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Loan Quality And Allowance For Loan Losses
 3 Months Ended
Mar. 31, 2022
Loan Quality And Allowance For Loan Losses [Abstract]  
Loan Quality And Allowance For Loan Losses Note 6. Loan Quality and Allowance for Loan Losses

The following table presents, by class, the activity in the Allowance for Loan Losses (ALL) for the periods shown:

Residential Real Estate 1-4 Family

First

Junior Liens &

Commercial

(Dollars in thousands)

Liens

Lines of Credit

Construction

Real Estate

Commercial

Consumer

Unallocated

Total

ALL at December 31, 2021

$

475 

$

252 

$

325 

$

8,168 

$

5,127 

$

130 

$

589 

$

15,066 

Charge-offs

(20)

—

—

—

(1)

(24)

—

(45)

Recoveries

15 

1 

—

—

5 

8 

—

29 

Provision

10 

—

4 

(206)

52 

11 

129 

—

ALL at March 31, 2022

$

480 

$

253 

$

329 

$

7,962 

$

5,183 

$

125 

$

718 

$

15,050 

ALL at December 31, 2020

$

555 

$

226 

$

294 

$

9,163 

$

5,679 

$

97 

$

775 

$

16,789 

Charge-offs

—

—

—

(13)

(5)

(18)

—

(36)

Recoveries

—

169 

—

—

7 

7 

—

183 

Provision

(108)

(184)

24 

(365)

(208)

27 

14 

(800)

ALL at March 31, 2021

$

447 

$

211 

$

318 

$

8,785 

$

5,473 

$

113 

$

789 

$

16,136 

The following table presents, by class, loans that were evaluated for the ALL under the specific reserve (individually) and those that were evaluated under the general reserve (collectively) and the amount of the ALL established in each class as of the periods shown:

Residential Real Estate 1-4 Family

First

Junior Liens &

Commercial

(Dollars in thousands)

Liens

Lines of Credit

Construction

Real Estate

Commercial

Consumer

Unallocated

Total

March 31, 2022

Loans evaluated for ALL:

Individually

$

651 

$

—

$

422 

$

10,293 

$

—

$

—

$

—

$

11,366 

Collectively

133,409 

72,318 

21,010 

513,845 

243,008 

6,021 

—

989,611 

Total

$

134,060 

$

72,318 

$

21,432 

$

524,138 

$

243,008 

$

6,021 

$

—

$

1,000,977 

ALL established for
‎  loans evaluated:

Individually

$

—

$

—

$

—

$

662 

$

—

$

—

$

—

$

662 

Collectively

480 

253 

329 

7,300 

5,183 

125 

718 

14,388 

ALL at March 31, 2022

$

480 

$

253 

$

329 

$

7,962 

$

5,183 

$

125 

$

718 

$

15,050 

December 31, 2021

Loans evaluated for ALL:

Individually

$

661 

$

—

$

424 

$

10,520 

$

—

$

—

$

—

$

11,605 

Collectively

131,822 

71,944 

20,233 

512,259 

244,543 

6,406 

—

987,207 

Total

$

132,483 

$

71,944 

$

20,657 

$

522,779 

$

244,543 

$

6,406 

$

—

$

998,812 

ALL established for
‎  loans evaluated:

Individually

$

—

$

—

$

—

$

698 

$

—

$

—

$

—

$

698 

Collectively

475 

252 

325 

7,470 

5,127 

130 

589 

14,368 

ALL at December 31, 2021

$

475 

$

252 

$

325 

$

8,168 

$

5,127 

$

130 

$

589 

$

15,066 


‎

The following table shows additional information about those loans considered to be impaired as of the periods shown:

Impaired Loans

With No Allowance

With Allowance

(Dollars in thousands)

Unpaid

Unpaid

Recorded

Principal

Recorded

Principal

Related

March 31, 2022

Investment

Balance

Investment

Balance

Allowance

Residential Real Estate 1-4 Family

First liens

$

651

$

651

$

—

$

—

$

—

Junior liens and lines of credit

—

—

—

—

—

Total

651

651

—

—

—

Residential real estate - construction

422

531

—

—

—

Commercial real estate

4,751

5,224

5,542

5,796

662

Commercial

—

—

—

—

—

Total

$

5,824

$

6,406

$

5,542

$

5,796

$

662

December 31, 2021

Residential Real Estate 1-4 Family

First liens

$

661

$

661

$

—

$

—

$

—

Junior liens and lines of credit

—

—

—

—

—

Total

661

661

—

—

—

Residential real estate - construction

424

729

—

—

—

Commercial real estate

4,942

5,405

5,578

5,764

698

Commercial

—

—

—

—

—

Total

$

6,027

$

6,795

$

5,578

$

5,764

$

698

The following table shows the average balance of impaired loans and related interest income for the periods shown:

Three Months Ended

March 31, 2022

Average

Interest

(Dollars in thousands)

Recorded

Income

Investment

Recognized

Residential Real Estate 1-4 Family

First liens

$

656

$

7

Junior liens and lines of credit

—

—

Total

656

7

Residential real estate - construction

423

—

Commercial real estate

10,256

43

Commercial

—

—

Total

$

11,335

$

50

Three Months Ended

March 31, 2021

Average

Interest

(Dollars in thousands)

Recorded

Income

Investment

Recognized

Residential Real Estate 1-4 Family

First liens

$

634

$

8

Junior liens and lines of credit

—

—

Total

634

8

Residential real estate - construction

512

—

Commercial real estate

16,043

91

Commercial

—

—

Total

$

17,189

$

99


‎

At March 31, 2022, the Bank had $38.0 thousand of residential properties in the process of foreclosure compared to $38.0 thousand at the end of 2021. The following table presents the aging of payments of the loan portfolio:

(Dollars in thousands)

Loans Past Due and Still Accruing

Total

Current

30-59 Days

60-89 Days

90 Days+

Total

Non-Accrual

Loans

March 31, 2022

Residential Real Estate 1-4 Family

First liens

$

133,720 

$

204 

$

120 

$

16 

$

340 

$

—

$

134,060 

Junior liens and lines of credit

72,265 

12 

3 

—

15 

38 

72,318 

Total

205,985 

216 

123 

16 

355 

38 

206,378 

Residential real estate - construction

21,010 

—

—

—

—

422 

21,432 

Commercial real estate

516,816 

446 

—

—

446 

6,876 

524,138 

Commercial

242,688 

260 

—

—

260 

60 

243,008 

Consumer

6,007 

8 

2 

4 

14 

—

6,021 

Total

$

992,506 

$

930 

$

125 

$

20 

$

1,075 

$

7,396 

$

1,000,977 

December 31, 2021

Residential Real Estate 1-4 Family

First liens

$

132,224 

$

96 

$

113 

$

—

$

209 

$

50 

$

132,483 

Junior liens and lines of credit

71,788 

118 

—

—

118 

38 

71,944 

Total

204,012 

214 

113 

—

327 

88 

204,427 

Residential real estate - construction

20,233 

—

—

—

—

424 

20,657 

Commercial real estate

515,487 

293 

187 

—

480 

6,812 

522,779 

Commercial

244,377 

106 

—

—

106 

60 

244,543 

Consumer

6,368 

27 

11 

—

38 

—

6,406 

Total

$

990,477 

$

640 

$

311 

$

—

$

951 

$

7,384 

$

998,812 


‎

The following table reports the risk rating for those loans in the portfolio that are assigned an individual risk rating. Consumer purpose loans are assigned a rating of either pass or substandard based on the performance status of the loans. Substandard consumer loans are comprised of loans 90 days or more past due and still accruing, and nonaccrual loans. Commercial purpose loans may be assigned any rating in accordance with the Bank’s internal risk rating system.

Pass

OAEM

Substandard

Doubtful

(Dollars in thousands)

(1-5)

(6)

(7)

(8)

Total

March 31, 2022

Residential Real Estate 1-4 Family

First liens

$

134,060 

$

—

$

—

$

—

$

134,060 

Junior liens and lines of credit

72,280 

—

38 

—

72,318 

Total

206,340 

—

38 

—

206,378 

Residential real estate - construction

21,010 

—

422 

—

21,432 

Commercial real estate

488,884 

18,722 

16,532 

—

524,138 

Commercial

240,182 

2,647 

179 

—

243,008 

Consumer

6,021 

—

—

—

6,021 

Total

$

962,437 

$

21,369 

$

17,171 

$

—

$

1,000,977 

December 31, 2021

Residential Real Estate 1-4 Family

First liens

$

132,433 

$

—

$

50 

$

—

$

132,483 

Junior liens and lines of credit

71,906 

—

38 

—

71,944 

Total

204,339 

—

88 

—

204,427 

Residential real estate - construction

20,233 

—

424 

—

20,657 

Commercial real estate

486,903 

19,006 

16,870 

—

522,779 

Commercial

244,315 

49 

179 

—

244,543 

Consumer

6,406 

—

—

—

6,406 

Total

$

962,196 

$

19,055 

$

17,561 

$

—

$

998,812 

The following table presents information on the Bank’s Troubled Debt Restructuring (TDR) loans as of:

Troubled Debt Restructurings

Within the Last 12 Months

That Have Defaulted

(Dollars in thousands)

Troubled Debt Restructurings

On Modified Terms

Number of

Recorded

Number of

Recorded

Contracts

Investment

Performing*

Nonperforming*

Contracts

Investment

March 31, 2022

Residential real estate - construction

1 

$

422 

$

—

$

422 

—

$

—

Residential real estate

5 

650 

650 

—

—

—

Commercial real estate - owner occupied

4 

1,147 

1,147 

—

—

—

Commercial real estate - farm land

4 

1,496 

1,496 

—

—

—

Commercial real estate - construction and land development

1 

1,360 

1,360 

—

—

—

Commercial real estate

2 

287 

98 

189 

—

—

Total

17 

$

5,362 

$

4,751 

$

611 

—

$

—

December 31, 2021

Residential real estate - construction

1 

$

424 

$

—

$

424 

—

$

—

Residential real estate

5 

661 

661 

—

—

—

Commercial real estate - owner occupied

4 

1,161 

1,161 

—

—

—

Commercial real estate - farm land

4 

1,664 

1,664 

—

—

—

Commercial real estate - construction and land development

1 

1,360 

1,360 

—

—

—

Commercial real estate

2 

294 

294 

—

—

—

Total

17 

$

5,564 

$

5,140 

$

424 

—

$

—

*The performing status is determined by the loan’s compliance with the modified terms.


‎

There were no new TDR loans during the first quarter of 2022.

The following table reports new TDR loans during 2021, concession granted and the recorded investment as of March 31, 2022:

New During Period

Twelve Months Ended

Number of

Pre-TDR

After-TDR

Recorded

December 31, 2021

Contracts

Modification

Modification

Investment

Concession

Residential real estate

1 

$

41 

$

50 

$

47 

multiple