XML 50 R23.htm IDEA: XBRL DOCUMENT v2.4.0.8
Loans (Tables)
 9 Months Ended
Sep. 30, 2014
Receivables [Abstract]  
Loans
Loans are comprised of the following:
(In thousands)
September 30, 2014

 
December 31, 2013

Commercial and business loans
$
67,365

 
$
68,460

Government program loans
1,960

 
2,226

Total commercial and industrial
69,325

 
70,686

Real estate – mortgage:
 

 
 

Commercial real estate
154,409

 
143,919

Residential mortgages
61,719

 
52,036

Home Improvement and Home Equity loans
1,186

 
1,410

Total real estate mortgage
217,314

 
197,365

RE construction and development
116,583

 
87,004

Agricultural
32,870

 
30,932

Installment
11,344

 
9,330

Total Loans
$
447,436

 
$
395,317
Delinquent Loans
The Company monitors delinquency and potential problem loans on an ongoing basis through weekly reports to the Loan Committee and monthly reports to the Board of Directors. The following is a summary of delinquent loans at September 30, 2014 (in thousands):
September 30, 2014
Loans
30-60 Days Past Due
 
Loans
61-89 Days Past Due
 
Loans
90 or More
Days Past Due
 
Total Past Due Loans
 
Current Loans
 
Total Loans
 
Accruing
Loans 90 or
More Days Past Due
Commercial and Business Loans
$
—

 
$
—

 
$
—

 
$
—

 
$
67,365

 
$
67,365

 
$
—

Government Program Loans
—

 
441

 
—

 
441

 
1,519

 
1,960

 
—

Total Commercial and Industrial
—

 
441

 
—

 
441

 
68,884

 
69,325

 
—

Commercial Real Estate Loans
—

 
475

 
460

 
935

 
153,474

 
154,409

 
—

Residential Mortgages
—

 
—

 
255

 
255

 
61,464

 
61,719

 
—

Home Improvement and Home Equity Loans
51

 
—

 
—

 
51

 
1,135

 
1,186


—

Total Real Estate Mortgage
51

 
475

 
715

 
1,241

 
216,073

 
217,314

 
—

 
 
 
 
 
 
 
 
 
 
 
 
 
 
RE Construction and Development Loans
—

 
—

 
—

 
—

 
116,583

 
116,583

 
—

Agricultural Loans
—

 
—

 
—

 
—

 
32,870

 
32,870

 
—

Consumer Loans
—

 
—

 
—

 
—

 
10,958

 
10,958

 
—

Overdraft protection Lines
—

 
—

 
—

 
—

 
96

 
96

 
—

Overdrafts
—

 
—

 
—

 
—

 
290

 
290

 
—

Total Installment
—

 
—

 
—

 
—

 
11,344

 
11,344

 
—

Total Loans
$
51

 
$
916

 
$
715

 
$
1,682

 
$
445,754

 
$
447,436

 
$
—


The following is a summary of delinquent loans at December 31, 2013 (in thousands):
December 31, 2013
Loans
30-60 Days Past Due
 
