
Fair
Value
Securities available for sale:
 
 
 
 
 
 
 
State and political subdivisions
$
46,164

 
$
1,754

 
$

 
$
47,918

Collateralized mortgage obligations (1)
202,616

 
2,055

 
(469
)
 
204,202

Mortgage-backed securities (1)
50,908

 
303

 
(123
)
 
51,088

Asset-backed securities (2)
18,568

 
63

 
(28
)
 
18,603

Collateralized loan obligations
71,909

 
32

 
(70
)
 
71,871

Corporate notes
17,300

 
164

 
(775
)
 
16,689

 
$
407,465

 
$
4,371

 
$
(1,465
)
 
$
410,371

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
December 31, 2018
 
Amortized
Cost
 
Gross
Unrealized
Gains
 
Gross
Unrealized
(Losses)
 
Fair
Value
Securities available for sale:
 
 
 
 
 
 
 
State and political subdivisions
$
152,293

 
$
156

 
$
(3,293
)
 
$
149,156

Collateralized mortgage obligations (1)
161,392

 

 
(4,388
)
 
157,004

Mortgage-backed securities (1)
64,813

 

 
(1,435
)
 
63,378

Asset-backed securities (2)
32,076

 
2

 
(175
)
 
31,903

Trust preferred security
2,153

 

 
(253
)
 
1,900

Corporate notes
51,862

 
124

 
(1,569
)
 
50,417

 
$
464,589

 
$
282

 
$
(11,113
)
 
$
453,758

(1)
All collateralized mortgage obligations and mortgage-backed securities consist of residential mortgage pass-through securities guaranteed by FHLMC or FNMA, real estate mortgage investment conduits guaranteed by FNMA, FHLMC or GNMA, and commercial mortgage pass-through securities guaranteed by the SBA.
(2)
Pass-through asset-backed securities guaranteed by the SBA
Investments Classified by Contractual Maturity Date [Table Text Block]
The amortized cost and fair value of investment securities available for sale as of September 30, 2019, by contractual maturity, are shown below. Certain securities have call features that allow the issuer to call the securities prior to maturity.  Expected maturities may differ from contractual maturities for collateralized mortgage obligations, mortgage-backed securities and asset-backed securities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.  Therefore, collateralized mortgage obligations, mortgage-backed securities and asset-backed securities are not included in the maturity categories within the following maturity summary.
 
September 30, 2019
 
Amortized Cost
 
Fair Value
Due in one year or less
$
2,000

 
$
2,001

Due after one year through five years
19,967

 
19,979

Due after five years through ten years
69,079

 
68,432

Due after ten years
44,327

 
46,066

 
135,373

 
136,478

Collateralized mortgage obligations, mortgage-backed securities and asset-backed securities
272,092

 
273,893

 
$
407,465

 
$
410,371

Schedule of Realized Gain (Loss) [Table Text Block]
The details of the sales of investment securities available for sale for the three and nine months ended September 30, 2019 and 2018 are summarized in the following table.
 
Three Months Ended September 30,
 
Nine Months Ended September 30,
 
2019
 
2018
 
2019
 
2018
Proceeds from sales
$
11,095

 
$
56,924

 
$
156,437

 
$
66,140

Gross gains on sales
37

 
64

 
868

 
98

Gross losses on sales
36

 
142

 
932

 
201

Schedule of Unrealized Loss on Investments [Table Text Block]
The following tables show the fair value and gross unrealized losses, aggregated by investment type and length of time that individual securities have been in a continuous loss position, as of September 30, 2019 and December 31, 2018.
 
September 30, 2019
 
Less than 12 months
 
12 months or longer
 
Total
 
Fair
Value
 
Gross
Unrealized
(Losses)
 
Fair
Value
 
Gross
Unrealized
(Losses)
 
Fair
Value
 
Gross
Unrealized
(Losses)
Securities available for sale:
 
 
 
 
 
 
 
 
 
 
 
Collateralized mortgage obligations
$
43,662

 
$
(168
)
 
$
40,628

 
$
(301
)
 
$
84,290

 
$
(469
)
Mortgage-backed securities
14,916

 
(55
)
 
4,821

 
(68
)
 
19,737

 
(123
)
Asset-backed securities
3,842

 
(6
)
 
7,618

 
(22
)
 
11,460

 
(28
)
Collateralized loan obligations
26,890

 
(70
)
 

 

 
26,890

 
(70
)
Corporate notes

 

 
9,225

 
(775
)
 
9,225

 
(775
)
 
$
89,310

 
$
(299
)
 
$
62,292

 
$
(1,166
)
 
$
151,602

 
$
(1,465
)
 
 

 
 

 
 

 
 

 
 

 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
December 31, 2018
 
Less than 12 months
 
12 months or longer
 
Total
 
Fair
Value
 
Gross
Unrealized
(Losses)
 
Fair
Value
 
Gross
Unrealized
(Losses)
 
Fair
Value
 
Gross
Unrealized
(Losses)
Securities available for sale:
 
 
 
 
 
 
 
 
 
 
 
State and political subdivisions
$
21,264

 
$
(221
)
 
$
102,853

 
$
(3,072
)
 
$
124,117

 
$
(3,293
)
Collateralized mortgage obligations
32,230

 
(250
)
 
124,775

 
(4,138
)
 
157,005

 
(4,388
)
Mortgage-backed securities
10,960

 
(103
)
 
51,823

 
(1,332
)
 
62,783

 
(1,435
)
Asset-backed securities
6,668

 
(31
)
 
16,486

 
(144
)
 
23,154

 
(175
)
Trust preferred security

 

 
1,900

 
(253
)
 
1,900

 
(253
)
Corporate notes
19,470

 
(611
)
 
19,041

 
(958
)
 
38,511

 
(1,569
)
 
$
90,592

 
$
(1,216
)
 
$
316,878

 
$
(9,897
)
 
$
407,470

 
$
(11,113
)

v3.19.3
Loans and Allowance for Loan Losses (Tables)
9 Months Ended
Sep. 30, 2019
Loans and Allowance for Loan Losses [Abstract]  
Schedule of Loans [Table Text Block]
Loans consisted of the following segments as of September 30, 2019 and December 31, 2018.
 
September 30, 2019
 
December 31, 2018
Commercial
$
396,202

 
$
358,763

Real estate:
 
 
 
Construction, land and land development
252,242

 
245,810

1-4 family residential first mortgages
49,460

 
49,052

Home equity
13,158

 
14,469

Commercial
1,120,433

 
1,050,025

Consumer and other
7,423

 
6,211

 
1,838,918

 
1,724,330

Net unamortized fees and costs
(2,188
)
 
(2,500
)
 
$
1,836,730

 
$
1,721,830

Impaired Loans [Table Text Block]
The following table summarizes the recorded investment in impaired loans by segment, broken down by loans with no related allowance for loan losses and loans with a related allowance and the amount of that allowance as of September 30, 2019 and December 31, 2018.
 
September 30, 2019
 
December 31, 2018
 
Recorded Investment
 
Unpaid Principal Balance
 
Related Allowance
 
Recorded Investment
 
Unpaid Principal Balance
 
Related Allowance
With no related allowance recorded:
 
 
 
 
 
 
 
 
 
 
 
Commercial
$
442

 
$
442

 
$

 
$
1,014

 
$
1,014

 
$

Real estate:
 
 
 
 
 
 
 
 
 
 
 
Construction, land and land development

 

 

 

 

 

1-4 family residential first mortgages
13

 
13

 

 
106

 
106

 

Home equity
34

 
34

 

 
41

 
41

 

Commercial
32

 
32

 

 
652

 
652

 

Consumer and other

 

 

 

 

 

 
521

 
521

 

 
1,813

 
1,813

 

With an allowance recorded:
 
 
 
 
 
 
 
 
 
 
 
Commercial

 

 

 
15

 
15

 
15

Real estate:
 
 
 
 
 
 
 
 
 
 
 
Construction, land and land development

 

 

 

 

 

1-4 family residential first mortgages

 

 

 

 

 

Home equity

 

 

 

 

 

Commercial

 

 

 
100

 
100

 
100

Consumer and other

 

 

 

 

 

 

 

 

 
115

 
115

 
115

Total:
 
 
 
 
 
 
 
 
 
 
 
Commercial
442

 
442

 

 
1,029

 
1,029

 
15

Real estate:
 
 
 
 
 
 
 
 
 
 
 
Construction, land and land development

 

 

 

 

 

1-4 family residential first mortgages
13

 
13

 

 
106

 
106

 

Home equity
34

 
34

 

 
41

 
41

 

Commercial
32

 
32

 

 
752

 
752

 
100

Consumer and other

 

 

 

 

 

 
$
521

 
$
521

 
$

 
$
1,928

 
$
1,928

 
$
115

Schedule of Impaired Loans With and Without an Allowance [Table Text Block]
The following table summarizes the average recorded investment and interest income recognized on impaired loans by segment for the three and nine months ended September 30, 2019 and 2018.
 
Three Months Ended September 30,
 
Nine Months Ended September 30,
 
2019
 
2018
 
2019
 
2018
 
Average Recorded Investment
 
Interest Income Recognized
 
Average Recorded Investment
 
Interest Income Recognized
 
Average Recorded Investment
 
Interest Income Recognized
 
Average Recorded Investment
 
Interest Income Recognized
With no related allowance recorded:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Commercial
$
546

 
$
39

 
$
950

 
$

 
$
796

 
$
39

 
$
661

 
$

Real estate:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Construction, land and land development

 

 

 

 

 

 

 

1-4 family residential first mortgages
16

 

 
113

 

 
52

 
6

 
115

 

Home equity
35

 

 
129

 
6

 
34

 
2

 
155

 
6

Commercial
305

 
22

 
707

 

 
495

 
22

 
581

 

Consumer and other

 

 

 

 

 

 

 

 
902

 
61

 
1,899

 
6

 
1,377

 
69

 
1,512

 
6

With an allowance recorded:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Commercial

 

 

 

 
9

 

 

 

Real estate:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Construction, land and land development

 

 

 

 

 

 

 

1-4 family residential first mortgages

 

 

 

 

 

 

 

Home equity

 

 
15

 

 

 

 
17

 

Commercial
45

 
6

 
107

 

 
76

 
6

 
112

 

Consumer and other

 

 

 

 

 

 

 

 
45

 
6

 
122

 

 
85

 
6

 
129

 

Total:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Commercial
546

 
39

 
950

 

 
805

 
39

 
661

 

Real estate:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Construction, land and land development

 

 

 

 

 

 

 

1-4 family residential first mortgages
16

 

 
113

 

 
52

 
6

 
115

 

Home equity
35

 

 
144

 
6

 
34

 
2

 
172

 
6

Commercial
350

 
28

 
814

 

 
571

 
28

 
693

 

Consumer and other

 

 

 

 

 

 

 

 
$
947

 
$
67

 
$
2,021

 
$
6

 
$
1,462

 
$
75

 
$
1,641

 
$
6



Past Due Loans [Table Text Block]
The following tables provide an analysis of the payment status of the recorded investment in loans as of September 30, 2019 and December 31, 2018.
 
