|
|
|
(Mark One)
|
|
x
|
ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT of 1934
|
|
For the fiscal year ended December 31, 2019
|
|
|
|
or
|
|
|
o
|
TRANSITION REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|
|
For the transition period from __________ to __________
|
WEST BANCORPORATION, INC.
|
|
(Exact name of registrant as specified in its charter)
|
|
|
|
IOWA
|
42-1230603
|
(State of incorporation or organization)
|
(I.R.S. Employer Identification No.)
|
|
|
1601 22nd STREET, WEST DES MOINES, IOWA
|
50266
|
(Address of principal executive offices)
|
(Zip code)
|
Title of each class
|
Trading Symbol(s)
|
Name of each exchange on which registered
|
Common Stock, no par value
|
WTBA
|
The Nasdaq Global Select Market
|
FORM 10-K
|
||
TABLE OF CONTENTS
|
||
|
|
|
|
|
|
|
|
|
PART I
|
||
|
|
|
ITEM 1.
|
||
|
|
|
ITEM 1A.
|
||
|
|
|
ITEM 1B.
|
||
|
|
|
ITEM 2.
|
||
|
|
|
ITEM 3.
|
||
|
|
|
ITEM 4.
|
||
|
|
|
PART II
|
||
|
|
|
ITEM 5.
|
||
|
|
|
ITEM 6.
|
||
|
|
|
ITEM 7.
|
||
|
|
|
ITEM 7A.
|
||
|
|
|
ITEM 8.
|
||
|
|
|
ITEM 9.
|
||
|
|
|
ITEM 9A.
|
||
|
|
|
ITEM 9B.
|
||
|
|
|
PART III
|
||
|
|
|
ITEM 10.
|
||
|
|
|
ITEM 11.
|
||
|
|
|
ITEM 12.
|
||
|
|
|
ITEM 13.
|
||
|
|
|
ITEM 14.
|
||
|
|
|
PART IV
|
||
|
|
|
ITEM 15.
|
||
|
|
|
ITEM 16.
|
l
|
Return on average assets:
|
1.20
|
%
|
l
|
Return on average equity:
|
14.34
|
%
|
l
|
Efficiency ratio (1):
|
50.96
|
%
|
l
|
Texas ratio:
|
0.23
|
%
|
•
|
A ratio of minimum Common Equity Tier 1 Capital equal to 4.5 percent of total risk-weighted assets;
|
•
|
An increase in the minimum required amount of Tier 1 Capital from 4 percent to 6 percent of total risk-weighted assets;
|
•
|
A continuation of the minimum required amount of Total Capital (Tier 1 plus Tier 2) at 8 percent of total risk-weighted assets; and
|
•
|
A minimum leverage ratio of Tier 1 Capital to total quarterly average assets equal to 4 percent in all circumstances.
|
•
|
A Common Equity Tier 1 Capital ratio to total risk-weighted assets of 6.5 percent or more;
|
•
|
A ratio of Tier 1 Capital to total risk-weighted assets of 8 percent or more (6 percent under Basel I);
|
•
|
A ratio of Total Capital to total risk-weighted assets of 10 percent or more (the same as Basel I); and
|
•
|
A leverage ratio of Tier 1 Capital to total adjusted average quarterly assets of 5 percent or greater.
|
|
Period Ending
|
|||||||||||
Index
|
12/31/2014
|
12/31/2015
|
12/31/2016
|
12/31/2017
|
12/31/2018
|
12/31/2019
|
||||||
West Bancorporation, Inc.
|
100.00
|
|
119.85
|
|
155.46
|
|
163.19
|
|
128.05
|
|
178.57
|
|
Nasdaq Composite
|
100.00
|
|
106.96
|
|
116.45
|
|
150.96
|
|
146.67
|
|
200.49
|
|
SNL Midwest Bank
|
100.00
|
|
101.52
|
|
135.64
|
|
145.76
|
|
124.47
|
|
161.94
|
|
West Bancorporation, Inc. and Subsidiary
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Selected Financial Data
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
|
As of and for the Years Ended December 31
|
||||||||||||||||||
(in thousands, except per share amounts)
|
|
2019
|
|
2018
|
|
2017
|
|
2016
|
|
2015
|
||||||||||
Operating Results
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Interest income
|
|
$
|
98,675
|
|
|
$
|
84,793
|
|
|
$
|
73,034
|
|
|
$
|
64,994
|
|
|
$
|
60,147
|
|
Interest expense
|
|
32,245
|
|
|
22,735
|
|
|
12,977
|
|
|
7,876
|
|
|
5,993
|
|
|||||
Net interest income
|
|
66,430
|
|
|
62,058
|
|
|
60,057
|
|
|
57,118
|
|
|
54,154
|
|
|||||
Provision for loan losses
|
|
600
|
|
|
(250
|
)
|
|
—
|
|
|
1,000
|
|
|
850
|
|
|||||
Net interest income after provision for loan losses
|
|
65,830
|
|
|
62,308
|
|
|
60,057
|
|
|
56,118
|
|
|
53,304
|
|
|||||
Noninterest income
|
|
8,318
|
|
|
7,752
|
|
|
8,648
|
|
|
7,982
|
|
|
8,203
|
|
|||||
Noninterest expense
|
|
38,406
|
|
|
34,992
|
|
|
32,267
|
|
|
31,148
|
|
|
30,068
|
|
|||||
Income before income taxes
|
|
35,742
|
|
|
35,068
|
|
|
36,438
|
|
|
32,952
|
|
|
31,439
|
|
|||||
Income taxes
|
|
7,052
|
|
|
6,560
|
|
|
13,368
|
|
|
9,936
|
|
|
9,697
|
|
|||||
Net income
|
|
$
|
28,690
|
|
|
$
|
28,508
|
|
|
$
|
23,070
|
|
|
$
|
23,016
|
|
|
$
|
21,742
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Dividends and Per Share Data
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Cash dividends
|
|
$
|
13,578
|
|
|
$
|
12,696
|
|
|
$
|
11,499
|
|
|
$
|
10,800
|
|
|
$
|
9,952
|
|
Cash dividends per common share
|
|
0.83
|
|
|
0.78
|
|
|
0.71
|
|
|
0.67
|
|
|
0.62
|
|
|||||
Basic earnings per common share
|
|
1.75
|
|
|
1.75
|
|
|
1.42
|
|
|
1.43
|
|
|
1.35
|
|
|||||
Diluted earnings per common share
|
|
1.74
|
|
|
1.74
|
|
|
1.41
|
|
|
1.42
|
|
|
1.35
|
|
|||||
Closing stock price per common share
|
|
25.63
|
|
|
19.09
|
|
|
25.15
|
|
|
24.70
|
|
|
19.75
|
|
|||||
Book value per common share
|
|
12.93
|
|
|
11.72
|
|
|
10.98
|
|
|
10.25
|
|
|
9.49
|
|
|||||
Average common shares outstanding
|
|
16,359
|
|
|
16,275
|
|
|
16,194
|
|
|
16,117
|
|
|
16,050
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Year-End and Average Balances
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Total assets
|
|
$
|
2,473,691
|
|
|
$
|
2,296,568
|
|
|
$
|
2,114,377
|
|
|
$
|
1,854,204
|
|
|
$
|
1,748,396
|
|
Average assets
|
|
2,386,641
|
|
|
2,169,399
|
|
|
1,954,242
|
|
|
1,806,250
|
|
|
1,675,652
|
|
|||||
Investment securities
|
|
411,069
|
|
|
465,795
|
|
|
498,920
|
|
|
319,794
|
|
|
384,420
|
|
|||||
Loans
|
|
1,941,663
|
|
|
1,721,830
|
|
|
1,510,500
|
|
|
1,399,870
|
|
|
1,246,688
|
|
|||||
Allowance for loan losses
|
|
(17,235
|
)
|
|
(16,689
|
)
|
|
(16,430
|
)
|
|
(16,112
|
)
|
|
(14,967
|
)
|
|||||
Deposits
|
|
2,014,756
|
|
|
1,894,529
|
|
|
1,810,813
|
|
|
1,546,605
|
|
|
1,440,729
|
|
|||||
Borrowings
|
|
222,728
|
|
|
185,343
|
|
|
119,711
|
|
|
125,410
|
|
|
127,175
|
|
|||||
Stockholders’ equity
|
|
211,820
|
|
|
191,023
|
|
|
178,098
|
|
|
165,376
|
|
|
152,377
|
|
|||||
Average stockholders’ equity
|
|
200,015
|
|
|
181,757
|
|
|
173,568
|
|
|
160,420
|
|
|
146,089
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Performance Ratios
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Average equity to average assets ratio
|
|
8.38
|
%
|
|
8.38
|
%
|
|
8.88
|
%
|
|
8.88
|
%
|
|
8.72
|
%
|
|||||
Return on average assets
|
|
1.20
|
%
|
|
1.31
|
%
|
|
1.18
|
%
|
|
1.27
|
%
|
|
1.30
|
%
|
|||||
Return on average equity
|
|
14.34
|
%
|
|
15.68
|
%
|
|
13.29
|
%
|
|
14.35
|
%
|
|
14.88
|
%
|
|||||
Efficiency ratio (1)(2)
|
|
50.96
|
%
|
|
48.33
|
%
|
|
45.39
|
%
|
|
46.03
|
%
|
|
46.30
|
%
|
|||||
Texas ratio (1)
|
|
0.23
|
%
|
|
0.93
|
%
|
|
0.32
|
%
|
|
0.56
|
%
|
|
0.87
|
%
|
|||||
Net interest margin (2)
|
|
2.95
|
%
|
|
3.06
|
%
|
|
3.37
|
%
|
|
3.49
|
%
|
|
3.59
|
%
|
|||||
Dividend payout ratio
|
|
47.33
|
%
|
|
44.53
|
%
|
|
49.84
|
%
|
|
46.92
|
%
|
|
45.77
|
%
|
|||||
Dividend yield
|
|
3.24
|
%
|
|
4.09
|
%
|
|
2.82
|
%
|
|
2.71
|
%
|
|
3.14
|
%
|
•
|
Average equity to average assets ratio - average equity divided by average assets.
|
•
|
Return on average assets - net income divided by average assets.
|
•
|
Return on average equity - net income divided by average equity.
|
•
|
Efficiency ratio - noninterest expense (excluding other real estate owned expense and write-down of premises) divided by noninterest income (excluding net securities gains/losses and gains/losses on disposition of premises and equipment) plus tax-equivalent net interest income.
|
•
|
Texas ratio - total nonperforming assets divided by tangible common equity plus the allowance for loan losses.
|
•
|
Net interest margin - tax-equivalent net interest income divided by average interest-earning assets.
|
•
|
Dividend payout ratio - dividends paid to common stockholders divided by net income.
|
•
|
Dividend yield - dividends per share paid to common stockholders divided by closing year-end stock price.
|
(1)
|
As presented, this is a non-GAAP financial measure. For further information, refer to the section “Non-GAAP Financial Measures” of this Item.
|
(2)
|
Latest data available.
|
|
|
As and for the Years Ended December 31
|
||||||||||||||||||
|
|
2019
|
|
2018
|
|
2017
|
|
2016
|
|
2015
|
||||||||||
Reconciliation of net interest income and net interest margin on an FTE basis to GAAP:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Net interest income (GAAP)
|
|
$
|
66,430
|
|
|
$
|
62,058
|
|
|
$
|
60,057
|
|
|
$
|
57,118
|
|
|
$
|
54,154
|
|
Tax-equivalent adjustment (1)
|
|
834
|
|
|
1,528
|
|
|
2,677
|
|
|
2,623
|
|
|
2,604
|
|
|||||
Net interest income on an FTE basis (non-GAAP)
|
|
$
|
67,264
|
|
|
$
|
63,586
|
|
|
$
|
62,734
|
|
|
$
|
59,741
|
|
|
$
|
56,758
|
|
Average interest-earning assets
|
|
$
|
2,277,461
|
|
|
$
|
2,075,372
|
|
|
$
|
1,863,791
|
|
|
$
|
1,711,612
|
|
|
$
|
1,583,059
|
|
Net interest margin on an FTE basis (non-GAAP)
|
|
2.95
|
%
|
|
3.06
|
%
|
|
3.37
|
%
|
|
3.49
|
%
|
|
3.59
|
%
|
|||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Reconciliation of efficiency ratio on an FTE basis to GAAP:
|
|
|
|
|
|
|
|
|
||||||||||||
Net interest income on an FTE basis (non-GAAP)
|
|
$
|
67,264
|
|
|
$
|
63,586
|
|
|
$
|
62,734
|
|
|
$
|
59,741
|
|
|
$
|
56,758
|
|
Noninterest income
|
|
8,318
|
|
|
7,752
|
|
|
8,648
|
|
|
7,982
|
|
|
8,203
|
|
|||||
Adjustment for realized investment securities (gains) losses, net
|
|
87
|
|
|
263
|
|
|
(326
|
)
|
|
(66
|
)
|
|
(47
|
)
|
|||||
Adjustment for losses on disposal of premises and
equipment, net
|
|
—
|
|
|
109
|
|
|
25
|
|
|
4
|
|
|
6
|
|
|||||
Adjustment for gain on sale of premises
|
|
(307
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Adjusted income
|
|
$
|
75,362
|
|
|
$
|
71,710
|
|
|
$
|
71,081
|
|
|
$
|
67,661
|
|
|
$
|
64,920
|
|
Noninterest expense
|
|
$
|
38,406
|
|
|
$
|
34,992
|
|
|
$
|
32,267
|
|
|
$
|
31,148
|
|
|
$
|
30,068
|
|
Less: Other real estate owned expenses
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(10
|
)
|
|||||
Adjustment for write-down of premises
|
|
—
|
|
|
(333
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Adjusted expense
|
|
$
|
38,406
|
|
|
$
|
34,659
|
|
|
$
|
32,267
|
|
|
$
|
31,148
|
|
|
$
|
30,058
|
|
Efficiency ratio on an adjusted and FTE basis (non-GAAP) (2)
|
|
50.96
|
%
|
|
48.33
|
%
|
|
45.39
|
%
|
|
46.03
|
%
|
|
46.30
|
%
|
•
|
ROA was 1.20 percent compared to 1.31 percent in 2018.
|
•
|
ROE was 14.34 percent compared to 15.68 percent in 2018.
|
•
|
Efficiency ratio was 50.96 percent compared to 48.33 percent in 2018.
|
•
|
Texas ratio was 0.23 percent compared to 0.93 percent in 2018.
|
•
|
The loan portfolio grew 12.8 percent during 2019.
|
•
|
Deposits increased by 6.3 percent during 2019.