Loans
61-89 Days Past Due
 
Loans
90 or More
Days Past Due
 
Total Past Due Loans
 
Current Loans
 
Total Loans
 
Accruing
Loans 90 or
More Days Past Due
Commercial and Business Loans
$
—

 
$
94

 
$
—

 
$
94

 
$
68,366

 
$
68,460

 
$
—

Government Program Loans
—

 
—

 
—

 
—

 
2,226

 
2,226

 
—

Total Commercial and Industrial
—

 
94

 
—

 
94

 
70,592

 
70,686

 
—

Commercial Real Estate Loans
1,991

 
—

 
6,866

 
8,857

 
135,062

 
143,919

 
—

Residential Mortgages
—

 
614

 
359

 
973

 
51,063

 
52,036

 
—

Home Improvement and Home Equity Loans
96

 
—

 
—

 
96

 
1,314

 
1,410

 
—

Total Real Estate Mortgage
2,087

 
614

 
7,225

 
9,926

 
187,439

 
197,365

 
—

RE Construction and Development Loans
—

 
—

 
220

 
220

 
86,784

 
87,004

 
—

Agricultural Loans
—

 
—

 
—

 
—

 
30,932

 
30,932

 
—

Consumer Loans
—

 
—

 
—

 
—

 
9,086

 
9,086

 
—

Overdraft protection Lines
—

 
—

 
—

 
—

 
87

 
87

 
—

Overdrafts
—

 
—

 
—

 
—

 
157

 
157

 
—

Total Installment
—

 
—

 
—

 
—

 
9,330

 
9,330

 
—

Total Loans
$
2,087

 
$
708

 
$
7,445

 
$
10,240

 
$
385,077

 
$
395,317

 
$
—
Nonaccrual Loan Balances
The following is a summary of nonaccrual loan balances at September 30, 2014 and December 31, 2013 (in thousands).
 
September 30, 2014
 
December 31, 2013
Commercial and Business Loans
$
114

 
$
—

Government Program Loans
—

 
—

Total Commercial and Industrial
114

 
—

 
 
 
 
Commercial Real Estate Loans
3,243

 
10,188

Residential Mortgages
1,191

 
1,685

Home Improvement and Home Equity Loans
—

 
—

Total Real Estate Mortgage
4,434

 
11,873

 
 
 
 
RE Construction and Development Loans
5,207

 
468

 Agricultural Loans
—

 
—

 
 
 
 
Consumer Loans
—

 
—

Overdraft protection Lines
—

 
—

Overdrafts
—

 
—

Total Installment
—

 
—

Total Loans
$
9,755

 
$
12,341
Impaired Loans
The following is a summary of impaired loans at, and for the nine months ended September 30, 2014 (in thousands).
September 30, 2014
Unpaid
Contractual
Principal Balance
 
Recorded
Investment
With No Allowance
 
Recorded
Investment
With Allowance (1)
 
Total
Recorded Investment
 
Related Allowance
 
Average
Recorded Investment
 
Interest Recognized
Commercial and Business Loans
$
964

 
$
709

 
$
258

 
$
967

 
$
47

 
$
796

 
$
44

Government Program Loans
40

 
41

 
—

 
41

 
—

 
193

 
23

Total Commercial and Industrial
1,004

 
750

 
258

 
1,008

 
47

 
989

 
67

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Commercial Real Estate Loans
3,243

 
1,863

 
1,380

 
3,243

 
486

 
6,638

 
171

Residential Mortgages
4,349

 
1,294

 
3,066

 
4,360

 
184

 
4,643

 
142

Home Improvement and Home Equity Loans
—

 
—

 
—

 
—

 
—

 
—

 
—

Total Real Estate Mortgage
7,592

 
3,157

 
4,446

 
7,603

 
670

 
11,281

 
313

 
 
 
 
 
 
 
 
 
 
 
 
 
 
RE Construction and Development Loans
5,693

 
5,695

 
—

 
5,695

 
—

 
2,359

 
73

Agricultural Loans
35

 
35

 
—

 
35

 
—

 
39

 
7

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Consumer Loans
45

 
—

 
45

 
45

 
2

 
46

 
3

Overdraft protection Lines
—

 
—

 
—

 
—

 
—

 
—

 
—

Overdrafts
—

 
—

 
—

 
—

 
—

 
—

 
—

Total Installment
45

 
—

 
45

 
45

 
2

 
46

 
3

Total Impaired Loans
$
14,369

 
$
9,637

 
$
4,749

 
$
14,386

 
$
719

 
$
14,714

 
$
463


(1) The recorded investment in loans includes accrued interest receivable of $17,000.


The following is a summary of impaired loans at, and for the year ended, December 31, 2013 (in thousands).

December 31, 2013
Unpaid
Contractual
Principal Balance
 
Recorded
Investment
With No Allowance
 
Recorded
Investment
With Allowance (1)
 
Total
Recorded Investment
 
Related Allowance
 
Average
Recorded Investment
 
Interest Recognized
Commercial and Business Loans
$
675

 
$
275

 
$
402

 
$
677

 
$
9

 
$
831

 
$
52

Government Program Loans
—

 
—

 
—

 
—

 
—

 
35

 
—

Total Commercial and Industrial
675

 
275

 
402

 
677

 
9

 
866

 
52

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Commercial Real Estate Loans
10,188

