ALLOWANCE FOR LOAN AND LEASE LOSSES

The following table presents by class, the activity in the Allowance for the periods indicated:



			Real estate
	Commercial, Financial & Agricultural		Construction			Mortgage - Residential			Mortgage - Commercial			Consumer		Leases			Unallocated			Total
	(Dollars in thousands)
Three Months Ended March 31, 2016
Beginning balance	$	6,905	$	8,454		$	17,738		$	21,847		$	6,230	$	—		$	2,140		$	63,314
Provision (credit) for loan and lease losses	98		(4,335		)	230			3,313			87					(140		)	(747		)
	7,003		4,119			17,968			25,160			6,317		—			2,000			62,567
Charge-offs	352		—			—			—			1,112		—			—			1,464
Recoveries	349		9			37			13			638		—			—			1,046
Net charge-offs (recoveries)	3		(9		)	(37		)	(13		)	474		—			—			418
Ending balance	$	7,000	$	4,128		$	18,005		$	25,173		$	5,843	$	—		$	2,000		$	62,149

Three Months Ended March 31, 2015
Beginning balance	$	8,954	$	14,969		$	17,927		$	20,869		$	7,314	$	7		$	4,000		$	74,040
Provision (credit) for loan and lease losses	147		(787		)	(2,344		)	(721		)	965		(7		)	—			(2,747		)
	9,101		14,182			15,583			20,148			8,279		—			4,000			71,293
Charge-offs	878		—			14			—			1,894		—			—			2,786
Recoveries	568		123			1,488			13			734		—			—			2,926
Net charge-offs (recoveries)	310		(123		)	(1,474		)	(13		)	1,160		—			—			(140		)
Ending balance	$	8,791	$	14,305		$	17,057		$	20,161		$	7,119	$	—		$	4,000		$	71,433

Loans held for sale and other real estate assets are not included in our assessment of the Allowance.

Our Provision was a credit of $0.7 million in the three months ended March 31, 2016, compared to a credit of $2.7 million in the three months ended March 31, 2015.

In determining the amount of our Allowance, we rely on an analysis of our loan portfolio, our experience and our evaluation of general economic conditions, as well as regulatory requirements and input. If our assumptions prove to be incorrect, our current Allowance may not be sufficient to cover future loan losses and we may experience significant increases to our Provision.