Loans (Tables)

9 Months Ended

Sep. 30, 2017

Schedule of major classifications of loans


	September 30, 2017		December 31, 2016
Commercial	$	257,356	$	228,113
Leases		69,305		55,451
Real estate - commercial		739,136		736,247
Real estate - construction		94,868		64,720
Real estate - residential		419,583		377,851
Consumer		2,770		3,237
Other1		10,550		11,973
		1,593,568		1,477,592
Net deferred loan costs		623		1,217
Total loans	$	1,594,191	$	1,478,809

Schedule of aged analysis of past due loans by class of loans


															Recorded
															Investment
															90 days or
					90 Days or										Greater Past
	30-59 Days		60-89 Days		Greater Past		Total Past								Due and
September 30, 2017	Past Due		Past Due		Due		Due		Current		Nonaccrual		Total Loans		Accruing
Commercial	$	-	$	89	$	-	$	89	$	257,060	$	207	$	257,356	$	-
Leases		-		685		149		834		68,275		196		69,305		156
Real estate - commercial
Owner occupied general purpose		253		-		537		790		154,429		457		155,676		561
Owner occupied special purpose		513		-		-		513		172,866		359		173,738		-
Non-owner occupied general purpose		649		-		-		649		251,933		1,165		253,747		-
Non-owner occupied special purpose		-		248		-		248		93,498		-		93,746		-
Retail properties		-		-		-		-		45,149		1,113		46,262		-
Farm		-		-		383		383		15,584		-		15,967		387
Real estate - construction
Homebuilder		-		-		-		-		2,644		-		2,644		-
Land		-		-		-		-		3,235		-		3,235		-
Commercial speculative		-		-		-		-		34,817		-		34,817		-
All other		63		-		-		63		53,904		205		54,172		-
Real estate - residential
Investor		-		-		-		-		52,361		492		52,853		-
Multifamily		-		-		-		-		117,544		4,757		122,301		-
Owner occupied		40		-		-		40		124,414		4,127		128,581		-
Revolving and junior liens		732		22		100		854		113,956		1,038		115,848		103
Consumer		2		-		-		2		2,760		8		2,770		-
Other1		1		-		-		1		11,172		-		11,173		-
Total	$	2,253	$	1,044	$	1,169	$	4,466	$	1,575,601	$	14,124	$	1,594,191	$	1,207


															Recorded
															Investment
															90 days or
					90 Days or										Greater Past
	30-59 Days		60-89 Days		Greater Past		Total Past								Due and
December 31, 2016	Past Due		Past Due		Due		Due		Current		Nonaccrual		Total Loans		Accruing
Commercial	$	57	$	74	$	-	$	131	$	227,742	$	240	$	228,113	$	-
Leases		-		286				286		54,799		366		55,451
Real estate - commercial
Owner occupied general purpose		758		-		-		758		135,599		879		137,236		-
Owner occupied special purpose		-		-		-		-		177,755		385		178,140		-
Non-owner occupied general purpose		667		379		-		1,046		229,315		1,930		232,291		-
Non-owner occupied special purpose		-		-		-		-		118,052		1,013		119,065		-
Retail properties		-		-		-		-		53,474		1,179		54,653		-
Farm		1,353		-		-		1,353		13,509		-		14,862		-
Real estate - construction
Homebuilder		-		-		-		-		3,883		-		3,883		-
Land		-		-		-		-		3,029		-		3,029		-
Commercial speculative		-		-		-		-		22,654		74		22,728		-
All other		364		-		-		364		34,509		207		35,080		-
Real estate - residential
Investor		237		-		-		237		54,924		936		56,097		-
Multifamily		-		-				-		96,502		-		96,502
Owner occupied		274		-		-		274		116,900		6,452		123,626		-
Revolving and junior liens		225		405		-		630		99,374		1,622		101,626		-
Consumer		10		36		-		46		3,191		-		3,237		-
Other1		14		-		-		14		13,176		-		13,190		-
Total	$	3,959	$	1,180	$	-	$	5,139	$	1,458,387	$	15,283	$	1,478,809	$	-

