falsedesktopLEVL2020-09-30000141270720000096{"tbl_sim": "https://q10k.com/tbl-sim", "search": "https://q10k.com/search"}{"q10k_tbl_0": "Large accelerated filer\t☐\tAccelerated filer\t☑\nNon-accelerated filer\t☐\tSmaller reporting company\t☑\nEmerging growth company\t☑\t\t\n", "q10k_tbl_1": "\t\tPage\nPart 1:\tFINANCIAL INFORMATION\t3\nItem 1.\tConsolidated Financial Statements\t3\n\tConsolidated Balance Sheets at September 30 2020 (Unaudited) and December 31 2019\t3\n\tConsolidated Statements of Income (Unaudited) for the three and nine months ended September 30 2020 and 2019\t4\n\tConsolidated Statements of Comprehensive Income (Unaudited) for the three and nine months ended September 30 2020 and 2019\t5\n\tConsolidated Statements of Changes in Shareholder's Equity (Unaudited) for the three and nine months ended September 30 2020 and 2019\t6\n\tConsolidated Statements of Cash Flows (Unaudited) for the nine months ended September 30 2020 and 2019\t8\n\tNotes to the Consolidated Statements (Unaudited)\t9\nItem 2.\tManagement's Discussion and Analysis of Financial Condition and Results of Operations\t44\nItem 3.\tQuantitative and Qualitative Disclosure about Market Risk\t75\nItem 4.\tControls and Procedures\t77\nPart 2:\tOTHER INFORMATION\t77\nItem 1.\tLegal Proceedings\t77\nItem 1A.\tRisk Factors\t77\nItem 2.\tUnregistered Sales of Equity Securities and Use of Proceeds\t80\nItem 3.\tDefaults Upon Senior Securities\t80\nItem 4.\tMine Safety Disclosures\t80\nItem 5.\tOther Information\t80\nItem 6.\tExhibits\t81\nSignatures\t\t82\n", "q10k_tbl_2": "\tSeptember 30 2020\tDecember 31 2019\n(Dollars in thousands)\t(Unaudited)\t\nAssets\t\t\nCash and cash equivalents\t176486\t103930\nSecurities available-for-sale\t253527\t180905\nOther investments\t14398\t11475\nMortgage loans held for sale at fair value\t60635\t13889\nLoans:\t\t\nOriginated loans\t1603893\t1158138\nAcquired loans\t239995\t69471\nTotal loans\t1843888\t1227609\nLess: Allowance for loan losses\t(21254)\t(12674)\nNet loans\t1822634\t1214935\nPremises and equipment net\t15646\t13838\nGoodwill\t35554\t9387\nOther intangible assets net\t5581\t383\nOther real estate owned\t0\t921\nBank-owned life insurance\t18083\t12167\nIncome tax benefit\t3791\t1217\nInterest receivable and other assets\t40112\t21852\nTotal assets\t2446447\t1584899\nLiabilities\t\t\nDeposits:\t\t\nNoninterest-bearing demand deposits\t632427\t325885\nInterest-bearing demand deposits\t115395\t62586\nMoney market and savings deposits\t595471\t313885\nTime deposits\t600142\t433072\nTotal deposits\t1943435\t1135428\nBorrowings\t216809\t212225\nSubordinated notes\t44555\t44440\nOther liabilities\t32180\t22103\nTotal liabilities\t2236979\t1414196\nShareholders' equity\t\t\nPreferred stock no par value per share; authorized-50000 shares; issued and outstanding-10000 shares with a liquidation preference of $2500 per share at September 30 2020 and 0 shares at December 31 2019\t23370\t0\nCommon stock no par value per share; authorized-20000000 shares; issued and outstanding-7734322 shares at September 30 2020 and 7715491 shares at December 31 2019\t89409\t89345\nRetained earnings\t88646\t77766\nAccumulated other comprehensive income net of tax\t8043\t3592\nTotal shareholders' equity\t209468\t170703\nTotal liabilities and shareholders' equity\t2446447\t1584899\n", "q10k_tbl_3": "\tFor the three months ended September 30\t\tFor the nine months ended September 30\t\n(In thousands except per share data)\t2020\t2019\t2020\t2019\nInterest income\t\t\t\t\nOriginated loans including fees\t15274\t14633\t44630\t42652\nAcquired loans including fees\t3456\t1501\t11187\t4895\nSecurities:\t\t\t\t\nTaxable\t652\t857\t1930\t2773\nTax-exempt\t613\t588\t1894\t1728\nFederal funds sold and other investments\t250\t404\t817\t1034\nTotal interest income\t20245\t17983\t60458\t53082\nInterest Expense\t\t\t\t\nDeposits\t2323\t4478\t9039\t13216\nBorrowed funds\t693\t261\t1866\t960\nSubordinated notes\t632\t256\t1903\t759\nTotal interest expense\t3648\t4995\t12808\t14935\nNet interest income\t16597\t12988\t47650\t38147\nProvision expense (benefit) for loan losses\t4270\t(16)\t10334\t835\nNet interest income after provision for loan losses\t12327\t13004\t37316\t37312\nNoninterest income\t\t\t\t\nService charges on deposits\t616\t627\t1798\t1914\nNet gain on sales of securities\t434\t151\t1862\t151\nMortgage banking activities\t7108\t2352\t15380\t5788\nOther charges and fees\t967\t728\t2564\t1768\nTotal noninterest income\t9125\t3858\t21604\t9621\nNoninterest expense\t\t\t\t\nSalary and employee benefits\t9862\t7536\t28090\t21642\nOccupancy and equipment expense\t1678\t1203\t4773\t3575\nProfessional service fees\t808\t465\t2141\t1212\nAcquisition and due diligence fees\t17\t319\t1664\t319\nMarketing expense\t257\t379\t709\t843\nPrinting and supplies expense\t89\t78\t398\t250\nData processing expense\t844\t661\t2601\t1862\nCore deposit premium amortization\t192\t29\t576\t117\nOther expense\t1379\t869\t3819\t3254\nTotal noninterest expense\t15126\t11539\t44771\t33074\nIncome before income taxes\t6326\t5323\t14149\t13859\nIncome tax provision\t1117\t914\t2109\t2428\nNet income\t5209\t4409\t12040\t11431\nPer common share data:\t\t\t\t\nBasic earnings per common share\t0.68\t0.57\t1.56\t1.48\nDiluted earnings per common share\t0.67\t0.56\t1.55\t1.46\nCash dividends declared per common share\t0.05\t0.04\t0.15\t0.12\nWeighted average common shares outstanding-basic\t7675\t7721\t7640\t7738\nWeighted average common shares outstanding-diluted\t7712\t7752\t7701\t7776\n", "q10k_tbl_4": "\tFor the three months ended September 30\t\tFor the nine months ended September 30\t\n(Dollars in thousands)\t2020\t2019\t2020\t2019\nNet income\t5209\t4409\t12040\t11431\nOther comprehensive income:\t\t\t\t\nUnrealized gains on securities available-for-sale\t1425\t1414\t7497\t8861\nReclassification adjustment for gains included in income\t(434)\t151\t(1862)\t151\nTax effect(1)\t(208)\t(327)\t(1184)\t(1892)\nNet unrealized gains on securities available-for-sale net of tax\t783\t1238\t4451\t7120\nTotal comprehensive income net of tax\t5992\t5647\t16491\t18551\n", "q10k_tbl_5": "\tFor the three months ended September 30 2020\t\t\t\t\n(Dollar in thousands)\tPreferred Stock\tCommon Stock\tRetained Earnings\tAccumulated Other Comprehensive Income\tTotal Shareholders' Equity\nBalance at June 30 2020\t0\t89175\t83824\t7260\t180259\nNet income\t0\t0\t5209\t0\t5209\nOther comprehensive income\t0\t0\t0\t783\t783\nPreferred stock offering net of issuance costs\t23370\t0\t0\t0\t23370\nCommon stock dividends declared ($0.05 per share)\t0\t0\t(387)\t0\t(387)\nStock-based compensation expense net of tax impact\t0\t234\t0\t0\t234\nBalance at September 30 2020\t23370\t89409\t88646\t8043\t209468\n\tFor the nine months ended September 30 2020\t\t\t\t\n(Dollar in thousands)\tPreferred Stock\tCommon Stock\tRetained Earnings\tAccumulated Other Comprehensive Income\tTotal Shareholders' Equity\nBalance at December 31 2019\t0\t89345\t77766\t3592\t170703\nNet income\t0\t0\t12040\t0\t12040\nOther comprehensive income\t0\t0\t0\t4451\t4451\nRedeemed stock (25256 shares)\t0\t(620)\t0\t0\t(620)\nPreferred stock offering net of issuance costs\t23370\t0\t0\t0\t23370\nCommon stock dividends declared ($0.15 per share)\t0\t0\t(1160)\t0\t(1160)\nExercise of stock options (10000 shares)\t0\t95\t0\t0\t95\nStock-based compensation expense net of tax impact\t0\t589\t0\t0\t589\nBalance at September 30 2020\t23370\t89409\t88646\t8043\t209468\n", "q10k_tbl_6": "\tFor the three months ended September 30 2019\t\t\t\n(Dollar in thousands)\tCommon Stock\tRetained Earnings\tAccumulated Other Comprehensive Income\tTotal Shareholders' Equity\nBalance at June 30 2019\t89442\t69295\t4130\t162867\nNet income\t0\t4409\t0\t4409\nOther comprehensive income\t0\t0\t1238\t1238\nRedeemed stock (20530 shares)\t(488)\t0\t0\t(488)\nCommon stock dividends declared ($0.04 per share)\t0\t(310)\t0\t(310)\nExercise of stock options (6250 shares)\t63\t0\t0\t63\nStock-based compensation expense\t189\t0\t0\t189\nBalance at September 30 2019\t89206\t73394\t5368\t167968\n\tFor the nine months ended September 30 2019\t\t\t\n(Dollar in thousands)\tCommon Stock\tRetained Earnings\tAccumulated Other Comprehensive Income (Loss)\tTotal Shareholders' Equity\nBalance at December 31 2018\t90621\t62891\t(1752)\t151760\nNet income\t0\t11431\t0\t11431\nOther comprehensive income\t0\t0\t7120\t7120\nRedeemed Stock (88457 shares)\t(2108)\t0\t0\t(2108)\nCommon stock dividends declared ($0.12 per share)\t0\t(928)\t0\t(928)\nExercise of stock options (21550 shares)\t219\t0\t0\t219\nStock-based compensation expense\t474\t0\t0\t474\nBalance at September 30 2019\t89206\t73394\t5368\t167968\n", "q10k_tbl_7": "\tFor the nine months ended September 30\t\n(Dollars in thousands)\t2020\t2019\nCash flows from operating activities\t\t\nNet income\t12040\t11431\nAdjustments to reconcile net income to net cash provided by operating activities:\t\t\nDepreciation of fixed assets\t1259\t986\nAmortization of core deposit intangibles\t576\t117\nStock-based compensation expense\t653\t517\nProvision expense for loan losses\t10334\t835\nNet securities premium amortization\t1526\t1277\nNet gain on sales of securities\t(1862)\t(151)\nOriginations of loans held for sale\t(409312)\t(196616)\nProceeds from sales of loans\t377238\t179350\nNet gain on sales