LOANS AND ALLOWANCE FOR CREDIT LOSSES (Tables)

12 Months Ended

Dec. 31, 2024

LOANS AND ALLOWANCE FOR CREDIT LOSSES

Schedule of loans outstanding

Summary of Loans by Type

(In Thousands)

	December 31,		December 31,
	2024		2023
Commercial real estate - non-owner occupied	$	739,565	$	737,342
Commercial real estate - owner occupied		261,071		237,246
All other commercial loans		423,277		399,693
Residential mortgage loans		408,009		413,714
Consumer loans		63,926		60,144
Total		1,895,848		1,848,139
Less: allowance for credit losses on loans		(20,035)		(19,208)
Loans, net	$	1,875,813	$	1,828,931

Schedule of the past due loans

(In Thousands)	As of December 31, 2024
	Past Due		Past Due
	30-89		90+ Days		Nonaccrual		Current		Total
	Days		Still Accruing		Loans		Loans		Loans
Commercial real estate - non-owner occupied	$	266	$	0	$	7,370	$	731,929	$	739,565
Commercial real estate - owner occupied		0		62		1,725		259,284		261,071
All other commercial loans		296		0		10,006		412,975		423,277
Residential mortgage loans		4,934		0		4,310		398,765		408,009
Consumer loans		162		57		431		63,276		63,926
Total	$	5,658	$	119	$	23,842	$	1,866,229	$	1,895,848

(In Thousands)	As of December 31, 2023
	Past Due		Past Due
	30-89		90+ Days		Nonaccrual		Current		Total
	Days		Still Accruing		Loans		Loans		Loans
Commercial real estate - non-owner occupied	$	2,215	$	126	$	8,412	$	726,589	$	737,342
Commercial real estate - owner occupied		849		0		1,575		234,822		237,246
All other commercial loans		229		2,593		1,323		395,548		399,693
Residential mortgage loans		5,365		326		3,627		404,396		413,714
Consumer loans		617		145		240		59,142		60,144
Total	$	9,275	$	3,190	$	15,177	$	1,820,497	$	1,848,139

Schedule of amortized cost in loans by credit quality indicators by year of origination

The following table presents the amortized cost in loans by credit quality indicators by year of origination as of December 31, 2024:

(In Thousands)	Term Loans by Year of Origination
	2024		2023		2022		2021		2020		Prior		Revolving		Total
Commercial real estate - non-owner occupied
Pass	$	59,708	$	99,900	$	161,497	$	78,884	$	51,851	$	243,578	$	0	$	695,418
Special Mention		0		0		16,233		1,371		0		8,188		0		25,792
Substandard		116		0		9,928		0		0		8,311		0		18,355
Doubtful		0		0		0		0		0		0		0		0
Total commercial real estate - non-owner occupied	$	59,824	$	99,900	$	187,658	$	80,255	$	51,851	$	260,077	$	0	$	739,565
Year-to-date gross charge-offs	$	0	$	0	$	0	$	0	$	0	$	757	$	0	$	757
Commercial real estate - owner occupied
Pass	$	25,552	$	33,533	$	52,207	$	49,410	$	11,444	$	76,558	$	0	$	248,704
Special Mention		0		0		0		0		0		961		0		961
Substandard		0		5,125		729		2,367		0		3,185		0		11,406
Doubtful		0		0		0		0		0		0		0		0
Total commercial real estate - owner occupied	$	25,552	$	38,658	$	52,936	$	51,777	$	11,444	$	80,704	$	0	$	261,071
Year-to-date gross charge-offs	$	0	$	0	$	0	$	0	$	0	$	0	$	0	$	0
All other commercial loans
Pass	$	73,812	$	74,301	$	44,245	$	44,367	$	23,084	$	30,656	$	109,121	$	399,586
Special Mention		533		0		2,306		2		0		0		2,147		4,988
Substandard		44		0		3,478		5,229		109		1,078		8,765		18,703
Doubtful		0		0		0		0		0		0		0		0
Total all other commercial loans	$	74,389	$	74,301	$	50,029	$	49,598	$	23,193	$	31,734	$	120,033	$	423,277
Year-to-date gross charge-offs	$	0	$	0	$	427	$	60	$	21	$	122	$	0	$	630
Residential mortgage loans
Pass	$	41,450	$	48,937	$	80,789	$	50,108	$	35,601	$	146,231	$	0	$	403,116
Special Mention		0		0		0		0		0		0		0		0
Substandard		0		380		0		85		82		4,346		0		4,893
Doubtful		0		0		0		0		0		0		0		0
Total residential mortgage loans	$	41,450	$	49,317	$	80,789	$	50,193	$	35,683	$	150,577	$	0	$	408,009
Year-to-date gross charge-offs	$	0	$	0	$	0	$	0	$	0	$	0	$	0	$	0
Consumer loans
Pass	$	3,859	$	3,441	$	2,848	$	1,013	$	599	$	679	$	50,860	$	63,299
Special Mention		0		0		0		0		0		0		0		0
Substandard		0		8		4		0		0		71		544		627
Doubtful		0		0		0		0		0		0		0		0
Total consumer loans	$	3,859	$	3,449	$	2,852	$	1,013	$	599	$	750	$	51,404	$	63,926
Year-to-date gross charge-offs	$	0	$	69	$	130	$	7	$	8	$	1	$	114	$	329
Total Loans
Pass	$	204,381	$	260,112	$	341,586	$	223,782	$	122,579	$	497,702	$	159,981	$	1,810,123
Special Mention		533		0		18,539		1,373		0		9,149		2,147		31,741
Substandard		160		5,513		14,139		7,681		191		16,991		9,309		53,984
Doubtful		0		0		0		0		0		0		0		0
Total	$	205,074	$	265,625	$	374,264	$	232,836	$	122,770	$	523,842	$	171,437	$	1,895,848
Year-to-date gross charge-offs	$	0	$	69	$	557	$	67	$	29	$	880		114	$	1,716

