The Company periodically reviews and updates the segmentation of its loan portfolio. Updates performed in conjunction with adoption of ASC 326 in 2023 consisted of reporting what had been a single class, commercial real estate loans, as three classes - commercial real estate owner occupied, commercial real estate non-owner occupied, and commercial multi-family. In addition home equity installment loans which had previously been included in the residential term class were included in the home equity revolving and term class. In the first quarter of 2024, a new segment was established for Agriculture loans; certain prior period information of these loans continues to be included in the C&I and CRE non-owner occupied segments.


	December 31, 2024				December 31, 2023
Commercial
Real Estate Owner Occupied	$	358,588,000	15.3	%	$	314,819,000	14.8	%
Real Estate Non-Owner Occupied	403,899,000		17.3	%	390,167,000		18.3	%
Construction	99,717,000		4.3	%	88,673,000		4.2	%
C&I	365,817,000		15.6	%	315,026,000		14.8	%
Multifamily	108,732,000		4.6	%	93,476,000		4.4	%
Agriculture	52,219,000		2.2	%	45,230,000		2.1	%
Municipal	61,827,000		2.6	%	51,423,000		2.4	%
Residential
Term	710,807,000		30.4	%	674,855,000		31.7	%
Construction	35,481,000		1.5	%	32,358,000		1.5	%
Home Equity
Revolving and Term	123,063,000		5.3	%	104,026,000		4.9	%
Consumer	20,790,000		0.9	%	19,401,000		0.9	%
Total loans	$	2,340,940,000	100.0	%	$	2,129,454,000	100.0	%

Loan balances include net deferred loan costs of $12,457,000 in 2024 and $11,479,000 in 2023. Net deferred loan costs have increased from a year ago a due to loan origination unit volume over the period. Loan balances in the Residential Term segment also include a valuation adjustments for fair value swaps hedged by certain loans in the portfolio. This adjustment added $758,000 to the loan balances as of December 31, 2024 and $2,149,000 to the loan balances as of December 31, 2023. Pursuant to collateral agreements, qualifying first mortgage loans and commercial real estate, which totaled $626,851,000 and $561,574,000 at December 31, 2024 and 2023, respectively, were used to collateralize borrowings from the FHLBB. In addition, commercial, residential construction and home equity loans totaling $392,562,000 at December 31, 2024 and $320,083,000 at December 31, 2023 were used to collateralize a standby line of credit at the FRBB.

Loans to Directors, Officers and Employees: Loans to directors, officers and employees totaled $54,997,000 at December 31, 2024 and $54,425,000 at December 31, 2023. A summary of loans to directors and executive officers is as follows:


For the years ended December 31,	2024		2023
Balance at beginning of year	$	33,524,000	$	29,490,000
New loans	3,462,000		9,921,000
Repayments	(4,804,000)		(5,598,000)
Retired director	—		(289,000)
Balance at end of year	$	32,182,000	$	33,524,000


	30-59 Days Past Due		60-89 Days Past Due		90+ Days Past Due		All Past Due		Current		Total		90+ Days & Accruing
Commercial
Real Estate Owner Occupied	$	—	$	257,000	$	292,000	$	549,000	$	358,039,000	$	358,588,000	$	—
Real Estate Non-Owner Occupied	—		—		—		—		403,899,000		403,899,000		—
Construction	—		—		—		—		99,717,000		99,717,000		—
C&I	346,000		1,112,000		540,000		1,998,000		363,819,000		365,817,000		10,000
Multifamily	—		—		—		—		108,732,000		108,732,000		—
Agriculture	115,000		—		—		115,000		52,104,000		52,219,000		—
Municipal	—		—		—		—		61,827,000		61,827,000		—
Residential
Term	137,000		2,614,000		935,000		3,686,000		707,121,000		710,807,000		778,000
Construction	390,000		—		—		390,000		35,091,000		35,481,000		—
Home Equity
Revolving and Term	1,074,000		368,000		94,000		1,536,000		121,527,000		123,063,000		—
Consumer	592,000		285,000		232,000		1,109,000		19,681,000		20,790,000		232,000
Total	$	2,654,000	$	4,636,000	$	2,093,000	$	9,383,000	$	2,331,557,000	$	2,340,940,000	$	1,020,000


	30-59 Days Past Due		60-89 Days Past Due		90+ Days Past Due		All Past Due		Current		Total		90+ Days & Accruing
Commercial
Real Estate Owner Occupied	$	—	$	—	$	—	$	—	$	314,819,000	$	314,819,000	$	—
Real Estate Non-Owner Occupied	—		—		—		—		393,636,000		393,636,000		—
Construction	—		9,000		8,000		17,000		88,656,000		88,673,000		—
C&I	714,000		35,000		120,000		869,000		355,918,000		356,787,000		10,000
Multifamily	—		—		—		—		93,476,000		93,476,000		—

