v3.25.2
Derivative Instruments and Hedging Activities (Tables)
6 Months Ended
Jun. 30, 2025
Derivative Instruments and Hedging Activities  
Summary of the Company's RPA's to facilitate customer transactions

The following table presents a summary of the Company’s RPA as of June 30, 2025 and December 31, 2024:

June 30, 2025

December 31, 2024

Location of

Notional

Fair Value

Notional

Fair Value

(dollars in thousands)

Gain (Loss)

Amount

Assets

Liabilites

Amount

Assets

Liabilites

Risk Participation Agreement

Other Income

$

9,987

$

$

19

$

$

$

Effect of derivative instruments in cash flow hedging relationships

The following table presents the effect of derivative instruments in cash flow hedging relationships on the consolidated statements of income for the three and six months ended June 30, 2025 and 2024:

Three Months Ended June 30, 

Six Months Ended June 30, 

(dollars in thousands)

2025

2024

2025

2024

Derivatives in

Location of Gain

Gain

Gain

Cash Flow Hedging

Reclassified

Reclassified from

Reclassified from

Relationships

from AOCI into Income

AOCI into Earnings

AOCI into Earnings

Interest rate swaps

Interest expense

$

707

$

1,475

$

1,635

$

3,071

Interest rate caps

Interest expense

910

854

1,814

1,561

Schedule of fair value hedge relationships on the income statement and balance sheet

The effects of the Company’s fair value hedge relationships on the income statement during the three and six months ended June 30, 2025 and 2024 were as follows:

Amount of Gain (Loss) Recognized in Income

(dollars in thousands)

Three Months Ended June 30, 

Six Months Ended June 30, 

Securities

Location of Gain (Loss)

2025

2024

2025

2024

Interest Rate Swaps

Interest Income

$

393

$

(3,532)

Securities Available for Sale

Interest Income

(393)

3,532

The following table presents amounts that were recorded on the balance sheet related to cumulative basis adjustments for fair value hedges at June 30, 2025 and December 31, 2024:

Cumulative Amount of Fair Value Hedging Adjustment

Included in the Carrying Amount of the Hedged

(dollars in thousands)

Carrying Amount of The Hedged Assets/Liabilities

Assets/Liabilities

Line Item on the Balance Sheet

June 30, 2025

December 31, 2024

June 30, 2025

December 31, 2024

Securities Available for Sale

$

201,942

156,337

$

6,955

10,487

Schedule of derivative instruments eligible for offset

The following table summarizes gross and net information about derivative instruments that are eligible for offset in the balance sheet at June 30, 2025 and December 31, 2024:

Gross Amounts Not Offset in the Balance Sheet

Net Amounts of

Gross Amounts

Gross Amounts

Assets (Liabilities)

of Recognized

Offset in the

Presented in the

Financial

Cash Collateral

Net Assets

(dollars in thousands)

Assets (Liabilities)

Balance Sheet

Balance Sheet

Instruments

Received

(Liabilities)

June 30, 2025

Assets

$

33,419

$

$

33,419

$

$

28,353

$

5,066

Liabilities

 

(10,345)

 

 

(10,345)

 

 

 

(10,345)

December 31, 2024

Assets

$

43,155

$

$

43,155

$

$

44,233

$

(1,078)

Liabilities

(8,210)

(8,210)

(8,210)

Derivatives not designated as hedging instruments | Interest Rate Swaps  
Derivative Instruments and Hedging Activities  
Summary of interest rate derivatives

The following table presents a summary of the Company’s interest rate swaps to facilitate customer transactions as of June 30, 2025 and December 31, 2024:

June 30, 2025

December 31, 2024

Notional

Estimated

Notional

Estimated

(dollars in thousands)

Amount

Fair Value

Amount

Fair Value

Interest rate swap agreements:

Assets

$

165,375

$

8,790

$

115,577

$

8,210

Liabilities

 

165,375

 

(8,790)

 

115,577

 

(8,210)

Total

$

330,750

$

$

231,154

$

Designated as Hedging Instrument  
Derivative Instruments and Hedging Activities  
Summary of interest rate derivatives

The following table presents a summary of the Company’s interest rate contracts as of June 30, 2025 and December 31, 2024:

June 30, 2025

December 31, 2024

Notional

Estimated

Notional

Estimated

(dollars in thousands)

Amount

Fair Value

Amount

Fair Value

Interest Rate Swap Agreements - Borrowings:

Assets

$

85,000

$

2,290

$

178,000

$

5,139

Liabilities

98,000

(979)

Interest Rate Swap Agreements - Securities:

Assets

145,850

7,531

145,850

10,487

Liabilities

49,137

(576)

Interest Rate Cap Agreements:

Assets

125,000

14,808

125,000

19,319

Designated as Hedging Instrument | Interest Rate Swaps | Cash Flow Hedging  
Derivative Instruments and Hedging Activities  
Derivative Instruments and Hedging Activities

The following table presents a summary of the Company’s interest rate swaps designated as cash flow hedges as of June 30, 2025 and December 31, 2024:

(dollars in thousands)

    

June 30, 2025

    

December 31, 2024

Notional Amount

$

183,000

$

178,000

Weighted Average Pay Rate

2.87

%

2.20

%

Weighted Average Receive Rate

4.36

%

4.80

%

Weighted Average Maturity (Years)

4.67

4.02

Net Unrealized Gain

$

1,311

$

5,139

Designated as Hedging Instrument | Interest Rate Swaps | Fair Value Hedging  
Derivative Instruments and Hedging Activities  
Derivative Instruments and Hedging Activities

The following table presents a summary of the Company’s interest rate swaps designated as fair value hedges as of June 30, 2025 and December 31, 2024:

(dollars in thousands)

June 30, 2025

December 31, 2024

Notional Amount

$

194,987

$

145,850

Weighted Average Pay Rate

3.60

%

3.52

%

Weighted Average Receive Rate

4.32

4.82

Weighted Average Maturity (Years)

17.71

19.47

Designated as Hedging Instrument | Interest Rate Caps | Cash Flow Hedging  
Derivative Instruments and Hedging Activities  
Derivative Instruments and Hedging Activities

The following table presents a summary of the Company’s interest rate caps designated as cash flow hedges as of June 30, 2025 and December 31, 2024:

(dollars in thousands)

    

June 30, 2025

    

December 31, 2024

Notional Amount

$

125,000

$

125,000

Unamortized Premium Paid

3,888

4,281

Weighted Average Strike Rate

0.96

%

0.96

%

Weighted Average Maturity (Years)

4.85

5.34