Maryland
|
|
43-1524856
|
(State or other jurisdiction of incorporation
or organization)
|
|
(I.R.S. Employer Identification No.)
|
|
|
|
1451 E. Battlefield, Springfield, Missouri
|
|
65804
|
(Address of principal executive offices)
|
|
(Zip Code)
|
|
|
|
(417) 887-4400
|
Title of each class
|
Trading Symbol
|
Name of each exchange on which registered
|
Common Stock,
|
||
par value $0.01 per share
|
GSBC
|
The NASDAQ Stock Market LLC
|
Large accelerated filer / /
|
Acceleratedfiler /X/
|
Non-accelerated filer / /
|
Smaller reporting company / /
|
Emerging growth company / /
|
SEPTEMBER 30,
|
DECEMBER 31,
|
|||||||
2019
|
2018
|
|||||||
(Unaudited)
|
||||||||
ASSETS
|
||||||||
Cash
|
$
|
105,068
|
$
|
110,108
|
||||
Interest-bearing deposits in other financial institutions
|
85,809
|
92,634
|
||||||
Cash and cash equivalents
|
190,877
|
202,742
|
||||||
Available-for-sale securities
|
349,020
|
243,968
|
||||||
Mortgage loans held for sale
|
10,819
|
1,650
|
||||||
Loans receivable, net of allowance for loan losses of $40,406 – September 2019;
$38,409 - December 2018
|
4,156,703
|
3,989,001
|
||||||
Interest receivable
|
13,701
|
13,448
|
||||||
Prepaid expenses and other assets
|
82,218
|
55,336
|
||||||
Other real estate owned and repossessions, net
|
7,444
|
8,440
|
||||||
Premises and equipment, net
|
141,227
|
132,424
|
||||||
Goodwill and other intangible assets
|
8,386
|
9,288
|
||||||
Federal Home Loan Bank stock
|
11,765
|
12,438
|
||||||
Current and deferred income taxes
|
—
|
7,465
|
||||||
Total Assets
|
$
|
4,972,160
|
$
|
4,676,200
|
||||
LIABILITIES AND STOCKHOLDERS' EQUITY
|
||||||||
Liabilities:
|
||||||||
Deposits
|
$
|
3,935,154
|
$
|
3,725,007
|
||||
Securities sold under reverse repurchase agreements with customers
|
102,569
|
105,253
|
||||||
Short-term borrowings and other interest-bearing liabilities
|
191,116
|
192,725
|
||||||
Subordinated debentures issued to capital trust
|
25,774
|
25,774
|
||||||
Subordinated notes
|
74,168
|
73,842
|
||||||
Accrued interest payable
|
3,119
|
3,570
|
||||||
Advances from borrowers for taxes and insurance
|
10,405
|
5,092
|
||||||
Accrued expenses and other liabilities
|
27,048
|
12,960
|
||||||
Current and deferred income taxes
|
6,037
|
—
|
||||||
Total Liabilities
|
4,375,390
|
4,144,223
|
||||||
Stockholders' Equity:
|
||||||||
Capital stock
|
||||||||
Serial preferred stock –$.01 par value; authorized 1,000,000 shares; issued
and outstanding September 2019 and December 2018 - -0- shares |
—
|
—
|
||||||
Common stock, $.01 par value; authorized 20,000,000 shares;
issued and outstanding September 2019 –14,214,054 shares; December 2018 - 14,151,198 shares |
142
|
142
|
||||||
Additional paid-in capital
|
32,085
|
30,121
|
||||||
Retained earnings
|
523,493
|
492,087
|
||||||
Accumulated other comprehensive income
|
41,050
|
9,627
|
||||||
Total Stockholders' Equity
|
596,770
|
531,977
|
||||||
Total Liabilities and Stockholders' Equity
|
$
|
4,972,160
|
$
|
4,676,200
|
THREE MONTHS ENDED
SEPTEMBER 30, |
||||||||
2019
|
2018
|
|||||||
(Unaudited)
|
||||||||
INTEREST INCOME
|
||||||||
Loans
|
$
|
57,226
|
$
|
51,063
|
||||
Investment securities and other
|
2,961
|
1,919
|
||||||
TOTAL INTEREST INCOME
|
60,187
|
52,982
|
||||||
INTEREST EXPENSE
|
||||||||
Deposits
|
11,792
|
7,352
|
||||||
Federal Home Loan Bank advances
|
—
|
1,192
|
||||||
Short-term borrowings and repurchase agreements
|
1,123
|
177
|
||||||
Subordinated debentures issued to capital trust
|
253
|
252
|
||||||
Subordinated notes
|
1,095
|
1,024
|
||||||
TOTAL INTEREST EXPENSE
|
14,263
|
9,997
|
||||||
NET INTEREST INCOME
|
45,924
|
42,985
|
||||||
Provision for Loan Losses
|
1,950
|
1,300
|
||||||
NET INTEREST INCOME AFTER PROVISION FOR LOAN LOSSES
|
43,974
|
41,685
|
||||||
NON-INTEREST INCOME
|
||||||||
Commissions
|
173
|
309
|
||||||
Service charges and ATM fees
|
5,619
|
5,458
|
||||||
Net gains on loan sales
|
1,021
|
417
|
||||||
Net realized gains on sales of available-for-sale securities
|
—
|
2
|
||||||
Late charges and fees on loans
|
364
|
466
|
||||||
Gain (loss) on derivative interest rate products
|
(101
|
)
|
5
|
|||||
Gain on sale of business units
|
—
|
7,414
|
||||||
Other income
|
1,579
|
533
|
||||||
TOTAL NON-INTEREST INCOME
|
8,655
|
14,604
|
||||||
NON-INTEREST EXPENSE
|
||||||||
Salaries and employee benefits
|
15,827
|
15,162
|
||||||
Net occupancy and equipment expense
|
6,613
|
6,551
|
||||||
Postage
|
792
|
843
|
||||||
Insurance
|
339
|
682
|
||||||
Advertising
|
794
|
589
|
||||||
Office supplies and printing
|
258
|
255
|
||||||
Telephone
|
904
|
827
|
||||||
Legal, audit and other professional fees
|
681
|
875
|
||||||
Expense on other real estate and repossessions
|
603
|
498
|
||||||
Partnership tax credit investment amortization
|
91
|
91
|
||||||
Acquired deposit intangible asset amortization
|
289
|
412
|
||||||
Other operating expenses
|
1,534
|
1,524
|
||||||
TOTAL NON-INTEREST EXPENSE
|
28,725
|
28,309
|
||||||
INCOME BEFORE INCOME TAXES
|
23,904
|
27,980
|
||||||
Provision for Income Taxes
|
4,172
|
5,464
|
||||||
NET INCOME AND NET INCOME AVAILABLE TO COMMON STOCKHOLDERS
|
$
|
19,732
|
$
|
22,516
|
||||
Basic Earnings Per Common Share
|
$
|
1.39
|
$
|
1.59
|
||||
Diluted Earnings Per Common Share
|
$
|
1.38
|
$
|
1.57
|
||||
Dividends Declared Per Common Share
|
$
|
0.34
|
$
|
0.32
|
NINE MONTHS ENDED
SEPTEMBER 30, |
||||||||
2019
|
2018
|
|||||||
(Unaudited)
|
||||||||
INTEREST INCOME
|
||||||||
Loans
|
$
|
167,552
|
$
|
144,447
|
||||
Investment securities and other
|
8,715
|
5,361
|
||||||
TOTAL INTEREST INCOME
|
176,267
|
149,808
|
||||||
INTEREST EXPENSE
|
||||||||
Deposits
|
33,844
|
19,058
|
||||||
Federal Home Loan Bank advances
|
—
|
2,964
|
||||||
Short-term borrowings and repurchase agreements
|
2,904
|
385
|
||||||
Subordinated debentures issued to capital trust
|
787
|
692
|
||||||
Subordinated notes
|
3,283
|
3,073
|
||||||
TOTAL INTEREST EXPENSE
|
40,818
|
26,172
|
||||||
NET INTEREST INCOME
|
135,449
|
123,636
|
||||||
Provision for Loan Losses
|
5,500
|
5,200
|
||||||
NET INTEREST INCOME AFTER PROVISION FOR LOAN LOSSES
|
129,949
|
118,436
|
||||||
NON-INTEREST INCOME
|
||||||||
Commissions
|
670
|
868
|
||||||
Service charges and ATM fees
|
15,887
|
16,191
|
||||||
Net gains on loan sales
|
1,645
|
1,438
|
||||||
Late charges and fees on loans
|
1,066
|
1,240
|
||||||
Net realized gains on sales of available-for-sale securities
|
10
|
2
|
||||||
Gain (loss) on derivative interest rate products
|
(169
|
)
|
53
|
|||||
Gain on sale of business units
|
—
|
7,414
|
||||||
Other income
|
4,154
|
1,792
|
||||||
TOTAL NON-INTEREST INCOME
|
23,263
|
28,998
|
||||||
NON-INTEREST EXPENSE
|
||||||||
Salaries and employee benefits
|
46,895
|
44,731
|
||||||
Net occupancy and equipment expense
|
19,462
|
19,234
|
||||||
Postage
|
2,342
|
2,544
|
||||||
Insurance
|
1,667
|
2,002
|
||||||
Advertising
|
2,162
|
1,892
|
||||||
Office supplies and printing
|
743
|
789
|
||||||
Telephone
|
2,645
|
2,339
|
||||||
Legal, audit and other professional fees
|
2,023
|
2,373
|
||||||
Expense on other real estate and repossessions
|
1,642
|
4,376
|
||||||
Partnership tax credit investment amortization
|
274
|
484
|
||||||
Acquired deposit intangible asset amortization
|
902
|
1,237
|
||||||
Other operating expenses
|
4,845
|
4,536
|
||||||
TOTAL NON-INTEREST EXPENSE
|
85,602
|
86,537
|
||||||
INCOME BEFORE INCOME TAXES
|
67,610
|
60,897
|
||||||
Provision for Income Taxes
|
11,890
|
11,076
|
||||||
NET INCOME AND NET INCOME AVAILABLE TO COMMON STOCKHOLDERS
|
$
|
55,720
|
$
|
49,821
|
||||
Basic Earnings Per Common Share
|
$
|
3.93
|
$
|
3.53
|
||||
Diluted Earnings Per Common Share
|
$
|
3.90
|
$
|
3.49
|
||||
Dividends Declared Per Common Share
|
$
|
1.73
|
$
|
0.88
|
THREE MONTHS ENDED
SEPTEMBER 30, |
||||||||
2019
|
2018
|
|||||||
(Unaudited)
|
||||||||
Net Income
|
$
|
19,732
|
$
|
22,516
|
||||
Unrealized appreciation (depreciation) on available-for-sale securities,
net of taxes (credit) of $1,315 and $(232), for 2019 and 2018, respectively |
4,452
|
(805
|
)
|
|||||
Reclassification adjustment for gains included in net income,
net of taxes of $0 and $0, for 2019 and 2018, respectively |
—
|
(2
|
)
|
|||||
4,461
|
—
|
|||||||
Comprehensive Income
|
$
|
28,645
|
$
|
21,709
|
NINE MONTHS ENDED
SEPTEMBER 30, |
||||||||
2019
|
2018
|
|||||||
(Unaudited)
|
||||||||
Net Income
|
$
|
55,720
|
$
|
49,821
|
||||
Unrealized appreciation (depreciation) on available-for-sale securities,
net of taxes (credit) of $3,732 and $(894), for 2019 and 2018, respectively |
12,642
|
(3,106
|
)
|
|||||
Reclassification adjustment for gains included in net income,
net of taxes of $2 and $0, for 2019 and 2018, respectively |
(8
|
)
|
(2
|
)
|
||||
Change in fair value of cash flow hedge, net of taxes of $5,549 and $0,
for 2019 and 2018, respectively |
18,789
|
—
|
||||||
Comprehensive Income
|
$
|
87,143
|
$
|
46,713
|
THREE MONTHS ENDED SEPTEMBER 30, 2018
|
||||||||||||||||||||||||
Accumulated
|
||||||||||||||||||||||||
Other
|
||||||||||||||||||||||||
Common
|
Additional
|
Retained
|
Comprehensive
|
Treasury
|
||||||||||||||||||||
Stock
|
Paid-in Capital
|
Earnings
|
Income (Loss)
|
Stock
|
Total
|
|||||||||||||||||||
(Unaudited)
|
||||||||||||||||||||||||
Balance, June 30, 2018
|
$
|
141
|
$
|
29,134
|
$
|
461,784
|
$
|
(788
|
)
|
$
|
—
|
$
|
490,271
|
|||||||||||
Net income
|
—
|
—
|
22,516
|
—
|
—
|
22,516
|
||||||||||||||||||
Stock issued under Stock Option
|
||||||||||||||||||||||||
Plan
|
—
|
419
|
—
|
—
|
256
|
675
|
||||||||||||||||||
Common dividends declared,
|
||||||||||||||||||||||||
$0.32 per share
|
—
|
—
|
(4,528
|
)
|
—
|
—
|
(4,528
|
)
|
||||||||||||||||
Other comprehensive loss
|
—
|
—
|
—
|
(807
|
)
|
—
|
(807
|
)
|
||||||||||||||||
Reclassification of treasury stock
|
||||||||||||||||||||||||
per Maryland law
|
1
|
—
|
255
|
—
|
(256
|
)
|
—
|
|||||||||||||||||
Balance, September 30, 2018
|
$
|
142
|
$
|
29,553
|
$
|
480,027
|
$
|
(1,595
|
)
|
$
|
—
|
$
|
508,127
|
|||||||||||
THREE MONTHS ENDED SEPTEMBER 30, 2019 | ||||||||||||||||||||||||
Accumulated
|
||||||||||||||||||||||||
Other
|
||||||||||||||||||||||||
Common
|
Additional
|
Retained
|
Comprehensive
|
Treasury
|
||||||||||||||||||||
Stock
|
Paid-in Capital
|
Earnings
|
Income (Loss)
|
Stock
|
Total
|
|||||||||||||||||||
(Unaudited)
|
||||||||||||||||||||||||
Balance, June 30, 2019
|
$
|
142
|
$
|
31,603
|
$
|
508,427
|
$
|
32,137
|
$
|
—
|
$
|
572,309
|
||||||||||||
Net income
|
—
|
—
|
19,732
|
—
|
—
|
19,732
|
||||||||||||||||||
Stock issued under Stock Option
|
||||||||||||||||||||||||
Plan
|
—
|
482
|
—
|
—
|
167
|
649
|
||||||||||||||||||
Common dividends declared,
|
||||||||||||||||||||||||
$0.34 per share
|
—
|
—
|
(4,833
|
)
|
—
|
—
|
(4,833
|
)
|
||||||||||||||||
Other comprehensive gain
|
—
|
—
|
—
|
8,913
|
—
|
8,913
|
||||||||||||||||||
Reclassification of treasury stock
|
||||||||||||||||||||||||
per Maryland law
|
—
|
—
|
167
|
—
|
(167
|
)
|
—
|
|||||||||||||||||
Balance, September 30, 2019
|
$
|
142
|
$
|
32,085
|
$
|
523,493
