LOANS

Loans outstanding at

December 31, 2019

and

2018

are summarized as follows:

Summary of Loans by Type
(In Thousands)	Dec. 31,			Dec. 31,
	2019			2018
Residential mortgage:
Residential mortgage loans - first liens	$	510,641		$	372,339
Residential mortgage loans - junior liens		27,503			25,450
Home equity lines of credit		33,638			34,319
1-4 Family residential construction		14,798			24,698
Total residential mortgage		586,580			456,806
Commercial:
Commercial loans secured by real estate		301,227			162,611
Commercial and industrial		126,374			91,856
Political subdivisions		53,570			53,263
Commercial construction and land		33,555			11,962
Loans secured by farmland		12,251			7,146
Multi-family (5 or more) residential		31,070			7,180
Agricultural loans		4,319			5,659
Other commercial loans		16,535			13,950
Total commercial		578,901			353,627
Consumer		16,741			17,130
Total		1,182,222			827,563
Less: allowance for loan losses		(9,836	)		(9,309	)
Loans, net	$	1,172,386		$	818,254

In the table above, outstanding loan balances are presented net of deferred loan origination fees, net, of

$2,482,000

December 31, 2019

and

$1,999,000

December 31, 2018.

As described in Note

effective

April 1, 2019,

the Corporation acquired loans pursuant to the acquisition of Monument. The loans acquired from Monument were recorded at an initial fair value of

$259,295,000.

The gross amortized cost of loans acquired from Monument on

April 1, 2019

was reduced

$1,807,000

based on movements in interest rates (market rate adjustment) and was also reduced

$1,914,000

based on a credit fair value adjustment on non-impaired loans and by

$318,000

based on a credit fair value adjustment on impaired loans. In

2019,

adjustments to these initial discounts to the carrying amounts of loans were recognized as follows:

(In Thousands)				Credit
	Market			Adjustment on			Credit
	Rate			Non-impaired			Adjustment on
	Adjustment			Loans			PCI Loans
Adjustments to gross amortized cost of loans at acquisition	$	(1,807	)	$	(1,914	)	$	(318	)
Accretion recognized in interest income		392			698
Recovery from PCI loan pay-off								10
Adjustments to gross amortized cost of loans at December 31, 2019	$	(1,415	)	$	(1,216	)	$	(308	)

The Corporation grants loans to individuals as well as commercial and tax-exempt entities. Commercial, residential and personal loans are made to customers geographically concentrated in northcentral Pennsylvania, the southern tier of New York State, southeastern Pennsylvania and southcentral Pennsylvania. Although the Corporation has a diversified loan portfolio, a significant portion of its debtors’ ability to honor their contracts is dependent on the local economic conditions within the region. There is

concentration of loans to borrowers engaged in similar businesses or activities that exceed

10%

of total loans at

December 31, 2019.

Transactions within the allowance for loan losses, summarized by segment and class, were as follows:

Year Ended December 31, 2019	Dec. 31,										Dec. 31,
(In Thousands)	2018 Balance		Charge-offs			Recoveries		Provision (Credit)			2019 Balance
Allowance for Loan Losses:
Residential mortgage:
Residential mortgage loans - first liens	$	3,156	$	(166	)	$	4	$	411		$	3,405
Residential mortgage loans - junior liens		325		(24	)		2		81			384
Home equity lines of credit		302		0			5		(31	)		276
1-4 Family residential construction		203		0			1		(87	)		117
Total residential mortgage		3,986		(190	)		12		374			4,182
Commercial:
Commercial loans secured by real estate		2,538		0			0		(617	)		1,921
Commercial and industrial		1,553		(6	)		6		(162	)		1,391
Commercial construction and land		110		0			0		856			966
Loans secured by farmland		102		0			0		56			158
Multi-family (5 or more) residential		114		0			0		42			156
Agricultural loans		46		0			0		(5	)		41
Other commercial loans		128		0			0		27			155
Total commercial		4,591		(6	)		6		197			4,788
Consumer		233		(183	)		39		192			281
Unallocated		499		0			0		86			585
Total Allowance for Loan Losses	$	9,309	$	(379	)	$	57	$	849		$	9,836