The following table presents the amortized cost in loans by credit quality indicators by year of origination as of December 31, 2023:

	Term Loans by Year of Origination
(In Thousands)	2023		2022		2021		2020		2019		Prior		Revolving		Total
Commercial real estate - non-owner occupied
Pass	$	96,615	$	167,484	$	89,582	$	55,390	$	80,020	$	207,017		0		696,108
Special Mention		0		20,072		2,446		0		116		6,188		0		28,822
Substandard		0		0		0		18		566		11,828		0		12,412
Doubtful		0		0		0		0		0		0		0		0
Total commercial real estate - non-owner occupied	$	96,615	$	187,556	$	92,028	$	55,408	$	80,702	$	225,033	$	0	$	737,342
Year-to-date gross charge-offs	$	0	$	0	$	0	$	0	$	0	$	0	$	0	$	0
Commercial real estate - owner occupied
Pass	$	33,761	$	37,429	$	52,090	$	12,858	$	17,505	$	71,775	$	0	$	225,418
Special Mention		104		746		0		0		0		166		0		1,016
Substandard		5,200		0		2,567		0		0		3,045		0		10,812
Doubtful		0		0		0		0		0		0		0		0
Total commercial real estate - owner occupied	$	39,065	$	38,175	$	54,657	$	12,858	$	17,505	$	74,986	$	0	$	237,246
Year-to-date gross charge-offs	$	0	$	0	$	0	$	0	$	0	$	0	$	0	$	0
All other commercial loans
Pass	$	58,393	$	90,560	$	51,813	$	27,718	$	16,421	$	24,326	$	107,234	$	376,465
Special Mention		0		2,690		5,043		8		0		794		301		8,836
Substandard		0		1,267		1,250		453		679		1,085		9,658		14,392
Doubtful		0		0		0		0		0		0		0		0
Total all other commercial loans	$	58,393	$	94,517	$	58,106	$	28,179	$	17,100	$	26,205	$	117,193	$	399,693
Year-to-date gross charge-offs	$	0	$	0	$	0	$	0	$	0	$	0	$	12	$	12
Residential mortgage loans
Pass	$	57,300	$	87,519	$	56,183	$	39,411	$	32,401	$	135,546	$	0	$	408,360
Special Mention		0		0		0		0		0		0		0		0
Substandard		0		0		0		285		369		4,700		0		5,354
Doubtful		0		0		0		0		0		0		0		0
Total residential mortgage loans	$	57,300	$	87,519	$	56,183	$	39,696	$	32,770	$	140,246	$	0	$	413,714
Year-to-date gross charge-offs	$	0	$	0	$	0	$	0	$	0	$	33	$	0	$	33
Consumer loans
Pass	$	6,020	$	4,664	$	1,944	$	1,205	$	175	$	913	$	44,312	$	59,233
Special Mention		0		0		0		0		0		0		0		0
Substandard		0		0		5		11		1		58		836		911
Doubtful		0		0		0		0		0		0		0		0
Total consumer loans	$	6,020	$	4,664	$	1,949	$	1,216	$	176	$	971	$	45,148	$	60,144
Year-to-date gross charge-offs	$	0	$	149	$	0	$	18	$	3	$	3	$	138	$	311
Total Loans
Pass	$	252,089	$	387,656	$	251,612	$	136,582	$	146,522	$	439,577	$	151,546	$	1,765,584
Special Mention		104		23,508		7,489		8		116		7,148		301		38,674
Substandard		5,200		1,267		3,822		767		1,615		20,716		10,494		43,881
Doubtful		0		0		0		0		0		0		0		0
Total	$	257,393	$	412,431	$	262,923	$	137,357	$	148,253	$	467,441	$	162,341	$	1,848,139
Year-to-date gross charge-offs	$	0	$	149	$	0	$	18	$	3	$	36		150	$	356