|
$
|
41,050
|
$
|
—
|
$
|
596,770
|
||||||||||||
NINE MONTHS ENDED SEPTEMBER 30, 2018 | ||||||||||||||||||||||||
Accumulated
|
||||||||||||||||||||||||
Other
|
||||||||||||||||||||||||
Common
|
Additional
|
Retained
|
Comprehensive
|
Treasury
|
||||||||||||||||||||
Stock
|
Paid-in Capital
|
Earnings
|
Income (Loss)
|
Stock
|
Total
|
|||||||||||||||||||
(Unaudited)
|
||||||||||||||||||||||||
Balance, January 1, 2018
|
$
|
141
|
$
|
28,203
|
$
|
442,077
|
$
|
1,241
|
$
|
—
|
$
|
471,662
|
||||||||||||
Net income
|
—
|
—
|
49,821
|
—
|
—
|
49,821
|
||||||||||||||||||
Stock issued under Stock Option
|
||||||||||||||||||||||||
Plan
|
—
|
1,350
|
—
|
—
|
838
|
2,188
|
||||||||||||||||||
Common dividends declared,
|
||||||||||||||||||||||||
$0.88 per share
|
—
|
—
|
(12,436
|
)
|
—
|
—
|
(12,436
|
)
|
||||||||||||||||
Reclassification of stranded tax
|
||||||||||||||||||||||||
effects resulting from change in
|
||||||||||||||||||||||||
Federal income tax rate
|
—
|
—
|
(272
|
)
|
272
|
—
|
—
|
|||||||||||||||||
Other comprehensive loss
|
—
|
—
|
—
|
(3,108
|
)
|
—
|
(3,108
|
)
|
||||||||||||||||
Reclassification of treasury stock
|
||||||||||||||||||||||||
per Maryland law
|
1
|
—
|
837
|
—
|
(838
|
)
|
—
|
|||||||||||||||||
Balance, September 30, 2018
|
$
|
142
|
$
|
29,553
|
$
|
480,027
|
$
|
(1,595
|
)
|
$
|
—
|
$
|
508,127
|
|||||||||||
NINE MONTHS ENDED SEPTEMBER 30, 2019 | ||||||||||||||||||||||||
Accumulated
|
||||||||||||||||||||||||
Other
|
||||||||||||||||||||||||
Common
|
Additional
|
Retained
|
Comprehensive
|
Treasury
|
||||||||||||||||||||
Stock
|
Paid-in Capital
|
Earnings
|
Income (Loss)
|
Stock
|
Total
|
|||||||||||||||||||
(Unaudited)
|
||||||||||||||||||||||||
Balance, January 1, 2019
|
$
|
142
|
$
|
30,121
|
$
|
492,087
|
$
|
9,627
|
$
|
—
|
$
|
531,977
|
||||||||||||
Net income
|
—
|
—
|
55,720
|
—
|
—
|
55,720
|
||||||||||||||||||
Stock issued under Stock Option
|
||||||||||||||||||||||||
Plan
|
—
|
1,964
|
—
|
—
|
1,059
|
3,023
|
||||||||||||||||||
Common dividends declared,
|
||||||||||||||||||||||||
$1.39 per share
|
—
|
—
|
(24,524
|
)
|
—
|
—
|
(24,524
|
)
|
||||||||||||||||
Purchase of the Company’s
|
||||||||||||||||||||||||
common stock
|
—
|
—
|
—
|
—
|
(849
|
)
|
(849
|
)
|
||||||||||||||||
Other comprehensive gain
|
—
|
—
|
—
|
31,423
|
—
|
31,423
|
||||||||||||||||||
Reclassification of treasury stock
|
||||||||||||||||||||||||
per Maryland law
|
—
|
—
|
210
|
—
|
(210
|
)
|
—
|
|||||||||||||||||
Balance, September 30, 2019
|
$
|
142
|
$
|
32,085
|
$
|
523,493
|
$
|
41,050
|
$
|
—
|
$
|
596,770
|
||||||||||||
NINE MONTHS ENDED
SEPTEMBER 30,
|
||||||||
2019
|
2018
|
|||||||
(Unaudited)
|
||||||||
CASH FLOWS FROM OPERATING ACTIVITIES
|
||||||||
Net income
|
$
|
55,720
|
$
|
49,821
|
||||
Proceeds from sales of loans held for sale
|
81,403
|
72,229
|
||||||
Originations of loans held for sale
|
(88,864
|
)
|
(65,788
|
)
|
||||
Items not requiring (providing) cash:
|
||||||||
Depreciation
|
7,076
|
6,842
|
||||||
Amortization
|
1,566
|
1,837
|
||||||
Compensation expense for stock option grants
|
667
|
539
|
||||||
Provision for loan losses
|
5,500
|
5,200
|
||||||
Net gains on loan sales
|
(1,645
|
)
|
(1,438
|
)
|
||||
Net realized gains on sales of available-for-sale securities
|
(10
|
)
|
(2
|
)
|
||||
Net (gains) losses on sale of premises and equipment
|
(24
|
)
|
122
|
|||||
Net losses on sale/write-down of other real estate owned and repossessions
|
205
|
2,003
|
||||||
Gain realized on sale of business units
|
—
|
(7,414
|
)
|
|||||
Accretion of deferred income, premiums, discounts and other
|
(2,949
|
)
|
(2,032
|
)
|
||||
(Gain) loss on derivative interest rate products
|
169
|
(53
|
)
|
|||||
Deferred income taxes
|
(193
|
)
|
(6,278
|
)
|
||||
Changes in:
|
||||||||
Interest receivable
|
(253
|
)
|
(670
|
)
|
||||
Prepaid expenses and other assets
|
(1,940
|
)
|
5,967
|
|||||
Accrued expenses and other liabilities
|
3,333
|
1,331
|
||||||
Income taxes refundable/payable
|
4,414
|
11,158
|
||||||
Net cash provided by operating activities
|
64,175
|
73,374
|
||||||
CASH FLOWS FROM INVESTING ACTIVITIES
|
||||||||
Net change in loans
|
(123,401
|
)
|
(171,672
|
)
|
||||
Purchase of loans
|
(57,545
|
)
|
(57,382
|
)
|
||||
Cash paid for sale of business units
|
—
|
(50,356
|
)
|
|||||
Purchase of premises and equipment
|
(8,274
|
)
|
(7,833
|
)
|
||||
Proceeds from sale of premises and equipment
|
172
|
2,296
|
||||||
Proceeds from sale of other real estate owned and repossessions
|
12,867
|
16,124
|
||||||
Capitalized costs on other real estate owned
|
(93
|
)
|
(153
|
)
|
||||
Proceeds from sales of available-for-sale securities
|
28,057
|
502
|
||||||
Proceeds from maturities and calls of held-to-maturity securities
|
—
|
130
|
||||||
Proceeds from maturities and calls of available-for-sale securities
|
13,370
|
2,366
|
||||||
Principal reductions on mortgage-backed securities
|
12,788
|
17,134
|
||||||
Purchase of available-for-sale securities
|
(143,151
|
)
|
(36,677
|
)
|
||||
Redemption (purchase) of Federal Home Loan Bank stock
|
673
|
(3,736
|
)
|
|||||
Net cash used in investing activities
|
(264,537
|
)
|
(289,257
|
)
|
||||
CASH FLOWS FROM FINANCING ACTIVITIES
|
||||||||
Net increase in certificates of deposit
|
136,194
|
84,177
|
||||||
Net increase (decrease) in checking and savings deposits
|
73,995
|
(24,535
|
)
|
|||||
Proceeds from Federal Home Loan Bank advances
|
—
|
2,363,500
|
||||||
Repayments of Federal Home Loan Bank advances
|
—
|
(2,251,000
|
)
|
|||||
Net increase (decrease) in short-term borrowings
|
(4,293
|
)
|
16,409
|
|||||
Advances from borrowers for taxes and insurance
|
5,313
|
3,539
|
||||||
Dividends paid
|
(24,219
|
)
|
(11,288
|
)
|
||||
Purchase of the Company’s common stock
|
(849
|
)
|
—
|
|||||
Stock options exercised
|
2,356
|
1,649
|
||||||
Net cash provided by financing activities
|
188,497
|
182,451
|
||||||
DECREASES IN CASH AND CASH EQUIVALENTS
|
(11,865
|
)
|
(33,432
|
)
|
||||
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD
|
202,742
|
242,253
|
||||||
CASH AND CASH EQUIVALENTS, END OF PERIOD
|
$
|
190,877
|
$
|
208,821
|
Three Months Ended September 30,
|
||||||||
2019
|
2018
|
|||||||
(In Thousands, Except Per Share Data)
|
||||||||
Basic:
|
||||||||
Average common shares outstanding
|
14,210
|
14,146
|
||||||
Net income and net income available to common stockholders
|
$
|
19,732
|
$
|
22,516
|
||||
Per common share amount
|
$
|
1.39
|
$
|
1.59
|
||||
Diluted:
|
||||||||
Average common shares outstanding
|
14,210
|
14,146
|
||||||
Net effect of dilutive stock options – based on the treasury
|
||||||||
stock method using average market price
|
107
|
153
|
||||||
Diluted common shares
|
14,317
|
14,299
|
||||||
Net income and net income available to common stockholders
|
$
|
19,732
|
$
|
22,516
|
||||
Per common share amount
|
$
|
1.38
|
$
|
1.57
|
Nine Months Ended September 30,
|
||||||||
2019
|
2018
|
|||||||
(In Thousands, Except Per Share Data)
|
||||||||
Basic:
|
||||||||
Average common shares outstanding
|
14,187
|
14,124
|
||||||
Net income and net income available to common stockholders
|
$
|
55,720
|
$
|
49,821
|
||||
Per common share amount
|
$
|
3.93
|
$
|
3.53
|
||||
Diluted:
|
||||||||
Average common shares outstanding
|
14,187
|
14,124
|
||||||
Net effect of dilutive stock options – based on the treasury
|
||||||||
stock method using average market price
|
110
|
136
|
||||||
Diluted common shares
|
14,297
|
14,260
|
||||||
Net income and net income available to common stockholders
|
$
|
55,720
|
$
|
49,821
|
||||
Per common share amount
|
$
|
3.90
|
$
|
3.49
|
Amortized
|
Fair
|
|||||||
Cost
|
Value
|
|||||||
(In Thousands)
|
||||||||
One year or less
|
$
|
—
|
$
|
—
|
||||
After one through five years
|
878
|
954
|
||||||
After five through ten years
|
9,140
|
9,501
|
||||||
After ten years
|
25,113
|
26,296
|
||||||
Securities not due on a single maturity date
|
297,158
|
312,269
|
||||||
$
|
332,289
|
$
|
349,020
|
September 30, 2019
|
||||||||||||||||||||||||
Less than 12 Months
|
12 Months or More
|
Total
|
||||||||||||||||||||||
Fair
|
Unrealized
|
Fair
|
Unrealized
|
Fair
|
Unrealized
|
|||||||||||||||||||
Description of Securities
|
Value
|
Losses
|
Value
|
Losses
|
Value
|
Losses
|
||||||||||||||||||
(In Thousands)
|
||||||||||||||||||||||||
Agency mortgage-backed securities
|
$
|
—
|
$
|
—
|
$
|
51,433
|
$
|
(393
|
)
|
$
|
51,433
|
$
|
(393
|
)
|
||||||||||
Agency collateralized mortgage obligations
|
13,368
|
(36
|
)
|
—
|
—
|
13,368
|
(36
|
)
|
||||||||||||||||
$
|
13,368
|
$
|
(36
|
)
|
$
|
51,433
|
$
|
(393
|
)
|
$
|
64,801
|
$
|
(429
|
)
|
December 31, 2018
|
||||||||||||||||||||||||
Less than 12 Months
|
12 Months or More
|
Total
|
||||||||||||||||||||||
Fair
|
Unrealized
|
Fair
|
Unrealized
|
Fair
|
Unrealized
|
|||||||||||||||||||
Description of Securities
|
Value
|
Losses
|
Value
|
Losses
|
Value
|
Losses
|
||||||||||||||||||
(In Thousands)
|
||||||||||||||||||||||||
Agency mortgage-backed securities
|
$
|
11,255
|
$
|
(82
|
)
|
$
|
74,186
|
$
|
(2,489
|
)
|
$
|
85,441
|
$
|
(2,571
|
)
|
|||||||||
Agency collateralized mortgage obligations
|
9,725
|
(14
|
)
|
—
|
—
|
9,725
|
(14
|
)
|
||||||||||||||||
State and political subdivisions
|
511
|
—
|
—
|
—
|
511
|
—
|
||||||||||||||||||
$
|
21,491
|
$
|
(96
|
)
|
$
|
74,186
|
$
|
(2,489
|
)
|
$
|
95,677
|
$
|
(2,585
|
)
|
Amounts Reclassified from Accumulated
|
|||||||||
Other Comprehensive Income
Three Months Ended September 30, |
Affected Line Item in the
|
||||||||
2019
|
2018
|
Statements of Income
|
|||||||
(In Thousands)
|
|||||||||
Unrealized gains on available-
|
Net realized gains on sales of
|
||||||||
for-sale securities
|
$
|
—
|
$
|
2
|
available-for-sale securities
|
||||
(Total reclassified amount before tax)
|
|||||||||
Income Taxes
|
—
|
—
|
Provision for income taxes
|
||||||
Total reclassifications out of accumulated
|
|||||||||
other comprehensive income
|
$
|
—
|
$
|
2
|
Amounts Reclassified from Accumulated
|
|||||||||
Other Comprehensive Income
Nine Months Ended September 30, |
Affected Line Item in the
|
||||||||
2019
|
2018
|
Statements of Income
|
|||||||
(In Thousands)
|
|||||||||
Unrealized gains on available-
|
Net realized gains on sales of
|
||||||||
for-sale securities
|
$
|
10
|
$
|
2
|
available-for-sale securities
|
||||
(Total reclassified amount before tax)
|
|||||||||
Income Taxes
|
(2
|
)
|
—
|
Provision for income taxes
|
|||||
Total reclassifications out of accumulated
|
|||||||||
other comprehensive income
|
$
|
8
|
$
|
2
|
September 30,
|
December 31,
|
|||||||
2019
|
2018
|
|||||||
(In Thousands)
|
||||||||
One- to four-family residential construction
|
$
|
35,153
|
$
|
26,177
|
||||
Subdivision construction
|
16,326
|
13,844
|
||||||
Land development
|
38,899
|
44,492
|
||||||
Commercial construction
|
1,335,827
|
1,417,166
|
||||||
Owner occupied one- to four-family residential
|
345,098
|
276,866
|
||||||
Non-owner occupied one- to four-family residential
|
122,289
|
122,438
|
||||||
Commercial real estate
|
1,494,621
|
1,371,435
|
||||||