|
|
Years ended December 31
|
|||||||||||||
Noninterest income:
|
2019
|
|
2018
|
|
Change
|
|
Change %
|
|||||||
Service charges on deposit accounts
|
$
|
2,492
|
|
|
$
|
2,541
|
|
|
$
|
(49
|
)
|
|
(1.93
|
)%
|
Debit card usage fees
|
1,644
|
|
|
1,681
|
|
|
(37
|
)
|
|
(2.20
|
)%
|
|||
Trust services
|
2,026
|
|
|
1,921
|
|
|
105
|
|
|
5.47
|
%
|
|||
Increase in cash value of bank-owned life insurance
|
644
|
|
|
631
|
|
|
13
|
|
|
2.06
|
%
|
|||
Realized investment securities losses, net
|
(87
|
)
|
|
(263
|
)
|
|
176
|
|
|
66.92
|
%
|
|||
Other income:
|
|
|
|
|
|
|
|
|
|
|
|
|||
Other service charges and fees
|
1,039
|
|
|
884
|
|
|
155
|
|
|
17.53
|
%
|
|||
Gain on sale of premises
|
307
|
|
|
—
|
|
|
307
|
|
|
N/A
|
|
|||
Guarantee fees
|
—
|
|
|
254
|
|
|
(254
|
)
|
|
(100.00
|
)%
|
|||
All other
|
253
|
|
|
103
|
|
|
150
|
|
|
145.63
|
%
|
|||
Total other income
|
1,599
|
|
|
1,241
|
|
|
358
|
|
|
28.85
|
%
|
|||
Total noninterest income
|
$
|
8,318
|
|
|
$
|
7,752
|
|
|
$
|
566
|
|
|
7.30
|
%
|
|
Years ended December 31
|
|||||||||||||
Noninterest expense:
|
2019
|
|
2018
|
|
Change
|
|
Change %
|
|
||||||
Salaries and employee benefits
|
$
|
21,790
|
|
|
$
|
18,791
|
|
|
$
|
2,999
|
|
|
15.96
|
%
|
Occupancy
|
5,355
|
|
|
4,996
|
|
|
359
|
|
|
7.19
|
%
|
|||
Data processing
|
2,735
|
|
|
2,682
|
|
|
53
|
|
|
1.98
|
%
|
|||
FDIC insurance
|
404
|
|
|
685
|
|
|
(281
|
)
|
|
(41.02
|
)%
|
|||
Professional fees
|
814
|
|
|
840
|
|
|
(26
|
)
|
|
(3.10
|
)%
|
|||
Director fees
|
993
|
|
|
1,014
|
|
|
(21
|
)
|
|
(2.07
|
)%
|
|||
Write-down of premises
|
—
|
|
|
333
|
|
|
(333
|
)
|
|
(100.00
|
)%
|
|||
Other expenses:
|
|
|
|
|
|
|
|
|
|
|
||||
Marketing
|
230
|
|
|
195
|
|
|
35
|
|
|
17.95
|
%
|
|||
Business development
|
907
|
|
|
824
|
|
|
83
|
|
|
10.07
|
%
|
|||
Insurance expense
|
382
|
|
|
361
|
|
|
21
|
|
|
5.82
|
%
|
|||
Subscriptions
|
394
|
|
|
341
|
|
|
53
|
|
|
15.54
|
%
|
|||
Trust
|
443
|
|
|
400
|
|
|
43
|
|
|
10.75
|
%
|
|||
Consulting fees
|
327
|
|
|
256
|
|
|
71
|
|
|
27.73
|
%
|
|||
Postage and courier
|
282
|
|
|
289
|
|
|
(7
|
)
|
|
(2.42
|
)%
|
|||
Supplies
|
311
|
|
|
241
|
|
|
70
|
|
|
29.05
|
%
|
|||
Low income housing projects amortization
|
453
|
|
|
541
|
|
|
(88
|
)
|
|
(16.27
|
)%
|
|||
New market tax credit project amortization and related management fees
|
919
|
|
|
647
|
|
|
272
|
|
|
42.04
|
%
|
|||
All other
|
1,667
|
|
|
1,556
|
|
|
111
|
|
|
7.13
|
%
|
|||
Total other
|
6,315
|
|
|
5,651
|
|
|
664
|
|
|
11.75
|
%
|
|||
Total noninterest expense
|
$
|
38,406
|
|
|
$
|
34,992
|
|
|
$
|
3,414
|
|
|
9.76
|
%
|
|
2019
|
|
2018
|
|
2017
|
|||||||||||||||||||||||||||
|
Average
Balance
|
|
Revenue/
Expense
|
|
Yield/
Rate |
|
Average
Balance
|
|
Revenue/
Expense
|
|
Yield/
Rate |
|
Average
Balance
|
|
Revenue/
Expense
|
|
Yield/
Rate |
|||||||||||||||
Assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Interest-earning assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Loans: (1) (2)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Commercial
|
$
|
387,137
|
|
|
$
|
19,493
|
|
|
5.04
|
%
|
|
$
|
321,395
|
|
|
$
|
15,315
|
|
|
4.77
|
%
|
|
$
|
327,673
|
|
|
$
|
14,279
|
|
|
4.36
|
%
|
Real estate (3)
|
1,405,175
|
|
|
66,078
|
|
|
4.70
|
%
|
|
1,225,665
|
|
|
55,973
|
|
|
4.57
|
%
|
|
1,108,062
|
|
|
49,481
|
|
|
4.47
|
%
|
||||||
Consumer and other
|
6,876
|
|
|
335
|
|
|
4.87
|
%
|
|
6,613
|
|
|
282
|
|
|
4.26
|
%
|
|
8,150
|
|
|
330
|
|
|
4.05
|
%
|
||||||
Total loans
|
1,799,188
|
|
|
85,906
|
|
|
4.77
|
%
|
|
1,553,673
|
|
|
71,570
|
|
|
4.61
|
%
|
|
1,443,885
|
|
|
64,090
|
|
|
4.44
|
%
|
||||||
Investment securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Taxable
|
354,727
|
|
|
10,031
|
|
|
2.83
|
%
|
|
322,795
|
|
|
8,124
|
|
|
2.52
|
%
|
|
248,698
|
|
|
5,501
|
|
|
2.21
|
%
|
||||||
Tax-exempt (3)
|
69,505
|
|
|
2,462
|
|
|
3.54
|
%
|
|
173,449
|
|
|
6,140
|
|
|
3.54
|
%
|
|
143,612
|
|
|
5,789
|
|
|
4.03
|
%
|
||||||
Total investment securities
|
424,232
|
|
|
12,493
|
|
|
2.94
|
%
|
|
496,244
|
|
|
14,264
|
|
|
2.87
|
%
|
|
392,310
|
|
|
11,290
|
|
|
2.88
|
%
|
||||||
Federal funds sold
|
54,041
|
|
|
1,110
|
|
|
2.05
|
%
|
|
25,455
|
|
|
487
|
|
|
1.91
|
%
|
|
27,596
|
|
|
331
|
|
|
1.20
|
%
|
||||||
Total interest-earning assets (3)
|
2,277,461
|
|
|
99,509
|
|
|
4.37
|
%
|
|
2,075,372
|
|
|
86,321
|
|
|
4.16
|
%
|
|
1,863,791
|
|
|
75,711
|
|
|
4.06
|
%
|
||||||
Noninterest-earning assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Cash and due from banks
|
41,036
|
|
|
|
|
|
|
|
|
33,934
|
|
|
|
|
|
|
|
|
34,477
|
|
|
|
|
|
|
|
||||||
Premises and equipment, net
|
30,351
|
|
|
|
|
|
|
|
|
22,271
|
|
|
|
|
|
|
|
|
23,088
|
|
|
|
|
|
|
|
||||||
Other, less allowance for
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
loan losses
|
37,793
|
|
|
|
|
|
|
|
|
37,822
|
|
|
|
|
|
|
|
|
32,886
|
|
|
|
|
|
|
|
||||||
Total noninterest-earning assets
|
109,180
|
|
|
|
|
|
|
|
|
94,027
|
|
|
|
|
|
|
|
|
90,451
|
|
|
|
|
|
|
|
||||||
Total assets
|
$
|
2,386,641
|
|
|
|
|
|
|
|
|
$
|
2,169,399
|
|
|
|
|
|
|
|
|
$
|
1,954,242
|
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Liabilities and Stockholders’ Equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Interest-bearing liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Deposits:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Savings, interest-bearing
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
demand and money markets
|
$
|
1,337,009
|
|
|
19,548
|
|
|
1.46
|
%
|
|
$
|
1,266,534
|
|
|
14,369
|
|
|
1.13
|
%
|
|
$
|
1,067,164
|
|
|
6,166
|
|
|
0.58
|
%
|
|||
Time
|
255,770
|
|
|
5,666
|
|
|
2.22
|
%
|
|
184,386
|
|
|
2,695
|
|
|
1.46
|
%
|
|
147,232
|
|
|
1,456
|
|
|
0.99
|
%
|
||||||
Total deposits
|
1,592,779
|
|
|
25,214
|
|
|
1.58
|
%
|
|
1,450,920
|
|
|
17,064
|
|
|
1.18
|
%
|
|
1,214,396
|
|
|
7,622
|
|
|
0.63
|
%
|
||||||
Other borrowed funds
|
191,969
|
|
|
7,031
|
|
|
3.66
|
%
|
|
127,836
|
|
|
5,671
|
|
|
4.44
|
%
|
|
146,577
|
|
|
5,355
|
|
|
3.65
|
%
|
||||||
Total interest-bearing liabilities
|
1,784,748
|
|
|
32,245
|
|
|
1.81
|
%
|
|
1,578,756
|
|
|
22,735
|
|
|
1.44
|
%
|
|
1,360,973
|
|
|
12,977
|
|
|
0.95
|
%
|
||||||
Noninterest-bearing liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Demand deposits
|
379,231
|
|
|
|
|
|
|
|
401,778
|
|
|
|
|
|
|
|
|
412,078
|
|
|
|
|
|
|
|
|||||||
Other liabilities
|
22,647
|
|
|
|
|
|
|
|
7,108
|
|
|
|
|
|
|
|
|
7,623
|
|
|
|
|
|
|
|
|||||||
Stockholders’ equity
|
200,015
|
|
|
|
|
|
|
|
|
181,757
|
|
|
|
|
|
|
|
|
173,568
|
|
|
|
|
|
|
|
||||||
Total liabilities and
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
stockholders’ equity
|
$
|
2,386,641
|
|
|
|
|
|
|
|
|
$
|
2,169,399
|
|
|
|
|
|
|
|
|
$
|
1,954,242
|
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Net interest income (4)/net interest spread (3)
|
|
$
|
67,264
|
|
|
2.56
|
%
|
|
|
|
$
|
63,586
|
|
|
2.72
|
%
|
|
|
|
|
$
|
62,734
|
|
|
3.11
|
%
|
||||||
Net interest margin (3) (4)
|
|
|
|
|
|
|
2.95
|
%
|
|
|
|
|
|
|
|
3.06
|
%
|
|
|
|
|
|
|
|
3.37
|
%
|
(1)
|
Average loan balances include nonaccrual loans. Interest income recognized on nonaccrual loans has been included.
|
(2)
|
Interest income on loans includes amortization of loan fees and costs and prepayment penalties collected, which are not material.
|
(3)
|
Tax-exempt income has been adjusted to a tax-equivalent basis using a federal income tax rate of 21 percent in 2019 and 2018 and 35 percent in 2017 and is adjusted to reflect the effect of the nondeductible interest expense associated with owning tax-exempt investment securities and loans.
|
(4)
|
Net interest income (FTE) and net interest margin (FTE) are non-GAAP financial measures. For further information, refer to the section “Non-GAAP Financial Measures” of this Item.
|
|
2019 Compared to 2018
|
|
2018 Compared to 2017
|
||||||||||||||||||||
|
Volume
|
|
Rate
|
|
Total
|
|
Volume
|
|
Rate
|
|
Total
|
||||||||||||
Interest Income
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Loans: (1)
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial
|
$
|
3,272
|
|
|
$
|
906
|
|
|
$
|
4,178
|
|
|
$
|
(278
|
)
|
|
$
|
1,314
|
|
|
$
|
1,036
|
|
Real estate (2)
|
8,400
|
|
|
1,705
|
|
|
10,105
|
|
|
5,350
|
|
|
1,142
|
|
|
6,492
|
|
||||||
Consumer and other
|
12
|
|
|
41
|
|
|
53
|
|
|
(65
|
)
|
|
17
|
|
|
(48
|
)
|
||||||
Total loans (including fees)
|
11,684
|
|
|
2,652
|
|
|
14,336
|
|
|
5,007
|
|
|
2,473
|
|
|
7,480
|
|
||||||
Investment securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Taxable
|
848
|
|
|
1,059
|
|
|
1,907
|
|
|
1,793
|
|
|
830
|
|
|
2,623
|
|
||||||
Tax-exempt (2)
|
(3,682
|
)
|
|
4
|
|
|
(3,678
|
)
|
|
1,110
|
|
|
(759
|
)
|
|
351
|
|
||||||
Total investment securities
|
(2,834
|
)
|
|
1,063
|
|
|
(1,771
|
)
|
|
2,903
|
|
|
71
|
|
|
2,974
|
|
||||||
Federal funds sold
|
585
|
|
|
38
|
|
|
623
|
|
|
(27
|
)
|
|
183
|
|
|
156
|
|
||||||
Total interest income (2)
|
9,435
|
|
|
3,753
|
|
|
13,188
|
|
|
7,883
|
|
|
2,727
|
|
|
10,610
|
|
||||||
Interest Expense
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Deposits:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Savings, interest-bearing
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
demand and money market
|
837
|
|
|
4,342
|
|
|
5,179
|
|
|
1,332
|
|
|
6,871
|
|
|
8,203
|
|
||||||
Time
|
1,274
|
|
|
1,697
|
|
|
2,971
|
|
|
428
|
|
|
811
|
|
|
1,239
|
|
||||||
Total deposits
|
2,111
|
|
|
6,039
|
|
|
8,150
|
|
|
1,760
|
|
|
7,682
|
|
|
9,442
|
|
||||||
Other borrowed funds
|
2,477
|
|
|
(1,117
|
)
|
|
1,360
|
|
|
(740
|
)
|
|
1,056
|
|
|
316
|
|
||||||
Total interest expense
|
4,588
|
|
|
4,922
|
|
|
9,510
|
|
|
1,020
|
|
|
8,738
|
|
|
9,758
|
|
||||||
Net interest income (2) (3)
|
$
|
4,847
|
|
|
$
|
(1,169
|
)
|
|
$
|
3,678
|
|
|
$
|
6,863
|
|
|
$
|
(6,011
|
)
|
|
$
|
852
|
|
(1)
|
Average balances of nonaccrual loans were included for computational purposes.
|
(2)
|
Tax-exempt income has been converted to a tax-equivalent basis using a federal income tax rate of 21 percent in 2019 and 2018 and 35 percent in 2017 and is adjusted for the effect of the nondeductible interest expense associated with owning tax-exempt investment securities and loans.
|
(3)
|
Net interest income (FTE) is a non-GAAP financial measure. For further information, refer to the section “Non-GAAP Financial Measures” of this Item.
|
|
As of December 31
|
||||||||||
|
2019
|
|
2018
|
|
2017
|
||||||
Securities available for sale, at fair value:
|
|
|
|
|
|
||||||
State and political subdivisions
|
$
|
47,178
|
|
|
$
|
149,156
|
|
|
$
|
146,313
|
|
Collateralized mortgage obligations
|
181,921
|
|
|
157,004
|
|
|
159,932
|
|
|||
Mortgage-backed securities
|
73,030
|
|
|
63,378
|
|
|
60,429
|
|
|||
Asset-backed securities
|
17,600
|
|
|
31,903
|
|
|
45,195
|
|
|||
Collateralized loan obligations
|
64,832
|
|
|
—
|
|
|
—
|
|
|||
Trust preferred security
|
—
|
|
|
1,900
|
|
|
2,006
|
|
|||
Corporate notes
|
14,017
|
|
|
50,417
|
|
|
30,344
|
|
|||
Total securities available for sale
|
$
|
398,578
|
|
|
$
|
453,758
|
|
|
$
|
444,219
|
|
|
|
|
|
|
|
||||||
Securities held to maturity, at amortized cost:
|
|
|
|
|
|
||||||
State and political subdivisions
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
45,527
|
|
Investments as of December 31, 2019
|
|
Within one
year
|
|
After one year
but within five
years
|
|
After five years
but within ten
years
|
|
After ten years
|
|
Total
|
||||||||||
State and political subdivisions
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
1,161
|
|
|
$
|
46,017
|
|
|
$
|
47,178
|
|
Collateralized mortgage obligations
|
|
—
|
|
|
12,461
|
|
|
18,696
|
|
|
150,764
|
|
|
181,921
|
|
|||||
Mortgage-backed securities
|
|
—
|
|
|
—
|
|
|
3,570
|
|
|
69,460
|
|
|
73,030
|
|
|||||
Asset-backed securities
|
|
—
|
|
|
—
|
|
|
—
|
|
|
17,600
|
|
|
17,600
|
|
|||||
Collateralized loan obligations
|
|
—
|
|
|
—
|
|
|
—
|
|
|
64,832
|
|
|
64,832
|
|
|||||
Corporate notes
|
|
—
|
|
|
—
|
|
|
14,017
|
|
|
—
|
|
|
14,017
|
|
|||||
Total
|
|
$
|
—
|
|
|
$
|
12,461
|
|
|
$
|
37,444
|
|
|
$
|
348,673
|
|
|
$
|
398,578
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Weighted average yield:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
State and political subdivisions (1)
|
|
—
|
%
|
|
—
|
|
|
3.22
|
%
|
|
3.53
|
%
|
|
|
||||||
Collateralized mortgage obligations
|
|
—
|
|
|
1.95
|
%
|
|
2.11
|
%
|
|
2.48
|
%
|
|
|
||||||
Mortgage-backed securities
|
|
—
|
|
|
—
|
|
|
3.69
|
%
|
|
2.11
|
%
|
|
|
||||||
Asset-backed securities
|
|
—
|
|
|
—
|
|
|
—
|
|
|
2.07
|
%
|
|
|
||||||
Collateralized loan obligations
|
|
—
|
|
|
—
|
|
|
—
|
|
|
3.59
|
%
|
|
|
||||||
Corporate notes
|
|
—
|
|
|
—
|
|
|
4.15
|
%
|
|
—
|
|
|
|
||||||
Total
|
|
—
|
%
|
|
1.95
|
%
|
|
3.09
|
%
|
|
2.73
|
%
|
|
|
(1)
|
Yields on tax-exempt obligations have been computed on a tax-equivalent basis using a federal income tax rate of 21 percent and are adjusted to reflect the effect of the nondeductible interest expense associated with owning tax-exempt investment securities.
