Loans and Allowance for Loan Losses (Tables)

12 Months Ended

Dec. 31, 2019

Loans and Allowance for Loan Losses

Schedule of total loans outstanding by portfolio segment

	December 31,		December 31,
(dollars in thousands)	2019		2018
Commercial
Commercial and industrial	$	479,144	$	510,706
Real estate construction		26,378		18,965
Commercial real estate		494,703		439,963
Total commercial		1,000,225		969,634
Consumer
Residential real estate first mortgage		457,155		448,143
Residential real estate junior lien		177,373		188,855
Other revolving and installment		86,526		95,218
Total consumer		721,054		732,216
Total loans	$	1,721,279	$	1,701,850

Schedule of past due aging analysis of the loan portfolio

	December 31, 2019
					90 Days
	Accruing		30 - 89 Days		or More				Total
(dollars in thousands)	Current		Past Due		Past Due		Nonaccrual		Loans
Commercial
Commercial and industrial	$	473,900	$	382	$	—	$	4,862	$	479,144
Real estate construction		26,251		127		—		—		26,378
Commercial real estate		492,707		556		—		1,440		494,703
Total commercial		992,858		1,065		—		6,302		1,000,225
Consumer
Residential real estate first mortgage		455,244		666		448		797		457,155
Residential real estate junior lien		176,915		184		—		274		177,373
Other revolving and installment		86,172		348		—		6		86,526
Total consumer		718,331		1,198		448		1,077		721,054
Total loans	$	1,711,189	$	2,263	$	448	$	7,379	$	1,721,279

	December 31, 2018
					90 Days
	Accruing		30 - 89 Days		or More				Total
(dollars in thousands)	Current		Past Due		Past Due		Nonaccrual		Loans
Commercial
Commercial and industrial	$	504,313	$	2,815	$	—	$	3,578	$	510,706
Real estate construction		18,965		—		—		—		18,965
Commercial real estate		438,446		—		—		1,517		439,963
Total commercial		961,724		2,815		—		5,095		969,634
Consumer
Residential real estate first mortgage		444,470		2,411		—		1,262		448,143
Residential real estate junior lien		187,502		769		—		584		188,855
Other revolving and installment		94,615		581		—		22		95,218
Total consumer		726,587		3,761		—		1,868		732,216
Total loans	$	1,688,311	$	6,576	$	—	$	6,963	$	1,701,850

Schedule of loans outstanding, by portfolio segment and risk category

	December 31, 2019
			Criticized
			Special
(dollars in thousands)	Pass		Mention		Substandard		Doubtful		Total
Commercial
Commercial and industrial	$	448,306	$	9,585	$	21,253	$	—	$	479,144
Real estate construction		25,119		282		977		—		26,378
Commercial real estate		462,294		2,359		30,050		—		494,703
Total commercial	$	935,719	$	12,226	$	52,280	$	—	$	1,000,225
Consumer
Residential real estate first mortgage		456,358		—		797		—		457,155
Residential real estate junior lien		176,122		—		1,251		—		177,373
Other revolving and installment		86,520		—		6		—		86,526
Total consumer		719,000		—		2,054		—		721,054
Total loans	$	1,654,719	$	12,226	$	54,334	$	—	$	1,721,279

	December 31, 2018
			Criticized
			Special
(dollars in thousands)	Pass		Mention		Substandard		Doubtful		Total
Commercial
Commercial and industrial	$	459,565	$	12,055	$	37,523	$	1,563	$	510,706
Real estate construction		17,910		—		1,055		—		18,965
Commercial real estate		407,178		6,304		26,481		—		439,963
Total commercial	$	884,653	$	18,359	$	65,059	$	1,563	$	969,634
Consumer
Residential real estate first mortgage		448,124		—		19		—		448,143
Residential real estate junior lien		186,370		—		2,485		—		188,855
Other revolving and installment		95,218		—		—		—		95,218
Total consumer		729,712		—		2,504		—		732,216
Total loans	$	1,614,365	$	18,359	$	67,563	$	1,563	$	1,701,850