Other residential
|
841,087
|
784,894
|
||||||
Commercial business
|
305,233
|
322,118
|
||||||
Industrial revenue bonds
|
13,350
|
13,940
|
||||||
Consumer auto
|
174,710
|
253,528
|
||||||
Consumer other
|
48,623
|
57,350
|
||||||
Home equity lines of credit
|
119,705
|
121,352
|
||||||
Loans acquired and accounted for under ASC 310-30, net of discounts
|
142,099
|
167,651
|
||||||
5,033,020
|
4,993,251
|
|||||||
Undisbursed portion of loans in process
|
(829,135
|
)
|
(958,441
|
)
|
||||
Allowance for loan losses
|
(40,406
|
)
|
(38,409
|
)
|
||||
Deferred loan fees and gains, net
|
(6,776
|
)
|
(7,400
|
)
|
||||
$
|
4,156,703
|
$
|
3,989,001
|
|||||
Weighted average interest rate
|
5.11
|
%
|
5.16
|
%
|
September 30, 2019
|
||||||||||||||||||||||||||||
Total Loans
|
||||||||||||||||||||||||||||
Total
|
> 90 Days
|
|||||||||||||||||||||||||||
30-59 Days
|
60-89 Days
|
Over
|
Total
|
Loans
|
Past Due and
|
|||||||||||||||||||||||
Past Due
|
Past Due
|
90 Days
|
Past Due
|
Current
|
Receivable
|
Still Accruing
|
||||||||||||||||||||||
(In Thousands)
|
||||||||||||||||||||||||||||
One- to four-family
|
||||||||||||||||||||||||||||
residential construction
|
$
|
250
|
$
|
—
|
$
|
—
|
$
|
250
|
$
|
34,903
|
$
|
35,153
|
$
|
—
|
||||||||||||||
Subdivision construction
|
—
|
—
|
—
|
—
|
16,326
|
16,326
|
—
|
|||||||||||||||||||||
Land development
|
—
|
28
|
83
|
111
|
38,788
|
38,899
|
—
|
|||||||||||||||||||||
Commercial construction
|
—
|
—
|
—
|
—
|
1,335,827
|
1,335,827
|
—
|
|||||||||||||||||||||
Owner occupied one- to
|
||||||||||||||||||||||||||||
four-family residential
|
556
|
55
|
913
|
1,524
|
343,574
|
345,098
|
—
|
|||||||||||||||||||||
Non-owner occupied one-
|
||||||||||||||||||||||||||||
to four-family residential
|
—
|
56
|
566
|
622
|
121,667
|
122,289
|
—
|
|||||||||||||||||||||
Commercial real estate
|
498
|
91
|
637
|
1,226
|
1,493,395
|
1,494,621
|
—
|
|||||||||||||||||||||
Other residential
|
9,319
|
—
|
—
|
9,319
|
831,768
|
841,087
|
—
|
|||||||||||||||||||||
Commercial business
|
23
|
11
|
1,245
|
1,279
|
303,954
|
305,233
|
—
|
|||||||||||||||||||||
Industrial revenue bonds
|
—
|
—
|
—
|
—
|
13,350
|
13,350
|
—
|
|||||||||||||||||||||
Consumer auto
|
1,408
|
366
|
513
|
2,287
|
172,423
|
174,710
|
—
|
|||||||||||||||||||||
Consumer other
|
341
|
93
|
178
|
612
|
48,011
|
48,623
|
—
|
|||||||||||||||||||||
Home equity lines of credit
|
303
|
—
|
531
|
834
|
118,871
|
119,705
|
—
|
|||||||||||||||||||||
Loans acquired and accounted for under
|
||||||||||||||||||||||||||||
ASC 310-30, net of discounts
|
642
|
291
|
6,413
|
7,346
|
134,753
|
142,099
|
—
|
|||||||||||||||||||||
13,340
|
991
|
11,079
|
25,410
|
5,007,610
|
5,033,020
|
—
|
||||||||||||||||||||||
Less loans acquired and accounted for under
|
||||||||||||||||||||||||||||
ASC 310-30, net
|
642
|
291
|
6,413
|
7,346
|
134,753
|
142,099
|
—
|
|||||||||||||||||||||
Total
|
$
|
12,698
|
$
|
700
|
$
|
4,666
|
$
|
18,064
|
$
|
4,872,857
|
$
|
4,890,921
|
$
|
—
|
December 31, 2018
|
||||||||||||||||||||||||||||
Total Loans
|
||||||||||||||||||||||||||||
Total
|
> 90 Days Past
|
|||||||||||||||||||||||||||
30-59 Days
|
60-89 Days
|
Over 90
|
Total Past
|
Loans
|
Due and
|
|||||||||||||||||||||||
Past Due
|
Past Due
|
Days
|
Due
|
Current
|
Receivable
|
Still Accruing
|
||||||||||||||||||||||
(In Thousands)
|
||||||||||||||||||||||||||||
One- to four-family
|
||||||||||||||||||||||||||||
residential construction
|
$
|
—
|
$
|
—
|
$
|
—
|
$
|
—
|
$
|
26,177
|
$
|
26,177
|
$
|
—
|
||||||||||||||
Subdivision construction
|
—
|
—
|
—
|
—
|
13,844
|
13,844
|
—
|
|||||||||||||||||||||
Land development
|
13
|
—
|
49
|
62
|
44,430
|
44,492
|
—
|
|||||||||||||||||||||
Commercial construction
|
—
|
—
|
—
|
—
|
1,417,166
|
1,417,166
|
—
|
|||||||||||||||||||||
Owner occupied one- to
|
||||||||||||||||||||||||||||
four-family residential
|
1,431
|
806
|
1,206
|
3,443
|
273,423
|
276,866
|
—
|
|||||||||||||||||||||
Non-owner occupied one-
|
||||||||||||||||||||||||||||
to four-family residential
|
1,142
|
144
|
1,458
|
2,744
|
119,694
|
122,438
|
—
|
|||||||||||||||||||||
Commercial real estate
|
3,940
|
53
|
334
|
4,327
|
1,367,108
|
1,371,435
|
—
|
|||||||||||||||||||||
Other residential
|
—
|
—
|
—
|
—
|
784,894
|
784,894
|
—
|
|||||||||||||||||||||
Commercial business
|
72
|
54
|
1,437
|
1,563
|
320,555
|
322,118
|
—
|
|||||||||||||||||||||
Industrial revenue bonds
|
3
|
—
|
—
|
3
|
13,937
|
13,940
|
—
|
|||||||||||||||||||||
Consumer auto
|
2,596
|
722
|
1,490
|
4,808
|
248,720
|
253,528
|
—
|
|||||||||||||||||||||
Consumer other
|
691
|
181
|
240
|
1,112
|
56,238
|
57,350
|
—
|
|||||||||||||||||||||
Home equity lines of credit
|
229
|
—
|
86
|
315
|
121,037
|
121,352
|
—
|
|||||||||||||||||||||
Loans acquired and accounted for under
|
||||||||||||||||||||||||||||
ASC 310-30, net of discounts
|
2,195
|
1,416
|
6,827
|
10,438
|
157,213
|
167,651
|
—
|
|||||||||||||||||||||
12,312
|
3,376
|
13,127
|
28,815
|
4,964,436
|
4,993,251
|
—
|
||||||||||||||||||||||
Less loans acquired and accounted for under ASC 310-30, net
|
2,195
|
1,416
|
6,827
|
10,438
|
157,213
|
167,651
|
—
|
|||||||||||||||||||||
Total
|
$
|
10,117
|
$
|
1,960
|
$
|
6,300
|
$
|
18,377
|
$
|
4,807,223
|
$
|
4,825,600
|
$
|
—
|
September 30,
|
December 31,
|
|||||||
2019
|
2018
|
|||||||
(In Thousands)
|
||||||||
One- to four-family residential construction
|
$
|
—
|
$
|
—
|
||||
Subdivision construction
|
—
|
—
|
||||||
Land development
|
83
|
49
|
||||||
Commercial construction
|
—
|
—
|
||||||
Owner occupied one- to four-family residential
|
913
|
1,206
|
||||||
Non-owner occupied one- to four-family residential
|
566
|
1,458
|
||||||
Commercial real estate
|
637
|
334
|
||||||
Other residential
|
—
|
—
|
||||||
Commercial business
|
1,245
|
1,437
|
||||||
Industrial revenue bonds
|
—
|
—
|
||||||
Consumer auto
|
513
|
1,490
|
||||||
Consumer other
|
178
|
240
|
||||||
Home equity lines of credit
|
531
|
86
|
||||||
Total
|
$
|
4,666
|
$
|
6,300
|
One- to Four-
|
||||||||||||||||||||||||||||
Family
|
||||||||||||||||||||||||||||
Residential and
|
Other
|
Commercial
|
Commercial
|
Commercial
|
||||||||||||||||||||||||
Construction
|
Residential
|
Real Estate
|
Construction
|
Business
|
Consumer
|
Total
|
||||||||||||||||||||||
(In Thousands)
|
||||||||||||||||||||||||||||
Allowance for loan losses
|
||||||||||||||||||||||||||||
Balance, July 1, 2019
|
$
|
3,803
|
$
|
3,753
|
$
|
22,367
|
$
|
3,479
|
$
|
1,678
|
$
|
4,174
|
$
|
39,254
|
||||||||||||||
Provision (benefit) charged to expense
|
(232
|
)
|
566
|
2,246
|
(571
|
)
|
(341
|
)
|
282
|
1,950
|
||||||||||||||||||
Losses charged off
|
(1
|
)
|
—
|
—
|
(46
|
)
|
(211
|
)
|
(1,419
|
)
|
(1,677
|
)
|
||||||||||||||||
Recoveries
|
61
|
—
|
13
|
20
|
100
|
685
|
879
|
|||||||||||||||||||||
Balance, September 30, 2019
|
$
|
3,631
|
$
|
4,319
|
$
|
24,626
|
$
|
2,882
|
$
|
1,226
|
$
|
3,722
|
$
|
40,406
|
||||||||||||||
Balance, January 1, 2019
|
$
|
3,122
|
$
|
4,713
|
$
|
19,803
|
$
|
3,105
|
$
|
1,568
|
$
|
6,098
|
$
|
38,409
|
||||||||||||||
Provision (benefit) charged to expense
|
931
|
(394
|
)
|
4,791
|
3
|
(431
|
)
|
600
|
5,500
|
|||||||||||||||||||
Losses charged off
|
(518
|
)
|
—
|
(7
|
)
|
(266
|
)
|
(310
|
)
|
(5,324
|
)
|
(6,425
|
)
|
|||||||||||||||
Recoveries
|
96
|
—
|
39
|
40
|
399
|
2,348
|
2,922
|
|||||||||||||||||||||
Balance, September 30, 2019
|
$
|
3,631
|
$
|
4,319
|
$
|
24,626
|
$
|
2,882
|
$
|
1,226
|
$
|
3,722
|
$
|
40,406
|
||||||||||||||
Ending balance:
|
||||||||||||||||||||||||||||
Individually evaluated for
|
||||||||||||||||||||||||||||
impairment
|
$
|
224
|
$
|
—
|
$
|
569
|
$
|
—
|
$
|
14
|
$
|
127
|
$
|
934
|
||||||||||||||
Collectively evaluated for
|
||||||||||||||||||||||||||||
impairment
|
$
|
3,315
|
$
|
4,236
|
$
|
23,735
|
$
|
2,747
|
$
|
1,174
|
$
|
3,572
|
$
|
38,779
|
||||||||||||||
Loans acquired and accounted
|
||||||||||||||||||||||||||||
for under ASC 310-30
|
$
|
92
|
$
|
83
|
$
|
322
|
$
|
135
|
$
|
38
|
$
|
23
|
$
|
693
|
||||||||||||||
Loans
|
||||||||||||||||||||||||||||
Individually evaluated for
|
||||||||||||||||||||||||||||
impairment
|
$
|
3,106
|
$
|
—
|
$
|
4,285
|
$
|
83
|
$
|
1,299
|
$
|
1,722
|
$
|
10,495
|
||||||||||||||
Collectively evaluated for
|
||||||||||||||||||||||||||||
impairment
|
$
|
515,760
|
$
|
841,087
|
$
|
1,490,336
|
$
|
1,374,643
|
$
|
317,284
|
$
|
341,316
|
$
|
4,880,426
|
||||||||||||||
Loans acquired and accounted
|
||||||||||||||||||||||||||||
for under ASC 310-30
|
$
|
79,892
|
$
|
11,349
|
$
|
30,772
|
$
|
4,069
|
$
|
3,777
|
$
|
12,240
|
$
|
142,099
|
One- to Four-
|
||||||||||||||||||||||||||||
Family
|
||||||||||||||||||||||||||||
Residential and
|
Other
|
Commercial
|
Commercial
|
Commercial
|
||||||||||||||||||||||||
Construction
|
Residential
|
Real Estate
|
Construction
|
Business
|
Consumer
|
Total
|
||||||||||||||||||||||
(In Thousands)
|
||||||||||||||||||||||||||||
Allowance for loan losses
|
||||||||||||||||||||||||||||
Balance July 1, 2018
|
$
|
2,727
|
$
|
3,845
|
$
|
19,474
|
$
|
2,395
|
$
|
2,991
|
$
|
6,124
|
$
|
37,556
|
||||||||||||||
Provision (benefit) charged to expense
|
7
|
341
|
708
|
538
|
(1,019
|
)
|
725
|
1,300
|
||||||||||||||||||||
Losses charged off
|
(18
|
)
|
(194
|
)
|
—
|
(4
|
)
|
(274
|
)
|
(2,128
|
)
|
(2,618
|
)
|
|||||||||||||||
Recoveries
|
79
|
41
|
1
|
97
|
80
|
961
|
1,259
|
|||||||||||||||||||||
Balance September 30, 2018
|
$
|
2,795
|
$
|
4,033
|
$
|
20,183
|
$
|
3,026
|
$
|
1,778
|
$
|
5,682
|
$
|
37,497
|
||||||||||||||
Balance January 1, 2018
|
$
|
2,108
|
$
|
2,839
|
$
|
18,639
|
$
|
1,767
|
$
|
3,581
|
$
|
7,558
|
$
|
36,492
|
||||||||||||||
Provision (benefit) charged to expense
|
494
|
1,310
|
1,519
|
1,009
|
(991
|
)
|
1,859
|
5,200
|
||||||||||||||||||||
Losses charged off
|
(59
|
)
|
(525
|
)
|
(102
|
)
|
(87
|
)
|
(1,155
|
)
|
(7,062
|
)
|
(8,990
|
)
|
||||||||||||||
Recoveries
|
252
|
409
|
127
|
337
|
343
|
3,327
|
4,795
|
|||||||||||||||||||||
Balance September 30, 2018
|
$
|
2,795
|
$
|
4,033
|
$
|
20,183
|
$
|
3,026
|
$
|
1,778
|
$
|
5,682
|
$
|
37,497
|
One- to Four-
|
||||||||||||||||||||||||||||
Family
|
||||||||||||||||||||||||||||
Residential and
|
Other
|
Commercial
|
Commercial
|
Commercial
|
||||||||||||||||||||||||
Construction
|
Residential
|
Real Estate
|
Construction
|
Business
|
Consumer
|
Total
|
||||||||||||||||||||||
(In Thousands)
|
||||||||||||||||||||||||||||
Allowance for loan losses
|
||||||||||||||||||||||||||||
Individually evaluated for
|
||||||||||||||||||||||||||||
impairment
|
$
|
694
|
$
|
—
|
$
|
613
|
$
|
—
|
$
|
309
|
$
|
425
|
$
|
2,041
|
||||||||||||||
Collectively evaluated for
|
||||||||||||||||||||||||||||
impairment
|
$
|
2,392
|
$
|
4,681
|
$
|
18,958
|
$
|
3,029
|
$
|
1,247
|
$
|
5,640
|
$
|
35,947
|
||||||||||||||
Loans acquired and accounted
|
||||||||||||||||||||||||||||
for under ASC 310-30
|
$
|
36
|
$
|
32
|
$
|
232
|
$
|
76
|
$
|
12
|
$
|
33
|
$
|
421
|
||||||||||||||
Loans
|
||||||||||||||||||||||||||||
Individually evaluated for
|
||||||||||||||||||||||||||||
impairment
|
$
|
6,116
|
$
|
—
|
$