|
|
As of December 31
|
||||||||||||||||||
|
2019
|
|
2018
|
|
2017
|
|
2016
|
|
2015
|
||||||||||
Commercial
|
$
|
431,044
|
|
|
$
|
358,763
|
|
|
$
|
347,482
|
|
|
$
|
334,014
|
|
|
$
|
349,051
|
|
Real estate:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Construction, land and land development
|
264,193
|
|
|
245,810
|
|
|
207,451
|
|
|
205,610
|
|
|
174,602
|
|
|||||
1-4 family residential first mortgages
|
54,475
|
|
|
49,052
|
|
|
51,044
|
|
|
47,184
|
|
|
51,370
|
|
|||||
Home equity
|
12,380
|
|
|
14,469
|
|
|
13,811
|
|
|
18,057
|
|
|
21,749
|
|
|||||
Commercial
|
1,175,024
|
|
|
1,050,025
|
|
|
886,114
|
|
|
788,000
|
|
|
644,176
|
|
|||||
Consumer and other
|
6,787
|
|
|
6,211
|
|
|
6,363
|
|
|
8,355
|
|
|
6,801
|
|
|||||
Total loans
|
1,943,903
|
|
|
1,724,330
|
|
|
1,512,265
|
|
|
1,401,220
|
|
|
1,247,749
|
|
|||||
Deferred loan fees, net
|
(2,240
|
)
|
|
(2,500
|
)
|
|
(1,765
|
)
|
|
(1,350
|
)
|
|
(1,061
|
)
|
|||||
Total loans, net of deferred fees
|
$
|
1,941,663
|
|
|
$
|
1,721,830
|
|
|
$
|
1,510,500
|
|
|
$
|
1,399,870
|
|
|
$
|
1,246,688
|
|
|
|
As of December 31
|
||||||||||||||||||
|
|
2019
|
|
2018
|
||||||||||||||||
Non-owner occupied commercial real estate
|
|
Balance
|
|
% of CRE Portfolio
|
|
Weighted Average LTV
|
|
Balance
|
|
% of CRE Portfolio
|
|
Weighted Average LTV
|
||||||||
Multifamily
|
|
$
|
272,927
|
|
|
23.2
|
%
|
|
71
|
%
|
|
$
|
213,475
|
|
|
19.8
|
%
|
|
72
|
%
|
Medical & senior care facilities
|
|
204,889
|
|
|
17.4
|
%
|
|
66
|
%
|
|
188,710
|
|
|
17.5
|
%
|
|
66
|
%
|
||
Warehouse
|
|
132,249
|
|
|
11.3
|
%
|
|
71
|
%
|
|
120,560
|
|
|
11.2
|
%
|
|
73
|
%
|
||
Hotel
|
|
138,898
|
|
|
11.8
|
%
|
|
69
|
%
|
|
123,318
|
|
|
11.4
|
%
|
|
71
|
%
|
||
Mixed use
|
|
62,315
|
|
|
5.3
|
%
|
|
74
|
%
|
|
116,857
|
|
|
10.8
|
%
|
|
67
|
%
|
||
Offices
|
|
130,169
|
|
|
11.1
|
%
|
|
72
|
%
|
|
108,294
|
|
|
10.0
|
%
|
|
74
|
%
|
||
Land for development
|
|
73,382
|
|
|
6.2
|
%
|
|
64
|
%
|
|
75,307
|
|
|
7.0
|
%
|
|
65
|
%
|
||
All other
|
|
160,305
|
|
|
13.7
|
%
|
|
not available
|
|
|
132,928
|
|
|
12.3
|
%
|
|
not available
|
|
||
Total
|
|
$
|
1,175,134
|
|
|
100.0
|
%
|
|
|
|
$
|
1,079,449
|
|
|
100.0
|
%
|
|
|
|
As of December 31, 2019
|
||||||||||||||||||||||||||
|
Risk Rating
|
||||||||||||||||||||||||||
|
Total
|
|
1-3
|
|
4
|
|
5
|
|
6
|
|
7
|
|
8
|
||||||||||||||
Multifamily
|
$
|
272,927
|
|
|
$
|
24,028
|
|
|
$
|
233,257
|
|
|
$
|
15,642
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Medical & senior care facilities
|
204,889
|
|
|
101,873
|
|
|
62,340
|
|
|
30,085
|
|
|
10,591
|
|
|
—
|
|
|
—
|
|
|||||||
Warehouse
|
132,249
|
|
|
59,064
|
|
|
67,028
|
|
|
6,157
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||||
Hotel
|
138,898
|
|
|
50,585
|
|
|
88,313
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||||
Mixed use
|
62,315
|
|
|
6,028
|
|
|
52,403
|
|
|
3,884
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||||
Offices
|
130,169
|
|
|
9,473
|
|
|
113,852
|
|
|
6,844
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||||
Land for development
|
73,382
|
|
|
3,544
|
|
|
68,499
|
|
|
1,278
|
|
|
61
|
|
|
—
|
|
|
—
|
|
|||||||
All other
|
160,305
|
|
|
73,393
|
|
|
80,976
|
|
|
5,237
|
|
|
699
|
|
|
—
|
|
|
—
|
|
|||||||
Total
|
$
|
1,175,134
|
|
|
$
|
327,988
|
|
|
$
|
766,668
|
|
|
$
|
69,127
|
|
|
$
|
11,351
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Loans as of December 31, 2019
|
|
Within one
year
|
|
After one but
within five
years
|
|
After five
years
|
|
Total
|
||||||||
Commercial
|
|
$
|
179,978
|
|
|
$
|
176,643
|
|
|
$
|
74,423
|
|
|
$
|
431,044
|
|
Real estate:
|
|
|
|
|
|
|
|
|
|
|||||||
Construction, land and land development
|
|
129,163
|
|
|
109,406
|
|
|
25,624
|
|
|
264,193
|
|
||||
1-4 family residential first mortgages
|
|
11,142
|
|
|
38,257
|
|
|
5,076
|
|
|
54,475
|
|
||||
Home equity
|
|
3,914
|
|
|
8,441
|
|
|
25
|
|
|
12,380
|
|
||||
Commercial
|
|
77,669
|
|
|
580,804
|
|
|
516,551
|
|
|
1,175,024
|
|
||||
Consumer and other
|
|
2,875
|
|
|
3,912
|
|
|
—
|
|
|
6,787
|
|
||||
Total loans
|
|
$
|
404,741
|
|
|
$
|
917,463
|
|
|
$
|
621,699
|
|
|
$
|
1,943,903
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
|
|
|
|
After one but
within five
years
|
|
After five
years
|
|
|
|
|||||||
Loan maturities after one year with:
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Fixed rates
|
|
|
|
$
|
795,510
|
|
|
$
|
398,308
|
|
|
|
|
|||
Variable rates
|
|
|
|
121,953
|
|
|
223,391
|
|
|
|
|
|||||
|
|
|
|
$
|
917,463
|
|
|
$
|
621,699
|
|
|
|
|
|
Years Ended December 31
|
||||||||||||||||||
|
2019
|
|
2018
|
|
2017
|
|
2016
|
|
2015
|
||||||||||
Nonaccrual loans
|
$
|
538
|
|
|
$
|
1,928
|
|
|
$
|
622
|
|
|
$
|
1,022
|
|
|
$
|
1,381
|
|
Loans past due 90 days and still accruing interest
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Troubled debt restructured loans (1)
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
80
|
|
|||||
Total nonperforming loans
|
538
|
|
|
1,928
|
|
|
622
|
|
|
1,022
|
|
|
1,461
|
|
|||||
Other real estate owned
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Total nonperforming assets
|
$
|
538
|
|
|
$
|
1,928
|
|
|
$
|
622
|
|
|
$
|
1,022
|
|
|
$
|
1,461
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Nonperforming loans to total loans
|
0.03
|
%
|
|
0.11
|
%
|
|
0.04
|
%
|
|
0.07
|
%
|
|
0.12
|
%
|
|||||
Nonperforming assets to total assets
|
0.02
|
%
|
|
0.08
|
%
|
|
0.03
|
%
|
|
0.06
|
%
|
|
0.08
|
%
|
(1)
|
While TDR loans are commonly reported by the industry as nonperforming, those not classified in the nonaccrual category are accruing interest due to payment performance. TDR loans on nonaccrual status, if any, are included in the nonaccrual category.
|
|
Analysis of the Allowance for Loan Losses for the Years Ended December 31
|
||||||||||||||||||
|
2019
|
|
2018
|
|
2017
|
|
2016
|
|
2015
|
||||||||||
Balance at beginning of period
|
$
|
16,689
|
|
|
$
|
16,430
|
|
|
$
|
16,112
|
|
|
$
|
14,967
|
|
|
$
|
13,607
|
|
Charge-offs:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Commercial
|
(452
|
)
|
|
(208
|
)
|
|
(199
|
)
|
|
(125
|
)
|
|
(408
|
)
|
|||||
Real estate:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Construction, land and land development
|
—
|
|
|
—
|
|
|
—
|
|
|
(141
|
)
|
|
—
|
|
|||||
1-4 family residential first mortgages
|
—
|
|
|
—
|
|
|
—
|
|
|
(93
|
)
|
|
(23
|
)
|
|||||
Home equity
|
—
|
|
|
(24
|
)
|
|
(176
|
)
|
|
—
|
|
|
(2
|
)
|
|||||
Commercial
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Consumer and other
|
—
|
|
|
(3
|
)
|
|
—
|
|
|
(47
|
)
|
|
(6
|
)
|
|||||
Total charge-offs
|
(452
|
)
|
|
(235
|
)
|
|
(375
|
)
|
|
(406
|
)
|
|
(439
|
)
|
|||||
Recoveries:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Commercial
|
290
|
|
|
673
|
|
|
232
|
|
|
218
|
|
|
579
|
|
|||||
Real estate:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Construction, land and land development
|
—
|
|
|
—
|
|
|
398
|
|
|
217
|
|
|
250
|
|
|||||
1-4 family residential first mortgages
|
14
|
|
|
18
|
|
|
15
|
|
|
59
|
|
|
7
|
|
|||||
Home equity
|
74
|
|
|
24
|
|
|
28
|
|
|
36
|
|
|
87
|
|
|||||
Commercial
|
12
|
|
|
13
|
|
|
13
|
|
|
13
|
|
|
12
|
|
|||||
Consumer and other
|
8
|
|
|
16
|
|
|
7
|
|
|
8
|
|
|
14
|
|
|||||
Total recoveries
|
398
|
|
|
744
|
|
|
693
|
|
|
551
|
|
|
949
|
|
|||||
Net (charge-offs) recoveries
|
(54
|
)
|
|
509
|
|
|
318
|
|
|
145
|
|
|
510
|
|
|||||
Provision for loan losses charged to operations
|
600
|
|
|
(250
|
)
|
|
—
|
|
|
1,000
|
|
|
850
|
|
|||||
Balance at end of period
|
$
|
17,235
|
|
|
$
|
16,689
|
|
|
$
|
16,430
|
|
|
$
|
16,112
|
|
|
$
|
14,967
|
|
Average loans outstanding
|
$
|
1,799,188
|
|
|
$
|
1,553,673
|
|
|
$
|
1,443,885
|
|
|
$
|
1,336,156
|
|
|
$
|
1,213,429
|
|
Ratio of net (charge-offs) recoveries during the
|
|
|
|
|
|
|
|
|
|
||||||||||
period to average loans outstanding
|
0.00
|
%
|
|
0.03
|
%
|
|
0.02
|
%
|
|
0.01
|
%
|
|
0.04
|
%
|
|||||
Ratio of allowance for loan losses to
|
|
|
|
|
|
|
|
|
|
||||||||||
average loans outstanding
|
0.96
|
%
|
|
1.07
|
%
|
|
1.14
|
%
|
|
1.21
|
%
|
|
1.23
|
%
|
|||||
Ratio of allowance for loan losses to total
|
|
|
|
|
|
|
|
|
|
||||||||||
loans at the end of period
|
0.89
|
%
|
|
0.97
|
%
|
|
1.09
|
%
|
|
1.15
|
%
|
|
1.20
|
%
|
|
As of December 31
|
|||||||||||||||||||||||||||||||||
|
2019
|
|
2018
|
|
2017
|
|
2016
|
|
2015
|
|||||||||||||||||||||||||
|
Amount
|
|
%*
|
|
Amount
|
|
%*
|
|
Amount
|
|
%*
|
|
Amount
|
|
%*
|
|
Amount
|
|
%*
|
|||||||||||||||
Balance at end of
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
period applicable to:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial
|
$
|
3,875
|
|
|
22.17
|
%
|
|
$
|
3,508
|
|
|
20.81
|
%
|
|
$
|
3,866
|
|
|
22.98
|
%
|
|
$
|
3,881
|
|
|
23.84
|
%
|
|
$
|
4,369
|
|
|
27.97
|
%
|
Real estate:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Construction, land
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
and land development
|
2,375
|
|
|
13.59
|
%
|
|
2,384
|
|
|
14.26
|
%
|
|
2,213
|
|
|
13.72
|
%
|
|
2,639
|
|
|
14.67
|
%
|
|
2,338
|
|
|
13.99
|
%
|
|||||
1-4 family residential
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
first mortgages
|
216
|
|
|
2.80
|
%
|
|
250
|
|
|
2.84
|
%
|
|
319
|
|
|
3.38
|
%
|
|
317
|
|
|
3.37
|
%
|
|
508
|
|
|
4.12
|
%
|
|||||
Home equity
|
127
|
|
|
0.64
|
%
|
|
171
|
|
|
0.84
|
%
|
|
186
|
|
|
0.91
|
%
|
|
478
|
|
|
1.29
|
%
|
|
481
|
|
|
1.74
|
%
|
|||||
Commercial
|
10,565
|
|
|
60.45
|
%
|
|
10,301
|
|
|
60.89
|
%
|
|
9,770
|
|
|
58.59
|
%
|
|
8,697
|
|
|
56.23
|
%
|
|
7,254
|
|
|
51.63
|
%
|
|||||
Consumer and other
|
77
|
|
|
0.35
|
%
|
|
75
|
|
|
0.36
|
%
|
|
76
|
|
|
0.42
|
%
|
|
100
|
|
|
0.60
|
%
|
|
17
|
|
|
0.55
|
%
|
|||||
|
$
|
17,235
|
|
|
100.00
|
%
|
|
$
|
16,689
|
|
|
100.00
|
%
|
|
$
|
16,430
|
|
|
100.00
|
%
|
|
$
|
16,112
|
|
|
100.00
|
%
|
|
$
|
14,967
|
|
|
100.00
|
%
|
3 months or less
|
$
|
106,231
|
|
Over 3 through 6 months
|
69,348
|
|
|
Over 6 through 12 months
|
54,472
|
|
|
Over 12 months
|
25,441
|
|
|
|
$
|
255,492
|
|
|
Years ended December 31
|
|||||||||||||||||||
|
2019
|
|
2018
|
|
2017
|
|||||||||||||||
|
Average
|
|
Average
|
|
Average
|
|
Average
|
|
Average
|
|
Average
|
|||||||||
|
Balance
|
|
Rate
|
|
Balance
|
|
Rate
|
|
Balance
|
|
Rate
|
|||||||||
Noninterest-bearing demand
|
$
|
379,231
|
|
|
—
|
|
|
$
|
401,778
|
|
|
—
|
|
|
$
|
412,078
|
|
|
—
|
|
Interest-bearing demand:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Reward Me checking
|
44,206
|
|
|
0.41
|
%
|
|
51,460
|
|
|
0.26
|
%
|
|
59,797
|
|
|
0.26
|
%
|
|||
Insured cash sweep
|
79,976
|
|
|
1.20
|
%
|
|
69,588
|
|
|
0.67
|
%
|
|
74,730
|
|
|
0.28
|
%
|
|||
Other interest-bearing demand
|
194,612
|
|
|
0.28
|
%
|
|
195,964
|
|
|
0.23
|
%
|
|
188,946
|
|
|
0.18
|
%
|
|||
Money market:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Insured cash sweep
|
256,670
|
|
|
2.11
|
%
|
|
246,360
|
|
|
1.59
|
%
|
|
181,203
|
|
|
0.78
|
%
|
|||
Other money market
|
649,032
|
|
|
1.85
|
%
|
|
580,543
|
|
|
1.53
|
%
|
|
463,925
|
|
|
0.85
|
%
|
|||
Savings
|
112,513
|
|
|
0.40
|
%
|
|
122,619
|
|
|
0.42
|
%
|
|
98,563
|
|
|
0.12
|
%
|
|||
Time
|
255,770
|
|
|
2.22
|
%
|
|
184,386
|
|
|
1.46
|
%
|
|
147,232
|
|
|
0.99
|
%
|
|||
|
$
|
1,972,010
|
|
|
|
|
|
$
|
1,852,698
|
|
|
|
|
|
$
|
1,626,474
|
|
|
|
|
|
As of December 31
|
|||||||||||||||||||
|
2019
|
|
2018
|
|
2017
|
|||||||||||||||
|
Balance
|
|
Rate
|
|
Balance
|
|
Rate
|
|
Balance
|
|
Rate
|
|||||||||
Federal funds purchased
|
$
|
2,660
|
|
|
1.25
|
%
|
|
$
|
19,985
|
|
|
2.61
|
%
|
|
$
|
545
|
|
|
1.00
|
%
|
Subordinated notes, net (1)
|
20,438
|
|
|
5.07
|
%
|
|
20,425
|
|
|
4.88
|
%
|
|
20,412
|
|
|
4.81
|
%
|
|||
FHLB advances, net (1)
|
179,365
|
|
|
2.90
|
%
|
|
137,878
|
|
|
3.97
|
%
|
|
76,382
|
|
|
4.22
|
%
|
|||
Long-term debt, net
|
22,925
|
|
|
2.33
|
%
|
|
27,040
|
|
|
2.92
|
%
|
|
22,917
|
|
|
3.34
|
%
|
|||
|
$
|
225,388
|
|
|
3.00
|
%
|
|
$
|
205,328
|
|
|
3.79
|
%
|
|
$
|
120,256
|
|
|
4.14
|
%
|
|
Years Ended December 31
|
|||||||||||||||||||
|
2019
|
|
2018
|
|
2017