 
8,721

 
1,468

 
10,189

 
415

 
10,671

 
232

Residential Mortgages
5,375

 
1,794

 
3,590

 
5,384

 
338

 
6,139

 
211

Home Improvement and Home Equity Loans
—

 
—

 
—

 
—

 
—

 
13

 
—

Total Real Estate Mortgage
15,563

 
10,515

 
5,058

 
15,573

 
753

 
16,823

 
443

 
 
 
 
 
 
 
 
 
 
 
 
 
 
RE Construction and Development Loans
1,772

 
1,789

 
—

 
1,789

 
—

 
2,266

 
60

Agricultural Loans
44

 
45

 
—

 
45

 
—

 
84

 
10

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Consumer Loans
48

 
48

 
—

 
48

 
—

 
72

 
4

Overdraft protection Lines
—

 
—

 
—

 
—

 
—

 
—

 
—

Overdrafts
—

 
—

 
—

 
—

 
—

 
—

 
—

Total Installment
48

 
48

 
—

 
48

 
—

 
72

 
4

Total Impaired Loans
$
18,102

 
$
12,672

 
$
5,460

 
$
18,132

 
$
762

 
$
20,111

 
$
569
Troubled Debt Restructuring Activity
The following tables illustrates TDR activity for the periods indicated:
 
Three Months Ended September 30, 2014
 
Number of
Contracts
 
Pre-
Modification
Outstanding
Recorded
Investment
 
Post-
Modification
Outstanding
Recorded
Investment
 
Number of Contracts in Default
 
Recorded Investment on Defaulted TDRs
Troubled Debt Restructurings
 
 
 
 
 
 
 
 
 
Commercial and Business Loans
2

 
$
300

 
$
286

 
—

 
$
—

Government Program Loans
—

 
—

 
—

 
—

 
—

Commercial Real Estate Term Loans
—

 
—

 
—

 
—

 
—

Single Family Residential Loans
—

 
—

 
—

 
1

 
162

Home Improvement and Home Equity Loans
—

 
—

 
—

 
—

 
—

RE Construction and Development Loans
—

 
—

 
—

 
—

 
—

Agricultural Loans
—

 
—

 
—

 
—

 
—

Consumer Loans
—

 
—

 
—

 
—

 
—

Overdraft protection Lines
—

 
—

 
—

 
—

 
—

Total Loans
2

 
$
300

 
$
286

 
1

 
$
162


 
Nine Months Ended September 30, 2014
 
Number of
Contracts
 
Pre-
Modification
Outstanding
Recorded
Investment
 
Post-
Modification
Outstanding
Recorded
Investment
 
Number of Contracts in Default
 
Recorded Investment on Defaulted TDRs
Troubled Debt Restructurings
 
 
 
 
 
 
 
 
 
Commercial and Business Loans
3

 
$
350

 
$
335

 
1

 
$
—

Government Program Loans
1

 
544

 
534

 
1

 
—

Commercial Real Estate Term Loans
—

 
—

 
—

 
—

 
—

Single Family Residential Loans
—

 
—

 
—

 
3

 
657

Home Improvement and Home Equity Loans
—

 
—

 
—

 
—

 
—

RE Construction and Development Loans
—

 
—

 
—

 
2

 
394

Agricultural Loans
—

 
—

 
—

 
—

 
—

Consumer Loans
—

 
—

 
—

 
—

 
—

Overdraft protection Lines
—

 
—

 
—

 
—

 
—

Total Loans
4

 
$
894

 
$
869

 
7

 
$
1,051


 
Three Months Ended  
 September 30, 2013
 
Number of
Contracts
 
Pre-
Modification
Outstanding
Recorded
Investment
 
Post-
Modification
Outstanding
Recorded
Investment
 
Number of Contracts in Default
 
Recorded Investment on Defaulted TDRs
Troubled Debt Restructurings
 
 
 
 
 
 
 
 
 
Commercial and Business Loans
—

 
$
—

 
$
—

 
—

 
$
—

Government Program Loans
—

 
—

 
—

 
—

 
—

Commercial Real Estate Term Loans
—

 
—

 
—

 
—

 
—

Single Family Residential Loans
—

 
—

 
—

 
—

 
—

Home Improvement and Home Equity Loans
—

 
—

 
—

 
—

 
—

RE Construction and Development Loans
22

 
2,103

 
2,103

 
—

 
—

Agricultural Loans
—

 
—

 
—

 
—

 
—

Consumer Loans
—

 
—

 
—

 
—

 
—

Overdraft protection Lines
—

 
—

 
—

 
—

 
—

Total Loans
22

 
$
2,103

 
$
2,103

 
—

 
$
—



 
 