of loans\t(15373)\t(5788)\nAccretion on acquired purchase credit impaired loans\t(1350)\t(1772)\nGain on sale of other real estate owned and repossessed assets\t(263)\t0\nIncrease in cash surrender value of life insurance\t(353)\t(214)\nAmortization of debt issuance costs\t115\t43\nDeferred income tax benefit\t(3758)\t0\nNet increase in accrued interest receivable and other assets\t(13433)\t(14127)\nNet increase in accrued interest payable and other liabilities\t2490\t4065\nNet cash used by operating activities\t(39473)\t(20047)\nCash flows from investing activities\t\t\nNet increase in loans\t(393154)\t(39007)\nPrincipal payments on securities available-for-sale\t21295\t11730\nPurchases of securities available-for-sale\t(83170)\t(51373)\nPurchases of other investments\t(2000)\t0\nAdditions to premises and equipment\t(665)\t(1269)\nProceeds from:\t\t\nSale of securities available-for-sale\t42640\t46545\nSale of other real estate owned and repossessed assets\t2356\t0\nNet cash used in acquisition\t(29464)\t0\nNet cash used in investing activities\t(442162)\t(33374)\nCash flows from financing activities\t\t\nNet increase in deposits\t543187\t59907\nChange in short-term borrowings\t(65664)\t(87584)\nIssuances of FRB borrowings related to Paycheck Protection Program\t34098\t0\nIssuances of long-term FHLB advances\t20923\t100000\nNet proceeds from issuance of preferred stock\t23370\t0\nChange in secured borrowing\t(52)\t(53)\nShare buyback - redeemed stock\t(620)\t(2108)\nCommon stock dividends paid\t(1082)\t(852)\nProceeds from exercised stock options\t95\t219\nPayments related to tax-withholding for share based compensation awards\t(64)\t(43)\nNet cash provided by financing activities\t554191\t69486\nNet change in cash and cash equivalents\t72556\t16065\nBeginning cash and cash equivalents\t103930\t33296\nEnding cash and cash equivalents\t176486\t49361\nSupplemental disclosure of cash flow information:\t\t\nInterest paid\t12117\t14109\nTaxes paid\t6909\t2071\nTransfer from loans held for sale to loans held for investment\t2284\t1895\nTransfer from loans to other real estate owned\t1172\t373\nIncrease in assets and liabilities in acquisitions:\t\t\nAssets acquired-Ann Arbor State Bank\t325303\t0\nLiabilities assumed-Ann Arbor State Bank\t283526\t0\n", "q10k_tbl_8": "(Dollars in thousands)\t\nConsideration paid:\t\nCash\t67944\nFair value of assets acquired:\t\nCash and cash equivalents\t38480\nInvestment securities\t47416\nFederal Home Loan Bank stock\t923\nLoans held for sale\t1703\nLoans held for investment\t222356\nPremises and equipment\t2404\nCore deposit intangibles\t3663\nOther assets\t8358\nTotal assets acquired\t325303\nFair value of liabilities assumed:\t\nDeposits\t264820\nFederal Home Loan Bank advances\t15279\nOther liabilities\t3427\nTotal liabilities assumed\t283526\nTotal identifiable net assets\t41777\nGoodwill recognized in the acquisition\t26167\n", "q10k_tbl_9": "(Dollars in thousands)\t\nAccounted for under ASC 310-30:\t\nContractual cash flows\t1018\nContractual cash flows not expected to be collected (nonaccretable difference)\t82\nExpected cash flows\t936\nInterest component of expected cash flows (accretable yield)\t35\nFair value at acquisition\t901\nAccounted for under ASC 310-20:\t\nUnpaid principal and interest balance\t221061\nFair value premium\t394\nFair value at acquisition\t221455\nTotal fair value at acquisition\t222356\n", "q10k_tbl_10": "\tThree months ended September 30\t\tNine months ended September 30\t\n(Dollars in thousands except per share data)\t2020\t2019\t2020\t2019\nNet interest income\t16593\t16036\t47709\t46217\nNoninterest income\t9125\t4486\t21604\t11228\nNoninterest expense\t15143\t13742\t44822\t38879\nNet income\t5211\t4865\t12062\t13188\nNet income per diluted share\t0.67\t0.62\t1.55\t1.68\n", "q10k_tbl_11": "(Dollars in thousands)\tAmortized Cost\tGross Unrealized Gains\tGross Unrealized Losses\tFair Value\nSeptember 30 2020\t\t\t\t\nU.S. government sponsored entities & agencies\t27092\t126\t(19)\t27199\nState and political subdivision\t109498\t8140\t(88)\t117550\nMortgage-backed securities: residential\t19237\t255\t0\t19492\nMortgage-backed securities: commercial\t8025\t630\t0\t8655\nCollateralized mortgage obligations: residential\t14177\t169\t(13)\t14333\nCollateralized mortgage obligations: commercial\t31659\t1344\t0\t33003\nU.S. Treasury\t1000\t3\t0\t1003\nSBA\t18869\t63\t(124)\t18808\nAsset backed securities\t10298\t0\t(344)\t9954\nCorporate bonds\t3491\t39\t0\t3530\nTotal available-for-sale\t243346\t10769\t(588)\t253527\nDecember 31 2019\t\t\t\t\nState and political subdivision\t89304\t4463\t(20)\t93747\nMortgage-backed securities: residential\t10609\t82\t(126)\t10565\nMortgage-backed securities: commercial\t8567\t224\t(12)\t8779\nCollateralized mortgage obligations: residential\t8541\t39\t(51)\t8529\nCollateralized mortgage obligations: commercial\t22891\t300\t(10)\t23181\nU.S. Treasury\t1976\t23\t0\t1999\nSBA\t22051\t87\t(154)\t21984\nAsset backed securities\t10390\t0\t(306)\t10084\nCorporate bonds\t2030\t20\t(13)\t2037\nTotal available-for-sale\t176359\t5238\t(692)\t180905\n", "q10k_tbl_12": "\tFor the three months ended September 30\t\tFor the nine months ended September 30\t\n(Dollars in thousands)\t2020\t2019\t2020\t2019\nProceeds\t5051\t11080\t42640\t46545\nGross gains\t434\t202\t1871\t543\nGross losses\t0\t(51)\t(9)\t(392)\n", "q10k_tbl_13": "\tSeptember 30 2020\t\n(Dollars in thousands)\tAmortized Cost\tFair Value\nWithin one year\t11141\t11228\nOne to five years\t27530\t28494\nFive to ten years\t70259\t73165\nBeyond ten years\t134416\t140640\nTotal\t243346\t253527\n", "q10k_tbl_14": "\tLess than 12 Months\t\t12 Months or Longer\t\tTotal\t\n(Dollars in thousands)\tFair value\tUnrealized Losses\tFair value\tUnrealized Losses\tFair value\tUnrealized Losses\nSeptember 30 2020\t\t\t\t\t\t\nAvailable-for-sale\t\t\t\t\t\t\nU.S. government sponsored entities & agencies\t14981\t(19)\t0\t0\t14981\t(19)\nState and political subdivision\t1858\t(88)\t0\t0\t1858\t(88)\nCollateralized mortgage obligations: residential\t0\t0\t1136\t(13)\t1136\t(13)\nSBA\t0\t0\t13190\t(124)\t13190\t(124)\nAsset backed securities\t0\t0\t9954\t(344)\t9954\t(344)\nTotal available-for-sale\t16839\t(107)\t24280\t(481)\t41119\t(588)\nDecember 31 2019\t\t\t\t\t\t\nAvailable-for-sale\t\t\t\t\t\t\nState and political subdivision\t5109\t(20)\t305\t0\t5414\t(20)\nMortgage-backed securities: residential\t4022\t(39)\t3982\t(87)\t8004\t(126)\nMortgage-backed securities: commercial\t1769\t(11)\t430\t(1)\t2199\t(12)\nCollateralized mortgage obligations: residential\t770\t(1)\t4631\t(50)\t5401\t(51)\nCollateralized mortgage obligations: commercial\t0\t0\t1716\t(10)\t1716\t(10)\nSBA\t3961\t(13)\t12405\t(141)\t16366\t(154)\nAsset backed securities\t8220\t(232)\t1864\t(74)\t10084\t(306)\nCorporate bonds\t489\t(13)\t0\t0\t489\t(13)\nTotal available-for-sale\t24340\t(329)\t25333\t(363)\t49673\t(692)\n", "q10k_tbl_15": "(Dollars in thousands)\tOriginated\tAcquired\tTotal\nSeptember 30 2020\t\t\t\nCommercial real estate\t593156\t137033\t730189\nCommercial and industrial\t748913\t59010\t807923\nResidential real estate\t261153\t42935\t304088\nConsumer\t671\t1017\t1688\nTotal\t1603893\t239995\t1843888\nDecember 31 2019\t\t\t\nCommercial real estate\t551565\t53081\t604646\nCommercial and industrial\t403922\t6306\t410228\nResidential real estate\t201787\t10052\t211839\nConsumer\t864\t32\t896\nTotal\t1158138\t69471\t1227609\n", "q10k_tbl_16": "(Dollars in thousands)\tSeptember 30 2020\tDecember 31 2019\nNonaccrual loans:\t\t\nCommercial real estate\t7022\t4832\nCommercial and industrial\t8078\t11112\nResidential real estate\t4151\t2569\nConsumer\t15\t16\nTotal nonaccrual loans\t19266\t18529\nOther real estate owned\t0\t921\nTotal nonperforming assets\t19266\t19450\nLoans 90 days or more past due and still accruing\t552\t157\n", "q10k_tbl_17": "(Dollars in thousands)\tCurrent\t30 - 59 Days Past Due\t60 - 89 Days Past Due\t90+ Days Past Due\tTotal\nSeptember 30 2020\t\t\t\t\t\nCommercial real estate\t726018\t3934\t237\t0\t730189\nCommercial and industrial\t802363\t3598\t1962\t0\t807923\nResidential real estate\t294478\t4067\t2133\t3410\t304088\nConsumer\t1684\t2\t2\t0\t1688\nTotal\t1824543\t11601\t4334\t3410\t1843888\nDecember 31 2019\t\t\t\t\t\nCommercial real estate\t597892\t3630\t1286\t1838\t604646\nCommercial and industrial\t407692\t377\t1275\t884\t410228\nResidential real estate\t206002\t3286\t1429\t1122\t211839\nConsumer\t892\t4\t0\t0\t896\nTotal\t1212478\t7297\t3990\t3844\t1227609\n", "q10k_tbl_18": "(Dollars in thousands)\tSeptember 30 2020\tDecember 31 2019\nNonaccrual loans\t19266\t18529\nPerforming troubled debt restructurings:\t\t\nCommercial and industrial\t550\t547\nResidential real estate\t599\t359\nTotal performing troubled debt restructurings\t1149\t906\nTotal impaired loans excluding purchase credit impaired loans\t20415\t19435\n", "q10k_tbl_19": "\tConcession type\t\t\t\t\tFinancial effects of modification\t\n(Dollars in thousands)\tPrincipal deferral\tInterest rate\tForbearance agreement\tTotal number of loans\tTotal recorded investment\tNet charge-offs\tProvision for loan losses\nThree months ended September 30 2020\t\t\t\t\t\t\t\nCommercial and industrial\t0\t0\t148\t1\t148\t0\t0\nTotal\t0\t0\t148\t1\t148\t0\t0\nNine months ended September 30 2020\t\t\t\t\t\t\t\nCommercial