Year Ended December 31, 2018	Dec. 31,										Dec. 31,
(In Thousands)	2017 Balance		Charge-offs			Recoveries		Provision (Credit)			2018 Balance
Allowance for Loan Losses:
Residential mortgage:
Residential mortgage loans - first liens	$	3,200	$	(108	)	$	4	$	60		$	3,156
Residential mortgage loans - junior liens		224		0			4		97			325
Home equity lines of credit		296		(50	)		0		56			302
1-4 Family residential construction		243		0			0		(40	)		203
Total residential mortgage		3,963		(158	)		8		173			3,986
Commercial:
Commercial loans secured by real estate		2,584		(21	)		0		(25	)		2,538
Commercial and industrial		1,065		(144	)		6		626			1,553
Commercial construction and land		150		0			0		(40	)		110
Loans secured by farmland		105		0			0		(3	)		102
Multi-family (5 or more) residential		172		0			311		(369	)		114
Agricultural loans		57		0			0		(11	)		46
Other commercial loans		102		0			0		26			128
Total commercial		4,235		(165	)		317		204			4,591
Consumer		159		(174	)		41		207			233
Unallocated		499		0			0		0			499
Total Allowance for Loan Losses	$	8,856	$	(497	)	$	366	$	584		$	9,309

In the evaluation of the loan portfolio, management determines

two

major components for the allowance for loan losses – (

) a specific component based on an assessment of certain larger relationships, mainly commercial purpose loans, on a loan-by-loan basis; and (

) a general component for the remainder of the portfolio, except for performing loans purchased in

2019

from Monument, based on a collective evaluation of pools of loans with similar risk characteristics. The general component is assigned to each pool of loans based on both historical net charge-off experience, and an evaluation of certain qualitative factors. An unallocated component is maintained to cover uncertainties that could affect management’s estimate of probable losses. The unallocated component of the allowance reflects the margin of imprecision inherent in the underlying assumptions used in the above methodologies for estimating specific and general losses in the portfolio.

Loans acquired from Monument that were identified as having a deterioration in credit quality (purchased credit impaired, or PCI) were valued at

$441,000

April 1, 2019

and

December 31, 2019.

The remainder of the portfolio was deemed to be the performing component of the portfolio.

None

of the performing loans purchased were found to be impaired at

December 31, 2019,

and the performing loans purchased in

2019

were excluded from the loan pools for which the general component of the allowance for loan losses was calculated.

In determining the larger loan relationships for detailed assessment under the specific allowance component, the Corporation uses an internal risk rating system. Under the risk rating system, the Corporation classifies problem or potential problem loans as “Special Mention,” “Substandard,” or “Doubtful” on the basis of currently existing facts, conditions and values. Loans that do

not

currently expose the Corporation to sufficient risk to warrant classification as Substandard or Doubtful, but possess weaknesses that deserve management’s close attention, are deemed to be Special Mention. Substandard loans include those characterized by the distinct possibility that the Corporation will sustain some loss if the deficiencies are

not

corrected. Loans classified as Doubtful have all the weaknesses inherent in those classified as Substandard with the added characteristic that the weaknesses present make collection or liquidation in full, on the basis of currently existing facts, conditions and values, highly questionable and improbable. Risk ratings are updated any time that conditions or the situation warrants. Loans

not

classified are included in the “Pass” column in the table below.

The following tables summarize the aggregate credit quality classification of outstanding loans by risk rating as of

December 31, 2019

and

2018:

December 31, 2019									Purchased
(In Thousands)			Special						Credit
	Pass		Mention		Substandard		Doubtful		Impaired		Total
Residential Mortgage:
Residential Mortgage loans - first liens	$	500,963	$	193	$	9,324	$	84	$	77	$	510,641
Residential Mortgage loans - junior liens		26,953		79		471		0		0		27,503
Home Equity lines of credit		33,170		59		409		0		0		33,638
1-4 Family residential construction		14,798		0		0		0		0		14,798
Total residential mortgage		575,884		331		10,204		84		77		586,580
Commercial:
Commercial loans secured by real estate		294,397		4,773		1,693		0		364		301,227
Commercial and Industrial		114,293		9,538		2,543		0		0		126,374
Political subdivisions		53,570		0		0		0		0		53,570
Commercial construction and land		32,224		0		1,331		0		0		33,555
Loans secured by farmland		6,528		4,681		1,042		0		0		12,251
Multi-family (5 or more) residential		30,160		0		910		0		0		31,070
Agricultural loans		3,343		335		641		0		0		4,319
Other commercial loans		16,416		0		119		0		0		16,535
Total commercial		550,931		19,327		8,279		0		364		578,901
Consumer		16,720		0		21		0		0		16,741
Totals	$	1,143,535	$	19,658	$	18,504	$	84	$	441	$	1,182,222