Nine Months Ended September 30, 2013
 
Number of
Contracts
 
Pre-
Modification
Outstanding
Recorded
Investment
 
Post-
Modification
Outstanding
Recorded
Investment
 
Number of Contracts in Default
 
Recorded Investment on Defaulted TDRs
Troubled Debt Restructurings
 
 
 
 
 
 
 
 
 
Commercial and Business Loans
—

 
$
—

 
$
—

 
—

 
$
—

Government Program Loans
—

 
—

 
—

 
—

 
—

Commercial Real Estate Term Loans
—

 
—

 
—

 
1

 
106

Single Family Residential Loans
—

 
—

 
—

 
—

 
—

Home Improvement and Home Equity Loans
1

 
44

 
44

 
—

 
—

RE Construction and Development Loans
45

 
3,625

 
3,625

 
—

 
—

Agricultural Loans
—

 
—

 
—

 
—

 
—

Consumer Loans
—

 
—

 
—

 
—

 
—

Overdraft protection Lines
—

 
—

 
—

 
—

 
—

Total Loans
46

 
$
3,669

 
$
3,669

 
1

 
$
106
TDR Activity by Loan Category
The following tables summarize TDR activity by loan category for the nine months ended September 30, 2014 and September 30, 2013.
Nine Months Ended September 30, 2014
Commercial and Industrial
 
Commercial Real Estate
 
Residential Mortgages
 
Home Equity
 
RE Construction Development
 
Agricultural
 
Installment
& Other
 
Total
Beginning balance
$
675

 
$
1,468

 
$
5,273

 
$
—

 
$
1,551

 
$
44

 
$
48

 
$
9,059

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Defaults
—

 
—

 
(656
)
 
—

 
(395
)
 
—

 
—

 
(1,051
)
Additions
894

 
—

 
—

 
—

 
—

 
—

 
—

 
894

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Principal reductions
(694
)
 
(88
)
 
(360
)
 
—

 
(670
)
 
(9
)
 
(3
)
 
(1,824
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Ending balance
$
875

 
$
1,380

 
$
4,257

 
$
—

 
$
486

 
$
35

 
$
45

 
$
7,078

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Allowance for loan loss
$
47

 
$
486

 
$
184

 
$
—

 
$
—

 
$
—

 
$
2

 
$
719



Nine Months Ended September 30, 2013
Commercial and Industrial
 
Commercial Real Estate
 
Residential Mortgages
 
Home Equity
 
RE Construction Development
 
Agricultural
 
Installment
& Other
 
Total
Beginning balance
$
990

 
$
5,395

 
$
7,289

 
$
10

 
$
2,860

 
$
191

 
$
38

 
$
16,773

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Defaults
—

 
(106
)
 
—

 
—

 
—

 
—

 
—

 
(106
)
Additions
—

 
—

 
—

 
44

 
3,625

 
—

 
—

 
3,669

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Principal reductions
(292
)
 
(1,113
)
 
(1,976
)
 
(54
)
 
(3,380
)
 
(143
)
 
(38
)
 
(6,996
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Ending balance
$
698

 
$
4,176

 
$
5,313

 
$
—

 
$
3,105

 
$
48

 
$
—

 
$
13,340

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Allowance for loan loss
$
5

 
$
739

 
$
109

 
$
—

 
$
88

 
$
—

 
$
—

 
$
941


The following tables summarize TDR activity by loan category for the quarters ended September 30, 2014 and September 30, 2013.
Three months ended September 30, 2014
Commercial and Industrial
 
Commercial Real Estate
 
Residential Mortgages
 
Home Equity
 
RE Construction Development
 
Agricultural
 
Installment
& Other
 
Lease Financing
 
Total
Beginning balance
$
1,107

 
$
1,410

 
$
4,536

 
$
—

 
$
490

 
$
38

 
$
46

 
$
—

 
$
7,627

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Defaults
—

 
—

 
(162
)
 