and industrial\t0\t0\t148\t1\t148\t0\t0\nResidential real estate\t0\t75\t0\t1\t75\t0\t0\nTotal\t0\t75\t148\t2\t223\t0\t0\nNine months ended September 30 2019\t\t\t\t\t\t\t\nCommercial and industrial\t0\t0\t351\t2\t351\t0\t174\nTotal\t0\t0\t351\t2\t351\t0\t174\n", "q10k_tbl_20": "(Dollars in thousands)\tPass\tSpecial Mention\tSubstandard\tDoubtful\tTotal\nSeptember 30 2020\t\t\t\t\t\nCommercial real estate\t703241\t19686\t6723\t539\t730189\nCommercial and industrial\t773242\t17874\t12260\t4547\t807923\nTotal\t1476483\t37560\t18983\t5086\t1538112\nDecember 31 2019\t\t\t\t\t\nCommercial real estate\t591419\t8325\t4042\t860\t604646\nCommercial and industrial\t383756\t8967\t16527\t978\t410228\nTotal\t975175\t17292\t20569\t1838\t1014874\n", "q10k_tbl_21": "(Dollars in thousands)\tPerforming\tNonperforming\tTotal\nSeptember 30 2020\t\t\t\nResidential real estate\t299937\t4151\t304088\nConsumer\t1673\t15\t1688\nTotal\t301610\t4166\t305776\nDecember 31 2019\t\t\t\nResidential real estate\t209270\t2569\t211839\nConsumer\t880\t16\t896\nTotal\t210150\t2585\t212735\n", "q10k_tbl_22": "(Dollars in thousand)\tUnpaid Principal Balance\tRecorded Investment\nSeptember 30 2020\t\t\nCommercial real estate\t6304\t2841\nCommercial and industrial\t683\t281\nResidential real estate\t4048\t2945\nTotal PCI loans\t11035\t6067\nDecember 31 2019\t\t\nCommercial real estate\t6597\t2884\nCommercial and industrial\t556\t135\nResidential real estate\t4215\t2954\nTotal PCI loans\t11368\t5973\n", "q10k_tbl_23": "\tFor the three months ended September 30\t\tFor the nine months ended September 30\t\n(Dollars in thousands)\t2020\t2019\t2020\t2019\t\t\t\t\t\t\t\t\t\nAccretable yield at beginning of period\t8374\t10194\t9141\t10947\t\t\t\t\t\t\t\t\t\nAdditions due to acquisitions\t0\t0\t35\t0\t\t\t\t\t\t\t\t\t\nAccretion of income\t(482)\t(597)\t(1350)\t(1772)\t\t\t\t\t\t\t\t\t\nAdjustments to accretable yield\t0\t0\t66\t422\t\t\t\t\t\t\t\t\t\nAccretable yield at end of period\t7892\t9597\t7892\t9597\t\t\t\t\t\t\t\t\t\n", "q10k_tbl_24": "(Dollars in thousands)\tRecorded investment with no related allowance\tRecorded investment with related allowance\tTotal recorded investment\tContractual principal balance\tRelated allowance\nSeptember 30 2020\t\t\t\t\t\nIndividually evaluated impaired loans:\t\t\t\t\t\nCommercial real estate\t7022\t0\t7022\t7355\t0\nCommercial and industrial\t4465\t4717\t9182\t10031\t798\nResidential real estate\t2942\t266\t3208\t3459\t26\nTotal\t14429\t4983\t19412\t20845\t824\nDecember 31 2019\t\t\t\t\t\nIndividually evaluated impaired loans:\t\t\t\t\t\nCommercial real estate\t4832\t0\t4832\t5156\t0\nCommercial and industrial\t10739\t913\t11652\t12521\t363\nResidential real estate\t1197\t189\t1386\t1570\t22\nTotal\t16768\t1102\t17870\t19247\t385\n", "q10k_tbl_25": "(Dollars in thousands)\tAverage Recorded Investment\tInterest Income Recognized\tCash Basis Interest Recognized\nFor the three months ended September 30 2020\t\t\t\nIndividually evaluated impaired loans:\t\t\t\nCommercial real estate\t7139\t0\t0\nCommercial and industrial\t8960\t12\t0\nResidential real estate\t3265\t7\t0\nTotal\t19364\t19\t0\nFor the nine months ended September 30 2020\t\t\t\nIndividually evaluated impaired loans:\t\t\t\nCommercial real estate\t7433\t0\t0\nCommercial and industrial\t13086\t34\t84\nResidential real estate\t3266\t26\t0\nTotal\t23785\t60\t84\nFor the three months ended September 30 2019\t\t\t\nIndividually evaluated impaired loans:\t\t\t\nCommercial real estate\t3111\t2\t35\nCommercial and industrial\t6752\t14\t349\nResidential real estate\t1428\t7\t0\nTotal\t11291\t23\t384\nFor the nine months ended September 30 2019\t\t\t\nIndividually evaluated impaired loans:\t\t\t\nCommercial real estate\t4034\t2\t209\nCommercial and industrial\t9080\t33\t573\nResidential real estate\t2059\t21\t10\nTotal\t15173\t56\t792\n", "q10k_tbl_26": "(Dollars in thousands)\tCommercial Real Estate\tCommercial and Industrial\tResidential Real Estate\tConsumer\tTotal\nFor the three months ended September 30 2020\t\t\t\t\t\nAllowance for loan losses:\t\t\t\t\t\nBeginning balance\t7987\t6496\t2565\t15\t17063\nProvision (benefit) for loan losses\t1820\t1679\t781\t(10)\t4270\nGross chargeoffs\t0\t(10)\t(110)\t(4)\t(124)\nRecoveries\t12\t15\t10\t8\t45\nNet (chargeoffs) recoveries\t12\t5\t(100)\t4\t(79)\nEnding allowance for loan losses\t9819\t8180\t3246\t9\t21254\nFor the nine months ended September 30 2020\t\t\t\t\t\nAllowance for loan losses:\t\t\t\t\t\nBeginning balance\t5773\t5515\t1384\t2\t12674\nProvision for loan losses\t4034\t4347\t1921\t32\t10334\nGross chargeoffs\t0\t(1729)\t(110)\t(47)\t(1886)\nRecoveries\t12\t47\t51\t22\t132\nNet (chargeoffs) recoveries\t12\t(1682)\t(59)\t(25)\t(1754)\nEnding allowance for loan losses\t9819\t8180\t3246\t9\t21254\nFor the three months ended September 30 2019\t\t\t\t\t\nAllowance for loan losses:\t\t\t\t\t\nBeginning balance\t5219\t5990\t1142\t2\t12353\nProvision (benefit) for loan losses\t184\t(280)\t72\t8\t(16)\nGross chargeoffs\t0\t(49)\t0\t(34)\t(83)\nRecoveries\t5\t10\t12\t26\t53\nNet (chargeoffs) recoveries\t5\t(39)\t12\t(8)\t(30)\nEnding allowance for loan losses\t5408\t5671\t1226\t2\t12307\nFor the nine months ended September 30 2019\t\t\t\t\t\nAllowance for loan losses:\t\t\t\t\t\nBeginning balance\t5227\t5174\t1164\t1\t11566\nProvision for loan losses\t249\t560\t7\t19\t835\nGross chargeoffs\t(74)\t(164)\t0\t(48)\t(286)\nRecoveries\t6\t101\t55\t30\t192\nNet (chargeoffs) recoveries\t(68)\t(63)\t55\t(18)\t(94)\nEnding allowance for loan losses\t5408\t5671\t1226\t2\t12307\n", "q10k_tbl_27": "(Dollars in thousands)\tCommercial Real Estate\tCommercial and Industrial\tResidential Real Estate\tConsumer\tTotal\nSeptember 30 2020\t\t\t\t\t\nAllowance for loan losses:\t\t\t\t\t\nIndividually evaluated for impairment\t0\t798\t26\t0\t824\nCollectively evaluated for impairment\t9109\t7352\t3023\t9\t19493\nAcquired with deteriorated credit quality\t710\t30\t197\t0\t937\nEnding allowance for loan losses\t9819\t8180\t3246\t9\t21254\nBalance of loans:\t\t\t\t\t\nIndividually evaluated for impairment\t7022\t9182\t3208\t0\t19412\nCollectively evaluated for impairment\t720326\t798460\t297935\t1688\t1818409\nAcquired with deteriorated credit quality\t2841\t281\t2945\t0\t6067\nTotal loans\t730189\t807923\t304088\t1688\t1843888\nDecember 31 2019\t\t\t\t\t\nAllowance for loan losses:\t\t\t\t\t\nIndividually evaluated for impairment\t0\t363\t22\t0\t385\nCollectively evaluated for impairment\t5062\t5124\t1339\t2\t11527\nAcquired with deteriorated credit quality\t711\t28\t23\t0\t762\nEnding allowance for loan losses\t5773\t5515\t1384\t2\t12674\nBalance of loans:\t\t\t\t\t\nIndividually evaluated for impairment\t4832\t11652\t1386\t0\t17870\nCollectively evaluated for impairment\t596930\t398441\t207499\t896\t1203766\nAcquired with deteriorated credit quality\t2884\t135\t2954\t0\t5973\nTotal loans\t604646\t410228\t211839\t896\t1227609\n", "q10k_tbl_28": "(Dollars in thousands)\tSeptember 30 2020\tDecember 31 2019\nLand\t3514\t2254\nBuildings\t10656\t9825\nLeasehold improvements\t2993\t2714\nFurniture fixtures and equipment\t7231\t6539\nTotal premises and equipment\t24394\t21332\nLess: Accumulated depreciation\t8748\t7494\nNet premises and equipment\t15646\t13838\n", "q10k_tbl_29": "(Dollars in thousands)\tSeptember 30 2020\tDecember 31 2019\nGross carrying amount\t5708\t2045\nAccumulated amortization\t(2320)\t(1744)\nNet Intangible\t3388\t301\n", "q10k_tbl_30": "\tFor the three months ended September 30\tFor the nine months ended September 30\n(Dollars in thousands)\t2020\t2020\nMortgage servicing rights:\t\t\nBalance beginning of period\t1213\t76\nOriginated servicing\t1073\t2250\nAmortization\t(93)\t(133)\nBalance end of period\t2193\t2193\nFair value:\t\t\nAt beginning of period\t1256\t87\nAt end of period\t2567\t2567\n", "q10k_tbl_31": "\tSeptember 30 2020\t\tDecember 31 2019\t\n(Dollars in thousands)\tAmount\tWeighted Average Rate(1)\tAmount\tWeighted Average Rate(1)\nShort-term borrowings:\t\t\t\t\nFHLB Advances\t0\t-%\t60000\t1.61%\nSecurities sold under agreements to repurchase\t187\t0.30\t851\t0.30\nFederal funds purchased\t0\t0\t5000\t1.90\nTotal short-term borrowings\t187\t0.30\t65851\t1.62\nLong-term debt:\t\t\t\t\nSecured borrowing due in 2022\t1322\t1.00\t1374\t1.00\nFHLB advances due in 2022 to 2029(2)\t181202\t1.09\t145000\t1.06\nFRB borrowings (3)\t34098\t0.35\t0\t0\nSubordinated notes due in 2025 and 2029(4)\t44555\t5.29\t44440\t5.29\nTotal long-term debt\t261177\t1.71\t190814\t2.04\nTotal short-term and long-term borrowings\t261364\t1.71%\t256665\t1.93%\n", "q10k_tbl_32": "\tFor the three months ended September 30\t\tFor the nine months ended September 30\t\n(Dollars in thousands)\t2020\t2019\t2020\t2019\nIncome tax expense based on federal corporate tax rate\t1328\t1118\t2970\t2911\nChanges resulting from:\t\t\t\t\nTax-exempt income\t(154)\t(142)\t(469)\t(398)\nNet operating loss carryback due to CARES Act\t0\t0\t(290)\t0\nDisqualified dispositions from stock options\t0\t0\t(175)\t0\nOther net\t(57)\t(62)\t73\t(85)\nIncome tax expense\t1117\t914\t2109\t2428\n", "q10k_tbl_33": "\tShares\tWeighted Average Exercise Price\tWeighted Average Remaining Contractual Term\nOptions outstanding beginning of period\t355218\t16.63\t5.0\nExercised\t(10000)\t9.57\t\nOptions outstanding end of period\t345218\t16.83\t4.4\nOptions