Municipal	31,000		—		—		31,000		51,392,000		51,423,000		—
Residential
Term	254,000		818,000		728,000		1,800,000		673,055,000		674,855,000		360,000
Construction	—		—		—		—		32,358,000		32,358,000		—
Home Equity
Revolving and Term	495,000		95,000		26,000		616,000		103,410,000		104,026,000		—
Consumer	475,000		22,000		58,000		555,000		18,846,000		19,401,000		59,000
Total	$	1,969,000	$	979,000	$	940,000	$	3,888,000	$	2,125,566,000	$	2,129,454,000	$	429,000

Non-Accrual Loans: For all classes, loans are placed on non-accrual status when, based on current information and events, it is probable that the Company will be unable to collect all amounts due according to the contractual terms of the loan agreement or when principal and interest is 90 days or more past due unless the loan is both well secured and in the process of collection (in which case the loan may continue to accrue interest in spite of its past due status). A loan is "well secured" if it is secured (1) by collateral in the form of liens on or pledges of real or personal property, including securities, that have a realizable value sufficient to discharge the debt (including accrued interest) in full, or (2) by the guarantee of a financially responsible party. A loan is "in the process of collection" if collection of the loan is proceeding in due course either (1) through legal action, including judgment enforcement procedures, or, (2) in appropriate circumstances, through collection efforts not involving legal action which are reasonably expected to result in repayment of the debt or in its restoration to a current status in the near future.

Cash payments received on non-accrual loans are applied to reduce the loan's principal balance until the remaining principal balance is deemed collectible, after which interest is recognized when collected. As a general rule, a loan may be restored to accrual status when payments are current for a substantial period of time, generally six months, and repayment of the remaining contractual amounts is expected, or when it otherwise becomes well secured and in the process of collection.


As of December 31,	2024						2023
	Nonaccrual with Allowance for Credit Loss		Nonaccrual with no Allowance for Credit Loss		Total Nonaccrual		Nonaccrual with Allowance for Credit Loss		Nonaccrual with no Allowance for Credit Loss		Total Nonaccrual
Commercial
Real Estate Owner Occupied	$	—	$	553,000	$	553,000	$	—	$	—	$	—
Real Estate Non-Owner Occupied	—		61,000		61,000		—		—		—
Construction	—		18,000		18,000		—		29,000		29,000
C&I	1,359,000		336,000		1,695,000		354,000		184,000		538,000
Multifamily	—		—		—		—		—		—
Agriculture	—		31,000		31,000		—		—		—
Municipal	—		—		—		—		—		—
Residential
Term	—		1,599,000		1,599,000		304,000		1,011,000		1,315,000
Construction	—		—		—		—		—		—
Home Equity
Revolving and Term	—		291,000		291,000		—		296,000		296,000
Consumer	—		—		—		—		—		—
Total	$	1,359,000	$	2,889,000	$	4,248,000	$	658,000	$	1,520,000	$	2,178,000

For the years ended December 31, 2024 and 2023, interest income which would have been recognized on these loans, if interest had been accrued, was $172,000 and $142,000. Loans more than 90 days past due accruing interest totaled $1,020,000 at December 31, 2024 and $429,000 at December 31, 2023. The Company continues to accrue interest on these loans because it believes collection of principal and interest is reasonably assured.

Individually Analyzed Loans: IAL include loans with balances of $250,000 or more that have either been placed into nonaccrual or are loans identified by management as having characteristics that may impact ultimate collectibility and therefore merit individual analysis. These loans are measured at the present value of expected future cash flows discounted at the loan's effective interest rate or at the fair value of the collateral if the loan is collateral dependent. If the measure of an IAL loan is lower than the recorded investment in the loan and estimated selling costs, a specific reserve is established for the difference, or, in certain situations, if the measure of an IAL loan is lower than the recorded investment in the loan and estimated selling costs, the difference is written off.


