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Note 7 - Loans Receivable and Credit Disclosures

3 Months Ended

Mar. 31, 2025

7.	Loans Receivable and Credit Disclosures

The composition of loans receivable as of March 31, 2025 and December 31, 2024 is as follows (in thousands):

	*2025*			*2024*

Real estate - construction	$	61,738		$	59,281
Real estate - 1 to 4 family residential		310,829			309,704
Real estate - multi-family		199,609			200,209
Real estate - commercial		352,259			350,493
Real estate - agricultural		160,318			159,880
Commercial		93,374			90,023
Agricultural		129,361			134,157
Consumer and other		16,529			17,066
		1,324,017			1,320,813
Unallocated portfolio layer basis adjustments¹		217			162
Less allowance for credit losses		(18,004	)		(17,058	)
Loans receivable, net	$	1,306,230		$	1,303,917

¹ This amount represents portfolio layer method basis adjustments related to loans hedged in a closed portfolio. Under the portfolio layer method basis adjustments are not allocated to individual loans, however, the amounts impact the net loan balance. These basis adjustments would be allocated to the amortized cost of specific loans within the pool if the hedge was de-designated. See Note 11 (“Derivative Financial Instruments”) for additional information.

Loans that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are reported at amortized cost net of the allowance for credit losses (ACL) and other basis adjustments. Amortized cost is the principal balance outstanding, net of deferred loan fees and costs. Interest income is accrued on the unpaid principal balance. In the event that collection of principal becomes uncertain, the Company has policies in place to reverse accrued interest in a timely manner. Accrued interest receivable on loans held for investment totaled $8.7 million and $10.9 million as of March 31, 2025 and December 31, 2024, respectively, and is excluded from the estimate of credit losses. Nonrefundable loan fees and origination costs are deferred and recognized as a yield adjustment over the life of the related loan.

The policy for charging off loans is consistent throughout all loan categories. A loan is charged off based on criteria that includes but is not limited to: delinquency status, financial condition of the entire customer credit line and underlying collateral coverage, economic or external conditions that might impact full repayment of the loan, legal issues, overdrafts, and the customer’s willingness to work with the Company.

Allowance for Credit Losses for Loans. The allowance for credit losses is an estimate of expected losses inherent within the Company's existing loans held for investment portfolio. Expected credit loss inherent in non-cancelable off-balance-sheet (“OBS”) credit exposures is accounted for as a separate liability on the consolidated balance sheet. The Company's allowance for credit losses for OBS credit exposures was $911 thousand and $943 thousand as of March 31, 2025 and December 31, 2024, respectively. The allowance for credit losses for loans held for investment, as reported in our consolidated balance sheet, is adjusted by a credit loss expense, which is reported in earnings, and reduced by the charge-off of loan amounts, net of recoveries.

The credit loss estimation process involves procedures to appropriately consider the unique characteristics of loan portfolio segments which consist of construction real estate, 1 to 4 family residential real estate, multi-family real estate, commercial real estate, agricultural real estate, commercial, agricultural and consumer and other lending. When computing allowance levels, credit loss assumptions are estimated using a model that categorizes loan pools based on loss history, delinquency status and other credit trends and risk characteristics, including current conditions and reasonable and supportable forecasts about the future. The key components in this estimation process include the following:

●

An initial forecast period of one year for all portfolio segments and OBS credit exposures. This period reflects management's expectation of losses based on forward-looking economic scenarios over that time.

●

A historical loss forecast period covering the remaining contractual life, adjusted for prepayments, by portfolio segment based on the change in key historical economic variables.

●

A reversion period of 1 year connecting the initial loss forecast to the historical loss forecast based on economic conditions at the measurement date.

The Company primarily utilizes loss rate based undiscounted cash flow (UDCF) methods to estimate credit losses by portfolio segment. The UDCF methods obtain estimated life-time credit losses using the conceptual components described above.

