Allowance for Credit Losses (Tables)

6 Months Ended

Jun. 30, 2022

Receivables [Abstract]

Schedule of allowance for loan and lease losses segregated by originated and acquired loan and lease portfolios and by portfolio segment

The following table details activity in the allowance for credit losses on loans for the three and six months ended June 30, 2022 and 2021. Allocation of a portion of the allowance to one category of loans does not preclude its availability to absorb losses in other categories.

Three Months Ended June 30, 2022
(In thousands)	Commercial & Industrial		Commercial Real Estate		Residential Real Estate		Consumer and Other		Finance Leases		Total
Allowance for credit losses:
Beginning balance	$	7,027	$	22,982	$	10,447	$	1,588	$	82	$	42,126
Charge-offs	0		(23)		(51)		(82)		0		(156)
Recoveries	6		764		197		76		0		1,043
(Credit) provision for credit loss expense	781		(496)		489		9		(3)		780
Ending Balance	$	7,814	$	23,227	$	11,082	$	1,591	$	79	$	43,793

Three Months Ended June 30, 2021
(In thousands)	Commercial & Industrial		Commercial Real Estate		Residential Real Estate		Consumer and Other		Finance Leases		Total
Allowance for credit losses:
Beginning balance	$	7,750	$	30,467	$	9,470	$	1,583	$	69	$	49,339
Charge-offs	(2)		0		(48)		(60)		0		(110)
Recoveries	4		826		125		39		0		994
(Credit) provision for credit loss expense	(639)		(2,092)		(13)		28		(2)		(2,718)
Ending Balance	$	7,113	$	29,201	$	9,534	$	1,590	$	67	$	47,505

Six Months Ended June 30, 2022
(In thousands)	Commercial & Industrial		Commercial Real Estate		Residential Real Estate		Consumer and Other		Finance Leases		Total
Allowance for credit losses:
Beginning balance	$	6,335	$	24,813	$	10,139	$	1,492	$	64	$	42,843
Charge-offs	(23)		(50)		(51)		(278)		0		(402)
Recoveries	26		805		307		168		0		1,306
(Credit) provision for credit loss expense	1,476		(2,341)		687		209		15		46
Ending Balance	$	7,814	$	23,227	$	11,082	$	1,591	$	79	$	43,793

Six Months Ended June 30, 2021
(In thousands)	Commercial & Industrial		Commercial Real Estate		Residential Real Estate		Consumer and Other		Finance Leases		Total
Allowance for credit losses:
Beginning balance	$	9,239	$	30,546	$	10,257	$	1,562	$	65	$	51,669
Charge-offs	(118)		0		(46)		(152)		0		(316)
Recoveries	101		1,039		158		82		0		1,380
(Credit) provision for credit loss expense	(2,109)		(2,384)		(835)		98		2		(5,228)
Ending Balance	$	7,113	$	29,201	$	9,534	$	1,590	$	67	$	47,505

The following table details activity in the liabilities for off-balance sheet credit exposures for the three and six months ended June 30, 2022 and 2021:

Three Months Ended June 30,
(In thousands)	2022		2021
Liabilities for off-balance sheet credit exposures at beginning of period	$	2,720	$	2,600
Provision for credit loss expense related to off-balance sheet credit exposures	76		(353)
Liabilities for off-balance sheet credit exposures at end of period	$	2,796	$	2,247

Six Months Ended June 30,
(In thousands)	2022		2021
Liabilities for off-balance sheet credit exposures at beginning of period	$	2,506	$	1,920
Provision for credit loss expense related to off-balance sheet credit exposures	290		327
Liabilities for off-balance sheet credit exposures at end of period	$	2,796	$	2,247

The following table presents the amortized cost basis of collateral dependent loans, which are individually evaluated to determine expected credit losses, and the related allowance for credit losses allocated to these loans:

(In thousands)	Real Estate		Business Assets		Other		Total		ACL Allocation
June 30, 2022
Commercial and Industrial	$	23	$	363	$	36	$	422	$	23
Commercial Real Estate	11,484		0		551		12,035		0
Commercial Real Estate - Agriculture	1,534		0		0		1,534		0
Total	$	13,041	$	363	$	587	$	13,991	$	23

(In thousands)	Real Estate		Business Assets		Other		Total		ACL Allocation
December 31, 2021
Commercial and Industrial	$	142	$	395	$	328	$	865	$	26
Commercial Real Estate	13,334		0		1,931		15,265		40
Residential Real Estate	32		0		0		32		1
Total	$	13,508	$	395	$	2,259	$	16,162	$	67

Schedule of credit quality indicators by class of commercial and industrial loans and commercial real estate loans

The following table presents credit quality indicators by total loans on an amortized cost basis by origination year as of June 30, 2022 and December 31, 2021:

