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LOANS AND ALLOWANCE FOR CREDIT LOSSES (Tables)
 3 Months Ended
Mar. 31, 2026
Credit Loss [Abstract]  
Schedule of Composition of the Loan Portfolio by Type
The composition of the loan portfolio, net of deferred origination fees and costs, is summarized as follows (in thousands):
March 31, 2026December 31, 2025
Commercial and industrial$323,274 $324,185 
Commercial real estate:
Construction123,261 120,418 
Owner occupied commercial real estate177,648 178,620 
Non-owner occupied commercial real estate1,162,358 1,110,689 
Residential mortgages285,990 286,885 
Consumer loans:
Home equity lines and loans111,364 109,723 
Indirect consumer loans121,793 132,699 
Direct consumer loans6,017 6,342 
Total loans, net of deferred loan fees and costs2,311,705 2,269,561 
Allowance for credit losses(24,890)(24,209)
Loans, net$2,286,815 $2,245,352 
Schedules of Allowance for Credit Loss
The following tables present the activity in the allowance for credit losses by portfolio segment for the three month periods ended March 31, 2026 and 2025 (in thousands):
Three Months Ended March 31, 2026
Allowance for credit lossesCommercial and IndustrialCommercial Real EstateResidential MortgagesConsumer LoansTotal
Beginning balance, January 1, 2026$4,524 $14,363 $2,788 $2,534 $24,209 
Charge-offs(1)(310)— (427)(738)
Recoveries677 1 29 125 832 
Net recoveries (charge-offs)676 (309)29 (302)94 
Provision (1)
(861)1,589 (420)279 587 
Ending balance, March 31, 2026
$4,339 $15,643 $2,397 $2,511 $24,890 
(1)Additional provision related to off-balance sheet exposure was $14 thousand for the three months ended March 31, 2026.
Three Months Ended March 31, 2025
Allowance for credit lossesCommercial and IndustrialCommercial Real EstateResidential MortgagesConsumer LoansTotal
Beginning balance, January 1, 2025$4,520 $11,214 $2,259 $3,395 $21,388 
Charge-offs(5)— — (393)(398)
Recoveries4 1 5 126 136 
Net recoveries (charge-offs)(1)1 5 (267)(262)
Provision (1)
634 874 209 (321)1,396 
Ending balance, March 31, 2025
$5,153 $12,089 $2,473 $2,807 $22,522 
(1)Additional provision related to off-balance sheet exposure was a $304 thousand credit for the three months ended March 31, 2025.
The following table presents the activity in the allowance for credit losses on unfunded commitments for the three month periods ended March 31, 2026 and 2025 (in thousands):
For the Three Months Ended
Allowance for credit losses on unfunded commitments March 31, 2026March 31, 2025
Beginning balance $586 $842 
Provision for credit losses on unfunded commitments 14 (304)
Ending balance $600 $538 

The following table presents the provision for credit losses on loans and unfunded commitments for the three month periods ended March 31, 2026 and 2025 (in thousands):
For the Three Months Ended
Provision for credit lossesMarch 31, 2026March 31, 2025
Provision for credit losses on loans $587 $1,396 
Provision for credit losses on unfunded commitments 14 (304)
Total provision for credit losses$601 $1,092 

The following tables present the balance in the allowance for credit losses by portfolio segment, as of March 31, 2026 and December 31, 2025 (in thousands):
 March 31, 2026
Allowance for credit lossesCommercial and IndustrialCommercial Real EstateResidential MortgagesConsumer LoansTotal
Ending allowance balance attributable to loans:
Individually analyzed$750 $1,236 $— $— $1,986 
Collectively analyzed3,589 14,407 2,397 2,511 22,904 
   Total ending allowance balance$4,339 $15,643 $2,397 $2,511 $24,890 
 December 31, 2025
Allowance for credit lossesCommercial and IndustrialCommercial Real EstateResidential MortgagesConsumer LoansTotals
Ending allowance balance attributable to loans:
Individually analyzed$641 $506 $— $— $1,147 
Collectively analyzed3,883 13,857 2,788 2,534 23,062 
Total ending allowance balance$4,524 $14,363 $2,788 $2,534 $24,209 

The following tables present the amortized cost basis of loans by portfolio segment, as of March 31, 2026 and December 31, 2025 (in thousands):
 March 31, 2026
Amortized cost basis of loans:Commercial and IndustrialCommercial Real EstateResidential MortgagesConsumer LoansTotal
Individually analyzed $800 $2,711 $— $317 $3,828 
Collectively analyzed322,474 1,460,556 285,990 238,857 2,307,877 
   Total ending loans balance$323,274 $1,463,267 $285,990 $239,174 $2,311,705 