—

 
—

 
—

 
—

 
—

 
(162
)
Additions
300

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
300

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Principal reductions
(532
)
 
(30
)
 
(117
)
 
—

 
(4
)
 
(3
)
 
(1
)
 
—

 
(687
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Ending balance
$
875

 
$
1,380

 
$
4,257

 
$
—

 
$
486

 
$
35

 
$
45

 
$
—

 
$
7,078

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Allowance for loan loss
$
47

 
$
486

 
$
184

 
$
0

 
$
—

 
$
—

 
$
2

 
$
—

 
$
719


Three months ended September 30, 2013
Commercial and Industrial
 
Commercial Real Estate
 
Residential Mortgages
 
Home Equity
 
RE Construction Development
 
Agricultural
 
Installment
& Other
 
Lease Financing
 
Total
Beginning balance
$
812

 
$
4,215

 
$
6,783

 
$
44

 
$
2,411

 
$
51

 
$
—

 
$
—

 
$
14,316

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Defaults
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

Additions
—

 
—

 
—

 
—

 
2,103

 
—

 
—

 
—

 
2,103

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Principal reductions
(114
)
 
(39
)
 
(1,470
)
 
(44
)
 
(1,409
)
 
(3
)
 
—

 
—

 
(3,079
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Ending balance
$
698

 
$
4,176

 
$
5,313

 
$
—

 
$
3,105

 
$
48

 
$
—

 
$
—

 
$
13,340

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Allowance for loan loss
$
5

 
$
739

 
$
109

 
$
—

 
$
88

 
$
—

 
$
—

 
$
—

 
$
941
Credit Risk Rating for Commercial, Construction and Non-Consumer Related Loans
The following tables summarize the credit risk ratings for commercial, construction, and other non-consumer related loans for September 30, 2014 and December 31, 2013:
 
Commercial and Industrial
 
Commercial RE
 
RE Construction and Development
 
Agricultural
 
Total
September 30, 2014
 
 
 
 
(000's)
 
 
 
 
Grades 1 and 2
$
491

 
$
—

 
$
—

 
$
—

 
$
491

Grade 3
13

 
5,196

 
786

 
—

 
5,995

Grades 4 and 5 – pass
66,879

 
143,288

 
94,100

 
32,870

 
337,137

Grade 6 – special mention
342

 
1,100

 
—

 
—

 
1,442

Grade 7 – substandard
1,600

 
4,825

 
21,697

 
—

 
28,122

Grade 8 – doubtful
—

 
—

 
—

 
—

 
—

Total
$
69,325

 
$
154,409

 
$
116,583

 
$
32,870

 
$
373,187

 
Commercial and Industrial
 
Commercial RE
 
RE Construction and Development
 
Agricultural
 
Total
December 31, 2013
 
 
 
 
(000's)
 
 
 
 
Grades 1 and 2
$
355

 
$
—

 
$
—

 
$
70

 
$
425

Grade 3
44

 
5,287

 
816

 
—

 
6,147

Grades 4 and 5 – pass
69,070

 
127,189

 
66,048

 
30,862

 
293,169

Grade 6 – special mention
590

 
—

 
—

 
—

 
590

Grade 7 – substandard
627

 
11,443

 
20,140

 
—

 
32,210

Grade 8 – doubtful
—

 
—

 
—

 
—

 
—

Total
$
70,686

 
$
143,919

 
$
87,004

 
$
30,932

 
$
332,541
Credit Risk Ratings for Consumer Related Loans and Other Homogenous Loans
The following tables summarize the credit risk ratings for consumer related loans and other homogeneous loans for September 30, 2014 and December 31, 2013:
 
September 30, 2014
 
December 31, 2013
 
Residential Mortgages
 
Home
Improvement and Home Equity
 
Installment
 
Total
 
Residential Mortgages
 
Home
Improvement and Home Equity
 
Installment
 
Total
(000's)
 
 
 
 
 
 
 