September 30, 2019
 
30-59
Days Past
Due
 
60-89
Days Past
Due
 
90 Days
or More
Past Due
 
Total
Past Due
 
Current
 
Nonaccrual Loans
 
Total Loans
Commercial
$

 
$

 
$

 
$

 
$
395,760

 
$
442

 
$
396,202

Real estate:
 
 
 
 
 
 
 
 
 
 
 
 
 
Construction, land and
 
 
 
 
 
 
 
 
 
 
 
 
 
land development

 

 

 

 
252,242

 

 
252,242

1-4 family residential
 
 
 
 
 
 
 
 
 
 
 
 
 
first mortgages
171

 

 

 
171

 
49,276

 
13

 
49,460

Home equity

 

 

 

 
13,124

 
34

 
13,158

Commercial

 

 

 

 
1,120,401

 
32

 
1,120,433

Consumer and other

 

 

 

 
7,423

 

 
7,423

Total
$
171

 
$

 
$

 
$
171

 
$
1,838,226

 
$
521

 
$
1,838,918

 
December 31, 2018
 
30-59
Days Past
Due
 
60-89
Days Past
Due
 
90 Days
or More
Past Due
 
Total
Past Due
 
Current
 
Nonaccrual Loans
 
Total
Loans
Commercial
$
54

 
$

 
$

 
$
54

 
$
357,680

 
$
1,029

 
$
358,763

Real estate:
 
 
 
 
 
 
 
 
 
 
 
 
 
Construction, land and
 
 
 
 
 
 
 
 
 
 
 
 
 
land development

 

 

 

 
245,810

 

 
245,810

1-4 family residential
 
 
 
 
 
 
 
 
 
 
 
 
 
first mortgages
157

 

 

 
157

 
48,789

 
106

 
49,052

Home equity

 

 

 

 
14,428

 
41

 
14,469

Commercial

 

 

 

 
1,049,273

 
752

 
1,050,025

Consumer and other

 

 

 

 
6,211

 

 
6,211

Total
$
211

 
$

 
$

 
$
211

 
$
1,722,191

 
$
1,928

 
$
1,724,330


Loan Credit Quality Indicators [Table Text Block]
The following tables present the recorded investment in loans by credit quality indicator and loan segment as of September 30, 2019 and December 31, 2018.
 
September 30, 2019
 
Pass
 
Watch
 
Substandard
 
Doubtful
 
Total
Commercial
$
373,737

 
$
21,168

 
$
1,297

 
$

 
$
396,202

Real estate:
 
 
 
 
 
 
 
 
 
Construction, land and land development
252,242

 

 

 

 
252,242

1-4 family residential first mortgages
47,627

 
1,360

 
473

 

 
49,460

Home equity
13,086

 
38

 
34

 

 
13,158

Commercial
1,091,736

 
28,587

 
110

 

 
1,120,433

Consumer and other
7,373

 
50

 

 

 
7,423

Total
$
1,785,801

 
$
51,203

 
$
1,914

 
$

 
$
1,838,918

 
December 31, 2018
 
Pass
 
Watch
 
Substandard
 
Doubtful
 
Total
Commercial
$
336,861

 
$
19,886

 
$
2,016

 
$

 
$
358,763

Real estate:
 
 
 
 
 
 
 
 
 
Construction, land and land development
245,810

 

 

 

 
245,810

1-4 family residential first mortgages
47,923

 
963

 
166

 

 
49,052

Home equity
14,352

 
46

 
71

 

 
14,469

Commercial
1,019,256

 
29,063

 
1,706

 

 
1,050,025

Consumer and other
6,186

 

 
25

 

 
6,211

Total
$
1,670,388

 
$
49,958

 
$
3,984

 
$

 
$
1,724,330

Allowance for Loan Losses [Table Text Block]
The following tables detail the changes in the allowance for loan losses by segment for the three and nine months ended September 30, 2019 and 2018.
 
Three Months Ended September 30, 2019
 
 
 
Real Estate
 
 
 
 
 
Commercial
 
Construction and Land
 
1-4 Family Residential
 
Home Equity
 
Commercial
 
Consumer and Other
 
Total
Beginning balance
$
3,732

 
$
2,286

 
$
222

 
$
139

 
$
10,275

 
$
83

 
$
16,737

Charge-offs
(199
)
 

 

 

 

 

 
(199
)
Recoveries
168

 

 
5

 
27

 
3

 
1

 
204

Provision (1)
12

 
81

 
(8
)
 
(19
)
 
233

 
1

 
300

Ending balance
$
3,713

 
$
2,367

 
$
219

 
$
147

 
$
10,511

 
$
85

 
$
17,042

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Three Months Ended September 30, 2018
 
 
 
Real Estate
 
 
 
 
 
Commercial
 
Construction and Land
 
1-4 Family Residential
 
Home Equity
 
Commercial
 
Consumer and Other
 
Total
Beginning balance
$
3,673

 
$
1,911

 
$
304

 
$
182

 
$
10,369

 
$
79

 
$
16,518

Charge-offs

 

 

 

 

 

 

Recoveries
539

 

 
7

 
6

 
2

 
1

 
555

Provision (1)
(907
)
 
185

 
(23
)
 

 
346

 
(1
)
 
(400
)
Ending balance
$
3,305

 
$
2,096

 
$
288

 
$
188

 
$
10,717

 
$
79

 
$
16,673

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Nine Months Ended September 30, 2019
 
 
 
Real Estate
 
 
 
 
 
Commercial
 
Construction and Land
 
1-4 Family Residential
 
Home Equity
 
Commercial
 
Consumer and Other
 
Total
Beginning balance
$
3,508

 
$
2,384

 
$
250

 
$
171

 
$
10,301

 
$
75

 
$
16,689

Charge-offs
(254
)
 

 

 

 

 

 
(254
)
Recoveries
227

 

 
14

 
50

 
9

 
7

 
307

Provision (1)
232

 
(17
)
 
(45
)
 
(74
)
 
201

 
3

 
300

Ending balance
$
3,713

 
$
2,367

 
$
219

 
$
147

 
$
10,511

 
$
85

 
$
17,042

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Nine Months Ended September 30, 2018
 
 
 
Real Estate
 
 
 
 
 
Commercial
 
Construction and Land
 
1-4 Family Residential
 
Home Equity
 
Commercial
 
Consumer and Other
 
Total
Beginning balance
$
3,866

 
$
2,213

 
$
319

 
$
186

 
$
9,770

 
$
76

 
$
16,430

Charge-offs
(208
)
 

 

 
(1
)
 

 

 
(209
)
Recoveries
649

 

 
14

 
17

 
9

 
13

 
702

Provision (1)
(1,002
)
 
(117
)
 
(45
)
 
(14
)
 
938

 
(10
)
 
(250
)
Ending balance
$
3,305

 
$
2,096

 
$
288

 
$
188

 
$
10,717

 
$
79

 
$
16,673

(1)
The negative provisions for the various segments are related to the decline in outstanding balances in each of those portfolio segments during the time periods disclosed and/or improvement in the credit quality factors related to those portfolio segments.
Allowance for Loan Losses by Impairment Method [Table Text Block]
The following tables present a breakdown of the allowance for loan losses disaggregated on the basis of impairment analysis method by segment as of September 30, 2019 and December 31, 2018.
 
September 30, 2019
 
 
 
Real Estate
 
 
 
 
 
Commercial
 
Construction and Land
 
1-4 Family Residential
 
Home Equity
 
Commercial
 
Consumer and Other
 
Total
Ending balance:
 
 
 
 
 
 
 
 
 
 
 
 
 
Individually evaluated for impairment
$

 
$

 
$

 
$

 
$

 
$

 
$

Collectively evaluated for impairment
3,713

 
2,367

 
219

 
147

 
10,511

 
85

 
17,042

Total
$
3,713

 
$
2,367

 
$
219

 
$
147

 
$
10,511

 
$
85

 
$
17,042

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
December 31, 2018
 
 
 
Real Estate
 
 
 
 
 
Commercial
 
Construction and Land
 
1-4 Family Residential
 
Home Equity
 
Commercial
 
Consumer and Other
 
Total
Ending balance:
 
 
 
 
 
 
 
 
 
 
 
 
 
Individually evaluated for impairment
$
15

 
$

 
$

 
$

 
$
100

 
$

 
$
115

Collectively evaluated for impairment
3,493

 
2,384

 
250

 
171

 
10,201

 
75

 
16,574

Total
$
3,508

 
$
2,384

 
$
250

 
$
171

 
$
10,301

 
$
75

 
$
16,689

Loans by Impairment Method [Table Text Block]
The following tables present the recorded investment in loans, exclusive of unamortized fees and costs, disaggregated on the basis of impairment analysis method by segment as of September 30, 2019 and December 31, 2018.
 
September 30, 2019
 
 
 
Real Estate
 
 
 
 
 
Commercial
 
Construction and Land
 
1-4 Family Residential
 
Home Equity
 
Commercial
 
Consumer and Other
 
Total
Ending balance:
 
 
 
 
 
 
 
 
 
 
 
 
 
Individually evaluated for impairment
$
442

 
$

 
$
13

 
$
34

 
$
32

 
$

 
$
521

Collectively evaluated for impairment
395,760

 
252,242

 
49,447

 
13,124

 
1,120,401

 
7,423

 
1,838,397

Total
$
396,202

 
$
252,242

 
$
49,460

 
$
13,158

 
$
1,120,433

 
$
7,423

 
$
1,838,918

 
December 31, 2018
 
 
 
Real Estate
 
 
 
 
 
Commercial
 
Construction and Land
 
1-4 Family Residential
 
Home Equity
 
Commercial
 
Consumer and Other
 
Total
Ending balance:
 
 
 
 
 
 
 
 
 
 
 
 
 
Individually evaluated for impairment
$
1,029

 
$

 
$
106

 
$
41

 
$
752

 
$

 
$
1,928

Collectively evaluated for impairment
357,734

 
245,810

 
48,946

 
14,428

 
1,049,273

 
6,211

 
1,722,402

Total
$
358,763

 
$
245,810

 
$
49,052

 
$
14,469

 
$
1,050,025

 
$
6,211

 
$
1,724,330

v3.19.3
Derivatives (Tables)
9 Months Ended
Sep. 30, 2019
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value [Table Text Block]
The table below identifies the balance sheet category and fair values of the Company's derivative instruments designated as cash flow hedges as of September 30, 2019 and December 31, 2018.
 
 
Notional
Amount
 
Fair Value
 
Balance Sheet
Category
 
Weighted Average Floating Rate Received
 
Weighted Average Fixed Rate Paid
 
Weighted Average Maturity - Years
September 30, 2019
 
 
 
 
 
 
 
 
 
 
 
 
Interest rate swaps
 
$
260,000

 
$
(9,249
)
 
Other Liabilities
 
2.42
%
 
2.34
%
 
5.7
Forward-starting interest rate swaps
 
75,000

 
(1,594
)
 
Other Liabilities
 
%
 
1.73
%
 
6.0
December 31, 2018
 
 
 
 
 
 
 
 
 
 
 
 
Interest rate swaps
 
$
110,000

 
$
1,863

 
Other Assets
 
3.22
%
 
2.82
%
 
5.7

Schedule of Derivative Instruments, Gain (Loss) in Statement of Financial Performance [Table Text Block]
The following table identifies the pre-tax gains or losses recognized on the Company's derivative instruments designated as cash flow hedges for the nine months ended September 30, 2019 and 2018.
 