Determining the appropriateness of the allowance is complex and requires judgment by management about the effect of matters that are inherently uncertain. In future periods evaluations of the overall loan portfolio, in light of the factors and forecasts then prevailing, may result in significant changes in the allowance and credit loss expense in those future periods.

Credit quality is assessed and monitored by evaluating various attributes and the results of those evaluations are utilized in underwriting new loans and in our process for estimation of expected credit losses. The following provides the credit quality indicators and risk elements that are most relevant and most carefully considered and monitored for each loan portfolio segment.

Construction loans are underwritten utilizing independent appraisals, sensitivity analysis of absorption, vacancy and lease rates and financial analysis of the developers and property owners. Construction loans are generally based upon estimates of costs and value associated with the completed project. These estimates may prove to be inaccurate primarily due to unforeseen circumstances beyond the control of the borrower or lender. Construction loans often involve the disbursement of funds with repayment substantially dependent on the success of the ultimate project. These loans are closely monitored by on-site inspections and are considered to have higher risks than other real estate loans due to their ultimate repayment being sensitive to interest rate changes, general economic conditions and the availability of long-term financing. The Company may require guarantees on these loans. The Company’s construction loans are secured primarily by properties located in its primary market area. National unemployment rate and national real gross domestic product (GDP) are key economic forecasts used in estimating expected credit losses for this segment.

The Company originates 1-4 family real estate loans utilizing credit reports to supplement the underwriting process. The Company’s underwriting standards for 1-4 family loans are generally in accordance with FHLMC and FNMA manual underwriting guidelines. Properties securing 1-4 family real estate loans are appraised by either staff appraisers or fee appraisers, both of which are independent of the loan origination function and have been approved by the Board of Directors. The loan-to-value ratios normally do not exceed 90% without credit enhancements such as mortgage insurance. The Company will lend up to 100% of the lesser of the appraised value or purchase price for conventional 1-4 family real estate loans, provided private mortgage insurance is obtained. The Company’s 1-4 family real estate loans are secured primarily by properties located in its primary market area. The national unemployment rate is a key economic forecast used in estimating expected credit losses for this segment.

Multi-family, commercial and agricultural real estate loans are subject to underwriting standards and processes similar to commercial and agricultural operating loans, in addition to those unique to real estate loans. These loans are viewed primarily as cash flow loans and, secondarily, as loans secured by real estate. Multi-family, commercial and agricultural real estate lending typically involves higher loan principal amounts and the repayment of these loans is generally dependent on the successful operation of the property securing the loan or the business conducted on the property securing the loan. Loan-to-value generally does not exceed 80% of the cost or value of the assets. Loans are typically subject to interest rate adjustments between five and seven years from origination. Fully amortized monthly repayment terms normally do not exceed twenty-five years. Projections and cash flows that show ability to service debt within the amortization period are required. Property and casualty insurance is required to protect the Banks’ collateral interests. Appraisals on properties securing these loans are generally performed by fee appraisers approved by the Board of Directors. Because payments on multi-family, commercial and agricultural real estate loans are often dependent on the successful operation or management of the properties, repayment of such loans may be subject to adverse conditions in the real estate market or the economy. Management monitors and evaluates commercial and agricultural real estate loans based on collateral and risk rating criteria. The Company may require guarantees on these loans. The Company’s multi-family, commercial and agricultural real estate loans are secured primarily by properties located in its primary market areas. The national unemployment rate is a key economic forecast used in estimate credit losses for the multi-family and commercial real estate segments. The national unemployment rate and national real GDP are key economic forecasts used in estimating expected credit losses for the agricultural real estate segment.

