ALLOWANCE FOR CREDIT LOSSES AND RESERVE FOR OFF-BALANCE SHEET CREDIT EXPOSURES

12 Months Ended

Dec. 31, 2025

ALLOWANCE FOR CREDIT LOSSES AND RESERVE FOR OFF-BALANCE SHEET CREDIT EXPOSURES

4. ALLOWANCE FOR CREDIT LOSSES AND RESERVE FOR OFF-BALANCE SHEET CREDIT EXPOSURES

The following tables present by class, the activities in the ACL on loans for the years ended December 31, 2025, 2024 and 2023:



(Dollars in thousands)	Commercial & Industrial		Construction		Residential Mortgage		Home Equity		Commercial Mortgage		Consumer		Total
Year ended December 31, 2025
Beginning balance	$	7,113	$	2,316	$	15,267	$	2,335	$	18,882	$	13,269	$	59,182


Provision (credit) for credit losses on loans	5,220		1,495		(1,082)		(1,123)		662		7,668		12,840
Subtotal	12,333		3,811		14,185		1,212		19,544		20,937		72,022
Charge-offs	5,187		—		—		—		—		11,496		16,683
Recoveries	(836)		(4)		(34)		(30)		—		(3,378)		(4,282)
Net charge-offs (recoveries)	4,351		(4)		(34)		(30)		—		8,118		12,401
Ending balance	$	7,982	$	3,815	$	14,219	$	1,242	$	19,544	$	12,819	$	59,621



(Dollars in thousands)	Commercial & Industrial		Construction		Residential Mortgage		Home Equity		Commercial Mortgage		Consumer		Total
Year ended December 31, 2024
Beginning balance	$	7,181	$	4,004	$	14,626	$	3,501	$	17,543	$	17,079	$	63,934


Provision (credit) for credit losses on loans	2,373		(1,688)		988		(1,172)		1,339		9,122		10,962
Subtotal	9,554		2,316		15,614		2,329		18,882		26,201		74,896
Charge-offs	2,977		—		383		—		—		16,866		20,226
Recoveries	(536)		—		(36)		(6)		—		(3,934)		(4,512)
Net charge-offs (recoveries)	2,441		—		347		(6)		—		12,932		15,714
Ending balance	$	7,113	$	2,316	$	15,267	$	2,335	$	18,882	$	13,269	$	59,182



(Dollars in thousands)	Commercial & Industrial		Construction		Residential Mortgage		Home Equity		Commercial Mortgage		Consumer		Total
Year ended December 31, 2023
Beginning balance	$	6,824	$	2,867	$	11,804	$	4,114	$	17,902	$	20,227	$	63,738


Provision (credit) for credit losses on loans	1,599		1,136		2,745		(670)		(359)		10,784		15,235
Subtotal	8,423		4,003		14,549		3,444		17,543		31,011		78,973
Charge-offs	1,962		—		—		—		—		17,245		19,207
Recoveries	(720)		(1)		(77)		(57)		—		(3,313)		(4,168)
Net charge-offs (recoveries)	1,242		(1)		(77)		(57)		—		13,932		15,039
Ending balance	$	7,181	$	4,004	$	14,626	$	3,501	$	17,543	$	17,079	$	63,934

The following table presents the activities in the reserve for off-balance sheet credit exposures, which is reported within other liabilities on the Company's consolidated balance sheets, during the years ended December 31, 2025, 2024 and 2023. The related provision (credit) for off-balance sheet credit exposures is included in the provision for credit losses on the Company's consolidated statements of income for the periods presented.


	Year Ended December 31,
(Dollars in thousands)	2025		2024		2023
Balance, beginning of year	$	2,570	$	3,706	$	3,243


Provision (credit) for off-balance sheet credit exposures	2,872		(1,136)		463
Balance, end of year	$	5,442	$	2,570	$	3,706