|
|||||||||||||||
|
Average
Balance
|
|
Average
Rate
|
|
Average
Balance
|
|
Average
Rate
|
|
Average
Balance
|
|
Average
Rate
|
|||||||||
Federal funds purchased
|
$
|
10,229
|
|
|
2.35
|
%
|
|
$
|
9,139
|
|
|
2.06
|
%
|
|
$
|
10,103
|
|
|
0.98
|
%
|
Subordinated notes, net (1)
|
20,431
|
|
|
5.01
|
%
|
|
20,418
|
|
|
5.27
|
%
|
|
20,405
|
|
|
4.42
|
%
|
|||
FHLB advances, net (1)
|
137,471
|
|
|
3.73
|
%
|
|
78,673
|
|
|
4.64
|
%
|
|
99,656
|
|
|
3.85
|
%
|
|||
Long-term debt, net
|
23,838
|
|
|
2.67
|
%
|
|
19,606
|
|
|
3.86
|
%
|
|
16,413
|
|
|
3.16
|
%
|
|||
|
$
|
191,969
|
|
|
3.66
|
%
|
|
$
|
127,836
|
|
|
4.44
|
%
|
|
$
|
146,577
|
|
|
3.65
|
%
|
|
2019
|
|
|
|
2018
|
|
|
|
2017
|
|
|
||||||
Maximum amount outstanding at any
|
|
|
|
|
|
|
|
|
|
|
|
||||||
month-end during the year:
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Federal funds purchased
|
$
|
61,545
|
|
|
|
|
$
|
51,820
|
|
|
|
|
$
|
48,925
|
|
|
|
Subordinated notes, net
|
20,438
|
|
|
|
|
20,425
|
|
|
|
|
20,412
|
|
|
|
|||
FHLB advances, net
|
179,365
|
|
|
|
|
137,878
|
|
|
|
|
101,255
|
|
|
|
|||
Long-term debt, net
|
27,030
|
|
|
|
|
27,040
|
|
|
|
|
25,483
|
|
|
|
|
|
|
Payments due by period
|
||||||||||||||||
|
Total
|
|
Less than
one year
|
|
One to
three years
|
|
Three to
five years
|
|
More than
five years
|
||||||||||
Time deposits
|
$
|
291,534
|
|
|
$
|
252,322
|
|
|
$
|
32,695
|
|
|
$
|
6,517
|
|
|
$
|
—
|
|
Federal funds purchased
|
2,660
|
|
|
2,660
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Subordinated notes
|
20,619
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
20,619
|
|
|||||
FHLB advances
|
180,000
|
|
|
180,000
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Long-term debt
|
22,925
|
|
|
1,367
|
|
|
10,072
|
|
|
—
|
|
|
11,486
|
|
|||||
Operating lease commitments
|
10,338
|
|
|
1,681
|
|
|
3,210
|
|
|
2,475
|
|
|
2,972
|
|
|||||
Total
|
$
|
528,076
|
|
|
$
|
438,030
|
|
|
$
|
45,977
|
|
|
$
|
8,992
|
|
|
$
|
35,077
|
|
West Bancorporation, Inc. and Subsidiary
Consolidated Statements of Income
Years Ended December 31, 2019, 2018 and 2017
|
||||||||||||
(dollars in thousands, except per share data)
|
|
2019
|
|
2018
|
|
2017
|
||||||
Interest income:
|
|
|
|
|
|
|
||||||
Loans, including fees
|
|
$
|
85,512
|
|
|
$
|
71,189
|
|
|
$
|
63,242
|
|
Investment securities:
|
|
|
|
|
|
|
|
|||||
Taxable
|
|
10,031
|
|
|
8,124
|
|
|
5,501
|
|
|||
Tax-exempt
|
|
2,022
|
|
|
4,993
|
|
|
3,960
|
|
|||
Federal funds sold
|
|
1,110
|
|
|
487
|
|
|
331
|
|
|||
Total interest income
|
|
98,675
|
|
|
84,793
|
|
|
73,034
|
|
|||
Interest expense:
|
|
|
|
|
|
|
|
|
||||
Deposits
|
|
25,214
|
|
|
17,064
|
|
|
7,622
|
|
|||
Federal funds purchased
|
|
241
|
|
|
188
|
|
|
99
|
|
|||
Subordinated notes
|
|
1,023
|
|
|
1,076
|
|
|
901
|
|
|||
Federal Home Loan Bank advances
|
|
5,130
|
|
|
3,650
|
|
|
3,836
|
|
|||
Long-term debt
|
|
637
|
|
|
757
|
|
|
519
|
|
|||
Total interest expense
|
|
32,245
|
|
|
22,735
|
|
|
12,977
|
|
|||
Net interest income
|
|
66,430
|
|
|
62,058
|
|
|
60,057
|
|
|||
Provision for loan losses
|
|
600
|
|
|
(250
|
)
|
|
—
|
|
|||
Net interest income after provision for loan losses
|
|
65,830
|
|
|
62,308
|
|
|
60,057
|
|
|||
Noninterest income:
|
|
|
|
|
|
|
|
|
||||
Service charges on deposit accounts
|
|
2,492
|
|
|
2,541
|
|
|
2,632
|
|
|||
Debit card usage fees
|
|
1,644
|
|
|
1,681
|
|
|
1,754
|
|
|||
Trust services
|
|
2,026
|
|
|
1,921
|
|
|
1,705
|
|
|||
Increase in cash value of bank-owned life insurance
|
|
644
|
|
|
631
|
|
|
652
|
|
|||
Gain from bank-owned life insurance
|
|
—
|
|
|
—
|
|
|
307
|
|
|||
Realized investment securities gains (losses), net
|
|
(87
|
)
|
|
(263
|
)
|
|
326
|
|
|||
Other income
|
|
1,599
|
|
|
1,241
|
|
|
1,272
|
|
|||
Total noninterest income
|
|
8,318
|
|
|
7,752
|
|
|
8,648
|
|
|||
Noninterest expense:
|
|
|
|
|
|
|
|
|
||||
Salaries and employee benefits
|
|
21,790
|
|
|
18,791
|
|
|
17,633
|
|
|||
Occupancy
|
|
5,355
|
|
|
4,996
|
|
|
4,406
|
|
|||
Data processing
|
|
2,735
|
|
|
2,682
|
|
|
2,677
|
|
|||
FDIC insurance
|
|
404
|
|
|
685
|
|
|
677
|
|
|||
Professional fees
|
|
814
|
|
|
840
|
|
|
1,075
|
|
|||
Director fees
|
|
993
|
|
|
1,014
|
|
|
950
|
|
|||
Write-down of premises
|
|
—
|
|
|
333
|
|
|
—
|
|
|||
Other expenses
|
|
6,315
|
|
|
5,651
|
|
|
4,849
|
|
|||
Total noninterest expense
|
|
38,406
|
|
|
34,992
|
|
|
32,267
|
|
|||
Income before income taxes
|
|
35,742
|
|
|
35,068
|
|
|
36,438
|
|
|||
Income taxes
|
|
7,052
|
|
|
6,560
|
|
|
13,368
|
|
|||
Net income
|
|
$
|
28,690
|
|
|
$
|
28,508
|
|
|
$
|
23,070
|
|
|
|
|
|
|
|
|
||||||
Basic earnings per common share
|
|
$
|
1.75
|
|
|
$
|
1.75
|
|
|
$
|
1.42
|
|
Diluted earnings per common share
|
|
$
|
1.74
|
|
|
$
|
1.74
|
|
|
$
|
1.41
|
|
West Bancorporation, Inc. and Subsidiary
Consolidated Statements of Comprehensive Income
Years Ended December 31, 2019, 2018 and 2017
|
||||||||||||
(dollars in thousands)
|
|
2019
|
|
2018
|
|
2017
|
||||||
Net income
|
|
$
|
28,690
|
|
|
$
|
28,508
|
|
|
$
|
23,070
|
|
Other comprehensive income (loss):
|
|
|
|
|
|
|
||||||
Unrealized gains (losses) on securities:
|
|
|
|
|
|
|
||||||
Unrealized holding gains (losses) arising during the period
|
|
12,153
|
|
|
(7,807
|
)
|
|
(1,124
|
)
|
|||
Unrealized gains on investment securities transferred from held to maturity to available for sale
|
|
—
|
|
|
363
|
|
|
—
|
|
|||
Plus: reclassification adjustment for net (gains) losses realized in net income
|
|
87
|
|
|
263
|
|
|
(326
|
)
|
|||
Less: other reclassification adjustment
|
|
—
|
|
|
(36
|
)
|
|
(268
|
)
|
|||
Income tax benefit (expense)
|
|
(3,060
|
)
|
|
1,806
|
|
|
653
|
|
|||
Other comprehensive income (loss) on available for sale securities
|
|
9,180
|
|
|
(5,411
|
)
|
|
(1,065
|
)
|
|||
Unrealized gains (losses) on derivatives:
|
|
|
|
|
|
|
||||||
Unrealized holding gains (losses) arising during the period
|
|
(7,355
|
)
|
|
1,044
|
|
|
(66
|
)
|
|||
Plus: reclassification adjustment for net (gains) losses realized in net income
|
|
(235
|
)
|
|
10
|
|
|
304
|
|
|||
Plus: reclassification adjustment for amortization of derivative termination costs realized in interest expense
|
|
93
|
|
|
95
|
|
|
109
|
|
|||
Income tax benefit (expense)
|
|
1,870
|
|
|
(290
|
)
|
|
(132
|
)
|
|||
Other comprehensive income (loss) on derivatives
|
|
(5,627
|
)
|
|
859
|
|
|
215
|
|
|||
Total other comprehensive income (loss)
|
|
3,553
|
|
|
(4,552
|
)
|
|
(850
|
)
|
|||
Comprehensive income
|
|
$
|
32,243
|
|
|
$
|
23,956
|
|
|
$
|
22,220
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accumulated
|
|
|
|||||||||||||
|
|
|
|
|
|
|
|
Additional
|
|
|
|
Other
|
|
|
|||||||||||||
|
|
Preferred
|
|
Common Stock
|
|
Paid-in
|
|
Retained
|
|
Comprehensive
|
|
|
|||||||||||||||
(in thousands, except share and per share data)
|
|
Stock
|
|
Shares
|
|
Amount
|
|
Capital
|
|
Earnings
|
|
Income (Loss)
|
|
Total
|
|||||||||||||
Balance, December 31, 2016
|
|
$
|
—
|
|
|
16,137,999
|
|
|
$
|
3,000
|
|
|
$
|
21,462
|
|
|
$
|
141,956
|
|
|
$
|
(1,042
|
)
|
|
$
|
165,376
|
|
Net income
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
23,070
|
|
|
—
|
|
|
23,070
|
|
||||||
Other comprehensive loss, net of tax
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(850
|
)
|
|
(850
|
)
|
||||||
Cash dividends declared, $0.71 per common share
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(11,499
|
)
|
|
—
|
|
|
(11,499
|
)
|
||||||
Stock-based compensation costs
|
|
—
|
|
|
—
|
|
|
—
|
|
|
2,632
|
|
|
—
|
|
|
—
|
|
|
2,632
|
|
||||||
Issuance of common stock upon vesting of restricted stock units, net of shares withheld for payroll taxes
|
|
—
|
|
|
77,673
|
|
|
—
|
|
|
(631
|
)
|
|
—
|
|
|
—
|
|
|
(631
|
)
|
||||||
Balance, December 31, 2017
|
|
—
|
|
|
16,215,672
|
|
|
3,000
|
|
|
23,463
|
|
|
153,527
|
|
|
(1,892
|
)
|
|
178,098
|
|
||||||
Reclassification of stranded tax effects of rate change
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
370
|
|
|
(370
|
)
|
|
—
|
|
||||||
Net income
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
28,508
|
|
|
—
|
|
|
28,508
|
|
||||||
Other comprehensive loss, net of tax
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(4,552
|
)
|
|
(4,552
|
)
|
||||||
Cash dividends declared, $0.78 per common share
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(12,696
|
)
|
|
—
|
|
|
(12,696
|
)
|
||||||
Stock-based compensation costs
|
|
—
|
|
|
—
|
|
|
—
|
|
|
2,741
|
|
|
—
|
|
|
—
|
|
|
2,741
|
|
||||||
Issuance of common stock upon vesting of restricted stock units, net of shares withheld for payroll taxes
|
|
—
|
|
|
79,822
|
|
|
—
|
|
|
(1,076
|
)
|
|
—
|
|
|
—
|
|
|
(1,076
|
)
|
||||||
Balance, December 31, 2018
|
|
—
|
|
|
16,295,494
|
|
|
3,000
|
|
|
25,128
|
|
|
169,709
|
|
|
(6,814
|
)
|
|
191,023
|
|
||||||
Net income
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
28,690
|
|
|
—
|
|
|
28,690
|
|
||||||
Other comprehensive income, net of tax
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
3,553
|
|
|
3,553
|
|
||||||
Cash dividends declared, $0.83 per common share
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(13,578
|
)
|
|
—
|
|
|
(13,578
|
)
|
||||||
Stock-based compensation costs
|
|
—
|
|
|
—
|
|
|
—
|
|
|
2,993
|
|
|
—
|
|
|
—
|
|
|
2,993
|
|
||||||
Issuance of common stock upon vesting of restricted stock units, net of shares withheld for payroll taxes
|
|
—
|
|
|
84,258
|
|
|
—
|
|
|
(861
|
)
|
|
—
|
|
|
—
|
|
|
(861
|
)
|
||||||
Balance, December 31, 2019
|
|
$
|
—
|
|
|
16,379,752
|
|
|
$
|
3,000
|
|
|
$
|
27,260
|
|
|
$
|
184,821
|
|
|
$
|
(3,261
|
)
|
|
$
|
211,820
|
|
West Bancorporation, Inc. and Subsidiary
Consolidated Statements of Cash Flows
Years Ended December 31, 2019, 2018 and 2017
|
||||||||||||
(dollars in thousands)
|
|
2019
|
|
2018
|
|
2017
|
||||||
Cash Flows from Operating Activities:
|
|
|
|
|
|
|
||||||
Net income
|
|
$
|
28,690
|
|
|
$
|
28,508
|
|
|
$
|
23,070
|
|
Adjustments to reconcile net income to net cash provided by
operating activities:
|
|
|
|
|
|
|
||||||
Provision for loan losses
|
|
600
|
|
|
(250
|
)
|
|
—
|
|
|||
Net amortization and accretion
|
|
3,640
|
|
|
4,945
|
|
|
4,155
|
|
|||
Investment securities (gains) losses, net
|
|
87
|
|
|
263
|
|
|
(326
|
)
|
|||
Stock-based compensation
|
|
2,993
|
|
|
2,741
|
|
|
2,632
|
|
|||
Increase in cash value of bank-owned life insurance
|
|
(644
|
)
|
|
(631
|
)
|
|
(652
|
)
|
|||
Gain from bank-owned life insurance
|
|
—
|
|
|
—
|
|
|
(307
|
)
|
|||
Gain on sale of premises
|
|
(307
|
)
|
|
—
|
|
|
—
|
|
|||
Depreciation
|
|
1,429
|
|
|
1,408
|
|
|
1,347
|
|
|||
Write-down of premises
|
|
—
|
|
|
333
|
|
|
—
|
|
|||
Deferred income taxes
|
|
(33
|
)
|
|
(359
|
)
|
|
2,833
|
|
|||
Change in assets and liabilities:
|
|
|
|
|
|
|
|
|||||
(Increase) decrease in accrued interest receivable
|
|
497
|
|
|
(287
|
)
|
|
(2,023
|
)
|
|||
(Increase) decrease in other assets
|
|
(1,029
|
)
|
|
(2,490
|
)
|
|
131
|
|
|||
Increase (decrease) in accrued expenses and other liabilities
|
|
1,044
|
|
|
563
|
|
|
(1,503
|
)
|
|||
Net cash provided by operating activities
|
|
36,967
|
|
|
34,744
|
|
|
29,357
|
|
|||
Cash Flows from Investing Activities:
|
|
|
|
|
|
|
|
|
||||
Proceeds from sales of investment securities available for sale
|
|
198,699
|
|
|
75,401
|
|
|
108,584
|
|
|||
Proceeds from maturities and calls of investment securities
|
|
46,755
|
|
|
45,937
|
|
|
47,781
|
|
|||
Purchases of investment securities available for sale
|
|
(180,168
|
)
|
|
(96,170
|
)
|
|
(341,012
|
)
|
|||
Purchases of Federal Home Loan Bank stock
|
|
(26,559
|
)
|
|
(16,334
|
)
|
|
(19,414
|
)
|
|||
Proceeds from redemption of Federal Home Loan Bank stock
|
|
26,105
|
|
|
13,471
|
|
|
21,011
|
|
|||
Net increase in loans
|
|
(219,887
|
)
|
|
(210,821
|
)
|
|
(110,312
|
)
|
|||
Purchases of premises and equipment
|
|
(1,048
|
)
|
|
(210
|
)
|
|
(1,055
|
)
|
|||
Proceeds from sale of premises
|
|
604
|
|
|
—
|
|
|
—
|
|
|||
Proceeds of principal and earnings from bank-owned life insurance
|
|
—
|
|
|
—
|
|
|
452
|
|
|||
Net cash used in investing activities
|
|