exercisable\t335216\t16.59\t4.3\n", "q10k_tbl_34": "Nonvested Shares\tShares\tWeighted Average Grant-Date Fair Value\nNonvested at January 1 2020\t80370\t24.28\nGranted\t38170\t24.90\nVested\t(19850)\t23.10\nForfeited\t(1400)\t24.46\nNonvested at September 30 2020\t97290\t24.76\n", "q10k_tbl_35": "\tSeptember 30 2020\t\tDecember 31 2019\t\n(Dollars in thousands)\tFixed\tVariable\tFixed\tVariable\nCommitments to make loans\t5302\t5295\t16276\t20128\nUnused lines of credit\t30496\t361749\t28723\t288086\nUnused standby letters of credit and commercial letters of credit\t3705\t2028\t4895\t0\n", "q10k_tbl_36": "\tActual\t\tFor Capital Adequacy Purposes\t\tFor Capital Adequacy Purposes + Capital Conservation Buffer(1)\t\tWell Capitalized Under Prompt Corrective Action Provisions\t\n(Dollars in thousands)\tAmount\tRatio\tAmount\tRatio\tAmount\tRatio\tAmount\tRatio\nSeptember 30 2020\t\t\t\t\t\t\t\t\nCommon equity tier 1 to risk-weighted assets:\t\t\t\t\t\t\t\t\nConsolidated\t139067\t8.83%\t70875\t4.50%\t110250\t7.00%\t\t\nBank\t176593\t11.23%\t70760\t4.50%\t110070\t7.00%\t102208\t6.50%\nTier 1 capital to risk-weighted assets:\t\t\t\t\t\t\t\t\nConsolidated\t162437\t10.31%\t94500\t6.00%\t133875\t8.50%\t\t\nBank\t176593\t11.23%\t94346\t6.00%\t133657\t8.50%\t125795\t8.00%\nTotal capital to risk-weighted assets:\t\t\t\t\t\t\t\t\nConsolidated\t226679\t14.39%\t126000\t8.00%\t165375\t10.50%\t\t\nBank\t196274\t12.48%\t125795\t8.00%\t165106\t10.50%\t157244\t10.00%\nTier 1 capital to average assets (leverage ratio):\t\t\t\t\t\t\t\t\nConsolidated\t162437\t7.17%\t90664\t4.00%\t90664\t4.00%\t\t\nBank\t176593\t7.83%\t90220\t4.00%\t90220\t4.00%\t112776\t5.00%\nDecember 31 2019\t\t\t\t\t\t\t\t\nCommon equity tier 1 to risk-weighted assets:\t\t\t\t\t\t\t\t\nConsolidated\t157659\t11.72%\t60533\t4.50%\t94163\t7.00%\t\t\nBank\t165199\t12.27%\t60568\t4.50%\t94217\t7.00%\t87487\t6.50%\nTier 1 capital to risk-weighted assets:\t\t\t\t\t\t\t\t\nConsolidated\t157659\t11.72%\t80711\t6.00%\t114341\t8.50%\t\t\nBank\t165199\t12.27%\t80757\t6.00%\t114406\t8.50%\t107676\t8.00%\nTotal capital to risk-weighted assets:\t\t\t\t\t\t\t\t\nConsolidated\t215091\t15.99%\t107615\t8.00%\t141244\t10.50%\t\t\nBank\t178191\t13.24%\t107676\t8.00%\t141325\t10.50%\t134595\t10.00%\nTier 1 capital to average assets (leverage ratio):\t\t\t\t\t\t\t\t\nConsolidated\t157659\t10.41%\t60580\t4.00%\t60580\t4.00%\t\t\nBank\t165199\t10.96%\t60276\t4.00%\t60276\t4.00%\t75345\t5.00%\n", "q10k_tbl_37": "(Dollars in thousands)\tTotal\tQuoted Prices in Active Markets for Identical Assets (Level 1)\tSignificant Other Observable Inputs (Level 2)\tSignificant Unobservable Inputs (Level 3)\nSeptember 30 2020\t\t\t\t\nSecurities available for sale:\t\t\t\t\nU.S. government sponsored entities and agencies\t27199\t0\t27199\t0\nState and political subdivision\t117550\t0\t115838\t1712\nMortgage-backed securities: residential\t19492\t0\t19492\t0\nMortgage-backed securities: commercial\t8655\t0\t8655\t0\nCollateralized mortgage obligations: residential\t14333\t0\t14333\t0\nCollateralized mortgage obligations: commercial\t33003\t0\t33003\t0\nU.S. Treasury\t1003\t0\t1003\t0\nSBA\t18808\t0\t18808\t0\nAsset backed securities\t9954\t0\t9954\t0\nCorporate bonds\t3530\t0\t3530\t0\nTotal securities available for sale\t253527\t0\t251815\t1712\nLoans held for sale\t60635\t0\t60635\t0\nLoans measured at fair value:\t\t\t\t\nResidential real estate\t5080\t0\t0\t5080\nDerivative assets:\t\t\t\t\nCustomer-initiated derivatives\t14422\t0\t14422\t0\nForward contracts related to mortgage loans to be delivered for sale\t117\t0\t117\t0\nInterest rate lock commitments\t2068\t0\t2068\t0\nTotal assets at fair value\t335849\t0\t329057\t6792\nDerivative liabilities:\t\t\t\t\nCustomer-initiated derivatives\t14422\t0\t14422\t0\nForward contracts related to mortgage loans to be delivered for sale\t441\t0\t441\t0\nInterest rate lock commitments\t4\t0\t4\t0\nTotal liabilities at fair value\t14867\t0\t14867\t0\n", "q10k_tbl_38": "(Dollars in thousands)\tTotal\tQuoted Prices in Active Markets for Identical Assets (Level 1)\tSignificant Other Observable Inputs (Level 2)\tSignificant Unobservable Inputs (Level 3)\nDecember 31 2019\t\t\t\t\nSecurities available for sale:\t\t\t\t\nState and political subdivision\t93747\t0\t93747\t0\nMortgage-backed securities: residential\t10565\t0\t10565\t0\nMortgage-backed securities: commercial\t8779\t0\t8779\t0\nCollateralized mortgage obligations: residential\t8529\t0\t8529\t0\nCollateralized mortgage obligations: commercial\t23181\t0\t23181\t0\nU.S. Treasury\t1999\t0\t1999\t0\nSBA\t21984\t0\t21984\t0\nAsset backed securities\t10084\t0\t10084\t0\nCorporate bonds\t2037\t0\t2037\t0\nTotal securities available for sale\t180905\t0\t180905\t0\nLoans held for sale\t13889\t0\t13889\t0\nLoans measured at fair value:\t\t\t\t\nResidential real estate\t4063\t0\t0\t4063\nDerivative assets:\t\t\t\t\nCustomer-initiated derivatives\t4684\t0\t4684\t0\nForward contracts related to mortgage loans to be delivered for sale\t34\t0\t34\t0\nInterest rate lock commitments\t256\t0\t256\t0\nTotal assets at fair value\t203831\t0\t199768\t4063\nDerivative liabilities:\t\t\t\t\nCustomer-initiated derivatives\t4684\t0\t4684\t0\nForward contracts related to mortgage loans to be delivered for sale\t33\t0\t33\t0\nTotal liabilities at fair value\t4717\t0\t4717\t0\n", "q10k_tbl_39": "\tFor the three months ended September 30\t\tFor the nine months ended September 30\t\n(Dollars in thousands)\t2020\t2019\t2020\t2019\nLoans held for investment\t\t\t\t\nBeginning balance\t4056\t5624\t4063\t4571\nTransfers from loans held for sale\t1468\t466\t2284\t1895\nGains (losses):\t\t\t\t\nRecorded in \"Mortgage banking activities\"\t65\t(9)\t62\t151\nRepayments\t(509)\t(1191)\t(1329)\t(1727)\nEnding balance\t5080\t4890\t5080\t4890\n", "q10k_tbl_40": "(Dollars in thousands)\tSeptember 30 2020\tDecember 31 2019\nAggregate fair value\t60635\t13889\nContractual balance\t59055\t13510\nUnrealized gain\t1580\t379\n", "q10k_tbl_41": "\tFor the three months ended September 30\t\tFor the nine months ended September 30\t\n(Dollars in thousands)\t2020\t2019\t2020\t2019\nChange in fair value\t556\t(98)\t1201\t352\n", "q10k_tbl_42": "(Dollars in thousands)\tTotal\tSignificant Unobservable Inputs (Level 3)\nSeptember 30 2020\t\t\nImpaired loans:\t\t\nResidential real estate\t1305\t1305\nCommercial and industrial\t761\t761\nMortgage servicing rights\t2567\t2567\nTotal\t4633\t4633\nDecember 31 2019\t\t\nImpaired loans:\t\t\nCommercial real estate\t265\t265\nCommercial and industrial\t261\t261\nMortgage servicing rights\t87\t87\nOther real estate owned\t921\t921\nTotal\t1534\t1534\n", "q10k_tbl_43": "(Dollars in thousands)\tFair value at September 30 2020\tValuation Technique(s)\tSignificant Unobservable Input(s)\tDiscount % Range/Amount\nImpaired loans\t2066\tDiscounted appraisals; estimated net realizable value of collateral\tCollateral discounts\t10.00-80.00%\nMortgage servicing rights\t2567\tDiscounted cash flow\tPrepayment speed\t9.40%\n\t\t\tDiscount rate\t7.75%\n", "q10k_tbl_44": "(Dollars in thousands)\tFair value at December 31 2019\tValuation Technique(s)\tSignificant Unobservable Input(s)\tDiscount % Range/Amount\nImpaired loans\t526\tDiscounted appraisals; estimated net realizable value of collateral\tCollateral discounts\t10.00-50.00%\nMortgage servicing rights\t87\tDiscounted cash flow\tPrepayment speed\t13.42%\n\t\t\tDiscount rate\t8.50%\nOther real estate owned\t921\tAppraisal of property\tDiscounted appraisal value\t18.00-36.00%\n", "q10k_tbl_45": "\t\tEstimated Fair Value\t\t\t\n(Dollars in thousands)\tCarrying Value\tQuoted Prices in Active Markets for Identical Assets (Level 1)\tSignificant Other Observable Inputs (Level 2)\tSignificant Unobservable Inputs (Level 3)\tTotal\nSeptember 30 2020\t\t\t\t\t\nFinancial assets:\t\t\t\t\t\nCash and cash equivalents\t176486\t31080\t145406\t0\t176486\nOther investments\t14398\tN/A\tN/A\tN/A\tN/A\nNet loans\t1822634\t0\t0\t1863805\t1863805\nAccrued interest receivable\t8541\t0\t1966\t6575\t8541\nFinancial liabilities:\t\t\t\t\t\nDeposits\t1943435\t0\t2008494\t0\t2008494\nBorrowings\t216809\t0\t224511\t0\t224511\nSubordinated notes\t44555\t0\t44795\t0\t44795\nAccrued interest payable\t2265\t0\t2265\t0\t2265\nDecember 31 2019\t\t\t\t\t\nFinancial assets:\t\t\t\t\t\nCash and cash equivalents\t103930\t19990\t83940\t0\t103930\nOther investments\t11475\tN/A\tN/A\tN/A\tN/A\nNet loans\t1214935\t0\t0\t1203639\t1203639\nAccrued interest receivable\t4403\t0\t1236\t3167\t4403\nFinancial liabilities:\t\t\t\t\t\nDeposits\t1135428\t0\t1138202\t0\t1138202\nBorrowings\t212225\t0\t212125\t0\t212125\nSubordinated notes\t44440\t0\t47100\t0\t47100\nAccrued interest payable\t1574\t0\t1574\t0\t1574\n", "q10k_tbl_46": "\tSeptember 30 2020\t\tDecember 31 2019\t\n(Dollars in thousands)\tNotional Amount\tFair Value\tNotional Amount\tFair Value\nIncluded in other assets:\t\t\t\t\nCustomer-initiated and mortgage banking derivatives:\t\t\t\t\nCustomer-initiated derivatives\t135462\t14422\t103941\t4684\nForward contracts related to mortgage loans to be delivered for sale\t38840\t117\t6018\t34\nInterest rate lock commitments\t110179\t2068\t25519\t256\nTotal derivatives included in other assets\t284481\t16607\t135478\t4974\nIncluded in other liabilities:\t\t\t\t\nCustomer-initiated and