Loans And Leases (Tables)

6 Months Ended

Jun. 30, 2020

Recorded Investment In Loans By Portfolio Segment




	June 30, 2020		December 31, 2019
	(unaudited)
Commercial (1)	$	327,539	$	170,646
Real estate:
Single-family residential		128,241		120,256
Multi-family residential		46,654		39,229
Commercial		272,207		247,543
Construction		59,574		67,652
Consumer:
Home equity lines of credit		19,596		20,941
Other		2,825		4,174
Subtotal		856,636		670,441
Less: ALLL		(10,107)		(7,138)
Loans and leases, net	$	846,529	$	663,303

⁽¹⁾

Includes $4,459 and $4,779 of commercial leases at June 30, 2020 and December 31, 2019, respectively.

Activity In ALLL By Portfolio Segment

The following table presents the activity in the ALLL by portfolio segment for the three and six months ended June 30, 2020:



	Three months ended June 30, 2020 (unaudited)
			Real Estate								Consumer
	Commercial		Single-family		Multi-family		Commercial		Construction		Home Equity lines of credit		Other		Total
Beginning balance	$	2,103	$	905	$	512	$	2,674	$	574	$	249	$	56	$	7,073
Addition to (reduction in) provision for loan losses		600		150		55		1,860		450		10		-		3,125
Charge-offs		(39)		(58)		-		-		-		-		-		(97)
Recoveries		-		2		-		-		-		4		-		6
Ending balance	$	2,664	$	999	$	567	$	4,534	$	1,024	$	263	$	56	$	10,107



	Six months ended June 30, 2020 (unaudited)
			Real Estate								Consumer
	Commercial		Single-family		Multi-family		Commercial		Construction		Home Equity lines of credit		Other		Total
Beginning balance	$	2,054	$	948	$	447	$	2,604	$	759	$	265	$	61	$	7,138
Addition to (reduction in) provision for loan losses		720		105		120		1,930		265		(10)		(5)		3,125
Charge-offs		(110)		(58)		-		-		-		-		-		(168)
Recoveries		-		4		-		-		-		8		-		12
Ending balance	$	2,664	$	999	$	567	$	4,534	$	1,024	$	263	$	56	$	10,107

The following table presents the activity in the ALLL by portfolio segment for the three and six months ended June 30, 2019:



	Three months ended June 30, 2019 (unaudited)
			Real Estate								Consumer
	Commercial		Single-family		Multi-family		Commercial		Construction		Home Equity lines of credit		Other		Total
Beginning balance	$	1,819	$	1,063	$	622	$	2,299	$	759	$	375	$	87	$	7,024
Addition to (reduction in) provision for loan losses		150		(50)		(60)		40		-		(70)		(10)		-
Charge-offs		-		-		-		-		-		-		-		-
Recoveries		-		1		-		-		-		4		-		5
Ending balance	$	1,969	$	1,014	$	562	$	2,339	$	759	$	309	$	77	$	7,029



	Six months ended June 30, 2019 (unaudited)
			Real Estate								Consumer
	Commercial		Single-family		Multi-family		Commercial		Construction		Home Equity lines of credit		Other		Total
Beginning balance	$	1,819	$	1,061	$	612	$	2,274	$	739	$	410	$	97	$	7,012
Addition to (reduction in) provision for loan losses		150		(50)		(50)		65		20		(115)		(20)		-
Charge-offs		-		-		-		-		-		-		-		-
Recoveries		-		3		-		-		-		14		-		17
Ending balance	$	1,969	$	1,014	$	562	$	2,339	$	759	$	309	$	77	$	7,029

Balance In ALLL And Recorded Investment In Loans By Portfolio Segment And Based On Impairment Method

The following table presents the balance in the ALLL and the recorded investment in loans and leases by portfolio segment and based on the impairment method as of June 30, 2020 (unaudited):



			Real Estate								Consumer
	Commercial		Single- family		Multi- family		Commercial		Construction		Home Equity lines of credit		Other		Total
ALLL:
Ending allowance balance attributable to loans:
Individually evaluated for impairment	$	-	$	-	$	-	$	22	$	-	$	-	$	-	$	22
Collectively evaluated for impairment		2,664		999		567		4,512		1,024		263		56		10,085
Total ending allowance balance	$	2,664	$	999	$	567	$	4,534	$	1,024	$	263	$	56	$	10,107

Loans:
Individually evaluated for impairment	$	81	$	106	$	-	$	2,728	$	-	$	-	$	-	$	2,915
Collectively evaluated for impairment		327,458		128,135		46,654		269,479		59,574		19,596		2,825		853,721
Total ending loan balance	$	327,539	$	128,241	$	46,654	$	272,207	$	59,574	$	19,596	$	2,825	$	856,636

