LOANS AND ALLOWANCE FOR CREDIT LOSSES

3 Months Ended

Mar. 31, 2023

NOTE 3 - LOANS AND ALLOWANCE FOR CREDIT LOSSES

The following table summarizes the Company’s loan portfolio by type of loan as of:


	March 31, 2023			December 31, 2022
Commercial and industrial	$	295,936		$	314,067
Real estate:
Construction and development		372,203			377,135
Commercial real estate		900,190			887,587
Farmland		190,802			185,817
1-4 family residential		499,944			493,061
Multi-family residential		44,760			45,147
Consumer		60,163			61,394
Agricultural		13,545			13,686
Overdrafts		270			282
Total loans		2,377,813			2,378,176
Net of:
Deferred loan fees, net		(1,620	)		(1,957	)
Allowance for credit losses		(31,953	)		(31,974	)
Total net loans(1)	$	2,344,240		$	2,344,245

(1) Excludes accrued interest receivable on loans of $7.7 million and $7.6 million as of March 31, 2023 and December 31, 2022, respectively, which is presented separately on the consolidated balance sheets.

The Company’s estimate of the allowance for credit losses (“ACL”) reflects losses expected over the remaining contractual life of the assets. The contractual term does not consider possible extensions, renewals or modifications. The following tables present the activity in the ACL by class of loans for the three months ended March 31, 2023, for the year ended December 31, 2022 and for the three months ended March 31, 2022:


For the Three Months Ended March 31, 2023	Commercial and industrial			Construction and development			Commercial real estate		Farmland		1-4 family residential		Multi-family residential			Consumer			Agricultural			Overdrafts			Total
Allowance for credit losses:
Beginning balance	$	4,382		$	4,889		$	12,658	$	2,008	$	6,617	$	490		$	778		$	149		$	3		$	31,974
Provision for (reversal of) for credit losses		(239	)		(25	)		32		78		24		(11	)		82			(4	)		63			—
Loans charged-off		(3	)		—			—		—		—		—			(7	)		(3	)		(81	)		(94	)
Recoveries		8			—			—		—		—		—			45			2			18			73
Ending balance	$	4,148		$	4,864		$	12,690	$	2,086	$	6,641	$	479		$	898		$	144		$	3		$	31,953


For the Year Ended December 31, 2022	Commercial and industrial			Construction and development		Commercial real estate			Farmland		1-4 family residential		Multi-family residential		Consumer			Agricultural			Overdrafts			Total
Allowance for credit losses:
Beginning balance	$	3,600		$	4,221	$	13,765		$	1,698	$	5,818	$	396	$	762		$	169		$	4		$	30,433
(Reversal of) provision for credit losses		902			668		(1,108	)		310		769		94		283			(20	)		252			2,150
Loans charged-off		(192	)		—		—			—		—		—		(322	)		—			(335	)		(849	)
Recoveries		72			—		1			—		30		—		55			—			82			240
Ending balance	$	4,382		$	4,889	$	12,658		$	2,008	$	6,617	$	490	$	778		$	149		$	3		$	31,974


For the Three Months Ended March 31, 2022	Commercial and industrial			Construction and development			Commercial real estate			Farmland		1-4 family residential			Multi-family residential		Consumer			Agricultural			Overdrafts			Total
Allowance for credit losses:
Beginning balance	$	3,600		$	4,221		$	13,765		$	1,698	$	5,818		$	396	$	762		$	169		$	4			30,433
Provision for (reversal of) credit losses		230			(323	)		(1,569	)		302		(119	)		60		146			(13	)		36			(1,250	)
Loans charged-off		(119	)		—			—			—		—			—		(17	)		—			(67	)		(203	)
Recoveries		39			—			1			—		30			—		16			—			30			116
Ending balance	$	3,750		$	3,898		$	12,197		$	2,000	$	5,729		$	456	$	907		$	156		$	3		$	29,096

In the first quarter of 2022, all remaining COVID-specific qualitative factors were removed and a reverse provision of $1,250 was recorded to account for significant improvements in COVID-related health statistics and economic impacts through that time period. However, growth in the loan portfolio during subsequent quarters, as well as declines in economic outlooks in 2022 and an adjustment to qualitative factors for an expected 2023 recession resulted in a $2,150 provision expense for the year ended December 31, 2022. There was no provision for loan losses recorded in during the first quarter of 2023.