 
 
 
 
 
Reclassified from AOCI into Income
 
 
Amount of Pre-tax Gain (Loss) Recognized in OCI
 
 
 
 
 
 
Amount of Gain (Loss)
 
 
Nine Months Ended September 30,
 
 
 
Nine Months Ended September 30,
 
 
2019
 
2018
 
Category
 
2019
 
2018
Interest rate swaps
 
$
(12,357
)
 
$
3,512

 
Interest Expense
 
$
280

 
$
(96
)


v3.19.3
Deferred Income Taxes (Tables)
9 Months Ended
Sep. 30, 2019
Components of Deferred Tax Assets and Liabilities [Abstract]  
Schedule of Deferred Tax Assets and Liabilities [Table Text Block]
Net deferred tax assets consisted of the following as of September 30, 2019 and December 31, 2018.  
 
September 30, 2019
 
December 31, 2018
Deferred tax assets:
 
 
 
Allowance for loan losses
$
4,261

 
$
4,172

Net unrealized losses on securities available for sale

 
2,708

Net unrealized losses on interest rate swaps
2,727

 

Lease liability
2,362

 

Accrued expenses
238

 
346

Restricted stock compensation
636

 
704

State net operating loss carryforward
1,096

 
1,021

Capital loss carryforward
3

 

Other
57

 
67

 
11,380

 
9,018

Deferred tax liabilities:
 
 
 
Right-of-use asset
2,304

 

Net deferred loan fees and costs
199

 
183

Net unrealized gains on securities available for sale
726

 

Net unrealized gains on interest rate swaps

 
429

Premises and equipment
758

 
694

Other
209

 
173

 
4,196

 
1,479

Net deferred tax assets before valuation allowance
7,184

 
7,539

Valuation allowance
(1,099
)
 
(1,021
)
Net deferred tax assets
$
6,085

 
$
6,518

v3.19.3
Comprehensive Income (Tables)
9 Months Ended
Sep. 30, 2019
Equity [Abstract]  
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block]
The following table summarizes the changes in the balances of each component of accumulated other comprehensive income (loss), net of tax, for the nine months ended September 30, 2019 and 2018.
 
 
Unrealized
 
Unrealized
 
Accumulated
 
 
Gains
 
Gains
 
Other
 
 
(Losses) on
 
(Losses) on
 
Comprehensive
 
 
Securities
 
Derivatives
 
Income (Loss)
Balance, December 31, 2018
 
$
(8,123
)
 
$
1,309

 
$
(6,814
)
Other comprehensive income (loss) before reclassifications
 
10,255

 
(9,268
)
 
987

Amounts reclassified from accumulated other comprehensive income
 
48

 
(213
)
 
(165
)
Net current period other comprehensive income (loss)
 
10,303

 
(9,481
)
 
822

Balance, September 30, 2019
 
$
2,180

 
$
(8,172
)
 
$
(5,992
)
 
 
 
 
 
 
 
Balance, December 31, 2017
 
$
(2,237
)
 
$
345

 
$
(1,892
)
Transfer of securities held to maturity to securities available for sale
 
273

 

 
273

Other comprehensive income (loss) before reclassifications
 
(9,281
)
 
2,634

 
(6,647
)
Amounts reclassified from accumulated other comprehensive income
 
53

 
69

 
122

Net current period other comprehensive income (loss)
 
(8,955
)
 
2,703

 
(6,252
)
Reclassification of stranded tax effects
 
(475
)
 
105

 
(370
)
Balance, September 30, 2018
 
$
(11,667
)
 
$
3,153

 
$
(8,514
)
v3.19.3
Commitments and Contingencies (Tables)
9 Months Ended
Sep. 30, 2019
Commitments and Contingencies Disclosure [Abstract]  
Summary Of Outstanding Commitments To Extend Credit And Letters Of Credit [Table Text Block]
The Company's commitments consisted of the following approximate amounts as of September 30, 2019 and December 31, 2018
 
September 30, 2019
 
December 31, 2018
Commitments to extend credit
$
682,185

 
$
641,581

Standby letters of credit
6,630

 
6,631

 
$
688,815

 
$
648,212

v3.19.3
Leases (Tables)
9 Months Ended
Sep. 30, 2019
Leases Disclosure [Abstract]  
Lessee, Operating Lease, Liability, Maturity [Table Text Block]
Total estimated rental commitments for the operating leases were as follows as of September 30, 2019.
2019
$
421

2020
1,681

2021
1,627

2022
1,583

2023
1,565

Thereafter
3,882

Total lease payments
10,759

Less: interest
(1,310
)
Present value of lease liability
$
9,449



v3.19.3
Fair Value Measurements (Tables)
9 Months Ended
Sep. 30, 2019
Fair Value Disclosures [Abstract]  
Fair Value, Assets Measured on Recurring Basis [Table Text Block]
The following tables present the balances of financial assets and liabilities measured at fair value on a recurring basis by level as of September 30, 2019 and December 31, 2018.

 
 
September 30, 2019
 
 
Total
 
Level 1
 
Level 2
 
Level 3
Financial assets:
 
 
 
 
 
 
 
 
Investment securities available for sale:
 
 
 
 
 
 
 
 
State and political subdivisions
 
$
47,918

 
$

 
$
47,918

 
$

Collateralized mortgage obligations
 
204,202

 

 
204,202

 

Mortgage-backed securities
 
51,088

 

 
51,088

 

Asset-backed securities
 
18,603

 

 
18,603

 

Collateralized loan obligations
 
71,871

 

 
71,871

 

Corporate notes
 
16,689

 

 
16,689

 

 
 
 
 
 
 
 
 
 
Financial liabilities:
 
 
 
 
 
 
 
 
Derivative instruments, interest rate swaps
 
$
10,843

 
$

 
$
10,843

 
$


 
 
December 31, 2018
 
 
Total
 
Level 1
 
Level 2
 
Level 3
Financial assets:
 
 
 
 
 
 
 
 
Investment securities available for sale:
 
 

 
 

 
 

 
 

State and political subdivisions
 
$
149,156

 
$

 
$
149,156

 
$

Collateralized mortgage obligations
 
157,004

 

 
157,004

 

Mortgage-backed securities
 
63,378

 

 
63,378

 

Asset-backed securities
 
31,903

 

 
31,903

 

Trust preferred security
 
1,900

 

 
1,900

 

Corporate notes
 
50,417

 

 
50,417

 

Derivative instruments, interest rate swaps
 
1,863

 

 
1,863

 

Carrying Amounts And Approximate Fair Values Of Financial Instruments [Table Text Block]
The following table presents the carrying amounts and approximate fair values of financial assets and liabilities as of September 30, 2019 and December 31, 2018

 
 
 
September 30, 2019
 
December 31, 2018
 
Fair Value Hierarchy Level
 
Carrying Amount
 
Approximate Fair Value
 
Carrying Amount
 
Approximate Fair Value
Financial assets:
 
 
 
 
 
 
 
 
 
Cash and due from banks
Level 1
 
$
62,119

 
$
62,119

 
$
46,369

 
$
46,369

Federal funds sold
Level 1
 
67,168

 
67,168

 
1,105

 
1,105

Investment securities available for sale
Level 2
 
410,371

 
410,371

 
453,758

 
453,758

Federal Home Loan Bank stock
Level 1
 
11,685

 
11,685

 
12,037

 
12,037

Loans, net
Level 2
 
1,819,688

 
1,839,219

 
1,705,141

 
1,688,700

Accrued interest receivable
Level 1
 
7,995

 
7,995

 
7,631

 
7,631

Interest rate swaps
Level 2
 

 

 
1,863

 
1,863

Financial liabilities:
 
 
 
 
 
 
 
 
 
Deposits
Level 2
 
$
2,024,807

 
$
2,025,620

 
$
1,894,529

 
$
1,893,621

Federal funds purchased
Level 1
 
3,535

 
3,535

 
19,985

 
19,985

Subordinated notes, net
Level 2
 
20,435

 
17,854

 
20,425

 
15,498

Federal Home Loan Bank advances, net
Level 2
 
153,998

 
153,998

 
137,878

 
137,878

Long-term debt
Level 2
 
22,954

 
22,934

 
27,040

 
27,000

Accrued interest payable
Level 1
 
2,146

 
2,146

 
1,317

 
1,317

Interest rate swaps
Level 2
 
10,843

 
10,843

 

 

Off-balance-sheet financial instruments:
 
 
 
 
 
 
 
 
 
Commitments to extend credit
Level 3
 

 

 

 

Standby letters of credit
Level 3
 

 

 

 

