Loans and Allowance for Loan Losses

Schedule of past due aging analysis of the loan portfolio


	June 30, 2021
					90 Days
	Accruing		30 - 89 Days		or More				Total
(dollars in thousands)	Current		Past Due		Past Due		Nonaccrual		Loans
Commercial
Commercial and industrial	$	570,287	$	312	$	—	$	2,135	$	572,734
Real estate construction		36,549		—		—		—		36,549
Commercial real estate		563,521		—		—		4,466		567,987
Total commercial		1,170,357		312		—		6,601		1,177,270
Consumer
Residential real estate first mortgage		469,273		1,526		—		23		470,822
Residential real estate junior lien		129,698		159		—		323		130,180
Other revolving and installment		56,757		270		—		13		57,040
Total consumer		655,728		1,955		—		359		658,042
Total loans	$	1,826,085	$	2,267	$	—	$	6,960	$	1,835,312


	December 31, 2020
					90 Days
	Accruing		30 - 89 Days		or More				Total
(dollars in thousands)	Current		Past Due		Past Due		Nonaccrual		Loans
Commercial
Commercial and industrial	$	689,340	$	500	$	30	$	1,988	$	691,858
Real estate construction		44,451		—		—		—		44,451
Commercial real estate		558,127		2,449		—		2,431		563,007
Total commercial		1,291,918		2,949		30		4,419		1,299,316
Consumer
Residential real estate first mortgage		461,179		1,752		—		439		463,370
Residential real estate junior lien		143,060		191		—		165		143,416
Other revolving and installment		73,128		118		—		27		73,273
Total consumer		677,367		2,061		—		631		680,059
Total loans	$	1,969,285	$	5,010	$	30	$	5,050	$	1,979,375

Summary of changes in allowances


	Three months ended June 30, 2021
	Beginning		Provision for		Loan		Loan		Ending
(dollars in thousands)	Balance		Loan Losses		Charge-offs		Recoveries		Balance
Commercial
Commercial and industrial	$	10,487	$	(869)	$	(273)	$	275	$	9,620
Real estate construction		598		(11)		—		—		587
Commercial real estate		13,849		(913)		—		1		12,937
Total commercial		24,934		(1,793)		(273)		276		23,144
Consumer
Residential real estate first mortgage		6,047		129		—		—		6,176
Residential real estate junior lien		1,288		99		—		14		1,401
Other revolving and installment		666		(81)		(49)		38		574
Total consumer		8,001		147		(49)		52		8,151
Unallocated		823		1,646		—		—		2,469
Total	$	33,758	$	—	$	(322)	$	328	$	33,764


	Six months ended June 30, 2021
	Beginning		Provision for		Loan		Loan		Ending
(dollars in thousands)	Balance		Loan Losses		Charge-offs		Recoveries		Balance
Commercial
Commercial and industrial	$	10,205	$	(553)	$	(477)	$	445	$	9,620
Real estate construction		658		(71)		—		—		587
Commercial real estate		14,105		(636)		(536)		4		12,937
Total commercial		24,968		(1,260)		(1,013)		449		23,144
Consumer
Residential real estate first mortgage		5,774		402		—		—		6,176
Residential real estate junior lien		1,373		(69)		—		97		1,401
Other revolving and installment		753		(164)		(93)		78		574
Total consumer		7,900		169		(93)		175		8,151
Unallocated		1,378		1,091		—		—		2,469
Total	$	34,246	$	—	$	(1,106)	$	624	$	33,764


	Three months ended June 30, 2020
	Beginning		Provision for		Loan		Loan		Ending
(dollars in thousands)	Balance		Loan Losses		Charge-offs		Recoveries		Balance
Commercial
Commercial and industrial	$	12,901	$	278	$	(2,703)	$	321	$	10,797
Real estate construction		334		109		—		—		443
Commercial real estate		8,276		2,537		(865)		—		9,948
Total commercial		21,511		2,924		(3,568)		321		21,188
Consumer
Residential real estate first mortgage		2,209		459		—		5		2,673
Residential real estate junior lien		1,025		32		(12)		57		1,102
Other revolving and installment		441		171		(86)		20		546
Total consumer		3,675		662		(98)		82		4,321
Unallocated		1,833		(86)		—		—		1,747
Total	$	27,019	$	3,500	$	(3,666)	$	403	$	27,256