mortgage banking derivatives:\t\t\t\t\nCustomer-initiated derivatives\t135462\t14422\t103941\t4684\nForward contracts related to mortgage loans to be delivered for sale\t99697\t441\t20633\t33\nInterest rate lock commitments\t4053\t4\t928\t0\nTotal derivatives included in other liabilities\t239212\t14867\t125502\t4717\n", "q10k_tbl_47": "\t\tFor the three months ended September 30\t\tFor the nine months ended September 30\t\n(Dollars in thousands)\tLocation of Gain (Loss)\t2020\t2019\t2020\t2019\nForward contracts related to mortgage loans to be delivered for sale\tMortgage banking activities\t(1207)\t(26)\t(3996)\t(417)\nInterest rate lock commitments\tMortgage banking activities\t391\t(48)\t1808\t156\nTotal loss recognized in income\t\t(816)\t(74)\t(2188)\t(261)\n", "q10k_tbl_48": "\t\t\t\tGross amounts not offset in the statements of financial position\t\t\n(Dollars in thousands)\tGross amounts recognized\tGross amounts offset in the statements of financial condition\tNet amounts presented in the statements of financial condition\tFinancial instruments\tCollateral (received)/posted\tNet amount\nSeptember 30 2020\t\t\t\t\t\t\nOffsetting derivative assets:\t\t\t\t\t\t\nCustomer initiated derivatives\t14422\t0\t14422\t0\t0\t14422\nOffsetting derivative liabilities:\t\t\t\t\t\t\nCustomer initiated derivatives\t14422\t0\t14422\t0\t15383\t(961)\nDecember 31 2019\t\t\t\t\t\t\nOffsetting derivative assets:\t\t\t\t\t\t\nCustomer initiated derivatives\t4684\t0\t4684\t0\t0\t4684\nOffsetting derivative liabilities:\t\t\t\t\t\t\nCustomer initiated derivatives\t4684\t0\t4684\t0\t4375\t309\n", "q10k_tbl_49": "(Dollars in thousands)\tSeptember 30 2020\tDecember 31 2019\nAssets\t\t\nCash and cash equivalents\t29105\t35210\nInvestment in banking subsidiary\t223624\t178240\nInvestment in captive insurance subsidiary\t2306\t1668\nIncome tax benefit\t158\t520\nOther assets\t41\t99\nTotal assets\t255234\t215737\nLiabilities\t\t\nSubordinated notes\t44555\t44440\nAccrued expenses and other liabilities\t1211\t594\nTotal liabilities\t45766\t45034\nShareholders' equity\t209468\t170703\nTotal liabilities and shareholders' equity\t255234\t215737\n", "q10k_tbl_50": "\tFor the three months ended September 30\t\tFor the nine months ended September 30\t\n(Dollars in thousands)\t2020\t2019\t2020\t2019\nIncome\t\t\t\t\nDividend income from bank subsidiary\t5000\t0\t41500\t0\nTotal income\t5000\t0\t41500\t0\nExpenses\t\t\t\t\nInterest on borrowed funds\t11\t0\t33\t0\nInterest on subordinated notes\t632\t256\t1903\t759\nOther expenses\t302\t516\t1017\t902\nTotal expenses\t945\t772\t2953\t1661\nIncome (loss) before income taxes and equity in (overdistributed) undistributed net earnings of subsidiaries\t4055\t(772)\t38547\t(1661)\nIncome tax benefit\t228\t181\t383\t272\nEquity in (overdistributed) undistributed earnings of subsidiaries\t926\t5000\t(26890)\t12820\nNet income\t5209\t4409\t12040\t11431\nOther comprehensive income\t783\t1238\t4451\t7120\nTotal comprehensive income net of tax\t5992\t5647\t16491\t18551\n", "q10k_tbl_51": "\tFor the nine months ended September 30\t\n(Dollars in thousands)\t2020\t2019\nCash flows from operating activities\t\t\nNet income\t12040\t11431\nAdjustments to reconcile net income to net cash provided by operating activities:\t\t\nEquity in over (under) distributed earnings of subsidiaries\t26890\t(12820)\nStock based compensation expense\t72\t54\n(Increase) Decrease in other assets net\t420\t(115)\nIncrease in other liabilities net\t654\t411\nNet cash provided by (used in) operating activities\t40076\t(1039)\nCash flows from investing activities\t\t\nCash used in acquisitions\t(67944)\t0\nNet cash used in investing activities\t(67944)\t0\nCash flows from financing activities\t\t\nPreferred stock offering net of issuance costs\t23370\t0\nShare buyback - redeemed stock\t(620)\t(2108)\nCommon stock dividends paid\t(1082)\t(852)\nProceeds from exercised stock options\t95\t219\nNet cash provided by (used in) financing activities\t21763\t(2741)\nNet decrease in cash and cash equivalents\t(6105)\t(3780)\nBeginning cash and cash equivalents\t35210\t9690\nEnding cash and cash equivalents\t29105\t5910\n", "q10k_tbl_52": "\tFor the three months ended September 30\t\tFor the nine months ended September 30\t\n(In thousands except per share data)\t2020\t2019\t2020\t2019\nNet income\t5209\t4409\t12040\t11431\nNet income allocated to participating securities\t40\t45\t140\t110\nNet income allocated to common shareholders (1)\t5169\t4364\t11900\t11321\nWeighted average common shares - issued\t7734\t7721\t7730\t7738\nAverage unvested restricted share awards\t(59)\t(80)\t(90)\t(76)\nWeighted average common shares outstanding - basic\t7675\t7641\t7640\t7662\nEffect of dilutive securities:\t\t\t\t\nWeighted average common stock equivalents\t37\t111\t61\t114\nWeighted average common shares outstanding - diluted\t7712\t7752\t7701\t7776\nEPS available to common shareholders\t\t\t\t\nBasic earnings per common share\t0.68\t0.57\t1.56\t1.48\nDiluted earnings per common share\t0.67\t0.56\t1.55\t1.46\n", "q10k_tbl_53": "\tAs of and for the three months ended\t\t\tAs of and for the nine months ended\t\n(Dollars in thousands except per share data)\tSeptember 30 2020\tJune 30 2020\tSeptember 30 2019\tSeptember 30 2020\tSeptember 30 2019\nEarnings Summary\t\t\t\t\t\nInterest income\t20245\t20396\t17983\t60458\t53082\nInterest expense\t3648\t4163\t4995\t12808\t14935\nNet interest income\t16597\t16233\t12988\t47650\t38147\nProvision expense (benefit) for loan losses\t4270\t5575\t(16)\t10334\t835\nNoninterest income\t9125\t7789\t3858\t21604\t9621\nNoninterest expense\t15126\t15083\t11539\t44771\t33074\nIncome before income taxes\t6326\t3364\t5323\t14149\t13859\nIncome tax provision\t1117\t643\t914\t2109\t2428\nNet income\t5209\t2721\t4409\t12040\t11431\nNet income allocated to participating securities\t40\t19\t45\t140\t110\nNet income attributable to common shareholders\t5169\t2702\t4364\t11900\t11321\nPer Share Data\t\t\t\t\t\nBasic earnings per common share\t0.68\t0.35\t0.57\t1.56\t1.48\nDiluted earnings per common share\t0.67\t0.35\t0.56\t1.55\t1.46\nDiluted earnings per common share excluding acquisition and due diligence fees (1)\t0.67\t0.37\t0.60\t1.72\t1.50\nBook value per common share\t24.06\t23.31\t21.77\t27.08\t21.77\nTangible book value per common share (1)\t18.74\t18.09\t20.51\t18.74\t20.51\nPreferred shares outstanding (in thousands)\t10\t0\t0\t10\t0\nCommon shares outstanding (in thousands)\t7734\t7734\t7714\t7734\t7714\nAverage basic common shares (in thousands)\t7675\t7676\t7721\t7640\t7738\nAverage diluted common shares (in thousands)\t7712\t7721\t7752\t7701\t7776\nSelected Period End Balances\t\t\t\t\t\nTotal assets\t2446447\t2541696\t1509463\t2446447\t1509463\nSecurities available-for-sale\t253527\t217172\t205242\t253527\t205242\nTotal loans\t1843888\t1815353\t1168923\t1843888\t1168923\nTotal deposits\t1943435\t1821351\t1194542\t1943435\t1194542\nTotal liabilities\t2236979\t2361437\t1341495\t2236979\t1341495\nTotal shareholders' equity\t209468\t180259\t167968\t209468\t167968\nTotal common shareholders' equity\t186098\t180259\t167968\t186098\t167968\nTangible common shareholders' equity (1)\t144963\t139913\t158250\t144963\t158250\nPerformance and Capital Ratios\t\t\t\t\t\nReturn on average assets\t0.83%\t0.46%\t1.16%\t0.71%\t1.02%\nReturn on average equity\t10.48\t6.02\t10.58\t8.68\t9.51\nNet interest margin (fully taxable equivalent) (2)\t2.80\t2.98\t3.59\t3.04\t3.61\nEfficiency ratio (noninterest expense/net interest income plus noninterest income)\t58.81\t62.79\t68.50\t64.65\t69.24\nDividend payout ratio\t7.41\t14.22\t7.03\t8.99\t7.45\nTotal shareholders' equity to total assets\t8.56\t7.09\t11.13\t8.56\t11.13\nTangible common equity to tangible assets (1)\t6.03\t5.59\t10.55\t6.03\t10.55\nCommon equity tier 1 to risk-weighted assets\t8.83\t8.76\t11.73\t8.83\t11.73\nTier 1 capital to risk-weighted assets\t10.31\t8.76\t11.73\t10.31\t11.73\nTotal capital to risk-weighted assets\t14.39\t12.81\t13.84\t14.39\t13.84\nTier 1 capital to average assets (leverage ratio)\t7.17\t6.21\t10.12\t7.17\t10.12\nAsset Quality Ratios:\t\t\t\t\t\nNet charge-offs to average loans\t0.02%\t0.34%\t0.01%\t0.14%\t0.03%\nNonperforming assets as a percentage of total assets\t0.79\t0.33\t0.78\t0.79\t0.78\nNonaccrual loans as a percent of total loans\t1.04\t0.46\t0.98\t1.04\t0.98\nAllowance for loan losses as a percentage of total loans\t1.15\t0.94\t1.05\t1.15\t1.05\nAllowance for loan losses as a percentage of nonaccrual loans\t110.32\t206.37\t107.46\t110.32\t107.46\nAllowance for loan losses as a percentage of nonaccrual loans excluding allowance allocated to loans accounted for under ASC 310-30\t105.46\t195.04\t100.52\t105.46\t100.52\n", "q10k_tbl_54": "Tangible Common Shareholders' Equity Tangible Common Equity to Tangible Assets Ratio and Tangible Book Value Per Share\t\t\n\tAs of\t\n(Dollars in thousands except per share data)\tSeptember 30 2020\tJune 30 2020\t\t\t\tSeptember 30 2019\t\t\t\t\t\t\t\t\n\t(Unaudited)\t(Unaudited)\t\t\t\t(Unaudited)\t\t\t\t\t\t\t\t\nTotal shareholders' equity\t209468\t180259\t\t\t\t167968\t\t\t\t\t\t\t\t\nLess:\t\t\t\t\t\t\t\t\t\t\t\t\t\t\nPreferred stock\t23370\t0\t\t\t\t0\t\t\t\t\t\t\t\t\nTotal common shareholders' equity\t186098\t180259\t\t\t\t167968\t\t\t\t\t\t\t\t\nLess:\t\t\t\t\t\t\t\t\t\t\t\t\t\t\nGoodwill\t35554\t35554\t\t\t\t9387\t\t\t\t\t\t\t\t\nOther