June 30, 2022
(In thousands)	2022		2021		2020		2019		2018		Prior		Revolving Loans Amortized Cost Basis		Revolving Loans Converted to Term		Total Loans
Commercial and Industrial - Other:
Pass	$	78,886	$	106,368	$	47,449	$	48,848	$	38,634	$	169,002	$	214,034	$	2,946	$	706,167
Special Mention	0		142		829		298		62		1,483		556		0		3,370
Substandard	0		127		522		66		484		641		6,460		0		8,300
Total Commercial and Industrial - Other	$	78,886	$	106,637	$	48,800	$	49,212	$	39,180	$	171,126	$	221,050	$	2,946	$	717,837
Commercial and Industrial - PPP:
Pass	$	0	$	3,086	$	413	$	0	$	0	$	0	$	0	$	0	$	3,499
Special Mention	0		0		0		0		0		0		0		0		0
Substandard	0		0		0		0		0		0		0		0		0
Total Commercial and Industrial - PPP	$	0	$	3,086	$	413	$	0	$	0	$	0	$	0	$	0	$	3,499
Commercial and Industrial - Agriculture:
Pass	$	8,481	$	6,259	$	5,925	$	4,850	$	8,762	$	6,290	$	24,915	$	0	$	65,482
Special Mention	0		0		0		0		0		0		0		0		0
Substandard	0		0		78		0		0		2,311		1,420		0		3,809
Total Commercial and Industrial - Agriculture	$	8,481	$	6,259	$	6,003	$	4,850	$	8,762	$	8,601	$	26,335	$	0	$	69,291
Commercial Real Estate
Pass	$	206,650	$	364,170	$	293,749	$	291,194	$	213,218	$	857,789	$	15,881	$	20,735	$	2,263,386
Special Mention	0		3,448		1,710		11,618		2,993		48,522		0		0		68,291
Substandard	0		113		0		3,602		2,408		23,635		355		0		30,113
Total Commercial Real Estate	$	206,650	$	367,731	$	295,459	$	306,414	$	218,619	$	929,946	$	16,236	$	20,735	$	2,361,790
Commercial Real Estate - Agriculture:
Pass	$	15,796	$	22,452	$	21,568	$	26,406	$	38,742	$	69,521	$	3,202	$	1,260	$	198,947
Special Mention	0		0		0		219		0		391		0		0		610
Substandard	0		0		0		0		38		494		0		0		532
Total Commercial Real Estate - Agriculture	$	15,796	$	22,452	$	21,568	$	26,625	$	38,780	$	70,406	$	3,202	$	1,260	$	200,089
Commercial Real Estate - Construction
Pass	$	5,636	$	64,721	$	67,810	$	26,733	$	9,751	$	14,156	$	19,189	$	699	$	208,695
Special Mention	0		0		0		0		0		0		0		0		0
Substandard	0		0		0		0		0		0		0		0		0
Total Commercial Real Estate - Construction	$	5,636	$	64,721	$	67,810	$	26,733	$	9,751	$	14,156	$	19,189	$	699	$	208,695

December 31, 2021
(In thousands)	2021		2020		2019		2018		2017		Prior		Revolving Loans Amortized Cost Basis		Revolving Loans Converted to Term		Total Loans
Commercial and Industrial - Other:
Internal risk grade:
Pass	$	123,996	$	58,432	$	54,116	$	42,093	$	35,725	$	239,093	$	125,476	$	10,039	$	688,970
Special Mention	156		770		450		100		201		393		1,417		0		3,487
Substandard	179		584		47		575		0		637		4,642		0		6,664
Total Commercial and Industrial - Other	$	124,331	$	59,786	$	54,613	$	42,768	$	35,926	$	240,123	$	131,535	$	10,039	$	699,121
Commercial and Industrial - Agriculture:
Pass	$	8,573	$	6,782	$	5,700	$	10,136	$	6,867	$	3,186	$	53,145	$	595	$	94,984
Special Mention	0		0		0		23		0		0		0		0		23
Substandard	0		85		11		0		93		2,316		1,660		0		4,165
Total Commercial and Industrial - Agriculture	$	8,573	$	6,867	$	5,711	$	10,159	$	6,960	$	5,502	$	54,805	$	595	$	99,172
Commercial and Industrial - PPP:
Pass	$	71,260	$	0	$	0	$	0	$	0	$	0	$	0	$	0	$	71,260
Special Mention	0		0		0		0		0		0		0		0		0
Substandard	0		0		0		0		0		0		0		0		0
Total Commercial and Industrial - PPP	$	71,260	$	0	$	0	$	0	$	0	$	0	$	0	$	0	$	71,260
Commercial Real Estate
Pass	$	325,874	$	271,680	$	249,266	$	201,992	$	212,991	$	810,713	$	44,264	$	43,225	$	2,160,005
Special Mention	0		1,763		11,772		3,217		2,167		61,723		358		0		81,000
Substandard	3,482		0		2,262		2,518		8,509		20,401		422		0		37,594
Total Commercial Real Estate	$	329,356	$	273,443	$	263,300	$	207,727	$	223,667	$	892,837	$	45,044	$	43,225	$	2,278,599
Commercial Real Estate - Agriculture:
Pass	$	23,151	$	21,856	$	28,943	$	41,064	$	23,195	$	50,809	$	1,949	$	2,850	$	193,817
Special Mention	0		479		0		0		0		350		35		0		864
Substandard	0		0		0		39		0		1,253		0		0		1,292
Total Commercial Real Estate - Agriculture	$	23,151	$	22,335	$	28,943	$	41,103	$	23,195	$	52,412	$	1,984	$	2,850	$	195,973
Commercial Real Estate - Construction
Pass	$	12,840	$	10,025	$	16,325	$	7,542	$	1,274	$	6,559	$	112,537	$	10,037	$	177,139
Special Mention	0		0		0		0		0		0		0		0		0
Substandard	0		0		0		0		0		643		800		0		1,443
Total Commercial Real Estate - Construction	$	12,840	$	10,025	$	16,325	$	7,542	$	1,274	$	7,202	$	113,337	$	10,037	$	178,582

