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Loans and Allowance for Credit Losses
 9 Months Ended
Sep. 30, 2025
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract]  
Loans and Allowance for Credit Losses Loans and Allowance for Credit Losses
The following table presents the composition of the loan portfolio:
(In thousands)September 30, 2025December 31, 2024
Commercial real estate$1,263,896 $969,514 
Residential mortgage593,283 401,950 
Commercial and industrial218,364 140,906 
Home equity lines of credit125,839 85,685 
Real estate construction126,451 76,773 
Consumer10,144 9,318 
Gross loans2,337,977 1,684,146 
Unearned income(1,372)(1,236)
Total loans, net of unearned income$2,336,605 $1,682,910 
Loans with a fair value of $648.5 million at the Acquisition date were assumed and included an acquisition accounting adjustment of $25.3 million.
One of the factors used to monitor the performance and credit quality of the loan portfolio is to analyze the age of the loans receivable as determined by the length of time a recorded payment is past due. The following tables present the classes of the loan portfolio summarized by the past due status:
(In thousands)30–59 Days Past Due60–89 Days
Past Due		≥ 90 Days
Past Due		Total Past
Due		CurrentTotal Loans
Receivable		Loans
Receivable
≥ 90 Days
and Accruing
September 30, 2025
Commercial real estate$132 $135 $89 $356 $1,263,540 $1,263,896 $— 
Residential mortgage320 975 3,583 4,878 588,405 593,283 2,910 
Commercial and industrial115 — 143 258 218,106 218,364 — 
Home equity lines of credit572 227 70 869 124,970 125,839 70 
Real estate construction— — — — 126,451 126,451 — 
Consumer56 17 — 73 10,071 10,144 — 
Gross Loans$1,195 $1,354 $3,885 $6,434 $2,331,543 $2,337,977 $2,980 
(In thousands)30–59 Days Past Due60–89 Days
Past Due		≥ 90 Days
Past Due		Total Past
Due		CurrentTotal Loans
Receivable		Loans
Receivable
≥ 90 Days
and Accruing
December 31, 2024
Commercial real estate$763 $527 $314 $1,604 $967,910 $969,514 $— 
Residential mortgage953 987 850 2,790 399,160 401,950 850 
Commercial and industrial437 24 155 616 140,290 140,906 — 
Home equity lines of credit161 — 91 252 85,433 85,685 91 
Real estate construction15 11 — 26 76,747 76,773 — 
Consumer47 18 — 65 9,253 9,318 — 
Gross Loans$2,376 $1,567 $1,410 $5,353 $1,678,793 $1,684,146 $941 
Nonaccrual and Nonperforming Loans
Loans individually evaluated consist of nonaccrual loans, presented in the following table:
September 30, 2025December 31, 2024
(In thousands)With a Related AllowanceWithout a Related AllowanceTotalWith a Related AllowanceWithout a Related AllowanceTotal
Commercial real estate$— $3,573 $3,573 $314 $3,250 $3,564 
Residential mortgage— 1,062 1,062 — — — 
Commercial and industrial1,877 518 2,395 2,081 226 2,307 
Home equity lines of credit— 6 6 — — — 
 Total$1,877 $5,159 $7,036 $2,395 $3,476 $5,871 
During the nine months ended September 30, 2025, no material amount of interest income was recognized on nonaccrual loans subsequent to their classification as nonaccrual.
Total nonperforming loans are as follows:
(In thousands)September 30, 2025December 31, 2024
Nonaccrual loans$7,036 $5,871 
Greater than or equal to 90 days past due and accruing2,980 941 
Total nonperforming loans$10,016 $6,812 
Nonperforming loans include consumer residential mortgages and home equity lines of credit which are well secured by residential real estate properties and are in the process of collection are not considered nonaccrual.
Collateral-Dependent Loans
A loan is considered to be collateral-dependent when the debtor is experiencing financial difficulty and repayment is expected to be provided substantially through the sale or operation of the collateral. For all classes of loans deemed collateral-dependent, the Corporation elected the practical expedient to estimate expected credit losses based on the collateral’s fair value less cost to sell. In most cases, the Corporation records a partial charge-off to reduce the collateral-dependent loan’s carrying value to the fair value of the collateral less cost to sell. Substantially all of the collateral supporting collateral-dependent loans consists of various types of real estate, including residential properties, commercial properties, such as retail centers, office buildings, and lodging, agriculture land, and vacant land. Changes in the fair value of the collateral for individually evaluated loans are reported as provision for credit losses or a reversal of provision for credit losses in the period of change.