Not graded
$
40,892

 
$
1,155

 
$
9,626

 
$
51,673

 
$
29,063

 
$
1,378

 
$
7,862

 
$
38,303

Pass
17,595

 
31

 
1,067

 
18,693

 
19,320

 
—

 
1,468

 
20,788

Special Mention
218

 
0

 
—

 
218

 
1,204

 
32

 
—

 
1,236

Substandard
3,014

 
—

 
651

 
3,665

 
2,449

 
—

 
—

 
2,449

Total
$
61,719

 
$
1,186

 
$
11,344

 
$
74,249

 
$
52,036

 
$
1,410

 
$
9,330

 
$
62,776
Allowance for Credit Loses by Loan Category
The following summarizes the activity in the allowance for credit losses by loan category for the nine months ended September 30, 2014 and 2013.
Nine Months Ended
Commercial and Industrial
 
Real Estate Mortgage
 
RE Construction Development
 
 Agricultural
 
Installment & Other
 
Commercial Lease Financing
 
 Unallocated
 
Total
September 30, 2014
 
 
 
 
 
 
 
Beginning balance
$
2,340

 
$
1,862

 
$
5,533

 
$
582

 
$
276

 
$
—

 
$
395

 
$
10,988

Provision for credit losses
(877
)
 
55

 
253

 
(76
)
 
64

 
(46
)
 
526

 
(101
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Charge-offs
(183
)
 
(131
)
 
(60
)
 
—

 
—

 
—

 
(10
)
 
(384
)
Recoveries
181

 
13

 
319

 
6

 
47

 
46

 
—

 
612

Net recoveries
(2
)
 
(118
)
 
259

 
6

 
47

 
46

 
(10
)
 
228

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Ending balance
$
1,461

 
$
1,799

 
$
6,045

 
$
512

 
$
387

 
$
—

 
$
911

 
$
11,115

Period-end amount allocated to:
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

Loans individually evaluated for impairment
47

 
670

 
—

 
—

 
2

 
—

 
—

 
719

Loans collectively evaluated for impairment
1,414

 
1,129

 
6,045

 
512

 
385

 
—

 
911

 
10,396

Ending balance
$
1,461

 
$
1,799

 
$
6,045

 
$
512

 
$
387

 
$
—

 
$
911

 
$
11,115


Nine Months Ended
Commercial and Industrial
 
Real Estate Mortgage
 
RE Construction Development
 
 Agricultural
 
Installment & Other
 
Commercial Lease Financing
 
 Unallocated
 
Total
September 30, 2013
 
 
 
 
 
 
 
Beginning balance
$
1,614

 
$
1,292

 
$
2,814

 
$
352

 
$
288

 
$
1

 
$
5,423

 
$
11,784

Provision for credit losses
972

 
983

 
1,854

 
208

 
259

 
(1
)
 
(5,395
)
 
(1,120
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Charge-offs
(542
)
 
(265
)
 
—

 
(136
)
 
(258
)
 
—

 
—

 
(1,201
)
Recoveries
163

 
6

 
738

 
129

 
53

 
—

 
—

 
1,089

Net charge-offs
(379
)
 
(259
)
 
738

 
(7
)
 
(205
)
 
—

 
—

 
(112
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Ending balance
$
2,207

 
$
2,016

 
$
5,406

 
$
553

 
$
342

 
$
0

 
$
28

 
$
10,552

Period-end amount allocated to:
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

Loans individually evaluated for impairment
739

 
109

 
—

 
88

 
—

 
—

 
5

 
941

Loans collectively evaluated for impairment
1,468

 
1,907

 
5,406

 
465

 
342

 
0

 
23

 
9,611

Ending balance
$
2,207

 
$
2,016

 
$
5,406

 
$
553

 
$
342

 
$
0

 
$
28

 
$
10,552


The following summarizes the activity in the allowance for credit losses by loan category for the quarters ended September 30, 2014 and 2013.

Three Months Ended
Commercial and Industrial
 
Real Estate Mortgage
 
RE Construction Development
 
 Agricultural
 
Installment & Other
 
Commercial Lease Financing
 
 Unallocated
 
Total
September 30, 2014
 
 
 
 
 
 
 
Beginning balance
$
1,396

 
$
1,688

 
$
6,452

 
$
494

 
$
288

 
$
—

 
$
730

 
$
11,048

Provision for credit losses
149

 
106

 
(505
)
 
16

 
88

 
—

 
185

 
39

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Charge-offs
(93
)
 
—

 
—

 
—

 
—

 
—

 
(4
)
 
