UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10‑Q
☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended March 31, 2019
OR
☐ 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: 001-38280
CBTX, INC.
(Exact name of registrant as specified in its charter)
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Texas |
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20‑8339782 |
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(State or other jurisdiction of |
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(I.R.S. employer |
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incorporation or organization) |
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identification no.) |
9 Greenway Plaza, Suite 110
Houston, Texas 77046
(Address of principal executive offices)
(713) 210‑7600
(Registrant’s telephone number, including area code)
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 (§232.405 of this chapter) during the preceding 12 months (or for 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.
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Large accelerated filer ☐ |
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Accelerated filer ☒ |
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Non-accelerated filer ☐ |
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Smaller reporting company ☐ |
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Emerging growth company ☒ |
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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. ☒ |
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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 April 24, 2019, there were 25,999,297 shares of the registrant’s common stock, par value $0.01 per share outstanding, including 221,253 shares of unvested restricted stock.
CBTX, INC. AND SUBSIDIARY
Condensed Consolidated Balance Sheets
(Dollars in thousands, except par value and share amounts)
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March 31, |
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December 31, |
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|
|
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2019 |
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2018 |
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|
|
|
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|
|
|
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ASSETS |
|
|
|
|
|
|
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Cash and due from banks |
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$ |
54,110 |
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$ |
54,450 |
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Interest-bearing deposits at other financial institutions |
|
|
222,405 |
|
|
327,620 |
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Total cash and cash equivalents |
|
|
276,515 |
|
|
382,070 |
|
Debt securities |
|
|
228,684 |
|
|
229,964 |
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Equity investments |
|
|
15,065 |
|
|
13,026 |
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Loans held for sale |
|
|
852 |
|
|
— |
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Loans, net of allowance for loan loss of $24,643 and $23,693 at March 31, 2019 and December 31, 2018, respectively |
|
|
2,520,066 |
|
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2,423,130 |
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Premises and equipment, net of accumulated depreciation of $30,674 and $29,867 at March 31, 2019 and December 31, 2018, respectively |
|
|
51,453 |
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|
51,622 |
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Goodwill |
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|
80,950 |
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|
80,950 |
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Other intangible assets, net of accumulated amortization of $15,147 and $14,915 at March 31, 2019 and December 31, 2018, respectively |
|
|
5,538 |
|
|
5,775 |
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Bank-owned life insurance |
|
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71,955 |
|
|
71,525 |
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Operating lease right-to-use asset |
|
|
12,879 |
|
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— |
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Deferred tax asset, net |
|
|
5,942 |
|
|
7,201 |
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Other assets |
|
|
13,563 |
|
|
13,833 |
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Total assets |
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$ |
3,283,462 |
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$ |
3,279,096 |
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LIABILITIES AND SHAREHOLDERS’ EQUITY |
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|
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Liabilities |
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|
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Noninterest-bearing deposits |
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$ |
1,229,172 |
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$ |
1,183,058 |
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Interest-bearing deposits |
|
|
1,521,827 |
|
|
1,583,224 |
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Total deposits |
|
|
2,750,999 |
|
|
2,766,282 |
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Repurchase agreements |
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|
1,600 |
|
|
2,498 |
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Junior subordinated debt |
|
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— |
|
|
1,571 |
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Operating lease liabilities |
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15,134 |
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— |
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Other liabilities |
|
|
17,076 |
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|
21,120 |
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Total liabilities |
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2,784,809 |
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2,791,471 |
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Commitments and contingencies (Note 17) |
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Shareholders’ equity |
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|
|
|
|
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Preferred stock, $0.01 par value, 10,000,000 shares authorized, no shares issued |
|
|
— |
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— |
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Common stock, $0.01 par value, 90,000,000 shares authorized, 25,777,904 and 25,777,693 shares issued at March 31, 2019 and December 31, 2018, 24,918,476 and 24,907,421 shares outstanding at March 31, 2019 and December 31, 2018, respectively |
|
|
258 |
|
|
258 |
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Additional paid-in capital |
|
|
344,971 |
|
|
344,497 |
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Retained earnings |
|
|
168,603 |
|
|
160,626 |
|
Treasury stock, at cost, 859,428 and 870,272 shares held at March 31, 2019 and December 31, 2018, respectively |
|
|
(14,597) |
|
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(14,781) |
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Accumulated other comprehensive loss, net of tax of $155 and $791 at March 31, 2019 and December 31, 2018, respectively |
|
|
(582) |
|
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(2,975) |
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Total shareholders’ equity |
|
|
498,653 |
|
|
487,625 |
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Total liabilities and shareholders’ equity |
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$ |
3,283,462 |
|
$ |
3,279,096 |
See accompanying notes to condensed consolidated financial statements.