The Company uses the weighted-average remaining maturity ("WARM") method as the basis for the estimation of expected credit losses. The WARM method uses a historical average annual charge-off rate containing loss content over a historical lookback period and is used as a foundation for estimating the credit loss reserve for the remaining outstanding balances of loans in a segment at the balance sheet date. The average annual charge-off rate is applied to the contractual term, further adjusted for estimated prepayments, to determine the unadjusted historical charge-off rate. The calculation of the unadjusted historical charge-off rate is then adjusted, using qualitative factors, for current conditions and for reasonable and supportable forecast periods. Qualitative loss factors are based on the Company’s judgment of company, market, industry or business specific data, differences in loan-specific risk characteristics such as underwriting standards, portfolio mix, risk grades, delinquency level, or term. These qualitative factors serve to compensate for additional areas of uncertainty inherent in the portfolio that are not reflected in our historic loss factors. Additionally, we have adjusted for changes in expected environmental and economic conditions, such as changes in unemployment rates, property values, and other relevant factors over the next 12 to 24 months. Management adjusted the historical loss experience for these expectations. No reversion adjustments were necessary, as the starting point for the Company’s estimate was a cumulative loss rate covering the expected contractual term of the portfolio.

The ACL is measured on a collective segment basis when similar risk characteristics exist. Our loan portfolio is segmented first by regulatory call report code, and second, by internally identified risk grades for our commercial loan segments and by delinquency status for our consumer loan segments. We also have separate segments for our warehouse lines of credit, for our internally originated SBA loans and for our SBA loans acquired from Westbound Bank. Consistent forecasts of the loss drivers are used across the loan segments. For loans that do not share general risk characteristics with segments, we estimate a specific reserve on an individual basis. A reserve is recorded when the carrying amount of the loan exceeds the discounted estimated cash flows using the loan's initial effective interest rate or the fair value of collateral for collateral-dependent loans.

Assets are graded “pass” when the relationship exhibits acceptable credit risk and indicates repayment ability, tolerable collateral coverage and reasonable performance history. Lending relationships exhibiting potentially significant credit risk and marginal repayment ability and/or asset protection are graded “special mention.” Assets classified as “substandard” are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans so classified must have a well-defined weakness that jeopardizes the liquidation of the debt. Substandard graded loans are characterized by the distinct possibility that the Company will sustain some loss if the deficiencies are not corrected. Assets graded “doubtful” are substandard graded loans that have added characteristics that make collection or liquidation in full improbable. Loans that are on nonaccrual status are generally classified as substandard.

In general, the loans in our portfolio have low historical credit losses. The Company closely monitors economic conditions and loan performance trends to manage and evaluate the exposure to credit risk. Key factors tracked by the Company and utilized in evaluating the credit quality of the loan portfolio include trends in delinquency ratios, the level of nonperforming assets, borrower’s repayment capacity, and collateral coverage.

The following table summarizes the credit exposure in the Company’s loan portfolio, by year of origination, as of March 31, 2023:


March 31, 2023	2023		2022		2021		2020		2019		Prior			Revolving Loans Amortized Cost		Total
Commercial and industrial:
Pass	$	20,706	$	86,053	$	53,172	$	17,774	$	10,891	$	16,203		$	88,735	$	293,534
Special mention		—		—		—		—		287		—			640		927
Substandard		—		13		—		240		410		204			—		867
Nonaccrual		—		135		343		75		—		31			24		608
Total commercial and industrial loans	$	20,706	$	86,201	$	53,515	$	18,089	$	11,588	$	16,438		$	89,399	$	295,936

Charge-offs	$	—	$	—	$	—	$	—	$	—	$	(3	)	$	—	$	(3	)
Recoveries		—		—		—		—		—		4			4		8
Current period net	$	—	$	—	$	—	$	—	$	—	$	1		$	4	$	5