	Six months ended June 30, 2020
	Beginning		Provision for		Loan		Loan		Ending
(dollars in thousands)	Balance		Loan Losses		Charge-offs		Recoveries		Balance
Commercial
Commercial and industrial	$	12,270	$	348	$	(2,735)	$	914	$	10,797
Real estate construction		303		140		—		—		443
Commercial real estate		6,688		4,125		(865)		—		9,948
Total commercial		19,261		4,613		(3,600)		914		21,188
Consumer
Residential real estate first mortgage		1,448		1,220		—		5		2,673
Residential real estate junior lien		671		349		(12)		94		1,102
Other revolving and installment		352		263		(153)		84		546
Total consumer		2,471		1,832		(165)		183		4,321
Unallocated		2,192		(445)		—		—		1,747
Total	$	23,924	$	6,000	$	(3,765)	$	1,097	$	27,256

Schedule of impaired loans


	June 30, 2021						December 31, 2020
	Recorded		Unpaid		Related		Recorded		Unpaid		Related
(dollars in thousands)	Investment		Principal		Allowance		Investment		Principal		Allowance
Impaired loans with a valuation allowance
Commercial and industrial	$	1,534	$	1,546	$	885	$	723	$	725	$	336
Commercial real estate		187		211		7		3,948		3,974		837
Residential real estate junior lien		27		28		27		19		20		19
Other revolving and installment		13		13		3		27		27		13
Total impaired loans with a valuation allowance		1,761		1,798		922		4,717		4,746		1,205
Impaired loans without a valuation allowance
Commercial and industrial		1,162		1,314		—		1,893		2,173		—
Commercial real estate		4,466		4,621		—		1,276		1,415		—
Residential real estate first mortgage		23		25		—		439		464		—
Residential real estate junior lien		299		325		—		205		306		—
Other revolving and installment		—		—		—		—		—		—
Total impaired loans without a valuation allowance		5,950		6,285		—		3,813		4,358		—
Total impaired loans
Commercial and industrial		2,696		2,860		885		2,616		2,898		336
Commercial real estate		4,653		4,832		7		5,224		5,389		837
Residential real estate first mortgage		23		25		—		439		464		—
Residential real estate junior lien		326		353		27		224		326		19
Other revolving and installment		13		13		3		27		27		13
Total impaired loans	$	7,711	$	8,083	$	922	$	8,530	$	9,104	$	1,205

The table below presents the average recorded investment in impaired loans and interest income for the three and six months ended June 30, 2021 and 2020:


	Three months ended June 30,
	2021				2020
	Average				Average
	Recorded		Interest		Recorded		Interest
(dollars in thousands)	Investment		Income		Investment		Income
Impaired loans with a valuation allowance
Commercial and industrial	$	1,548	$	3	$	4,881	$	15
Commercial real estate		188		2		200		8
Residential real estate first mortgage		—		—		—		—
Residential real estate junior lien		27		—		20		—
Other revolving and installment		13		—		35		—
Total impaired loans with a valuation allowance		1,776		5		5,136		23
Impaired loans without a valuation allowance
Commercial and industrial		1,174		5		694		26
Commercial real estate		4,472		—		1,693		—
Residential real estate first mortgage		23		—		755		—
Residential real estate junior lien		302		—		255		3
Other revolving and installment		—		—		4		—
Total impaired loans without a valuation allowance		5,971		5		3,401		29
Total impaired loans
Commercial and industrial		2,722		8		5,575		41
Commercial real estate		4,660		2		1,893		8
Residential real estate first mortgage		23		—		755		—
Residential real estate junior lien		329		—		275		3
Other revolving and installment		13		—		39		—
Total impaired loans	$	7,747	$	10	$	8,537	$	52


	Six Months Ended June 30,
	2021				2020
	Average				Average
	Recorded		Interest		Recorded		Interest
(dollars in thousands)	Investment		Income		Investment		Income
Impaired loans with a valuation allowance
Commercial and industrial	$	1,637	$	6	$	4,714	$	15
Commercial real estate		190		4		203		8
Residential real estate junior lien		30		—		20		—
Other revolving and installment		14		—		35		—
Total impaired loans with a valuation allowance		1,871		10		4,972		23
Impaired loans without a valuation allowance
Commercial and industrial		1,187		11		747		26
Commercial real estate		4,662		—		1,821		—
Residential real estate first mortgage		24		—		761		—
Residential real estate junior lien		303		—		279		3
Other revolving and installment		—		—		5		—
Total impaired loans without a valuation allowance		6,176		11		3,613		29
Total impaired loans
Commercial and industrial		2,824		17		5,461		41
Commercial real estate		4,852		4		2,024		8
Residential real estate first mortgage		24		—		761		—
Residential real estate junior lien		333		—		299		3
Other revolving and installment		14		—		40		—
Total impaired loans	$	8,047	$	21	$	8,585	$	52