1
CBTX, INC. AND SUBSIDIARY
Condensed Consolidated Statements of Income (Unaudited)
(Dollars in thousands, except per share amounts)
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|
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Three Months Ended March 31, |
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2019 |
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2018 |
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Interest income |
|
|
|
|
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Interest and fees on loans |
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$ |
33,793 |
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$ |
28,462 |
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Debt securities |
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|
1,557 |
|
|
1,436 |
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Federal Funds and other interest-earning assets |
|
|
1,483 |
|
|
995 |
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Equity investments |
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|
152 |
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|
192 |
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Total interest income |
|
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36,985 |
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|
31,085 |
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Interest expense |
|
|
|
|
|
|
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Deposits |
|
|
3,584 |
|
|
1,948 |
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Federal Home Loan Bank advances and repurchase agreements |
|
|
65 |
|
|
1 |
|
Note payable and junior subordinated debt |
|
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8 |
|
|
97 |
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Total interest expense |
|
|
3,657 |
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|
2,046 |
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Net interest income |
|
|
33,328 |
|
|
29,039 |
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Provision for loan losses |
|
|
1,147 |
|
|
865 |
|
Net interest income after provision for loan losses |
|
|
32,181 |
|
|
28,174 |
|
Noninterest income |
|
|
|
|
|
|
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Deposit account service charges |
|
|
1,629 |
|
|
1,478 |
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Net gain on sale of assets |
|
|
88 |
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|
130 |
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Card interchange fees |
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|
864 |
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|
927 |
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Earnings on bank-owned life insurance |
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|
430 |
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|
451 |
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Other |
|
|
482 |
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|
375 |
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Total noninterest income |
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|
3,493 |
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|
3,361 |
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Noninterest expense |
|
|
|
|
|
|
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Salaries and employee benefits |
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|
13,822 |
|
|
12,695 |
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Net occupancy expense |
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|
2,267 |
|
|
2,265 |
|
Regulatory fees |
|
|
464 |
|
|
545 |
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Data processing |
|
|
714 |
|
|
683 |
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Software |
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|
440 |
|
|
365 |
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Printing, stationery and office |
|
|
353 |
|
|
264 |
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Amortization of intangibles |
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|
232 |
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|
255 |
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Professional and director fees |
|
|
2,091 |
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|
919 |
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Correspondent bank and customer related transaction expenses |
|
|
65 |
|
|
67 |
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Loan processing costs |
|
|
95 |
|
|
118 |
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Advertising, marketing and business development |
|
|
440 |
|
|
506 |
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Repossessed real estate and other asset expense |
|
|
— |
|
|
57 |
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Security and protection expense |
|
|
323 |
|
|
302 |
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Telephone and communications |
|
|
378 |
|
|
386 |
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Other expenses |
|
|
901 |
|
|
857 |
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Total noninterest expense |
|
|
22,585 |
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|
20,284 |
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Net income before income tax expense |
|
|
13,089 |
|
|
11,251 |
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Income tax expense |
|
|
2,599 |
|
|
2,139 |
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Net income |
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$ |
10,490 |
|
$ |
9,112 |
|
Earnings per common share |
|
|
|
|
|
|
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Basic |
|
$ |
0.42 |
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$ |
0.37 |
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Diluted |
|
$ |
0.42 |
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$ |
0.37 |
See accompanying notes to condensed consolidated financial statements.
2
CBTX, INC. AND SUBSIDIARY
Condensed Consolidated Statements of Comprehensive Income (Unaudited)
(Dollars in thousands)
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|
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Three Months Ended March 31, |
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||||
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|
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2019 |
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2018 |
|
||
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Net income |
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$ |
10,490 |
|
$ |
9,112 |
|
|
Unrealized gains (losses) on debt securities available for sale arising during the period, net |
|
|
3,027 |
|
|
(3,665) |
|
|
Reclassification adjustments for net realized gains included in net income |
|
|
3 |
|
|
— |
|
|
Change in related deferred income tax |
|
|
(637) |
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|
770 |
|
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Other comprehensive income (loss), net of tax |
|
|
2,393 |
|
|
(2,895) |
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Total comprehensive income |
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$ |
12,883 |
|
$ |
6,217 |
|
See accompanying notes to condensed consolidated financial statements.
