SIERRA BANCORP AND SUBSIDIARY
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Continued)
83
4.
LOANS AND LEASES
(Continued)
Included in loans above are troubled debt restructurings that were classified as impaired. The Company
had $2,592,000 and $3,714,000 in commercial loans, $21,302,000 and $32,960,000 in real estate secured
loans and $2,640,000 and $3,250,000 in consumer loans, which were modified as troubled debt
restructurings and consequently classified as impaired at December 31, 2014 and 2013, respectively.
Additional commitments to existing customers with restructured loans totaled $0 and $250,000 at
December 31, 2014 and 2013 respectively.
Interest income recognized on impaired loans was $1,056,000, $1,220,000, and $1,394,000 for the years
ended December 31, 2014, 2013 and 2012 respectively. There was no interest income recognized on a
cash basis on impaired loans for the years ended December 31, 2014, 2013 and 2012 respectively.
The following is a summary of interest income from non-accrual loans in the portfolio at year-end that
was not recognized (dollars in thousands):
2014
2013
2012
Interest that would have been recorded under
the loans’ original terms
1,666
$
3,209
$
4,084
$
Less gross interest recorded
389
304
2,088
Foregone interest
1,277
$
2,905
$
1,996
$
Years Ended December 31,
Certain loans have been pledged to secure short-term borrowing arrangements (see Note 9). These loans
totaled $475,979,000 and $413,369,000
at December 31, 2014 and 2013, respectively.
Salaries and employee benefits totaling $2,673,000, $2,804,000, and $2,745,000, have been deferred as
loan and lease origination costs to be amortized over the estimated lives of the related loans and leases for
the years ended December 31, 2014, 2013 and 2012, respectively.
