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Loans (Tables)
 6 Months Ended
Jun. 30, 2019
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract]  
Schedule of classes of loan portfolio summarized by the aggregate risk rating
The following table presents the classes of the loan portfolio summarized by the aggregate pass rating and the classified ratings of special mention, substandard, and doubtful within the Corporation’s internal risk rating system as of June 30, 2019, and December 31, 2018:
 
In thousands
 
Pass
 
Special Mention
 
Substandard
 
Doubtful
 
Total
JUNE 30, 2019
 
 

 
 

 
 

 
 

 
 

Originated Loans
 
 
 
 
 
 
 
 
 
 
Commercial and industrial
 
$
153,348

 
$
2,966

 
$
778

 
$
—

 
$
157,092

Commercial real estate
 
401,248

 
20,413

 
7,464

 
—

 
429,125

Commercial real estate construction
 
16,753

 
941

 
—

 
—

 
17,694

Residential mortgage
 
371,949

 
6,442

 
294

 
—

 
378,685

Home equity lines of credit
 
92,720

 
365

 
—

 
—

 
93,085

Consumer
 
14,052

 
—

 
—

 
—

 
14,052

Total Originated Loans
 
1,050,070

 
31,127

 
8,536

 
—

 
1,089,733

Acquired Loans
 
 
 
 
 
 
 
 
 
 
Commercial and industrial
 
3,954

 
213

 
120

 
—

 
4,287

Commercial real estate
 
114,716

 
6,911

 
1,979

 
—

 
123,606

Commercial real estate construction
 
2,033

 
701

 
—

 
—

 
2,734

Residential mortgage
 
36,798

 
1,945

 
2,512

 
—

 
41,255

Home equity lines of credit
 
16,971

 
103

 
426

 
—

 
17,500

Consumer
 
149

 
—

 
—

 
—

 
149

Total Acquired Loans
 
174,621

 
9,873

 
5,037

 
—

 
189,531

Total Loans
 
 
 
 
 
 
 
 
 
 
Commercial and industrial
 
157,302

 
3,179

 
898

 
—

 
161,379

Commercial real estate
 
515,964

 
27,324

 
9,443

 
—

 
552,731

Commercial real estate construction
 
18,786

 
1,642

 
—

 
—

 
20,428

Residential mortgage
 
408,747

 
8,387

 
2,806

 
—

 
419,940

Home equity lines of credit
 
109,691

 
468

 
426

 
—

 
110,585

Consumer
 
14,201

 
—

 
—

 
—

 
14,201

Total Loans
 
$
1,224,691

 
$
41,000

 
$
13,573

 
$
—

 
$
1,279,264


In thousands
 
Pass
 
Special Mention
 
Substandard
 
Doubtful
 
Total
DECEMBER 31, 2018
 
 

 
 

 
 

 
 

 
 

Originated Loans
 
 
 
 
 
 
 
 
 
 
Commercial and industrial
 
$
166,035

 
$
2,902

 
$
161

 
$
—

 
$
169,098

Commercial real estate
 
393,987

 
18,079

 
7,899

 
—

 
419,965

Commercial real estate construction
 
15,471

 
835

 
—

 
—

 
16,306

Residential mortgage
 
381,525

 
6,492

 
733

 
—

 
388,750

Home equity lines of credit
 
90,941

 
334

 
—

 
—

 
91,275

Consumer
 
14,174

 
—

 
—

 
—

 
14,174

Total Originated Loans
 
1,062,133

 
28,642

 
8,793

 
—

 
1,099,568

Acquired Loans
 
 
 
 
 
 
 
 
 
 
Commercial and industrial
 
4,803

 
134

 
147

 
—

 
5,084

Commercial real estate
 
120,321

 
5,112

 
3,525

 
—

 
128,958

Commercial real estate construction
 
3,276

 
716

 
—

 
—

 
3,992

Residential mortgage
 
41,193

 
1,896

 
2,460

 
—

 
45,549

Home equity lines of credit
 
18,614

 
88

 
386

 
—

 
19,088

Consumer
 
226

 
—

 
—

 
—

 
226

Total Acquired Loans
 
188,433

 
7,946

 
6,518

 
—

 
202,897

Total Loans
 
 
 
 
 
 
 
 
 
