Loans and Allowance for Loan Losses

Schedule of past due aging analysis of the loan portfolio


	September 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	$	504,309	$	657	$	—	$	1,633	$	506,599
Real estate construction		37,751		—		—		—		37,751
Commercial real estate		569,209		—		—		4,309		573,518
Total commercial		1,111,269		657		—		5,942		1,117,868
Consumer
Residential real estate first mortgage		500,350		876		—		113		501,339
Residential real estate junior lien		129,521		552		—		170		130,243
Other revolving and installment		50,735		197		—		4		50,936
Total consumer		680,606		1,625		—		287		682,518
Total loans	$	1,791,875	$	2,282	$	—	$	6,229	$	1,800,386


	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 September 30, 2021
	Beginning		Provision for		Loan		Loan		Ending
(dollars in thousands)	Balance		Loan Losses		Charge-offs		Recoveries		Balance
Commercial
Commercial and industrial	$	9,620	$	(825)	$	(747)	$	1,052	$	9,100
Real estate construction		587		92		—		—		679
Commercial real estate		12,937		(413)		—		—		12,524
Total commercial		23,144		(1,146)		(747)		1,052		22,303
Consumer
Residential real estate first mortgage		6,176		625		—		—		6,801
Residential real estate junior lien		1,401		6		—		16		1,423
Other revolving and installment		574		(32)		(46)		27		523
Total consumer		8,151		599		(46)		43		8,747
Unallocated		2,469		(1,453)		—		—		1,016
Total	$	33,764	$	(2,000)	$	(793)	$	1,095	$	32,066


	Nine months ended September 30, 2021
	Beginning		Provision for		Loan		Loan		Ending
(dollars in thousands)	Balance		Loan Losses		Charge-offs		Recoveries		Balance
Commercial
Commercial and industrial	$	10,205	$	(1,378)	$	(1,224)	$	1,497	$	9,100
Real estate construction		658		21		—		—		679
Commercial real estate		14,105		(1,049)		(536)		4		12,524
Total commercial		24,968		(2,406)		(1,760)		1,501		22,303
Consumer
Residential real estate first mortgage		5,774		1,027		—		—		6,801
Residential real estate junior lien		1,373		(63)		—		113		1,423
Other revolving and installment		753		(196)		(139)		105		523
Total consumer		7,900		768		(139)		218		8,747
Unallocated		1,378		(362)		—		—		1,016
Total	$	34,246	$	(2,000)	$	(1,899)	$	1,719	$	32,066


	Three months ended September 30, 2020
	Beginning		Provision for		Loan		Loan		Ending
(dollars in thousands)	Balance		Loan Losses		Charge-offs		Recoveries		Balance
Commercial
Commercial and industrial	$	10,797	$	(846)	$	(10)	$	432	$	10,373
Real estate construction		443		40		—		—		483
Commercial real estate		9,948		1,828		—		95		11,871
Total commercial		21,188		1,022		(10)		527		22,727
Consumer
Residential real estate first mortgage		2,673		1,694		—		—		4,367
Residential real estate junior lien		1,102		28		—		81		1,211
Other revolving and installment		546		108		(41)		24		637
Total consumer		4,321		1,830		(41)		105		6,215
Unallocated		1,747		648		—		—		2,395
Total	$	27,256	$	3,500	$	(51)	$	632	$	31,337


	Nine months ended September 30, 2020
	Beginning		Provision for		Loan		Loan		Ending
(dollars in thousands)	Balance		Loan Losses		Charge-offs		Recoveries		Balance
Commercial
Commercial and industrial	$	12,270	$	(498)	$	(2,745)	$	1,346	$	10,373
Real estate construction		303		180		—		—		483
Commercial real estate		6,688		5,953		(865)		95		11,871
Total commercial		19,261		5,635		(3,610)		1,441		22,727
Consumer
Residential real estate first mortgage		1,448		2,914		—		5		4,367
Residential real estate junior lien		671		377		(12)		175		1,211
Other revolving and installment		352		371		(194)		108		637
Total consumer		2,471		3,662		(206)		288		6,215
Unallocated		2,192		203		—		—		2,395
Total	$	23,924	$	9,500	$	(3,816)	$	1,729	$	31,337

Schedule of impaired loans


	September 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	$	710	$	725	$	536	$	723	$	725	$	336
Commercial real estate		777		920		11		3,948		3,974		837
Residential real estate junior lien		8		8		8		19		20		19
Other revolving and installment		4		4		4		27		27		13
Total impaired loans with a valuation allowance		1,499		1,657		559		4,717		4,746		1,205
Impaired loans without a valuation allowance
Commercial and industrial		1,451		1,603		—		1,893		2,173		—
Commercial real estate		3,716		3,872		—		1,276		1,415		—
Residential real estate first mortgage		121		123		—		439		464		—
Residential real estate junior lien		164		194		—		205		306		—
Other revolving and installment		—		—		—		—		—		—
Total impaired loans without a valuation allowance		5,452		5,792		—		3,813		4,358		—
Total impaired loans
Commercial and industrial		2,161		2,328		536		2,616		2,898		336
Commercial real estate		4,493		4,792		11		5,224		5,389		837
Residential real estate first mortgage		121		123		—		439		464		—
Residential real estate junior lien		172		202		8		224		326		19
Other revolving and installment		4		4		4		27		27		13
Total impaired loans	$	6,951	$	7,449	$	559	$	8,530	$	9,104	$	1,205

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


	Three months ended September 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	$	719	$	3	$	2,541	$	14
Commercial real estate		779		2		197		8
Residential real estate first mortgage		—		—		—		—
Residential real estate junior lien		8		—		19		—
Other revolving and installment		4		—		—		—
Total impaired loans with a valuation allowance		1,510		5		2,757		22
Impaired loans without a valuation allowance
Commercial and industrial		2,016		5		1,013		24
Commercial real estate		3,793		—		1,330		—
Residential real estate first mortgage		121		—		459		—
Residential real estate junior lien		166		—		211		3
Other revolving and installment		—		—		—		—
Total impaired loans without a valuation allowance		6,096		5		3,013		27
Total impaired loans
Commercial and industrial		2,735		8		3,554		38
Commercial real estate		4,572		2		1,527		8
Residential real estate first mortgage		121		—		459		—
Residential real estate junior lien		174		—		230		3
Other revolving and installment		4		—		—		—
Total impaired loans	$	7,606	$	10	$	5,770	$	49


	Nine Months Ended September 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	$	818	$	10	$	3,815	$	14
Commercial real estate		782		6		200		8
Residential real estate junior lien		11		—		20		—
Other revolving and installment		3		—		—		—
Total impaired loans with a valuation allowance		1,614		16		4,035		22
Impaired loans without a valuation allowance
Commercial and industrial		2,061		15		1,154		26
Commercial real estate		3,980		—		1,699		—
Residential real estate first mortgage		114		—		467		—
Residential real estate junior lien		190		—		217		3
Other revolving and installment		—		—		—		—
Total impaired loans without a valuation allowance		6,345		15		3,537		29
Total impaired loans
Commercial and industrial		2,879		25		4,969		40
Commercial real estate		4,762		6		1,899		8
Residential real estate first mortgage		114		—		467		—
Residential real estate junior lien		201		—		237		3
Other revolving and installment		3		—		—		—
Total impaired loans	$	7,959	$	31	$	7,572	$	51