Schedule of nonaccrual loans by major categories for the periods

	December 31, 2024
	Nonaccrual Loans with		Nonaccrual Loans		Total Nonaccrual
(In Thousands)	No Allowance		with an Allowance		Loans
Commercial real estate - non-owner occupied	$	7,370	$	0	$	7,370
Commercial real estate - owner occupied		1,467		258		1,725
All other commercial loans		10,006		0		10,006
Residential mortgage loans		4,310		0		4,310
Consumer loans		431		0		431
Total	$	23,584	$	258	$	23,842

	December 31, 2023
	Nonaccrual Loans with		Nonaccrual Loans		Total Nonaccrual
(In Thousands)	No Allowance		with an Allowance		Loans
Commercial real estate - non-owner occupied	$	1,111	$	7,301	$	8,412
Commercial real estate - owner occupied		1,281		294		1,575
All other commercial loans		1,132		191		1,323
Residential mortgage loans		3,627		0		3,627
Consumer loans		240		0		240
Total	$	7,391	$	7,786	$	15,177

Schedule of accrued Interest receivables written off

	Year Ended		Year Ended
(In Thousands)	December 31, 2024		December 31, 2023
Commercial real estate - non-owner occupied	$	22	$	48
Commercial real estate - owner occupied		10		0
All other commercial loans		198		0
Residential mortgage loans		29		28
Consumer loans		10		3
Total	$	269	$	79

Schedule of amortized cost of collateral dependent loans

	December 31, 2024				December 31, 2023
	Amortized				Amortized
(In Thousands)	Cost		Allowance		Cost		Allowance
Commercial real estate - non-owner occupied	$	7,370	$	0	$	8,412	$	648
Commercial real estate - owner occupied		6,749		122		1,575		5
All other commercial loans		16,006		0		1,277		90
Total	$	30,125	$	122	$	11,264	$	743

Schedule of activity related to the ACL on loans

	Commercial		Commercial		All
	real estate -		real estate -		other		Residential
	nonowner		owner		commercial		mortgage		Consumer
(In Thousands)	occupied		occupied		loans		loans		loans		Total
Balance, December 31, 2023	$	12,010	$	2,116	$	2,918	$	1,764	$	400	$	19,208
Charge-offs		(757)		0		(630)		0		(329)		(1,716)
Recoveries		0		0		40		6		67		113
Provision (credit) for credit losses on loans		711		728		1,033		(414)		372		2,430
Balance, December 31, 2024	$	11,964	$	2,844	$	3,361	$	1,356	$	510	$	20,035

	Commercial		Commercial		All
	real estate -		real estate -		other		Residential
	nonowner		owner		commercial		mortgage		Consumer
(In Thousands)	occupied		occupied		loans		loans		loans		Unallocated		Total
Balance, December 31, 2022	$	6,305	$	1,942	$	4,142	$	2,751	$	475	$	1,000	$	16,615
Adoption of ASU 2016-13 (CECL)		3,763		7		(88)		(344)		(234)		(1,000)		2,104
Charge-offs		0		0		(12)		(33)		(311)		0		(356)
Recoveries		0		0		44		11		37		0		92
Provision (credit) for credit losses on loans		1,942		167		(1,168)		(621)		433		0		753
Balance, December 31, 2023	$	12,010	$	2,116	$	2,918	$	1,764	$	400	$	0	$	19,208

