LOANS AND ALLOWANCE FOR LOAN LOSSES (Tables)

6 Months Ended

Jun. 30, 2020

LOANS AND ALLOWANCE FOR LOAN LOSSES

Schedule of classes of the loan portfolio summarized by risk rating

	Commercial and
(Dollars in thousands)	Industrial				Commercial Real Estate
	June 30,		December 31,		June 30,		December 31,
	2020		2019		2020		2019
Grade:
1-6 Pass	$	99,225	$	84,999	$	405,929	$	382,510
7    Special Mention		—		2		—		944
8    Substandard		901		1,068		9,781		11,590
9    Doubtful		—		—		—		—
Add (deduct):  Unearned discount and		—		—		—		—
Net deferred loan fees and costs		167		643		770		757
Total loans	$	100,293	$	86,712	$	416,480	$	395,801

	Residential Real Estate
	Including Home Equity				Consumer
	June 30,		December 31,		June 30,		December 31,
	2020		2019		2020		2019
Grade:
1-6 Pass	$	153,816	$	158,301	$	5,261	$	5,662
7    Special Mention		—		117		—		83
8    Substandard		1,087		1,048		8		35
9    Doubtful		—		—		—		—
Add (deduct):  Unearned discount and		—		—		—		—
Net deferred loan fees and costs		(109)		(116)		78		89
Total loans	$	154,794	$	159,350	$	5,347	$	5,869

	Total Loans
	June 30,		December 31,
	2020		2019
Grade:
1-6 Pass	$	664,231	$	631,472
7 Special Mention		—		1,146
8 Substandard		11,777		13,741
9 Doubtful		—		—
Add (deduct):  Unearned discount and		—		—
Net deferred loan fees and costs		906		1,373
Total loans	$	676,914	$	647,732

Schedule of the allowance for loan losses, by loan class

(Dollars in thousands)	Commercial		Commercial		Residential
	and Industrial		Real Estate		Real Estate		Consumer		Unallocated		Total
As of and for the three month period ended June 30, 2020:
Allowance for Loan Losses:
Beginning balance	$	663	$	4,328	$	1,643	$	113	$	432	$	7,179
Charge-offs		(20)		(15)		—		(6)		—		(41)
Recoveries		—		—		—		2		—		2
Provision (credit)		180		(98)		(35)		(3)		150		194
Ending Balance	$	823	$	4,215	$	1,608	$	106	$	582	$	7,334

(Dollars in thousands)	Commercial		Commercial		Residential
	and Industrial		Real Estate		Real Estate		Consumer		Unallocated		Total
As of and for the six month period ended June 30, 2020:
Allowance for Loan Losses:
Beginning balance	$	634	$	4,116	$	1,665	$	114	$	476	$	7,005
Charge-offs		(24)		(15)		—		(22)		—		(61)
Recoveries		—		—		—		2		—		2
Provision (credit)		213		114		(57)		12		106		388
Ending Balance	$	823	$	4,215	$	1,608	$	106	$	582	$	7,334
Ending balance: individually
evaluated for impairment	$	—	$	3	$	1	$	—	$	—	$	4
Ending balance: collectively
evaluated for impairment	$	823	$	4,212	$	1,607	$	106	$	582	$	7,330
Loans Receivable:
Ending Balance	$	100,293	$	416,480	$	154,794	$	5,347	$	—	$	676,914
Ending balance: individually
evaluated for impairment	$	1,062	$	11,531	$	1,107	$	—	$	—	$	13,700
Ending balance: collectively
evaluated for impairment	$	99,231	$	404,949	$	153,687	$	5,347	$	—	$	663,214

(Dollars in thousands)	Commercial		Commercial		Residential
	and Industrial		Real Estate		Real Estate		Consumer		Unallocated		Total
As of and for the three month period ended June 30, 2019:
Allowance for Loan Losses:
Beginning balance	$	732	$	3,865	$	1,641	$	110	$	414	$	6,762
Charge-offs		—		—		(28)		(10)		—		(38)
Recoveries		—		—		—		2		—		2
Provision (credit)		(89)		34		28		9		64		46
Ending Balance	$	643	$	3,899	$	1,641	$	111	$	478	$	6,772

