Damon DelMonte: Got it. Okay.
Joe Turner: The other thing that you got to factor in, I mean, I do think payouts have slowed the projects are staying with us longer, which is positive thing.
Damon DelMonte: Got it. Okay. That’s helpful. Thank you. And then with respect to credit in kind of trying to figure out the provision here, obviously very strong underlying credit trends minimal net charge-offs. You had a couple of quarters in the middle of 2022, where you had like $2.2 million and $3.3 million for 2Q and 3Q and then it kind of tailed off here in the fourth quarter. How do we kind of think about like where the reserve level is today at 1.39 and how are you viewing kind of the more macro picture and maybe they need to build reserves or do you feel like you’re comfortable at this level?
Joe Turner: Well, I mean I think we’re comfortable at this level if the economy were to take a turn, we would have to address that. But based on what we’re seeing right now, we’re comfortable.
Damon DelMonte: Okay.
Rex Copeland: I think the provision — the provisioning that you saw last in 2022 early on like the second and third quarter timeframe was a lot of based on loan growth that was going on. So we were adding to our reserves at that point and now we’re — like Joe said we didn’t grow as much our outstanding balances in the fourth quarter, but we’re looking at economic factors now as we kind of move forward into 2023 to see if it starts to look like recession. And if so how bad and how that might impact.
Damon DelMonte: Got it. Okay. And then, just to circle back on the margin and the impact of the swaps. Could you just repeat when do those — I know you said they are forward swaps, but when do those kick in, in May or June?
Rex Copeland: I believe it’s — May of ’23, I believe is the first month that we would have a settlement on those.
Damon DelMonte: Okay. And if those were to happen like today, right? Then the margin would get hit by 12 basis points, based on the math that was being thrown around?
Joe Turner: Yeah. I think that’s — I think that’s pretty close. I think when we calculated it then a few weeks ago, I think it was about 600,000 a month.
Rex Copeland: Somewhere in that ballpark.
Damon DelMonte: Okay. And what’s the duration of those swaps?
Rex Copeland: Out to 2028.
Damon DelMonte: Okay. That’s all that I had. Thank you.
Operator: Thank you. And our next question comes from the line of John Rodis from Janney. Your question please?
John Rodis: Hey, guys. Good afternoon.
Joe Turner: Hi, John.
John Rodis: Hope you’re doing well. Just, Joe, maybe just one quick question on the buyback. You guys were obviously fairly active in 2022 and you announced a new plan, but you did slow the pace in the fourth quarter. How should we sort of think about buyback activity for ’23?
Joe Turner: It sort of depends on the price. We obviously have been — I mean, we bought at a higher price than where we’re trading right now, so we kind of like it, we think it makes sense, I don’t think will probably be — may be quite as aggressive, certainly don’t think it makes sense.
John Rodis: Okay. But not as aggressive, but you still think you’ll probably be somewhat active?
Joe Turner: Not as aggressive as we were in the — during the full year 2022. So, we definitely still buyback makes sense and we feel like we’re well capitalized and plenty able to handle it.
Rex Copeland: It depends a little bit on what kind of turn the economy takes, obviously, too. So we got to factor that into.
Joe Turner: Yeah.
Rex Copeland: As we look at it.