 
Commercial and industrial
 
170,838

 
3,036

 
308

 
—

 
174,182

Commercial real estate
 
514,308

 
23,191

 
11,424

 
—

 
548,923

Commercial real estate construction
 
18,747

 
1,551

 
—

 
—

 
20,298

Residential mortgage
 
422,718

 
8,388

 
3,193

 
—

 
434,299

Home equity lines of credit
 
109,555

 
422

 
386

 
—

 
110,363

Consumer
 
14,400

 
—

 
—

 
—

 
14,400

Total Loans
 
$
1,250,566

 
$
36,588

 
$
15,311

 
$
—

 
$
1,302,465
Schedule of changes In accretable yields of acquired loans
The following table provides changes in accretable yield for all acquired loans accounted for under ASC 310-30. Loans accounted for under ASC 310-20 are not included in this table.
In thousands
 
Six Months Ended June 30, 2019
 
Six Months Ended June 30, 2018
Balance at beginning of period
 
$
891

 
$
1,234

Acquisitions of impaired loans
 
—

 
—

Reclassification from non-accretable differences
 
393

 
114

Accretion to loan interest income
 
(355
)
 
(350
)
Balance at end of period
 
$
929

 
$
998
Summary of information relative to impaired loans by loan portfolio class
The following table summarizes information relative to impaired loans by loan portfolio class as of June 30, 2019, and December 31, 2018:
 
 
 
Impaired Loans with  Allowance
 
Impaired Loans with
No Allowance
In thousands
 
Recorded
Investment
 
Unpaid
Principal
Balance
 
Related
Allowance
 
Recorded
Investment
 
Unpaid
Principal
Balance
JUNE 30, 2019
 
 

 
 

 
 

 
 

 
 

Commercial and industrial
 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

Commercial real estate
 
—

 
—

 
—

 
5,748

 
5,748

Commercial real estate construction
 
—

 
—

 
—

 
—

 
—

Residential mortgage
 
—

 
—

 
—

 
649

 
649

Home equity lines of credit
 
—

 
—

 
—

 
—

 
—

 
 
$
—

 
$
—

 
$
—

 
$
6,397

 
$
6,397

 
 
 
 
 
 
 
 
 
 
 
DECEMBER 31, 2018
 
 

 
 

 
 

 
 

 
 

Commercial and industrial
 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

Commercial real estate
 
—

 
—

 
—

 
6,763

 
6,763

Commercial real estate construction
 
—

 
—

 
—

 
—

 
—

Residential mortgage
 
—

 
—

 
—

 
537

 
537

Home equity lines of credit
 
—

 
—

 
—

 
—

 
—

 
 
$
—

 
$
—

 
$
—

 
$
7,300

 
$
7,300
Summary of information in regards to the average of impaired loans and related income by loan portfolio class
The following table summarizes information in regards to the average of impaired loans and related interest income by loan portfolio class for the three months ended June 30, 2019 and 2018:
 
 
 
Impaired Loans with
Allowance
 
Impaired Loans with
No Allowance
In thousands
 
Average
Recorded
Investment
 
Interest
Income
 
Average
Recorded
Investment
 
Interest
Income
JUNE 30, 2019
 
 

 
 

 
 

 
 

Commercial and industrial
 
$
—

 
$
—

 
$
—

 
$
—

Commercial real estate
 
—

 
—

 
6,201

 
261

Commercial real estate construction
 
—

 
—

 
—

 
—

Residential mortgage
 
—

 
—

 
594

 
—

Home equity lines of credit
 
74

 
—

 
—

 
—

 
 
$
74

 
$
—

 
$
6,795

 
$
261

 
 
 
 
 
 
 
 
 
JUNE 30, 2018
 
 

 
 

 
 

 
 

Commercial and industrial
 
$
434

 
$
—

 
$
89

 
$
44

Commercial real estate
 
—

 
—

 
7,275

 
35

Commercial real estate construction
 
—

 
—

 
—

 
—

Residential mortgage
 
—

 
—

 
101

 
—

 
 
$
434

 
$
—

 
$
7,465

 
$
79


The following table summarizes information in regards to the average of impaired loans and related interest income by loan portfolio class for the six months ended June 30, 2019 and 2018:
 
 
 
Impaired Loans with
Allowance
 
Impaired Loans with
No Allowance
In thousands
 
Average
Recorded
Investment
 
Interest
Income
 
Average
Recorded
Investment
 
Interest
Income
JUNE 30, 2019
 
 

 
 

 
 

 
 