3
CBTX, INC. AND SUBSIDIARY
Condensed Consolidated Statements of Changes in Shareholders’ Equity (Unaudited)
(Dollars in thousands, except share amounts)
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Accumulated |
|
|
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|
|
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|
|
|
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Additional |
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|
|
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|
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Other |
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Common Stock |
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Paid-In |
|
Retained |
|
Treasury Stock |
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Comprehensive |
|
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|
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Shares |
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Amount |
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Capital |
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Earnings |
|
Shares |
|
Amount |
|
Income (Loss) |
|
Total |
||||||
|
Three Months Ended March 31, 2018: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance at December 31, 2017 |
|
25,731,504 |
|
$ |
257 |
|
$ |
343,249 |
|
$ |
118,353 |
|
(898,272) |
|
$ |
(15,256) |
|
$ |
(389) |
|
$ |
446,214 |
|
Net income |
|
— |
|
|
— |
|
|
— |
|
|
9,112 |
|
— |
|
|
— |
|
|
— |
|
|
9,112 |
|
Dividends on common stock, $0.05 per share |
|
— |
|
|
— |
|
|
— |
|
|
(1,252) |
|
— |
|
|
— |
|
|
— |
|
|
(1,252) |
|
Stock-based compensation expense |
|
— |
|
|
— |
|
|
392 |
|
|
— |
|
— |
|
|
— |
|
|
— |
|
|
392 |
|
Other comprehensive loss, net of tax |
|
— |
|
|
— |
|
|
— |
|
|
— |
|
— |
|
|
— |
|
|
(2,895) |
|
|
(2,895) |
|
Balance at March 31, 2018 |
|
25,731,504 |
|
$ |
257 |
|
$ |
343,641 |
|
$ |
126,213 |
|
(898,272) |
|
$ |
(15,256) |
|
$ |
(3,284) |
|
$ |
451,571 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended March 31, 2019: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance at December 31, 2018 |
|
25,777,693 |
|
$ |
258 |
|
$ |
344,497 |
|
$ |
160,626 |
|
(870,272) |
|
$ |
(14,781) |
|
$ |
(2,975) |
|
$ |
487,625 |
|
Net income |
|
— |
|
|
— |
|
|
— |
|
|
10,490 |
|
— |
|
|
— |
|
|
— |
|
|
10,490 |
|
Dividends on common stock, $0.10 per share |
|
— |
|
|
— |
|
|
— |
|
|
(2,513) |
|
— |
|
|
— |
|
|
— |
|
|
(2,513) |
|
Vesting of restricted stock, net of shares withheld for employee tax liabilities |
|
211 |
|
|
— |
|
|
(2) |
|
|
— |
|
— |
|
|
— |
|
|
— |
|
|
(2) |
|
Exercise of stock options |
|
— |
|
|
— |
|
|
(69) |
|
|
— |
|
10,844 |
|
|
184 |
|
|
— |
|
|
115 |
|
Stock-based compensation expense |
|
— |
|
|
— |
|
|
545 |
|
|
— |
|
— |
|
|
— |
|
|
— |
|
|
545 |
|
Other comprehensive income, net of tax |
|
— |
|
|
— |
|
|
— |
|
|
— |
|
— |
|
|
— |
|
|
2,393 |
|
|
2,393 |
|
Balance at March 31, 2019 |
|
25,777,904 |
|
$ |
258 |
|
$ |
344,971 |
|
$ |
168,603 |
|
(859,428) |
|
$ |
(14,597) |
|
$ |
(582) |
|
$ |
498,653 |
See accompanying notes to condensed consolidated financial statements.