v3.19.3
Earnings Per Common Share (Details) - USD ($)
$ / shares in Units, shares in Thousands, $ in Thousands
3 Months Ended 9 Months Ended
Sep. 30, 2019
Sep. 30, 2018
Sep. 30, 2019
Sep. 30, 2018
Earnings Per Share [Abstract]        
Net income $ 7,526 $ 7,133 $ 21,083 $ 21,281
Weighted average common shares outstanding (shares) 16,380 16,295 16,352 16,268
Weighted average effect of restricted stock units outstanding (shares) 86 106 79 132
Diluted weighted average common shares outstanding (shares) 16,466 16,401 16,431 16,400
Basic earnings per common share $ 0.46 $ 0.44 $ 1.29 $ 1.31
Diluted earnings per common share $ 0.46 $ 0.43 $ 1.28 $ 1.30
Number of anti-dilutive common stock equivalents excluded from earnings per share computation (shares) 160 137 183 92
v3.19.3
Investment Securities Security Type - Available for Sale (Details) - USD ($)
$ in Thousands
Sep. 30, 2019
Dec. 31, 2018
Debt Securities, Available-for-sale [Line Items]    
Investment securities available for sale, amortized cost $ 407,465 $ 464,589
Investment securities available for sale, gross unrealized gains 4,371 282
Investment securities available for sale, gross unrealized (losses) (1,465) (11,113)
Investment securities available for sale, at fair value 410,371 453,758
State and political subdivisions [Member]    
Debt Securities, Available-for-sale [Line Items]    
Investment securities available for sale, amortized cost 46,164 152,293
Investment securities available for sale, gross unrealized gains 1,754 156
Investment securities available for sale, gross unrealized (losses) 0 (3,293)
Investment securities available for sale, at fair value 47,918 149,156
Collateralized mortgage obligations [Member]    
Debt Securities, Available-for-sale [Line Items]    
Investment securities available for sale, amortized cost 202,616 161,392
Investment securities available for sale, gross unrealized gains 2,055 0
Investment securities available for sale, gross unrealized (losses) (469) (4,388)
Investment securities available for sale, at fair value 204,202 157,004
Mortgage-backed securities [Member]    
Debt Securities, Available-for-sale [Line Items]    
Investment securities available for sale, amortized cost 50,908 64,813
Investment securities available for sale, gross unrealized gains 303 0
Investment securities available for sale, gross unrealized (losses) (123) (1,435)
Investment securities available for sale, at fair value 51,088 63,378
Asset-backed securities    
Debt Securities, Available-for-sale [Line Items]    
Investment securities available for sale, amortized cost 18,568 32,076
Investment securities available for sale, gross unrealized gains 63 2
Investment securities available for sale, gross unrealized (losses) (28) (175)
Investment securities available for sale, at fair value 18,603 31,903
Collateralized loan obligations [Member]    
Debt Securities, Available-for-sale [Line Items]    
Investment securities available for sale, amortized cost 71,909  
Investment securities available for sale, gross unrealized gains 32  
Investment securities available for sale, gross unrealized (losses) (70)  
Investment securities available for sale, at fair value 71,871  
Trust preferred security [Member]    
Debt Securities, Available-for-sale [Line Items]    
Investment securities available for sale, amortized cost   2,153
Investment securities available for sale, gross unrealized gains   0
Investment securities available for sale, gross unrealized (losses)   (253)
Investment securities available for sale, at fair value   1,900
Corporate notes    
Debt Securities, Available-for-sale [Line Items]    
Investment securities available for sale, amortized cost 17,300 51,862
Investment securities available for sale, gross unrealized gains 164 124
Investment securities available for sale, gross unrealized (losses) (775) (1,569)
Investment securities available for sale, at fair value $ 16,689 $ 50,417
v3.19.3
Investment Securities Contractual Maturities (Details) - USD ($)
$ in Thousands
Sep. 30, 2019
Dec. 31, 2018
Available-for-sale Securities, Debt Maturities, Amortized Cost Basis [Abstract]    
Due in one year or less, amortized cost $ 2,000  
Due after one year through five years, amortized cost 19,967  
Due after five years through ten years, amortized cost 69,079  
Due after ten years, amortized cost 44,327  
Subtotal before securities without single maturities, amortized cost 135,373  
Collateralized mortgage obligations and mortgage-backed and asset-backed securities, amortized cost 272,092  
Investment securities available for sale, amortized cost 407,465 $ 464,589
Available-for-sale Securities, Debt Maturities, Fair Value [Abstract]    
Due in one year or less, fair value 2,001  
Due after one year through five years, fair value 19,979  
Due after five years through ten years, fair value 68,432  
Due after ten years, fair value 46,066  
Subtotal before securities without single maturities, fair value 136,478  
Collateralized mortgage obligations and mortgage-backed and asset-backed securities, fair value 273,893  
Investment securities available for sale, fair value $ 410,371 $ 453,758
v3.19.3
Investment Securities Detail of Sale of Securities (Details) - USD ($)
$ in Thousands
3 Months Ended 9 Months Ended
Sep. 30, 2019
Sep. 30, 2018
Sep. 30, 2019
Sep. 30, 2018
Investment Securities [Abstract]        
Proceeds from sales $ 11,095 $ 56,924 $ 156,437 $ 66,140
Gross gains on sales 37 64 868 98
Gross losses on sales $ 36 $ 142 $ 932 $ 201
v3.19.3
Investment Securities Gross Unrealized Losses - AFS (Details)
$ in Thousands
Sep. 30, 2019
USD ($)
securities
Dec. 31, 2018
USD ($)
Debt Securities, Available-for-sale [Line Items]    
Available-for-sale securities, continuous unrealized loss position, less than 12 months, fair value $ 89,310 $ 90,592
Available-for-sale securities, continuous unrealized loss position, less than 12 months, gross unrealized (losses) (299) (1,216)
Available-for-sale securities, continuous unrealized loss position, 12 months or longer, fair value 62,292 316,878
Available-for-sale securities, continuous unrealized loss position, 12 months or longer, gross unrealized (losses) (1,166) (9,897)
Available-for-sale securities, total, continuous unrealized loss position, fair value 151,602 407,470
Available-for-sale securities, continuous unrealized loss position, gross unrealized (losses) $ (1,465) (11,113)
State and political subdivisions [Member]    
Debt Securities, Available-for-sale [Line Items]    
Available-for-sale securities, continuous unrealized loss position, less than 12 months, fair value   21,264
Available-for-sale securities, continuous unrealized loss position, less than 12 months, gross unrealized (losses)   (221)
Available-for-sale securities, continuous unrealized loss position, 12 months or longer, fair value   102,853
Available-for-sale securities, continuous unrealized loss position, 12 months or longer, gross unrealized (losses)   (3,072)
Available-for-sale securities, total, continuous unrealized loss position, fair value   124,117
Available-for-sale securities, continuous unrealized loss position, gross unrealized (losses)   (3,293)
Collateralized mortgage obligations [Member]    
Debt Securities, Available-for-sale [Line Items]    
Available-for-sales securities in unrealized loss positions, qualitative disclosure, number of positions | securities 27  
Available-for-sale securities, continuous unrealized loss position, less than 12 months, fair value $ 43,662 32,230
Available-for-sale securities, continuous unrealized loss position, less than 12 months, gross unrealized (losses) (168) (250)
Available-for-sale securities, continuous unrealized loss position, 12 months or longer, fair value 40,628 124,775
Available-for-sale securities, continuous unrealized loss position, 12 months or longer, gross unrealized (losses) (301) (4,138)
Available-for-sale securities, total, continuous unrealized loss position, fair value 84,290 157,005
Available-for-sale securities, continuous unrealized loss position, gross unrealized (losses) $ (469) (4,388)
Mortgage-backed securities [Member]    
Debt Securities, Available-for-sale [Line Items]    
Available-for-sales securities in unrealized loss positions, qualitative disclosure, number of positions | securities 7  
Available-for-sale securities, continuous unrealized loss position, less than 12 months, fair value $ 14,916 10,960
Available-for-sale securities, continuous unrealized loss position, less than 12 months, gross unrealized (losses) (55) (103)
Available-for-sale securities, continuous unrealized loss position, 12 months or longer, fair value 4,821 51,823
Available-for-sale securities, continuous unrealized loss position, 12 months or longer, gross unrealized (losses) (68) (1,332)
Available-for-sale securities, total, continuous unrealized loss position, fair value 19,737 62,783
Available-for-sale securities, continuous unrealized loss position, gross unrealized (losses) $ (123) (1,435)
Asset-backed securities    
Debt Securities, Available-for-sale [Line Items]    
Available-for-sales securities in unrealized loss positions, qualitative disclosure, number of positions | securities 3  
Available-for-sale securities, continuous unrealized loss position, less than 12 months, fair value $ 3,842 6,668
Available-for-sale securities, continuous unrealized loss position, less than 12 months, gross unrealized (losses) (6) (31)
Available-for-sale securities, continuous unrealized loss position, 12 months or longer, fair value 7,618 16,486
Available-for-sale securities, continuous unrealized loss position, 12 months or longer, gross unrealized (losses) (22) (144)
Available-for-sale securities, total, continuous unrealized loss position, fair value 11,460 23,154
Available-for-sale securities, continuous unrealized loss position, gross unrealized (losses) $ (28) (175)
Collateralized loan obligations [Member]    
Debt Securities, Available-for-sale [Line Items]    
Available-for-sales securities in unrealized loss positions, qualitative disclosure, number of positions | securities 4  
Available-for-sale securities, continuous unrealized loss position, less than 12 months, fair value $ 26,890  
Available-for-sale securities, continuous unrealized loss position, less than 12 months, gross unrealized (losses) (70)  
Available-for-sale securities, continuous unrealized loss position, 12 months or longer, fair value 0  
Available-for-sale securities, continuous unrealized loss position, 12 months or longer, gross unrealized (losses) 0  
Available-for-sale securities, total, continuous unrealized loss position, fair value 26,890  
Available-for-sale securities, continuous unrealized loss position, gross unrealized (losses) $ (70)  
Trust preferred security [Member]    
Debt Securities, Available-for-sale [Line Items]    
Available-for-sale securities, continuous unrealized loss position, less than 12 months, fair value   0
Available-for-sale securities, continuous unrealized loss position, less than 12 months, gross unrealized (losses)   0
Available-for-sale securities, continuous unrealized loss position, 12 months or longer, fair value   1,900
Available-for-sale securities, continuous unrealized loss position, 12 months or longer, gross unrealized (losses)   (253)
Available-for-sale securities, total, continuous unrealized loss position, fair value   1,900
Available-for-sale securities, continuous unrealized loss position, gross unrealized (losses)   (253)
Corporate notes    
Debt Securities, Available-for-sale [Line Items]    
Available-for-sales securities in unrealized loss positions, qualitative disclosure, number of positions | securities 3  
Available-for-sale securities, continuous unrealized loss position, less than 12 months, fair value $ 0 19,470