December 31, 2018
(In Thousands)			Special
	Pass		Mention		Substandard		Doubtful		Total
Residential Mortgage:
Residential mortgage loans - first liens	$	363,407	$	937	$	7,944	$	51	$	372,339
Residential mortgage loans - junior liens		24,841		176		433		0		25,450
Home equity lines of credit		33,659		59		601		0		34,319
1-4 Family residential construction		24,698		0		0		0		24,698
Total residential mortgage		446,605		1,172		8,978		51		456,806
Commercial:
Commercial loans secured by real estate		156,308		740		5,563		0		162,611
Commercial and Industrial		84,232		5,230		2,394		0		91,856
Political subdivisions		53,263		0		0		0		53,263
Commercial construction and land		11,887		0		75		0		11,962
Loans secured by farmland		5,171		168		1,796		11		7,146
Multi-family (5 or more) residential		7,180		0		0		0		7,180
Agricultural loans		4,910		84		665		0		5,659
Other commercial loans		13,879		0		71		0		13,950
Total commercial		336,830		6,222		10,564		11		353,627
Consumer		17,116		0		14		0		17,130
Totals	$	800,551	$	7,394	$	19,556	$	62	$	827,563

As shown in the tables immediately above, total loans classified as special mention increased to

$19,658,000

December 31, 2019

from

$7,394,000

December 31, 2018.

December 31, 2019,

there were

loans classified as special mention, with an average balance of

$328,000.

In comparison, at

December 31, 2018,

there were

loans classified as special mention, with an average balance of

$140,000

Of the total balance of special mention loans at

December 31, 2019,

loans of

$500,000

or more totaled

$15,357,000

78%

of the total. Special mention loans with balances of

$500,000

or more at

December 31, 2019

included

commercial loans to

different borrowers, summarized with comparative

December 31, 2018 (

if applicable) as follows:

					Risk
(In Thousands)	Balance,		Balance,		Rating
	December 31,		December 31,		December 31,
	2019		2018		2018
4 loans downgraded in 2019	$	6,668	$	7,043	Pass
1 loan with no change in rating in 2019		984		1,098	Special Mention
2 loans upgraded in 2019		3,570		3,781	Substandard
2 loans originated in 2019		4,135		0	N/A
Total Special Mention Loans of $500,000 or
More at December 31, 2019	$	15,357	$	11,922

There was

specific allowance for loan losses recorded on any loans classified as special mention at

December 31, 2019

and

2018.

December 31, 2018,

there were specific allowances totaling

$1,365,000

on the

loans in the table above that were upgraded from substandard at

December 31, 2018

to special mention at

December 31, 2019.

These loans were

longer considered impaired in

2019.

One of the loans originated in

2019

and classified as special mention at

December 31, 2019,

with an outstanding balance of

$3,500,000

December 31, 2019,

was made on a partially unsecured basis. The Corporation estimates the liquidation value of the related collateral, net of selling costs, would be approximately

$1,500,000,

with a shortfall of

$2,000,000.

Despite the shortfall, based on available information, the Corporation believes the loan should be repaid in full due to the high reported value of the borrower’s net worth.

December 31, 2019,

total loans classified as substandard amounted to

$18,504,000,

down from

$19,556,000

December 31, 2018.

December 31, 2019,

there were

225

loans classified as substandard, with an average balance of

$82,000.

In comparison, at

December 31, 2018,

there were

215

loans classified as substandard, with an average balance of

$91,000.

Of the total balance of substandard loans at

December 31, 2019,

loans of

$500,000

or more totaled

$4,185,000,

23%

of the total, with the largest balance from

one

commercial construction loan with an outstanding balance of

$1,261,000

and a specific allowance for loan losses of

$678,000.