The following table presents the amortized cost basis of individually evaluated loans by type of collateral as of the periods presented:
September 30, 2025December 31, 2024
(In thousands)Business AssetsReal EstateBusiness AssetsReal Estate
Commercial real estate$— $3,573 $— $3,564 
Residential mortgage— 1,062 — — 
Commercial and industrial2,058 337 2,307 — 
Home equity lines of credit— 6 — — 
Total$2,058 $4,978 $2,307 $3,564 
Loan Modifications
The Corporation evaluates all loan restructurings according to the accounting guidance for loan modifications to determine if the restructuring results in a new loan or a continuation of the existing loan. Loan modifications to borrowers experiencing financial difficulty that result in a direct change in the timing or amount of contractual cash flows include situations where there is principal forgiveness, interest rate reductions, other-than-insignificant payment delays, term extensions, or combinations of the above. Therefore, the disclosures related to loan restructurings are only for modifications that directly affect cash flows.
During the three and nine months ended September 30, 2025 the Corporation did not modify any loans nor were there any commitments to lend any additional funds on existing modified loans. During the three and nine months ended September 30, 2024 the Corporation modified $4.0 million of commercial real estate and commercial and industrial loans that were experiencing financial difficulty with a combination of payment deferrals and interest only payments. These loans were current as of September 30, 2025. There were no loans modified in the previous twelve months as of September 30, 2025 and no loans defaulted during the period that had been modified preceding the payment default when the borrower was experiencing financial difficulty at the time of modification. For purposes of this disclosure, a default occurs when, within 12 months of the original modification, either a full or partial charge-off occurs or the loan becomes 90 days or more past due.
Allowance for Credit Losses
The Corporation maintains an ACL at a level determined to be adequate to absorb expected credit losses associated with the Corporation’s financial instruments over the life of those instruments as of the balance sheet date. The ACL consists of loans evaluated collectively and individually for expected credit losses. The Corporation considers the performance of the loan portfolio and its impact on the ACL and does not assign internal risk ratings to smaller balance, homogeneous loans such as certain residential mortgage, home equity lines of credit, construction loans to individuals secured by residential real estate and consumer loans. For these loans, the Corporation evaluates credit quality based on the aging status of the loan and designates as performing and nonperforming.
The following summarizes designated internal risk categories by portfolio segment for loans assigned a risk rating and those evaluated based on the performance status:
September 30, 2025
Term Loans Amortized Cost Basis by Origination YearRevolving Loans Amortized Cost Basis
(In thousands)20252024202320222021PriorTotal
Internally Risk Rated:
Commercial real estate
Pass$57,733 $163,778 $179,021 $206,993 $170,951 $407,445 $27,181 $1,213,102 
Special Mention414 1,514 2,491 4,629 7,385 25,049 1,793 43,275 
Substandard154 — — 2,228 331 4,806 — 7,519 