Available-for-sale securities, continuous unrealized loss position, less than 12 months, gross unrealized (losses) 0 (611)
Available-for-sale securities, continuous unrealized loss position, 12 months or longer, fair value 9,225 19,041
Available-for-sale securities, continuous unrealized loss position, 12 months or longer, gross unrealized (losses) (775) (958)
Available-for-sale securities, total, continuous unrealized loss position, fair value 9,225 38,511
Available-for-sale securities, continuous unrealized loss position, gross unrealized (losses) $ (775) $ (1,569)
v3.19.3
Investment Securities Other Narratives - AFS securities (Details) - USD ($)
$ in Thousands
Sep. 30, 2019
Dec. 31, 2018
Investments, Debt and Equity Securities [Abstract]    
Securities pledged as collateral at amortized cost $ 138,973 $ 126,531
v3.19.3
Loans and Allowance for Loan Losses Schedule of Loans (Details) - USD ($)
$ in Thousands
Sep. 30, 2019
Dec. 31, 2018
Loans Receivable [Line Items]    
Loans receivable, gross $ 1,838,918 $ 1,724,330
Net unamortized fees and costs (2,188) (2,500)
Loans, net of unamortized fees and costs 1,836,730 1,721,830
Commercial [Member]    
Loans Receivable [Line Items]    
Loans receivable, gross 396,202 358,763
Construction, land and land development [Member]    
Loans Receivable [Line Items]    
Loans receivable, gross 252,242 245,810
1-4 family residential first mortgages [Member]    
Loans Receivable [Line Items]    
Loans receivable, gross 49,460 49,052
Home equity [Member]    
Loans Receivable [Line Items]    
Loans receivable, gross 13,158 14,469
Commercial real estate [Member]    
Loans Receivable [Line Items]    
Loans receivable, gross 1,120,433 1,050,025
Consumer and other [Member]    
Loans Receivable [Line Items]    
Loans receivable, gross $ 7,423 $ 6,211
v3.19.3
Loans and Allowance for Loan Losses Schedule of Troubled Debt Restructured Loans (Details)
$ in Thousands
3 Months Ended 9 Months Ended 12 Months Ended
Sep. 30, 2019
USD ($)
loans
Sep. 30, 2018
USD ($)
loans
Sep. 30, 2019
USD ($)
loans
Sep. 30, 2018
USD ($)
loans
Sep. 30, 2019
USD ($)
loans
Sep. 30, 2018
USD ($)
loans
Dec. 31, 2018
USD ($)
Loans and Allowance for Loan Losses [Abstract]              
Loans, modifications $ 32   $ 32   $ 32   $ 652
Troubled debt restructured loans included in nonaccrual $ 32   $ 32   $ 32   $ 652
Loans, modifications, number of contracts | loans 0 0 0 1      
Loans, modifications, pre-modification recorded investment $ 0 $ 0 $ 0 $ 560      
Loans, modifications, post-modification recorded investment $ 0 $ 0 $ 0 $ 560      
Financing Receivable, Troubled Debt Restructuring, Subsequent Default, Number of Contracts | loans         0 1  
Loans, modifications, subsequent default, recorded investment         $ 0 $ 552  
v3.19.3
Loans and Allowance for Loan Losses Schedule of Impaired Loans With and Without an Allowance (Details)
$ in Thousands
Sep. 30, 2019
USD ($)
Borrowers
Dec. 31, 2018
USD ($)
Borrowers
Loans, Impaired [Line Items]    
Impaired loans, with no related allowance, recorded investment $ 521 $ 1,813
Impaired loans, with no related allowance, unpaid principal balance 521 1,813
Impaired loans, with related allowance, recorded investment 0 115
Impaired loans, with related allowance, unpaid principal balance 0 115
Impaired loans, recorded investment 521 1,928
Impaired loans, unpaid principal balance 521 1,928
Impaired loans, related allowance $ 0 $ 115
Number of borrowers, impaired loans | Borrowers 6 10
Impaired loans, commitment to lend $ 0  
Commercial [Member]    
Loans, Impaired [Line Items]    
Impaired loans, with no related allowance, recorded investment 442 $ 1,014
Impaired loans, with no related allowance, unpaid principal balance 442 1,014
Impaired loans, with related allowance, recorded investment 0 15
Impaired loans, with related allowance, unpaid principal balance 0 15
Impaired loans, recorded investment 442 1,029
Impaired loans, unpaid principal balance 442 1,029
Impaired loans, related allowance 0 15
Construction, land and land development [Member]    
Loans, Impaired [Line Items]    
Impaired loans, with no related allowance, recorded investment 0 0
Impaired loans, with no related allowance, unpaid principal balance 0 0
Impaired loans, with related allowance, recorded investment 0 0
Impaired loans, with related allowance, unpaid principal balance 0 0
Impaired loans, recorded investment 0 0
Impaired loans, unpaid principal balance 0 0
Impaired loans, related allowance 0 0
1-4 family residential first mortgages [Member]    
Loans, Impaired [Line Items]    
Impaired loans, with no related allowance, recorded investment 13 106
Impaired loans, with no related allowance, unpaid principal balance 13 106
Impaired loans, with related allowance, recorded investment 0 0
Impaired loans, with related allowance, unpaid principal balance 0 0
Impaired loans, recorded investment 13 106
Impaired loans, unpaid principal balance 13 106
Impaired loans, related allowance 0 0
Home equity [Member]    
Loans, Impaired [Line Items]    
Impaired loans, with no related allowance, recorded investment 34 41
Impaired loans, with no related allowance, unpaid principal balance 34 41
Impaired loans, with related allowance, recorded investment 0 0
Impaired loans, with related allowance, unpaid principal balance 0 0
Impaired loans, recorded investment 34 41
Impaired loans, unpaid principal balance 34 41
Impaired loans, related allowance 0 0
Commercial real estate [Member]    
Loans, Impaired [Line Items]    
Impaired loans, with no related allowance, recorded investment 32 652
Impaired loans, with no related allowance, unpaid principal balance 32 652
Impaired loans, with related allowance, recorded investment 0 100
Impaired loans, with related allowance, unpaid principal balance 0 100
Impaired loans, recorded investment 32 752
Impaired loans, unpaid principal balance 32 752
Impaired loans, related allowance 0 100
Consumer and other [Member]    
Loans, Impaired [Line Items]    
Impaired loans, with no related allowance, recorded investment 0 0
Impaired loans, with no related allowance, unpaid principal balance 0 0
Impaired loans, with related allowance, recorded investment 0 0
Impaired loans, with related allowance, unpaid principal balance 0 0
Impaired loans, recorded investment 0 0
Impaired loans, unpaid principal balance 0 0
Impaired loans, related allowance $ 0 $ 0
v3.19.3
Loans and Allowance for Loan Losses Schedule of Impaired Loans With and Without an Allowance 2 (Details) - USD ($)
$ in Thousands
3 Months Ended 9 Months Ended
Sep. 30, 2019
Sep. 30, 2018
Sep. 30, 2019
Sep. 30, 2018
Loans, Impaired [Line Items]        
Impaired loans, with no related allowance, average recorded investment $ 902 $ 1,899 $ 1,377 $ 1,512
Impaired loans, with no related allowance, interest income, accrual method 61 6 69 6
Impaired loans, with related allowance, average recorded investment 45 122 85 129
Impaired loans, with related allowance, interest income, accrual method 6 0 6 0
Impaired loans, average recorded investment 947 2,021 1,462 1,641
Impaired loans, interest income, accrual method 67 6 75 6
Commercial [Member]        
Loans, Impaired [Line Items]        
Impaired loans, with no related allowance, average recorded investment 546 950 796 661
Impaired loans, with no related allowance, interest income, accrual method 39 0 39 0
Impaired loans, with related allowance, average recorded investment 0 0 9 0
Impaired loans, with related allowance, interest income, accrual method 0 0 0 0
Impaired loans, average recorded investment 546 950 805 661
Impaired loans, interest income, accrual method 39 0 39 0
Construction, land and land development [Member]        
Loans, Impaired [Line Items]        
Impaired loans, with no related allowance, average recorded investment 0 0 0 0
Impaired loans, with no related allowance, interest income, accrual method 0 0 0 0
Impaired loans, with related allowance, average recorded investment 0 0 0 0
Impaired loans, with related allowance, interest income, accrual method 0 0 0 0
Impaired loans, average recorded investment 0 0 0 0
Impaired loans, interest income, accrual method 0 0 0 0
1-4 family residential first mortgages [Member]        
Loans, Impaired [Line Items]        
Impaired loans, with no related allowance, average recorded investment 16 113 52 115
Impaired loans, with no related allowance, interest income, accrual method 0 0 6 0
Impaired loans, with related allowance, average recorded investment 0 0 0 0
Impaired loans, with related allowance, interest income, accrual method 0 0 0 0
Impaired loans, average recorded investment 16 113 52 115
Impaired loans, interest income, accrual method 0 0 6 0
Home equity [Member]        
Loans, Impaired [Line Items]        
Impaired loans, with no related allowance, average recorded investment 35 129 34 155
Impaired loans, with no related allowance, interest income, accrual method 0 6 2 6
Impaired loans, with related allowance, average recorded investment 0 15 0 17
Impaired loans, with related allowance, interest income, accrual method 0 0 0 0
Impaired loans, average recorded investment 35 144 34 172
Impaired loans, interest income, accrual method 0 6 2 6
Commercial real estate [Member]        
Loans, Impaired [Line Items]        
Impaired loans, with no related allowance, average recorded investment 305 707 495 581
Impaired loans, with no related allowance, interest income, accrual method 22 0 22 0
Impaired loans, with related allowance, average recorded investment 45 107 76 112
Impaired loans, with related allowance, interest income, accrual method 6 0 6 0
Impaired loans, average recorded investment 350 814 571 693
Impaired loans, interest income, accrual method 28 0 28 0
Consumer and other [Member]        
Loans, Impaired [Line Items]        
Impaired loans, with no related allowance, average recorded investment 0 0 0 0
Impaired loans, with no related allowance, interest income, accrual method 0 0 0 0
Impaired loans, with related allowance, average recorded investment 0 0 0 0
Impaired loans, with related allowance, interest income, accrual method 0 0 0 0
Impaired loans, average recorded investment 0 0 0 0
Impaired loans, interest income, accrual method $ 0 $ 0 $ 0 $ 0
v3.19.3
Loans and Allowance for Loan Losses Schedule of Past Due Loans (Details) - USD ($)
$ in Thousands
Sep. 30, 2019
Dec. 31, 2018
Loans, Recorded Investment, Past Due [Line Items]    
Loans, recorded investment, past due $ 171 $ 211
Loans, recorded investment, current 1,838,226 1,722,191
Loans, recorded investment, nonaccrual status 521 1,928
Loans 1,838,918 1,724,330
Commercial [Member]    
Loans, Recorded Investment, Past Due [Line Items]    
Loans, recorded investment, past due 0 54
Loans, recorded investment, current 395,760 357,680
Loans, recorded investment, nonaccrual status 442 1,029
Loans 396,202 358,763
Construction, land and land development [Member]    
Loans, Recorded Investment, Past Due [Line Items]    
Loans, recorded investment, past due 0 0
Loans, recorded investment, current 252,242 245,810
Loans, recorded investment, nonaccrual status 0 0
Loans 252,242 245,810
1-4 family residential first mortgages [Member]    
Loans, Recorded Investment, Past Due [Line Items]    
Loans, recorded investment, past due 171 157
Loans, recorded investment, current 49,276 48,789
Loans, recorded investment, nonaccrual status 13 106
Loans 49,460 49,052
Home equity [Member]    
Loans, Recorded Investment, Past Due [Line Items]    
Loans, recorded investment, past due 0 0
Loans, recorded investment, current 13,124 14,428
Loans, recorded investment, nonaccrual status 34 41
Loans 13,158 14,469
Commercial real estate [Member]    
Loans, Recorded Investment, Past Due [Line Items]    
Loans, recorded investment, past due 0 0
Loans, recorded investment, current 1,120,401 1,049,273