Commercial and industrial
 
$
—

 
$
—

 
$
—

 
$
—

Commercial real estate
 
—

 
—

 
6,388

 
318

Commercial real estate construction
 
—

 
—

 
—

 
—

Residential mortgage
 
—

 
—

 
575

 
—

Home equity lines of credit
 
—

 
—

 
—

 
—

 
 
$
—

 
$
—

 
$
6,963

 
$
318

 
 
 
 
 
 
 
 
 
JUNE 30, 2018
 
 

 
 

 
 

 
 

Commercial and industrial
 
$
726

 
$
—

 
$
122

 
$
44

Commercial real estate
 
—

 
—

 
7,637

 
82

Commercial real estate construction
 
—

 
—

 
—

 
—

Residential mortgage
 
126

 
—

 
101

 
—

 
 
$
852

 
$
—

 
$
7,860

 
$
126
Schedule of nonaccrual loans by loan portfolio class
The following table presents nonaccrual loans by loan portfolio class as of June 30, 2019, and December 31, 2018, the table below excludes $6.9 million in purchase credit impaired loans, net of unamortized fair value adjustments: 

In thousands
 
June 30, 2019
 
December 31, 2018
Commercial and industrial
 
$
—

 
$
—

Commercial real estate
 
1,914

 
2,880

Commercial real estate construction
 
—

 
—

Residential mortgage
 
650

 
537

Home equity lines of credit
 
—

 
—

 
 
$
2,564

 
$
3,417
Schedule of classes of loan portfolio summarized by the past due status
The following table presents the classes of the loan portfolio summarized by the past due status as of June 30, 2019, and December 31, 2018:

In thousands
 
30-59 Days Past Due
 
60-89 Days
Past Due
 
>90 Days
Past Due
 
Total Past
Due
 
Current
 
Total Loans
Receivable
 
Loans
Receivable
>90 Days
and
Accruing
JUNE 30, 2019
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Originated Loans
 
 

 
 

 
 

 
 

 
 

 
 

 
 

Commercial and industrial
 
$
87

 
$
1

 
$
10

 
$
98

 
$
156,994

 
$
157,092

 
$
10

Commercial real estate
 
222

 
378

 
1,514

 
2,114

 
427,011

 
429,125

 
—

Commercial real estate construction
 
80

 
—

 
—

 
80

 
17,614

 
17,694

 
—

Residential mortgage
 
204

 
477

 
1,839

 
2,520

 
376,165

 
378,685

 
1,189

Home equity lines of credit
 
337

 
55

 
268

 
660

 
92,425

 
93,085

 
268

Consumer
 
160

 
13

 
—

 
173

 
13,879

 
14,052

 
—

Total originated loans
 
1,090

 
924

 
3,631

 
5,645

 
1,084,088

 
1,089,733

 
1,467

Acquired Loans
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Commercial and industrial
 
—

 
26

 
—

 
26

 
4,261

 
4,287

 
—

Commercial real estate
 
—

 
—

 
—

 
—

 
123,606

 
123,606

 
—

Commercial real estate construction
 
—

 
—

 
—

 
—

 
2,734

 
2,734

 
—

Residential mortgage
 
248

 
—

 
127

 
375

 
40,880

 
41,255

 
127

Home equity lines of credit
 
322

 
74

 
237

 
633

 
16,867

 
17,500

 
237

Consumer
 
2

 
5

 
—

 
7

 
142

 
149

 
—

Total acquired loans
 
572

 
105

 
364

 
1,041

 
188,490

 
189,531

 
364

Total Loans
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Commercial and industrial
 
87

 
27

 
10

 
124

 
161,255

 
161,379

 
10

Commercial real estate
 
222

 
378

 
1,514

 
2,114

 
550,617

 
552,731

 
—

Commercial real estate construction
 
80

 
—

 
—

 
80

 
20,348

 
20,428

 
—

Residential mortgage
 
452

 
477

 
1,966

 
2,895

 
417,045

 
419,940

 
1,316

Home equity lines of credit
 
659

 
129

 
505

 
1,293

 
109,292

 
110,585

 
505

Consumer
 
162

 
18

 
—

 
180

 
14,021

 
14,201

 
—

Total Loans
 
$
1,662

 
$
1,029

 
$
3,995

 
$
6,686

 
$
1,272,578

 
$
1,279,264

 
$
1,831

    
In thousands
 
30-59 Days Past Due
 
60-89 Days
Past Due
 
>90 Days
Past Due
 
Total Past
Due
 
Current
 
Total Loans
Receivable
 
Loans
Receivable
>90 Days
and
Accruing
DECEMBER 31, 2018
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Originated Loans
 