Schedule of allowance for loan losses, summarized by segment and class

	December 31,								December 31,
Year Ended December 31, 2022	2021						Provision		2022
(In Thousands)	Balance		Charge-offs		Recoveries		(Credit)		Balance
Allowance for Loan Losses:
Commercial:
Commercial loans secured by real estate	$	4,405	$	(3,942)	$	0	$	6,611	$	7,074
Commercial and industrial		2,723		(150)		0		336		2,909
Commercial construction and land		637		0		0		10		647
Loans secured by farmland		115		0		0		(3)		112
Multi-family (5 or more) residential		215		0		0		196		411
Agricultural loans		25		0		0		(4)		21
Other commercial loans		173		0		0		(49)		124
Total commercial		8,293		(4,092)		0		7,097		11,298
Residential mortgage:
Residential mortgage loans - first liens		3,650		0		4		(241)		3,413
Residential mortgage loans - junior liens		184		0		0		(17)		167
Home equity lines of credit		302		0		15		(35)		282
1-4 Family residential construction		202		0		0		9		211
Total residential mortgage		4,338		0		19		(284)		4,073
Consumer		235		(153)		49		113		244
Unallocated		671		0		0		329		1,000
Total Allowance for Loan Losses	$	13,537	$	(4,245)	$	68	$	7,255	$	16,615

Schedule of average balance of impaired loans and interest income recognized on impaired loans

(In Thousands)
	Average Investment in			Interest Income Recognized on
	Impaired Loans			Impaired Loans on a Cash Basis
	Year Ended December 31,			Year Ended December 31,
	2022		2022
Commercial:
Commercial loans secured by real estate	$	9,757	$	657
Commercial and industrial		2,078		210
Commercial construction and land		72		3
Loans secured by farmland		80		0
Multi-family (5 or more) residential		197		1,156
Agricultural loans		60		4
Total commercial		12,244		2,030
Residential mortgage:
Residential mortgage loans - first lien		575		24
Residential mortgage loans - junior lien		33		7
Home equity lines of credit		43		4
Total residential mortgage		651		35
Total	$	12,895	$	2,065

Schedule of summary of the amortized cost basis of loans modified

		Year Ended December 31, 2024
(Dollars in Thousands)		Term Extension
		Amortized Cost	% of Total
		Basis	Loan Type			Financial Effect
Commercial Real Estate - Non-owner Occupied	$	2,625		0.35	%	Extended the maturity of one loan for 6 months and one loan for 5 years
Commercial Real Estate - Owner Occupied		218		0.08	%	Extended the maturity of one loan for 12 months
Total	$	2,843

		Year Ended December 31, 2023
(Dollars in Thousands)		Term Extension
		Amortized Cost	% of Total
		Basis	Loan Type			Financial Effect
Commercial Real Estate - Non-owner Occupied	$	3,907		0.53	%	Extended the maturity of one loan for 6 months and another loan for 12 months

Schedule of performance of such loans that have been modified in the twelve-month period preceding the period end presented

(In Thousands)	Payment Status (Amortized Cost Basis)
December 31, 2024	Current or Past Due Less than 30 Days		90+ Days Past Due		Total
Commercial real estate - non-owner occupied	$	2,625	$	0	$	2,625
Commercial real estate - owner occupied		218		0		218
Total	$	2,843	$	0	$	2,843

(In Thousands)	Payment Status (Amortized Cost Basis)
December 31, 2023	Current or Past Due Less than 30 Days		90+ Days Past Due		Total
Commercial real estate - non-owner occupied	$	2,526	$	1,381	$	3,907

Schedule of carrying amount of foreclosed residential real estate properties

(In Thousands)	December 31,		December 31,
	2024		2023
Foreclosed residential real estate	$	25	$	47

Schedule of mortgage loans secured by residential real properties

(In Thousands)	December 31,		December 31,
	2024		2023
Residential real estate in process of foreclosure	$	717	$	1,227

Schedule of balance and activity in the allowance for credit losses for off-balance sheet exposures

	Year Ended		Year Ended
(In Thousands)	December 31, 2024		December 31, 2023
Balance, Beginning of Period	$	690	$	425
Adjustment to allowance for off-balance sheet exposures for adoption of ASU 2016-13		0		793
Recoveries		0		39
Credit for unfunded commitments		(235)		(567)
Balance, End of Period	$	455	$	690