Loans are presented net of unearned income of $5.1 million and $5.2 million at March 31, 2018 and December 31, 2017.

The following table indicates the composition of loans as of the dates presented:



(dollars in thousands)	March 31, 2018		December 31, 2017
Commercial
Commercial real estate	$	2,760,891	$	2,685,994
Commercial and industrial	1,406,950		1,433,266
Commercial construction	324,141		384,334
Total Commercial Loans	4,491,982		4,503,594
Consumer
Residential mortgage	692,385		698,774
Home equity	474,850		487,326
Installment and other consumer	66,890		67,204
Consumer construction	4,506		4,551
Total Consumer Loans	1,238,631		1,257,855
Total Portfolio Loans	5,730,613		5,761,449
Loans held for sale	3,283		4,485
Total Loans	$	5,733,896	$	5,765,934

We attempt to limit our exposure to credit risk by diversifying our loan portfolio by segment, geography, collateral and industry and actively managing concentrations. When concentrations exist in certain segments, we mitigate this risk by reviewing the relevant economic indicators and internal risk rating trends and through stress testing of the loans in these segments. Total commercial loans represented 78 percent of total portfolio loans at both March 31, 2018 and December 31, 2017. Within our commercial portfolio, the CRE and Commercial Construction portfolios combined comprised $3.1 billion or 69 percent of total commercial loans and 54 percent of total portfolio loans at March 31, 2018 and comprised of $3.1 billion or 68 percent of total commercial loans and 53 percent of total portfolio loans at December 31, 2017. Further segmentation of the CRE and Commercial Construction portfolios by collateral type reveals no concentration in excess of 13 percent of both total CRE and Commercial Construction loans at March 31, 2018 and 14 percent at December 31, 2017.

Our market area includes Pennsylvania and the contiguous states of Ohio, West Virginia, New York and Maryland. The majority of our commercial and consumer loans are made to businesses and individuals in this market area, resulting in a geographic concentration. We believe our knowledge and familiarity with customers and conditions locally outweighs this geographic concentration risk. The conditions of the local and regional economies are monitored closely through publicly available data and information supplied by our customers. Our CRE and Commercial Construction portfolios have out-of-market exposure of 5.0 percent of their combined portfolios and 2.7 percent of total portfolio loans at March 31, 2018. This compares to 5.2 percent of their combined portfolios and 2.8 percent of total portfolio loans at December 31, 2017.

We individually evaluate all substandard commercial loans that have experienced a forbearance or change in terms agreement, and all substandard consumer and residential mortgage loans that entered into an agreement to modify their existing loan, to determine if they should be designated as troubled debt restructurings, or TDRs.

All TDRs are considered to be impaired loans and will be reported as impaired loans for the remaining life of the loan, unless the restructuring agreement specifies an interest rate equal to or greater than the rate that would be accepted at the time of the restructuring for a new loan with comparable risk and it is fully expected that the remaining principal and interest will be collected according to the restructured agreement. Further, all impaired loans are reported as nonaccrual loans unless the loan is a TDR that has met the requirements to be returned to accruing status. TDRs can be returned to accruing status if the ultimate collectability of all contractual amounts due, according to the restructured agreement, is not in doubt and there is a period of a minimum of six months of satisfactory payment performance by the borrower either immediately before or after the restructuring.

The following table summarizes restructured loans as of the dates presented:



	March 31, 2018						December 31, 2017
(dollars in thousands)	Performing TDRs		Nonperforming TDRs		Total TDRs		Performing TDRs		Nonperforming TDRs		Total TDRs
Commercial real estate	$	2,298	$	944	$	3,242	$	2,579	$	967	$	3,546
Commercial and industrial	9,403		3,036		12,439		3,946		3,197		7,143
Commercial construction	2,400		414		2,814		2,420		2,413		4,833
Residential mortgage	2,178		2,640		4,818		2,039		3,585		5,624
Home equity	3,713		1,520		5,233		3,885		979		4,864
Installment and other consumer	43		6		49		32		9		41
Total	$	20,035	$	8,560	$	28,595	$	14,901	$	11,150	$	26,051

There were no TDRs returned to accruing status during the three months ended March 31, 2018 and March 31, 2017.

The following tables present the restructured loans by loan segment and by type of concession for the three months ended March 31, 2018 and 2017:



	Three Months Ended March 31, 2018								Three Months Ended March 31, 2017
(dollars in thousands)	Number of Loans	Pre-Modification Outstanding Recorded Investment⁽¹⁾		Post-Modification Outstanding Recorded Investment⁽¹⁾		Total Difference in Recorded Investment			Number of Loans	Pre-Modification Outstanding Recorded Investment⁽¹⁾		Post-Modification Outstanding Recorded Investment⁽¹⁾		Total Difference in Recorded Investment
Totals by Loan Segment
Commercial real estate
Commercial and industrial
Maturity date extension	2	$	768	$	708	$	(60	)	—	$	—	$	—	$	—
Principal deferral	6	5,355		5,333		(22		)	—	—		—		—
Total Commercial and Industrial	8	6,123		6,041		(82		)	—	—		—		—
Commercial Construction		.
Chapter 7 bankruptcy⁽²⁾	2	158		157		(1		)	—	—		—		—
Total Commercial Construction	2	158		157		(1		)	—	—		—		—
Home equity
Chapter 7 bankruptcy⁽²⁾	9	578		555		(23		)	6	269		266		(3		)
Maturity date extension and interest rate reduction	—	—		—		—			1	173		172		(1		)
Total Home Equity	9	578		555		(23		)	7	442		438		(4		)
Installment and other consumer
Chapter 7 bankruptcy⁽²⁾	2	17		17		—			—	—		—		—
Total Installment and Other Consumer	2	17		17		—			—	—		—		—
Totals by Concession Type
Chapter 7 bankruptcy⁽²⁾	13	$	753	$	729	$	(24	)	6	$	269	$	266	$	(3	)
Maturity date extension	2	768		708		(60		)	—	—		—		—
Maturity date extension and interest rate reduction	—	—		—		—			1	173		172		(1		)
Principal deferral	6	5,355		5,333		(22		)	—	—		—		—
Total	21	$	6,876	$	6,770	$	(106	)	7	$	442	$	438	$	(4	)
⁽¹⁾ Excludes loans that were fully paid off or fully charged-off by period end. The pre-modification balance represents the balance outstanding prior to modification. The post-modification balance represents the outstanding balance at period end. ⁽²⁾ Chapter 7 bankruptcy loans where the debt has been legally discharged through the bankruptcy court and not reaffirmed.

As of March 31, 2018, we had no commitments to lend additional funds on TDRs. Defaulted TDRs are defined as loans having a payment default of 90 days or more after the restructuring takes place. There were no TDRs that defaulted during the three months ended March 31, 2018 and 2017 that were restructured within the last 12 months prior to defaulting.

The following table is a summary of nonperforming assets as of the dates presented:



	Nonperforming Assets
(dollars in thousands)	March 31, 2018		December 31, 2017
Nonperforming Assets
Nonaccrual loans	$	12,775	$	12,788
Nonaccrual TDRs	8,560		11,150
Total Nonaccrual Loans	21,335		23,938
OREO	2,920		469
Total Nonperforming Assets	$	24,255	$	24,407