 

 
 

 
 

 
 

 
 

 
 

 
 

Commercial and industrial
 
$
49

 
$
49

 
$
4

 
$
102

 
$
168,996

 
$
169,098

 
$
4

Commercial real estate
 
775

 
550

 
114

 
1,439

 
418,526

 
419,965

 
—

Commercial real estate construction
 
—

 
—

 
—

 
—

 
16,306

 
16,306

 
—

Residential mortgage
 
1,783

 
529

 
2,361

 
4,673

 
384,077

 
388,750

 
1,824

Home equity lines of credit
 
16

 
38

 
375

 
429

 
90,846

 
91,275

 
375

Consumer
 
36

 
14

 
—

 
50

 
14,124

 
14,174

 
—

Total originated loans
 
2,659

 
1,180

 
2,854

 
6,693

 
1,092,875

 
1,099,568

 
2,203

Acquired Loans
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Commercial and industrial
 
27

 
—

 
—

 
27

 
5,057

 
5,084

 
—

Commercial real estate
 
64

 
—

 
851

 
915

 
128,043

 
128,958

 
851

Commercial real estate construction
 
343

 
—

 
77

 
420

 
3,572

 
3,992

 
77

Residential mortgage
 
1,235

 
251

 
907

 
2,393

 
43,156

 
45,549

 
125

Home equity lines of credit
 
227

 
—

 
89

 
316

 
18,772

 
19,088

 
89

Consumer
 
—

 
7

 
—

 
7

 
219

 
226

 
—

Total acquired loans
 
1,896

 
258

 
1,924

 
4,078

 
198,819

 
202,897

 
1,142

Total Loans
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Commercial and industrial
 
76

 
49

 
4

 
129

 
174,053

 
174,182

 
4

Commercial real estate
 
839

 
550

 
965

 
2,354

 
546,569

 
548,923

 
851

Commercial real estate construction
 
343

 
—

 
77

 
420

 
19,878

 
20,298

 
77

Residential mortgage
 
3,018

 
780

 
3,268

 
7,066

 
427,233

 
434,299

 
1,949

Home equity lines of credit
 
243

 
38

 
464

 
745

 
109,618

 
110,363

 
464

Consumer
 
36

 
21

 
—

 
57

 
14,343

 
14,400

 
—

Total Loans
 
$
4,555

 
$
1,438

 
$
4,778

 
$
10,771

 
$
1,291,694

 
$
1,302,465

 
$
3,345
Summary of allowance for loan losses and recorded investment in loans receivable
The following tables summarize the allowance for loan losses and recorded investment in loans receivable:
In thousands
 
Commercial
and
Industrial
 
Commercial
Real Estate
 
Commercial
Real Estate
Construction
 
Residential
Mortgage
 
Home Equity
Lines of
Credit
 
Consumer
 
Unallocated
 
Total
AS OF AND FOR THE PERIOD ENDED JUNE 30, 2019
 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

Allowance for Loan Losses
 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

Beginning balance - April 1, 2019
 
$
2,620

 
$
6,278

 
$
241

 
$
2,737

 
$
616

 
$
697

 
$
831

 
$
14,020

Charge-offs
 
(71
)
 
—

 
—

 
—

 
—

 
(63
)
 
—

 
(134
)
Recoveries
 
7

 
—

 
—

 
—

 
8

 
31

 
—

 
46

Provisions
 
(94
)
 
134

 
21

 
9

 
1

 
23

 
31

 
125

Ending balance - June 30, 2019
 
$
2,462

 
$
6,412

 
$
262

 
$
2,746

 
$
625

 
$
688

 
$
862

 
$
14,057

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Beginning balance - January 1, 2019
 
$
2,597

 
$
6,208

 
$
203

 
$
2,814

 
$
611

 
$
692

 
$
839

 
$
13,964

Charge-offs
 
(102
)
 
—

 
—

 
(6
)
 
(51
)
 
(107
)
 
—

 
(266
)
Recoveries
 
21

 
—

 
—

 
1

 
8

 
54

 
—

 
84

Provisions
 
(54
)
 
204

 
59

 
(63
)
 
57

 
49

 
23

 
275

Ending balance - June 30, 2019
 
$
2,462

 
$
6,412

 
$
262

 
$
2,746

 
$
625

 
$
688

 
$
862

 
$
14,057

Ending balance: individually evaluated for impairment
 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

