SEGMENT INFORMATION

We operate three business segments: community banking, insurance services and trust and wealth management services. These segments are primarily identified by the products or services offered. The community banking segment consists of our full service banks which offer customers traditional banking products and services through various delivery channels. The insurance services segment includes two insurance agency offices that sell insurance products. The trust and wealth management segment includes Summit Community Bank's trust division and other non-bank investment products. The accounting policies discussed throughout the notes to the consolidated financial statements apply to each of our business segments.

Inter-segment revenue and expense consists of management fees allocated to the community banking, insurance services and trust and wealth management segments for all centralized functions that are performed by the parent, including overall direction in the areas of strategic planning, investment portfolio management, asset/liability management, financial reporting and other financial and administrative services. Information for each of our segments is included below:



	Three Months Ended September 30, 2018
Dollars in thousands	Community Banking			Trust and Wealth Management		Insurance Services			Parent			Eliminations			Total
Net interest income	$	17,441		$	—	$	—		$	(228	)	$	—		$	17,213
Provision for loan losses	500			—		—			—			—			500
Net interest income after provision for loan losses	16,941			—		—			(228		)	—			16,713
Other income	2,490			687		1,034			389			(389		)	4,211
Other expenses	10,696			551		879			621			(389		)	12,358
Income (loss) before income taxes	8,735			136		155			(460		)	—			8,566
Income tax expense (benefit)	1,677			33		43			(86		)	—			1,667
Net income (loss)	$	7,058		$	103	$	112		$	(374	)	$	—		$	6,899
Inter-segment revenue (expense)	$	(359	)	$	—	$	(30	)	$	389		$	—		$	—
Average assets	$	2,130,483		$	—	$	6,121		$	234,693		$	(257,897	)	$	2,113,400
Capital expenditures	$	1,411		$	—	$	11		$	—		$	—		$	1,422



	Three Months Ended September 30, 2017
Dollars in thousands	Community Banking			Trust and Wealth Management		Insurance Services			Parent			Eliminations			Total
Net interest income	$	17,408		$	—	$	—		$	(176	)	$	—		$	17,232
Provision for loan losses	375			—		—			—			—			375
Net interest income after provision for loan losses	17,033			—		—			(176		)	—			16,857
Other income	2,408			589		1,003			491			(491		)	4,000
Other expenses	10,844			546		814			734			(491		)	12,447
Income (loss) before income taxes	8,597			43		189			(419		)	—			8,410
Income tax expense (benefit)	2,482			16		92			(110		)	—			2,480
Net income (loss)	$	6,115		$	27	$	97		$	(309	)	$	—		$	5,930
Inter-segment revenue (expense)	$	(451	)	$	—	$	(40	)	$	491		$	—		$	—
Average assets	$	2,110,832		$	—	$	6,288		$	217,928		$	(246,788	)	$	2,088,260
Capital expenditures	$	1,497		$	—	$	—		$	—		$	—		$	1,497



	Nine Months Ended September 30, 2018
Dollars in thousands	Community Banking			Trust and Wealth Management		Insurance Services			Parent			Eliminations			Total
Net interest income	$	52,385		$	—	$	—		$	(640	)	$	—		$	51,745
Provision for loan losses	1,750			—		—			—			—			1,750
Net interest income after provision for loan losses	50,635			—		—			(640		)	—			49,995
Other income	8,052			2,026		3,157			1,166			(1,166		)	13,235
Other expenses	32,270			1,561		2,728			2,014			(1,166		)	37,407
Income (loss) before income taxes	26,417			465		429			(1,488		)	—			25,823
Income tax expense (benefit)	5,251			112		111			(273		)	—			5,201
Net income (loss)	$	21,166		$	353	$	318		$	(1,215	)	$	—		$	20,622
Inter-segment revenue (expense)	$	(1,077	)	$	—	$	(89	)	$	1,166		$	—		$	—
Average assets	$	2,135,416		$	—	$	6,059		$	229,597		$	(252,772	)	$	2,118,300
Capital expenditures	$	4,178		$	—	$	24		$	86		$	—		$	4,288



	Nine Months Ended September 30, 2017
Dollars in thousands	Community Banking			Trust and Wealth Management		Insurance Services			Parent			Eliminations			Total
Net interest income	$	49,220		$	—	$	—		$	(511	)	$	—		$	48,709
Provision for loan losses	875			—		—			—			—			875
Net interest income after provision for loan losses	48,345			—		—			(511		)	—			47,834
Other income	6,280			1,284		2,932			1,473			(1,473		)	10,496
Other expenses	41,351			1,219		2,495			1,807			(1,473		)	45,399
Income (loss) before income taxes	13,274			65		437			(845		)	—			12,931
Income tax expense (benefit)	3,386			24		190			(261		)	—			3,339
Net income (loss)	$	9,888		$	41	$	247		$	(584	)	$	—		$	9,592
Inter-segment revenue (expense)	$	(1,353	)	$	—	$	(120	)	$	1,473		$	—		$	—
Average assets	$	1,994,042		$	—	$	6,197		$	203,459		$	(232,211	)	$	1,971,487
Capital expenditures	$	5,544		$	—	$	36		$	92		$	—		$	5,672