Construction and development:
Pass	$	12,877	$	177,829	$	127,875	$	16,879	$	8,031	$	13,573		$	11,750	$	368,814
Special mention		—		893		—		—		—		—			—		893
Substandard		—		—		—		—		—		—			—		—
Nonaccrual		—		262		799		—		—		1,435			—		2,496
Total construction and development loans	$	12,877	$	178,984	$	128,674	$	16,879	$	8,031	$	15,008		$	11,750	$	372,203

Charge-offs	$	—	$	—	$	—	$	—	$	—	$	—		$	—	$	—
Recoveries		—		—		—		—		—		—			—		—
Current period net	$	—	$	—	$	—	$	—	$	—	$	—		$	—	$	—

Commercial real estate:
Pass	$	19,634	$	356,222	$	148,170	$	85,555	$	59,890	$	194,906		$	15,545	$	879,922
Special mention		—		—		—		1,291		—		5,961			—		7,252
Substandard		—		1,617		—		262		—		4,181			—		6,060
Nonaccrual		—		—		—		—		87		6,869			—		6,956
Total commercial real estate loans	$	19,634	$	357,839	$	148,170	$	87,108	$	59,977	$	211,917		$	15,545	$	900,190

Charge-offs	$	—	$	—	$	—	$	—	$	—	$	—		$	—	$	—
Recoveries		—		—		—		—		—		—			—		—
Current period net	$	—	$	—	$	—	$	—	$	—	$	—		$	—	$	—


March 31, 2023	2023		2022		2021		2020		2019		Prior		Revolving Loans Amortized Cost		Total
Farmland:
Pass	$	10,605	$	91,287	$	50,961	$	9,384	$	6,530	$	17,194	$	4,642	$	190,603
Special mention		—		—		—		—		—		—		—		—
Substandard		—		—		—		—		30		60		—		90
Nonaccrual		—		—		—		—		—		109		—		109
Total farmland loans	$	10,605	$	91,287	$	50,961	$	9,384	$	6,560	$	17,363	$	4,642	$	190,802

Charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Recoveries		—		—		—		—		—		—		—		—
Current period net	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

1-4 family residential:
Pass	$	13,428	$	144,109	$	130,185	$	48,171	$	29,331	$	110,684	$	20,781	$	496,689
Special mention		—		—		45		—		47		123		—		215
Substandard		—		—		—		—		—		—		—		—
Nonaccrual		—		300		429		183		112		1,316		700		3,040
Total 1-4 family residential loans	$	13,428	$	144,409	$	130,659	$	48,354	$	29,490	$	112,123	$	21,481	$	499,944

Charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Recoveries		—		—		—		—		—		—		—		—
Current period net	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Multi-family residential:
Pass	$	—	$	18,146	$	18,225	$	2,438	$	4,182	$	1,678	$	91	$	44,760
Special mention		—		—		—		—		—		—		—		—
Substandard		—		—		—		—		—		—		—		—
Nonaccrual		—		—		—		—		—		—		—		—
Total multi-family residential loans	$	—	$	18,146	$	18,225	$	2,438	$	4,182	$	1,678	$	91	$	44,760

Charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Recoveries		—		—		—		—		—		—		—		—
Current period net	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—


March 31, 2023	2023			2022			2021			2020		2019		Prior			Revolving Loans Amortized Cost		Total
Consumer and overdrafts:
Pass	$	7,309		$	27,868		$	9,807		$	4,593	$	1,370	$	3,084		$	6,201	$	60,232
Special mention		—			10			9			—		19		9			—		47
Substandard		—			—			—			—		—		—			—		—
Nonaccrual		—			22			79			25		10		18			—		154
Total consumer loans and overdrafts	$	7,309		$	27,900		$	9,895		$	4,618	$	1,399	$	3,111		$	6,201	$	60,433

Charge-offs	$	(81	)	$	(4	)	$	(3	)	$	—	$	—	$	—		$	—	$	(88	)
Recoveries		18			—			1			—		—		4			40		63
Current period net	$	(63	)	$	(4	)	$	(2	)	$	—	$	—	$	4		$	40	$	(25	)