The following tables present a summary of loan balances and the related allowance for loan losses summarized by portfolio segment and class for each impairment method used as of

December 31, 2019

and

2018:

December 31, 2019	Loans:								Allowance for Loan Losses:
(In Thousands)
					Purchased
	Individually		Collectively		Performing				Individually		Collectively
	Evaluated		Evaluated		Loans		Totals		Evaluated		Evaluated		Totals
Residential mortgage:
Residential mortgage loans - first liens	$	1,023	$	405,186	$	104,432	$	510,641	$	0	$	3,405	$	3,405
Residential mortgage loans - junior liens		368		24,730		2,405		27,503		176		208		384
Home equity lines of credit		0		32,147		1,491		33,638		0		276		276
1-4 Family residential construction		0		14,640		158		14,798		0		117		117
Total residential mortgage		1,391		476,703		108,486		586,580		176		4,006		4,182
Commercial:
Commercial loans secured by real estate		684		198,532		102,011		301,227		0		1,921		1,921
Commercial and industrial		1,467		122,313		2,594		126,374		149		1,242		1,391
Political subdivisions		0		53,570		0		53,570		0		0		0
Commercial construction and land		1,261		29,710		2,584		33,555		678		288		966
Loans secured by farmland		607		11,386		258		12,251		48		110		158
Multi-family (5 or more) residential		0		10,617		20,453		31,070		0		156		156
Agricultural loans		76		4,243		0		4,319		0		41		41
Other commercial loans		0		15,947		588		16,535		0		155		155
Total commercial		4,095		446,318		128,488		578,901		875		3,913		4,788
Consumer		0		16,741		0		16,741		0		281		281
Unallocated														585

Total	$	5,486	$	939,762	$	236,974	$	1,182,222	$	1,051	$	8,200	$	9,836

December 31, 2018	Loans:						Allowance for Loan Losses:
(In Thousands)
	Individually		Collectively				Individually		Collectively
	Evaluated		Evaluated		Totals		Evaluated		Evaluated		Totals
Residential mortgage:
Residential mortgage loans - first liens	$	991	$	371,348	$	372,339	$	0	$	3,156	$	3,156
Residential mortgage loans - junior liens		293		25,157		25,450		116		209		325
Home equity lines of credit		0		34,319		34,319		0		302		302
1-4 Family residential construction		0		24,698		24,698		0		203		203
Total residential mortgage		1,284		455,522		456,806		116		3,870		3,986
Commercial:
Commercial loans secured by real estate		4,302		158,309		162,611		781		1,757		2,538
Commercial and industrial		2,157		89,699		91,856		659		894		1,553
Political subdivisions		0		53,263		53,263		0		0		0
Commercial construction and land		0		11,962		11,962		0		110		110
Loans secured by farmland		1,349		5,797		7,146		49		53		102
Multi-family (5 or more) residential		0		7,180		7,180		0		114		114
Agricultural loans		665		4,994		5,659		0		46		46
Other commercial loans		0		13,950		13,950		0		128		128
Total commercial		8,473		345,154		353,627		1,489		3,102		4,591
Consumer		17		17,113		17,130		0		233		233
Unallocated												499

Total	$	9,774	$	817,789	$	827,563	$	1,605	$	7,205	$	9,309

Summary information related to impaired loans as of

December 31, 2019

and

2018

is as follows:

(In Thousands)	December 31, 2019						December 31, 2018
	Unpaid						Unpaid
	Principal		Recorded		Related		Principal		Recorded		Related
	Balance		Investment		Allowance		Balance		Investment		Allowance
With no related allowance recorded:
Residential mortgage loans - first liens	$	645	$	617	$	0	$	750	$	721	$	0
Residential mortgage loans - junior liens		42		42		0		54		54		0
Commercial loans secured by real estate		684		684		0		1,787		1,787		0
Commercial and industrial		563		563		0		817		817		0
Loans secured by farmland		129		129		0		862		862		0
Agricultural loans		76		76		0		665		665		0
Consumer		0		0		0		17		17		0
Total with no related allowance recorded		2,139		2,111		0		4,952		4,923		0

With a related allowance recorded:
Residential mortgage loans - first liens		406		406		0		270		270		0
Residential mortgage loans - junior liens		326		326		176		239		239		116
Commercial loans secured by real estate		0		0		0		2,515		2,515		781
Commercial and industrial		904		904		149		1,340		1,340		659
Construction and other land loans		1,261		1,261		678		0		0		0
Loans secured by farmland		478		478		48		487		487		49
Total with a related allowance recorded		3,375		3,375		1,051		4,851		4,851		1,605
Total	$	5,514	$	5,486	$	1,051	$	9,803	$	9,774	$	1,605

In the table immediately above,

two

loans to

one

borrower are presented under the Residential mortgage loans –

first

liens and Residential mortgage loans – junior liens classes. These loans are collateralized by

one

property, and the allowance associated with these loans was determined based on an analysis of the total amounts of the Corporation’s exposure in comparison to the estimated net proceeds if the Corporation were to sell the property.