Loans, recorded investment, nonaccrual status 32 752
Loans 1,120,433 1,050,025
Consumer and other [Member]    
Loans, Recorded Investment, Past Due [Line Items]    
Loans, recorded investment, past due 0 0
Loans, recorded investment, current 7,423 6,211
Loans, recorded investment, nonaccrual status 0 0
Loans 7,423 6,211
Loans, 30 to 59 days past due [Member]    
Loans, Recorded Investment, Past Due [Line Items]    
Loans, recorded investment, past due 171 211
Loans, 30 to 59 days past due [Member] | Commercial [Member]    
Loans, Recorded Investment, Past Due [Line Items]    
Loans, recorded investment, past due 0 54
Loans, 30 to 59 days past due [Member] | Construction, land and land development [Member]    
Loans, Recorded Investment, Past Due [Line Items]    
Loans, recorded investment, past due 0 0
Loans, 30 to 59 days past due [Member] | 1-4 family residential first mortgages [Member]    
Loans, Recorded Investment, Past Due [Line Items]    
Loans, recorded investment, past due 171 157
Loans, 30 to 59 days past due [Member] | Home equity [Member]    
Loans, Recorded Investment, Past Due [Line Items]    
Loans, recorded investment, past due 0 0
Loans, 30 to 59 days past due [Member] | Commercial real estate [Member]    
Loans, Recorded Investment, Past Due [Line Items]    
Loans, recorded investment, past due 0 0
Loans, 30 to 59 days past due [Member] | Consumer and other [Member]    
Loans, Recorded Investment, Past Due [Line Items]    
Loans, recorded investment, past due 0 0
Loans, 60 to 89 days past due [Member]    
Loans, Recorded Investment, Past Due [Line Items]    
Loans, recorded investment, past due 0 0
Loans, 60 to 89 days past due [Member] | Commercial [Member]    
Loans, Recorded Investment, Past Due [Line Items]    
Loans, recorded investment, past due 0 0
Loans, 60 to 89 days past due [Member] | Construction, land and land development [Member]    
Loans, Recorded Investment, Past Due [Line Items]    
Loans, recorded investment, past due 0 0
Loans, 60 to 89 days past due [Member] | 1-4 family residential first mortgages [Member]    
Loans, Recorded Investment, Past Due [Line Items]    
Loans, recorded investment, past due 0 0
Loans, 60 to 89 days past due [Member] | Home equity [Member]    
Loans, Recorded Investment, Past Due [Line Items]    
Loans, recorded investment, past due 0 0
Loans, 60 to 89 days past due [Member] | Commercial real estate [Member]    
Loans, Recorded Investment, Past Due [Line Items]    
Loans, recorded investment, past due 0 0
Loans, 60 to 89 days past due [Member] | Consumer and other [Member]    
Loans, Recorded Investment, Past Due [Line Items]    
Loans, recorded investment, past due 0 0
Loans, equal to greater than 90 days past due [Member]    
Loans, Recorded Investment, Past Due [Line Items]    
Loans, recorded investment, past due 0 0
Loans, equal to greater than 90 days past due [Member] | Commercial [Member]    
Loans, Recorded Investment, Past Due [Line Items]    
Loans, recorded investment, past due 0 0
Loans, equal to greater than 90 days past due [Member] | Construction, land and land development [Member]    
Loans, Recorded Investment, Past Due [Line Items]    
Loans, recorded investment, past due 0 0
Loans, equal to greater than 90 days past due [Member] | 1-4 family residential first mortgages [Member]    
Loans, Recorded Investment, Past Due [Line Items]    
Loans, recorded investment, past due 0 0
Loans, equal to greater than 90 days past due [Member] | Home equity [Member]    
Loans, Recorded Investment, Past Due [Line Items]    
Loans, recorded investment, past due 0 0
Loans, equal to greater than 90 days past due [Member] | Commercial real estate [Member]    
Loans, Recorded Investment, Past Due [Line Items]    
Loans, recorded investment, past due 0 0
Loans, equal to greater than 90 days past due [Member] | Consumer and other [Member]    
Loans, Recorded Investment, Past Due [Line Items]    
Loans, recorded investment, past due $ 0 $ 0
v3.19.3
Loans and Allowance for Loan Losses Schedule of Loans By Credit Quality Indicator (Details) - USD ($)
$ in Thousands
Sep. 30, 2019
Dec. 31, 2018
Loans, Recorded Investment [Line Items]    
Loans $ 1,838,918 $ 1,724,330
Pass [Member]    
Loans, Recorded Investment [Line Items]    
Loans 1,785,801 1,670,388
Watch [Member]    
Loans, Recorded Investment [Line Items]    
Loans 51,203 49,958
Substandard [Member]    
Loans, Recorded Investment [Line Items]    
Loans 1,914 3,984
Doubtful [Member]    
Loans, Recorded Investment [Line Items]    
Loans 0 0
Commercial [Member]    
Loans, Recorded Investment [Line Items]    
Loans 396,202 358,763
Commercial [Member] | Pass [Member]    
Loans, Recorded Investment [Line Items]    
Loans 373,737 336,861
Commercial [Member] | Watch [Member]    
Loans, Recorded Investment [Line Items]    
Loans 21,168 19,886
Commercial [Member] | Substandard [Member]    
Loans, Recorded Investment [Line Items]    
Loans 1,297 2,016
Commercial [Member] | Doubtful [Member]    
Loans, Recorded Investment [Line Items]    
Loans 0 0
Construction, land and land development [Member]    
Loans, Recorded Investment [Line Items]    
Loans 252,242 245,810
Construction, land and land development [Member] | Pass [Member]    
Loans, Recorded Investment [Line Items]    
Loans 252,242 245,810
Construction, land and land development [Member] | Watch [Member]    
Loans, Recorded Investment [Line Items]    
Loans 0 0
Construction, land and land development [Member] | Substandard [Member]    
Loans, Recorded Investment [Line Items]    
Loans 0 0
Construction, land and land development [Member] | Doubtful [Member]    
Loans, Recorded Investment [Line Items]    
Loans 0 0
1-4 family residential first mortgages [Member]    
Loans, Recorded Investment [Line Items]    
Loans 49,460 49,052
1-4 family residential first mortgages [Member] | Pass [Member]    
Loans, Recorded Investment [Line Items]    
Loans 47,627 47,923
1-4 family residential first mortgages [Member] | Watch [Member]    
Loans, Recorded Investment [Line Items]    
Loans 1,360 963
1-4 family residential first mortgages [Member] | Substandard [Member]    
Loans, Recorded Investment [Line Items]    
Loans 473 166
1-4 family residential first mortgages [Member] | Doubtful [Member]    
Loans, Recorded Investment [Line Items]    
Loans 0 0
Home equity [Member]    
Loans, Recorded Investment [Line Items]    
Loans 13,158 14,469
Home equity [Member] | Pass [Member]    
Loans, Recorded Investment [Line Items]    
Loans 13,086 14,352
Home equity [Member] | Watch [Member]    
Loans, Recorded Investment [Line Items]    
Loans 38 46
Home equity [Member] | Substandard [Member]    
Loans, Recorded Investment [Line Items]    
Loans 34 71
Home equity [Member] | Doubtful [Member]    
Loans, Recorded Investment [Line Items]    
Loans 0 0
Commercial real estate [Member]    
Loans, Recorded Investment [Line Items]    
Loans 1,120,433 1,050,025
Commercial real estate [Member] | Pass [Member]    
Loans, Recorded Investment [Line Items]    
Loans 1,091,736 1,019,256
Commercial real estate [Member] | Watch [Member]    
Loans, Recorded Investment [Line Items]    
Loans 28,587 29,063
Commercial real estate [Member] | Substandard [Member]    
Loans, Recorded Investment [Line Items]    
Loans 110 1,706
Commercial real estate [Member] | Doubtful [Member]    
Loans, Recorded Investment [Line Items]    
Loans 0 0
Consumer and other [Member]    
Loans, Recorded Investment [Line Items]    
Loans 7,423 6,211
Consumer and other [Member] | Pass [Member]    
Loans, Recorded Investment [Line Items]    
Loans 7,373 6,186
Consumer and other [Member] | Watch [Member]    
Loans, Recorded Investment [Line Items]    
Loans 50 0
Consumer and other [Member] | Substandard [Member]    
Loans, Recorded Investment [Line Items]    
Loans 0 25
Consumer and other [Member] | Doubtful [Member]    
Loans, Recorded Investment [Line Items]    
Loans $ 0 $ 0
v3.19.3
Loans and Allowance for Loan Losses Schedule of Allowance for Loan Loss Activity (Details) - USD ($)
$ in Thousands
3 Months Ended 9 Months Ended
Sep. 30, 2019
Sep. 30, 2018
Sep. 30, 2019
Sep. 30, 2018
Loans, Allowance for Credit Losses [Roll Forward]        
Allowance for loan losses, beginning balance $ 16,737 $ 16,518 $ 16,689 $ 16,430
Allowance for loan losses, charge-offs (199) 0 (254) (209)
Allowance for loan losses, recoveries 204 555 307 702
Provision for loan losses [1] 300 (400) 300 (250)
Allowance for loan losses, ending balance 17,042 16,673 17,042 16,673
Commercial [Member]        
Loans, Allowance for Credit Losses [Roll Forward]        
Allowance for loan losses, beginning balance 3,732 3,673 3,508 3,866
Allowance for loan losses, charge-offs (199) 0 (254) (208)
Allowance for loan losses, recoveries 168 539 227 649
Provision for loan losses 12 (907) 232 (1,002)
Allowance for loan losses, ending balance 3,713 3,305 3,713 3,305
Construction, land and land development [Member]        
Loans, Allowance for Credit Losses [Roll Forward]        
Allowance for loan losses, beginning balance 2,286 1,911 2,384 2,213
Allowance for loan losses, charge-offs 0 0 0 0
Allowance for loan losses, recoveries 0 0 0 0
Provision for loan losses 81 185 (17) (117)
Allowance for loan losses, ending balance 2,367 2,096 2,367 2,096
1-4 family residential first mortgages [Member]        
Loans, Allowance for Credit Losses [Roll Forward]        
Allowance for loan losses, beginning balance 222 304 250 319
Allowance for loan losses, charge-offs 0 0 0 0
Allowance for loan losses, recoveries 5 7 14 14
Provision for loan losses (8) (23) (45) (45)
Allowance for loan losses, ending balance 219 288 219 288
Home equity [Member]        
Loans, Allowance for Credit Losses [Roll Forward]        
Allowance for loan losses, beginning balance 139 182 171 186
Allowance for loan losses, charge-offs 0 0 0 (1)
Allowance for loan losses, recoveries 27 6 50 17
Provision for loan losses (19) 0 (74) (14)
Allowance for loan losses, ending balance 147 188 147 188
Commercial real estate [Member]        
Loans, Allowance for Credit Losses [Roll Forward]        
Allowance for loan losses, beginning balance 10,275 10,369 10,301 9,770
Allowance for loan losses, charge-offs 0 0 0 0
Allowance for loan losses, recoveries 3 2 9 9
Provision for loan losses 233 346 201 938
Allowance for loan losses, ending balance 10,511 10,717 10,511 10,717
Consumer and other [Member]        
Loans, Allowance for Credit Losses [Roll Forward]        
Allowance for loan losses, beginning balance 83 79 75 76
Allowance for loan losses, charge-offs 0 0 0 0
Allowance for loan losses, recoveries 1 1 7 13
Provision for loan losses 1 (1) 3 (10)
Allowance for loan losses, ending balance $ 85 $ 79 $ 85 $ 79
[1] The negative provisions for the various segments are related to the decline in outstanding balances in each of those portfolio segments during the time periods disclosed and/or improvement in the credit quality factors related to those portfolio segments.
v3.19.3
Loans and Allowance for Loan Losses Schedule of Allowance for Loan Losses by Impairment Method (Details) - USD ($)
$ in Thousands
Sep. 30, 2019
Dec. 31, 2018
Loans, Allowance for Loan Losses [Line Items]    
Allowance for loan losses, individually evaluated for impairment $ 0 $ 115
Allowance for loan losses, collectively evaluated for impairment 17,042 16,574
Allowance for loan losses 17,042 16,689
Commercial [Member]    
Loans, Allowance for Loan Losses [Line Items]    
Allowance for loan losses, individually evaluated for impairment 0 15
Allowance for loan losses, collectively evaluated for impairment 3,713 3,493
Allowance for loan losses 3,713 3,508
Construction, land and land development [Member]    
Loans, Allowance for Loan Losses [Line Items]    
Allowance for loan losses, individually evaluated for impairment 0 0