(Dollars in thousands)	Commercial		Commercial		Residential
	and Industrial		Real Estate		Real Estate		Consumer		Unallocated		Total
As of and for the six month period ended June 30, 2019:
Allowance for Loan Losses:
Beginning balance	$	724	$	3,700	$	1,650	$	117	$	554	$	6,745
Charge-offs		—		(64)		(28)		(25)		—		(117)
Recoveries		1		—		2		3		—		6
Provision (credit)		(82)		263		17		16		(76)		138
Ending Balance	$	643	$	3,899	$	1,641	$	111	$	478	$	6,772
Ending balance: individually
evaluated for impairment	$	—	$	—	$	3	$	—	$	—	$	3
Ending balance: collectively
evaluated for impairment	$	643	$	3,899	$	1,638	$	111	$	478	$	6,769
Loans Receivable:
Ending Balance	$	81,553	$	364,390	$	160,362	$	5,776	$	—	$	612,081
Ending balance: individually
evaluated for impairment	$	1,105	$	11,333	$	834	$	—	$	—	$	13,272
Ending balance: collectively
evaluated for impairment	$	80,448	$	353,057	$	159,528	$	5,776	$	—	$	598,809

(Dollars in thousands)	Commercial		Commercial		Residential
	and Industrial		Real Estate		Real Estate		Consumer		Unallocated		Total
As of and for the year ended December 31, 2019
Allowance for Loan Losses:
Beginning balance	$	724	$	3,700	$	1,650	$	117	$	554	$	6,745
Charge-offs		—		(64)		(69)		(71)		—		(204)
Recoveries		6		—		2		6		—		14
Provision (credit)		(96)		480		82		62		(78)		450
Ending Balance	$	634	$	4,116	$	1,665	$	114	$	476	$	7,005
Ending balance: individually
evaluated for impairment	$	—	$	1	$	—	$	—	$	—	$	1
Ending balance: collectively
evaluated for impairment	$	634	$	4,115	$	1,665	$	114	$	476	$	7,004
Loans Receivable:
Ending Balance	$	86,712	$	395,801	$	159,350	$	5,869	$	—	$	647,732
Ending balance: individually
evaluated for impairment	$	1,084	$	11,158	$	712	$	—	$	—	$	12,954
Ending balance: collectively
evaluated for impairment	$	85,628	$	384,643	$	158,638	$	5,869	$	—	$	634,778

Schedule of the outstanding recorded investment of TDRs

(Dollars in thousands)	June 30,		December 31,
	2020		2019
Non-accrual TDRs	$	1,690	$	112
Accruing TDRs		6,816		8,566
Total	$	8,506	$	8,678

Schedule of the loan modifications categorized as TDRs

(Dollars in thousands)	For the Three Months Ended June 30, 2020
			Pre-Modification		Post-Modification
			Outstanding		Outstanding
	Number of		Recorded		Recorded		Recorded
	Contracts		Investment		Investment		Investment
Commercial Real Estate	3	$	159	$	159	$	159
Total	3	$	159	$	159	$	159

(Dollars in thousands)	For the Six Months Ended June 30, 2020
			Pre-Modification		Post-Modification
			Outstanding		Outstanding
	Number of		Recorded		Recorded		Recorded
	Contracts		Investment		Investment		Investment
Commercial Real Estate	3	$	159	$	159	$	159
Total	3	$	159	$	159	$	159

Schedule of loan modifications made for loans categorized as TDRs

	For the Three Months Ended June 30, 2020
	Rate	Term	Payment	Number
	Modification	Modification	Modification	Modified
Commercial Real Estate	—	—	3	3
Total	—	—	3	3

	For the Six Months Ended June 30, 2020
	Rate	Term	Payment	Number
	Modification	Modification	Modification	Modified
Commercial Real Estate	—	—	3	3
Total	—	—	3	3

Schedule of information related to loan modifications

(Dollars in thousands)				Percent of
		Recorded		Total Section		Count Returned
		Investment as of		4013 CARES	Percent of	to Normal
	Count	June 30, 2020		Act Modifications	Total Loans	Payment Status
Commercial and Industrial	66	$	11,540	7.04%	1.71%	—
Commercial Real Estate	326		143,986	87.91%	21.27%	—
Residential Real Estate	87		8,143	4.97%	1.20%	5
Consumer	10		126	0.08%	0.02%	2
Total loans	489	$	163,795	100.00%	24.20%	7

Schedule of recorded investment, unpaid principal balance, related allowance, average recorded investment, and interest income recognized with respect to the Corporation's impaired loans