|
3,501
|
$
|
14
|
$
|
1,844
|
$
|
2,464
|
$
|
13,939
|
||||||||||||||
Collectively evaluated for
|
||||||||||||||||||||||||||||
impairment
|
$
|
433,209
|
$
|
784,894
|
$
|
1,367,934
|
$
|
1,461,644
|
$
|
334,214
|
$
|
429,766
|
$
|
4,811,661
|
||||||||||||||
Loans acquired and accounted
|
||||||||||||||||||||||||||||
for under ASC 310-30
|
$
|
93,841
|
$
|
12,790
|
$
|
33,620
|
$
|
4,093
|
$
|
4,347
|
$
|
18,960
|
$
|
167,651
|
•
|
The one- to four-family residential and construction segment includes the one- to four-family residential construction, subdivision construction, owner occupied one- to
four-family residential and non-owner occupied one- to four-family residential classes
|
•
|
The other residential segment corresponds to the other residential class
|
•
|
•
|
The commercial construction segment includes the land development and commercial construction classes
|
•
|
The commercial business segment corresponds to the commercial business class
|
•
|
The consumer segment includes the consumer auto, consumer other and home equity lines of credit classes
|
September 30, 2019
|
||||||||||||
Unpaid
|
||||||||||||
Recorded
|
Principal
|
Specific
|
||||||||||
Balance
|
Balance
|
Allowance
|
||||||||||
(In Thousands)
|
||||||||||||
One- to four-family residential
construction |
$
|
—
|
$
|
—
|
$
|
—
|
||||||
Subdivision construction
|
256
|
256
|
98
|
|||||||||
Land development
|
83
|
83
|
—
|
|||||||||
Commercial construction
|
—
|
—
|
—
|
|||||||||
Owner occupied one- to four-
family residential |
2,055
|
2,312
|
105
|
|||||||||
Non-owner occupied one- to four-
family residential |
795
|
980
|
21
|
|||||||||
Commercial real estate
|
4,286
|
4,312
|
569
|
|||||||||
Other residential
|
—
|
—
|
—
|
|||||||||
Commercial business
|
1,299
|
1,766
|
14
|
|||||||||
Industrial revenue bonds
|
—
|
—
|
—
|
|||||||||
Consumer auto
|
840
|
1,083
|
107
|
|||||||||
Consumer other
|
340
|
517
|
16
|
|||||||||
Home equity lines of credit
|
541
|
563
|
4
|
|||||||||
Total
|
$
|
10,495
|
$
|
11,872
|
$
|
934
|
Three Months Ended
|
Nine Months Ended
|
|||||||||||||||
September 30, 2019
|
September 30, 2019
|
|||||||||||||||
Average
|
Average
|
|||||||||||||||
Investment
|
Interest
|
Investment
|
Interest
|
|||||||||||||
in Impaired
|
Income
|
in Impaired
|
Income
|
|||||||||||||
Loans
|
Recognized
|
Loans
|
Recognized
|
|||||||||||||
(In Thousands)
|
||||||||||||||||
One- to four-family residential construction
|
$
|
—
|
$
|
—
|
$
|
—
|
$
|
—
|
||||||||
Subdivision construction
|
269
|
2
|
285
|
7
|
||||||||||||
Land development
|
83
|
2
|
428
|
101
|
||||||||||||
Commercial construction
|
—
|
—
|
—
|
—
|
||||||||||||
Owner occupied one- to four-family residential
|
2,042
|
23
|
2,745
|
80
|
||||||||||||
Non-owner occupied one- to four-family residential
|
687
|
14
|
1,093
|
32
|
||||||||||||
Commercial real estate
|
4,427
|
62
|
5,217
|
198
|
||||||||||||
Other residential
|
—
|
—
|
—
|
—
|
||||||||||||
Commercial business
|
1,370
|
7
|
1,590
|
65
|
||||||||||||
Industrial revenue bonds
|
—
|
—
|
—
|
—
|
||||||||||||
Consumer auto
|
883
|
21
|
1,121
|
64
|
||||||||||||
Consumer other
|
331
|
12
|
399
|
34
|
||||||||||||
Home equity lines of credit
|
447
|
13
|
318
|
30
|
||||||||||||
Total
|
$
|
10,539
|
$
|
156
|
$
|
13,196
|
$
|
611
|
At or for the Year Ended December 31, 2018
|
||||||||||||||||||||
Average
|
||||||||||||||||||||
Unpaid
|
Investment
|
Interest
|
||||||||||||||||||
Recorded
|
Principal
|
Specific
|
in Impaired
|
Income
|
||||||||||||||||
Balance
|
Balance
|
Allowance
|
Loans
|
Recognized
|
||||||||||||||||
(In Thousands)
|
||||||||||||||||||||
One- to four-family residential
construction |
$
|
—
|
$
|
—
|
$
|
—
|
$
|
—
|
$
|
—
|
||||||||||
Subdivision construction
|
318
|
318
|
105
|
321
|
17
|
|||||||||||||||
Land development
|
14
|
18
|
—
|
14
|
1
|
|||||||||||||||
Commercial construction
|
—
|
—
|
—
|
—
|
—
|
|||||||||||||||
Owner occupied one- to four-
|
||||||||||||||||||||
family residential
|
3,576
|
3,926
|
285
|
3,406
|
197
|
|||||||||||||||
Non-owner occupied one- to four-
|
||||||||||||||||||||
family residential
|
2,222
|
2,519
|
304
|
2,870
|
158
|
|||||||||||||||
Commercial real estate
|
3,501
|
3,665
|
613
|
6,216
|
337
|
|||||||||||||||
Other residential
|
—
|
—
|
—
|
1,026
|
20
|
|||||||||||||||
Commercial business
|
1,844
|
2,207
|
309
|
2,932
|
362
|
|||||||||||||||
Industrial revenue bonds
|
—
|
—
|
—
|
—
|
—
|
|||||||||||||||
Consumer auto
|
1,874
|
2,114
|
336
|
2,069
|
167
|
|||||||||||||||
Consumer other
|
479
|
684
|
72
|
738
|
59
|
|||||||||||||||
Home equity lines of credit
|
111
|
128
|
17
|
412
|
28
|
|||||||||||||||
Total
|
$
|
13,939
|
$
|
15,579
|
$
|
2,041
|
$
|
20,004
|
$
|
1,346
|
September 30, 2018
|
||||||||||||
Unpaid
|
||||||||||||
Recorded
|
Principal
|
Specific
|
||||||||||
Balance
|
Balance
|
Allowance
|
||||||||||
(In Thousands)
|
||||||||||||
One- to four-family residential
construction |
$
|
—
|
$
|
—
|
$
|
—
|
||||||
Subdivision construction
|
241
|
241
|
107
|
|||||||||
Land development
|
14
|
18
|
—
|
|||||||||
Commercial construction
|
—
|
—
|
—
|
|||||||||
Owner occupied one- to four-
family residential |
3,663
|
3,995
|
343
|
|||||||||
Non-owner occupied one- to four-
family residential |
2,398
|
2,677
|
321
|
|||||||||
Commercial real estate
|
3,556
|
3,714
|
635
|
|||||||||
Other residential
|
—
|
—
|
—
|
|||||||||
Commercial business
|
2,008
|
2,383
|
324
|
|||||||||
Industrial revenue bonds
|
—
|
—
|
—
|
|||||||||
Consumer auto
|
1,843
|
2,046
|
331
|
|||||||||
Consumer other
|
566
|
751
|
85
|
|||||||||
Home equity lines of credit
|
115
|
133
|
17
|
|||||||||
Total
|
$
|
14,404
|
$
|
15,958
|
$
|
2,163
|
Three Months Ended
|
Nine Months Ended
|
|||||||||||||||
September 30, 2018
|
September 30, 2018
|
|||||||||||||||
Average
|
Average
|
|||||||||||||||
Investment
|
Interest
|
Investment
|
Interest
|
|||||||||||||
in Impaired
|
Income
|
in Impaired
|
Income
|
|||||||||||||
Loans
|
Recognized
|
Loans
|
Recognized
|
|||||||||||||
(In Thousands)
|
||||||||||||||||
One- to four-family residential construction
|
$
|
—
|
$
|
—
|
$
|
—
|
$
|
—
|
||||||||
Subdivision construction
|
299
|
3
|
336
|
11
|
||||||||||||
Land development
|
15
|
1
|
15
|
1
|
||||||||||||
Commercial construction
|
—
|
—
|
—
|
—
|
||||||||||||
Owner occupied one- to four-family residential
|
3,401
|
53
|
3,322
|
142
|
||||||||||||
Non-owner occupied one- to four-family residential
|
2,583
|
38
|
3,082
|
130
|
||||||||||||
Commercial real estate
|
6,689
|
55
|
7,115
|
278
|
||||||||||||
Other residential
|
675
|
—
|
1,368
|
20
|
||||||||||||
Commercial business
|
2,581
|
40
|
3,277
|
329
|
||||||||||||
Industrial revenue bonds
|
—
|
—
|
—
|
—
|
||||||||||||
Consumer auto
|
1,865
|
37
|
2,120
|
118
|
||||||||||||
Consumer other
|
671
|
11
|
806
|
48
|
||||||||||||
Home equity lines of credit
|
405
|
—
|
500
|
28
|
||||||||||||
Total
|
$
|
19,184
|
$
|
238
|
$
|
21,941
|
$
|
1,105
|
Three Months Ended September 30, 2019
|
||||||||||||||||
Total
|
||||||||||||||||
Interest Only
|
Term
|
Combination
|
Modification
|
|||||||||||||
(In Thousands)
|
||||||||||||||||
Consumer
|
$
|
—
|
$
|
—
|
$
|
—
|
$
|
—
|
||||||||
Three Months Ended September 30, 2018
|
||||||||||||||||
Total
|
||||||||||||||||
Interest Only
|
Term
|
Combination
|
Modification
|
|||||||||||||
(In Thousands)
|
||||||||||||||||
Consumer
|
$
|
—
|
$
|
67
|
$
|
—
|
$
|
67
|
||||||||
Nine Months Ended September 30, 2019
|
||||||||||||||||
Total
|
||||||||||||||||
Interest Only
|
Term
|
Combination
|
Modification
|
|||||||||||||
(In Thousands)
|
||||||||||||||||
Consumer
|
$
|
—
|
$
|
73
|
$
|
—
|
$
|
73
|
||||||||
Nine Months Ended September 30, 2018
|
||||||||||||||||
Total
|
||||||||||||||||
Interest Only
|
Term
|
Combination
|
Modification
|
|||||||||||||
(In Thousands)
|
||||||||||||||||
Mortgage loans on real estate:
|
||||||||||||||||
One- to four-family residential
|
$
|
1,348
|
$
|
—
|
$
|
—
|
1,348
|
|||||||||
Consumer
|
—
|
506
|
—
|
506
|
||||||||||||
$
|
1,348
|
$
|
506
|
$
|
—
|
$
|
1,854
|
September 30, 2019
|
||||||||||||||||||||||||
Special
|
||||||||||||||||||||||||
Satisfactory
|
Watch
|
Mention
|
Substandard
|
Doubtful
|
Total
|
|||||||||||||||||||
(In Thousands)
|
||||||||||||||||||||||||
One- to four-family residential
|
||||||||||||||||||||||||
construction
|
$
|
35,153
|
$
|
—
|
$
|
—
|
$
|
—
|
$
|
—
|
$
|
35,153
|
||||||||||||
Subdivision construction
|
16,326
|
—
|
—
|
—
|
—
|
16,326
|
||||||||||||||||||
Land development
|
38,788
|
28
|
—
|
83
|
—
|
38,899
|
||||||||||||||||||
Commercial construction
|
1,335,827
|
—
|
—
|
—
|
—
|
1,335,827
|
||||||||||||||||||
Owner occupied one- to four-
|
||||||||||||||||||||||||
family residential
|
343,359
|
—
|
—
|
1,739
|
—
|
345,098
|
||||||||||||||||||
Non-owner occupied one- to
|
||||||||||||||||||||||||
four-family residential
|
121,298
|
425
|
—
|
566
|
—
|
122,289
|
||||||||||||||||||
Commercial real estate
|
1,458,339
|
32,312
|
—
|
3,970
|
—
|
1,494,621
|
||||||||||||||||||
Other residential
|
841,087
|
—
|
—
|
—
|
—
|
841,087
|
||||||||||||||||||
Commercial business
|
299,286
|
4,702
|
—
|
1,245
|
—
|
305,233
|
||||||||||||||||||
Industrial revenue bonds
|
13,350
|
—
|
—
|
—
|
—
|
13,350
|
||||||||||||||||||
Consumer auto
|
173,996
|
60
|
—
|
654
|
—
|
174,710
|
||||||||||||||||||
Consumer other
|
48,211
|
94
|
—
|
318
|
—
|
48,623
|
||||||||||||||||||
Home equity lines of credit
|
119,130
|
44
|
—
|
531
|
—
|
119,705
|
||||||||||||||||||
Loans acquired and accounted
|
||||||||||||||||||||||||
for under ASC 310-30,
|
||||||||||||||||||||||||
net of discounts
|
142,084
|
—
|
—
|
15
|
—
|
142,099
|
||||||||||||||||||
Total
|
$
|
4,986,234
|
$
|
37,665
|
$
|
—
|
$
|
9,121
|
$
|
—
|
$
|
5,033,020
|
December 31, 2018
|
||||||||||||||||||||||||
Special
|
||||||||||||||||||||||||
Satisfactory
|
Watch
|
Mention
|
Substandard
|
Doubtful
|
Total
|
|||||||||||||||||||
(In Thousands)
|
||||||||||||||||||||||||
One- to four-family residential
|
||||||||||||||||||||||||
construction
|
$
|
25,803
|
$
|
374
|
$
|
—
|
$
|
—
|
$
|
—
|
$
|
26,177
|
||||||||||||
Subdivision construction
|
12,077
|
1,718
|
—
|
49
|
—
|
13,844
|
||||||||||||||||||
Land development
|
39,892
|
4,600
|
—
|
—
|
—
|
44,492
|
||||||||||||||||||
Commercial construction
|
1,417,166
|
—
|
—
|
—
|
—
|
1,417,166
|
||||||||||||||||||
Owner occupied one- to-four-
|
||||||||||||||||||||||||
family residential
|
274,661
|
43
|
—
|
2,162
|
—
|
276,866
|
||||||||||||||||||
Non-owner occupied one- to-
|
||||||||||||||||||||||||
four-family residential
|
119,951
|
941
|
—
|
1,546
|
—
|
122,438
|
||||||||||||||||||
Commercial real estate
|
1,357,987
|
11,061
|
—
|
2,387
|
—
|
1,371,435
|
||||||||||||||||||
Other residential
|
784,393
|
501
|
—
|
—
|
—
|
784,894
|
||||||||||||||||||
Commercial business
|
315,518
|
5,163
|
—
|
1,437
|
—
|
322,118
|
||||||||||||||||||
Industrial revenue bonds
|
13,940
|
—
|
—
|
—
|
—
|
13,940
|
||||||||||||||||||
Consumer auto
|
251,824
|
116
|
—
|
1,588
|
—
|
253,528
|
||||||||||||||||||
Consumer other
|
56,859
|
157
|
—
|
334
|
—
|