Agricultural:
Pass	$	652		$	2,503		$	1,483		$	929	$	459	$	716		$	6,736	$	13,478
Special mention		—			—			—			—		—		—			—		—
Substandard		—			—			—			—		—		25			—		25
Nonaccrual		—			—			—			—		—		42			—		42
Total agricultural loans	$	652		$	2,503		$	1,483		$	929	$	459	$	783		$	6,736	$	13,545

Charge-offs	$	—		$	—		$	—		$	—	$	—	$	(3	)	$	—	$	(3	)
Recoveries		—			—			—			—		—		2			—		2
Current period net	$	—		$	—		$	—		$	—	$	—	$	(1	)	$	—	$	(1	)

Total loans:
Pass	$	85,211		$	904,017		$	539,878		$	185,723	$	120,684	$	358,038		$	154,481	$	2,348,032
Special mention		—			903			54			1,291		353		6,093			640		9,334
Substandard		—			1,630			—			502		440		4,470			—		7,042
Nonaccrual		—			719			1,650			283		209		9,820			724		13,405
Total loans	$	85,211		$	907,269		$	541,582		$	187,799	$	121,686	$	378,421		$	155,845	$	2,377,813

Charge-offs	$	(81	)	$	(4	)	$	(3	)	$	—	$	—	$	(6	)	$	—	$	(94	)
Recoveries		18			—			1			—		—		10			44		73
Total current period net (charge-offs) recoveries	$	(63	)	$	(4	)	$	(2	)	$	—	$	—	$	4		$	44	$	(21	)

The following table summarizes the credit exposure in the Company’s loan portfolio, by year of origination, as of December 31, 2022:


December 31, 2022	2022		2021		2020			2019		2018		Prior		Revolving Loans Amortized Cost			Total
Commercial and industrial:
Pass	$	99,750	$	57,854	$	19,577		$	11,797	$	4,172	$	12,907	$	105,628		$	311,685
Special mention		—		131		—			333		—		—		905			1,369
Substandard		14		—		246			423		192		23		—			898
Nonaccrual		72		33		10			—		—		—		—			115
Total commercial and industrial loans	$	99,836	$	58,018	$	19,833		$	12,553	$	4,364	$	12,930	$	106,533		$	314,067

Charge-offs	$	—	$	—	$	(67	)	$	—	$	—	$	—	$	(125	)	$	(192	)
Recoveries		—		—		—			—		—		32		40			72
Current period net	$	—	$	—	$	(67	)	$	—	$	—	$	32	$	(85	)	$	(120	)

Construction and development:
Pass	$	179,501	$	138,388	$	17,361		$	8,697	$	3,443	$	10,535	$	16,870		$	374,795
Special mention		905		—		—			—		—		—		—			905
Substandard		—		—		—			—		—		—		—			—
Nonaccrual		—		—		—			—		1,435		—		—			1,435
Total construction and development loans	$	180,406	$	138,388	$	17,361		$	8,697	$	4,878	$	10,535	$	16,870		$	377,135

Charge-offs	$	—	$	—	$	—		$	—	$	—	$	—	$	—		$	—
Recoveries		—		—		—			—		—		—		—			—
Current period net	$	—	$	—	$	—		$	—	$	—	$	—	$	—		$	—

Commercial real estate:
Pass	$	347,162	$	147,986	$	86,897		$	63,988	$	51,002	$	158,384	$	12,007		$	867,426
Special mention		—		—		1,300			—		2,594		3,427		—			7,321
Substandard		1,336		—		—			—		26		4,207		—			5,569
Nonaccrual		—		—		251			96		—		6,924		—			7,271
Total commercial real estate loans	$	348,498	$	147,986	$	88,448		$	64,084	$	53,622	$	172,942	$	12,007		$	887,587

Charge-offs	$	—	$	—	$	—		$	—	$	—	$	—	$	—		$	—
Recoveries		—		—		—			—		1		—		—			1
Current period net	$	—	$	—	$	—		$	—	$	1	$	—	$	—		$	1


