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Allowance For Loan Losses And Credit Quality Of Financing Receivables (Tables)
 6 Months Ended
Jun. 30, 2017
Receivables [Abstract]  
Changes in the Allowance for Loan Losses
The following table presents changes in the allowance for loan losses disaggregated by the class of loans receivable for the three and six months ended June 30, 2017 and 2016:  ໿
໿
(Dollars in thousands)
Commercial
and
Industrial
 
Construction
 
Commercial
Real
Estate
 
Residential
Real
Estate
 
Consumer
and
Other
 
Unallocated
 
Total
Three Months Ended:
 
 
 
 
 
 
 
 
 
 
 
 
 
June 30, 2017
 
 
 
 
 
 
 
 
 
 
 
 
 
Beginning balance
$
92

 
$
425

 
$
4,025

 
$
925

 
$
17

 
$
1,313

 
$
6,797

Charge-offs
—

 
—

 
—

 
(8
)
 
(8
)
 
—

 
(16
)
Recoveries
—

 
—

 
2

 
1

 
1

 
—

 
4

Provision
109

 
53

 
216

 
(1
)
 
10

 
(7
)
 
380

Ending balance
$
201

 
$
478

 
$
4,243

 
$
917

 
$
20

 
$
1,306

 
$
7,165

 
 
 
 
 
 
 
 
 
 
 
 
 
 
June 30, 2016
 
 
 
 
 
 
 
 
 
 
 
 
 
Beginning balance
$
98

 
$
267

 
$
3,847

 
$
908

 
$
121

 
$
571

 
$
5,812

Charge-offs
(138
)
 
—

 
(65
)
 
(25
)
 
—

 
—

 
(228
)
Recoveries
9

 
—

 
3

 
6

 
1

 
—

 
19

Provision
230

 
(59
)
 
235

 
25

 
(105
)
 
59

 
385

Ending balance
$
199

 
$
208

 
$
4,020

 
$
914

 
$
17

 
$
630

 
$
5,988

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Six Months Ended:
 
 
 
 
 
 
 
 
 
 
 
 
 
June 30, 2017
 
 
 
 
 
 
 
 
 
 
 
 
 
Beginning balance
$
110

 
359

 
$
3,932

 
$
899

 
$
19

 
$
1,377

 
$
6,696

Charge-offs
(13
)
 
—

 
(266
)
 
(42
)
 
(13
)
 
—

 
(334
)
Recoveries
—

 
—

 
4

 
9

 
3

 
—

 
16

Provision
104

 
119

 
573

 
51

 
11

 
(71
)
 
787

Ending balance
$
201

 
$
478

 
$
4,243

 
$
917

 
$
20

 
$
1,306

 
$
7,165

 
 
 
 
 
 
 
 
 
 
 
 
 
 
June 30, 2016
 
 
 
 
 
 
 
 
 
 
 
 
 
Beginning balance
$
85

 
220

 
$
3,646

 
$
784

 
$
87

 
$
768

 
$
5,590

Charge-offs
(138
)
 
—

 
(65
)
 
(34
)
 
(19
)
 
—

 
(256
)
Recoveries
16

 
—

 
34

 
6

 
2

 
—

 
58

Provision
236

 
(12
)
 
405

 
158

 
(53
)
 
(138
)
 
596

Ending balance
$
199

 
$
208

 
$
4,020

 
$
914

 
$
17

 
$
630

 
$
5,988
Allowances of Loan Losses and Loans Receivable by Class Disaggregated
The following table presents the balance of the allowance of loan losses and loans receivable by class at June 30, 2017 and December 31, 2016 disaggregated on the basis of our impairment methodology.
໿
໿

Allowance for Loan Losses
 
Loans Receivable
(Dollars in thousands)
Balance
 
Balance
Loans
Individually
Evaluated for
Impairment
 
Balance
Related to
Loans
Collectively
Evaluated for
Impairment
 
Balance
 
Individually
Evaluated for
Impairment
 
Collectively
Evaluated for
Impairment
June 30, 2017
 
 
 
 
 
 
 
 
 
 
 