(97
)
Recoveries
9

 
5

 
98

 
2

 
11

 
—

 
—

 
125

Net charge-offs
(84
)
 
5

 
98

 
2

 
11

 
—

 
(4
)
 
28

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Ending balance
$
1,461

 
$
1,799

 
$
6,045

 
$
512

 
$
387

 
$
—

 
$
911

 
$
11,115

Period-end amount allocated to:
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

Loans individually evaluated for impairment
47

 
670

 
—

 
—

 
2

 
—

 
—

 
719

Loans collectively evaluated for impairment
1,414

 
1,129

 
6,045

 
512

 
385

 
—

 
911

 
10,396

Ending balance
$
1,461

 
$
1,799

 
$
6,045

 
$
512

 
$
387

 
$
—

 
$
911

 
$
11,115

Three Months Ended
Commercial and Industrial
 
Real Estate Mortgage
 
RE Construction Development
 
 Agricultural
 
Installment & Other
 
Commercial Lease Financing
 
 Unallocated
 
Total
September 30, 2013
 
 
 
 
 
 
 
Beginning balance
$
2,665

 
$
1,679

 
$
2,972

 
$
243

 
$
315

 
$
—

 
$
3,283

 
$
11,157

Provision for credit losses
(390
)
 
383

 
1,696

 
181

 
235

 
—

 
(3,255
)
 
(1,150
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Charge-offs
(193
)
 
(49
)
 
—

 
—

 
(232
)
 
—

 
—

 
(474
)
Recoveries
125

 
3

 
738

 
129

 
24

 
—

 
—

 
1,019

Net charge-offs
(68
)
 
(46
)
 
738

 
129

 
(208
)
 
—

 
—

 
545

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Ending balance
$
2,207

 
$
2,016

 
$
5,406

 
$
553

 
$
342

 
$
—

 
$
28

 
$
10,552

Period-end amount allocated to:
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

Loans individually evaluated for impairment
739

 
109

 
—

 
88

 
—

 
—

 
5

 
941

Loans collectively evaluated for impairment
1,468

 
1,907

 
5,406

 
465

 
342

 
—

 
23

 
9,611

Ending balance
$
2,207

 
$
2,016

 
$
5,406

 
$
553

 
$
342

 
$
—

 
$
28

 
$
10,552
Summarized Loan Balances
The following summarizes information with respect to the loan balances at September 30, 2014 and December 31, 2013.
 
September 30, 2014
 
December 31, 2013
 
Loans
Individually
Evaluated for Impairment
 
Loans
Collectively
Evaluated for Impairment
 
Total Loans
 
Loans
Individually
Evaluated for Impairment
 
Loans
Collectively
Evaluated for Impairment
 
Total Loans
(000's)
 
 
 
 
 
Commercial and Business Loans
$
967

 
$
66,398

 
$
67,365

 
$
677

 
$
67,783

 
$
68,460

Government Program Loans
41

 
1,919

 
1,960

 
—

 
2,226

 
2,226

Total Commercial and Industrial
1,008

 
68,317

 
69,325

 
677

 
70,009

 
70,686

 
 
 
 
 
 
 
 
 
 
 
 
Commercial Real Estate Loans
3,243

 
151,166

 
154,409

 
10,189

 
133,730

 
143,919

Residential Mortgage Loans
4,360

 
57,359

 
61,719

 
5,384

 
46,652

 
52,036

Home Improvement and Home Equity Loans
—

 
1,186

 
1,186

 
—

 
1,410

 
1,410

Total Real Estate Mortgage
7,603

 
209,711

 
217,314

 
15,573

 
181,792

 
197,365

 
 
 
 
 
 
 
 
 
 
 
 
RE Construction and Development Loans
5,695

 
110,888

 
116,583

 
1,789

 
85,215

 
87,004

 
 
 
 
 
 
 
 
 
 
 
 
Agricultural Loans
35

 
32,835

 
32,870

 
45

 
30,887

 
30,932

 
 
 
 
 
 
 
 
 
 
 
 
Installment Loans
45

 
11,299

 
11,344

 
48

 
9,282

 
9,330

 
 
 
 
 
 
 
 
 
 
 
 
Total Loans
$
14,386

 
$
433,050

 
$
447,436

 
$
18,132

 
$
377,185

 
$
395,317