December 31, 2022	2022		2021		2020		2019		2018		Prior		Revolving Loans Amortized Cost		Total
Farmland:
Pass	$	93,128	$	51,912	$	10,284	$	6,646	$	5,956	$	11,741	$	5,948	$	185,615
Special mention		—		—		—		—		—		—		—		—
Substandard		—		—		—		31		—		62		—		93
Nonaccrual		—		—		—		—		—		109		—		109
Total farmland loans	$	93,128	$	51,912	$	10,284	$	6,677	$	5,956	$	11,912	$	5,948	$	185,817

Charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Recoveries		—		—		—		—		—		—		—		—
Current period net	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

1-4 family residential:
Pass	$	143,268	$	128,957	$	50,140	$	30,068	$	27,104	$	89,678	$	21,956	$	491,171
Special mention		—		—		43		—		—		156		—		199
Substandard		—		—		—		—		—		—		—		—
Nonaccrual		—		148		—		116		118		1,309		—		1,691
Total 1-4 family residential loans	$	143,268	$	129,105	$	50,183	$	30,184	$	27,222	$	91,143	$	21,956	$	493,061

Charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Recoveries		—		—		—		—		—		30		—		30
Current period net	$	—	$	—	$	—	$	—	$	—	$	30	$	—	$	30

Multi-family residential:
Pass	$	18,183	$	18,331	$	2,463	$	4,216	$	878	$	985	$	91	$	45,147
Special mention		—		—		—		—		—		—		—		—
Substandard		—		—		—		—		—		—		—		—
Nonaccrual		—		—		—		—		—		—		—		—
Total multi-family residential loans	$	18,183	$	18,331	$	2,463	$	4,216	$	878	$	985	$	91	$	45,147

Charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Recoveries		—		—		—		—		—		—		—		—
Current period net	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—


December 31, 2022	2022			2021			2020			2019			2018		Prior		Revolving Loans Amortized Cost			Total
Consumer and overdrafts:
Pass	$	32,817		$	11,789		$	5,455		$	1,835		$	3,079	$	473	$	6,008		$	61,456
Special mention		14			4			—			28			4		—		—			50
Substandard		—			—			—			—			—		—		—			—
Nonaccrual		17			93			21			12			23		4		—			170
Total consumer loans and overdrafts	$	32,848		$	11,886		$	5,476		$	1,875		$	3,106	$	477	$	6,008		$	61,676

Charge-offs	$	(335	)	$	(26	)	$	(25	)	$	(21	)	$	—	$	—	$	(250	)	$	(657	)
Recoveries		83			3			6			11			1		33		—			137
Current period net	$	(252	)	$	(23	)	$	(19	)	$	(10	)	$	1	$	33	$	(250	)	$	(520	)

Agricultural:
Pass	$	3,148		$	1,914		$	984		$	491		$	392	$	422	$	6,243		$	13,594
Special mention		—			—			—			—			—		3		—			3
Substandard		—			—			—			—			—		32		—			32
Nonaccrual		—			—			—			—			4		53		—			57
Total agricultural loans	$	3,148		$	1,914		$	984		$	491		$	396	$	510	$	6,243		$	13,686

Charge-offs	$	—		$	—		$	—		$	—		$	—	$	—	$	—		$	—
Recoveries		—			—			—			—			—		—		—			—
Current period net	$	—		$	—		$	—		$	—		$	—	$	—	$	—		$	—

Total loans:
Pass	$	916,957		$	557,131		$	193,161		$	127,738		$	96,026	$	285,125	$	174,751		$	2,350,889
Special mention		919			135			1,343			361			2,598		3,586		905			9,847
Substandard		1,350			—			246			454			218		4,324		—			6,592
Nonaccrual		89			274			282			224			1,580		8,399		—			10,848
Total loans	$	919,315		$	557,540		$	195,032		$	128,777		$	100,422	$	301,434	$	175,656		$	2,378,176

Charge-offs	$	(335	)	$	(26	)	$	(92	)	$	(21	)	$	—	$	—	$	(375	)	$	(849	)
Recoveries		83			3			6			11			2		95		40			240
Total current period net charge-offs	$	(252	)	$	(23	)	$	(86	)	$	(10	)	$	2	$	95	$	(335	)	$	(609	)

There were no loans classified in the “doubtful” or “loss” risk rating categories as of March 31, 2023 and December 31, 2022.