4
CBTX, INC. AND SUBSIDIARY
Condensed Consolidated Statements of Cash Flows (Unaudited)
(Dollars in thousands)
|
|
|
Three Months Ended March 31, |
||||
|
|
|
2019 |
|
2018 |
||
|
Cash flows from operating activities: |
|
|
|
|
|
|
|
Net income |
|
$ |
10,490 |
|
$ |
9,112 |
|
Adjustments to reconcile consolidated net income to net cash provided by operating activities: |
|
|
|
|
|
|
|
Provision for loan losses |
|
|
1,147 |
|
|
865 |
|
Depreciation |
|
|
824 |
|
|
825 |
|
Amortization of intangibles |
|
|
232 |
|
|
255 |
|
Amortization of premiums on securities |
|
|
256 |
|
|
291 |
|
Amortization of lease right-to-use assets |
|
|
329 |
|
|
— |
|
Accretion of lease liabilities |
|
|
131 |
|
|
— |
|
Earnings on bank-owned life insurance |
|
|
(430) |
|
|
(451) |
|
Stock-based compensation expense |
|
|
545 |
|
|
392 |
|
Deferred income tax provision |
|
|
622 |
|
|
499 |
|
Net realized gains on sales of debt securities |
|
|
(9) |
|
|
(6) |
|
Net gains on sales of assets |
|
|
(88) |
|
|
(130) |
|
Change in operating assets and liabilities: |
|
|
|
|
|
|
|
Loans held for sale |
|
|
(820) |
|
|
1,464 |
|
Other assets |
|
|
303 |
|
|
2,312 |
|
Operating lease liabilities |
|
|
(448) |
|
|
— |
|
Other liabilities |
|
|
(3,069) |
|
|
(7,726) |
|
Total adjustments |
|
|
(475) |
|
|
(1,410) |
|
Net cash provided by operating activities |
|
|
10,015 |
|
|
7,702 |
|
Cash flows from investing activities: |
|
|
|
|
|
|
|
Purchases of debt securities |
|
|
(153,962) |
|
|
(85,675) |
|
Proceeds from sales, calls and maturities of debt securities |
|
|
153,056 |
|
|
78,890 |
|
Principal repayments of debt securities |
|
|
4,969 |
|
|
4,861 |
|
Net increase in loans |
|
|
(97,639) |
|
|
(45,514) |
|
Sales of loan participations |
|
|
— |
|
|
7,500 |
|
Purchases of loan participations |
|
|
(1,256) |
|
|
(7,000) |
|
Net contributions to equity investments |
|
|
(2,039) |
|
|
(449) |
|
Proceeds from sales of U.S. Small Business Administration loans |
|
|
818 |
|
|
237 |
|
Redemption (purchases) of bank-owned life insurance |
|
|
— |
|
|
(1,700) |
|
Proceeds from sales of repossessed real estate and other assets |
|
|
20 |
|
|
393 |
|
Net sales (purchases) of premises and equipment |
|
|
(653) |
|
|
(354) |
|
Net cash used in investing activities |
|
|
(96,686) |
|
|
(48,811) |
|
Cash flows from financing activities: |
|
|
|
|
|
|
|
Net increase (decrease) in noninterest-bearing deposits |
|
|
46,114 |
|
|
10,732 |
|
Net increase (decrease) in interest-bearing deposits |
|
|
(61,397) |
|
|
(14,002) |
|
Net increase (decrease) in securities sold under agreements to repurchase |
|
|
(898) |
|
|
(664) |
|
Proceeds from exercise of stock options |
|
|
115 |
|
|
— |
|
Payments to tax authorities for stock-based compensation |
|
|
(2) |
|
|
— |
|
Redemption of trust preferred securities |
|
|
(1,571) |
|
|
— |
|
Dividends paid on common stock |
|
|
(1,245) |
|
|
(1,241) |
|
Net cash provided by financing activities |
|
|
(18,884) |
|
|
(5,175) |
|
Net decrease in cash, cash equivalents and restricted cash |
|
|
(105,555) |
|
|
(46,284) |
|
Cash, cash equivalents and restricted cash, beginning |
|
|
382,070 |
|
|
326,199 |
|
Cash, cash equivalents and restricted cash, ending |
|
$ |
276,515 |
|
$ |
279,915 |
See accompanying notes to condensed consolidated financial statements.
5
CBTX, INC. AND SUBSIDIARY
Notes to Condensed Consolidated Financial Statements
NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Nature of Operations
CBTX, Inc., or the Company, or CBTX, operates 35 branches, 19 in the Houston market area, 15 in the Beaumont/East Texas market area and one in Dallas, through its wholly-owned subsidiary, CommunityBank of Texas, N.A., or the Bank. The Bank provides relationship-driven commercial banking products and services primarily to small and mid-sized businesses and professionals with operations within the Bank’s markets. The Bank operates under a national charter and therefore is subject to regulation by the Office of the Comptroller of the Currency, or OCC, and the Federal Deposit Insurance Corporation, or FDIC. The Company is subject to regulation by the Board of Governors of the Federal Reserve.
Basis of Presentation
The accompanying unaudited condensed consolidated financial statements include the accounts of the Company and the Bank. All material intercompany balances and transactions have been eliminated in consolidation.
