| Schedule of carrying amount and estimated fair values of financial instruments |
Fair Value of Financial Instruments (dollars in thousands, unaudited) | | | | | | | | | | | | | | | | | | | June 30, 2026 | | | | | | Fair Value Measurements | | | Carrying
Amount | | Quoted Prices in
Active Markets for
Identical Assets
(Level 1) | | Significant
Observable
Inputs
(Level 2) | | Significant
Unobservable
Inputs
(Level 3) | | Total | | Financial assets: | | | | | | | Cash and cash equivalents | | $ | 142,695 | | $ | 142,695 | | $ | — | | $ | — | | $ | 142,695 | Securities available-for-sale | | $ | 611,822 | | $ | — | | $ | 610,445 | | $ | 1,377 | | $ | 611,822 | Securities held-to-maturity, net | | $ | 282,880 | | $ | — | | $ | 278,748 | | $ | — | | $ | 278,748 | Loans held for investment, net | | $ | 2,432,460 | | $ | — | | $ | — | | $ | 2,336,559 | | $ | 2,336,559 | | | | | | | | | | | | | | | | | Financial liabilities: | | | | | | | | | | | | | | | | Deposits | | $ | 2,930,991 | | $ | 1,026,320 | | $ | 1,903,157 | | $ | — | | $ | 2,929,477 | Repurchase agreements | | $ | 122,364 | | $ | — | | $ | 97,941 | | $ | — | | $ | 97,941 | Other borrowings | | $ | 155,000 | | $ | — | | $ | 154,666 | | $ | — | | $ | 154,666 | Long-term debt, net | | $ | 49,528 | | $ | — | | $ | 49,715 | | $ | — | | $ | 49,715 | Subordinated debentures | | $ | 36,106 | | $ | — | | $ | 35,722 | | $ | — | | $ | 35,722 |
| | | | | | | | | | | | | | | | | | | December 31, 2025 | | | | | | Fair Value Measurements | | | Carrying
Amount | | Quoted Prices in
Active Markets for
Identical Assets
(Level 1) | | Significant
Observable
Inputs
(Level 2) | | Significant
Unobservable
Inputs
(Level 3) | | Total | | Financial assets: | | | | | | | Cash and cash equivalents | | $ | 135,628 | | $ | 135,628 | | $ | — | | $ | — | | $ | 135,628 | Securities available-for-sale | | $ | 625,330 | | $ | — | | $ | 624,017 | | $ | 1,313 | | $ | 625,330 | Securities held-to-maturity, net | | $ | 290,811 | | $ | — | | $ | 286,461 | | $ | — | | $ | 286,461 | Loans held for investment, net | | $ | 2,525,365 | | $ | — | | $ | — | | $ | 2,428,691 | | $ | 2,428,691 | | | | | | | | | | | | | | | | | Financial liabilities: | | | | | | | | | | | | | | | | Deposits | | $ | 2,876,436 | | $ | 995,623 | | $ | 1,992,616 | | $ | — | | $ | 2,988,239 | Repurchase agreements | | $ | 130,853 | | $ | — | | $ | 107,084 | | $ | — | | $ | 107,084 | Other borrowings | | $ | 302,700 | | $ | — | | $ | 302,629 | | $ | — | | $ | 302,629 | Long-term debt, net | | $ | 49,483 | | $ | — | | $ | 49,472 | | $ | — | | $ | 49,472 | Subordinated debentures | | $ | 36,017 | | $ | — | | $ | 36,276 | | $ | — | | $ | 36,276 |
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| Schedule of assets reported at fair value on a recurring basis |
Fair Value Measurements – Recurring (dollars in thousands, unaudited) | | | | | | | | | | | | | | | | | | Fair Value Measurements at June 30, 2026, using | | | | | | Quoted Prices in
Active Markets for
Identical Assets
(Level 1) | | Significant
Observable
Inputs
(Level 2) | | Significant
Unobservable
Inputs
(Level 3) | | Total | | Realized
Gain/(Loss)
(Level 3) | Securities: | | | | | | | | | | | | | | | | U.S. government agencies | | $ | — | | $ | 18,083 | | $ | — | | $ | 18,083 | | $ | — | Mortgage-backed securities | | | — | | | 271,949 | | | — | | | 271,949 | | | — | State and political subdivisions | | | — | | | 54,881 | | | — | | | 54,881 | | | — | Corporate bonds | | | — | | | 82,642 | | | 1,377 | | | 84,019 | | | — | Collateralized loan obligations | | | — | | | 182,890 | | | — | | | 182,890 | | | — | Total available-for-sale securities | | $ | — | | $ | 610,445 | | $ | 1,377 | | $ | 611,822 | | $ | — |