intangible assets net\t5581\t4792\t\t\t\t331\t\t\t\t\t\t\t\t\nTangible common shareholders' equity\t144963\t139913\t\t\t\t158250\t\t\t\t\t\t\t\t\nCommon shares outstanding (in thousands)\t7734\t7734\t\t\t\t7714\t\t\t\t\t\t\t\t\nTangible book value per common share\t18.74\t18.09\t\t\t\t20.51\t\t\t\t\t\t\t\t\nTotal assets\t2446447\t2541696\t\t\t\t1509463\t\t\t\t\t\t\t\t\nLess:\t\t\t\t\t\t\t\t\t\t\t\t\t\t\nGoodwill\t35554\t35554\t\t\t\t9387\t\t\t\t\t\t\t\t\nOther intangible assets net\t5581\t4792\t\t\t\t331\t\t\t\t\t\t\t\t\nTangible assets\t2405312\t2501350\t\t\t\t1499745\t\t\t\t\t\t\t\t\nTangible common equity to tangible assets\t6.03%\t5.59%\t\t\t\t10.55%\t\t\t\t\t\t\t\t\n", "q10k_tbl_55": "Adjusted Income and Diluted Earnings Per Share\t\t\t\t\t\n\tFor the three months ended\t\t\tFor the nine months ended\t\n(Dollars in thousands except per share data)\tSeptember 30 2020\tJune 30 2020\tSeptember 30 2019\tSeptember 30 2020\tSeptember 30 2019\n\t(Unaudited)\t(Unaudited)\t(Unaudited)\t(Unaudited)\t(Unaudited)\nNet income as reported\t5209\t2721\t4409\t12040\t11431\nAcquisition and due diligence fees\t17\t176\t319\t1664\t319\nIncome tax benefit (1)\t(4)\t(34)\t(25)\t(333)\t(25)\nNet income excluding acquisition and due diligence fees\t5222\t2863\t4703\t13371\t11725\nDiluted earnings per share as reported\t0.67\t0.35\t0.56\t1.55\t1.46\nEffect of acquisition and due diligence fees net of income tax benefit\t0.00\t0.02\t0.04\t0.17\t0.04\nDiluted earnings per common share excluding acquisition and due diligence fees\t0.67\t0.37\t0.60\t1.72\t1.50\n(1) Assumes income tax rate of 21% on deductible acquisition expenses.\t\t\t\t\t\n", "q10k_tbl_56": "Allowance for Loan Loss as a Percentage of Total Loans Excluding PPP Loans\t\t\t\n\tAs of\t\t\n(Dollars in thousands except per share data)\tSeptember 30 2020\tJune 30 2020\tSeptember 30 2019\n\t(Unaudited)\t(Unaudited)\t(Unaudited)\nTotal loans\t1843888\t1815353\t1168923\nLess:\t\t\t\nPPP loans\t392521\t388264\t0\nTotal loans excluding PPP loans\t1451367\t1427089\t1168923\nAllowance for loan loss\t21254\t17063\t12307\nAllowance for loan loss as a percentage of total loans\t1.15%\t0.94%\t1.05%\nAllowance for loan loss as a percentage of total loans excluding PPP loans\t1.46%\t1.20%\t1.05%\n", "q10k_tbl_57": "\tFor the three months ended September 30\t\t\t\t\t\n\t2020\t\t\t2019\t\t\n(Dollars in thousands)\tAverage Balance\tInterest Revenue/Expense (1)\tAverage Yield/Rate (2)\tAverage Balance\tInterest Revenue/Expense (1)\tAverage Yield/Rate (2)\nInterest-earning assets:\t\t\t\t\t\t\nGross loans(3)\t1871164\t18730\t3.98%\t1182764\t16134\t5.41%\nInvestment securities(4):\t\t\t\t\t\t\nTaxable\t139237\t652\t1.86\t121473\t857\t2.80\nTax-exempt\t94526\t613\t3.19\t85332\t588\t3.28\nInterest-earning cash balances\t259349\t76\t0.12\t51142\t289\t2.24\nOther investments\t12419\t174\t5.57\t8325\t115\t5.48\nTotal interest-earning assets\t2376695\t20245\t3.41%\t1449036\t17983\t4.96%\nNon-earning assets:\t\t\t\t\t\t\nCash and due from banks\t27571\t\t\t23103\t\t\nPremises and equipment\t15791\t\t\t13228\t\t\nGoodwill\t35554\t\t\t9387\t\t\nOther intangible assets net\t4980\t\t\t347\t\t\nBank-owned life insurance\t18006\t\t\t12023\t\t\nAllowance for loan losses\t(17321)\t\t\t(12241)\t\t\nOther non-earning assets\t55899\t\t\t27145\t\t\nTotal assets\t2517175\t\t\t1522028\t\t\nInterest-bearing liabilities:\t\t\t\t\t\t\nDeposits:\t\t\t\t\t\t\nInterest-bearing demand deposits\t116285\t65\t0.22%\t51963\t63\t0.48%\nMoney market and savings deposits\t513420\t556\t0.43\t320363\t1170\t1.45\nTime deposits\t575179\t1702\t1.18\t543765\t3245\t2.37\nBorrowings\t394020\t693\t0.70\t70766\t261\t1.46\nSubordinated notes\t44468\t632\t5.65\t14925\t256\t6.81\nTotal interest-bearing liabilities\t1643372\t3648\t0.88%\t1001782\t4995\t1.98%\nNoninterest-bearing liabilities and shareholders' equity:\t\t\t\t\t\t\nNoninterest-bearing demand deposits\t640095\t\t\t333690\t\t\nOther liabilities\t34846\t\t\t19804\t\t\nShareholders' equity\t198862\t\t\t166752\t\t\nTotal liabilities and shareholders' equity\t2517175\t\t\t1522028\t\t\nNet interest income\t\t16597\t\t\t12988\t\nInterest spread\t\t\t2.53%\t\t\t2.98%\nNet interest margin(5)\t\t\t2.78%\t\t\t3.56%\nTax equivalent effect\t\t\t0.02%\t\t\t0.03%\nNet interest margin on a fully tax equivalent basis\t\t\t2.80%\t\t\t3.59%\n", "q10k_tbl_58": "\tFor the nine months ended September 30\t\t\t\t\t\n\t2020\t\t\t2019\t\t\n(Dollars in thousands)\tAverage Balance\tInterest Revenue/Expense(1)\tAverage Yield/Rate(2)\tAverage Balance\tInterest Revenue/Expense(1)\tAverage Yield/Rate(2)\nInterest-earning assets:\t\t\t\t\t\t\nGross loans(3)\t1696073\t55817\t4.40%\t1157837\t47547\t5.49%\nInvestment securities(4):\t\t\t\t\t\t\nTaxable\t124169\t1930\t2.08\t135460\t2773\t2.74\nTax-exempt\t97104\t1894\t3.20\t84476\t1728\t3.28\nInterest-earning cash balances\t188179\t400\t0.28\t37359\t670\t2.40\nOther investments\t12401\t417\t4.49\t8325\t364\t5.85\nTotal interest-earning assets\t2117926\t60458\t3.84%\t1423457\t53082\t5.02%\nNon-earning assets:\t\t\t\t\t\t\nCash and due from banks\t26264\t\t\t24075\t\t\nPremises and equipment\t16195\t\t\t13252\t\t\nGoodwill\t35894\t\t\t9387\t\t\nOther intangible assets net\t4420\t\t\t383\t\t\nBank-owned life insurance\t17868\t\t\t11955\t\t\nAllowance for loan losses\t(14387)\t\t\t(11950)\t\t\nOther non-earning assets\t47714\t\t\t18642\t\t\nTotal assets\t2251894\t\t\t1489201\t\t\nInterest-bearing liabilities:\t\t\t\t\t\t\nDeposits:\t\t\t\t\t\t\nInterest-bearing demand deposits\t112579\t262\t0.31%\t53894\t180\t0.45%\nMoney market and savings deposits\t458438\t2217\t0.65\t307461\t3389\t1.47\nTime deposits\t564396\t6560\t1.55\t556922\t9647\t2.32\nBorrowings\t311024\t1866\t0.80\t62006\t960\t2.07\nSubordinated notes\t44463\t1903\t5.72\t14910\t759\t6.81\nTotal interest-bearing liabilities\t1490900\t12808\t1.15%\t995193\t14935\t2.01%\nNoninterest-bearing liabilities and shareholders' equity:\t\t\t\t\t\t\nNoninterest-bearing demand deposits\t546066\t\t\t316754\t\t\nOther liabilities\t30047\t\t\t17048\t\t\nShareholders' equity\t184881\t\t\t160206\t\t\nTotal liabilities and shareholders' equity\t2251894\t\t\t1489201\t\t\nNet interest income\t\t47650\t\t\t38147\t\nInterest spread\t\t\t2.69%\t\t\t3.01%\nNet interest margin(5)\t\t\t3.01%\t\t\t3.58%\nTax equivalent effect\t\t\t0.03%\t\t\t0.03%\nNet interest margin on a fully tax equivalent basis\t\t\t3.04%\t\t\t3.61%\n", "q10k_tbl_59": "\tFor the three months ended September 30 2020 vs. 2019\t\t\n\tIncrease (Decrease) Due to:\t\t\n(Dollars in thousands)\tRate\tVolume\tNet Increase (Decrease)\nInterest-earning assets\t\t\t\nGross loans\t(5085)\t7681\t2596\nInvestment securities:\t\t\t\nTaxable\t(317)\t112\t(205)\nTax-exempt\t(49)\t74\t25\nInterest-earning cash balances\t(486)\t273\t(213)\nOther investments\t59\t0\t59\nTotal interest income\t(5878)\t8140\t2262\nInterest-bearing liabilities\t\t\t\nInterest-bearing demand deposits\t(47)\t49\t2\nMoney market and savings deposits\t(1091)\t477\t(614)\nTime deposits\t(1721)\t178\t(1543)\nBorrowings\t(202)\t634\t432\nSubordinated debt\t(52)\t428\t376\nTotal interest expense\t(3113)\t1766\t(1347)\nChange in net interest income\t(2765)\t6374\t3609\n", "q10k_tbl_60": "\tFor the nine months ended September 30 2020 vs. 2019\t\t\n\tIncrease (Decrease) Due to:\t\t\n(Dollars in thousands)\tRate\tVolume\tNet Increase (Decrease)\nInterest-earning assets\t\t\t\nGross loans\t(10773)\t19043\t8270\nInvestment securities:\t\t\t\nTaxable\t(625)\t(218)\t(843)\nTax-exempt\t(137)\t303\t166\nInterest-earning cash balances\t(1016)\t746\t(270)\nOther investments\t(98)\t151\t53\nTotal interest income\t(12649)\t20025\t7376\nInterest-bearing liabilities\t\t\t\nInterest-bearing demand deposits\t(68)\t150\t82\nMoney market and savings deposits\t(2398)\t1226\t(1172)\nTime deposits\t(3215)\t128\t(3087)\nBorrowings\t(895)\t1801\t906\nSubordinated debt\t(138)\t1282\t1144\nTotal interest expense\t(6714)\t4587\t(2127)\nChange in net interest income\t(5935)\t15438\t9503\n", "q10k_tbl_61": "\tFor the three months ended September 30\t\tFor the nine months ended September 30\t\n(Dollars in thousands)\t2020\t2019\t2020\t2019\nNoninterest income\t\t\t\t\nService charges on deposits\t616\t627\t1798\t1914\nNet gain on sales of securities\t434\t151\t1862\t151\nMortgage banking activities\t7108\t2352\t15380\t5788\nOther charges and fees\t967\t728\t2564\t1768\nTotal noninterest income\t9125\t3858\t21604\t9621\n", "q10k_tbl_62": "\tFor the three months ended September 30\t\tFor the nine months ended September 30\t\n(Dollars in thousands)\t2020\t2019\t2020\t2019\nNoninterest expense\t\t\t\t\nSalary and employee benefits\t9862\t7536\t28090\t21642\nOccupancy and equipment expense\t1678\t1203\t4773\t3575\nProfessional service fees\t808\t465\t2141\t1212\nAcquisition and due diligence fees\t17\t319\t1664\t319\nMarketing expense\t257\t379\t709\t843\nPrinting and supplies expense\t89\t78\t398\t250\nData processing expense\t844\t661\t2601\t1862\nCore deposit premium amortization\t192\t29\t576\t117\nOther expense\t1379\t869\t3819\t3254\nTotal noninterest expense\t15126\t11539\t44771\t33074\n", "q10k_tbl_63": "(Dollars in thousands)\tSeptember 30 2020\tDecember 31 2019\nSecurities available-for-sale:\t\t\nU.S. government sponsored entities and agencies\t27199\t0\nState