Summary of changes in allowances

	Year ended December 31, 2019
	Beginning		Provision for		Loan		Loan		Ending
(dollars in thousands)	Balance		Loan Losses		Charge-offs		Recoveries		Balance
Commercial
Commercial and industrial	$	12,127	$	5,213	$	(6,540)	$	1,470	$	12,270
Real estate construction		250		51		(1)		3		303
Commercial real estate		6,279		(1,467)		—		150		4,962
Total commercial		18,656		3,797		(6,541)		1,623		17,535
Consumer
Residential real estate first mortgage		1,156		292		—		—		1,448
Residential real estate junior lien		805		1,825		(465)		232		2,397
Other revolving and installment		380		383		(572)		161		352
Total consumer		2,341		2,500		(1,037)		393		4,197
Unallocated		1,177		1,015		—		—		2,192
Total	$	22,174	$	7,312	$	(7,578)	$	2,016	$	23,924

	Year ended December 31, 2018
	Beginning		Provision for		Loan		Loan		Ending
(dollars in thousands)	Balance		Loan Losses		Charge-offs		Recoveries		Balance
Commercial
Commercial and industrial	$	7,589	$	6,911	$	(3,123)	$	750	$	12,127
Real estate construction		343		(35)		(60)		2		250
Commercial real estate		4,909		1,889		(600)		81		6,279
Total commercial		12,841		8,765		(3,783)		833		18,656
Consumer
Residential real estate first mortgage		1,411		(226)		(29)		—		1,156
Residential real estate junior lien		902		(171)		(133)		207		805
Other revolving and installment		499		(24)		(308)		213		380
Total consumer		2,812		(421)		(470)		420		2,341
Unallocated		911		266		—		—		1,177
Total	$	16,564	$	8,610	$	(4,253)	$	1,253	$	22,174

	Year ended December 31, 2017
	Beginning		Provision for		Loan		Loan		Ending
(dollars in thousands)	Balance		Loan Losses		Charge-offs		Recoveries		Balance
Commercial
Commercial and industrial	$	6,702	$	3,244	$	(3,287)	$	930	$	7,589
Real estate construction		480		(416)		—		279		343
Commercial real estate		4,484		352		—		73		4,909
Total commercial		11,666		3,180		(3,287)		1,282		12,841
Consumer
Residential real estate first mortgage		1,126		182		—		103		1,411
Residential real estate junior lien		907		247		(1,124)		872		902
Other revolving and installment		400		276		(429)		252		499
Total consumer		2,433		705		(1,553)		1,227		2,812
Unallocated		1,516		(605)		—		—		911
Total	$	15,615	$	3,280	$	(4,840)	$	2,509	$	16,564

Schedule of loans distributed by portfolio segment and impairment methodology

	December 31, 2019
	Recorded Investment						Allowance for Loan Losses
	Individually		Collectively				Individually		Collectively
(dollars in thousands)	Evaluated		Evaluated		Total		Evaluated		Evaluated		Unallocated		Total
Commercial
Commercial and industrial	$	976	$	478,168	$	479,144	$	189	$	12,081	$	—	$	12,270
Real estate construction		—		26,378		26,378		—		303		—		303
Commercial real estate		5,925		488,778		494,703		2,946		2,016		—		4,962
Total commercial		6,901		993,324		1,000,225		3,135		14,400		—		17,535
Consumer
Residential real estate first mortgage		782		456,373		457,155		—		1,448		—		1,448
Residential real estate junior lien		266		177,107		177,373		—		2,397		—		2,397
Other revolving and installment		5		86,521		86,526		3		349		—		352
Total consumer		1,053		720,001		721,054		3		4,194		—		4,197
Total loans	$	7,954	$	1,713,325	$	1,721,279	$	3,138	$	18,594	$	2,192	$	23,924