Allowance for loan losses, collectively evaluated for impairment 2,367 2,384
Allowance for loan losses 2,367 2,384
1-4 family residential first mortgages [Member]    
Loans, Allowance for Loan Losses [Line Items]    
Allowance for loan losses, individually evaluated for impairment 0 0
Allowance for loan losses, collectively evaluated for impairment 219 250
Allowance for loan losses 219 250
Home equity [Member]    
Loans, Allowance for Loan Losses [Line Items]    
Allowance for loan losses, individually evaluated for impairment 0 0
Allowance for loan losses, collectively evaluated for impairment 147 171
Allowance for loan losses 147 171
Commercial real estate [Member]    
Loans, Allowance for Loan Losses [Line Items]    
Allowance for loan losses, individually evaluated for impairment 0 100
Allowance for loan losses, collectively evaluated for impairment 10,511 10,201
Allowance for loan losses 10,511 10,301
Consumer and other [Member]    
Loans, Allowance for Loan Losses [Line Items]    
Allowance for loan losses, individually evaluated for impairment 0 0
Allowance for loan losses, collectively evaluated for impairment 85 75
Allowance for loan losses $ 85 $ 75
v3.19.3
Loans and Allowance for Loan Losses Schedule of Loans by Impairment Method (Details) - USD ($)
$ in Thousands
Sep. 30, 2019
Dec. 31, 2018
Loans, Allowance for Loan Losses [Line Items]    
Loans, individually evaluated for impairment $ 521 $ 1,928
Loans, collectively evaluated for impairment 1,838,397 1,722,402
Loans 1,838,918 1,724,330
Commercial [Member]    
Loans, Allowance for Loan Losses [Line Items]    
Loans, individually evaluated for impairment 442 1,029
Loans, collectively evaluated for impairment 395,760 357,734
Loans 396,202 358,763
Construction, land and land development [Member]    
Loans, Allowance for Loan Losses [Line Items]    
Loans, individually evaluated for impairment 0 0
Loans, collectively evaluated for impairment 252,242 245,810
Loans 252,242 245,810
1-4 family residential first mortgages [Member]    
Loans, Allowance for Loan Losses [Line Items]    
Loans, individually evaluated for impairment 13 106
Loans, collectively evaluated for impairment 49,447 48,946
Loans 49,460 49,052
Home equity [Member]    
Loans, Allowance for Loan Losses [Line Items]    
Loans, individually evaluated for impairment 34 41
Loans, collectively evaluated for impairment 13,124 14,428
Loans 13,158 14,469
Commercial real estate [Member]    
Loans, Allowance for Loan Losses [Line Items]    
Loans, individually evaluated for impairment 32 752
Loans, collectively evaluated for impairment 1,120,401 1,049,273
Loans 1,120,433 1,050,025
Consumer and other [Member]    
Loans, Allowance for Loan Losses [Line Items]    
Loans, individually evaluated for impairment 0 0
Loans, collectively evaluated for impairment 7,423 6,211
Loans $ 7,423 $ 6,211
v3.19.3
Loans and Allowance for Loan Losses Narrative (Details) - USD ($)
$ in Thousands
Sep. 30, 2019
Dec. 31, 2018
Real estate [Member]    
Loans Receivable [Line Items]    
Loans pledged as collateral $ 850,000 $ 800,000
v3.19.3
Derivatives (Details) - USD ($)
$ in Thousands
9 Months Ended 12 Months Ended
Sep. 30, 2019
Sep. 30, 2020
Dec. 31, 2018
Dec. 31, 2015
Derivative [Line Items]        
Average remaining maturity 5 years 8 months 12 days   5 years 8 months 12 days  
Forward-starting interest rate swaps [Member]        
Derivative [Line Items]        
Average remaining maturity 6 years      
Cash Flow Hedging [Member] | Designated as Hedging Instrument [Member]        
Derivative [Line Items]        
Average variable interest rate 2.42%   3.22%  
Average fixed interest rate 2.34%   2.82%  
Cash Flow Hedging [Member] | Notional of swaps hedging rolling funding [Member] | Designated as Hedging Instrument [Member]        
Derivative [Line Items]        
Derivative, notional amount $ 100,000      
Cash Flow Hedging [Member] | Forward-starting interest rate swaps [Member] | Designated as Hedging Instrument [Member]        
Derivative [Line Items]        
Derivative, notional amount $ 75,000      
Average variable interest rate 0.00%      
Average fixed interest rate 1.73%      
Cash Flow Hedging [Member] | Notional amount of swaps hedging money market deposits [Member] | Designated as Hedging Instrument [Member]        
Derivative [Line Items]        
Derivative, notional amount $ 50,000      
Cash Flow Hedging [Member] | Terminated interest rate swap [Member]        
Derivative [Line Items]        
Derivative termination fee paid       $ 541
Cash Flow Hedging [Member] | Terminated interest rate swap [Member] | Designated as Hedging Instrument [Member]        
Derivative [Line Items]        
Derivative, notional amount       $ 70,000
Cash Flow Hedging [Member] | Interest rate swap [Member] | Designated as Hedging Instrument [Member]        
Derivative [Line Items]        
Derivative, notional amount 260,000   $ 110,000  
Collateral posted 10,770   0  
Cash Flow Hedging [Member] | Interest rate swap [Member] | Designated as Hedging Instrument [Member] | Counterparties [Member]        
Derivative [Line Items]        
Collateral posted 0   2,410  
Cash Flow Hedging [Member] | Other Liabilities [Member] | Designated as Hedging Instrument [Member]        
Derivative [Line Items]        
Interest rate cash flow hedge liability at fair value (9,249)      
Cash Flow Hedging [Member] | Other Liabilities [Member] | Forward-starting interest rate swaps [Member] | Designated as Hedging Instrument [Member]        
Derivative [Line Items]        
Interest rate cash flow hedge liability at fair value $ (1,594)      
Cash Flow Hedging [Member] | Other Assets [Member] | Designated as Hedging Instrument [Member]        
Derivative [Line Items]        
Interest rate cash flow hedge asset at fair value     $ 1,863  
Forecast [Member] | Cash Flow Hedging [Member] | Designated as Hedging Instrument [Member]        
Derivative [Line Items]        
Derivative instruments, gain (loss) reclassification from AOCI to interest expense, estimated net amount to be transferred   $ 155    
v3.19.3
Derivatives Pre-Tax Gains (Losses) (Details) - USD ($)
$ in Thousands
3 Months Ended 9 Months Ended
Sep. 30, 2019
Sep. 30, 2018
Sep. 30, 2019
Sep. 30, 2018
Derivative Instruments, Gain (Loss) [Line Items]        
Unrealized gain (loss) on interest rate cash flow hedges, pre-tax, accumulated other comprehensive income (loss) $ (5,187) $ 964 $ (12,357) $ 3,512
Cash flow hedge gain (loss) reclassified to interest expense, before tax $ 100 $ 10 351 (25)
Designated as Hedging Instrument [Member] | Interest rate swap [Member] | Cash Flow Hedging [Member]        
Derivative Instruments, Gain (Loss) [Line Items]        
Unrealized gain (loss) on interest rate cash flow hedges, pre-tax, accumulated other comprehensive income (loss)     (12,357) 3,512
Designated as Hedging Instrument [Member] | Interest rate swap [Member] | Interest Expense [Member] | Cash Flow Hedging [Member]        
Derivative Instruments, Gain (Loss) [Line Items]        
Cash flow hedge gain (loss) reclassified to interest expense, before tax     $ 280 $ (96)
v3.19.3
Deferred Income Taxes Schedule of Deferred Tax Assets and Liabilities (Details) - USD ($)
$ in Thousands
Sep. 30, 2019
Dec. 31, 2018
Components of Deferred Tax Assets and Liabilities [Abstract]    
Deferred tax assets, allowance for loan losses $ 4,261 $ 4,172
Deferred tax assets, net unrealized losses on available-for-sale securities 0 2,708
Deferred tax assets, net unrealized losses on interest rate swaps 2,727 0
Deferred tax assets, lease liability 2,362 0
Deferred tax assets, accrued expenses 238 346
Deferred tax assets, restricted stock compensation 636 704
Deferred tax assets, state net operating loss carryforward 1,096 1,021
Deferred tax assets, capital loss carryforward 3 0
Deferred tax assets, other 57 67
Deferred tax assets, gross 11,380 9,018
Deferred tax liabilities, right-of-use asset 2,304 0
Deferred tax liabilities, net deferred loan fees and costs 199 183
Deferred tax liabilities, net unrealized gains on available-for-sale securities 726 0
Deferred tax liabilities, net unrealized gains on interest rate swaps 0 429
Deferred tax liabilities, premises and equipment 758 694
Deferred tax liabilities, other 209 173
Deferred tax liabilities, gross 4,196 1,479
Net deferred tax assets before valuation allowance 7,184 7,539
Valuation allowance (1,099) (1,021)
Net deferred tax assets $ 6,085 $ 6,518
v3.19.3
Deferred Income Taxes Operating Loss Carryforwards (Details)
9 Months Ended
Sep. 30, 2019
Minimum [Member]  
Operating Loss Carryforwards [Line Items]  
State net operating loss carryforwards, expiration date Dec. 31, 2020
v3.19.3
Deferred Income Taxes Capital loss carryforwards (Details)
9 Months Ended
Sep. 30, 2019
Maximum [Member]  
Operating Loss Carryforwards [Line Items]  
Capital loss carryforwards, expiration date Dec. 31, 2022
v3.19.3
Comprehensive Income Changes in Accumulated Other Comprehensive Income (Details) - USD ($)
$ in Thousands
3 Months Ended 9 Months Ended
Sep. 30, 2019
Sep. 30, 2018
Sep. 30, 2019
Sep. 30, 2018
Accumulated Other Comprehensive Income, Changes [Roll Forward]        
Accumulated other comprehensive income (loss), balance beg. of period     $ (6,814)  
Net current period other comprehensive income (loss), net of tax $ (2,669) $ (2,346) 822 $ (6,252)
Accumulated other comprehensive income (loss), balance end of period (5,992)   (5,992)  
Unrealized gains (losses) on securities [Member]        
Accumulated Other Comprehensive Income, Changes [Roll Forward]        
Accumulated other comprehensive income (loss), balance beg. of period     (8,123) (2,237)
Held to maturity securities, transferred to available for sale securities, unrealized gain (loss)       273
Other comprehensive income (loss) before reclassifications, net of tax     10,255 (9,281)
Amounts reclassified from accumulated other comprehensive income, net of tax.     48 53
Net current period other comprehensive income (loss), net of tax     10,303 (8,955)
Reclassification of stranded tax effects       (475)
Accumulated other comprehensive income (loss), balance end of period 2,180 (11,667) 2,180 (11,667)
Unrealized gains (losses) on derivatives [Member]        
Accumulated Other Comprehensive Income, Changes [Roll Forward]        
Accumulated other comprehensive income (loss), balance beg. of period     1,309 345
Held to maturity securities, transferred to available for sale securities, unrealized gain (loss)       0
Other comprehensive income (loss) before reclassifications, net of tax     (9,268) 2,634
Amounts reclassified from accumulated other comprehensive income, net of tax.     (213) 69
Net current period other comprehensive income (loss), net of tax     (9,481) 2,703
Reclassification of stranded tax effects       105
Accumulated other comprehensive income (loss), balance end of period (8,172) 3,153 (8,172) 3,153
Accumulated other comprehensive income (loss) [Member]        
Accumulated Other Comprehensive Income, Changes [Roll Forward]        
Accumulated other comprehensive income (loss), balance beg. of period     (6,814) (1,892)
Held to maturity securities, transferred to available for sale securities, unrealized gain (loss)       273
Other comprehensive income (loss) before reclassifications, net of tax     987 (6,647)
Amounts reclassified from accumulated other comprehensive income, net of tax.     (165) 122
Net current period other comprehensive income (loss), net of tax (2,669) (2,346) 822 (6,252)
Reclassification of stranded tax effects       (370)
Accumulated other comprehensive income (loss), balance end of period $ (5,992) $ (8,514) $ (5,992) $ (8,514)
v3.19.3
Commitments and Contingencies (Details) - USD ($)
$ in Thousands
Sep. 30, 2019
Dec. 31, 2018
Commitments [Line Items]    
Outstanding loan commitments $ 688,815 $ 648,212