and political subdivision\t117550\t93747\nMortgage-backed securities: residential\t19492\t10565\nMortgage-backed securities: commercial\t8655\t8779\nCollateralized mortgage obligations: residential\t14333\t8529\nCollateralized mortgage obligations: commercial\t33003\t23181\nU.S. Treasury\t1003\t1999\nSBA\t18808\t21984\nAsset backed securities\t9954\t10084\nCorporate bonds\t3530\t2037\nTotal securities available-for-sale\t253527\t180905\n", "q10k_tbl_64": "\tSeptember 30 2020\t\t\t\t\t\t\t\n\tOne year or less\t\tOne to five years\t\tFive to ten years\t\tAfter ten years\t\n(Dollars in thousands)\tAmortized Cost\tAverage Yield\tAmortized Cost\tAverage Yield\tAmortized Cost\tAverage Yield\tAmortized Cost\tAverage Yield\nSecurities available-for-sale:\t\t\t\t\t\t\t\t\nU.S. government sponsored agency obligations\t2520\t1.61%\t4572\t1.62%\t15000\t1.22%\t5000\t1.48%\nState and political subdivision\t2267\t2.08\t9942\t2.39\t29081\t2.87\t68208\t3.18\nMortgage-backed securities: residential\t0\t0\t96\t0.89\t111\t2.23\t19030\t1.90\nMortgage-backed securities: commercial\t858\t1.38\t3943\t2.45\t1412\t2.63\t1812\t3.64\nCollateralized mortgage obligations: residential\t0\t0\t51\t3.98\t589\t2.01\t13537\t1.23\nCollateralized mortgage obligations: commercial\t1005\t1.51\t8926\t3.08\t13678\t1.66\t8050\t2.44\nU.S. Treasury\t1000\t1.65\t0\t0\t0\t0\t0\t0\nSBA\t0\t0\t0\t0\t10388\t1.36\t8481\t1.22\nAsset backed securities\t0\t0\t0\t0\t0\t0\t10298\t0.89\nCorporate bonds\t3491\t3.09\t0\t0\t0\t0\t0\t0\nTotal securities available-for-sale\t11141\t2.15%\t27530\t2.49%\t70259\t2.04%\t134416\t2.40%\n", "q10k_tbl_65": "\tDecember 31 2019\t\t\t\t\t\t\t\n\tOne year or less\t\tOne to five years\t\tFive to ten years\t\tAfter ten years\t\n(Dollars in thousands)\tAmortized Cost\tAverage Yield\tAmortized Cost\tAverage Yield\tAmortized Cost\tAverage Yield\tAmortized Cost\tAverage Yield\nSecurities available-for-sale:\t\t\t\t\t\t\t\t\nState and political subdivision\t1375\t2.25%\t3747\t2.24%\t18566\t2.95%\t65616\t3.38%\nMortgage-backed securities: residential\t0\t0\t153\t0.93\t143\t2.07\t10313\t2.84\nMortgage-backed securities: commercial\t431\t0.99\t4874\t2.27\t1435\t2.65\t1827\t3.64\nCollateralized mortgage obligations: residential\t0\t0\t0\t0\t727\t2.15\t7814\t2.11\nCollateralized mortgage obligations: commercial\t0\t0\t9031\t2.87\t4371\t2.83\t9489\t2.39\nU.S. Treasury\t0\t0\t1976\t2.06\t0\t0\t0\t0\nSBA\t0\t0\t0\t0\t8706\t2.59\t13345\t2.49\nAsset backed securities\t0\t0\t0\t0\t0\t0\t10390\t2.59\nCorporate bonds\t1006\t2.44\t1024\t4.43\t0\t0\t0\t0\nTotal securities available-for-sale\t2812\t2.13%\t20805\t2.60%\t33948\t2.81%\t118794\t3.01%\n", "q10k_tbl_66": "\tAs of September 30\tAs of December 31\t\t\t\n(Dollars in thousands)\t2020\t2019\t2018\t2017\t2016\nCommercial real estate:\t\t\t\t\t\nNon-owner occupied\t460708\t388515\t367671\t343420\t322354\nOwner occupied\t269481\t216131\t194422\t168342\t169348\nTotal commercial real estate\t730189\t604646\t562093\t511762\t491702\nCommercial and industrial\t807923\t410228\t383455\t377686\t342069\nResidential real estate\t304088\t211839\t180018\t144439\t118730\nConsumer\t1688\t896\t999\t1036\t892\nTotal loans\t1843888\t1227609\t1126565\t1034923\t953393\n", "q10k_tbl_67": "(Dollars in thousands)\tOne year or less\tAfter one but within five years\tAfter five years\tTotal\nSeptember 30 2020\t\t\t\t\nCommercial real estate\t93069\t435324\t201796\t730189\nCommercial and industrial\t149938\t579914\t78071\t807923\nResidential real estate\t9175\t7907\t287006\t304088\nConsumer\t59\t1499\t130\t1688\nTotal loans\t252241\t1024644\t567003\t1843888\nSensitivity of loans to changes in interest rates:\t\t\t\t\nFixed interest rates\t\t905028\t185832\t\nFloating interest rates\t\t119616\t381171\t\nTotal\t\t1024644\t567003\t\n", "q10k_tbl_68": "(Dollars in thousands)\tSeptember 30 2020\tDecember 31 2019\nClassified loans:\t\t\nSubstandard\t18983\t20569\nDoubtful\t5086\t1838\nTotal classified loans\t24069\t22407\nSpecial mention\t37560\t17292\nTotal classified and criticized loans\t61629\t39699\n", "q10k_tbl_69": "\tAs of September 30\tAs of December 31\t\t\t\n(Dollars in thousands)\t2020\t2019\t2018\t2017\t2016\nNonaccrual loans\t\t\t\t\t\nCommercial real estate\t7022\t4832\t5927\t2257\t147\nCommercial and industrial\t8078\t11112\t9605\t9024\t13389\nResidential real estate\t4151\t2569\t2915\t2767\t1498\nConsumer\t15\t16\t0\t0\t0\nTotal nonaccrual loans(1)\t19266\t18529\t18447\t14048\t15034\nOther real estate owned\t0\t921\t0\t652\t258\nTotal nonperforming assets\t19266\t19450\t18447\t14700\t15292\nPerforming troubled debt restructurings\t\t\t\t\t\nCommercial real estate\t0\t0\t0\t0\t290\nCommercial and industrial\t550\t547\t568\t961\t1018\nResidential real estate\t599\t359\t363\t261\t207\nTotal performing troubled debt restructurings\t1149\t906\t931\t1222\t1515\nTotal impaired assets excluding ASC 310-30 loans\t20415\t20356\t19378\t15922\t16807\nLoans 90 days or more past due and still accruing\t552\t157\t243\t440\t377\n", "q10k_tbl_70": "\tFor the three months ended September 30\t\tFor the nine months ended September 30\t\n(Dollars in thousands)\t2020\t2019\t2020\t2019\nBalance at beginning of period\t17063\t12353\t12674\t11566\nLoan charge-offs:\t\t\t\t\nCommercial real estate\t0\t0\t0\t(74)\nCommercial and industrial\t(10)\t(49)\t(1729)\t(164)\nConsumer\t(4)\t(34)\t(47)\t(48)\nTotal loan charge-offs\t(124)\t(83)\t(1886)\t(286)\nRecoveries of loans previously charged-off:\t\t\t\t\nCommercial real estate\t12\t5\t12\t6\nCommercial and industrial\t15\t10\t47\t101\nResidential real estate\t10\t12\t51\t55\nConsumer\t8\t26\t22\t30\nTotal loan recoveries\t45\t53\t132\t192\nNet charge-offs\t(79)\t(30)\t(1754)\t(94)\nProvision expense for loan losses\t4270\t(16)\t10334\t835\nBalance at end of period\t21254\t12307\t21254\t12307\nAllowance for loan losses as a percentage of period-end loans\t1.15%\t1.05%\t1.15%\t1.05%\nNet charge-offs to average loans\t0.02\t0.01\t0.14\t0.03\n", "q10k_tbl_71": "(Dollars in thousands)\tAllocated Allowance\tPercentage of loans in each category to total loans\nSeptember 30 2020\t\t\nBalance at end of period applicable to:\t\t\nCommercial real estate\t9819\t39.6%\nCommercial and industrial\t8180\t43.8\nResidential real estate\t3246\t16.5\nConsumer\t9\t0.1\nTotal loans\t21254\t100.0%\nDecember 31 2019\t\t\nBalance at end of period applicable to:\t\t\nCommercial real estate\t5773\t49.2%\nCommercial and industrial\t5515\t33.4\nResidential real estate\t1384\t17.3\nConsumer\t2\t0.1\nTotal loans\t12674\t100.0%\nDecember 31 2018\t\t\nBalance at end of period applicable to:\t\t\nCommercial real estate\t5227\t49.9%\nCommercial and industrial\t5174\t34.0\nResidential real estate\t1164\t16.0\nConsumer\t1\t0.1\nTotal loans\t11566\t100.0%\nDecember 31 2017\t\t\nBalance at end of period applicable to:\t\t\nCommercial real estate\t4852\t49.4%\nCommercial and industrial\t5903\t36.5\nResidential real estate\t950\t14.0\nConsumer\t8\t0.1\nTotal loans\t11713\t100.0%\nDecember 31 2016\t\t\nBalance at end of period applicable to:\t\t\nCommercial real estate\t4124\t51.5%\nCommercial and industrial\t5932\t35.9\nResidential real estate\t1030\t12.5\nConsumer\t3\t0.1\nTotal loans\t11089\t100.0%\n", "q10k_tbl_72": "\tThree Months Ended September 30 2020\t\t\n(Dollars in thousands)\tAverage Balance\tPercent\tAverage Rate\nNoninterest-bearing demand deposits\t640095\t34.6%\t-%\nInterest-bearing demand deposits\t116285\t6.3\t0.22\nMoney market and savings deposits\t513420\t27.8\t0.43\nTime deposits\t575179\t31.3\t1.18\nTotal deposits\t1844979\t100.0%\t0.50%\n", "q10k_tbl_73": "\tNine Months Ended September 30 2020\t\t\n(Dollars in thousands)\tAverage Balance\tPercent\tAverage Rate\nNoninterest-bearing demand deposits\t546066\t32.5%\t-%\nInterest-bearing demand deposits\t112579\t6.7\t0.31\nMoney market and savings deposits\t458438\t27.3\t0.65\nTime deposits\t564396\t33.5\t1.55\nTotal deposits\t1681479\t100.0%\t0.72%\n", "q10k_tbl_74": "(Dollars in thousands)\tSeptember 30 2020\nMaturing in:\t\n3 months or less\t5232\n3 months to 6 months\t140383\n6 months to 1 year\t130872\n1 year or greater\t243354\nTotal\t519841\n", "q10k_tbl_75": "\tFor the three months ended September 30\t\tFor the nine months ended September 30\t\n(Dollars in thousands)\t2020\t2019\t2020\t2019\nSecurities sold under agreements to repurchase\t\t\t\t\nAverage daily balance\t163\t563\t330\t537\nWeighted-average rate during period\t0.30%\t0.30%\t0.30%\t0.30%\nAmount outstanding at period end\t187\t545\t187\t545\nWeighted-average rate at period end\t0.30%\t0.30%\t0.30%\t0.30%\nMaximum month-end balance\t187\t866\t936\t866\nFHLB Advances\t\t\t\t\nAverage daily balance\t0\t6630\t5456\t27903\nWeighted-average rate during period\t-%\t2.57%\t0.99%\t2.49%\nAmount outstanding at period end\t0\t0\t0\t0\nWeighted-average rate at period end\t-%\t-%\t-%\t-%\nMaximum month-end balance\t0\t0\t25000\t95000\nFHLB Line of Credit\t\t\t\t\nAverage daily balance\t63\t0\t60\t111\nWeighted-average rate during period\t-%\t-%\t1.29%\t2.92%\nAmount outstanding at period end\t0\t0\t0\t0\nWeighted-average rate at period end\t-%\t-%\t-%\t-%\nMaximum month-end balance\t0\t0\t0\t895\nFederal funds purchased\t\t\t\t\nAverage daily balance\t0\t109\t193\t2044\nWeighted-average rate during period\t-%\t-%\t2.73%\t2.74%\nAmount outstanding at period end\t0\t10000\t0\t10000\nWeighted-average