(155,499
|
)
|
|
(188,726
|
)
|
|
(293,965
|
)
|
|||
Cash Flows from Financing Activities:
|
|
|
|
|
|
|
||||||
Net increase in deposits
|
|
120,227
|
|
|
83,716
|
|
|
264,208
|
|
|||
Net increase (decrease) in federal funds purchased
|
|
(17,325
|
)
|
|
19,440
|
|
|
(9,145
|
)
|
|||
Proceeds from long-term debt
|
|
—
|
|
|
11,486
|
|
|
22,000
|
|
|||
Net increase (decrease) in Federal Home Loan Bank advances
|
|
40,000
|
|
|
60,000
|
|
|
(25,000
|
)
|
|||
Principal payments on long-term debt
|
|
(4,115
|
)
|
|
(7,363
|
)
|
|
(4,212
|
)
|
|||
Common stock dividends paid
|
|
(13,578
|
)
|
|
(12,696
|
)
|
|
(11,499
|
)
|
|||
Restricted stock units withheld for payroll taxes
|
|
(861
|
)
|
|
(1,076
|
)
|
|
(631
|
)
|
|||
Net cash provided by financing activities
|
|
124,348
|
|
|
153,507
|
|
|
235,721
|
|
|||
Net increase (decrease) in cash and cash equivalents
|
|
5,816
|
|
|
(475
|
)
|
|
(28,887
|
)
|
|||
Cash and Cash Equivalents:
|
|
|
|
|
|
|
||||||
Beginning
|
|
47,474
|
|
|
47,949
|
|
|
76,836
|
|
|||
Ending
|
|
$
|
53,290
|
|
|
$
|
47,474
|
|
|
$
|
47,949
|
|
|
|
|
|
|
|
|
||||||
Supplemental Disclosure of Cash Flow Information:
|
|
|
|
|
|
|
||||||
Cash payments for:
|
|
|
|
|
|
|
||||||
Interest
|
|
$
|
31,492
|
|
|
$
|
22,154
|
|
|
$
|
12,520
|
|
Income taxes
|
|
5,880
|
|
|
7,312
|
|
|
9,300
|
|
|||
|
|
|
|
|
|
|
||||||
Supplemental Disclosure of Noncash Investing Activities:
|
|
|
|
|
|
|
||||||
Establishment of lease liabilities and right-of-use assets
|
|
$
|
10,435
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Transfer of investment securities held to maturity to available for sale
|
|
—
|
|
|
45,527
|
|
|
—
|
|
(in thousands, except per share data)
|
2019
|
|
2018
|
|
2017
|
||||||
Net income
|
$
|
28,690
|
|
|
$
|
28,508
|
|
|
$
|
23,070
|
|
|
|
|
|
|
|
|
|
|
|||
Weighted average common shares outstanding
|
16,359
|
|
|
16,275
|
|
|
16,194
|
|
|||
Weighted average effect of restricted stock units outstanding
|
121
|
|
|
125
|
|
|
141
|
|
|||
Diluted weighted average common shares outstanding
|
16,480
|
|
|
16,400
|
|
|
16,335
|
|
|||
|
|
|
|
|
|
|
|
|
|||
Basic earnings per common share
|
$
|
1.75
|
|
|
$
|
1.75
|
|
|
$
|
1.42
|
|
Diluted earnings per common share
|
$
|
1.74
|
|
|
$
|
1.74
|
|
|
$
|
1.41
|
|
Number of anti-dilutive common stock equivalents excluded from diluted earnings per share computation
|
105
|
|
|
103
|
|
|
—
|
|
|
2019
|
||||||||||||||
|
Amortized
Cost
|
|
Gross Unrealized
Gains
|
|
Gross Unrealized
Losses
|
|
Fair
Value
|
||||||||
Securities available for sale:
|
|
|
|
|
|
|
|
||||||||
State and political subdivisions
|
$
|
45,442
|
|
|
$
|
1,736
|
|
|
$
|
—
|
|
|
$
|
47,178
|
|
Collateralized mortgage obligations (1)
|
180,899
|
|
|
1,651
|
|
|
(629
|
)
|
|
181,921
|
|
||||
Mortgage-backed securities (1)
|
73,038
|
|
|
225
|
|
|
(233
|
)
|
|
73,030
|
|
||||
Asset-backed securities (2)
|
17,551
|
|
|
66
|
|
|
(17
|
)
|
|
17,600
|
|
||||
Collateralized loan obligations
|
64,939
|
|
|
21
|
|
|
(128
|
)
|
|
64,832
|
|
||||
Corporate notes
|
15,300
|
|
|
—
|
|
|
(1,283
|
)
|
|
14,017
|
|
||||
|
$
|
397,169
|
|
|
$
|
3,699
|
|
|
$
|
(2,290
|
)
|
|
$
|
398,578
|
|
|
2018
|
||||||||||||||
|
Amortized
Cost
|
|
Gross Unrealized
Gains
|
|
Gross Unrealized
Losses
|
|
Fair
Value
|
||||||||
Securities available for sale:
|
|
|
|
|
|
|
|
||||||||
State and political subdivisions
|
$
|
152,293
|
|
|
$
|
156
|
|
|
$
|
(3,293
|
)
|
|
$
|
149,156
|
|
Collateralized mortgage obligations (1)
|
161,392
|
|
|
—
|
|
|
(4,388
|
)
|
|
157,004
|
|
||||
Mortgage-backed securities (1)
|
64,813
|
|
|
—
|
|
|
(1,435
|
)
|
|
63,378
|
|
||||
Asset-backed securities (2)
|
32,076
|
|
|
2
|
|
|
(175
|
)
|
|
31,903
|
|
||||
Trust preferred security
|
2,153
|
|
|
—
|
|
|
(253
|
)
|
|
1,900
|
|
||||
Corporate notes
|
51,862
|
|
|
124
|
|
|
(1,569
|
)
|
|
50,417
|
|
||||
|
$
|
464,589
|
|
|
$
|
282
|
|
|
$
|
(11,113
|
)
|
|
$
|
453,758
|
|
(1)
|
All collateralized mortgage obligations and mortgage-backed securities consist of residential mortgage pass-through securities and real estate mortgage investment conduits guaranteed by FNMA, FHLMC or GNMA, and commercial mortgage pass-through securities guaranteed by the SBA.
|
(2)
|
Pass-through asset-backed securities guaranteed by the SBA, representing participating interests in pools of commercial working capital and equipment loans.
|
|
2019
|
||||||
|
Amortized Cost
|
|
Fair Value
|
||||
Due after one year through five years
|
$
|
9,938
|
|
|
$
|
9,947
|
|
Due after five years through ten years
|
71,451
|
|
|
70,063
|
|
||
Due after ten years
|
44,292
|
|
|
46,017
|
|
||
|
125,681
|
|
|
126,027
|
|
||
Collateralized mortgage obligations, mortgage-backed and asset-backed securities
|
271,488
|
|
|
272,551
|
|
||
|
$
|
397,169
|
|
|
$
|
398,578
|
|
|
2019
|
|
2018
|
|
2017
|
||||||
Proceeds from sales
|
$
|
198,699
|
|
|
$
|
75,401
|
|
|
$
|
108,584
|
|
Gross gains on sales
|
1,046
|
|
|
101
|
|
|
752
|
|
|||
Gross losses on sales
|
1,133
|
|
|
364
|
|
|
426
|
|
|
|
2019
|
||||||||||||||||||||||
|
|
Less than 12 months
|
|
12 months or longer
|
|
Total
|
||||||||||||||||||
|
|
Fair
Value
|
|
Gross Unrealized
Losses
|
|
Fair
Value
|
|
Gross Unrealized
Losses
|
|
Fair
Value
|
|
Gross Unrealized
Losses
|
||||||||||||
Securities available for sale:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Collateralized mortgage obligations
|
|
$
|
54,521
|
|
|
$
|
(335
|
)
|
|
$
|
35,546
|
|
|
$
|
(294
|
)
|
|
$
|
90,067
|
|
|
$
|
(629
|
)
|
Mortgage-backed securities
|
|
45,132
|
|
|
(174
|
)
|
|
4,687
|
|
|
(59
|
)
|
|
49,819
|
|
|
(233
|
)
|
||||||
Asset-backed securities
|
|
3,641
|
|
|
(4
|
)
|
|
7,075
|
|
|
(13
|
)
|
|
10,716
|
|
|
(17
|
)
|
||||||
Collateralized loan obligations
|
|
42,823
|
|
|
(128
|
)
|
|
—
|
|
|
—
|
|
|
42,823
|
|
|
(128
|
)
|
||||||
Corporate notes
|
|
4,499
|
|
|
(501
|
)
|
|
9,518
|
|
|
(782
|
)
|
|
14,017
|
|
|
(1,283
|
)
|
||||||
|
|
$
|
150,616
|
|
|
$
|
(1,142
|
)
|
|
$
|
56,826
|
|
|
$
|
(1,148
|
)
|
|
$
|
207,442
|
|
|
$
|
(2,290
|
)
|
|
|
2018
|
||||||||||||||||||||||
|
|
Less than 12 months
|
|
12 months or longer
|
|
Total
|
||||||||||||||||||
|
|
Fair
Value
|
|
Gross Unrealized
Losses
|
|
Fair
Value
|
|
Gross Unrealized
Losses
|
|
Fair
Value
|
|
Gross Unrealized
Losses
|
||||||||||||
Securities available for sale:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
State and political subdivisions
|
|
$
|
21,264
|
|
|
$
|
(221
|
)
|
|
$
|
102,853
|
|
|
$
|
(3,072
|
)
|
|
$
|
124,117
|
|
|
$
|
(3,293
|
)
|
Collateralized mortgage obligations
|
|
32,230
|
|
|
(250
|
)
|
|
124,774
|
|
|
(4,138
|
)
|
|
157,004
|
|
|
(4,388
|
)
|
||||||
Mortgage-backed securities
|
|
10,960
|
|
|
(103
|
)
|
|
52,418
|
|
|
(1,332
|
)
|
|
63,378
|
|
|
(1,435
|
)
|
||||||
Asset-backed securities
|
|
6,668
|
|
|
(31
|
)
|
|
16,486
|
|
|
(144
|
)
|
|
23,154
|
|
|
(175
|
)
|
||||||
Trust preferred security
|
|
—
|
|
|
—
|
|
|
1,900
|
|
|
(253
|
)
|
|
1,900
|
|
|
(253
|
)
|
||||||
Corporate notes
|
|
19,470
|
|
|
(611
|
)
|
|
19,041
|
|
|
(958
|
)
|
|
38,511
|
|
|
(1,569
|
)
|
||||||
|
|
$
|
90,592
|
|
|
$
|
(1,216
|
)
|
|
$
|
317,472
|
|
|
$
|
(9,897
|
)
|
|
$
|
408,064
|
|
|
$
|
(11,113
|
)
|
|
2019
|
|
2018
|
||||
Commercial
|
$
|
431,044
|
|
|
$
|
358,763
|
|
Real estate:
|
|
|
|
|
|||
Construction, land and land development
|
264,193
|
|
|
245,810
|
|
||
1-4 family residential first mortgages
|
54,475
|
|
|
49,052
|
|
||
Home equity
|
12,380
|
|
|
14,469
|
|
||
Commercial
|
1,175,024
|
|
|
1,050,025
|
|
||
Consumer and other
|
6,787
|
|
|
6,211
|
|
||
|
1,943,903
|
|
|
1,724,330
|
|
||
Net unamortized fees and costs
|
(2,240
|
)
|
|
(2,500
|
)
|
||
|
$
|
1,941,663
|
|
|
$
|
1,721,830
|
|
|
2019
|
|
2018
|
||||
Balance, beginning of year
|
$
|
153,476
|
|
|
$
|
165,097
|
|
New loans
|
4,934
|
|
|
9,387
|
|
||
Repayments
|
(24,749
|
)
|
|
(21,008
|
)
|
||
Balance, end of year
|
$
|
133,661
|
|
|
$
|
153,476
|
|
|
|
December 31, 2019
|
|
December 31, 2018
|
||||||||||||||||||||
|
|
Recorded
Investment
|
|
Unpaid
Principal
Balance
|
|
Related
Allowance
|
|
Recorded
Investment
|
|
Unpaid
Principal
Balance
|
|
Related
Allowance
|
||||||||||||
With no related allowance recorded:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial
|
|
$
|
91
|
|
|
$
|
91
|
|
|
$
|
—
|
|
|
$
|
1,014
|
|
|
$
|
1,014
|
|
|
$
|
—
|
|
Real estate:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Construction, land and land development
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
1-4 family residential first mortgages
|
|
411
|
|
|
411
|
|
|
—
|
|
|
106
|
|
|
106
|
|
|
—
|
|
||||||
Home equity
|
|
31
|
|
|
31
|
|
|
—
|
|
|
41
|
|
|
41
|
|
|
—
|
|
||||||
Commercial
|
|
5
|
|
|
5
|
|
|
—
|
|
|
652
|
|
|
652
|
|
|
—
|
|
||||||
Consumer and other
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
|
|
538
|
|
|
538
|
|
|
—
|
|
|
1,813
|
|
|
1,813
|
|
|
—
|
|
||||||
With an allowance recorded:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial
|
|
—
|
|
|
—
|
|
|
—
|
|
|
15
|
|
|
15
|
|
|
15
|
|
||||||
Real estate:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Construction, land and land development
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
1-4 family residential first mortgages
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Home equity
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Commercial
|
|
—
|
|
|
—
|
|
|
—
|
|
|
100
|
|
|
100
|
|
|
100
|
|
||||||
Consumer and other
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
|
|
—
|
|
|
—
|
|
|
—
|
|
|
115
|
|
|
115
|
|
|
115
|
|
||||||
Total:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial
|
|
91
|
|
|
91
|
|
|
—
|
|
|
1,029
|
|
|
1,029
|
|
|
15
|
|
||||||
Real estate:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Construction, land and land development
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
1-4 family residential first mortgages
|
|
411
|
|
|
411
|
|
|
—
|
|
|
106
|
|
|
106
|
|
|
—
|
|
||||||
Home equity
|
|
31
|
|
|
31
|
|
|
—
|
|
|
41
|
|
|
41
|
|
|
—
|
|
||||||
Commercial
|
|
5
|
|
|
5
|
|
|
—
|
|
|
752
|
|
|
752
|
|
|
100
|
|
||||||
Consumer and other
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Total impaired loans
|
|
$
|
538
|
|
|
$
|
538
|
|
|
$
|
—
|
|
|
$
|
1,928
|
|
|
$
|
1,928
|
|
|
$
|
115
|
|
|
|
December 31, 2019
|
|
December 31, 2018
|
|
December 31, 2017
|
||||||||||||||||||
|
|
Average Recorded Investment
|
|
Interest Income Recognized
|
|
Average Recorded Investment
|
|
Interest Income Recognized
|
|
Average Recorded Investment
|
|
Interest Income Recognized
|
||||||||||||
With no related allowance recorded:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial
|
|
$
|
687
|
|
|
$
|
39
|
|
|
$
|
738
|
|
|
$
|
—
|
|
|
$
|
19
|
|
|
$
|
—
|
|
Real estate:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Construction, land and
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
land development
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
1-4 family residential first mortgages
|
|
73
|
|
|
6
|
|
|
113
|
|
|
—
|
|
|
99
|
|
|
—
|
|
||||||
Home equity
|
|
34
|
|
|
2
|
|
|
122
|
|
|
6
|
|
|
39
|
|
|
2
|
|
||||||
Commercial
|
|
384
|
|
|
22
|
|
|
600
|
|
|
—
|
|
|
276
|
|
|
—
|
|
||||||
Consumer and other
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
|
|
1,178
|
|
|
69
|
|
|
1,573
|
|
|
6
|
|
|
433
|
|
|
2
|
|
||||||
With an allowance recorded:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial
|
|
7
|
|
|
—
|
|
|
1
|
|
|
—
|
|
|
60
|
|
|
7
|
|
||||||
Real estate:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Construction, land and
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
land development
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
1-4 family residential first mortgages
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Home equity
|
|
—
|
|
|
—
|
|
|
15
|
|
|
—
|
|
|
177
|
|
|
1
|
|
||||||
Commercial
|
|
58
|
|
|
6
|
|
|
109
|
|
|
—
|
|
|
127
|
|
|
—
|
|
||||||
Consumer and other
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
|
|
65
|
|
|
6
|
|
|
125
|
|
|
—
|
|
|
364
|
|
|
8
|
|
||||||
Total:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial
|
|
694
|
|
|
39
|
|
|
739
|
|
|
—
|
|
|
79
|
|
|
7
|
|
||||||
Real estate:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Construction, land and
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
land development
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
1-4 family residential first mortgages
|
|
73
|
|
|
6
|
|
|
113
|
|
|
—
|
|
|
99
|
|
|
—
|
|
||||||
Home equity
|
|
34
|
|
|
2
|
|
|
137
|
|
|
6
|
|
|
216
|
|
|
3
|
|
||||||
Commercial
|
|
442
|
|
|
28
|
|
|
709
|
|
|
—
|
|
|
403
|
|
|
—
|
|
||||||
Consumer and other
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Total impaired loans
|
|
$
|
1,243
|
|
|
$
|
75
|
|
|
$
|
1,698
|
|
|
$
|
6
|
|
|
$
|
797
|
|
|
$
|
10
|
|
|
|
December 31, 2019
|
||||||||||||||||||||||||||
|
|
30-59
Days Past
Due
|
|
60-89 Days Past Due
|
|
90 Days or More Past Due
|
|
Total
Past Due
|
|
Current
|
|
Nonaccrual Loans
|
|
Total Loans
|
||||||||||||||
Commercial
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
430,953
|
|
|
$
|
91
|
|
|
$
|
431,044
|
|
Real estate:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Construction, land and
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
land development
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
264,193
|
|
|
—
|
|
|
264,193
|
|
|||||||
1-4 family residential
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
first mortgages
|
|
76
|
|
|
—
|
|
|
—
|
|
|
76
|
|
|
53,988
|
|
|
411
|
|
|
54,475
|
|
|||||||
Home equity
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
12,349
|
|
|
31
|
|
|
12,380
|
|
|||||||
Commercial
|
|
—
|
|
|
152
|
|
|
—
|
|
|
152
|
|
|
1,174,867
|
|
|
5
|
|
|
1,175,024
|
|
|||||||
Consumer and other
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
6,787
|
|
|
—
|
|
|
6,787
|
|
|||||||
Total
|
|
$
|
76
|
|
|
$
|
152
|
|
|
$
|
—
|
|
|
$
|
228
|
|
|
$
|
1,943,137
|
|
|
$
|
538
|
|
|
$
|
1,943,903
|
|
|
|
December 31, 2018
|
||||||||||||||||||||||||||
|
|
30-59
Days Past
Due
|
|
60-89 Days Past Due
|
|
90 Days or More Past Due
|
|
Total
Past Due
|
|
Current
|
|
Nonaccrual Loans
|
|
Total Loans
|
||||||||||||||
Commercial
|
|
$
|
54
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
54
|
|
|
$
|
357,680
|
|
|
$
|
1,029
|
|
|
$
|
358,763
|
|
Real estate:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Construction, land and
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
land development
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
245,810
|
|
|
—
|
|
|
245,810
|
|
|||||||
1-4 family residential
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
first mortgages
|
|
157
|
|
|
—
|
|
|
—
|
|
|
157
|
|
|
48,789
|
|
|
106
|
|
|
49,052
|
|
|||||||
Home equity
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
14,428
|
|
|
41
|
|
|
14,469
|
|
|||||||
Commercial
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
1,049,273
|
|
|
752
|
|
|
1,050,025
|
|
|||||||
Consumer and other
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
6,211
|
|
|
—
|
|
|
6,211
|
|
|||||||
Total
|
|
$
|
211
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
211
|
|
|
$
|
1,722,191
|
|
|
$
|
1,928
|
|
|
$
|
1,724,330
|
|
|
|
December 31, 2019
|
||||||||||||||||||
|
|
Pass
|
|
Watch
|
|
Substandard
|
|
Doubtful
|
|
Total
|
||||||||||
Commercial
|
|
$
|
410,070
|
|
|
$
|
18,680
|
|
|
$
|
2,294
|
|
|
$
|
—
|
|
|
$
|
431,044
|
|
Real estate:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Construction, land and land development
|
|
264,132
|
|
|
61
|
|
|
—
|
|
|
—
|
|
|
264,193
|
|
|||||
1-4 family residential first mortgages
|
|
52,168
|
|
|
1,841
|
|
|
466
|
|
|
—
|
|
|
54,475
|
|
|||||
Home equity
|
|
12,349
|
|
|
—
|
|
|
31
|
|
|
—
|
|
|
12,380
|
|
|||||
Commercial
|
|
1,146,472
|
|
|
28,475
|
|
|
77
|
|
|
—
|
|
|
1,175,024
|
|
|||||
Consumer and other
|
|
6,787
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
6,787
|
|
|||||
Total
|
|
$
|
1,891,978
|
|
|
$
|
49,057
|
|
|
$
|
2,868
|
|
|
$
|
—
|
|
|
$
|
1,943,903
|
|
|
|
December 31, 2018
|
||||||||||||||||||
|
|
Pass
|
|
Watch
|
|
Substandard
|
|
Doubtful
|
|
Total
|
||||||||||
Commercial
|
|
$
|
336,861
|
|
|
$
|
19,886
|
|
|
$
|
2,016
|
|
|
$
|
—
|
|
|
$
|
358,763
|
|
Real estate:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Construction, land and land development
|
|
245,810
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
245,810
|
|
|||||
1-4 family residential first mortgages
|
|
47,923
|
|
|
963
|
|
|
166
|
|
|
—
|
|
|
49,052
|
|
|||||
Home equity
|
|
14,352
|
|
|
46
|
|
|
71
|
|
|
—
|
|
|
14,469
|
|
|||||
Commercial
|
|
1,019,256
|
|
|
29,063
|
|
|
1,706
|
|
|
—
|
|
|
1,050,025
|
|
|||||
Consumer and other
|
|
6,186
|
|
|
—
|
|
|
25
|
|
|
—
|
|
|
6,211
|
|
|||||
Total
|
|
$
|
1,670,388
|
|
|
$
|
49,958
|
|
|
$
|
3,984
|
|
|
$
|
—
|
|
|
$
|
1,724,330
|
|
|
2019
|
||||||||||||||||||||||||||
|
|
|
Real Estate
|
|
|
|
|
||||||||||||||||||||
|
Commercial
|
|
Construction and Land
|
|
1-4 Family Residential
|
|
Home Equity
|
|
Commercial
|
|
Consumer and Other
|
|
Total
|
||||||||||||||
Beginning balance
|
$
|
3,508
|
|
|
$
|
2,384
|
|
|
$
|
250
|
|
|
$
|
171
|
|
|
$
|
10,301
|
|
|
$
|
75
|
|
|
$
|
16,689
|
|
Charge-offs
|
(452
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(452
|
)
|
|||||||
Recoveries
|
290
|
|
|
—
|
|
|
14
|
|
|
74
|
|
|
12
|
|
|
8
|
|
|
398
|
|
|||||||
Provision (1)
|
529
|
|
|
(9
|
)
|
|
(48
|
)
|
|
(118
|
)
|
|
252
|
|
|
(6
|
)
|
|
600
|
|
|||||||
Ending balance
|
$
|
3,875
|
|
|
$
|
2,375
|
|
|
$
|
216
|
|
|
$
|
127
|
|
|
$
|
10,565
|
|
|
$
|
77
|
|
|
$
|
17,235
|
|
|
2018
|
||||||||||||||||||||||||||
|
|
|
Real Estate
|
|
|
|
|
||||||||||||||||||||
|
Commercial
|
|
Construction and Land
|
|
1-4 Family Residential
|
|
Home Equity
|
|
Commercial
|
|
Consumer and Other
|
|
Total
|
||||||||||||||
Beginning balance
|
$
|
3,866
|
|
|
$
|
2,213
|
|
|
$
|
319
|
|
|
$
|
186
|
|
|
$
|
9,770
|
|
|
$
|
76
|
|
|
$
|
16,430
|
|
Charge-offs
|
(208
|
)
|
|
—
|
|
|
—
|
|
|
(24
|
)
|
|
—
|
|
|
(3
|
)
|
|
(235
|
)
|
|||||||
Recoveries
|
673
|
|
|
—
|
|
|
18
|
|
|
24
|
|
|
13
|
|
|
16
|
|
|
744
|
|
|||||||
Provision (1)
|
(823
|
)
|
|
171
|
|
|
(87
|
)
|
|
(15
|
)
|
|
518
|
|
|
(14
|
)
|
|
(250
|
)
|
|||||||
Ending balance
|
$
|
3,508
|
|
|
$
|
2,384
|
|
|
$
|
250
|
|
|
$
|
171
|
|
|
$
|
10,301
|
|
|
$
|
75
|
|
|
$
|
16,689
|
|
|
2017
|
||||||||||||||||||||||||||
|
|
|
Real Estate
|
|
|
|
|
||||||||||||||||||||
|
Commercial
|
|
Construction and Land
|
|
1-4 Family Residential
|
|
Home Equity
|
|
Commercial
|
|
Consumer and Other
|
|
Total
|
||||||||||||||
Beginning balance
|
$
|
3,881
|
|
|
$
|
2,639
|
|
|
$
|
317
|
|
|
$
|
478
|
|
|
$
|
8,697
|
|
|
$
|
100
|
|
|
$
|
16,112
|
|
Charge-offs
|
(199
|
)
|
|
—
|
|
|
—
|
|
|
(176
|
)
|
|
—
|
|
|
—
|
|
|
(375
|
)
|
|||||||
Recoveries
|
232
|
|
|
398
|
|
|
15
|
|
|
28
|
|
|
13
|
|
|
7
|
|
|
693
|
|
|||||||
Provision (1)
|
(48
|
)
|
|
(824
|
)
|
|
(13
|
)
|
|
(144
|
)
|
|
1,060
|
|
|
(31
|
)
|
|
—
|
|
|||||||
Ending balance
|
$
|
3,866
|
|
|
$
|
2,213
|
|
|
$
|
319
|
|
|
$
|
186
|
|
|
$
|
9,770
|
|
|
$
|
76
|
|
|
$
|
16,430
|
|
(1)
|
The negative provisions for the various segments are either related to the decline in outstanding balances in each of those portfolio segments during the time periods disclosed and/or improvement in the credit quality factors related to those portfolio segments.
|
|
December 31, 2019
|
||||||||||||||||||||||||||
|
|
|
Real Estate
|
|
|
|
|
||||||||||||||||||||
|
Commercial
|
|
Construction and Land
|
|
1-4 Family Residential
|
|
Home Equity
|
|
Commercial
|
|
Consumer and Other
|
|
Total
|
||||||||||||||
Ending balance:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Individually evaluated for impairment
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Collectively evaluated for impairment
|
3,875
|
|
|
2,375
|
|
|
216
|
|
|
127
|
|
|
10,565
|
|
|
77
|
|
|
17,235
|
|
|||||||
Total
|
$
|
3,875
|
|
|
$
|
2,375
|
|
|
$
|
216
|
|
|
$
|
127
|
|
|
$
|
10,565
|
|
|
$
|
77
|
|
|
$
|
17,235
|
|
|
December 31, 2018
|
||||||||||||||||||||||||||
|
|
|
Real Estate
|
|
|
|
|
||||||||||||||||||||
|
Commercial
|
|
Construction and Land
|
|
1-4 Family Residential
|
|
Home Equity
|
|
Commercial
|
|
Consumer and Other
|
|
Total
|
||||||||||||||
Ending balance:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Individually evaluated for impairment
|
$
|
15
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
100
|
|
|
$
|
—
|
|
|
$
|
115
|
|
Collectively evaluated for impairment
|
3,493
|
|
|
2,384
|
|
|
250
|
|
|
171
|
|
|
10,201
|
|
|
75
|
|
|
16,574
|
|
|||||||
Total
|
$
|
3,508
|
|
|
$
|
2,384
|
|
|
$
|
250
|
|
|
$
|
171
|
|
|
$
|
10,301
|
|
|
$
|
75
|
|
|
$
|
16,689
|
|
|
December 31, 2019
|
||||||||||||||||||||||||||
|
|
|
Real Estate
|
|
|
|
|
||||||||||||||||||||
|
Commercial
|
|
Construction and Land
|
|
1-4 Family Residential
|
|
Home Equity
|
|
Commercial
|
|
Consumer and Other
|
|
Total
|
||||||||||||||
Ending balance:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Individually evaluated for impairment
|
$
|
91
|
|
|
$
|
—
|
|
|
$
|
411
|
|
|
$
|
31
|
|
|
$
|
5
|
|
|
$
|
—
|
|
|
$
|
538
|
|
Collectively evaluated for impairment
|
430,953
|
|
|
264,193
|
|
|
54,064
|
|
|
12,349
|
|
|
1,175,019
|
|
|
6,787
|
|
|
1,943,365
|
|
|||||||
Total
|
$
|
431,044
|
|
|
$
|
264,193
|
|
|
$
|
54,475
|
|
|
$
|
12,380
|
|
|
$
|
1,175,024
|
|
|
$
|
6,787
|
|
|
$
|
1,943,903
|
|
|
December 31, 2018
|
||||||||||||||||||||||||||
|
|
|
Real Estate
|
|
|
|
|
||||||||||||||||||||
|
Commercial
|
|
Construction and Land
|
|
1-4 Family Residential
|
|
Home Equity
|
|
Commercial
|
|
Consumer and Other
|
|
Total
|
||||||||||||||
Ending balance:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Individually evaluated for impairment
|
$
|
1,029
|
|
|
$
|
—
|
|
|
$
|
106
|
|
|
$
|
41
|
|
|
$
|
752
|
|
|
$
|
—
|
|
|
$
|
1,928
|
|
Collectively evaluated for impairment
|
357,734
|
|
|
245,810
|
|
|
48,946
|
|
|
14,428
|
|
|
1,049,273
|
|
|
6,211
|
|
|
1,722,402
|
|
|||||||
Total
|
$
|
358,763
|
|
|
$
|
245,810
|
|
|
$
|
49,052
|
|
|
$
|
14,469
|
|
|
$
|
1,050,025
|
|
|
$
|
6,211
|
|
|
$
|
1,724,330
|
|
|
2019
|
|
2018
|
||||
Land
|
$
|
4,176
|
|
|
$
|
4,323
|
|
Buildings
|
13,834
|
|
|
14,120
|
|
||
Right-of-use assets under operating leases
|
8,870
|
|
|
—
|
|
||
Leasehold improvements
|
3,963
|
|
|
3,941
|
|
||
Furniture and equipment
|
8,592
|
|
|
7,927
|
|
||
|
39,435
|
|
|
30,311
|
|
||
Accumulated depreciation
|
(9,755
|
)
|
|
(8,820
|
)
|
||
|
$
|
29,680
|
|
|
$
|
21,491
|
|
2020
|
$
|
1,681
|
|
2021
|
1,627
|
|
|
2022
|
1,583
|
|
|
2023
|
1,565
|
|
|
2024
|
910
|
|
|
Thereafter
|
2,972
|
|
|
Total lease payments
|
10,338
|
|
|
Less: present value discount
|
(1,236
|
)
|
|
Present value of lease liabilities
|
$
|
9,102
|
|
2020
|
$
|
252,322
|
|
2021
|
23,614
|
|
|
2022
|
9,081
|
|
|
2023
|
4,959
|
|
|
2024
|
1,558
|
|
|
|
$
|
291,534
|
|
|
|
|
December 31, 2019
|
|
December 31, 2018
|
||||||||||||||||
|
|
|
|
|
Weighted
|
|
Weighted
|
|
|
|
Weighted
|
|
Weighted
|
||||||||
|
|
|
|
|
Average
|
|
Average
|
|
|
|
Average
|
|
Average
|
||||||||
|
|
|
|
|
Contractual
|
|
Effective
|
|
|
|
Contractual
|
|
Effective
|
||||||||
|
|
|
Balance
|
|
Rate
|
|
Rate (1)
|
|
Balance
|
|
Rate
|
|
Rate (1)
|
||||||||
Fixed-rate advances maturing:
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
|
2019
|
|
$
|
—
|
|
|
—
|
|
|
—
|
|
|
$
|
60,000
|
|
|
2.69
|
%
|
|
2.69
|
%
|
|
2020
|
|
125,000
|
|
|
1.87
|
%
|
|
2.21
|
%
|
|
—
|
|
|
—
|
|
|
—
|
|
||
Variable-rate advances maturing:
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
|
2019
|
|
—
|
|
|
—
|
|
|
—
|
|
|
25,000
|
|
|
3.08
|
%
|
|
5.03
|
%
|
||
|
2020
|
|
55,000
|
|
|
2.27
|
%
|
|
4.46
|
%
|
|
55,000
|
|
|
3.14
|
%
|
|
4.85
|
%
|
||
|
|
|
180,000
|
|
|
1.99
|
%
|
|
2.90
|
%
|
|
140,000
|
|
|
2.94
|
%
|
|
3.97
|
%
|
||
Discount for modification
|
|
(635
|
)
|
|
|
|
|
|
(2,122
|
)
|
|
|
|
|
|||||||
FHLB advances, net of discount
|
|
$
|
179,365
|
|
|
|
|
|
|
$
|
137,878
|
|
|
|
|
|
(1)
|
The effective interest rate includes adjustments for discount amortization and interest rate swap terms, if applicable.