 December 31, 2025
Amortized cost basis of loans:Commercial and IndustrialCommercial Real EstateResidential MortgagesConsumer LoansTotal
Individually analyzed$693 $3,167 $— $327 $4,187 
Collectively analyzed323,492 1,406,560 286,885 248,437 2,265,374 
Total ending loans balance$324,185 $1,409,727 $286,885 $248,764 $2,269,561 
Schedule of Financing Receivable, Modified
The following table summarizes the amortized cost basis of loans modified during the three month period ended March 31, 2026 (in thousands):
Three Months Ended March 31, 2026
Loans modified under ASU 2022-02:Principal ReductionInterest Rate ReductionTerm ExtensionPayment DelayCombinationTotal
(%) of Loan Class (1)
Commercial and industrial$— $— $119 $— $— $119 0.04 %
Total$— $— $119 $— $— $119 
(1) Represents amortized cost basis of loans modified during the period as a percentage of the period-end loan balances by class.
The following table presents the financial effect of the loan modifications presented above to borrowers experiencing financial difficulty during three month period ended March 31, 2026 (in thousands):

Three Months Ended March 31, 2026
Effect of loan modifications under ASU 2022-02:Principal Reduction
(in thousands)		Weighted-average interest rate reduction (%)Weighted-average term extension
(in months)		Weighted-average payment delay
(in months)
Commercial and industrial$——%36 months0 months
Schedule of Recorded Investment in Past Due and Non-Accrual Status by Class of Loans The following tables present the performance of such loans that were modified in the twelve month periods preceding March 31, 2026 and March 31, 2025 (in thousands):
Twelve Months Ended March 31, 2026
Past Due Status of Modifications under ASU 2022-02:30-59 Days Past Due60-89 Days Past DueGreater Than 89 Days Past DueLoans Not Past Due Total
Commercial and industrial$— $— $— $119 $119 
Commercial real estate:
Non-owner occupied commercial real estate— — — 4,342 4,342 
Residential mortgages— — — 160 160 
Total$— $— $— $4,621 $4,621 

Twelve Months Ended March 31, 2025
Past Due Status of Modifications under ASU 2022-02:30-59 Days Past Due60-89 Days Past DueGreater Than 89 Days Past DueLoans Not Past Due Total
Commercial and industrial$— $— $— $367 $367 
Commercial real estate:
Owner occupied commercial real estate— — — 374 374 
Residential mortgages— — 436 436 
Total$— $— $— $1,177 $1,177 
The following table presents the amortized cost basis of nonaccrual loans without an associated allocation in the allowance for credit losses, total nonaccrual loans, and loans past due greater than 90 days and still accruing, by class of loan as of March 31, 2026 and December 31, 2025 (in thousands):

Nonaccrual with No Allowance for Credit LossesNonaccrualLoans Past Due 90 Days or More and Still Accruing
March 31, 2026December 31, 2025March 31, 2026December 31, 2025March 31, 2026December 31, 2025
Commercial and industrial$128 $136 $879 $779 $4 $17 
Commercial real estate:
Construction— — — — — — 
Owner occupied
commercial real estate		153 625 154 629 — — 
Non-owner occupied commercial real estate22 23 2,559 2,538 — — 
Residential mortgages1,647 1,753 1,647 1,753 — — 
Consumer loans:
Home equity lines and loans966 1,005 966 1,005 — — 
Indirect consumer loans1,339 1,117 1,339 1,117 — — 
Direct consumer loans83 87 83 87 — — 
Total$4,338 $4,746 $7,627 $7,908 $4 $17 
The following tables present the aging of the amortized cost basis of loans as of March 31, 2026 and December 31, 2025 (in thousands):
March 31, 2026
 30 - 59 Days Past Due60 - 89 Days Past Due90 Days or More Past DueTotal Past DueLoans Not Past DueTotal
Commercial and industrial$1,945 $24 $8 $1,977 $321,297 $323,274 
Commercial real estate: 
Construction— — — — 123,261 123,261 
Owner occupied
commercial real estate		103 — 97 200 177,448 177,648 
Non-owner occupied
commercial real estate		378 — 525 903 1,161,455 1,162,358 
Residential mortgages1,923 38 644 2,605 283,385 285,990 
Consumer loans: 
Home equity lines and loans823 30 322 1,175 110,189 111,364 
Indirect consumer loans1,676 339 721 2,736 119,057 121,793 
Direct consumer loans1 3 9 13 6,004 6,017 
Total$6,849 $434 $2,326 $9,609 $2,302,096 $2,311,705 