The following table presents the balance in the ALLL and the recorded investment in loans and leases by portfolio segment and based on the impairment method as of December 31, 2019:



			Real Estate								Consumer
	Commercial		Single- family		Multi- family		Commercial		Construction		Home Equity lines of credit		Other		Total
ALLL:
Ending allowance balance attributable to loans:
Individually evaluated for impairment	$	1	$	1	$	-	$	33	$	-	$	-	$	-	$	35
Collectively evaluated for impairment		2,053		947		447		2,571		759		265		61		7,103
Total ending allowance balance	$	2,054	$	948	$	447	$	2,604	$	759	$	265	$	61	$	7,138

Loans:
Individually evaluated for impairment	$	85	$	107	$	-	$	4,420	$	-	$	-	$	-	$	4,612
Collectively evaluated for impairment		170,561		120,149		39,229		243,123		67,652		20,941		4,174		665,829
Total ending loan balance	$	170,646	$	120,256	$	39,229	$	247,543	$	67,652	$	20,941	$	4,174	$	670,441

Individually Evaluated For Impairment By Class Of Loans

The following table presents loans individually evaluated for impairment by class of loans as of and for the period ended June 30, 2020. The unpaid principal balance is the contractual principal balance outstanding. The recorded investment is the unpaid principal balance adjusted for partial charge-offs, purchase premiums and discounts, and deferred loan fees and costs. The table presents accrual basis interest income recognized during the three and six months ended June 30, 2020. Cash payments of interest on these loans during the three and six months ended June 30, 2020 totaled $11 and $53, respectively.


							Three months ended				Six months ended
	As of June 30, 2020						June 30, 2020				June 30, 2020
	(unaudited)						(unaudited)				(unaudited)
	Unpaid Principal Balance		Recorded Investment		ALLL Allocated		Average Recorded Investment		Interest Income Recognized		Average Recorded Investment		Interest Income Recognized
With no related allowance recorded:
Real estate:
Commercial:
Owner occupied	$	-	$	-	$	-	$	-	$	-	$	-	$	-
Total with no allowance recorded		-		-		-		-		-		-		-

With an allowance recorded:
Commercial (1)		81		81		-		108		3		126		5
Real estate:
Single-family residential (1)		106		106		-		106		-		106		1
Commercial:
Non-owner occupied		2,728		2,728		22		2,730		38		2,732		75
Total with an allowance recorded		2,915		2,915		22		2,944		41		2,964		81
Total	$	2,915	$	2,915	$	22	$	2,944	$	41	$	2,964	$	81

⁽¹⁾

Allowance recorded is less than $1 resulting in rounding to zero.

The following table presents loans individually evaluated for impairment by class of loans as of December 31, 2019. The unpaid principal balance is the contractual principal balance outstanding. The recorded investment is the unpaid principal balance adjusted for partial charge-offs, purchase premiums and discounts, and deferred loan fees and costs. The table presents accrual basis interest income recognized during the three and six months ended June 30, 2019. Cash payments of interest during the three and six months ended June 30, 2019 totaled $43 and $88.


							Three months ended				Six months ended
	As of December 31, 2019						June 30, 2019				June 30, 2019
							(unaudited)				(unaudited)
	Unpaid Principal Balance		Recorded Investment		ALLL Allocated		Average Recorded Investment		Interest Income Recognized		Average Recorded Investment		Interest Income Recognized
With no related allowance recorded:
Commercial	$	-	$	-	$	-	$	94	$	-	$	96	$	-
Real estate:
Single-family residential		-		-		-		109		2		109		3
Commercial:
Owner occupied		-		-		-		121		1		122		7
Total with no allowance recorded		-		-		-		324		3		327		10

With an allowance recorded:
Commercial		85		85		1		-		-		-		-
Real estate:
Single-family residential		107		107		1		-		-		-		-
Multi-family residential		-		-		-		-		-
Commercial:
Non-owner occupied		4,420		4,420		33		4,483		39		3,932		76
Total with an allowance recorded		4,612		4,612		35		4,483		39		3,932		76
Total	$	4,612	$	4,612	$	35	$	4,807	$	42	$	4,259	$	86

Recorded Investment In Nonaccrual Loans By Class Of Loans




	June 30, 2020		December 31, 2019
	(unaudited)
Loans past due over 90 days still on accrual	$	-	$	-
Nonaccrual loans:
Commercial		-		85
Real estate:
Single-family residential		472		550
Commercial:
Non-owner occupied		-		1,689
Consumer:
Home equity lines of credit:
Originated for portfolio		35		36
Purchased for portfolio		74		79
Other consumer		-		-
Total nonaccrual		581		2,439
Total nonaccrual and nonperforming loans	$	581	$	2,439