Commercial and agricultural operating loans are underwritten based on the Company’s examination of current and projected cash flows to determine the ability of the borrower to repay their obligations as agreed. This underwriting includes the evaluation of cash flows of the borrower, underlying collateral, if applicable, and the borrower’s ability to manage its business activities. The cash flows of borrowers and the collateral securing these loans may fluctuate in value after the initial evaluation. A first priority lien on the general assets of the business normally secures these types of loans. Loan-to-value limits vary and are dependent upon the nature and type of the underlying collateral and the financial strength of the borrower. Crop and hail insurance is required for most agricultural borrowers. Loans are generally guaranteed by the principal(s). The Company’s commercial and agricultural operating lending is primarily in its primary market area. The national unemployment rate is a key economic forecast used in estimating expected credit losses for the commercial operating segment. The national unemployment rate and national real GDP are key economic forecasts used in estimating expected credit losses for the agricultural operating segment.

Consumer and other loans utilize credit reports to supplement the underwriting process. The underwriting standards include a determination of the applicant’s payment history on other debts and an assessment of their ability to meet existing obligations and payments on the proposed loan. To monitor and manage loan risk, policies and procedures are developed and modified, as needed by management. This activity, coupled with smaller loan amounts that are spread across many individual borrowers, minimizes risk. Additionally, market conditions are reviewed by management on a regular basis. The national unemployment rate is a key economic forecast used in estimating expected credit losses for this segment.

Activity in the allowance for credit losses, on a disaggregated basis, for the three months ended March 31, 2025 and 2024 is as follows (in thousands):

	*Three Months Ended March 31, 2025*
				1-4 Family
	Construction			Residential			Multi-family			Commercial		Agricultural								Consumer
	Real Estate			Real Estate			Real Estate			Real Estate		Real Estate		Commercial			Agricultural			and Other			Total
Balance, December 31, 2024	$	482		$	3,890		$	2,188		$	4,932	$	1,584	$	1,759		$	1,805		$	418		$	17,058
Credit loss expense (benefit) ¹		65			(40	)		(36	)		8		5		1,131			(131	)		(8	)		994
Recoveries of loans charged-off		-			-			-			-		-		1			-			1			2
Loans charged-off		(44	)		-			-			-		-		(5	)		-			(1	)		(50	)
Balance, March 31, 2025	$	503		$	3,850		$	2,152		$	4,940	$	1,589	$	2,886		$	1,674		$	410		$	18,004

(1)	The difference in the credit loss expense reported herein as compared to the Consolidated Statements of Income is associated with the credit loss benefit of $32 thousand related to off-balance sheet credit exposures.

	*Three Months Ended March 31, 2024*
			1-4 Family
	Construction		Residential			Multi-family			Commercial		Agricultural									Consumer
	Real Estate		Real Estate			Real Estate			Real Estate		Real Estate			Commercial			Agricultural			and Other			Total
Balance, December 31, 2023	$	408	$	3,333		$	2,542		$	5,236	$	1,238		$	1,955		$	1,607		$	457		$	16,776
Credit loss expense (benefit) ¹		45		(25	)		(5	)		258		(17	)		(43	)		(19	)		(22	)		172
Recoveries of loans charged-off		-		1			-			-		-			1			-			2			4
Loans charged-off		-		-			-			-		-			-			-			-			-
Balance, March 31, 2024	$	453	$	3,309		$	2,537		$	5,494	$	1,221		$	1,913		$	1,588		$	437		$	16,952

(1)	The difference in the credit loss expense reported herein as compared to the Consolidated Statements of Income is associated with the credit loss benefit of $3 thousand related to off-balance sheet credit exposures.

Collateral Dependent Loans. The following table presents the amortized cost basis of collateral dependent loans, by the primary collateral type, which are individually evaluated to determine expected credit losses, and the related ACL allocated to these loans (in thousands):

	Primary Type of Collateral
March 31, 2025	Real Estate		Equipment		Other		Total		ACL Allocation

Real estate - construction	$	-	$	-	$	-	$	-	$	-
Real estate - 1 to 4 family residential		554		-		-		554		-
Real estate - multi-family		942		-		-		942		-
Real estate - commercial		11,406		-		-		11,406		-
Real estate - agricultural		415		-		-		415		-
Commercial		398		392		1,614		2,404		1,150
Agricultural		205		-		317		522		-
Consumer and other		-		-		2		2		-