Total Commercial real estate$58,301 $165,292 $181,512 $213,850 $178,667 $437,300 $28,974 $1,263,896 
Year-to-date gross charge-offs$— $— $— $— $— $32 $— $32 
Residential mortgage
Pass$28,321 $30,190 $35,670 $24,129 $38,788 $56,517 $617 $214,232 
Special Mention178 128 141 310 141 2,874 124 3,896 
Substandard— — 233 1,032 — 277 — 1,542 
Total Residential Mortgage$28,499 $30,318 $36,044 $25,471 $38,929 $59,668 $741 $219,670 
Commercial and industrial
Pass$17,512 $22,174 $17,474 $21,130 $36,785 $35,177 $50,854 $201,106 
Special Mention382 221 434 5,072 72 534 7,083 13,798 
Substandard— — 471 798 122 560 1,509 3,460 
Total Commercial and industrial$17,894 $22,395 $18,379 $27,000 $36,979 $36,271 $59,446 $218,364 
Year-to-date gross charge-offs$— $— $— $— $— $14 $— $14 
Home equity lines of credit
Pass$— $— $289 $86 $30 $52 $8,642 $9,099 
Special Mention— — — — 95 — 627 722 
Substandard— — — — — 5 6 11 
Total Home equity lines of credit$— $— $289 $86 $125 $57 $9,275 $9,832 
Real estate construction
Pass$17,079 $28,754 $21,747 $7,692 $1,682 $779 $7,119 $84,852 
Special Mention— — — 4,705 — 373 45 5,123 
Total Real estate construction$17,079 $28,754 $21,747 $12,397 $1,682 $1,152 $7,164 $89,975 
Performance Rated:
Residential mortgage
Performing$26,091 $34,631 $55,740 $82,074 $41,182 $125,340 $5,645 $370,703 
Nonperforming— — — 1,614 165 1,131 — 2,910 
Total Residential Mortgage$26,091 $34,631 $55,740 $83,688 $41,347 $126,471 $5,645 $373,613 
Home equity lines of credit
Performing$— $— $15 $30 $— $2,146 $113,746 $115,937 
Nonperforming— — — — — — 70 70 
Total Home equity lines of credit$— $— $15 $30 $— $2,146 $113,816 $116,007 
Real estate construction
Performing$21,379 $12,993 $702 $368 $148 $885 $1 $36,476 
Total Real estate construction$21,379 $12,993 $702 $368 $148 $885 $1 $36,476 
Consumer
Performing$1,282 $1,402 $1,001 $1,277 $315 $686 $4,181 $10,144 
Total Consumer$1,282 $1,402 $1,001 $1,277 $315 $686 $4,181 $10,144 
Year-to-date gross charge-offs$— $27 $38 $15 $— $8 $170 $258 
Total Portfolio loans:
Pass$120,645 $244,896 $254,201 $260,030 $248,236 $499,970 $94,413 $1,722,391 
Special Mention974 1,863 3,066 14,716 7,693 28,830 9,672 66,814 
Substandard154 — 704 4,058 453 5,648 1,515 12,532 
Performing48,752 49,026 57,458 83,749 41,645 129,057 123,573 533,260 
Nonperforming— — — 1,614 165 1,131 70 2,980 
Total Portfolio loans$170,525 $295,785 $315,429 $364,167 $298,192 $664,636 $229,243 $2,337,977 
Year-to-date gross charge-offs$— $27 $38 $15 $— $54 $170 $304 
December 31, 2024
Term Loans Amortized Cost Basis by Origination YearRevolving Loans Amortized Cost Basis
(In thousands)20242023202220212020PriorTotal
Internally Risk Rated:
Commercial real estate
Pass$120,989 $135,995 $164,167 $121,092 $55,408 $312,999 $17,276 $927,926 
Special Mention1,887 3,826 2,880 6,639 2,177 11,613 1,303 30,325 
Substandard— — 2,332 342 1,485 7,059 45 11,263 
Total Commercial real estate$122,876 $139,821 $169,379 $128,073 $59,070 $331,671 $18,624 $969,514 
Residential mortgage
Pass$27,887 $35,566 $23,095 $38,848 $13,446 $31,784 $466 $171,092 
Special Mention130 1,692 167 146 366 3,246 115 5,862 
Substandard— 237 188 — — 68 — 493 
Total Residential mortgage$28,017 $37,495 $23,450 $38,994 $13,812 $35,098 $581 $177,447 
Commercial and industrial
Pass$10,000 $10,067 $19,584 $29,673 $13,162 $18,976 $30,015 $131,477 
Special Mention165 109 246 192 78 459 2,554 3,803 
Substandard— 526 468 335 2 979 3,316 5,626 
