v3.25.2
Derivatives Financial Instruments (Tables)
6 Months Ended
Jun. 30, 2025
Derivative [Line Items]  
Schedule of Hedge Relationships on Income Statement

The following table presents the effect of fair value and cash flow hedge accounting on the income statement (in thousands):

Three Months Ended

Six Months Ended

June 30, 

June 30, 

    

2025

2024

2025

2024

Total interest income

 

$

69,467

$

61,487

$

135,832

$

121,473

Effects of cash flow hedge relationships

 

(14)

 

(202)

 

(2)

 

(406)

Reported total interest income

$

69,453

$

61,285

$

135,830

$

121,067

Total interest expense

 

$

29,036

$

28,725

$

57,011

$

57,028

Effects of cash flow hedge relationships

 

74

 

(254)

 

237

 

(496)

Reported total interest expense

$

29,110

$

28,471

$

57,248

$

56,532

Schedule of interest rate swaps related to loan hedging program

At June 30, 2025, and December 31, 2024, interest rate swaps related to the Company’s loan hedging program that were outstanding are presented in the following table (in thousands):

June 30, 2025

December 31, 2024

Notional

Estimated

Notional

Estimated

Amount

Fair Value

Amount

Fair Value

Interest rate swap agreements:

Assets

$

484,139

$

13,487

$

393,268

$

12,135

Liabilities

484,139

(13,487)

393,268

(12,135)

Schedule of interest rate swap to facilitate customer's transactions

The Company establishes limits and monitors exposures for customer swap positions.  Any fees received to enter the swap agreements at inception are recognized in earnings when received and is included in noninterest income.  Such fees were as follows (in thousands):

Three Months Ended

Six Months Ended

June 30, 

June 30, 

    

2025

2024

2025

2024

Interest rate swap agreements

 

$

542

$

163

$

998

$

275

Designated as Hedging Instrument [Member] | Fair Value Hedging [Member]  
Derivative [Line Items]  
Schedule of Hedge Relationships on Income Statement

    

    

Weighted

    

    

    

    

 

Average

 

Balance

Remaining

Weighted

 

Sheet

Maturity

Average

Receive

Notional

Estimated

Asset/Liability derivatives

Location

(In Years)

Pay Rate

Rate

Amount

Fair Value

June 30, 2025:

Interest rate swap agreements - securities

Other liabilities

 

1.20

 

4.31

%

SOFR

$

51,507

 

$

(394)

 

December 31, 2024:

Interest rate swap agreements - securities

 

Other liabilities

 

1.70

 

4.31

%

SOFR

$

51,507

 

$

(224)

The effects of the Company’s fair value hedge relationships reported in interest income on taxable securities on the consolidated income statement were as follows (in thousands):

Three Months Ended

Six Months Ended

June 30, 

June 30, 

    

2025

2024

2025

2024

Interest income on taxable securities

 

$

4,846

$

5,177

$

9,620

$

9,620

Effects of fair value hedge relationships

 

2

 

143

 

3

 

249

Reported interest income on taxable securities

$

4,848

$

5,320

$

9,623

$

9,869

Three Months Ended

Six Months Ended

June 30, 

June 30, 

Gain (loss) on fair value hedging relationship

    

2025

2024

2025

2024

Interest rate swap agreements - securities:

 

 

  

  

 

  

  

Hedged items

 

$

(14)

$

123

$

(394)

$

114

Derivative designated as hedging instruments

14

(123)

394

(114)

Carry amount of hedged assets - mortgage-backed securities

48,617

47,132

48,617

47,132

Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member]  
Derivative [Line Items]  
Schedule of Fair Value Hedge Relationships in Balance Sheet

At June 30, 2025 and December 31, 2024, cash flow hedges are as follows (in thousands):

June 30, 2025

December 31, 2024

Balance Sheet

Notional

Estimated

Balance Sheet

Notional

Estimated

Location

Amount

Fair Value

Location

Amount

Fair Value

Cash flow hedges:

Assets

Other assets

$

100,000

$

41

Other assets

$

-

$

-

Assets

Other liabilities

-

-

Other liabilities

100,000

(559)

Liabilities

Other assets

25,000

-

Other assets

-

-

Liabilities

Other liabilities

-

-

Other liabilities

150,000

(280)

Schedule of Hedge Relationships on AOCI

The following table presents the effect of fair value and cash flow hedge accounting on AOCI (in thousands):

Derivatives in cash flow hedging relationships:

Amount of Gain (Loss) Recognized on OCI on Derivative

Location of Gain or (Loss) Recognized from AOCI into Income

Amount of Gain or (Loss) Reclassified from AOCI into Income

Three Months Ended June 30, 2025

Interest rate swaps - Assets

$

213

Interest income

$

(14)

Interest rate swaps - Liabilities

79

Interest expense

(74)

Three Months Ended June 30, 2024

Interest rate swaps - Assets

$

(80)

Interest income

$

(202)

Interest rate swaps - Liabilities

102

Interest expense

254

Six Months Ended June 30, 2025

Interest rate swaps - Assets

$

600

Interest income

$

(2)

Interest rate swaps - Liabilities

280

Interest expense

(237)

Six Months Ended June 30, 2024

Interest rate swaps - Assets

$

(1,201)

Interest income

$

(406)

Interest rate swaps - Liabilities

309

Interest expense

496