	$	13,920	$	392	$	1,933	$	16,245	$	1,150

	Primary Type of Collateral
December 31, 2024	Real Estate		Equipment		Other		Total		ACL Allocation

Real estate - construction	$	62	$	-	$	-	$	62	$	-
Real estate - 1 to 4 family residential		696		-		-		696		40
Real estate - multi-family		947		-		-		947		-
Real estate - commercial		10,785		-		-		10,785		-
Real estate - agricultural		420		-		-		420		-
Commercial		460		398		405		1,263		50
Agricultural		213		-		357		570		-
Consumer and other		-		-		3		3		-

	$	13,583	$	398	$	765	$	14,746	$	90

Nonaccrual Loans. The accrual of interest income on loans is discontinued when, in the opinion of management, there is reasonable doubt as to the borrower's ability to meet payments of interest or principal when they become due, which is generally when a loan is 90 days or more past due unless the loan is well secured and in the process of collection. When a loan is placed on nonaccrual status, all previously accrued and unpaid interest is reversed against interest income. Loans are returned to an accrual status when all of the principal and interest amounts contractually due are brought current and repayment of the remaining contractual principal and interest is expected. A loan may also return to accrual status if additional collateral is received from the borrower and, in the opinion of management, the financial position of the borrower indicates that there is no longer any reasonable doubt as to the collection of the amount contractually due. Payment received on nonaccrual loans are applied first to principal. Once principal is recovered, any remaining payments received are applied to interest income.

The following table presents the amortized cost basis of loans on nonaccrual status and loans on nonaccrual status with no allowance for credit losses recorded by loan segment (in thousands):

	Total Nonaccrual				Nonaccrual with no ACL
	*March 31, 2025*		*December 31, 2024*		*March 31, 2025*		*December 31, 2024*

Real estate - construction	$	-	$	62	$	-	$	62
Real estate - 1 to 4 family residential		554		696		554		626
Real estate - multi-family		942		947		942		947
Real estate - commercial		11,389		10,768		11,389		10,768
Real estate - agricultural		415		420		415		420
Commercial		2,438		1,298		1,288		893
Agricultural		522		570		522		570
Consumer and other		9		11		2		3

	$	16,269	$	14,772	$	15,112	$	14,289

The interest income recognized on nonaccrual loans for the three months ended March 31, 2025 and 2024 was approximately $1 thousand and $38 thousand, respectively.

The interest foregone on nonaccrual loans for the three months ended March 31, 2025 and 2024 was approximately $327 thousand and $239 thousand, respectively.

Loan Modifications to Borrowers Experiencing Financial Difficulty. Loan modifications may include interest rate reductions or below market interest rates, extension of payments terms beyond the original maturity date, principal forgiveness, restructuring amortization schedules and other actions intended to minimize potential losses.

The allowance for credit losses incorporates an estimate of lifetime expected credit losses and is recorded on each asset upon asset origination or acquisition. The starting point for the estimate of the allowance for credit losses is historical loss information, which includes losses from modifications of receivables to borrowers experiencing financial difficulty. The Company uses a loss rate model to determine the allowance for credit losses. An assessment of whether a borrower is experiencing financial difficulty is made on the date of a modification. Because the effect of most modifications made to borrowers experiencing financial difficulty is already included in the allowance for credit losses, a change to the allowance for credit losses is generally not recorded upon modification.

The Company made no loan modifications to borrowers experiencing financial difficulty for the three months ended March 31, 2025 and 2024.

Upon the Company’s determination that a modified loan (or portion of a loan) has subsequently been deemed uncollectible, the loan (or a portion of the loan) is charged-off. Therefore, the amortized cost basis of the loan is reduced by the uncollectible amount and the allowance for credit losses is adjusted by the same amount. The Company had no net charge-offs for the three months ended March 31, 2025 and 2024 related to loan modifications to borrowers experiencing financial difficulties.