(Dollars in thousands)	June 30, 2020						December 31, 2019
			Unpaid						Unpaid
	Recorded		Principal		Related		Recorded		Principal		Related
	Investment		Balance		Allowance		Investment		Balance		Allowance
With no related allowance recorded:
Commercial and Industrial	$	1,062	$	1,062	$	—	$	1,084	$	1,084	$	—
Commercial Real Estate		11,316		14,224		—		11,130		14,147		—
Residential Real Estate		1,087		1,172		—		712		822		—
With an allowance recorded:
Commercial and Industrial		—		—		—		—		—		—
Commercial Real Estate		215		215		3		28		28		1
Residential Real Estate		20		20		1		—		—		—
Total	$	13,700	$	16,693	$	4	$	12,954	$	16,081	$	1
Total consists of:
Commercial and Industrial	$	1,062	$	1,062	$	—	$	1,084	$	1,084	$	—
Commercial Real Estate	$	11,531	$	14,439	$	3	$	11,158	$	14,175	$	1
Residential Real Estate	$	1,107	$	1,192	$	1	$	712	$	822	$	—

(Dollars in thousands)	For the Three Months Ended				For the Three Months Ended
	June 30, 2020				June 30, 2019
	Average		Interest		Average		Interest
	Recorded		Income		Recorded		Income
	Investment		Recognized		Investment		Recognized
With no related allowance recorded:
Commercial and Industrial	$	1,068	$	2	$	1,111	$	13
Commercial Real Estate		11,300		75		11,856		102
Residential Real Estate		1,088		—		447		4
With an allowance recorded:
Commercial and Industrial		—		—		—		—
Commercial Real Estate		217		3		—		—
Residential Real Estate		20		1		56		—
Total	$	13,693	$	81	$	13,470	$	119
Total consists of:
Commercial and Industrial	$	1,068	$	2	$	1,111	$	13
Commercial Real Estate	$	11,517	$	78	$	11,856	$	102
Residential Real Estate	$	1,108	$	1	$	503	$	4

(Dollars in thousands)	For the Six Months Ended				For the Six Months Ended
	June 30, 2020				June 30, 2019
	Average		Interest		Average		Interest
	Recorded		Income		Recorded		Income
	Investment		Recognized		Investment		Recognized
With no related allowance recorded:
Commercial and Industrial	$	1,074	$	8	$	1,116	$	27
Commercial Real Estate		11,217		151		13,700		252
Residential Real Estate		984		—		444		5
With an allowance recorded:
Commercial and Industrial		—		—		—		—
Commercial Real Estate		166		4		51		1
Residential Real Estate		21		2		28		—
Total	$	13,462	$	165	$	15,339	$	285
Total consists of:
Commercial and Industrial	$	1,074	$	8	$	1,116	$	27
Commercial Real Estate	$	11,383	$	155	$	13,751	$	253
Residential Real Estate	$	1,005	$	2	$	472	$	5

Schedule of total non-performing assets

(Dollars in thousands)	June 30,		December 31,
	2020		2019
Commercial and Industrial	$	752	$	—
Commercial Real Estate		5,045		3,697
Residential Real Estate		1,087		691
Total non-accrual loans		6,884		4,388
Foreclosed assets held for resale		169		119
Loans past-due 90 days or more and still accruing interest		866		100
Total non-performing assets	$	7,919	$	4,607

Schedule of classes of the loan portfolio by past-due status

(Dollars in thousands)													90 Days
													Or Greater
													Past Due
					90 Days					Current-			and Still
	30-59 Days		60-89 Days		or Greater		Total			29 Days	Total		Accruing
	Past Due		Past Due		Past Due		Past Due		Past Due		Loans		Interest
June 30, 2020:
Commercial and Industrial	$	20	$	716	$	417	$	1,153	$	99,140	$	100,293	$	380
Commercial Real Estate		1,760		648		4,914		7,322		409,158		416,480		486
Residential Real Estate		111		349		911		1,371		153,423		154,794		—
Consumer		16		2		—		18		5,329		5,347		—
Total	$	1,907	$	1,715	$	6,242	$	9,864	$	667,050	$	676,914	$	866

(Dollars in thousands)													90 Days
													Or Greater
													Past Due
					90 Days					Current-			and Still
	30-59 Days		60-89 Days		or Greater		Total			29 Days	Total		Accruing
	Past Due		Past Due		Past Due		Past Due		Past Due		Loans		Interest
December 31, 2019:
Commercial and Industrial	$	—	$	26	$	—	$	26	$	86,686	$	86,712	$	—
Commercial Real Estate		880		957		3,502		5,339		390,462		395,801		—
Residential Real Estate		1,118		506		613		2,237		157,113		159,350		100
Consumer		24		5		—		29		5,840		5,869		—
Total	$	2,022	$	1,494	$	4,115	$	7,631	$	640,101	$	647,732	$	100