The average balance of impaired loans and interest income recognized on impaired loans is as follows:

					Interest Income Recognized
	Average Investment in				on Impaired Loans
	Impaired Loans				o n a Cash Basis
(In Thousands)	Year Ended December 31,				Year Ended December 31,
	2019		2018		2019		2018
Residential mortgage:
Residential mortgage loans - first lien	$	1,440	$	980	$	87	$	52
Residential mortgage loans - junior lien		288		297		12		11
Home equity lines of credit		26		0		4		0
Total residential mortgage		1,754		1,277		103		63
Commercial:
Commercial loans secured by real estate		1,562		4,897		19		141
Commercial and industrial		1,186		708		25		47
Commercial construction and land		556		0		71		0
Loans secured by farmland		1,276		1,357		49		35
Multi-family (5 or more) residential		0		314		0		0
Agricultural loans		399		542		31		46
Other commercial loans		20		0		4		0
Total commercial		4,999		7,818		199		269
Consumer		3		18		0		1
Total	$	6,756	$	9,113	$	302	$	333

The breakdown by portfolio segment and class of nonaccrual loans and loans past due

ninety

days or more and still accruing is as follows:

(In Thousands)	December 31, 2019				December 31, 2018
	Past Due				Past Due
	90+ Days and				90+ Days and
	Accruing		Nonaccrual		Accruing		Nonaccrual
Residential mortgage:
Residential mortgage loans - first liens	$	878	$	4,679	$	1,633	$	4,750
Residential mortgage loans - junior liens		53		326		151		239
Home equity lines of credit		71		73		219		27
Total residential mortgage		1,002		5,078		2,003		5,016
Commercial:
Commercial loans secured by real estate		107		1,148		394		3,958
Commercial and industrial		15		1,051		18		2,111
Commercial construction and land		0		1,311		0		52
Loans secured by farmland		43		565		459		1,297
Agricultural loans		0		0		0		665
Other commercial		0		49		0		0
Total commercial		165		4,124		871		8,083
Consumer		40		16		32		14

Totals	$	1,207	$	9,218	$	2,906	$	13,113

The amounts shown in the table immediately above include loans classified as troubled debt restructurings (described in more detail below), if such loans are considered past due

ninety

days or more, or nonaccrual.

The tables below present a summary of the contractual aging of loans as of

December 31, 2019

and

2018:

	As of December 31, 2019							As of December 31, 2018
	Current &							Current &
(In Thousands)	Past Due		Past Due	Past Due				Past Due			Past Due	Past Due
	Less than		30-89	90+				Less than			30-89	90+
	30 Days		Days	Days		Total		30 Days			Days	Days		Total
Residential mortgage:
Residential mortgage loans - first liens	$	499,024	7,839	$	3,778	$	510,641	$	361,362		6,414	$	4,563	$	372,339
Residential mortgage loans - junior liens		27,041	83		379		27,503		24,876		184		390		25,450
Home equity lines of credit		33,115	452		71		33,638		33,611		480		228		34,319
1-4 Family residential construction		14,758	40		0		14,798		24,531		167		0		24,698
Total residential mortgage		573,938	8,414		4,228		586,580		444,380		7,245		5,181		456,806

Commercial:
Commercial loans secured by real estate		299,640	737		850		301,227		160,668		226		1,717		162,611
Commercial and industrial		126,221	16		137		126,374		90,915		152		789		91,856
Political subdivisions		53,570	0		0		53,570		53,263		0		0		53,263
Commercial construction and land		33,505	0		50		33,555		11,910		0		52		11,962
Loans secured by farmland		11,455	666		130		12,251		5,390		487		1,269		7,146
Multi-family (5 or more) residential		31,070	0		0		31,070		7,104		76		0		7,180
Agricultural loans		4,318	1		0		4,319		5,624		29		6		5,659
Other commercial loans		16,535	0		0		16,535		13,950		0		0		13,950
Total commercial		576,314	1,420		1,167		578,901		348,824		970		3,833		353,627
Consumer		16,496	189		56		16,741		16,991		93		46		17,130