The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States, or U.S. GAAP, but do not include all the information and footnotes required for complete consolidated financial statements. In management’s opinion, these interim unaudited condensed consolidated financial statements include all adjustments of a normal recurring nature necessary for a fair statement of the Company’s consolidated financial position at March 31, 2019 and December 31, 2018, consolidated results of operations for the three months ended March 31, 2019 and 2018, consolidated shareholders’ equity for the three months ended March 31, 2019 and 2018 and consolidated cash flows for the three months ended March 31, 2019 and 2018.
Accounting measurements at interim dates inherently involve greater reliance on estimates than at year end and the results for the interim periods shown in this report are not necessarily indicative of results to be expected for the full year due in part to global economic and financial market conditions, interest rates, access to sources of liquidity, market competition and interruptions of business processes. These interim unaudited condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and notes thereto for the year ended December 31, 2018 included within our Annual Report on Form 10-K.
Reclassification— Within interest income, equity investment income for 2018 has been reclassified from federal funds and other interest-earning assets to a separate line and within interest expense, repurchase agreements and FHLB advance expense have been combined and notes payable and junior subordinated debt have also been combined. These reclassifications were made to conform to the 2019 financial statement presentation in the consolidated statements of income.
Accounting Standards Recently Adopted
The Company adopted Accounting Standards Update, or ASU 2016-02, Leases (Topic 842) on January 1, 2019, using the effective date as the date of initial adoption. The Company elected to apply certain practical expedients for transition, and under those expedients the Company did not reassess prior accounting decisions regarding the identification, classification and initial direct costs for leases existing at the effective date. The Company also elected to use hindsight in determining lease term when considering options to extend the lease and excluded short-term leases (defined as lease terms of 12 months or less). The Company elected to separate non-lease components from lease components in its application of ASU 2016-02. At adoption, the Company recorded right-of-use assets totaling $13.2 million, which represented the Company’s right to use, or control the use of, a specified assets for their lease terms and the Company recorded lease liabilities totaling $15.5 million, which represented the Company’s liability to make lease payments under these leases. Accrued lease obligations and lease incentive liabilities totaling $2.3 million that were in other liabilities at December 31, 2018 were reversed as part of the adoption. The ASU 2016-02 standard applied to all leases existing at the date of initial
6
adoption. The Company’s financial statements and related footnotes were not updated for ASU 2016-02 for dates and periods before the date of adoption. See Note 16.
Accounting Standards Not Yet Adopted
ASU 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. ASU 2016-13 requires the measurement of all expected credit losses for financial assets held at the reporting date based on historical experience, current conditions and reasonable and supportable forecasts and requires enhanced disclosures related to the significant estimates and judgments used in estimating credit losses, as well as the credit quality and underwriting standards of an organization’s portfolio. In addition, ASU 2016-13 amends the accounting for credit losses on available for sale debt securities and purchased financial assets with credit deterioration. ASU 2016-13 will be effective on January 1, 2020.
The Company is in the process of developing its process and methodology for implementing ASU 2016-13, with the assistance of an outside consultant. Existing technology is being adapted to conform to the requirements of ASU 2016-13. The adoption of ASU 2016-13 will require changes to the Company’s accounting policies and disclosures for credit losses on financial instruments. The Company is continuing to evaluate the impact of this pronouncement on the allowance for credit losses and related future provisions.
Cash Flow Reporting
Cash, cash equivalents and restricted cash include cash, interest‑bearing and noninterest‑bearing transaction accounts with other banks and federal funds sold. The Bank is required to maintain regulatory reserves with the Federal Reserve Bank and the reserve requirements for the Bank were $16.2 million and $18.5 million at March 31, 2019 and December 31, 2018, respectively. Additionally, as of March 31, 2019 and December 31, 2018, the Company had $1.6 million in cash collateral used in our interest rate swap transactions.