There were no individually evaluated collateral-dependent loans within the ACL model as of March 31, 2023 or December 31, 2022.

The following tables summarize the payment status of loans in the Company’s total loan portfolio, including an aging of delinquent loans and loans 90 days or more past due continuing to accrue interest as of:


March 31, 2023	30 to 59 Days Past Due		60 to 89 Days Past Due		90 Days or Greater Past Due		Total Past Due		Current		Total Loans		Recorded Investment > 90 Days and Accruing
Commercial and industrial	$	449	$	79	$	208	$	736	$	295,200	$	295,936	$	—
Real estate:
Construction and development		1,347		—		2,306		3,653		368,550		372,203		—
Commercial real estate		353		—		6,675		7,028		893,162		900,190		—
Farmland		129		97		—		226		190,576		190,802		—
1-4 family residential		2,586		290		1,840		4,716		495,228		499,944		—
Multi-family residential		—		—		—		—		44,760		44,760		—
Consumer		697		78		81		856		59,307		60,163		—
Agricultural		—		40		—		40		13,505		13,545		—
Overdrafts		—		—		—		—		270		270		—
Total	$	5,561	$	584	$	11,110	$	17,255	$	2,360,558	$	2,377,813	$	—


December 31, 2022	30 to 59 Days Past Due		60 to 89 Days Past Due		90 Days or Greater Past Due		Total Past Due		Current		Total Loans		Recorded Investment > 90 Days and Accruing
Commercial and industrial	$	440	$	44	$	105	$	589	$	313,478	$	314,067	$	—
Real estate:
Construction and development		258		73		1,435		1,766		375,369		377,135		—
Commercial real estate		882		354		6,708		7,944		879,643		887,587		—
Farmland		129		79		—		208		185,609		185,817		—
1-4 family residential		2,101		547		572		3,220		489,841		493,061		—
Multi-family residential		—		—		—		—		45,147		45,147		—
Consumer		164		118		70		352		61,042		61,394		—
Agricultural		37		10		—		47		13,639		13,686		—
Overdrafts		—		—		—		—		282		282		—
Total	$	4,011	$	1,225	$	8,890	$	14,126	$	2,364,050	$	2,378,176	$	—

The following table presents information regarding nonaccrual loans as of:


	March 31, 2023		December 31, 2022
Commercial and industrial	$	608	$	115
Real estate:
Construction and development		2,496		1,435
Commercial real estate		6,956		7,271
Farmland		109		109
1-4 family residential		3,040		1,691
Consumer and overdrafts		154		170
Agricultural		42		57
Total	$	13,405	$	10,848

There were no commitments to lend additional funds to borrowers whose loans were classified as nonaccrual.

Modifications to Borrowers Experiencing Financial Difficulty

The Company adopted Accounting Standards Update (“ASU”) 2022-02, Financial Instruments - Credit Losses (Topic 326) Troubled Debt Restructurings and Vintage Disclosures (“ASU 2022-02”) effective January 1, 2023. The amendments in

ASU 2022-02 eliminated the recognition and measure of troubled debt restructurings and enhanced disclosures for loan modifications to borrowers experiencing financial difficulty.

The following table presents the amortized cost basis of loans made to borrowers experiencing financial difficulty that were modified during the three months ended March 31, 2023:


For the Three Months Ended March 31, 2023	Term Extension		Total Class of Financing Receivable
Consumer	$	49		0.1	%
Total loans	$	49		0.1	%

The following table presents the financial effect of the loan modifications presented above to borrowers experiencing financial difficulty during the three months ended March 31, 2023:


Term Extension
Loan Type		Financial Effect
Consumer		Amortization period was extended by a weighted-average period of 7.2 years.

The following table provides an age analysis of loans made to borrowers experiencing financial difficult that were modified on or after our ASU 2022-02 adoption date of January 1, 2023:


	Current		30 to 89 Days Past Due		90 Days or Greater Past Due
Consumer		49		—		—
Total loans	$	49	$	—	$	—

As of March 31, 2023, the Company did not have any loans made to borrowers experiencing financial difficulty that were modified during the first quarter of 2023 that subsequently defaulted.

There were no loans restructured during the three months ended March 31, 2022.