1 The “Other” class includes overdrafts and net deferred costs.

Schedule of credit quality indicators by class of loans


September 30, 2017			Special
	Pass		Mention		Substandard 1		Doubtful		Total
Commercial	$	245,603	$	11,371	$	382	$	-	$	257,356
Leases		68,274		-		1,031		-		69,305
Real estate - commercial
Owner occupied general purpose		153,039		1,274		1,363		-		155,676
Owner occupied special purpose		172,216		1,163		359		-		173,738
Non-owner occupied general purpose		250,497		2,085		1,165		-		253,747
Non-owner occupied special purpose		90,113		-		3,633		-		93,746
Retail Properties		43,922		1,227		1,113		-		46,262
Farm		13,472		-		2,495		-		15,967
Real estate - construction
Homebuilder		2,644		-		-		-		2,644
Land		3,235		-		-		-		3,235
Commercial speculative		34,817		-		-		-		34,817
All other		52,898		894		380		-		54,172
Real estate - residential
Investor		52,205		-		648		-		52,853
Multifamily		117,544		-		4,757		-		122,301
Owner occupied		123,600		563		4,418		-		128,581
Revolving and junior liens		113,871		-		1,977		-		115,848
Consumer		2,762		-		8		-		2,770
Other		11,173		-		-		-		11,173
Total	$	1,551,885	$	18,577	$	23,729	$	-	$	1,594,191


December 31, 2016			Special
	Pass		Mention		Substandard 1		Doubtful		Total
Commercial	$	214,028	$	11,558	$	2,527	$	-	$	228,113
Leases		53,366		976		1,109				55,451
Real estate - commercial
Owner occupied general purpose		135,503		53		1,680		-		137,236
Owner occupied special purpose		172,353		5,402		385		-		178,140
Non-owner occupied general purpose		229,448		913		1,930		-		232,291
Non-owner occupied special purpose		114,293		-		4,772		-		119,065
Retail Properties		52,207		1,267		1,179		-		54,653
Farm		11,840		1,240		1,782		-		14,862
Real estate - construction
Homebuilder		3,883		-		-		-		3,883
Land		3,029		-		-		-		3,029
Commercial speculative		22,654		-		74		-		22,728
All other		34,696		-		384		-		35,080
Real estate - residential
Investor		55,001		-		1,096		-		56,097
Multifamily		96,502		-		-		-		96,502
Owner occupied		115,831		570		7,225		-		123,626
Revolving and junior liens		99,286		-		2,340		-		101,626
Consumer		3,236		-		1		-		3,237
Other		13,165		25		-		-		13,190
Total	$	1,430,321	$	22,004	$	26,484	$	-	$	1,478,809

1 The substandard credit quality indicator includes both potential problem loans that are currently performing and nonperforming loans.

Schedule of impaired loans by class of loan


							Nine Months Ended
	As of September 30, 2017						September 30, 2017
			Unpaid				Average		Interest
	Recorded		Principal		Related		Recorded		Income
	Investment		Balance		Allowance		Investment		Recognized
With no related allowance recorded
Commercial	$	207	$	360	$	-	$	123	$	-
Leases		196		227		-		281		-
Commercial real estate
Owner occupied general purpose		457		495		-		1,169		-
Owner occupied special purpose		359		509		-		372		-
Non-owner occupied general purpose		1,218		1,592		-		1,481		2
Non-owner occupied special purpose		-		-		-		507		-
Retail properties		1,113		1,199		-		1,146		-
Farm		-		-		-		-		-
Construction
Homebuilder		-		-		-		-		-
Land		-		-		-		-		-
Commercial speculative		-		-		-		37		-
All other		205		231		-		206		-
Residential
Investor		1,374		1,627		-		1,607		36
Multifamily		4,757		4,965		-		2,379		-
Owner occupied		8,150		9,524		-		8,987		119
Revolving and junior liens		1,991		2,173		-		2,237		27
Consumer		8		8		-		104		-
Total impaired loans with no recorded allowance		20,035		22,910		-		20,636		184