Commitments to extend credit [Member]    
Commitments [Line Items]    
Outstanding loan commitments 682,185 641,581
Standby letters of credit [Member]    
Commitments [Line Items]    
Outstanding loan commitments $ 6,630 $ 6,631
v3.19.3
Commitments and Contingencies Narrative (Details) - USD ($)
$ in Thousands
Sep. 30, 2019
Dec. 31, 2018
Other Commitments [Line Items]    
FHLB MPF program - remaining outstanding balance of loans sold $ 68,271 $ 78,024
Commitments to invest in qualified affordable housing projects $ 2,241 $ 4,421
v3.19.3
Leases Narrative (Details)
$ in Thousands
3 Months Ended 9 Months Ended
Sep. 30, 2019
USD ($)
Sep. 30, 2019
USD ($)
Leases Disclosure [Abstract]    
Operating lease, weighted average remaining lease term 7 years 10 months 11 days 7 years 10 months 11 days
Operating lease, weighted average discount rate, percent 3.16% 3.16%
Lease, cost $ 418 $ 1,212
Operating lease, right-of-use asset 9,216 9,216
Operating lease, liability $ 9,449 $ 9,449
v3.19.3
Leases Lease Rental Commitments (Details)
$ in Thousands
Sep. 30, 2019
USD ($)
Leases [Abstract]  
Operating leases, liability, payments, remainder of fiscal year $ 421
Operating leases, liability, payments, due in year two 1,681
Operating leases, liability, payments, due in year three 1,627
Operating leases, liability, payments, due in year four 1,583
Operating leases, liability, payments, due in year five 1,565
Operating leases, liability, payments, due thereafter 3,882
Operating leases, future minimum payments due 10,759
Operating lease discount effect (1,310)
Operating leases, liability, current $ 9,449
v3.19.3
Leases Lease Discounting Reconciliation (Details)
$ in Thousands
Sep. 30, 2019
USD ($)
Leases [Abstract]  
Operating leases, undiscounted cash flows $ 10,759
Operating leases, discount effect of cash flows (1,310)
Operating leases, liability, current $ 9,449
v3.19.3
Fair Value Measurements Recurring Basis by Level (Details) - USD ($)
$ in Thousands
Sep. 30, 2019
Dec. 31, 2018
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value $ 410,371 $ 453,758
Fair Value, measurements, recurring [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative asset, interest rate swap   1,863
Derivative liability, interest rate swap 10,843  
Fair Value, measurements, recurring [Member] | Fair value, inputs, level 1 [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative asset, interest rate swap   0
Derivative liability, interest rate swap 0  
Fair Value, measurements, recurring [Member] | Fair value, inputs, level 2 [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative asset, interest rate swap   1,863
Derivative liability, interest rate swap 10,843  
Fair Value, measurements, recurring [Member] | Fair value, inputs, level 3 [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative asset, interest rate swap   0
Derivative liability, interest rate swap 0  
State and political subdivisions    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value 47,918 149,156
State and political subdivisions | Fair Value, measurements, recurring [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value 47,918 149,156
State and political subdivisions | Fair Value, measurements, recurring [Member] | Fair value, inputs, level 1 [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value 0 0
State and political subdivisions | Fair Value, measurements, recurring [Member] | Fair value, inputs, level 2 [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value 47,918 149,156
State and political subdivisions | Fair Value, measurements, recurring [Member] | Fair value, inputs, level 3 [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value 0 0
Collateralized mortgage obligations    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value 204,202 157,004
Collateralized mortgage obligations | Fair Value, measurements, recurring [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value 204,202 157,004
Collateralized mortgage obligations | Fair Value, measurements, recurring [Member] | Fair value, inputs, level 1 [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value 0 0
Collateralized mortgage obligations | Fair Value, measurements, recurring [Member] | Fair value, inputs, level 2 [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value 204,202 157,004
Collateralized mortgage obligations | Fair Value, measurements, recurring [Member] | Fair value, inputs, level 3 [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value 0 0
Mortgage-backed securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value 51,088 63,378
Mortgage-backed securities | Fair Value, measurements, recurring [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value 51,088 63,378
Mortgage-backed securities | Fair Value, measurements, recurring [Member] | Fair value, inputs, level 1 [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value 0 0
Mortgage-backed securities | Fair Value, measurements, recurring [Member] | Fair value, inputs, level 2 [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value 51,088 63,378
Mortgage-backed securities | Fair Value, measurements, recurring [Member] | Fair value, inputs, level 3 [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value 0 0
Asset-backed securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value 18,603 31,903
Asset-backed securities | Fair Value, measurements, recurring [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value 18,603 31,903
Asset-backed securities | Fair Value, measurements, recurring [Member] | Fair value, inputs, level 1 [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value 0 0
Asset-backed securities | Fair Value, measurements, recurring [Member] | Fair value, inputs, level 2 [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value 18,603 31,903
Asset-backed securities | Fair Value, measurements, recurring [Member] | Fair value, inputs, level 3 [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value 0 0
Collateralized loan obligations [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value 71,871  
Collateralized loan obligations [Member] | Fair Value, measurements, recurring [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value 71,871  
Collateralized loan obligations [Member] | Fair Value, measurements, recurring [Member] | Fair value, inputs, level 1 [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value 0  
Collateralized loan obligations [Member] | Fair Value, measurements, recurring [Member] | Fair value, inputs, level 2 [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value 71,871  
Collateralized loan obligations [Member] | Fair Value, measurements, recurring [Member] | Fair value, inputs, level 3 [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value 0  
Trust preferred security    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value   1,900
Trust preferred security | Fair Value, measurements, recurring [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value   1,900
Trust preferred security | Fair Value, measurements, recurring [Member] | Fair value, inputs, level 1 [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value   0
Trust preferred security | Fair Value, measurements, recurring [Member] | Fair value, inputs, level 2 [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value   1,900
Trust preferred security | Fair Value, measurements, recurring [Member] | Fair value, inputs, level 3 [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value   0
Corporate notes    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value 16,689 50,417
Corporate notes | Fair Value, measurements, recurring [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value 16,689 50,417
Corporate notes | Fair Value, measurements, recurring [Member] | Fair value, inputs, level 1 [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value 0 0
Corporate notes | Fair Value, measurements, recurring [Member] | Fair value, inputs, level 2 [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value 16,689 50,417
Corporate notes | Fair Value, measurements, recurring [Member] | Fair value, inputs, level 3 [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investment securities available for sale, at fair value $ 0 $ 0
v3.19.3
Fair Value Measurements Nonrecurring Basis by Level (Details) - USD ($)
$ in Thousands
Sep. 30, 2019
Dec. 31, 2018
Fair value, measurements, nonrecurring [Member] | Fair value, inputs, level 3 [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Collateral dependent impaired loans $ 0 $ 0
v3.19.3
Fair Value Measurements Carrying Amounts and Fair Values (Details) - USD ($)
$ in Thousands
Sep. 30, 2019
Dec. 31, 2018
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Cash and due from banks $ 62,119 $ 46,369
Federal funds sold 67,168 1,105
Investment securities available for sale 410,371 453,758
Federal Home Loan Bank stock 11,685 12,037
Loans, net 1,819,688 1,705,141
Accrued interest receivable 7,995 7,631
Deposits 2,024,807 1,894,529
Federal funds purchased 3,535 19,985
Federal Home Loan Bank advances, net of discount 153,998 137,878
Long-term debt 22,954 27,040
Carrying value [Member] | Fair value, inputs, level 1 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Cash and due from banks 62,119 46,369
Federal funds sold 67,168 1,105
Federal Home Loan Bank stock 11,685 12,037
Accrued interest receivable 7,995 7,631
Federal funds purchased 3,535 19,985
Accrued interest payable 2,146 1,317
Carrying value [Member] | Fair value, inputs, level 2 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Investment securities available for sale 410,371 453,758
Loans, net 1,819,688 1,705,141
Derivative asset, interest rate swap 0 1,863
Deposits 2,024,807 1,894,529
Subordinated notes, net 20,435 20,425
Federal Home Loan Bank advances, net of discount 153,998 137,878
Long-term debt 22,954 27,040
Interest rate swaps 10,843 0
Carrying value [Member] | Fair value, inputs, level 3 [Member] | Commitments to extend credit    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Fair value disclosure, off-balance sheet risks, Face Amount, Liability 0 0
Carrying value [Member] | Fair value, inputs, level 3 [Member] | Standby letters of credit    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Fair value disclosure, off-balance sheet risks, Face Amount, Liability 0 0
Approximate fair value [Member] | Fair value, inputs, level 1 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Cash and due from banks 62,119 46,369
Federal funds sold 67,168 1,105
Federal Home Loan Bank stock 11,685 12,037
Accrued interest receivable 7,995 7,631
Federal funds purchased 3,535 19,985
Accrued interest payable 2,146 1,317
Approximate fair value [Member] | Fair value, inputs, level 2 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Investment securities available for sale 410,371 453,758
Loans, net 1,839,219 1,688,700
Derivative asset, interest rate swap 0 1,863
Deposits 2,025,620 1,893,621
Subordinated notes, net 17,854 15,498
Federal Home Loan Bank advances, net of discount 153,998 137,878
Long-term debt 22,934 27,000
Interest rate swaps 10,843 0
Approximate fair value [Member] | Fair value, inputs, level 3 [Member] | Commitments to extend credit    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Fair value disclosure, off-balance sheet risks, Face Amount, Liability 0 0
Approximate fair value [Member] | Fair value, inputs, level 3 [Member] | Standby letters of credit    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Fair value disclosure, off-balance sheet risks, Face Amount, Liability $ 0 $ 0
v3.19.3
Fair Value Measurements Fair Value Measurements Narratives (Details)
9 Months Ended
Sep. 30, 2019
USD ($)
Fair Value Disclosures [Abstract]  
Transfers between levels, fair value disclosure $ 0