57,350
|
||||||||||||||||||
Home equity lines of credit
|
121,134
|
118
|
—
|
100
|
—
|
121,352
|
||||||||||||||||||
Loans acquired and accounted
|
||||||||||||||||||||||||
for under ASC 310-30,
|
||||||||||||||||||||||||
net of discounts
|
167,632
|
—
|
—
|
19
|
—
|
167,651
|
||||||||||||||||||
Total
|
$
|
4,958,837
|
$
|
24,792
|
$
|
—
|
$
|
9,622
|
$
|
—
|
$
|
4,993,251
|
Sun Security
|
||||||||||||||||||||
TeamBank
|
Vantus Bank
|
Bank
|
InterBank
|
Valley Bank
|
||||||||||||||||
(In Thousands)
|
||||||||||||||||||||
September 30, 2019
|
||||||||||||||||||||
Gross loans receivable
|
$
|
8,176
|
$
|
10,958
|
$
|
18,673
|
$
|
66,462
|
$
|
48,853
|
||||||||||
Balance of accretable discount due to change in expected losses
|
(172
|
)
|
(116
|
)
|
(464
|
)
|
(4,778
|
)
|
(2,290
|
)
|
||||||||||
Net carrying value to loans receivable
|
(7,981
|
)
|
(10,785
|
)
|
(18,073
|
)
|
(59,026
|
)
|
(45,786
|
)
|
||||||||||
Expected loss remaining
|
$
|
23
|
$
|
57
|
$
|
136
|
$
|
2,658
|
$
|
777
|
||||||||||
December 31, 2018
|
||||||||||||||||||||
Gross loans receivable
|
$
|
10,602
|
$
|
14,097
|
$
|
21,171
|
$
|
85,205
|
$
|
53,470
|
||||||||||
Balance of accretable discount due to change in expected losses
|
(399
|
)
|
(58
|
)
|
(342
|
)
|
(1,695
|
)
|
(169
|
)
|
||||||||||
Net carrying value to loans receivable
|
(10,106
|
)
|
(13,809
|
)
|
(20,171
|
)
|
(74,436
|
)
|
(49,124
|
)
|
||||||||||
Expected loss remaining
|
$
|
97
|
$
|
230
|
$
|
658
|
$
|
9,074
|
$
|
4,177
|
||||||||||
Three Months Ended
|
Three Months Ended
|
|||||||||
September 30, 2019
|
September 30, 2018
|
|||||||||
(In Thousands, Except Per Share Data
|
||||||||||
and Basis Points Data)
|
||||||||||
Impact on net interest income/
|
||||||||||
net interest margin (in basis points)
|
$
|
2,251
|
20bps
|
$
|
1,424
|
14bps
|
||||
Net impact to pre-tax income
|
$
|
2,251
|
$
|
1,424
|
||||||
Net impact net of taxes
|
$
|
1,738
|
$
|
1,106
|
||||||
Impact to diluted earnings per share
|
$
|
0.12
|
$
|
0.08
|
Nine Months Ended
|
Nine Months Ended
|
|||||||||
September 30, 2019
|
September 30, 2018
|
|||||||||
(In Thousands, Except Per Share Data
|
||||||||||
and Basis Points Data)
|
||||||||||
Impact on net interest income/
|
||||||||||
net interest margin (in basis points)
|
$
|
5,162
|
15bps
|
$
|
3,652
|
12bps
|
||||
Net impact to pre-tax income
|
$
|
5,162
|
$
|
3,652
|
||||||
Net impact net of taxes
|
$
|
3,985
|
$
|
2,836
|
||||||
Impact to diluted earnings per share
|
$
|
0.28
|
$
|
0.20
|
Sun Security
|
||||||||||||||||||||
TeamBank
|
Vantus Bank
|
Bank
|
InterBank
|
Valley Bank
|
||||||||||||||||
(In Thousands)
|
||||||||||||||||||||
Balance, July 1, 2019
|
$
|
1,350
|
$
|
1,227
|
$
|
1,859
|
$
|
8,465
|
$
|
5,544
|
||||||||||
Accretion
|
(196
|
)
|
(259
|
)
|
(414
|
)
|
(2,371
|
)
|
(1,257
|
)
|
||||||||||
Change in expected accretable yield(1)
|
(9
|
)
|
305
|
872
|
2,840
|
1,565
|
||||||||||||||
Balance, September 30, 2019
|
$
|
1,145
|
$
|
1,273
|
$
|
2,317
|
$
|
8,934
|
$
|
5,852
|
||||||||||
Balance, July 1, 2018
|
$
|
1,742
|
$
|
1,652
|
$
|
2,055
|
$
|
5,910
|
$
|
2,974
|
||||||||||
Accretion
|
(294
|
)
|
(279
|
)
|
(399
|
)
|
(2,293
|
)
|
(901
|
)
|
||||||||||
Change in expected accretable yield(1)
|
103
|
234
|
500
|
2,054
|
578
|
|||||||||||||||
Balance, September 30, 2018
|
$
|
1,551
|
$
|
1,607
|
$
|
2,156
|
$
|
5,671
|
$
|
2,651
|
(1)
|
Represents increases (decreases) in estimated cash flows expected to be received from the acquired loan pools, partially due to lower estimated credit
losses. The amounts also include changes in expected accretion of the loan pools for TeamBank, Vantus Bank, Sun Security Bank, InterBank and Valley Bank for the three months ended September 30, 2019, totaling $(21,000), $132,000, $565,000,
$(644,000) and $482,000, respectively, and for the three months ended September 30, 2018, totaling $103,000, $234,000, $485,000, $604,000 and $578,000, respectively.
|
Sun Security
|
||||||||||||||||||||
TeamBank
|
Vantus Bank
|
Bank
|
InterBank
|
Valley Bank
|
||||||||||||||||
(In Thousands)
|
||||||||||||||||||||
Balance, January 1, 2019
|
$
|
1,356
|
$
|
1,432
|
$
|
2,242
|
$
|
4,994
|
$
|
3,063
|
||||||||||
Accretion
|
(811
|
)
|
(738
|
)
|
(1,195
|
)
|
(6,350
|
)
|
(3,243
|
)
|
||||||||||
Change in expected
|
||||||||||||||||||||
accretable yield(1)
|
600
|
579
|
1,270
|
10,290
|
6,032
|
|||||||||||||||
Balance, September 30, 2019
|
$
|
1,145
|
$
|
1,273
|
$
|
2,317
|
$
|
8,934
|
$
|
5,852
|
||||||||||
Balance, January 1, 2018
|
$
|
2,071
|
$
|
1,850
|
$
|
2,901
|
$
|
5,074
|
$
|
2,695
|
||||||||||
Accretion
|
(736
|
)
|
(897
|
)
|
(1,253
|
)
|
(5,943
|
)
|
(3,098
|
)
|
||||||||||
|
||||||||||||||||||||
Change in expected accretable yield(1)
|
216
|
654
|
508
|
6,540
|
3,054
|
|||||||||||||||
Balance, September 30, 2018
|
$
|
1,551
|
$
|
1,607
|
$
|
2,156
|
$
|
5,671
|
$
|
2,651
|
(1)
|
Represents increases in estimated cash flows expected to be received from the acquired loan pools, partially due to lower estimated credit losses. The
amounts also include changes in expected accretion of the loan pools for TeamBank, Vantus Bank, Sun Security Bank, InterBank and Valley Bank for the nine months ended September 30, 2019, totaling $526,000, $406,000, $812,000, $4.0 million and
$2.7 million, respectively, and for the nine months ended September 30, 2018, totaling $201,000, $654,000, $318,000, $3.6 million and $2.3 million, respectively.
|
September 30,
|
December 31,
|
|||||||
2019
|
2018
|
|||||||
(In Thousands)
|
||||||||
Foreclosed assets held for sale and repossessions
|
||||||||
One- to four-family construction
|
$
|
—
|
$
|
—
|
||||
Subdivision construction
|
755
|
1,092
|
||||||
Land development
|
2,594
|
3,191
|
||||||
Commercial construction
|
—
|
—
|
||||||
One- to four-family residential
|
310
|
269
|
||||||
Other residential
|
—
|
—
|
||||||
Commercial real estate
|
—
|
—
|
||||||
Commercial business
|
—
|
—
|
||||||
Consumer
|
665
|
928
|
||||||
4,324
|
5,480
|
|||||||
Foreclosed assets acquired through FDIC-assisted
|
||||||||
transactions, net of discounts
|
1,108
|
1,401
|
||||||
Foreclosed assets held for sale and repossessions, net
|
5,432
|
6,881
|
||||||
Other real estate owned not acquired through foreclosure
|
2,012
|
1,559
|
||||||
Other real estate owned and repossessions
|
$
|
7,444
|
$
|
8,440
|
Three Months Ended
|
||||||||
September 30,
|
||||||||
2019
|
2018
|
|||||||
(In Thousands)
|
||||||||
Net gains on sales of other real estate owned and repossessions
|
$
|
(250
|
)
|
$
|
(549
|
)
|
||
Valuation write-downs
|
280
|
178
|
||||||
Operating expenses, net of rental income
|
573
|
869
|
||||||
$
|
603
|
$
|
498
|
Nine Months Ended
|
||||||||
September 30,
|
||||||||
2019
|
2018
|
|||||||
(In Thousands)
|
||||||||
Net gains on sales of other real estate owned and repossessions
|
$
|
(659
|
)
|
$
|
(1,998
|
)
|
||
Valuation write-downs
|
724
|
3,551
|
||||||
Operating expenses, net of rental income
|
1,577
|
2,823
|
||||||
$
|
1,642
|
$
|
4,376
|
September 30,
|
December 31,
|
|||||||
2019
|
2018
|
|||||||
(In Thousands)
|
||||||||
Land
|
$
|
40,052
|
$
|
40,508
|
||||
Buildings and improvements
|
95,387
|
95,039
|
||||||
Furniture, fixtures and equipment
|
58,076
|
54,327
|
||||||
Operating leases right of use asset
|
8,888
|
—
|
||||||
202,403
|
189,874
|
|||||||
Less accumulated depreciation
|
61,176
|
57,450
|
||||||
$
|
141,227
|
$
|
132,424
|
At or For the
|
At or For the
|
|||||||
Three Months Ended
|
Nine Months Ended
|
|||||||
September 30, 2019
|
September 30, 2019
|
|||||||
(In Thousands)
|
||||||||
Statement of Financial Condition
|
||||||||
Operating leases right of use asset
|
$
|
8,888
|
$
|
8,888
|
||||
Operating leases liability
|
$
|
8,952
|
$
|
8,952
|
||||
Statement of Income
|
||||||||
Operating lease costs classified as occupancy and equipment expense
|
$
|
344
|
$
|
1,092
|
||||
(includes short-term lease costs and amortization of right of use asset)
|
||||||||
Supplemental Cash Flow Information
|
||||||||
Cash paid for amounts included in the measurement of lease liabilities:
|
||||||||
Operating cash flows from operating leases
|
$
|
326
|
$
|
1,028
|
||||
Right of use assets obtained in exchange for lease obligations:
|
||||||||
Operating leases
|
$
|
9,538
|
2019
|
$
|
357
|
||
2020
|
1,132
|
|||
2021
|
1,148
|
|||
2022
|
1,131
|
|||
2023
|
1,082
|
|||
2024
|
956
|
|||
Thereafter
|
5,026
|
|||
Future lease payments expected
|
10,832
|
|||
Less interest portion of lease payments
|
(1,880
|
)
|
||
Lease liability
|
$
|
8,952
|
September 30,
|
December 31,
|
|||||||
2019
|
2018
|
|||||||
(In Thousands)
|
||||||||
Time Deposits:
|
||||||||
0.00% - 0.99%
|
$
|
123,801
|
$
|
150,656
|
||||
1.00% - 1.99%
|
259,212
|
511,873
|
||||||
2.00% - 2.99%
|
1,268,956
|
857,973
|
||||||
3.00% - 3.99%
|
74,566
|
69,793
|
||||||
4.00% - 4.99%
|
1,028
|
1,116
|
||||||
Total time deposits (weighted average rate 2.21% and 1.98%)
|
1,727,563
|
1,591,411
|
||||||
Non-interest-bearing demand deposits
|
675,023
|
661,061
|
||||||
Interest-bearing demand and savings deposits (weighted average rate 0.55% and 0.46%)
|
1,532,568
|
1,472,535
|
||||||
Total Deposits
|
$
|
3,935,154
|
$
|
3,725,007
|
September 30, 2019
|
December 31, 2018
|
|||||||
(In Thousands)
|
||||||||
Notes payable – Community Development Equity Funds
|
$
|
1,316
|
$
|
1,625
|
||||
Other interest-bearing liabilities
|
36,500
|
13,100
|
||||||
Overnight borrowings from the Federal Home Loan Bank
|
153,300
|
178,000
|
||||||
Securities sold under reverse repurchase agreements
|
102,569
|
105,253
|
||||||
$
|
293,685
|
$
|
297,978
|
September 30,
2019 |
December 31,
2018 |
|||||||
Overnight and
|
Overnight and
|
|||||||
Continuous
|
Continuous
|
|||||||
(In Thousands)
|
||||||||
Mortgage-backed securities – GNMA, FNMA, FHLMC
|
$
|
102,569
|
$
|
105,253
|
||||
September 30,
2019 |
December 31,
2018 |
|||||||
(In Thousands)
|
||||||||
Subordinated notes
|
$
|
75,000
|
$
|
75,000
|
||||
Less: unamortized debt issuance costs
|
832
|
1,158
|
||||||
$
|
74,168
|
$
|
73,842
|
Three Months Ended September 30,
|
||||||||
2019
|
2018
|
|||||||
Tax at statutory rate
|
21.0
|
%
|
21.0
|
%
|
||||
Nontaxable interest and dividends
|
(0.5
|
)
|
(0.5
|
)
|
||||
Tax credits
|
(3.9
|
)
|
(2.2
|
)
|
||||
State taxes
|
1.0
|
1.2
|
||||||
Other
|
(0.1
|
)
|
---
|
|||||
17.5
|
%
|
19.5
|
%
|
Nine Months Ended September 30,
|
||||||||
2019
|
2018
|
|||||||
Tax at statutory rate
|
21.0
|
%
|
21.0
|
%
|
||||
Nontaxable interest and dividends
|
(0.5
|
)
|
(0.7
|
)
|
||||
Tax credits
|
(4.2
|
)
|
(3.2
|
)
|
||||
State taxes
|
1.2
|
1.2
|
||||||
Other
|
0.1
|
(0.1
|
)
|
|||||
17.6
|
%
|
18.2
|
%
|
•
|
Quoted prices in active markets for identical assets or liabilities (Level 1): Inputs that are quoted unadjusted prices in active markets for identical assets that the
Company has the ability to access at the measurement date. An active market for the asset is a market in which transactions for the asset or liability occur with sufficient frequency and volume to provide pricing information on an ongoing
basis.