Totals	$	1,166,748	10,023	$	5,451	$	1,182,222	$	810,195	$	8,308	$	9,060	$	827,563

Nonaccrual loans are included in the contractual aging immediately above. A summary of the contractual aging of nonaccrual loans at

December 31, 2019

and

2018

is as follows:

	Current &
(In Thousands)	Past Due		Past Due		Past Due
	Less than		30-89		90+
	30 Days		Days		Days		Total
December 31, 2019 Nonaccrual Totals	$	3,840	$	1,134	$	4,244	$	9,218
December 31, 2018 Nonaccrual Totals	$	5,793	$	1,166	$	6,154	$	13,113

Loans whose terms are modified are classified as Troubled Debt Restructurings (TDRs) if the Corporation grants such borrowers concessions and it is deemed that those borrowers are experiencing financial difficulty. Loans classified as TDRs are designated as impaired and reviewed each quarter to determine if a specific allowance for loan losses is required. The outstanding balance of loans subject to TDRs, as well as the contractual aging information at

December 31, 2019

and

2018

is as follows:

Troubled Debt Restructurings (TDRs):
	Current &
(In Thousands)	Past Due		Past Due		Past Due
	Less than		30-89		90+
	30 Days		Days		Days		Nonaccrual		Total
December 31, 2019 Totals	$	889	$	0	$	0	$	1,737	$	2,626
December 31, 2018 Totals	$	612	$	43	$	0	$	2,884	$	3,539

December 31, 2019

and

2018,

there were

commitments to loan additional funds to borrowers whose loans have been classified as TDRs.

A summary of TDRs that occurred during

2019

and

2018

is as follows:

(Balances in Thousands)
	2019				2018
			Post-				Post-
	Number		Modification		Number		Modification
	of		Recorded		of		Recorded
	Loans		Investment		Loans		Investment
Residential mortgage - first liens:
Reduced monthly payments and extended maturity date		1	$	271		0	$	0
Reduced monthly payments for a six-month period		0		0		1		80
Residential mortgage - junior liens,
Reduced monthly payments and extended maturity date		1		18		0		0
Commercial loans secured by real estate,
Extended interest only payments for a six-month period		0		0		2		36
Commercial and industrial:
Extended interest only payments for a six-month period		0		0		1		46
Reduced monthly payments and extended maturity date		8		177		0		0
Commercial construction and land,
Extended interest only payments and reduced monthly payments with a balloon payment at maturity		1		1,261		0		0
Agricultural loans,
Reduced monthly payments and extended maturity date		1		84		0		0
Total		12	$	1,811		4	$	162

There were

differences between the outstanding contractual amounts and the recorded investments in receivables resulting from TDRs that occurred in

2019

and

2018.

December 31, 2019,

the Corporation maintained a specific allowance for loan losses of

$678,000

related to the commercial construction loan for which a TDR occurred in

2019.

The other loans for which TDRs were granted in

2019

are associated with

one

relationship for which payment defaults occurred in

2019

as described below.

2019

and

2018,

payment defaults on loans for which modifications considered to be TDRs were entered into within the previous

months are summarized as follows:

(Balances in Thousands)
	2019				2018
	Number				Number
	of		Recorded		of		Recorded
	Loans		Investment		Loans		Investment
Residential mortgage - first liens		1	$	261		0		0
Residential mortgage - junior liens		1		18		0		0
Commercial and industrial		8		170		0		0
Agricultural loans		1		81		0		0
Total		11	$	530		0	$	0

All of the TDRs for which payment defaults occurred in

2019

were related to

one

commercial relationship. These loans were individually evaluated for impairment at

December 31, 2019

and

2018,

and

specific allowance for loan losses was recognized because the estimated values of collateral and U.S. Government (Small Business Administration) guarantees exceeded the outstanding balances of the loans.

The carrying amount of foreclosed residential real estate properties held as a result of obtaining physical possession (included in Foreclosed assets held for sale in the consolidated balance sheets) is as follows:

(In Thousands)	Dec. 31,		Dec. 31,
	2019		2018
Foreclosed residential real estate	$	292	$	64

The recorded investment of consumer mortgage loans secured by residential real properties for which formal foreclosure proceedings were in process is as follows:

(In Thousands)	Dec. 31,		Dec. 31,
	2019		2018
Residential real estate in process of foreclosure	$	1,717	$	1,097