With an allowance recorded
Commercial		-		-		-		-		-
Leases		-		-		-		-		-
Commercial real estate
Owner occupied general purpose		-		-		-		-		-
Owner occupied special purpose		-		-		-		-		-
Non-owner occupied general purpose		-		-		-		123		-
Non-owner occupied special purpose		-		-		-		-		-
Retail properties		-		-		-		-		-
Farm		-		-		-		-		-
Construction
Homebuilder		-		-		-		-		-
Land		-		-		-		-		-
Commercial speculative		-		-		-		-		-
All other		-		-		-		-		-
Residential
Investor		-		-		-		-		-
Multifamily		-		-		-		-		-
Owner occupied		-		-		-		402		-
Revolving and junior liens		51		51		6		26		2
Consumer		-		-		-		-		-
Total impaired loans with a recorded allowance		51		51		6		551		2
Total impaired loans	$	20,086	$	22,961	$	6	$	21,187	$	186

Impaired loans by class of loans as of December 31, 2016, and for the nine months ended September 30, 2016, were as follows:


							Nine Months Ended
	As of December 31, 2016						September 30, 2016
			Unpaid				Average		Interest
	Recorded		Principal		Related		Recorded		Income
	Investment		Balance		Allowance		Investment		Recognized
With no related allowance recorded
Commercial	$	240	$	388	$	-	$	326	$	-
Leases		366		371		-		-		-
Commercial real estate
Owner occupied general purpose		1,881		2,131		-		2,412		66
Owner occupied special purpose		385		518		-		580		-
Non-owner occupied general purpose		1,744		2,010		-		1,655		2
Non-owner occupied special purpose		1,013		1,649		-		506		-
Retail properties		1,179		1,235		-		990		-
Farm		-		-		-		636		-
Construction
Homebuilder		-		-		-		-		-
Land		-		-		-		-		-
Commercial speculative		74		81		-		80		-
All other		207		221		-		-		-
Residential
Investor		1,841		2,308		-		1,864		35
Multifamily		-		-		-		-		-
Owner occupied		9,824		11,391		-		9,916		120
Revolving and junior liens		2,484		3,018		-		2,527		9
Consumer		-		-		-		-		-
Total impaired loans with no recorded allowance		21,238		25,321		-		21,492		232

With an allowance recorded
Commercial		-		-		-		2		-
Leases		-		-		-		-		-
Commercial real estate
Owner occupied general purpose		-		-		-		-		-
Owner occupied special purpose		-		-		-		-		-
Non-owner occupied general purpose		246		595		246		132		31
Non-owner occupied special purpose		-		-		-		-		-
Retail properties		-		-		-		-		-
Farm		-		-		-		-		-
Construction
Homebuilder		-		-		-		-		-
Land		-		-		-		-		-
Commercial speculative		-		-		-		-		-
All other		-		-		-		-		-
Residential
Investor		-		-		-		-		-
Multifamily		-		-		-		-		-
Owner occupied		803		853		803		356		-
Revolving and junior liens		-		-		-		23		-
Consumer		-		-		-		-		-
Total impaired loans with a recorded allowance		1,049		1,448		1,049		513		31
Total impaired loans	$	22,287	$	26,769	$	1,049	$	22,005	$	263

Schedule of TDRs modified during the period by type of modification

TDRs that were modified during the period are as follows:


	TDR Modifications					TDR Modifications
	Quarter Ended September 30, 2017					Nine Months Ended September 30, 2017
	# of	Pre-modification		Post-modification		# of	Pre-modification		Post-modification
	contracts	recorded investment		recorded investment		contracts	recorded investment		recorded investment
Troubled debt restructurings
Real estate - residential
Owner occupied
HAMP1	1	$	36	$	33	1	$	36	$	33
Other2	1		42		42	1		42		42
Revolving and junior liens
HAMP1	1		49		49	1		49		49
Other2	1		49		33	7		448		418
Total	4	$	176	$	157	10	$	575	$	542


	TDR Modifications					TDR Modifications
	Quarter Ended September 30, 2016					Nine Months Ended September 30, 2016
	# of	Pre-modification		Post-modification		# of	Pre-modification		Post-modification
	contracts	recorded investment		recorded investment		contracts	recorded investment		recorded investment
Troubled debt restructurings
Real estate - commercial
Other2	-	$	-	$	-	2	$	312	$	211
Real estate - residential
Owner occupied
HAMP1	-		-		-	1		239		235
Revolving and junior liens
HAMP1	-		-			4		469		433
Other2	1		70		70	1		70		70
Total	1	$	70	$	70	8	$	1,090	$	949

1 HAMP: Home Affordable Modification Program