| | | | | | | | | | | | | | | | | | Fair Value Measurements at December 31, 2025, using | | | | | | Quoted Prices in
Active Markets for
Identical Assets
(Level 1) | | Significant
Observable
Inputs
(Level 2) | | Significant
Unobservable
Inputs
(Level 3) | | Total | | Realized
Gain/(Loss)
(Level 3) | Securities: | | | | | | | | | | | | | | | | U.S. government agencies | | $ | — | | $ | 32,901 | | $ | — | | $ | 32,901 | | $ | — | Mortgage-backed securities | | | — | | | 259,760 | | | — | | | 259,760 | | | — | State and political subdivisions | | | — | | | 46,921 | | | — | | | 46,921 | | | — | Corporate bonds | | | — | | | 85,154 | | | 1,313 | | | 86,467 | | | — | Collateralized loan obligations | | | — | | | 199,281 | | | — | | | 199,281 | | | — | Total available-for-sale securities | | $ | — | | $ | 624,017 | | $ | 1,313 | | $ | 625,330 | | $ | — |
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| Schedule of reconciliation of all assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) |
The following tables present quantitative information about recurring Level 3 fair value measurements at June 30, 2026, and December 31, 2025 (dollars in thousands): | | | | | | | | | | | | | | | | | | | | | | | Range | | | Fair | | Valuation | | Unobservable | | | | | | Weighted | June 30, 2026 | | Value | | Technique(s) | | Input(s) | | Min | | Max | | Average | Corporate Bonds | | $ | 1,377 | | Broker estimate | | Discount rate | | N/A | | N/A | | N/A | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Range | | | Fair | | Valuation | | Unobservable | | | | | | Weighted | December 31, 2025 | | Value | | Technique(s) | | Input(s) | | Min | | Max | | Average | Corporate Bonds | | $ | 1,313 | | Broker estimate | | Discount rate | | N/A | | N/A | | N/A |
The significant unobservable inputs utilized in the fair value measurement of the Company’s corporate bonds included risk profile and market conditions, and are not quantifiable inputs. Differing unobservable input assumptions, for example a change in market conditions, may have resulted in reduced or increased fair value. The table below presents a reconciliation of all assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the six months ended June 30, 2026 and 2025: | | | | | | | Fair Value Measurements - Level 3 Recurring | | | | | | | (dollars in thousands, unaudited) | | | | | | | | | Corporate Bonds | | | 2026 | | 2025 | Balance of recurring Level 3 assets at January 1, | | $ | 1,313 | | $ | 55,653 | Total gains or losses for the period: | | | | | | | Included in other comprehensive income | | | 64 | | | 798 | Purchases | | | — | | | 20,750 | Transfers into Level 3 | | | — | | | 2,909 | Balance of recurring Level 3 assets at June 30, | | $ | 1,377 | | $ | 80,110 |
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| Schedule of assets reported at fair value on a nonrecurring basis |
Fair Value Measurements – Nonrecurring (dollars in thousands, unaudited) | | | | | | | | | | | | | | | Fair Value Measurements at December 31, 2025, using | | | Quoted Prices in
Active Markets for
Identical Assets
(Level 1) | | Significant
Observable Inputs
(Level 2) | | Significant
Unobservable Inputs
(Level 3) | | Total | Individually evaluated collateral dependent loans | | | | | | | | | | | | | Real estate: | | | | | | | | | | | | | Farmland | | $ | — | | $ | — | | $ | 1,699 | | $ | 1,699 | Total real estate | | | — | | | — | | | 1,699 | | | 1,699 | Other commercial | | | — | | | — | | | 1,183 | | | 1,183 | Total collateral dependent loans | | | — | | | — | | | 2,882 | | | 2,882 | Foreclosed assets | | | — | | | — | | | 1,565 | | | 1,565 | Total assets measured on a nonrecurring basis | | $ | | | $ | | | $ | 4,447 | | $ | 4,447 |
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