The following table presents credit quality indicators by total loans on an amortized cost basis by origination year as of June 30, 2022 and December 31, 2021, continued:

June 30, 2022
(In thousands)	2022		2021		2020		2019		2018		Prior		Revolving Loans Amortized Cost Basis		Revolving Loans Converted to Term		Total Loans
Residential - Home Equity
Performing	$	1,049	$	1,166	$	697	$	1,117	$	887	$	4,060	$	169,371	$	819	$	179,166
Nonperforming	0		0		0		15		0		75		2,416		0		2,506
Total Residential - Home Equity	$	1,049	$	1,166	$	697	$	1,132	$	887	$	4,135	$	171,787	$	819	$	181,672
Residential - Mortgages
Performing	$	122,172	$	276,961	$	251,305	$	124,191	$	70,956	$	487,048	$	0	$	0	$	1,332,633
Nonperforming	0		0		246		608		1,112		7,064		0		0		9,030
Total Residential - Mortgages	$	122,172	$	276,961	$	251,551	$	124,799	$	72,068	$	494,112	$	0	$	0	$	1,341,663
Consumer - Direct
Performing	$	12,974	$	17,506	$	8,475	$	7,419	$	5,113	$	8,811	$	4,619	$	0	$	64,917
Nonperforming	0		0		3		23		77		10		3		$	0	116
Total Consumer - Direct	$	12,974	$	17,506	$	8,478	$	7,442	$	5,190	$	8,821	$	4,622	$	0	$	65,033
Consumer - Indirect
Performing	$	0	$	181	$	189	$	1,549	$	915	$	187	$	0	$	0	$	3,021
Nonperforming	0		0		0		129		37		9		0		0		175
Total Consumer - Indirect	$	0	$	181	$	189	$	1,678	$	952	$	196	$	0	$	0	$	3,196

December 31, 2021
(In thousands)	2021		2020		2019		2018		2017		Prior		Revolving Loans Amortized Cost Basis		Revolving Loans Converted to Term		Total Loans
Residential - Home Equity
Performing	$	2,033	$	1,142	$	3,041	$	1,600	$	1,572	$	3,144	$	161,630	$	6,050	$	180,212
Nonperforming	0		0		16		0		0		604		1,839		0		2,459
Total Residential - Home Equity	$	2,033	$	1,142	$	3,057	$	1,600	$	1,572	$	3,748	$	163,469	$	6,050	$	182,671
Residential - Mortgages
Performing	$	324,967	$	282,202	$	162,574	$	97,778	$	124,221	$	275,133	$	14,112	$	1,205	$	1,282,192
Nonperforming	0		0		241		702		693		7,060		23		0		8,719
Total Residential - Mortgages	$	324,967	$	282,202	$	162,815	$	98,480	$	124,914	$	282,193	$	14,135	$	1,205	$	1,290,911
Consumer - Direct
Performing	$	20,653	$	10,735	$	9,397	$	5,542	$	4,849	$	10,602	$	5,435	$	0	$	67,213
Nonperforming	0		9		44		117		12		0		1		0		183
Total Consumer - Direct	$	20,653	$	10,744	$	9,441	$	5,659	$	4,861	$	10,602	$	5,436	$	0	$	67,396
Consumer - Indirect
Performing	$	1,809	$	854	$	812	$	506	$	362	$	66	$	0	$	0	$	4,409
Nonperforming	0		2		148		81		1		14		0		0		246
Total Consumer - Indirect	$	1,809	$	856	$	960	$	587	$	363	$	80	$	0	$	0	$	4,655