	December 31, 2024								December 31, 2023
	Collateral Type								Collateral Type
	Commercial Real Estate		Residential Real Estate		Other		Total		Commercial Real Estate		Residential Real Estate		Total
Commercial
Real estate owner occupied	$	263,000	$	—	$	—	$	263,000	$	—	$	—	$	—
Real estate non-owner occupied	67,000		—		—		67,000		—		—		—
Construction	—		—		—		—		—		—		—
C&I	—		—		1,438,000		1,438,000		—		—		—
Multifamily	—		—		—		—		—		—		—
Agriculture	—		—		—		—		—		—		—
Municipal	—		—		—		—		—		—		—
Residential
Term	—		558,000		—		558,000		—		685,000		685,000
Construction	—		—		—		—		—		—		—
Home Equity
Revolving and term	—		—		—		—		—		—		—
Consumer	—		—		—		—		—		—		—
Total	$	330,000	$	558,000	$	1,438,000	$	2,326,000	$	—	$	685,000	$	685,000

Loan Modifications to Borrowers Experiencing Financial Difficulty: Loan modifications to borrowers experiencing financial difficulty may include interest rate reduction, term extension, payment deferral, principle forgiveness or a combination thereof. It is the intent to minimize future losses while providing borrowers with financial relief.


Amortized Cost Basis
	Payment Deferral		Term Extension		Interest Rate Reduction		Principal Forgiveness		Combination Payment Deferral and Term Extension		% of Total Class of Financing Receivable
Commercial
Real estate owner occupied	$	633,000	$	—	$	—	$	—	$	—	0.18	%

Construction	69,000		—		—		—		—		0.08	%
C&I	169,000		13,000		—		—		54,000		0.06	%
Multifamily	1,932,000		—		—		—		—		1.75	%


Residential
Term	1,019,000		127,000		—		—		—		0.16	%

Home Equity
Revolving and term	—		—		—		—		66,000		0.06	%

Total	$	3,822,000	$	140,000	$	—	$	—	$	120,000


			Payment Deferral
			Financial Effect
Commercial
Real estate owner occupied			Temporary payment accommodation, payments deferred to end of loan
Construction			Temporary payment accommodation, payments deferred to end of loan
C&I			Temporary payment accommodation, payments deferred to end of loan
Multifamily			Temporary payment accommodation, payments deferred to end of loan
Residential
Term			Temporary payment accommodation, payments deferred to end of loan


			Payment Deferral & Term Extension
			Financial Effect
Commercial
C&I			Temporary payment accommodation, payments deferred to end of loan - Extended Term 90 days
Home Equity
Revolving and term			Temporary payment accommodation, payments deferred to end of loan - Extended Term 60 days


Amortized Cost Basis
	Payment Deferral		Term Extension		Interest Rate Reduction		Principal Forgiveness		Combination Payment Deferral and Term Extension		% of Total Class of Financing Receivable
Commercial
Real estate owner occupied	$	—	$	—	$	—	$	—	$	786,000	0.25	%


C&I	114,000		—		—		—		174,000		0.09	%








Consumer	23,000		13,000		—		—		—		0.19	%
Total	$	137,000	$	13,000	$	—	$	—	$	960,000


			Payment Deferral & Term Extension
			Financial Effect
Commercial
Commercial real estate owner occupied			Temporary payment accommodation, payments deferred to end of loan - Extended Term 90 days
C&I			Temporary payment accommodation, payments deferred to end of loan - Extended Term 90 days

The Company monitors the performance of the loans that are modified to borrowers experiencing financial difficulty to understand the effectiveness of its modification efforts. The following table depicts the performance of loans that have been modified during the year ended December 31, 2024:


	Payment Status (Amortized Cost Basis)
	Current		30-59 Days Past Due		60-89 Days Past Due		90+ Days Past Due
Commercial
Real estate owner occupied	$	633,000	$	—	$	—	$	—
Real estate non-owner occupied	—		—		—		—
Construction	69,000		—		—		—
C&I	236,000		—		—		—
Multifamily	1,932,000		—		—		—
Agriculture	—		—		—		—
Residential
Term	570,000		127,000		449,000		—
Home Equity
Revolving and term	66,000		—		—		—
Consumer	—		—		—		—
Total	$	3,506,000	$	127,000	$	449,000	$	—


	Payment Status (Amortized Cost Basis)
	30-59 Days Past Due		60-89 Days Past Due		90+ Days Past Due
Commercial
Real estate owner occupied	$	502,000	$	—	$	283,000


C&I	—		—		35,000






Consumer	—		—		13,000
Total	$	502,000	$	—	$	331,000


	Payment Status (Amortized Cost Basis)
	Current		30-59 Days Past Due		60-89 Days Past Due		90+ Days Past Due
Commercial
Real estate owner occupied	$	786,000	$	—	$	—	$	—


C&I	269,000		19,000		—		—






Consumer	36,000		—		—		—
Total	$	1,091,000	$	19,000	$	—	$	—

As of December 31, 2024, there were three mortgage loans collateralized by residential real estate in the process of foreclosure with a total balance of $192,000. This compares to five mortgage loans collateralized by residential real estate in the process of foreclosure with a total balance of $400,000 as of December 31, 2023.