There were no loan modifications that had a payment default and were modified in the twelve months before default as of March 31, 2025. A loan is considered to be in payment default once it is 60 days contractually past due under the modified terms.

Aging Analysis. An aging analysis of the recorded investments in loans, on a disaggregated basis, as of March 31, 2025 and December 31, 2024, is as follows (in thousands):

2025			90 Days								90 Days
	30-89		or Greater		Total						or Greater
	Past Due		Past Due		Past Due		Current		Total		Accruing

Real estate - construction	$	374	$	-	$	374	$	61,364	$	61,738	$	-
Real estate - 1 to 4 family residential		4,015		118		4,133		306,696		310,829		-
Real estate - multi-family		444		-		444		199,165		199,609		-
Real estate - commercial		374		2,614		2,988		349,271		352,259		113
Real estate - agricultural		122		133		255		160,063		160,318		133
Commercial		1,291		-		1,291		92,083		93,374		-
Agricultural		2,333		-		2,333		127,028		129,361		-
Consumer and other		2		-		2		16,527		16,529		-

	$	8,955	$	2,865	$	11,820	$	1,312,197	$	1,324,017	$	246

2024			90 Days								90 Days
	30-89		or Greater		Total						or Greater
	Past Due		Past Due		Past Due		Current		Total		Accruing

Real estate - construction	$	-	$	63	$	63	$	59,218	$	59,281	$	-
Real estate - 1 to 4 family residential		1,744		204		1,948		307,756		309,704		23
Real estate - multi-family		-		-		-		200,209		200,209		-
Real estate - commercial		332		2,501		2,833		347,660		350,493		-
Real estate - agricultural		651		660		1,311		158,569		159,880		660
Commercial		288		356		644		89,379		90,023		-
Agricultural		68		53		121		134,036		134,157		53
Consumer and other		5		-		5		17,061		17,066		-

	$	3,088	$	3,837	$	6,925	$	1,313,888	$	1,320,813	$	736

Credit Quality Indicators. As part of the on-going monitoring of the credit quality of the Company’s loan portfolio, management tracks certain credit quality indicators including trends related to (i) the risk ratings of loans, (ii) the level of classified loans, (iii) net charge-offs, (iv) non-performing loans and (v) the general economic conditions in our market areas.

The Company utilizes a risk rating matrix to assign risk ratings to each of its loans. Loans are rated on a scale of 1 to 7. A description of the general characteristics of the risk ratings is as follows:

Ratings 1, 2 and 3 - These ratings include “Pass” loans of average to excellent credit quality borrowers. These borrowers generally have significant capital strength, moderate leverage and stable earnings and growth commensurate to their relative risk rating. These ratings are reviewed at least annually. These ratings also include performing loans of less than $100,000.

Rating 4 - This rating includes loans on management’s “watch list” and is intended to be utilized for pass rated borrowers where credit quality has begun to show signs of financial weakness that now requires management’s heightened attention. This rating is reviewed at least quarterly.

Rating 5 - This rating is for “Special Mention” loans in accordance with regulatory guidelines. This rating is intended to be temporary and includes loans to borrowers whose credit quality has clearly deteriorated and are at risk of further decline unless active measures are taken to correct the situation. This rating is reviewed at least quarterly.

Rating 6 - This rating includes “Substandard” loans in accordance with regulatory guidelines, for which the accrual of interest has not been stopped. Under regulatory guideline definitions, a “Substandard” loan has defined weaknesses which make payment default or principal exposure likely, but not yet certain. Such loans are apt to be dependent upon collateral liquidation, a secondary source of repayment or an event outside of the normal course of business. This rating is reviewed at least quarterly.

Rating 7 - This rating includes “Substandard-Impaired” loans in accordance with regulatory guidelines, for which the accrual of interest has generally been stopped. This rating includes loans: (i) where interest is more than 90 days past due, (ii) not fully secured, (iii) where a specific valuation allowance may be necessary, or (iv) where the borrower is unable to make contractual principal and interest payments. This rating is reviewed at least quarterly.