Supplemental disclosures of cash flow information are as follows for the periods indicated below:
|
|
|
Three Months Ended March 31, |
||||
|
(Dollars in thousands) |
|
2019 |
|
2018 |
||
|
Supplemental disclosures of cash flow information: |
|
|
|
|
|
|
|
Cash paid for taxes |
|
$ |
— |
|
$ |
— |
|
Cash paid for interest on deposits and repurchase agreements |
|
|
3,536 |
|
|
1,960 |
|
Cash paid for interest on junior subordinated debt |
|
|
63 |
|
|
87 |
|
|
|
|
|
|
|
|
|
Supplemental disclosures of non-cash flow information: |
|
|
|
|
|
|
|
Dividends accrued |
|
|
1,268 |
|
|
10 |
|
Operating lease right-to-use asset obtained in exchange for lease liabilities |
|
|
13,208 |
|
|
— |
|
Repossessed real estate and other assets |
|
|
41 |
|
|
— |
7
NOTE 2: DEBT SECURITIES
The amortized cost and fair values of investments in debt securities as of the dates shown below were as follows:
|
|
|
|
|
|
Gross |
|
Gross |
|
|
|
||
|
|
|
Amortized |
|
Unrealized |
|
Unrealized |
|
|
||||
|
(Dollars in thousands) |
|
Cost |
|
Gains |
|
Losses |
|
Fair Value |
||||
|
March 31, 2019 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Debt securities available for sale: |
|
|
|
|
|
|
|
|
|
|
|
|
|
State and municipal securities |
|
$ |
54,854 |
|
$ |
811 |
|
$ |
(194) |
|
$ |
55,471 |
|
U.S. agency securities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Debt securities |
|
|
17,315 |
|
|
— |
|
|
(255) |
|
|
17,060 |
|
Collateralized mortgage obligations |
|
|
66,230 |
|
|
158 |
|
|
(603) |
|
|
65,785 |
|
Mortgage-backed securities |
|
|
89,856 |
|
|
490 |
|
|
(1,116) |
|
|
89,230 |
|
Other securities |
|
|
1,135 |
|
|
— |
|
|
(27) |
|
|
1,108 |
|
Total |
|
$ |
229,390 |
|
$ |
1,459 |
|
$ |
(2,195) |
|
$ |
228,654 |
|
Debt securities held to maturity: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Mortgage-backed securities |
|
$ |
30 |
|
$ |
2 |
|
$ |
— |
|
$ |
32 |
|
|
|
|
|
|
Gross |
|
Gross |
|
|
|
||
|
|
|
Amortized |
|
Unrealized |
|
Unrealized |
|
|
||||
|
(Dollars in thousands) |
|
Cost |
|
Gains |
|
Losses |
|
Fair Value |
||||
|
December 31, 2018 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Debt securities available for sale: |
|
|
|
|
|
|
|
|
|
|
|
|
|
State and municipal securities |
|
$ |
57,972 |
|
$ |
345 |
|
$ |
(626) |
|
$ |
57,691 |
|
U.S. agency securities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Debt securities |
|
|
17,315 |
|
|
— |
|
|
(434) |
|
|
16,881 |
|
Collateralized mortgage obligations |
|
|
66,438 |
|
|
98 |
|
|
(1,122) |
|
|
65,414 |
|
Mortgage-backed securities |
|
|
90,845 |
|
|
230 |
|
|
(2,216) |
|
|
88,859 |
|
Other securities |
|
|
1,129 |
|
|
— |
|
|
(41) |
|
|
1,088 |
|
Total |
|
$ |
233,699 |
|
$ |
673 |
|
$ |
(4,439) |
|
$ |
229,933 |
|
Debt securities held to maturity: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Mortgage-backed securities |
|
$ |
31 |
|
$ |
1 |
|
$ |
— |
|
$ |
32 |
The amortized cost and estimated fair value of debt securities, by contractual maturities, as of the dates shown below were as follows:
|
|
|
Debt Securities Available for Sale |
|
Debt Securities Held to Maturity |
||||||||
|
|
|
Amortized |
|
Fair |
|
Amortized |
|
Fair |
||||
|
(Dollars in thousands) |
|
Cost |
|
Value |
|
Cost |
|
Value |
||||
|
March 31, 2019 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Amounts maturing in: |
|
|
|
|
|
|
|
|
|
|
|
|
|
1 year or less |
|
$ |
3,338 |
|
$ |
3,326 |
|
$ |
— |
|
$ |
— |
|
1 year through 5 years |
|
|
20,086 |
|
|
19,846 |
|
|
— |
|
|
— |
|
5 years through 10 years |
|
|
13,958 |
|
|
14,061 |
|
|
— |
|
|
— |
|
After 10 years |
|
|
192,008 |
|
|
191,421 |
|
|
30 |
|
|
32 |
|
|
|
$ |
229,390 |
|
$ |
228,654 |
|
$ |
30 |
|
$ |
32 |
|
December 31, 2018 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Amounts maturing in: |
|
|
|
|
|
|
|
|
|
|
|
|
|
1 year or less |
|
$ |
3,224 |
|
$ |
3,188 |
|
$ |
— |
|
$ |
— |
|
1 year through 5 years |
|
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