Total Commercial and industrial$10,165 $10,702 $20,298 $30,200 $13,242 $20,414 $35,885 $140,906 
Year-to-date gross charge-offs$— $38 $— $— $— $100 $— $138 
Home equity lines of credit
Pass$— $294 $92 $— $— $501 $5,729 $6,616 
Special Mention— — — — — — 696 696 
Substandard— — — — — 6 — 6 
Total Home equity lines of credit$— $294 $92 $— $— $507 $6,425 $7,318 
Real estate construction
Pass$21,227 $24,463 $7,719 $1,209 $298 $1,060 $6,086 $62,062 
Special Mention— 168 5,100 — — 667 45 5,980 
Substandard— — — — — 62 — 62 
Total Real estate construction$21,227 $24,631 $12,819 $1,209 $298 $1,789 $6,131 $68,104 
Performance Rated:
Residential mortgage
Performing$14,786 $41,275 $39,943 $13,523 $13,876 $100,601 $72 $224,076 
Nonperforming— — — — — 427 — 427 
Total Residential mortgage$14,786 $41,275 $39,943 $13,523 $13,876 $101,028 $72 $224,503 
Home equity lines of credit
Performing$— $18 $34 $— $12 $2,591 $75,621 $78,276 
Nonperforming— — — — — — 91 91 
Total Home equity lines of credit$— $18 $34 $— $12 $2,591 $75,712 $78,367 
Real estate construction
Performing$6,486 $222 $725 $160 $188 $888 $— $8,669 
Total Real estate construction$6,486 $222 $725 $160 $188 $888 $— $8,669 
Consumer
Performing$2,000 $1,521 $1,694 $465 $276 $778 $2,584 $9,318 
Total Consumer$2,000 $1,521 $1,694 $465 $276 $778 $2,584 $9,318 
Year-to-date gross charge-offs$— $4 $9 $— $1 $7 $197 $218 
Total Portfolio loans
Pass$180,103 $206,385 $214,657 $190,822 $82,314 $365,320 $59,572 $1,299,173 
Special Mention2,182 5,795 8,393 6,977 2,621 15,985 4,713 46,666 
Substandard— 763 2,988 677 1,487 8,174 3,361 17,450 
Performing23,272 43,036 42,396 14,148 14,352 104,858 78,277 320,339 
Nonperforming— — — — — 427 91 518 
Total Portfolio loans$205,557 $255,979 $268,434 $212,624 $100,774 $494,764 $146,014 $1,684,146 
Year-to-date gross charge-offs$— $42 $9 $— $1 $107 $197 $356 
The following table presents the activity in the ACL by loan portfolio segment:
(In thousands)Commercial
Real Estate		Residential
Mortgage		Commercial
and
Industrial		Home Equity
Lines of
Credit		Real Estate
Construction		ConsumerTotal
Three Months Ended September 30, 2025    
Beginning balance - July 1, 2025$13,037 $5,204 $2,237 $450 $3,256 $169 $24,353 
Charge-offs(32)— — — — (101)(133)
Recoveries— — 1 — — 23 24 
(Reversal of) provisions(25)20 (203)(40)(401)65 (584)
Ending balance - September 30, 2025$12,980 $5,224 $2,035 $410 $2,855 $156 $23,660 
Nine Months Ended September 30, 2025
Beginning balance - January 1, 2025$10,578 $2,976 $1,416 $294 $1,918 $98 $17,280 
Allowance established for acquired PCD loans798 140 194 13 169 150 1,464 
Charge-offs(32)— (14)— — (258)(304)
Recoveries— — 11 — — 53 64 
Provisions1,636 2,108 428 103 768 113 5,156 
Ending balance - September 30, 2025$12,980 $5,224 $2,035 $410 $2,855 $156 $23,660 
Three Months Ended September 30, 2024    
Beginning balance - July 1, 2024$10,196 $2,839 $1,465 $312 $2,247 $103 $17,162 
Charge-offs— — — — — (51)(51)
Recoveries— — 6 — — 16 22 
Provisions (reversal of)196 31 301 (16)(467)36 81 
Ending balance - September 30, 2024$10,392 $2,870 $1,772 $296 $1,780 $104 $17,214 
Nine Months Ended September 30, 2024
Beginning balance - January 1, 2024$12,010 $3,303 $2,048 $397 $2,070 $141 $19,969 
Charge-offs— — — — — (163)(163)
Recoveries— — 24 — — 70 94 
(Reversal of) provisions(1,618)(433)(300)(101)(290)56 (2,686)
Ending balance - September 30, 2024$10,392 $2,870 $1,772 $296 $1,780 $104 $17,214