|
2020
|
$
|
1,367
|
|
2021
|
2,537
|
|
|
2022
|
7,535
|
|
|
2023
|
—
|
|
|
2024
|
—
|
|
|
Thereafter
|
11,486
|
|
|
|
$
|
22,925
|
|
|
|
Notional
Amount
|
|
Fair Value
|
|
Balance Sheet
Category
|
|
Weighted Average Floating Rate Received
|
|
Weighted Average Fixed Rate Paid
|
|
Weighted Average Maturity - Years
|
||||||
December 31, 2019
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Interest rate swaps
|
|
$
|
215,000
|
|
|
$
|
(5,786
|
)
|
|
Other Liabilities
|
|
1.84
|
%
|
|
2.26
|
%
|
|
5.5
|
Interest rate swaps
|
|
70,000
|
|
|
403
|
|
|
Other Assets
|
|
2.62
|
%
|
|
2.37
|
%
|
|
5.2
|
||
Forward starting interest rate swaps(1)
|
|
50,000
|
|
|
(343
|
)
|
|
Other Liabilities
|
|
—
|
|
|
1.74
|
%
|
|
6.1
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
December 31, 2018
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Interest rate swaps
|
|
$
|
110,000
|
|
|
$
|
1,863
|
|
|
Other Assets
|
|
3.22
|
%
|
|
2.82
|
%
|
|
5.7
|
|
|
|
Amount of Pretax Gain (Loss) Recognized in OCI
|
|
Reclassified from AOCI into Income
|
||||||
|
|
|
|
||||||||
Years Ended:
|
|
|
|
Category
|
|
Amount of Gain (Loss)
|
|||||
December 31, 2019
|
|
|
$
|
(7,355
|
)
|
|
Interest Expense
|
|
$
|
142
|
|
December 31, 2018
|
|
|
$
|
1,044
|
|
|
Interest Expense
|
|
$
|
(105
|
)
|
December 31, 2017
|
|
|
$
|
(66
|
)
|
|
Interest Expense
|
|
$
|
(413
|
)
|
|
2019
|
|
2018
|
|
2017
|
||||||
Current:
|
|
|
|
|
|
||||||
Federal
|
$
|
5,112
|
|
|
$
|
5,012
|
|
|
$
|
8,822
|
|
State
|
1,973
|
|
|
1,907
|
|
|
1,713
|
|
|||
Deferred:
|
|
|
|
|
|
|
|
||||
Federal
|
(17
|
)
|
|
(277
|
)
|
|
2,527
|
|
|||
State
|
(16
|
)
|
|
(82
|
)
|
|
306
|
|
|||
Income taxes
|
$
|
7,052
|
|
|
$
|
6,560
|
|
|
$
|
13,368
|
|
|
2019
|
|
2018
|
|
2017
|
|||||||||||||||
|
Amount
|
|
Percent
of Pretax
Income
|
|
Amount
|
|
Percent
of Pretax
Income
|
|
Amount
|
|
Percent
of Pretax
Income
|
|||||||||
Computed expected tax expense
|
$
|
7,506
|
|
|
21.0
|
%
|
|
$
|
7,364
|
|
|
21.0
|
%
|
|
$
|
12,753
|
|
|
35.0
|
%
|
State income tax expense, net of
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
federal income tax benefit
|
1,543
|
|
|
4.3
|
%
|
|
1,425
|
|
|
4.1
|
%
|
|
1,146
|
|
|
3.2
|
%
|
|||
Tax-exempt interest income
|
(804
|
)
|
|
(2.2
|
)%
|
|
(1,390
|
)
|
|
(4.0
|
)%
|
|
(2,023
|
)
|
|
(5.6
|
)%
|
|||
Nondeductible interest expense to
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
own tax-exempt securities
|
183
|
|
|
0.5
|
%
|
|
231
|
|
|
0.7
|
%
|
|
152
|
|
|
0.4
|
%
|
|||
Tax-exempt increase in cash value of
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
life insurance and gains
|
(135
|
)
|
|
(0.4
|
)%
|
|
(132
|
)
|
|
(0.4
|
)%
|
|
(336
|
)
|
|
(0.9
|
)%
|
|||
Stock compensation
|
(13
|
)
|
|
—
|
|
|
(219
|
)
|
|
(0.6
|
)%
|
|
(261
|
)
|
|
(0.7
|
)%
|
|||
Effect of change in federal
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
income tax rate
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
2,340
|
|
|
6.4
|
%
|
|||
Amended tax returns
|
—
|
|
|
—
|
|
|
222
|
|
|
0.6
|
%
|
|
—
|
|
|
—
|
|
|||
Federal income tax credits
|
(1,265
|
)
|
|
(3.5
|
)%
|
|
(1,140
|
)
|
|
(3.3
|
)%
|
|
(410
|
)
|
|
(1.1
|
)%
|
|||
Other, net
|
37
|
|
|
0.1
|
%
|
|
199
|
|
|
0.6
|
%
|
|
7
|
|
|
—
|
|
|||
Income taxes
|
$
|
7,052
|
|
|
19.8
|
%
|
|
$
|
6,560
|
|
|
18.7
|
%
|
|
$
|
13,368
|
|
|
36.7
|
%
|
|
2019
|
|
2018
|
||||
Deferred tax assets:
|
|
|
|
||||
Allowance for loan losses
|
$
|
4,309
|
|
|
$
|
4,172
|
|
Net unrealized losses on securities available for sale
|
—
|
|
|
2,708
|
|
||
Net unrealized losses on interest rate swaps
|
1,441
|
|
|
—
|
|
||
Lease liabilities
|
2,275
|
|
|
—
|
|
||
Accrued expenses
|
297
|
|
|
346
|
|
||
Restricted stock unit compensation
|
832
|
|
|
704
|
|
||
State net operating loss carryforward
|
1,114
|
|
|
1,021
|
|
||
Capital loss carryforward
|
3
|
|
|
—
|
|
||
Other
|
53
|
|
|
67
|
|
||
|
10,324
|
|
|
9,018
|
|
||
Deferred tax liabilities:
|
|
|
|
|
|
||
Right-of-use assets
|
2,218
|
|
|
—
|
|
||
Deferred loan costs
|
218
|
|
|
183
|
|
||
Net unrealized gains on securities available for sale
|
352
|
|
|
—
|
|
||
Net unrealized gains on interest rate swaps
|
—
|
|
|
429
|
|
||
Premises and equipment
|
839
|
|
|
694
|
|
||
Other
|
219
|
|
|
173
|
|
||
|
3,846
|
|
|
1,479
|
|
||
Net deferred tax assets before valuation allowance
|
6,478
|
|
|
7,539
|
|
||
Valuation allowance for deferred tax assets
|
(1,117
|
)
|
|
(1,021
|
)
|
||
Net deferred tax assets
|
$
|
5,361
|
|
|
$
|
6,518
|
|
|
2019
|
|
2018
|
|
2017
|
|||||||||||||||
|
|
|
Weighted
|
|
|
|
Weighted
|
|
|
|
Weighted
|
|||||||||
|
|
|
Average
|
|
|
|
Average
|
|
|
|
Average
|
|||||||||
|
|
|
Grant Date
|
|
|
|
Grant Date
|
|
|
|
Grant Date
|
|||||||||
|
|
|
Fair Value
|
|
|
|
Fair Value
|
|
|
|
Fair Value
|
|||||||||
(actual amounts, not in thousands)
|
Shares
|
|
Per Share
|
|
Shares
|
|
Per Share
|
|
Shares
|
|
Per Share
|
|||||||||
Nonvested shares, beginning balance
|
354,350
|
|
|
$
|
22.13
|
|
|
339,300
|
|
|
$
|
19.55
|
|
|
307,268
|
|
|
$
|
17.46
|
|
Granted
|
154,000
|
|
|
20.00
|
|
|
136,500
|
|
|
25.81
|
|
|
138,500
|
|
|
22.06
|
|
|||
Vested
|
(127,750
|
)
|
|
21.38
|
|
|
(121,450
|
)
|
|
19.05
|
|
|
(106,468
|
)
|
|
16.79
|
|
|||
Forfeited
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||
Nonvested shares, ending balance
|
380,600
|
|
|
$
|
21.52
|
|
|
354,350
|
|
|
$
|
22.13
|
|
|
339,300
|
|
|
$
|
19.55
|
|
|
|
|
Unrealized
|
|
Accumulated
|
||||||
|
Unrealized
|
|
Gains
|
|
Other
|
||||||
|
Gains (Losses)
|
|
(Losses) on
|
|
Comprehensive
|
||||||
|
on Securities
|
|
Derivatives
|
|
Income (Loss)
|
||||||
Balance, December 31, 2016
|
$
|
(1,172
|
)
|
|
$
|
130
|
|
|
$
|
(1,042
|
)
|
Other comprehensive loss before reclassifications
|
(697
|
)
|
|
(41
|
)
|
|
(738
|
)
|
|||
Amounts reclassified from accumulated other
|
|
|
|
|
|
||||||
comprehensive income
|
(368
|
)
|
|
256
|
|
|
(112
|
)
|
|||
Net current period other comprehensive income (loss)
|
(1,065
|
)
|
|
215
|
|
|
(850
|
)
|
|||
Balance, December 31, 2017
|
(2,237
|
)
|
|
345
|
|
|
(1,892
|
)
|
|||
Transfer of securities held to maturity to securities available for sale
|
273
|
|
|
—
|
|
|
273
|
|
|||
Other comprehensive income (loss) before reclassifications
|
(5,856
|
)
|
|
784
|
|
|
(5,072
|
)
|
|||
Amounts reclassified from accumulated other
|
|
|
|
|
|
||||||
comprehensive income
|
172
|
|
|
75
|
|
|
247
|
|
|||
Net current period other comprehensive income (loss)
|
(5,411
|
)
|
|
859
|
|
|
(4,552
|
)
|
|||
Reclassification of stranded tax effects
|
(475
|
)
|
|
105
|
|
|
(370
|
)
|
|||
Balance, December 31, 2018
|
(8,123
|
)
|
|
1,309
|
|
|
(6,814
|
)
|
|||
Other comprehensive income (loss) before reclassifications
|
9,115
|
|
|
(5,517
|
)
|
|
3,598
|
|
|||
Amounts reclassified from accumulated other
|
|
|
|
|
|
||||||
comprehensive income
|
65
|
|
|
(110
|
)
|
|
(45
|
)
|
|||
Net current period other comprehensive income (loss)
|
9,180
|
|
|
(5,627
|
)
|
|
3,553
|
|
|||
Balance, December 31, 2019
|
$
|
1,057
|
|
|
$
|
(4,318
|
)
|
|
$
|
(3,261
|
)
|
|
2019
|
|
2018
|
||||
Commitments to extend credit
|
$
|
672,117
|
|
|
$
|
641,581
|
|
Standby letters of credit
|
8,029
|
|
|
6,631
|
|
||
|
$
|
680,146
|
|
|
$
|
648,212
|
|
|
|
2019
|
||||||||||||||
Description
|
|
Total
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
||||||||
Financial assets:
|
|
|
|
|
|
|
|
|
||||||||
Investment securities available for sale:
|
|
|
|
|
|
|
|
|
||||||||
State and political subdivisions
|
|
$
|
47,178
|
|
|
$
|
—
|
|
|
$
|
47,178
|
|
|
$
|
—
|
|
Collateralized mortgage obligations
|
|
181,921
|
|
|
—
|
|
|
181,921
|
|
|
—
|
|
||||
Mortgage-backed securities
|
|
73,030
|
|
|
—
|
|
|
73,030
|
|
|
—
|
|
||||
Asset-backed securities
|
|
17,600
|
|
|
—
|
|
|
17,600
|
|
|
—
|
|
||||
Collateralized loan obligations
|
|
64,832
|
|
|
—
|
|
|
64,832
|
|
|
—
|
|
||||
Corporate notes
|
|
14,017
|
|
|
—
|
|
|
14,017
|
|
|
—
|
|
||||
Derivative instrument, interest rate swaps
|
|
403
|
|
|
—
|
|
|
403
|
|
|
—
|
|
||||
|
|
|
|
|
|
|
|
|
||||||||
Financial liabilities:
|
|
|
|
|
|
|
|
|
||||||||
Derivative instrument, interest rate swap
|
|
$
|
6,129
|
|
|
$
|
—
|
|
|
$
|
6,129
|
|
|
$
|
—
|
|
|
|
2018
|
||||||||||||||
Description
|
|
Total
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
||||||||
Financial assets:
|
|
|
|
|
|
|
|
|
||||||||
Investment securities available for sale:
|
|
|
|
|
|
|
|
|
||||||||
State and political subdivisions
|
|
$
|
149,156
|
|
|
$
|
—
|
|
|
$
|
149,156
|
|
|
$
|
—
|
|
Collateralized mortgage obligations
|
|
157,004
|
|
|
—
|
|
|
157,004
|
|
|
—
|
|
||||
Mortgage-backed securities
|
|
63,378
|
|
|
—
|
|
|
63,378
|
|
|
—
|
|
||||
Asset-backed securities
|
|
31,903
|
|
|
—
|
|
|
31,903
|
|
|
—
|
|
||||
Trust preferred security
|
|
1,900
|
|
|
—
|
|
|
1,900
|
|
|
—
|
|
||||
Corporate notes
|
|
50,417
|
|
|
—
|
|
|
50,417
|
|
|
—
|
|
||||
Derivative instrument, interest rate swap
|
|
1,863
|
|
|
—
|
|
|
1,863
|
|
|
—
|
|
|
|
|
2019
|
|
2018
|
||||||||||||
|
Fair Value
Hierarchy Level
|
|
Carrying
Amount
|
|
Approximate
Fair Value
|
|
Carrying
Amount
|
|
Approximate
Fair Value
|
||||||||
Financial assets:
|
|
|
|
|
|
|
|
|
|
||||||||
Cash and due from banks
|
Level 1
|
|
$
|
37,808
|
|
|
$
|
37,808
|
|
|
$
|
46,369
|
|
|
$
|
46,369
|
|
Federal funds sold
|
Level 1
|
|
15,482
|
|
|
15,482
|
|
|
1,105
|
|
|
1,105
|
|
||||
Investment securities available for sale
|
Level 2
|
|
398,578
|
|
|
398,578
|
|
|
453,758
|
|
|
453,758
|
|
||||
Federal Home Loan Bank stock
|
Level 1
|
|
12,491
|
|
|
12,491
|
|
|
12,037
|
|
|
12,037
|
|
||||
Loans, net
|
Level 2
|
|
1,924,428
|
|
|
1,941,208
|
|
|
1,705,141
|
|
|
1,688,700
|
|
||||
Accrued interest receivable
|
Level 1
|
|
7,134
|
|
|
7,134
|
|
|
7,631
|
|
|
7,631
|
|
||||
Interest rate swaps
|
Level 2
|
|
403
|
|
|
403
|
|
|
1,863
|
|
|
1,863
|
|
||||
Financial liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Deposits
|
Level 2
|
|
$
|
2,014,756
|
|
|
$
|
2,015,427
|
|
|
$
|
1,894,529
|
|
|
$
|
1,893,621
|
|
Federal funds purchased
|
Level 1
|
|
2,660
|
|
|
2,660
|
|
|
19,985
|
|
|
19,985
|
|
||||
Subordinated notes, net
|
Level 2
|
|
20,438
|
|
|
18,568
|
|
|
20,425
|
|
|
15,498
|
|
||||
Federal Home Loan Bank advances, net
|
Level 2
|
|
179,365
|
|
|
179,365
|
|
|
137,878
|
|
|
137,878
|
|
||||
Long-term debt, net
|
Level 2
|
|
22,925
|
|
|
22,910
|
|
|
27,040
|
|
|
27,000
|
|
||||
Accrued interest payable
|
Level 1
|
|
2,070
|
|
|
2,070
|
|
|
1,317
|
|
|
1,317
|
|
||||
Interest rate swap
|
Level 2
|
|
6,129
|
|
|
6,129
|
|
|
—
|
|
|
—
|
|
||||
Off-balance-sheet financial instruments:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Commitments to extend credit
|
Level 3
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Standby letters of credit
|
Level 3
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
Statements of Income
|
||||||||||||
Years Ended December 31, 2019, 2018 and 2017
|
||||||||||||
|
|
2019
|
|
2018
|
|
2017
|
||||||
Operating income:
|
|
|
|
|
|
|
||||||
Equity in net income of West Bank
|
|
$
|
30,205
|
|
|
$
|
30,282
|
|
|
$
|
23,933
|
|
Equity in net income of West Bancorporation Capital Trust I
|
|
35
|
|
|
33
|
|
|
27
|
|
|||
Intercompany rental income
|
|
—
|
|
|
—
|
|
|
333
|
|
|||
Other rental income
|
|
—
|
|
|
—
|
|
|
21
|
|
|||
Total operating income
|
|
30,240
|
|
|
30,315
|
|
|
24,314
|
|
|||
Operating expenses:
|
|
|
|
|
|
|
||||||
Interest on subordinated notes
|
|
1,022
|
|
|
1,076
|
|
|
901
|
|
|||
Interest on long-term debt
|
|
519
|
|
|
750
|
|
|
517
|
|
|||
Occupancy
|
|
—
|
|
|
—
|
|
|
187
|
|
|||
Other expenses
|
|
498
|
|
|
530
|
|
|
602
|
|
|||
Total operating expenses
|
|
2,039
|
|
|
2,356
|
|
|
2,207
|
|
|||
Income before income taxes
|
|
28,201
|
|
|
27,959
|
|
|
22,107
|
|
|||
Income tax benefits
|
|
(489
|
)
|
|
(549
|
)
|
|
(963
|
)
|
|||
Net income
|
|
$
|
28,690
|
|
|
$
|
28,508
|
|
|
$
|
23,070
|
|
Statements of Cash Flows
|
||||||||||||
Years Ended December 31, 2019, 2018 and 2017
|
||||||||||||
|
|
2019
|
|
2018
|
|
2017
|
||||||
Cash Flows from Operating Activities:
|
|
|
|
|
|
|
||||||
Net income
|
|
$
|
28,690
|
|
|
$
|
28,508
|
|
|
$
|
23,070
|
|
Adjustments to reconcile net income to net cash provided by
|
|
|
|
|
|
|
|
|
||||
operating activities:
|
|
|
|
|
|
|
|
|
||||
Equity in net income of West Bank
|
|
(30,205
|
)
|
|
(30,282
|
)
|
|
(23,933
|
)
|
|||
Equity in net income of West Bancorporation Capital Trust I
|
|
(35
|
)
|
|
(33
|
)
|
|
(27
|
)
|
|||
Dividends received from West Bank
|
|
19,200
|
|
|
22,300
|
|
|
16,800
|
|
|||
Dividends received from West Bancorporation Capital Trust I