December 31, 2025
 30 - 59 Days Past Due60 - 89 Days Past Due90 Days or More Past DueTotal Past DueLoans Not Past DueTotal
Commercial and industrial$817 $55 $36 $908 $323,277 $324,185 
Commercial real estate: 
Construction— — — — 120,418 120,418 
Owner occupied
commercial real estate		105 — 96 201 178,419 178,620 
Non-owner occupied
commercial real estate		— — 2,538 2,538 1,108,151 1,110,689 
Residential mortgages1,277 693 901 2,871 284,014 286,885 
Consumer loans: 
Home equity lines and loans747 26 249 1,022 108,701 109,723 
Indirect consumer loans2,312 656 616 3,584 129,115 132,699 
Direct consumer loans23 16 5 44 6,298 6,342 
Total$5,281 $1,446 $4,441 $11,168 $2,258,393 $2,269,561 
Schedule of Analysis of Collateral Dependent Loans
The following table presents the amortized cost basis and related allowance for credit loss of individually analyzed loans considered to be collateral-dependent as of March 31, 2026 and December 31, 2025 (in thousands):
March 31, 2026December 31, 2025
Amortized Cost BasisRelated AllowanceAmortized Cost BasisRelated Allowance
Commercial and industrial (3)
$49 $— $50 $— 
Commercial real estate:
Owner occupied commercial real estate (1)
153 1 629 4 
Non-owner occupied commercial real estate (1) (2)
525 210 1,167 199 
Consumer loans:
Home equity lines and loans (2)
317 — 327 — 
Total$1,044 $211 $2,173 $203 
(1) Secured by commercial real estate.
(2) Secured by residential real estate.
(3) Secured by business assets.
Schedule of Risk Category of the Recorded Investment of Loans by Class of Loans
Based on the analyses performed as of March 31, 2026, the amortized cost basis of loans by class, risk category, and vintage, as well as gross charge-offs by class and vintage for the three month period ended March 31, 2026, were as follows (in thousands):
Term Loans Amortized Cost by Origination YearRevolving Loans Amortized CostRevolving Loans Converted to TermTotal
20262025202420232022Prior
Commercial & industrial
Pass$8,829 $49,999 $20,079 $21,651 $24,551 $27,146 $135,058 $2,404 $289,717 
Special mention— 1,348 27 496 2,140 7,927 14,166 3,626 29,730 
Substandard — — 299 8 — 44 2,634 64 3,049 
Doubtful— — — — — 558 145 75 778 
Total8,829 51,347 20,405 22,155 26,691 35,675 152,003 6,169 323,274 
Gross charge-offs — — — — — 1 — — 1 
Construction
Pass13,764 48,967 25,866 29,422 273 2,469 1,703 — 122,464 
Special mention— — 797 — — — — — 797 
Substandard— — — — — — — — — 
Doubtful— — — — — — — — — 
Total13,764 48,967 26,663 29,422 273 2,469 1,703 — 123,261 
Gross charge-offs— — — — — — — — — 
Owner occupied commercial real estate
Pass 1,583 48,918 22,793 19,510 22,705 42,672 747 35 158,963 
Special mention— — — 2,116 1,632 10,177 2,996 — 16,921 
Substandard— 1,201 — 97 1 464 — — 1,763 
Doubtful— — — — — 1 — — 1 
Total1,583 50,119 22,793 21,723 24,338 53,314 3,743 35 177,648 
Gross charge-offs— — — — — — — — — 
Non-owner occupied commercial real estate
Pass50,071 161,184 102,731 101,040 254,611 399,355 8,784 716 1,078,492 
Special mention— 1,053 132 15,252 19,532 45,157 — — 81,126 
Substandard— 2,034 — — — 203 — — 2,237 
Doubtful— — — 503 — — — — 503 
Total50,071 164,271 102,863 116,795 274,143 444,715 8,784 716 1,162,358 
Gross charge-offs— — — 310 — — — — 310 
Residential mortgages
Not rated6,016 40,607 22,396 16,994 49,819 147,897 — — 283,729 
Special mention— — — — — 427 — — 427 
Substandard — — — 69 226 1,539 — — 1,834 
Total 6,016 40,607 22,396 17,063 50,045 149,863 — — 285,990 
Gross charge-offs— — — — — — — — — 
Home equity lines and loans
Not rated1,564 7,633 10,755 8,332 10,649 13,468 56,396 1,551 110,348 