rate at period end\t-%\t1.90%\t-%\t1.90%\nMaximum month-end balance\t0\t10000\t0\t15000\n", "q10k_tbl_76": "\tFor the three months ended September 30\t\tFor the nine months ended September 30\t\n(Dollars in thousands)\t2020\t2019\t2020\t2019\nBalance at beginning of period\t180259\t162867\t170703\t151760\nNet income\t5209\t4409\t12040\t11431\nOther comprehensive income\t783\t1238\t4451\t7120\nPreferred stock offering net of issuance costs\t23370\t0\t23370\t0\nRedeemed stock\t0\t(488)\t(620)\t(2108)\nCommon stock dividends declared\t(387)\t(310)\t(1160)\t(928)\nExercise of stock options\t0\t63\t95\t219\nStock-based compensation expense\t234\t189\t589\t474\nBalance at end of period\t209468\t167968\t209468\t167968\n", "q10k_tbl_77": "\tActual Capital Ratio\tCapital Adequacy Regulatory Requirement\tCapital Adequacy Regulatory Requirement + Capital Conservation Buffer(1)\tWell Capitalized Regulatory Requirement\nSeptember 30 2020\t\t\t\t\nCommon equity tier 1 to risk-weighted assets:\t\t\t\t\nConsolidated\t8.83%\t4.50%\t7.00%\t\nBank\t11.23%\t4.50%\t7.00%\t6.50%\nTier 1 capital to risk-weighted assets:\t\t\t\t\nConsolidated\t10.31%\t6.00%\t8.50%\t\nBank\t11.23%\t6.00%\t8.50%\t8.00%\nTotal capital to risk-weighted assets:\t\t\t\t\nConsolidated\t14.39%\t8.00%\t10.50%\t\nBank\t12.48%\t8.00%\t10.50%\t10.00%\nTier 1 capital to average assets (leverage ratio):\t\t\t\t\nConsolidated\t7.17%\t4.00%\t4.00%\t\nBank\t7.83%\t4.00%\t4.00%\t5.00%\nDecember 31 2019\t\t\t\t\nCommon equity tier 1 to risk-weighted assets:\t\t\t\t\nConsolidated\t11.72%\t4.50%\t7.00%\t\nBank\t12.27%\t4.50%\t7.00%\t6.50%\nTier 1 capital to risk-weighted assets:\t\t\t\t\nConsolidated\t11.72%\t6.00%\t8.50%\t\nBank\t12.27%\t6.00%\t8.50%\t8.00%\nTotal capital to risk-weighted assets:\t\t\t\t\nConsolidated\t15.99%\t8.00%\t10.50%\t\nBank\t13.24%\t8.00%\t10.50%\t10.00%\nTier 1 capital to average assets (leverage ratio):\t\t\t\t\nConsolidated\t10.41%\t4.00%\t4.00%\t\nBank\t10.96%\t4.00%\t4.00%\t5.00%\n", "q10k_tbl_78": "\tContractual Maturities as of September 30 2020\t\t\t\t\n(Dollars in thousands)\tLess Than One Year\tOne to Three Years\tThree to Five Years\tOver Five Years\tTotal\nOperating lease obligations\t1739\t3507\t2613\t4074\t11933\nShort-term borrowings\t187\t0\t0\t0\t187\nLong-term borrowings\t3202\t51420\t32000\t130000\t216622\nSubordinated notes\t0\t0\t0\t44555\t44555\nTime deposits\t444662\t150575\t4905\t0\t600142\nTotal\t449790\t205502\t39518\t178629\t873439\n", "q10k_tbl_79": "\tContractual Maturities as of December 31 2019\t\t\t\t\n(Dollars in thousands)\tLess Than One Year\tOne to Three Years\tThree to Five Years\tOver Five Years\tTotal\nOperating lease obligations\t1341\t2351\t2149\t4736\t10577\nShort-term borrowings\t65851\t0\t0\t0\t65851\nLong-term borrowings\t0\t11375\t30000\t105000\t146375\nSubordinated notes\t0\t0\t0\t44440\t44440\nTime deposits\t392839\t39855\t378\t0\t433072\nTotal\t460031\t53581\t32527\t154176\t700315\n", "q10k_tbl_80": "\tSeptember 30 2020\t\tDecember 31 2019\t\n(Dollars in thousands)\tFixed Rate\tVariable Rate\tFixed Rate\tVariable Rate\nCommitments to make loans\t5302\t5295\t16276\t20128\nUnused lines of credit\t30496\t361749\t28723\t288086\nUnused standby letters of credit and commercial letters of credit\t3705\t2028\t4895\t0\n", "q10k_tbl_81": "\tSeptember 30 2020\tDecember 31 2019\nInvestment securities available-for-sale to total assets\t10.36%\t11.41%\nLoans to total deposits\t94.88\t108.12\nInterest-earning assets to total assets\t94.32\t95.58\nInterest-bearing deposits to total deposits\t67.46\t71.30\n", "q10k_tbl_82": "\tSeptember 30 2020\t\tDecember 31 2019\t\nChange in rates\tFollowing 12 months\tFollowing 24 months\tFollowing 12 months\tFollowing 24 months\n+400 basis points\t(2.6)%\t4.8%\t5.8%\t1.9%\n+300 basis points\t1.2\t7.0\t5.2\t2.6\n+200 basis points\t3.2\t8.3\t4.2\t2.7\n+100 basis points\t3.9\t7.9\t2.7\t2.1\n-100 basis points\t(2.8)\t(4.2)\t(4.0)\t(3.9)\n", "q10k_tbl_83": "Change in rates\tSeptember 30 2020\tDecember 31 2019\n+400 basis points\t24.0%\t(39.4)%\n+300 basis points\t27.0\t(28.4)\n+200 basis points\t26.0\t(17.8)\n+100 basis points\t19.0\t(8.1)\n-100 basis points\t(30.0)\t6.6\n", "q10k_tbl_84": "(Dollars in thousands except per share amounts)\tTotal Number of Shares Purchased\tAverage Price Paid Per Share\tTotal Number of Shares Purchased as Part of Publicly Announced Plans or Programs\tApproximate Dollar Value of Shares That May Yet be Purchased under the Plans or Programs\nJuly 1-31 2020\t0\t0\t0\t2215\nAugust 1-31 2020\t0\t0\t0\t2215\nSeptember 1-30 2020\t0\t0\t0\t2215\nTotal\t0\t0\t0\t\n", "q10k_tbl_85": "Exhibit No.\tDescription\n1.1\tUnderwriting Agreement dated as of August 10 2020 between Level One Bancorp Inc. and Piper Sandler & Co. (incorporated by reference to Exhibit 1.1 to the Company's current report on Form 8-K filed August 13 2020).\n3.1\tArticles of Incorporation as amended of Level One Bancorp Inc. (incorporated by reference to Exhibit 3.1 to the Company's current report on Form 8-K filed August 13 2020).\n4.1\tDeposit Agreement dated as of August 13 2020 among Level One Bancorp Inc. Continental Stock Transfer & Trust Company as Depositary and the holders from time to time of the Depositary Receipts issued thereunder (incorporated by reference to Exhibit 4.1 to the Company's current report on Form 8-K filed August 13 2020).\n4.2\tForm of Depositary Receipt (included as Exhibit A to Exhibit 4.1 hereto) (incorporated by reference to Exhibit 4.2 to the Company's current report on Form 8-K filed August 13 2020).\n31.1\tChief Executive Officer's Certifications required by Rule 13(a)-14(a) - filed herewith.\n31.2\tChief Financial Officer's Certifications required by Rule 13(a)-14(a) - filed herewith.\n32.1\tChief Executive Officer Certifications pursuant to 18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 - filed herewith.\n32.2\tChief Financial Officer Certifications pursuant to 18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 - filed herewith.\n101\tFinancial information from the Company's Quarterly Report on Form 10-Q for the quarterly period ended September 30 2020 formatted in iXBRL interactive data files pursuant to Rule 405 of Regulation S-T: (i) Consolidated Balance Sheets; (ii) Consolidated Statements of Income; (iii) Consolidated Statements of Comprehensive Income; (iv) Consolidated Statements of Changes in Shareholders' Equity; (v) Consolidated Statements of Cash Flows; and (vi) Notes to the Consolidated Financial Statements - filed herewith.\n104\tCover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101)\n"}{"bs": "q10k_tbl_2", "is": "q10k_tbl_3", "cf": "q10k_tbl_7"}None
☑ Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
For the quarterly period ended September 30, 2020
☐ Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
For the transition period from ________ to ____________
Commission File Number: 001-38458
LEVEL ONE BANCORP, INC.
(Exact name of registrant as specified in its charter)
Michigan
71-1015624
(State or other jurisdiction of incorporation or organization)
(I.R.S. Employer Identification No.)
32991 Hamilton Court
48334
Farmington Hills,
(Zip code)
Michigan
(Address of principal executive offices)
(248) 737-0300
(Registrant's telephone number, including area code)
Title of Each Class
Trading symbol(s)
Name of each exchange on which registered
Common Stock, no par value
LEVL
Nasdaq Global Select Market
Depositary Shares, each representing a 1/100th interest in a share of 7.50% Non-Cumulative Perpetual Preferred Stock, Series B
LEVLP
Nasdaq Global Select Market
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes☑ No ☐
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (Section 232.405 of this chapter) during the preceding 12 months (or such shorter period that the registrant was required to submit such files). Yes☑ No ☐
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act:
Large accelerated filer
☐
Accelerated filer
☑
Non-accelerated filer
☐
Smaller reporting company
☑
Emerging growth company
☑
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act.): Yes ☐No ☑
As of November 2, 2020, the number of shares outstanding of the registrant’s common stock, no par value, was 7,734,322 shares.
Preferred stock, no par value per share; authorized—50,000 shares; issued and outstanding—10,000 shares, with a liquidation preference of $2,500 per share, at September 30, 2020 and 0 shares at December 31, 2019
23,370
—
Common stock, no par value per share; authorized—20,000,000 shares; issued and outstanding—7,734,322 shares at September 30, 2020 and 7,715,491 shares at December 31, 2019
89,409
89,345
Retained earnings
88,646
77,766
Accumulated other comprehensive income, net of tax
8,043
3,592
Total shareholders' equity
209,468
170,703
Total liabilities and shareholders' equity
$
2,446,447
$
1,584,899
See accompanying notes to the consolidated financial statements.
(1)Includes $(91) thousand and $32 thousand of tax expense (benefit) related to reclassification adjustment for gains (losses) included in income for the three months ended September 30, 2020 and 2019, respectively. There was $(391) thousand and $32 thousand tax expense (benefit) related to reclassification for the nine months ended September 30, 2020 and 2019, respectively.
See accompanying notes to the consolidated financial statements.