The following tables show the risk category of loans by loan segment and year of origination as of March 31, 2025 and December 31, 2024 (in thousands):

March 31, 2025	Amortized Cost Basis of Term Loans by Year of Origination
	2025		2024		2023		2022		2021		Prior		Revolving		Total
Real estate - construction
Pass	$	10,634	$	31,968	$	14,606	$	1,413	$	223	$	171	$	2,119	$	61,134
Watch		-		604		-		-		-		-		-		604
Special Mention		-		-		-		-		-		-		-		-
Substandard		-		-		-		-		-		-		-		-
Substandard-Impaired		-		-		-		-		-		-		-		-
Total	$	10,634	$	32,572	$	14,606	$	1,413	$	223	$	171	$	2,119	$	61,738

Current-period gross charge-offs	$	-	$	44	$	-	$	-	$	-	$	-	$	-	$	44

Real estate - 1-4 family residential
Pass	$	13,220	$	44,400	$	42,801	$	65,748	$	51,040	$	56,123	$	20,881	$	294,213
Watch		285		1,046		1,109		89		9,549		1,157		81		13,316
Special Mention		286		-		-		640		-		-		-		926
Substandard		-		66		424		-		1,239		90		-		1,819
Substandard-Impaired		382		118		-		-		-		55		-		555
Total	$	14,173	$	45,630	$	44,334	$	66,477	$	61,828	$	57,425	$	20,962	$	310,829

Current-period gross charge-offs	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-

Real estate - multi-family
Pass	$	4,547	$	13,473	$	11,766	$	48,650	$	31,420	$	45,416	$	5,952	$	161,224
Watch		-		6,473		-		-		19,804		2,174		-		28,451
Special Mention		-		-		8,547		-		-		-		-		8,547
Substandard		-		-		-		-		-		444		-		444
Substandard-Impaired		943		-		-		-		-		-		-		943
Total	$	5,490	$	19,946	$	20,313	$	48,650	$	51,224	$	48,034	$	5,952	$	199,609

Current-period gross charge-offs	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-

Real estate - commercial
Pass	$	19,304	$	37,814	$	29,279	$	62,436	$	47,982	$	75,265	$	4,154	$	276,234
Watch		574		4,956		3,718		19,079		5,524		4,079		101		38,031
Special Mention		1,881		-		-		-		-		905		-		2,786
Substandard		6,910		-		-		-		15,834		1,000		75		23,819
Substandard-Impaired		504		821		7,562		2,502		-		-		-		11,389
Total	$	29,173	$	43,591	$	40,559	$	84,017	$	69,340	$	81,249	$	4,330	$	352,259

Current-period gross charge-offs	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-

Real estate - agricultural
Pass	$	8,502	$	18,002	$	16,645	$	26,397	$	27,643	$	41,668	$	2,647	$	141,504
Watch		4,816		2,184		1,036		1,038		1,499		5,131		-		15,704
Special Mention		-		-		-		-		-		-		-		-
Substandard		450		-		1,339		101		85		995		-		2,970
Substandard-Impaired		-		-		-		-		140		-		-		140
Total	$	13,768	$	20,186	$	19,020	$	27,536	$	29,367	$	47,794	$	2,647	$	160,318

Current-period gross charge-offs	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-

March 31, 2025	Amortized Cost Basis of Term Loans by Year of Origination
	2025		2024		2023		2022		2021		Prior		Revolving		Total
Commercial
Pass	$	3,455	$	12,785	$	9,463	$	9,418	$	6,201	$	4,384	$	33,258	$	78,964
Watch		106		869		6,973		548		448		244		2,724		11,912
Special Mention		40		-		-		-		-		-		-		40
Substandard		-		-		-		21		-		-		-		21
Substandard-Impaired		391		1,485		34		-		-		63		464		2,437
Total	$	3,992	$	15,139	$	16,470	$	9,987	$	6,649	$	4,691	$	36,446	$	93,374