|
•
|
Significant unobservable inputs (Level 3): Inputs that reflect assumptions of a source independent of the reporting entity or the reporting entity's own assumptions that
are supported by little or no market activity or observable inputs.
|
Fair value measurements using
|
||||||||||||||||
Quoted prices
|
||||||||||||||||
in active
|
||||||||||||||||
markets
|
Other
|
Significant
|
||||||||||||||
for identical
|
observable
|
unobservable
|
||||||||||||||
assets
|
inputs
|
inputs
|
||||||||||||||
Fair value
|
(Level 1)
|
(Level 2)
|
(Level 3)
|
|||||||||||||
(In Thousands)
|
||||||||||||||||
September 30, 2019
|
||||||||||||||||
Agency mortgage-backed securities
|
$
|
197,833
|
$
|
—
|
$
|
197,833
|
$
|
—
|
||||||||
Agency collateralized mortgage obligations
|
114,436
|
—
|
114,436
|
—
|
||||||||||||
States and political subdivisions
|
36,751
|
—
|
36,751
|
—
|
||||||||||||
Interest rate derivative asset
|
38,015
|
—
|
38,015
|
—
|
||||||||||||
Interest rate derivative liability
|
(1,763
|
)
|
—
|
(1,763
|
)
|
—
|
||||||||||
December 31, 2018
|
||||||||||||||||
Agency mortgage-backed securities
|
$
|
153,258
|
$
|
—
|
$
|
153,258
|
$
|
—
|
||||||||
Agency collateralized mortgage obligations
|
39,260
|
—
|
39,260
|
—
|
||||||||||||
States and political subdivisions
|
51,450
|
—
|
51,450
|
—
|
||||||||||||
Interest rate derivative asset
|
12,800
|
—
|
12,800
|
—
|
||||||||||||
Interest rate derivative liability
|
(716
|
)
|
—
|
(716
|
)
|
—
|
Fair Value Measurements Using
|
||||||||||||||||
Quoted prices
|
||||||||||||||||
in active
|
||||||||||||||||
markets
|
Other
|
Significant
|
||||||||||||||
for identical
|
observable
|
unobservable
|
||||||||||||||
assets
|
inputs
|
inputs
|
||||||||||||||
Fair value
|
(Level 1)
|
(Level 2)
|
(Level 3)
|
|||||||||||||
(In Thousands)
|
||||||||||||||||
September 30, 2019
|
||||||||||||||||
Impaired loans
|
$
|
759
|
$
|
—
|
$
|
—
|
$
|
759
|
||||||||
Foreclosed assets held for sale
|
$
|
1,017
|
$
|
—
|
$
|
—
|
$
|
1,017
|
||||||||
December 31, 2018
|
||||||||||||||||
Impaired loans
|
$
|
2,805
|
$
|
—
|
$
|
—
|
$
|
2,805
|
||||||||
Foreclosed assets held for sale
|
$
|
1,776
|
$
|
—
|
$
|
—
|
$
|
1,776
|
September 30, 2019
|
December 31, 2018
|
|||||||||||||||||||||||
Carrying
|
Fair
|
Hierarchy
|
Carrying
|
Fair
|
Hierarchy
|
|||||||||||||||||||
Amount
|
Value
|
Level
|
Amount
|
Value
|
Level
|
|||||||||||||||||||
(In Thousands)
|
||||||||||||||||||||||||
Financial assets
|
||||||||||||||||||||||||
Cash and cash equivalents
|
$
|
190,877
|
$
|
190,877
|
1
|
$
|
202,742
|
$
|
202,742
|
1
|
||||||||||||||
Mortgage loans held for sale
|
10,819
|
10,819
|
2
|
1,650
|
1,650
|
2
|
||||||||||||||||||
Loans, net of allowance for loan losses
|
4,156,703
|
4,142,471
|
3
|
3,989,001
|
3,955,786
|
3
|
||||||||||||||||||
Accrued interest receivable
|
13,701
|
13,701
|
3
|
13,448
|
13,448
|
3
|
||||||||||||||||||
Investment in FHLBank stock
|
11,765
|
11,765
|
3
|
12,438
|
12,438
|
3
|
||||||||||||||||||
Financial liabilities
|
||||||||||||||||||||||||
Deposits
|
3,935,154
|
3,938,942
|
3
|
3,725,007
|
3,717,899
|
3
|
||||||||||||||||||
Short-term borrowings
|
293,685
|
293,685
|
3
|
297,978
|
297,978
|
3
|
||||||||||||||||||
Subordinated debentures
|
25,774
|
25,774
|
3
|
25,774
|
25,774
|
3
|
||||||||||||||||||
Subordinated notes
|
74,168
|
76,875
|
2
|
73,842
|
75,188
|
2
|
||||||||||||||||||
Accrued interest payable
|
3,119
|
3,119
|
3
|
3,570
|
3,570
|
3
|
||||||||||||||||||
Unrecognized financial instruments (net
|
||||||||||||||||||||||||
of contractual value)
|
||||||||||||||||||||||||
Commitments to originate loans
|
—
|
—
|
3
|
—
|
—
|
3
|
||||||||||||||||||
Letters of credit
|
97
|
97
|
3
|
146
|
146
|
3
|
||||||||||||||||||
Lines of credit
|
—
|
—
|
3
|
—
|
—
|
3
|
|
Location in
|
Fair Value
|
|||||||
|
Consolidated Statements
|
September 30,
|
December 31,
|
||||||
|
of Financial Condition
|
2019
|
2018
|
||||||
|
(In Thousands)
|
||||||||
Derivatives designated as
|
|||||||||
hedging instruments
|
|||||||||
Interest rate swap
|
Prepaid expenses and other assets
|
$
|
36,444
|
$
|
12,106
|
||||
Total derivatives designated
|
|||||||||
as hedging instruments
|
$
|
36,444
|
$
|
12,106
|
|||||
Derivatives not designated
|
|||||||||
as hedging instruments
|
|||||||||
Asset Derivatives
|
|||||||||
Interest rate products
|
Prepaid expenses and other assets
|
$
|
1,571
|
$
|
694
|
||||
Total derivatives not designated
|
|||||||||
as hedging instruments
|
$
|
1,571
|
$
|
694
|
|||||
Liability Derivatives
|
|||||||||
Interest rate products
|
Accrued expenses and other liabilities
|
$
|
1,763
|
$
|
716
|
||||
Total derivatives not designated
|
|||||||||
as hedging instruments
|
$
|
1,763
|
$
|
716
|
Amount of Gain (Loss)
|
||||||||
Recognized in AOCI
|
||||||||
Three Months Ended September 30,
|
||||||||
Cash Flow Hedges
|
2019
|
2018
|
||||||
(In Thousands)
|
||||||||
Interest rate swap, net of income taxes
|
$
|
4,461
|
$
|
—
|
||||
Amount of Gain (Loss)
|
||||||||
Recognized in AOCI
|
||||||||
Nine Months Ended September 30,
|
||||||||
Cash Flow Hedges
|
2019
|
2018
|
||||||
(In Thousands)
|
||||||||
Interest rate swap, net of income taxes
|
$
|
18,789
|
$
|
—
|
||||
|
Three Months Ended September 30,
|
|||||||||||||||
Cash Flow Hedges
|
2019
|
2018
|
||||||||||||||
Interest Income
|
Interest Expense
|
Interest Income
|
Interest Expense
|
|||||||||||||
(In Thousands)
|
||||||||||||||||
Interest rate swap
|
$
|
801
|
$
|
—
|
$
|
—
|
$
|
—
|
||||||||
|
Nine Months Ended September 30,
|
|||||||||||||||
Cash Flow Hedges
|
2019
|
2018
|
||||||||||||||
Interest Income
|
Interest Expense
|
Interest Income
|
Interest Expense
|
|||||||||||||
(In Thousands)
|
||||||||||||||||
Interest rate swap
|
$
|
1,881
|
$
|
—
|
$
|
—
|
$
|
—
|
||||||||
September 30,
2019 |
December 31,
2018 |
|||||||
(In Thousands)
|
||||||||
Goodwill – Branch acquisitions
|
$
|
5,396
|
$
|
5,396
|
||||
Deposit intangibles
|
||||||||
InterBank
|
—
|
36
|
||||||
Boulevard Bank
|
183
|
275
|
||||||
Valley Bank
|
700
|
1,000
|
||||||
Fifth Third Bank
|
2,107
|
2,581
|
||||||
2,990
|
3,892
|
|||||||
$
|
8,386
|
$
|
9,288
|
Beginning
Balance, January 1 |
Additions
to Non- Performing |
Removed
from Non- Performing |
Transfers to
Potential Problem Loans |
Transfers to
Foreclosed Assets and Repossessions |
Charge-
Offs |
Payments
|
Ending
Balance, September 30 |
|||||||||||||||||||||||||
(In Thousands)
|
||||||||||||||||||||||||||||||||
One- to four-family construction
|
$
|
—
|
$
|
—
|
$
|
—
|
$
|
—
|
$
|
—
|
$
|
—
|
$
|
—
|
$
|
—
|
||||||||||||||||
Subdivision construction
|
—
|
—
|
—
|
—
|
—
|
—
|
—
|
—
|
||||||||||||||||||||||||
Land development
|
49
|
3,769
|
—
|
—
|
(3,498
|
)
|
(220
|
)
|
(17
|
)
|
83
|
|||||||||||||||||||||
Commercial construction
|
—
|
—
|
—
|
—
|
—
|
—
|
—
|
—
|
||||||||||||||||||||||||
One- to four-family residential
|
2,664
|
1,355
|
—
|
(87
|
)
|
(1,540
|
)
|
(490
|
)
|
(423
|
)
|
1,479
|
||||||||||||||||||||
Other residential
|
—
|
—
|
—
|
—
|
—
|
—
|
—
|
—
|
||||||||||||||||||||||||
Commercial real estate
|
334
|
4,075
|
(118
|
)
|
—
|
(2,900
|
)
|
—
|
(754
|
)
|
637
|
|||||||||||||||||||||
Commercial business
|
1,437
|
50
|
—
|
—
|
—
|
(116
|
)
|
(126
|
)
|
1,245
|
||||||||||||||||||||||
Consumer
|
1,816
|
1,533
|
—
|
(166
|
)
|
(287
|
)
|
(1,108
|
)
|
(566
|
)
|
1,222
|
||||||||||||||||||||
Total
|
$
|
6,300
|
$
|
10,782
|
$
|
(118
|
)
|
$
|
(253
|
)
|
$
|
(8,225
|
)
|
$
|
(1,934
|
)
|
$
|
(1,886
|
)
|
$
|
4,666
|
Beginning
Balance, January 1 |
Additions
to Potential Problem |
Removed
from Potential Problem |
Transfers to
Non- Performing |
Transfers to
Foreclosed Assets and Repossessions |
Charge-
Offs |
Payments
|
Ending
Balance, September 30 |
|||||||||||||||||||||||||
(In Thousands)
|
||||||||||||||||||||||||||||||||
One- to four-family construction
|
$
|
—
|
$
|
—
|
$
|
—
|
$
|
—
|
$
|
—
|
$
|
—
|
$
|
—
|
$
|
—
|
||||||||||||||||
Subdivision construction
|
—
|
—
|
—
|
—
|
—
|
—
|
—
|
—
|
||||||||||||||||||||||||
Land development
|
—
|
—
|
—
|
—
|
—
|
—
|
—
|
—
|
||||||||||||||||||||||||
Commercial construction
|
—
|
—
|
—
|
—
|
—
|
—
|
—
|
—
|
||||||||||||||||||||||||
One- to four-family residential
|
1,044
|
95
|
—
|
(151
|
)
|
—
|
—
|
(162
|
)
|
826
|
||||||||||||||||||||||
Other residential
|
—
|
—
|
—
|
—
|
—
|
—
|
—
|
—
|
||||||||||||||||||||||||
Commercial real estate
|
2,053
|
1,931
|
(124
|
)
|
—
|
—
|
—
|
(526
|
)
|
3,334
|
||||||||||||||||||||||
Commercial business
|
—
|
37
|
—
|
—
|
—
|
(21
|
)
|
(16
|
)
|
—
|
||||||||||||||||||||||
Consumer
|
206
|
179
|
—
|
(15
|
)
|
(4
|
)
|
(10
|
)
|
(76
|
)
|
280
|
||||||||||||||||||||
Total
|
$
|
3,303
|
$
|
2,242
|
$
|
(124
|
)
|
$
|
(166
|
)
|
$
|
(4
|
)
|
$
|
(31
|
)
|
$
|
(780
|
)
|
$
|
4,440
|
Beginning
Balance, January 1 |
Additions
|
Sales
|
Capitalized
Costs |
Write-
Downs |
Ending
Balance, September 30 |
|||||||||||||||||||
(In Thousands)
|
||||||||||||||||||||||||
One- to four-family construction
|
$
|
—
|
$
|
—
|
$
|
—
|
$
|
—
|
$
|
—
|
$
|
—
|
||||||||||||
Subdivision construction
|
1,092
|
—
|
(317
|
)
|
73
|
(93
|
)
|
755
|
||||||||||||||||
Land development
|
3,191
|
3,498
|
(3,508
|
)
|
—
|
(587
|
)
|
2,594
|
||||||||||||||||
Commercial construction
|
—
|
—
|
—
|
—
|
—
|
—
|
||||||||||||||||||
One- to four-family residential
|
269
|
1,576
|
(1,555
|
)
|
20
|
—
|
310
|
|||||||||||||||||
Other residential
|
—
|
—
|
—
|
—
|
—
|
—
|
||||||||||||||||||
Commercial real estate
|
—
|
2,900
|
(2,900
|
)
|
—
|
—
|
—
|
|||||||||||||||||
Commercial business
|
—
|
—
|
—
|
—
|
—
|
—
|
||||||||||||||||||
Consumer
|
928
|
3,324
|
(3,587
|
)
|
—
|
—
|
665
|