Aging Of Recorded Investment In Past Due Loans By Class Of Loans

The following table presents the aging of the recorded investment in past due loans and leases by class of loans as of June 30, 2020 (unaudited):


	30 - 59 Days Past Due		60 - 89 Days Past Due		Greater than 90 Days Past Due		Total Past Due		Loans Not Past Due		Nonaccrual Loans Not > 90 days Past Due
Commercial	$	-	$	-	$	-	$	-	$	327,539	$	-
Real estate:
Single-family residential		892		17		358		1,267		126,974		114
Multi-family residential		-		-		-		-		46,654		-
Commercial:
Non-owner occupied		-		-		-		-		151,927		-
Owner occupied		-		-		-		-		92,176		-
Land		-		-		-		-		28,104		-
Construction		-		-		-		-		59,574		-
Consumer:
Home equity lines of credit:
Originated for portfolio		132		-		22		154		19,245		13
Purchased for portfolio		-		-		-		-		197		74
Other		-		-		-		-		2,825		-
Total	$	1,024	$	17	$	380	$	1,421	$	855,215	$	201

The following table presents the aging of the recorded investment in past due loans and leases by class of loans as of December 31, 2019:



	30 - 59 Days Past Due		60 - 89 Days Past Due		Greater than 90 Days Past Due		Total Past Due		Loans Not Past Due		Nonaccrual Loans Not > 90 days Past Due
Commercial	$	-	$	71	$	-	$	71	$	170,575	$	85
Real estate:
Single-family residential		2,453		261		426		3,140		117,116		124
Multi-family residential		-		-		-		-		39,229		-
Commercial:
Non-owner occupied		-		-		1,689		1,689		138,762		-
Owner occupied		-		-		-		-		81,871		-
Land		-		-		-		-		25,221		-
Construction		304		-		-		304		67,348		-
Consumer:
Home equity lines of credit:
Originated for portfolio		-		-		22		22		20,713		14
Purchased for portfolio		-		-		-		-		206		79
Other		-		-		-		-		4,174		-
Total	$	2,757	$	332	$	2,137	$	5,226	$	665,215	$	302

Schedule Of Debtor Troubled Debt Restructuring, Subsequent Periods




	June 30, 2020		December 31, 2019
	(unaudited)
Commercial	$	-	$	85
Total	$	-	$	85

Recorded Investment In Loans By Risk Category And Class Of Loans

The recorded investment in loans and leases by risk category and by class of loans and leases as of June 30, 2020 and based on the most recent analysis performed follows. There were no loans or leases rated doubtful at June 30, 2020.


(unaudited)	Not Rated		Pass		Special Mention		Substandard		Total
Commercial	$	847	$	324,884	$	1,298	$	510	$	327,539
Real estate:
Single-family residential		127,769		-		-		472		128,241
Multi-family residential		-		46,508		-		146		46,654
Commercial:
Non-owner occupied		62		142,706		6,431		2,728		151,927
Owner occupied		309		88,951		2,018		898		92,176
Land		-		28,104		-		-		28,104
Construction		3,045		56,529		-		-		59,574
Consumer:
Home equity lines of credit:
Originated for portfolio		19,348		-		-		51		19,399
Purchased for portfolio		122		-		-		75		197
Other		2,825		-		-		-		2,825
	$	154,327	$	687,682	$	9,747	$	4,880	$	856,636

The recorded investment in loans and leases by risk category and by class of loans and leases as of December 31, 2019 follows. There were no loans or leases rated doubtful at December 31, 2019.



	Not Rated		Pass		Special Mention		Substandard		Total
Commercial	$	-	$	168,617	$	1,424	$	605	$	170,646
Real estate:
Single-family residential		119,707		-		-		549		120,256
Multi-family residential		-		39,081		-		148		39,229
Commercial:
Non-owner occupied		67		134,466		1,498		4,420		140,451
Owner occupied		-		79,773		2,098		-		81,871
Land		-		25,221		-		-		25,221
Construction		1,855		65,797		-		-		67,652
Consumer:
Home equity lines of credit:
Originated for portfolio		20,681		-		-		54		20,735
Purchased for portfolio		127		-		-		79		206
Other		4,174		-		-		-		4,174
	$	146,611	$	512,955	$	5,020	$	5,855	$	670,441

Components Of Net Investment In Direct Financing Leases


	June 30, 2020		December 31, 2019
	(unaudited)
Total minimum lease payments to be received	$	4,856	$	5,252
Less: unearned income		(397)		(473)
Net investment in direct financing leases	$	4,459	$	4,779

⁽¹⁾

There were no initial direct costs associated with these leases.

Summary Of Future Minimum Lease Payments Receivable


2020	$	397
2021		793
2022		793
2023		1,563
2024		1,310
	$	4,856