Other Real Estate Owned ("OREO")

12 Months Ended

Dec. 31, 2022

OTHER REAL ESTATE OWNED (“OREO”)

OREO assets are presented net of the valuation allowance. The Company considers OREO as classified assets for regulatory and financial reporting. OREO carrying amounts reflect management’s estimate of the realizable value of these properties. An analysis of the activity follows.


(dollars in thousands)	Years Ended December 31,
	2022		2021
Balance at beginning of year	$	—	$	3,109
Additions of underlying property	—		—
Disposals of underlying property	—		(1,722)

Valuation allowance	—		(1,387)
Balance at end of period	$	—	$	—

Expenses applicable to OREO assets included the following.


(dollars in thousands)	Years Ended December 31,
	2022		2021
Valuation allowance	$	—	$	1,387
Losses (gains) on dispositions	—		(17)
Operating expenses	6		86
	$	6	$	1,456

The Company had no impaired loans secured by residential real estate for which formal foreclosure proceedings were in process at December 31, 2022. There were $0.4 million of loans secured by residential real estate for which formal foreclosure proceedings were in process as of December 31, 2021.