|
|
35
|
|
|
33
|
|
|
27
|
|
|||
Amortization
|
|
13
|
|
|
13
|
|
|
17
|
|
|||
Depreciation
|
|
—
|
|
|
—
|
|
|
178
|
|
|||
Deferred income taxes
|
|
43
|
|
|
—
|
|
|
(240
|
)
|
|||
Change in assets and liabilities:
|
|
|
|
|
|
|
||||||
Decrease in other assets
|
|
28
|
|
|
107
|
|
|
50
|
|
|||
Increase (decrease) in accrued expenses and other liabilities
|
|
(20
|
)
|
|
25
|
|
|
(549
|
)
|
|||
Net cash provided by operating activities
|
|
17,749
|
|
|
20,671
|
|
|
15,393
|
|
|||
Cash Flows from Investing Activities:
|
|
|
|
|
|
|
|
|
|
|||
Proceeds from sales of premises
|
|
—
|
|
|
—
|
|
|
18,032
|
|
|||
Purchases of premises
|
|
—
|
|
|
—
|
|
|
(16
|
)
|
|||
Capital contribution to West Bank
|
|
—
|
|
|
—
|
|
|
(40,000
|
)
|
|||
Net cash used in investing activities
|
|
—
|
|
|
—
|
|
|
(21,984
|
)
|
|||
Cash Flows from Financing Activities:
|
|
|
|
|
|
|
|
|
|
|||
Proceeds from long-term debt
|
|
—
|
|
|
—
|
|
|
22,000
|
|
|||
Principal payments on long-term debt
|
|
(4,000
|
)
|
|
(7,250
|
)
|
|
(4,629
|
)
|
|||
Common stock cash dividends
|
|
(13,578
|
)
|
|
(12,696
|
)
|
|
(11,499
|
)
|
|||
Net cash provided by (used in) financing activities
|
|
(17,578
|
)
|
|
(19,946
|
)
|
|
5,872
|
|
|||
Net increase (decrease) in cash
|
|
171
|
|
|
725
|
|
|
(719
|
)
|
|||
Cash:
|
|
|
|
|
|
|
|
|||||
Beginning
|
|
3,951
|
|
|
3,226
|
|
|
3,945
|
|
|||
Ending
|
|
$
|
4,122
|
|
|
$
|
3,951
|
|
|
$
|
3,226
|
|
|
|
|
|
|
|
|
|
|
2019
|
||||||||||||||
Three months ended
|
|
March 31
|
|
June 30
|
|
September 30
|
|
December 31
|
||||||||
Interest income
|
|
$
|
23,651
|
|
|
$
|
24,335
|
|
|
$
|
25,612
|
|
|
$
|
25,077
|
|
Interest expense
|
|
7,762
|
|
|
8,297
|
|
|
8,496
|
|
|
7,690
|
|
||||
Net interest income
|
|
15,889
|
|
|
16,038
|
|
|
17,116
|
|
|
17,387
|
|
||||
Provision for loan losses
|
|
—
|
|
|
—
|
|
|
300
|
|
|
300
|
|
||||
Net interest income after provision for loan losses
|
|
15,889
|
|
|
16,038
|
|
|
16,816
|
|
|
17,087
|
|
||||
Noninterest income
|
|
2,119
|
|
|
1,999
|
|
|
2,158
|
|
|
2,042
|
|
||||
Noninterest expense
|
|
9,544
|
|
|
9,750
|
|
|
9,536
|
|
|
9,576
|
|
||||
Income before income taxes
|
|
8,464
|
|
|
8,287
|
|
|
9,438
|
|
|
9,553
|
|
||||
Income taxes
|
|
1,565
|
|
|
1,629
|
|
|
1,912
|
|
|
1,946
|
|
||||
Net income
|
|
$
|
6,899
|
|
|
$
|
6,658
|
|
|
$
|
7,526
|
|
|
$
|
7,607
|
|
|
|
|
|
|
|
|
|
|
||||||||
Basic earnings per common share
|
|
$
|
0.42
|
|
|
$
|
0.41
|
|
|
$
|
0.46
|
|
|
$
|
0.46
|
|
Diluted earnings per common share
|
|
$
|
0.42
|
|
|
$
|
0.41
|
|
|
$
|
0.46
|
|
|
$
|
0.46
|
|
|
|
2018
|
||||||||||||||
Three months ended
|
|
March 31
|
|
June 30
|
|
September 30
|
|
December 31
|
||||||||
Interest income
|
|
$
|
19,730
|
|
|
$
|
20,537
|
|
|
$
|
21,920
|
|
|
$
|
22,606
|
|
Interest expense
|
|
4,314
|
|
|
5,238
|
|
|
6,233
|
|
|
6,950
|
|
||||
Net interest income
|
|
15,416
|
|
|
15,299
|
|
|
15,687
|
|
|
15,656
|
|
||||
Provision for loan losses
|
|
150
|
|
|
—
|
|
|
(400
|
)
|
|
—
|
|
||||
Net interest income after provision for loan losses
|
|
15,266
|
|
|
15,299
|
|
|
16,087
|
|
|
15,656
|
|
||||
Noninterest income
|
|
1,913
|
|
|
2,023
|
|
|
2,114
|
|
|
1,702
|
|
||||
Noninterest expense
|
|
8,287
|
|
|
8,958
|
|
|
8,561
|
|
|
9,186
|
|
||||
Income before income taxes
|
|
8,892
|
|
|
8,364
|
|
|
9,640
|
|
|
8,172
|
|
||||
Income taxes
|
|
1,508
|
|
|
1,600
|
|
|
2,507
|
|
|
945
|
|
||||
Net income
|
|
$
|
7,384
|
|
|
$
|
6,764
|
|
|
$
|
7,133
|
|
|
$
|
7,227
|
|
|
|
|
|
|
|
|
|
|
||||||||
Basic earnings per common share
|
|
$
|
0.46
|
|
|
$
|
0.42
|
|
|
$
|
0.44
|
|
|
$
|
0.44
|
|
Diluted earnings per common share
|
|
$
|
0.45
|
|
|
$
|
0.41
|
|
|
$
|
0.43
|
|
|
$
|
0.44
|
|
|
|
Number of shares to be
|
|
Weighted-average
|
|
Number of shares remaining available
|
|
|||
|
|
issued upon exercise of
|
|
exercise price of
|
|
for future issuance under equity
|
|
|||
|
|
outstanding options,
|
|
outstanding options,
|
|
compensation plans (excluding shares
|
|
|||
|
|
warrants and rights
|
|
warrants and rights
|
|
reflected in column (a))
|
|
|||
Plan Category
|
|
(a)
|
|
(b)
|
|
(c)
|
|
|||
Equity compensation plans
|
|
|
|
|
|
|
|
|||
approved by stockholders (1)
|
|
380,600
|
|
|
—
|
|
|
485,500
|
|
(2)
|
Equity compensation plans not
|
|
|
|
|
|
|
|
|||
approved by stockholders
|
|
—
|
|
|
—
|
|
|
—
|
|
|
Total
|
|
380,600
|
|
|
—
|
|
|
485,500
|
|
|
(1)
|
Includes the West Bancorporation, Inc. 2012 Equity Incentive Plan approved by stockholders on April 26, 2012, and the West Bancorporation, Inc. 2017 Equity Incentive Plan approved by stockholders on April 27, 2017.
|
(2)
|
Reflects the number of shares available for issuance under the West Bancorporation, Inc. 2017 Equity Incentive Plan as nonqualified and incentive stock options, stock appreciation rights and stock awards.
|
(a)
|
1. Financial Statements
|
3.1
|
Restatement of the Restated Articles of Incorporation of West Bancorporation, Inc. (incorporated herein by reference to Exhibit 3.1 filed with the Form 10-K on March 1, 2017)
|
3.2
|
Amended and Restated Bylaws of West Bancorporation, Inc. as of January 23, 2019 (incorporated herein by reference to Exhibit 3.1 filed with the Form 8-K on January 24, 2019)
|
4
|
|
10.1*
|
West Bancorporation, Inc. 2012 Equity Incentive Plan (incorporated herein by reference to Exhibit A of the definitive proxy statement on Schedule 14A filed on March 7, 2012)
|
10.2*
|
Form of Restricted Stock Unit Award Agreement under the West Bancorporation, Inc. 2012 Equity Incentive Plan (incorporated herein by reference to Exhibit 10.1 filed with the Form 10-Q on April 26, 2012)
|
10.3*
|
Employment Agreement dated July 23, 2012, between West Bancorporation, Inc. and David D. Nelson (incorporated herein by reference to Exhibit 10.1 filed with the Form 8-K on July 25, 2012)
|
10.4*
|
Employment Agreement dated July 23, 2012, between West Bancorporation, Inc. and Brad L. Winterbottom (incorporated herein by reference to Exhibit 10.2 filed with the Form 8-K on July 25, 2012)
|
10.5*
|
Employment Agreement dated July 23, 2012, between West Bancorporation, Inc. and Harlee N. Olafson (incorporated herein by reference to Exhibit 10.3 filed with the Form 8-K on July 25, 2012)
|
10.6*
|
Employment Agreement dated July 23, 2012, between West Bancorporation, Inc. and Douglas R. Gulling (incorporated herein by reference to Exhibit 10.4 filed with the Form 8-K on July 25, 2012)
|
10.7*
|
West Bancorporation, Inc. Deferred Compensation Plan (incorporated herein by reference to Exhibit 10.1 filed with the Form 8-K on October 29, 2012)
|
10.8*
|
West Bancorporation, Inc. Employee Savings and Stock Ownership Plan, as amended (incorporated herein by reference to Exhibit 10.20 filed with the Form 10-K on March 6, 2014)
|
10.9*
|
West Bancorporation, Inc. 2017 Equity Incentive Plan (incorporated herein by reference to Exhibit A of the definitive proxy statement on Schedule 14A filed on March 1, 2017)
|
10.10*
|
Form of Restricted Stock Unit Award Agreement under the West Bancorporation, Inc. 2017 Equity Incentive Plan (incorporated herein by reference to Exhibit 4.2 filed with the Form S-8 on April 28, 2017)
|
10.11*
|
Form of Restricted Stock Award Agreement under the West Bancorporation, Inc. 2017 Equity Incentive Plan (incorporated herein by reference to Exhibit 4.3 filed with the Form S-8 on April 28, 2017)
|
10.12*
|
Form of Nonqualified Stock Option Award Agreement under the West Bancorporation, Inc. 2017 Equity Incentive Plan (incorporated herein by reference to Exhibit 4.4 filed with the Form S-8 on April 28, 2017)
|
10.13*
|
Form of Incentive Stock Option Award Agreement under the West Bancorporation, Inc. 2017 Equity Incentive Plan (incorporated herein by reference to Exhibit 4.5 filed with the Form S-8 on April 28, 2017)
|
10.14*
|
Form of Stock Appreciation Right Award Agreement under the West Bancorporation, Inc. 2017 Equity Incentive Plan (incorporated herein by reference to Exhibit 4.6 filed with the Form S-8 on April 28, 2017)
|
10.15*
|
First Amendment to the West Bancorporation, Inc. 2012 Equity Incentive Plan dated April 26, 2017 (incorporated herein by reference to Exhibit 10.15 filed with the Form 10-K on March 1, 2018)
|
10.16
|
Amended and Restated Lease Agreement Dated February 20, 2018 (incorporated herein by reference to Exhibit 10.16 filed with the Form 10-K on March 1, 2018)
|
21
|
|
23
|
|
31.1
|
|
31.2
|
|
32.1
|
|
32.2
|
101.INS
|
XBRL Instance Document
|
101.SCH
|
XBRL Taxonomy Extension Schema Document
|
101.CAL
|
XBRL Taxonomy Extension Calculation Linkbase Document
|
101.DEF
|
XBRL Taxonomy Extension Definition Linkbase Document
|
101.LAB
|
XBRL Taxonomy Extension Label Linkbase Document
|
101.PRE
|
XBRL Taxonomy Extension Presentation Linkbase Document
|
* Indicates management contract or compensatory plan or arrangement.
|
February 27, 2020
|
By:
|
/s/ David D. Nelson
|
|
|
David D. Nelson
|
|
|
Chief Executive Officer and President
|
February 27, 2020
|
By:
|
/s/ David D. Nelson
|
|
|
David D. Nelson
|
|
|
Chief Executive Officer, Director and President
|
|
|
(Principal Executive Officer and Director)
|
|
|
|
|
|
|
February 27, 2020
|
By:
|
/s/ Douglas R. Gulling
|
|
|
Douglas R. Gulling
|
|
|
Executive Vice President, Treasurer and Chief Financial Officer
|
|
|
(Principal Financial Officer)
|
|
|
|
|
|
|
February 27, 2020
|
By:
|
/s/ Jane M. Funk
|
|
|
Jane M. Funk
|
|
|
Senior Vice President, Controller and Chief Accounting Officer
|
|
|
(Principal Accounting Officer)
|
|
|
|
BOARD OF DIRECTORS
|
|
|
|
|
|
February 27, 2020
|
By:
|
/s/ James W. Noyce
|
|
|
James W. Noyce
|
|
|
Chairman of the Board
|
|
|
|
|
|
|
February 27, 2020
|
By:
|
/s/ Patrick J. Donovan
|
|
|
Patrick J. Donovan
|
|
|
|
|
|
|
February 27, 2020
|
By:
|
/s/ Steven K. Gaer
|
|
|
Steven K. Gaer
|
February 27, 2020
|
By:
|
/s/ Michael J. Gerdin
|
|
|
Michael J. Gerdin
|
|
|
|
|
|
|
February 27, 2020
|
By:
|
/s/ Sean P. McMurray
|
|
|
Sean P. McMurray
|
|
|
|
|
|
|
February 27, 2020
|
By:
|
/s/ David R. Milligan
|
|
|
David R. Milligan
|
|
|
|
|
|
|
February 27, 2020
|
By:
|
/s/ George D. Milligan
|
|
|
George D. Milligan
|
|
|
|
|
|
|
February 27, 2020
|
By:
|
/s/ Robert G. Pulver
|
|
|
Robert G. Pulver
|
|
|
|
|
|
|
February 27, 2020
|
By:
|
/s/ Lou Ann Sandburg
|
|
|
Lou Ann Sandburg
|
|
|
|
|
|
|
February 27, 2020
|
By:
|
/s/ Steven T. Schuler
|
|
|
Steven T. Schuler
|
|
|
|
|
|
|
February 27, 2020
|
By:
|
/s/ Therese M. Vaughan
|
|
|
Therese M. Vaughan
|
|
|
|
|
|
|
February 27, 2020
|
By:
|
/s/ Philip Jason Worth
|
|
|
Philip Jason Worth
|
|
|
|
|
|
|
•
|
the Board of Governors of the Federal Reserve System (the “Federal Reserve Board”) has been given 60 days prior written notice of the proposed acquisition; and
|
•
|
within that time period, the Federal Reserve Board has not issued a notice disapproving the proposed acquisition or extending for an additional 30 days the period during which such a disapproval may be issued or unless the acquisition otherwise requires Federal Reserve Board approval. An acquisition may be made before expiration of the disapproval period if the Federal Reserve Board issues written notice that it intends not to disapprove the action. It is generally assumed that the acquisition of more than 10 percent of a class of voting stock of a bank holding company with publicly held securities, such as the Company, would constitute the acquisition of control.
|
•
|
the ownership or control of 25 percent or more of any class of voting securities of a bank holding company;
|
•
|
the ability to elect a majority of the bank holding company’s directors; or
|
•
|
the ability otherwise to exercise a controlling influence over the bank holding company’s management and policies.
|
/s/ RSM US LLP
|
|
Des Moines, Iowa
|
February 26, 2020
|
1.
|
I have reviewed this annual report on Form 10-K of West Bancorporation, 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 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.
|
/s/ David D. Nelson
|
|
David D. Nelson
|
|
Chief Executive Officer and President
|
|
1.
|
I have reviewed this annual report on Form 10-K of West Bancorporation, 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 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.
|
/s/ Douglas R. Gulling
|
|
Douglas R. Gulling
|
|
Executive Vice President, Treasurer and Chief Financial Officer
|
/s/ David D. Nelson
|
|
David D. Nelson
|
|
Chief Executive Officer and President
|
|
/s/ Douglas R. Gulling
|
|
Douglas R. Gulling
|
|
Executive Vice President, Treasurer and Chief Financial Officer
|