Special mention— — — — 113 — — — 113 
Substandard — — 65 20 153 168 110 387 903 
Total1,564 7,633 10,820 8,352 10,915 13,636 56,506 1,938 111,364 
Gross charge-offs— — — — — — — — — 
Indirect consumer
Not rated5,526 22,038 23,258 29,420 33,657 6,493 — — 120,392 
Substandard — 178 481 354 309 79 — — 1,401 
Total5,526 22,216 23,739 29,774 33,966 6,572 — — 121,793 
Gross charge-offs— 14 179 112 73 24 — — 402 
Direct consumer
Not rated483 1,390 1,150 586 347 179 1,859 4 5,998 
Substandard— 9 — — — — 10 — 19 
Total 483 1,399 1,150 586 347 179 1,869 4 6,017 
Gross charge-offs— 2 15 4 3 1 — — 25 
Total loans $87,836 $386,559 $230,829 $245,870 $420,718 $706,423 $224,608 $8,862 $2,311,705 
Total gross charge-offs$— $16 $194 $426 $76 $26 $— $— $738 
Based on the analyses performed as of December 31, 2025, the amortized cost basis of loans by class, risk category, and vintage, as well as gross charge-offs by class and vintage for the year ended December 31, 2025, were as follows (in thousands):
Term Loans Amortized Cost by Origination YearRevolving Loans Amortized CostRevolving Loans Converted to TermTotal
20252024202320222021Prior
Commercial & industrial
Pass$52,419 $25,663 $22,131 $25,382 $11,367 $15,765 $135,641 $2,726 $291,094 
Special mention1,616 31 496 2,163 1,412 6,852 13,139 3,631 29,340 
Substandard — 317 13 — 42 — 2,645 75 3,092 
Doubtful— — — — — 584 — 75 659 
Total54,035 26,011 22,640 27,545 12,821 23,201 151,425 6,507 324,185 
Gross charge-offs — 19 — — 772 — 6 — 797 
Construction
Pass38,266 29,670 33,259 14,754 1,213 1,323 1,933 — 120,418 
Special mention— — — — — — — — — 
Substandard— — — — — — — — — 
Doubtful— — — — — — — — — 
Total38,266 29,670 33,259 14,754 1,213 1,323 1,933 — 120,418 
Gross charge-offs— — — — — — — — — 
Owner occupied commercial real estate
Pass 48,350 23,186 17,531 23,050 12,966 31,441 590 39 157,153 
Special mention— — 4,681 1,646 6,912 3,567 2,000 — 18,806 
Substandard1,207 — 96 468 — 886 — — 2,657 
Doubtful— — — — — 4 — — 4 
Total49,557 23,186 22,308 25,164 19,878 35,898 2,590 39 178,620 
Gross charge-offs— — — — — — — — — 
Non-owner occupied commercial real estate
Pass162,357 102,759 99,585 242,886 133,385 279,901 9,102 726 1,030,701 
Special mention— — 15,301 18,852 13,006 27,806 — — 74,965 
Substandard2,039 — 2,515 — — 469 — — 5,023 
Doubtful— — — — — — — — — 
Total164,396 102,759 117,401 261,738 146,391 308,176 9,102 726 1,110,689 
Gross charge-offs— — — — — 6 — — 6 
Residential mortgages
Not rated38,892 24,307 17,590 50,866 50,380 102,421 — — 284,456 
Special mention— — — — 426 — — — 426 
Substandard — — 69 295 309 1,330 — — 2,003 
Total 38,892 24,307 17,659 51,161 51,115 103,751 — — 286,885 
Gross charge-offs— — — — — — — — — 
Home equity lines and loans
Not rated7,882 12,004 8,849 11,138 4,113 10,124 53,219 1,275 108,604 
Special mention— — — 114 — — — — 114 
Substandard — — 22 207 — 192 112 472 1,005 
Total7,882 12,004 8,871 11,459 4,113 10,316 53,331 1,747 109,723 
Gross charge-offs— — — — — — — — — 
Indirect consumer
Not rated23,872 26,326 33,271 39,644 6,197 2,207 — — 131,517 
Substandard 82 395 386 249 26 44 — — 1,182 
Total23,954 26,721 33,657 39,893 6,223 2,251 — — 132,699 
Gross charge-offs12 345 641 358 121 78 — — 1,555 
Direct consumer
Not rated1,591 1,339 750 460 60 154 1,969 4 6,327 
Substandard2 — — 3 — — 10 — 15 
Total 1,593 1,339 750 463 60 154 1,979 4 6,342 
Gross charge-offs12 27 23 12 3 — 21 — 98 
Total loans $378,575 $245,997 $256,545 $432,177 $241,814 $485,070 $220,360 $9,023 $2,269,561 
Total gross charge-offs$24 $391 $664 $370 $896 $84 $27 $— $2,456