|||||||||||||||||
Total
|
$
|
5,480
|
$
|
11,298
|
$
|
(11,867
|
)
|
$
|
93
|
$
|
(680
|
)
|
$
|
4,324
|
September 30, 2019(2)
|
Three Months Ended
September 30, 2019 |
Three Months Ended
September 30, 2018 |
||||||||||||||||||||||||||
Yield/
Rate |
Average
Balance |
Interest
|
Yield/
Rate |
Average
Balance |
Interest
|
Yield/
Rate |
||||||||||||||||||||||
(Dollars in Thousands)
|
||||||||||||||||||||||||||||
Interest-earning assets:
|
||||||||||||||||||||||||||||
Loans receivable:
|
||||||||||||||||||||||||||||
One- to four-family residential
|
4.20
|
%
|
$
|
542,892
|
$
|
7,153
|
5.23
|
%
|
$
|
453,090
|
$
|
5,939
|
5.20
|
%
|
||||||||||||||
Other residential
|
5.08
|
814,326
|
11,074
|
5.40
|
782,595
|
10,163
|
5.15
|
|||||||||||||||||||||
Commercial real estate
|
4.93
|
1,471,431
|
19,236
|
5.19
|
1,330,088
|
16,427
|
4.90
|
|||||||||||||||||||||
Construction
|
5.36
|
730,027
|
10,814
|
5.88
|
593,540
|
8,272
|
5.53
|
|||||||||||||||||||||
Commercial business
|
5.08
|
253,225
|
3,316
|
5.20
|
291,038
|
3,689
|
5.03
|
|||||||||||||||||||||
Other loans
|
5.85
|
369,704
|
5,423
|
5.82
|
485,647
|
6,283
|
5.13
|
|||||||||||||||||||||
Industrial revenue bonds(1)
|
4.86
|
14,770
|
210
|
5.64
|
19,829
|
290
|
5.80
|
|||||||||||||||||||||
Total loans receivable
|
5.11
|
4,196,375
|
57,226
|
5.41
|
3,955,827
|
51,063
|
5.12
|
|||||||||||||||||||||
Investment securities(1)
|
3.23
|
342,277
|
2,534
|
2.94
|
193,390
|
1,425
|
2.92
|
|||||||||||||||||||||
Other interest-earning assets
|
2.02
|
79,344
|
427
|
2.13
|
97,739
|
494
|
2.01
|
|||||||||||||||||||||
Total interest-earning assets
|
4.90
|
4,617,996
|
60,187
|
5.17
|
4,246,956
|
52,982
|
4.95
|
|||||||||||||||||||||
Non-interest-earning assets:
|
||||||||||||||||||||||||||||
Cash and cash equivalents
|
93,293
|
97,033
|
||||||||||||||||||||||||||
Other non-earning assets
|
202,361
|
186,994
|
||||||||||||||||||||||||||
Total assets
|
$
|
4,913,650
|
$
|
4,530,983
|
||||||||||||||||||||||||
Interest-bearing liabilities:
|
||||||||||||||||||||||||||||
Interest-bearing demand and savings
|
0.55
|
$
|
1,501,697
|
2,030
|
0.54
|
$
|
1,506,907
|
1,523
|
0.40
|
|||||||||||||||||||
Time deposits
|
2.21
|
1,728,620
|
9,762
|
2.24
|
1,376,907
|
5,829
|
1.68
|
|||||||||||||||||||||
Total deposits
|
1.43
|
3,230,317
|
11,792
|
1.45
|
2,883,814
|
7,352
|
1.01
|
|||||||||||||||||||||
Short-term borrowings, repurchase agreements and other interest-bearing liabilities
|
1.36
|
289,222
|
1,123
|
1.54
|
141,864
|
177
|
0.49
|
|||||||||||||||||||||
Subordinated debentures issued to
capital trusts |
3.85
|
25,774
|
253
|
3.90
|
25,774
|
252
|
3.88
|
|||||||||||||||||||||
Subordinated notes
|
5.90
|
74,119
|
1,095
|
5.86
|
73,791
|
1,024
|
5.51
|
|||||||||||||||||||||
FHLBank advances
|
—
|
—
|
—
|
—
|
216,674
|
1,192
|
2.18
|
|||||||||||||||||||||
Total interest-bearing liabilities
|
1.53
|
3,619,432
|
14,263
|
1.56
|
3,341,917
|
9,997
|
1.19
|
|||||||||||||||||||||
Non-interest-bearing liabilities:
|
||||||||||||||||||||||||||||
Demand deposits
|
670,158
|
660,629
|
||||||||||||||||||||||||||
Other liabilities
|
37,754
|
22,428
|
||||||||||||||||||||||||||
Total liabilities
|
4,327,344
|
4,024,974
|
||||||||||||||||||||||||||
Stockholders’ equity
|
586,306
|
506,009
|
||||||||||||||||||||||||||
Total liabilities and stockholders’ equity
|
$
|
4,913,650
|
$
|
4,530,983
|
||||||||||||||||||||||||
Net interest income:
|
||||||||||||||||||||||||||||
Interest rate spread
|
3.37
|
%
|
$
|
45,924
|
3.61
|
%
|
$
|
42,985
|
3.76
|
%
|
||||||||||||||||||
Net interest margin*
|
3.95
|
%
|
4.02
|
%
|
||||||||||||||||||||||||
Average interest-earning assets to
average interest-bearing liabilities |
127.6
|
%
|
127.1
|
%
|
_______________________
|
|
*
|
Defined as the Company’s net interest income divided by total average interest-earning assets.
|
(1)
|
Of the total average balances of investment securities, average tax-exempt investment securities were $39.6 million and $53.2 million for the three months
ended September 30, 2019 and 2018, respectively. In addition, average tax-exempt loans and industrial revenue bonds were $20.5 million and $23.5 million for the three months ended September 30, 2019 and 2018, respectively. Interest income on
tax-exempt assets included in this table was $660,000 and $739,000 for the three months ended September 30, 2019 and 2018, respectively. Interest income net of disallowed interest expense related to tax-exempt assets was $601,000 and
$690,000 for the three months ended September 30, 2019 and 2018, respectively.
|
(2)
|
The yield on loans at September 30, 2019 does not include the impact of the accretable yield (income) on loans acquired in the FDIC-assisted transactions.
See “Net Interest Income” for a discussion of the effect on results of operations for the three months ended September 30, 2019.
|
September 30, 2019(2)
|
Nine Months Ended
September 30, 2019 |
Nine Months Ended
September 30, 2018 |
||||||||||||||||||||||||||
Yield/
Rate |
Average
Balance |
Interest
|
Yield/
Rate |
Average
Balance |
Interest
|
Yield/
Rate |
||||||||||||||||||||||
(Dollars in Thousands)
|
||||||||||||||||||||||||||||
Interest-earning assets:
|
||||||||||||||||||||||||||||
Loans receivable:
|
||||||||||||||||||||||||||||
One- to four-family residential
|
4.20
|
%
|
$
|
518,758
|
$
|
20,097
|
5.18
|
%
|
$
|
440,769
|
$
|
16,544
|
5.02
|
%
|
||||||||||||||
Other residential
|
5.08
|
815,008
|
33,334
|
5.47
|
755,536
|
28,349
|
5.02
|
|||||||||||||||||||||
Commercial real estate
|
4.93
|
1,424,595
|
55,235
|
5.18
|
1,302,940
|
46,753
|
4.80
|
|||||||||||||||||||||
Construction
|
5.36
|
704,074
|
31,573
|
6.00
|
555,708
|
22,007
|
5.29
|
|||||||||||||||||||||
Commercial business
|
5.08
|
259,021
|
10,066
|
5.20
|
288,579
|
10,592
|
4.91
|
|||||||||||||||||||||
Other loans
|
5.85
|
403,176
|
16,576
|
5.50
|
511,735
|
19,170
|
5.01
|
|||||||||||||||||||||
Industrial revenue bonds(1)
|
4.86
|
14,970
|
671
|
5.99
|
22,056
|
1,032
|
6.25
|
|||||||||||||||||||||
Total loans receivable
|
5.11
|
4,139,602
|
167,552
|
5.41
|
3,877,323
|
144,447
|
4.98
|
|||||||||||||||||||||
Investment securities(1)
|
3.23
|
310,227
|
7,201
|
3.10
|
189,686
|
4,026
|
2.84
|
|||||||||||||||||||||
Other interest-earning assets
|
2.02
|
87,193
|
1,514
|
2.32
|
105,831
|
1,335
|
1.69
|
|||||||||||||||||||||
Total interest-earning assets
|
4.90
|
4,537,022
|
176,267
|
5.19
|
4,172,840
|
149,808
|
4.80
|
|||||||||||||||||||||
Non-interest-earning assets:
|
||||||||||||||||||||||||||||
Cash and cash equivalents
|
92,208
|
98,879
|
||||||||||||||||||||||||||
Other non-earning assets
|
191,296
|
194,441
|
||||||||||||||||||||||||||
Total assets
|
$
|
4,820,526
|
$
|
4,466,160
|
||||||||||||||||||||||||
Interest-bearing liabilities:
|
||||||||||||||||||||||||||||
Interest-bearing demand and savings
|
0.55
|
$
|
1,491,255
|
5,723
|
0.51
|
$
|
1,548,273
|
4,268
|
0.37
|
|||||||||||||||||||
Time deposits
|
2.21
|
1,711,692
|
28,121
|
2.20
|
1,331,098
|
14,790
|
1.49
|
|||||||||||||||||||||
Total deposits
|
1.43
|
3,202,947
|
33,844
|
1.41
|
2,879,371
|
19,058
|
0.88
|
|||||||||||||||||||||
Short-term borrowings, repurchase agreements and other interest-bearing liabilities
|
1.36
|
264,111
|
2,904
|
1.47
|
127,696
|
385
|
0.40
|
|||||||||||||||||||||
Subordinated debentures issued to
capital trusts |
3.85
|
25,774
|
787
|
4.08
|
25,774
|
692
|
3.59
|
|||||||||||||||||||||
Subordinated notes
|
5.90
|
74,012
|
3,283
|
5.93
|
73,752
|
3,073
|
5.57
|
|||||||||||||||||||||
FHLBank advances
|
—
|
—
|
—
|
—
|
198,778
|
2,964
|
1.99
|
|||||||||||||||||||||
Total interest-bearing liabilities
|
1.53
|
3,566,844
|
40,818
|
1.53
|
3,305,371
|
26,172
|
1.06
|
|||||||||||||||||||||
Non-interest-bearing liabilities:
|
||||||||||||||||||||||||||||
Demand deposits
|
661,446
|
648,257
|
||||||||||||||||||||||||||
Other liabilities
|
32,620
|
20,678
|
||||||||||||||||||||||||||
Total liabilities
|
4,260,910
|
3,974,306
|
||||||||||||||||||||||||||
Stockholders’ equity
|
559,616
|
491,854
|
||||||||||||||||||||||||||
Total liabilities and stockholders’ equity
|
$
|
4,820,526
|
$
|
4,466,160
|
||||||||||||||||||||||||
Net interest income:
|
||||||||||||||||||||||||||||
Interest rate spread
|
3.37
|
%
|
$
|
135,449
|
3.66
|
%
|
$
|
123,636
|
3.74
|
%
|
||||||||||||||||||
Net interest margin*
|
3.99
|
%
|
3.96
|
%
|
||||||||||||||||||||||||
Average interest-earning assets to
average interest-bearing liabilities |
127.2
|
%
|
126.2
|
%
|
_______________________
|
|
*
|
Defined as the Company’s net interest income divided by total average interest-earning assets.
|
(1)
|
Of the total average balances of investment securities, average tax-exempt investment securities were $43.6 million and $54.2 million for the nine months
ended September 30, 2019 and 2018, respectively. In addition, average tax-exempt loans and industrial revenue bonds were $21.1 million and $25.3 million for the nine months ended September 30, 2019 and 2018, respectively. Interest income on
tax-exempt assets included in this table was $1.9 million and $2.3 million for the nine months ended September 30, 2019 and 2018, respectively. Interest income net of disallowed interest expense related to tax-exempt assets was $1.7 million
and $2.2 million for the nine months ended September 30, 2019 and 2018, respectively.
|
(2)
|
The yield on loans at September 30, 2019 does not include the impact of the accretable yield (income) on loans acquired in the FDIC-assisted transactions.
See “Net Interest Income” for a discussion of the effect on results of operations for the nine months ended September 30, 2019.