Current-period gross charge-offs	$	-	$	-	$	-	$	-	$	-	$	5	$	-	$	5

Agricultural
Pass	$	12,635	$	9,935	$	4,299	$	4,472	$	2,973	$	1,739	$	70,043	$	106,096
Watch		6,163		464		514		275		243		204		11,829		19,692
Special Mention		-		-		-		-		-		-		-		-
Substandard		314		1,395		136		78		43		360		990		3,316
Substandard-Impaired		-		-		50		-		207		-		-		257
Total	$	19,112	$	11,794	$	4,999	$	4,825	$	3,466	$	2,303	$	82,862	$	129,361

Current-period gross charge-offs	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-

Consumer and other
Pass	$	1,550	$	4,546	$	4,127	$	2,203	$	1,826	$	2,240	$	9	$	16,501
Watch		-		13		-		-		-		-		-		13
Special Mention		-		-		-		-		-		-		-		-
Substandard		-		-		4		-		-		-		-		4
Substandard-Impaired		-		1		1		2		-		7		-		11
Total	$	1,550	$	4,560	$	4,132	$	2,205	$	1,826	$	2,247	$	9	$	16,529

Current-period gross charge-offs	$	-	$	1	$	-	$	-	$	-	$	-	$	-	$	1

Total loans
Pass	$	73,847	$	172,923	$	132,986	$	220,737	$	169,308	$	227,006	$	139,063	$	1,135,870
Watch		11,944		16,609		13,350		21,029		37,067		12,989		14,735		127,723
Special Mention		2,207		-		8,547		640		-		905		-		12,299
Substandard		7,674		1,461		1,903		200		17,201		2,889		1,065		32,393
Substandard-Impaired		2,220		2,425		7,647		2,504		347		125		464		15,732
Total	$	97,892	$	193,418	$	164,433	$	245,110	$	223,923	$	243,914	$	155,327	$	1,324,017

Current-period gross charge-offs	$	-	$	45	$	-	$	-	$	-	$	5	$	-	$	50

December 31, 2024	Amortized Cost Basis of Term Loans by Year of Origination
	2024		2023		2022		2021		2020		Prior		Revolving		Total
Real estate - construction
Pass	$	37,743	$	16,689	$	1,640	$	228	$	11	$	161	$	1,991	$	58,463
Watch		756		-		-		-		-		-		-		756
Special Mention		-		-		-		-		-		-		-		-
Substandard		-		-		-		-		-		-		-		-
Substandard-Impaired		62		-		-		-		-		-		-		62
Total	$	38,561	$	16,689	$	1,640	$	228	$	11	$	161	$	1,991	$	59,281

Current-period gross charge-offs	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-

Real estate - 1-4 family residential
Pass	$	46,850	$	44,736	$	66,864	$	52,746	$	41,574	$	18,767	$	21,325	$	292,862
Watch		1,233		1,212		91		9,535		1,003		303		95		13,472
Special Mention		-		-		639		-		289		-		-		928
Substandard		-		424		-		1,230		-		90		-		1,744
Substandard-Impaired		568		-		-		70		-		60		-		698
Total	$	48,651	$	46,372	$	67,594	$	63,581	$	42,866	$	19,220	$	21,420	$	309,704

Current-period gross charge-offs	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-

Real estate - multi-family
Pass	$	15,316	$	20,441	$	49,932	$	31,822	$	36,556	$	10,771	$	5,735	$	170,573
Watch		6,517		-		-		19,971		-		-		-		26,488
Special Mention		-		-		-		-		-		-		-		-
Substandard		-		-		-		-		2,200		-		-		2,200
Substandard-Impaired		948		-		-		-		-		-		-		948
Total	$	22,781	$	20,441	$	49,932	$	51,793	$	38,756	$	10,771	$	5,735	$	200,209