Ending balance: collectively evaluated for impairment
 
$
2,462

 
$
6,412

 
$
262

 
$
2,746

 
$
625

 
$
688

 
$
862

 
$
14,057

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Loans Receivable
 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

Ending balance
 
$
161,379

 
$
552,731

 
$
20,428

 
$
419,940

 
$
110,585

 
$
14,201

 
$
—

 
$
1,279,264

Ending balance: individually evaluated for impairment
 
$
—

 
$
5,747

 
$
—

 
$
650

 
$
—

 
$
—

 
$
—

 
$
6,397

Ending balance: collectively evaluated for impairment
 
$
161,379

 
$
546,984

 
$
20,428

 
$
419,290

 
$
110,585

 
$
14,201

 
$
—

 
$
1,272,867

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
AS OF AND FOR THE PERIOD ENDED JUNE 30, 2018
 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

Allowance for Loan Losses
 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

Beginning Balance - April 1, 2018
 
$
2,974

 
$
5,455

 
$
135

 
$
2,936

 
$
593

 
$
725

 
$
599

 
$
13,417

Charge-offs
 
(489
)
 
—

 
—

 
(106
)
 
—

 
(16
)
 
—

 
(611
)
Recoveries
 
4

 
—

 
—

 
12

 
—

 
1

 
—

 
17

Provisions
 
(56
)
 
266

 
11

 
(2
)
 
(29
)
 
(37
)
 
167

 
320

Ending balance - June 30, 2018
 
$
2,433

 
$
5,721

 
$
146

 
$
2,840

 
$
564

 
$
673

 
$
766

 
$
13,143

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Beginning Balance - January 1, 2018
 
$
3,219

 
$
5,228

 
$
126

 
$
3,226

 
$
612

 
$
749

 
$
816

 
$
13,976

Charge-offs
 
(878
)
 
(33
)
 
—

 
(489
)
 
—

 
(37
)
 
—

 
(1,437
)
Recoveries
 
11

 
—

 
—

 
22

 
—

 
1

 
—

 
34

Provisions
 
81

 
526

 
20

 
81

 
(48
)
 
(40
)
 
(50
)
 
570

Ending balance - June 30, 2018
 
$
2,433

 
$
5,721

 
$
146

 
$
2,840

 
$
564

 
$
673

 
$
766

 
$
13,143

Ending balance: individually evaluated for impairment
 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

Ending balance: collectively evaluated for impairment
 
$
2,433

 
$
5,721

 
$
146

 
$
2,840

 
$
564

 
$
673

 
$
766

 
$
13,143

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Loans Receivable
 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

Ending balance
 
$
160,674

 
$
514,519

 
$
19,615

 
$
431,049

 
$
106,089

 
$
14,852

 
$
—

 
$
1,246,798

Ending balance: individually evaluated for impairment
 
$
—

 
$
7,242

 
$
—

 
$
101

 
$
—

 
$
—

 
$
—

 
$
7,343

Ending balance: collectively evaluated for impairment
 
$
160,674

 
$
507,277

 
$
19,615

 
$
430,948

 
$
106,089

 
$
14,852

 
$
—

 
$
1,239,455

In thousands
 
Commercial
and
Industrial
 
Commercial
Real Estate
 
Commercial
Real Estate
Construction
 
Residential
Mortgage
 
Home Equity
Lines of
Credit
 
Consumer
 
Unallocated
 
Total
AS OF DECEMBER 31, 2018
 
 

 
 

 
 

 
 

 
 

 
 

 
 

Allowance for Loan Losses
 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

Ending balance
 
$
2,597

 
$
6,208

 
$
203

 
$
2,814

 
$
611

 
$
692

 
$
839

 
$
13,964

Ending balance: individually evaluated for impairment
 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

Ending balance: collectively evaluated for impairment
 
$
2,597

 
$
6,208

 
$
203

 
$
2,814

 
$
611

 
$
692

 
$
839

 
$
13,964

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Loans Receivable
 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

Ending balance
 
$
174,182

 
$
548,923

 
$
20,298

 
$
434,299

 
$
110,363

 
$
14,400

 
$
—

 
$
1,302,465

Ending balance: individually evaluated for impairment
 
$
—

 
$
6,763

 
$
—

 
$
537

 
$
—

 
$
—

 
$
—

 
$
7,300

Ending balance: collectively evaluated for impairment
 
$
174,182

 
$
542,160

 
$
20,298

 
$
433,762

 
$
110,363

 
$
14,400

 
$
—

 
$
1,295,165