|
Three Months Ended September 30,
|
||||||||||||
2019 vs. 2018
|
||||||||||||
Increase
|
||||||||||||
(Decrease)
|
Total
|
|||||||||||
Due to
|
Increase
|
|||||||||||
Rate
|
Volume
|
(Decrease)
|
||||||||||
(Dollars in Thousands)
|
||||||||||||
Interest-earning assets:
|
||||||||||||
Loans receivable
|
$
|
2,967
|
$
|
3,196
|
$
|
6,163
|
||||||
Investment securities
|
7
|
1,102
|
1,109
|
|||||||||
Other interest-earning assets
|
33
|
(100
|
)
|
(67
|
)
|
|||||||
Total interest-earning assets
|
3,007
|
4,198
|
7,205
|
|||||||||
Interest-bearing liabilities:
|
||||||||||||
Demand deposits
|
512
|
(5
|
)
|
507
|
||||||||
Time deposits
|
2,229
|
1,704
|
3,933
|
|||||||||
Total deposits
|
2,741
|
1,699
|
4,440
|
|||||||||
Short-term borrowings
|
640
|
306
|
946
|
|||||||||
Subordinated debentures issued to capital trust
|
1
|
—
|
1
|
|||||||||
Subordinated notes
|
66
|
5
|
71
|
|||||||||
FHLBank advances
|
—
|
(1,192
|
)
|
(1,192
|
)
|
|||||||
Total interest-bearing liabilities
|
3,448
|
818
|
4,266
|
|||||||||
Net interest income
|
$
|
(441
|
)
|
$
|
3,380
|
$
|
2,939
|
Nine Months Ended September 30,
|
||||||||||||
2019 vs. 2018
|
||||||||||||
Increase
|
||||||||||||
(Decrease)
|
Total
|
|||||||||||
Due to
|
Increase
|
|||||||||||
Rate
|
Volume
|
(Decrease)
|
||||||||||
(Dollars in Thousands)
|
||||||||||||
Interest-earning assets:
|
||||||||||||
Loans receivable
|
$
|
12,963
|
$
|
10,142
|
$
|
23,105
|
||||||
Investment securities
|
408
|
2,767
|
3,175
|
|||||||||
Other interest-earning assets
|
336
|
(157
|
)
|
179
|
||||||||
Total interest-earning assets
|
13,707
|
12,752
|
26,459
|
|||||||||
Interest-bearing liabilities:
|
||||||||||||
Demand deposits
|
1,606
|
(151
|
)
|
1,455
|
||||||||
Time deposits
|
8,345
|
4,986
|
13,331
|
|||||||||
Total deposits
|
9,951
|
4,835
|
14,786
|
|||||||||
Short-term borrowings
|
1,795
|
724
|
2,519
|
|||||||||
Subordinated debentures issued to capital trust
|
95
|
—
|
95
|
|||||||||
Subordinated notes
|
207
|
3
|
210
|
|||||||||
FHLBank advances
|
—
|
(2,964
|
)
|
(2,964
|
)
|
|||||||
Total interest-bearing liabilities
|
12,048
|
2,598
|
14,646
|
|||||||||
Net interest income
|
$
|
1,659
|
$
|
10,154
|
$
|
11,813
|
September 30,
2019
|
June 30,
2019
|
March 31,
2019
|
December 31,
2018
|
December 31,
2017
|
December 31,
2016
|
|||||||||||||||||||
Closed loans with unused available lines
|
||||||||||||||||||||||||
Secured by real estate (one- to four-family)
|
$
|
152,828
|
$
|
153,871
|
$
|
154,400
|
$
|
150,948
|
$
|
133,587
|
$
|
123,433
|
||||||||||||
Secured by real estate (not one- to four-family)
|
20,003
|
13,237
|
10,450
|
11,063
|
10,836
|
26,062
|
||||||||||||||||||
Not secured by real estate - commercial business
|
92,095
|
80,887
|
83,520
|
87,480
|
113,317
|
79,937
|
||||||||||||||||||
Closed construction loans with unused
available lines
|
||||||||||||||||||||||||
Secured by real estate (one-to four-family)
|
38,323
|
28,023
|
33,818
|
37,162
|
20,919
|
10,047
|
||||||||||||||||||
Secured by real estate (not one-to four-family)
|
773,375
|
818,047
|
831,155
|
906,006
|
718,277
|
542,326
|
||||||||||||||||||
Loan Commitments not closed
|
||||||||||||||||||||||||
Secured by real estate (one-to four-family)
|
55,989
|
49,694
|
36,945
|
24,253
|
23,340
|
15,884
|
||||||||||||||||||
Secured by real estate (not one-to four-family)
|
176,138
|
110,647
|
134,607
|
104,871
|
156,658
|
119,126
|
||||||||||||||||||
Not secured by real estate - commercial business
|
4,535
|
4,535
|
—
|
405
|
4,870
|
7,022
|
||||||||||||||||||
$
|
1,313,286
|
$
|
1,258,941
|
$
|
1,284,895
|
$
|
1,322,188
|
$
|
1,181,804
|
$
|
923,837
|
Federal Home Loan Bank line
|
$793.3 million
|
Federal Reserve Bank line
|
$369.0 million
|
Cash and cash equivalents
|
$190.9 million
|
Unpledged securities
|
$186.6 million
|
Total Number
of Shares
Purchased
|
Average
Price
Per Share
|
Total Number
of Shares
Purchased
As Part of
Publicly
Announced
Plan
|
Maximum
Number of
Shares that
May Yet Be
Purchased
Under the
Plan(1)
|
|||||||||||||
July 1, 2019 – July 31, 2019
|
--
|
$
|
--
|
--
|
466,418
|
|||||||||||
August 1, 2019 – August 31, 2019
|
--
|
--
|
--
|
466,418
|
||||||||||||
September 1, 2019 – September 30, 2019
|
--
|
--
|
--
|
466,418
|
||||||||||||
--
|
$
|
--
|
--
|
_______________________
|
|
|
|
(1)
|
Amount represents the number of shares available to be repurchased under the April 2018 plan as of the last calendar day of the month shown.
|
a)
|
Exhibits
|
|
Exhibit No.
|
Description
|
||
(2)
|
Plan of acquisition, reorganization, arrangement, liquidation, or succession
|
||
(i)
|
The Purchase and Assumption Agreement, dated as of March 20, 2009, among Federal Deposit Insurance Corporation, Receiver of TeamBank, N.A., Paola, Kansas, Federal
Deposit Insurance Corporation and Great Southern Bank, previously filed with the Commission (File no. 000-18082) as Exhibit 2.1 to the Registrant's Current Report on Form 8-K filed on March 26, 2009 is incorporated herein by reference as Exhibit 2.1(i).
|
||
(ii)
|
The Purchase and Assumption Agreement, dated as of September 4, 2009, among Federal Deposit Insurance Corporation, Receiver of Vantus Bank, Sioux City, Iowa, Federal
Deposit Insurance Corporation and Great Southern Bank, previously filed with the Commission (File no. 000-18082) as Exhibit 2.1 to the Registrant's Current Report on Form 8-K filed on September 11, 2009 is incorporated herein by reference
as Exhibit 2.1(ii).
|
||
(iii)
|
The Purchase and Assumption Agreement, dated as of October 7, 2011, among Federal Deposit Insurance Corporation, Receiver of Sun Security Bank, Ellington, Missouri,
Federal Deposit Insurance Corporation and Great Southern Bank, previously filed with the Commission (File no. 000-18082) as Exhibit 2.1(iii) to the Registrant's Quarterly Report on Form 10-Q for the quarter ended September 30, 2011 is
incorporated herein by reference as Exhibit 2(iii).
|
||
(iv)
|
The Purchase and Assumption Agreement, dated as of April 27, 2012, among Federal Deposit Insurance Corporation, Receiver of Inter Savings Bank, FSB, Maple Grove,
Minnesota, Federal Deposit Insurance Corporation and Great Southern Bank, previously filed with the Commission (File no. 000-18082) as Exhibit 2.1(iv) to the Registrant's Quarterly Report on Form 10-Q for the quarter ended March 31, 2012 is
incorporated herein by reference as Exhibit 2(iv).
|
||
(v)
|
The Purchase and Assumption Agreement All Deposits, dated as of June 20, 2014, among Federal Deposit Insurance Corporation, Receiver of Valley Bank, Moline, Illinois,
Federal Deposit Insurance Corporation and Great Southern Bank, previously filed with the Commission (File no. 000-18082) as Exhibit 2.1(v) to the Registrant's Quarterly Report on Form 10-Q for the quarter ended June 20, 2014 is incorporated
herein by reference as Exhibit 2(v).
|
||
(3)
|
Articles of incorporation and Bylaws
|
||
(i)
|
The Registrant's Charter previously filed with the Commission as Appendix D to the Registrant's Definitive Proxy Statement on Schedule 14A filed on March 31, 2004 (File
No. 000-18082), is incorporated herein by reference as Exhibit 3.1.
|
||
(iA)
|
The Articles Supplementary to the Registrant's Charter setting forth the terms of the Registrant's Senior Non-Cumulative Perpetual Preferred Stock, Series A, previously
filed with the Commission (File no. 000-18082) as Exhibit 3.1 to the Registrant's Current Report on Form 8-K filed on August 18, 2011, are incorporated herein by reference as Exhibit 3(i).
|
||
(ii)
|
The Registrant's Bylaws, previously filed with the Commission (File no. 000-18082) as Exhibit 3(ii) to the Registrant's Current Report on Form 8-K filed on October 19,
2007, is incorporated herein by reference as Exhibit 3.2.
|
||
(4)
|
Instruments defining the rights of security holders, including indentures
|
||
The Company hereby agrees to furnish the SEC upon request, copies of the instruments defining the rights of the holders of each issue of the Registrant's long-term debt.
|
(9)
|
Voting trust agreement
|
|
Inapplicable.
|
||
(10)
|
Material contracts
|
|
The Registrant's 2003 Stock Option and Incentive Plan previously filed with the Commission (File No. 000-18082) as Annex A to the Registrant's Definitive Proxy
Statement on Schedule 14A filed on April 14, 2003, is incorporated herein by reference as Exhibit 10.2.
|
||
(3) |
The amended and restated employment agreement dated November 4, 2019 between the Registrant and William V. Turner.
|
|
(4) |
The amended and restated employment agreement dated November 4, 2019 between the Registrant and Joseph W. Turner.
|
|
The form of incentive stock option agreement under the Registrant's 2003 Stock Option and Incentive Plan previously filed with the Commission as Exhibit 10.1 to the
Registrant's Current Report on Form 8-K (File no. 000-18082) filed on February 24, 2005 is incorporated herein by reference as Exhibit 10.5.
|
||
The form of non-qualified stock option agreement under the Registrant's 2003 Stock Option and Incentive Plan previously filed with the Commission as Exhibit 10.2 to
the Registrant's Current Report on Form 8-K (File no. 000-18082) filed on February 24, 2005 is incorporated herein by reference as Exhibit 10.6.
|
||
A description of the current salary and bonus arrangements for 2019 for the Registrant's executive officers previously filed with the Commission as Exhibit 10.7 to the
Registrant's Annual Report on Form 10-K for the fiscal year ended December 31, 2018 is incorporated herein by reference as Exhibit 10.7.
|
||
A description of the current fee arrangements for the Registrant's directors previously filed with the Commission as Exhibit 10.8 to the Registrant's Annual Report on
Form 10-K for the fiscal year ended December 31, 2018 is incorporated herein by reference as Exhibit 10.8.
|
||
Small Business Lending Fund – Securities Purchase Agreement, dated August 18, 2011, between the Registrant and the Secretary of the United States Department of the
Treasury, previously filed with the Commission as Exhibit 10.1 to the Registrant's Current Report on Form 8-K filed on August 18, 2011, is incorporated herein by reference as Exhibit 10.9.
|
||
The Registrant's 2013 Equity Incentive Plan previously filed with the Commission (File No. 000-18082) as Annex A to the Registrant's Definitive Proxy Statement on
Schedule 14A filed on April 4, 2013, is incorporated herein by reference as Exhibit 10.10.
|
||
The form of incentive stock option award agreement under the Registrant's 2013 Equity Incentive Plan previously filed with the Commission as Exhibit 10.2 to the
Registrant's Registration Statement on Form S-8 (File no. 333-189497) filed on June 20, 2013 is incorporated herein by reference as Exhibit 10.11.
|
||
The form of non-qualified stock option award agreement under the Registrant's 2013 Equity Incentive Plan previously filed with the Commission as Exhibit 10.3 to the
Registrant's Registration Statement on Form S-8 (File no. 333-189497) filed on June 20, 2013 is incorporated herein by reference as Exhibit 10.12.
|
||
The form of stock appreciation right award agreement under the Registrant's 2013 Equity Incentive Plan previously filed with the Commission as Exhibit 10.4 to the
Registrant's Registration Statement on Form S-8 (File no. 333-189497) filed on June 20, 2013 is incorporated herein by reference as Exhibit 10.13.
|
||
The form of restricted stock award agreement under the Registrant's 2013 Equity Incentive Plan previously filed with the Commission as Exhibit 10.5 to the Registrant's
Registration Statement on Form S-8 (File no. 333-189497) filed on June 20, 2013 is incorporated herein by reference as Exhibit 10.14.
|
The Registrant's 2018 Omnibus Incentive Plan previously filed with the Commission (File No. 000-18082) as Appendix A to the Registrant's Definitive Proxy Statement on
Schedule 14A filed on March 27, 2018, is incorporated herein by reference as Exhibit 10.15.
|
||
The form of incentive stock option award agreement under the Registrant's 2018 Omnibus Incentive Plan previously filed with the Commission as Exhibit 10.2 to the
Registrant's Registration Statement on Form S-8 (File no. 333-225665) filed on June 15, 2018 is incorporated herein by reference as Exhibit 10.16.
|
||
The form of non-qualified stock option award agreement under the Registrant's 2018 Omnibus Incentive Plan previously filed with the Commission as Exhibit 10.3 to the
Registrant's Registration Statement on Form S-8 (File no. 333-225665) filed on June 15, 2018 is incorporated herein by reference as Exhibit 10.17.
|
||
(15)
|
Letter re unaudited interim financial information
|
|
Inapplicable.
|
||
(18)
|
Letter re change in accounting principles
|
|
Inapplicable.
|
||
(23)
|
Consents of experts and counsel
|
|
Inapplicable.
|
||
(24)
|
Power of attorney
|
|
None.
|
||
Rule 13a-14(a) Certification of Chief Executive Officer
|
||
Attached as Exhibit 31.1
|
||
Rule 13a-14(a) Certification of Treasurer
|
||
Attached as Exhibit 31.2
|
||
Certification pursuant to Section 906 of Sarbanes-Oxley Act of 2002 (18 U.S.C. Section 1350)
|
||
Attached as Exhibit 32.
|
||
(99)
|
Additional Exhibits
|
|
None.
|
||
(101)
|
Attached as Exhibit 101 are the following financial statements from the Great Southern Bancorp, Inc. Quarterly Report on Form 10-Q for the quarter ended September 30,
2019, formatted in Extensive Business Reporting Language (XBRL): (i) consolidated statements of financial condition, (ii) consolidated statements of income, (iii) consolidated statements of comprehensive income, (iv) consolidated statements
of cash flows and (v) notes to consolidated financial statements.
|
Great Southern Bancorp, Inc.
|
|
Registrant
|
|
Date: November 6, 2019
|
/s/ Joseph W. Turner
|
Joseph W. Turner
President and Chief Executive Officer
(Principal Executive Officer)
|
|
Date: November 6, 2019
|
/s/ Rex A. Copeland
|
Rex A. Copeland
Treasurer
(Principal Financial and Accounting Officer)
|
GUP = Tax Rate
1 - Tax Rate
|
|
Attest:
|
Great Southern Bancorp, Inc.
|
|
/s/ Doug Marrs
|
/s/ Rex Copeland
|
|
Doug Marrs, Secretary
|
Rex Copeland, Treasurer
|
|
Employee
|
||
/s/ William V. Turner
|
||
William V. Turner
|
|
1. |
Definitions.
|
|
4. |
Cash Compensation.
|
|
5. |
Benefits.
|
|
6. |
Vacations; Leave.
|
|
7. |
Termination of Employment.
|
|
8. |
Tax Gross-Up
|
GUP = Tax Rate
1 - Tax Rate
|
|
|
9. |
Notice of Termination.
|
|
11. |
Non-Disclosure and Non-Solicitation.
|
|
12. |
No Assignments.
|
Attest:
|
Great Southern Bancorp, Inc.
|
|
/s/ Doug Marrs
|
/s/ Rex Copeland
|
|
Doug Marrs, Secretary
|
Rex Copeland, Treasurer
|
|
Employee
|
||
/s/ Joseph W. Turner
|
||
Joseph W. Turner
|
I, Joseph W. Turner, certify that:
1. I have reviewed this quarterly report on Form 10-Q of Great Southern Bancorp, Inc.;
2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the
statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the
financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
4. The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in
Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
|
a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure
that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our
supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the
effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent
fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and
|
|
5. The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to
the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):
|
|
a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably
likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and
b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over
financial reporting.
|
Date: November 6, 2019
/s/ Joseph W. Turner
Joseph W. Turner
President and Chief Executive Officer
|
I, Rex A. Copeland, certify that:
1. I have reviewed this quarterly report on Form 10-Q of Great Southern Bancorp, Inc.;
2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the
statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the
financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
4. The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in
Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
|
a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure
that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our
supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the
effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent
fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and
|
|
5. The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to
the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):
|
|
a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably
likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and
b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over
financial reporting.
|
Date: November 6, 2019
/s/ Rex A. Copeland
Rex A. Copeland
Treasurer
|
Dated: November 6, 2019
|
/s/ Joseph W. Turner
Joseph W. Turner
President and Chief Executive Officer
|
|
|
Dated: November 6, 2019
|
/s/ Rex A. Copeland
Rex A. Copeland
Treasurer
|