Current-period gross charge-offs	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-

Real estate - commercial
Pass	$	37,014	$	30,228	$	71,779	$	51,164	$	53,722	$	26,685	$	3,995	$	274,587
Watch		4,749		5,429		14,982		5,484		6,005		548		241		37,438
Special Mention		-		-		-		-		2,893		-		-		2,893
Substandard		828		2,637		-		15,978		4,355		1,009		-		24,807
Substandard-Impaired		513		7,753		2,502		-		-		-		-		10,768
Total	$	43,104	$	46,047	$	89,263	$	72,626	$	66,975	$	28,242	$	4,236	$	350,493

Current-period gross charge-offs	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-

Real estate - agricultural
Pass	$	20,951	$	17,331	$	28,074	$	29,180	$	21,796	$	22,366	$	2,562	$	142,260
Watch		1,994		5,259		373		1,541		2,813		3,477		-		15,457
Special Mention		-		-		-		-		-		-		-		-
Substandard		-		1,275		-		746		-		-		-		2,021
Substandard-Impaired		-		-		-		142		-		-		-		142
Total	$	22,945	$	23,865	$	28,447	$	31,609	$	24,609	$	25,843	$	2,562	$	159,880

Current-period gross charge-offs	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-

December 31, 2024	Amortized Cost Basis of Term Loans by Year of Origination
	2024		2023		2022		2021		2020		Prior		Revolving		Total
Commercial
Pass	$	14,729	$	10,589	$	10,677	$	7,405	$	1,475	$	3,298	$	28,192	$	76,365
Watch		726		6,926		215		-		244		136		2,138		10,385
Special Mention		-		-		-		-		-		-		-		-
Substandard		1,150		-		24		-		-		-		800		1,974
Substandard-Impaired		782		45		-		1		-		65		406		1,299
Total	$	17,387	$	17,560	$	10,916	$	7,406	$	1,719	$	3,499	$	31,536	$	90,023

Current-period gross charge-offs	$	465	$	-	$	-	$	-	$	-	$	9	$	-	$	474

Agricultural
Pass	$	14,463	$	5,547	$	5,057	$	3,499	$	1,429	$	503	$	85,222	$	115,720
Watch		1,822		563		356		261		8		186		12,249		15,445
Special Mention		-		-		-		-		-		-		-		-
Substandard		1,159		-		-		72		380		-		1,113		2,724
Substandard-Impaired		-		54		-		214		-		-		-		268
Total	$	17,444	$	6,164	$	5,413	$	4,046	$	1,817	$	689	$	98,584	$	134,157

Current-period gross charge-offs	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-

Consumer and other
Pass	$	5,845	$	4,451	$	2,435	$	1,931	$	1,608	$	758	$	11	$	17,039
Watch		15		-		-		-		-		-		-		15
Special Mention		-		-		-		-		-		-		-		-
Substandard		-		-		-		-		-		-		-		-
Substandard-Impaired		1		-		3		-		8		-		-		12
Total	$	5,861	$	4,451	$	2,438	$	1,931	$	1,616	$	758	$	11	$	17,066

Current-period gross charge-offs	$	9	$	-	$	-	$	-	$	-	$	-	$	-	$	9

Total loans
Pass	$	192,911	$	150,012	$	236,458	$	177,975	$	158,171	$	83,309	$	149,033	$	1,147,869
Watch		17,812		19,389		16,017		36,792		10,073		4,650		14,723		119,456
Special Mention		-		-		639		-		3,182		-		-		3,821
Substandard		3,137		4,336		24		18,026		6,935		1,099		1,913		35,470
Substandard-Impaired		2,874		7,852		2,505		427		8		125		406		14,197
Total	$	216,734	$	181,589	$	255,643	$	233,220	$	178,369	$	89,183	$	166,075	$	1,320,813

Current-period gross charge-offs	$	474	$	-	$	-	$	-	$	-	$	9	$	-	$	483