BUSINESS SEGMENTS (Tables)

6 Months Ended

Jun. 30, 2022

BUSINESS SEGMENTS

Schedule of Segment Reporting Information, by Segment

	At or For the Three Months Ended June 30, 2022
Condensed income statement:	Commercial and Consumer Banking		Home Lending		Total
Net interest income (1)	$	22,084	$	2,645	$	24,729
Provision for credit losses (2)		(719)		(1,152)		(1,871)
Noninterest income		2,125		2,230		4,355
Noninterest expense		(14,231)		(4,698)		(18,929)
Income (loss) before (provision) benefit for income taxes		9,259		(975)		8,284
(Provision) benefit for income taxes		(1,804)		219		(1,585)
Net income (loss)	$	7,455	$	(756)	$	6,699
Total average assets for period ended	$	1,957,630	$	398,690	$	2,356,320
Full-time employees ("FTEs")		389		148		537

	At or For the Three Months Ended June 30, 2021
Condensed income statement:	Commercial and Consumer Banking		Home Lending		Total
Net interest income (1)	$	18,974	$	2,246	$	21,220
Benefit (provision) for loan losses (2)		499		(499)		—
Noninterest income		2,385		5,801		8,186
Noninterest expense		(13,573)		(5,389)		(18,962)
Income before provision for income taxes		8,285		2,159		10,444
Provision for income taxes		(1,591)		(304)		(1,895)
Net income	$	6,694	$	1,855	$	8,549
Total average assets for period ended	$	1,787,344	$	385,174	$	2,172,518
FTEs		366		156		522

	At or For the Six Months Ended June 30, 2022
	Commercial
	and Consumer
Condensed income statement:	Banking		Home Lending		Total
Net interest income (1)	$	42,362	$	5,089	$	47,451
Provision for loan losses (2)		(1,916)		(998)		(2,914)
Noninterest income		4,630		5,601		10,231
Noninterest expense		(28,407)		(9,589)		(37,996)
Income before provision for income taxes		16,669		103		16,772
Provision for income taxes		(3,182)		(21)		(3,203)
Net income	$	13,487	$	82	$	13,569
Total average assets for period ended	$	1,921,426	$	392,107	$	2,313,533
FTEs		389		148		537

	At or For the Six Months Ended June 30, 2021
	Commercial
	and Consumer
Condensed income statement:	Banking		Home Lending		Total
Net interest income (1)	$	37,452	$	3,868	$	41,320
Provision for loan losses (2)		(1,059)		(441)		(1,500)
Noninterest income		4,587		16,633		21,220
Noninterest expense		(26,747)		(8,520)		(35,267)
Income before provision for income taxes		14,233		11,540		25,773
Provision for income taxes		(2,950)		(2,391)		(5,341)
Net income	$	11,283	$	9,149	$	20,432
Total average assets for period ended	$	1,756,642	$	395,032	$	2,151,674
FTEs		366		156		522

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(1) Net interest income is the difference between interest earned on assets and the cost of liabilities to fund those assets. Interest earned includes actual interest earned on segment assets and, if the segment has excess liabilities, interest credits for providing funding to the other segment. The cost of liabilities includes interest expense on segment liabilities and, if the segment does not have enough liabilities to fund its assets, a funding charge based on the cost of assigned liabilities to fund segment assets.

(2) Provision for credit losses and provision for loan losses include shifts in allocation between segments due to various changes, to include adjustments to qualitative factors, changes in loan balances, and charge-off and recovery activity.