	December 31, 2018
	Recorded Investment						Allowance for Loan Losses
	Individually		Collectively				Individually		Collectively
(dollars in thousands)	Evaluated		Evaluated		Total		Evaluated		Evaluated		Unallocated		Total
Commercial
Commercial and industrial	$	3,945	$	506,761	$	510,706	$	2,059	$	10,068	$	—	$	12,127
Real estate construction		—		18,965		18,965		—		250		—		250
Commercial real estate		1,684		438,279		439,963		455		5,824		—		6,279
Total commercial		5,629		964,005		969,634		2,514		16,142		—		18,656
Consumer
Residential real estate first mortgage		352		447,791		448,143		—		1,156		—		1,156
Residential real estate junior lien		559		188,296		188,855		4		801		—		805
Other revolving and installment		20		95,198		95,218		20		360		—		380
Total consumer		931		731,285		732,216		24		2,317		—		2,341
Total loans	$	6,560	$	1,695,290	$	1,701,850	$	2,538	$	18,459	$	1,177	$	22,174

Schedule of impaired loans

	December 31, 2019						December 31, 2018
	Recorded		Unpaid		Related		Recorded		Unpaid		Related
(dollars in thousands)	Investment		Principal		Allowance		Investment		Principal		Allowance
Impaired loans with a valuation allowance
Commercial and industrial	$	639	$	727	$	189	$	2,660	$	2,752	$	2,059
Commercial real estate		5,718		5,823		2,946		1,499		1,517		455
Residential real estate first mortgage		—		—		—		—		—		—
Residential real estate junior lien		—		—		—		4		4		4
Other revolving and installment		5		6		3		19		20		20
Total impaired loans with a valuation allowance		6,362		6,556		3,138		4,182		4,293		2,538
Impaired loans without a valuation allowance
Commercial and industrial		337		1,110		—		1,285		1,422		—
Commercial real estate		207		236		—		185		218		—
Residential real estate first mortgage		782		797		—		352		504		—
Residential real estate junior lien		266		372		—		555		697		—
Other revolving and installment		—		—		—		1		2		—
Total impaired loans without a valuation allowance		1,592		2,515		—		2,378		2,843		—
Total impaired loans
Commercial and industrial		976		1,837		189		3,945		4,174		2,059
Commercial real estate		5,925		6,059		2,946		1,684		1,735		455
Residential real estate first mortgage		782		797		—		352		504		—
Residential real estate junior lien		266		372		—		559		701		4
Other revolving and installment		5		6		3		20		22		20
Total impaired loans	$	7,954	$	9,071	$	3,138	$	6,560	$	7,136	$	2,538

The table below presents the average recorded investment in impaired loans and interest income for the three years ending December 31, 2019, 2018, and 2017:

	Year Ended December 31,
	2019				2018				2017
	Average				Average				Average
	Recorded		Interest		Recorded		Interest		Recorded		Interest
(dollars in thousands)	Investment		Income		Investment		Income		Investment		Income
Impaired loans with a valuation allowance
Commercial and industrial	$	839	$	16	$	3,163	$	—	$	2,605	$	148
Real estate construction		—		—		—		—		—		—
Commercial real estate		5,891		—		1,558		—		234		9
Residential real estate first mortgage		—		—		—		—		—		—
Residential real estate junior lien		—		—		4		—		317		18
Other revolving and installment		20		—		28		—		79		6
Total impaired loans with a valuation allowance		6,750		16		4,753		—		3,235		181
Impaired loans without a valuation allowance
Commercial and industrial		2,434		30		1,595		35		1,676		89
Real estate construction		—		—		—		—		65		3
Commercial real estate		212		8		223		9		—		—
Residential real estate first mortgage		230		—		533		—		620		37
Residential real estate junior lien		338		4		718		6		1,963		123
Other revolving and installment		3		—		3		—		10		—
Total impaired loans without a valuation allowance		3,217		42		3,072		50		4,334		252
Total impaired loans
Commercial and industrial		3,273		46		4,758		35		4,281		237
Real estate construction										65		3
Commercial real estate		6,103		8		1,781		9		234		9
Residential real estate first mortgage		230		—		533		—		620		37
Residential real estate junior lien		338		4		722		6		2,280		141
Other revolving and installment		23		—		31		—		89		6
Total impaired loans	$	9,967	$	58	$	7,825	$	50	$	7,569	$	433