Commercial and industrial
$
201

 
$
—

 
$
201

 
$
40,802

 
$
20

 
$
40,782

Construction
478

 
—

 
478

 
41,213

 
—

 
41,213

Commercial real estate
4,243

 
28

 
4,221

 
526,054

 
4,509

 
521,545

Residential real estate
917

 
—

 
917

 
164,181

 
2,038

 
162,143

Consumer and other loans
20

 
—

 
20

 
967

 
—

 
967

Unallocated
1,306

 
—

 
—

 
—

 
—

 
—

Total
$
7,165

 
$
28

 
$
5,837

 
$
773,217

 
$
6,567

 
$
766,650

December 31, 2016
 
 
 
 
 
 
 
 
 
 
 
Commercial and industrial
$
110

 
$
14

 
$
96

 
$
40,280

 
$
33

 
$
40,247

Construction
359

 
—

 
359

 
25,360

 
—

 
25,360

Commercial real estate
3,932

 
135

 
3,797

 
479,227

 
4,597

 
474,630

Residential real estate
899

 
6

 
893

 
150,237

 
1,967

 
148,270

Consumer and other loans
19

 
—

 
19

 
1,038

 
—

 
1,038

Unallocated
1,377

 
—

 
—

 
—

 
—

 
—

Total
$
6,696

 
$
155

 
$
5,164

 
$
696,142

 
$
6,597

 
$
689,545
An Age Analysis of Loans Receivable
An age analysis of loans receivable, which were past due as of June 30, 2017 and December 31, 2016, is as follows:
໿
(Dollars in thousands)
30-59 Days
Past Due
 
60-89 days
Past Due
 
Greater
Than
90 Days (a)
 
Total Past
Due
 
Current
 
Total
Financing
Receivables
 
Recorded
Investment
> 90 Days
and
Accruing
June 30, 2017
 
 
 
 
 
 
 
 
 
 
 
 
 
Commercial and industrial
$
—

 
$
—

 
$
1,020

 
$
1,020

 
$
39,782

 
$
40,802

 
$
1,000

Construction
—

 
—

 
—

 
—

 
41,213

 
41,213

 
—

Commercial real estate
355

 
—

 
5,282

 
5,637

 
520,417

 
526,054

 
1,229

Residential real estate
161

 
—

 
1,550

 
1,711

 
162,470

 
164,181

 
—

Consumer and other
5

 
—

 
—

 
5

 
962

 
967

 
—

Total
$
521

 
$
—

 
$
7,852

 
$
8,373

 
$
764,844

 
$
773,217

 
$
2,229

December 31, 2016
 
 
 
 
 
 
 
 
 
 
 
 
 
Commercial and industrial
$
—

 
$
—

 
$
137

 
$
137

 
$
40,143

 
$
40,280

 
$
104

Construction
—

 
—

 
309

 
309

 
25,051

 
25,360

 
309

Commercial real estate
84

 
719

 
4,103

 
4,906

 
474,321

 
479,227

 
55

Residential real estate
786

 
247

 
1,752

 
2,785

 
147,452

 
150,237

 
—

Consumer and other
4

 
—

 
—

 
4

 
1,034

 
1,038

 
—

Total
$
874

 
$
966

 
$
6,301

 
$
8,141

 
$
688,001

 
$
696,142

 
$
468

(a) includes loans greater than 90 days past due and still accruing and non-accrual loans.
Loans Which the Accrual of Interest has been Discontinued
Loans for which the accrual of interest has been discontinued at June 30, 2017 and December 31, 2016 were: 
໿
(Dollars in thousands)
June 30, 2017
 
December 31, 2016
Commercial and industrial
$
20

 
$
33

Commercial real estate
4,053

 
4,048

Residential real estate
1,550

 
1,752

Total
$
5,623

 
$
5,833
Credit Risk Profile by Creditworthiness
The following tables illustrate our corporate credit risk profile by creditworthiness category as of June 30, 2017 and December 31, 2016: ໿
໿
(Dollars in thousands)
Pass
 
Special
Mention
 
Substandard
 
Doubtful
 
Total
June 30, 2017
 
 
 
 
 
 
 
 
 
Commercial and industrial
$
40,684

 
$
98

 
$
20

 
$
—

 
$
40,802

Construction
41,213

 
—

 
—

 
—

 
41,213

Commercial real estate
510,655

 
6,461

 
8,938

 
—

 
526,054

Residential real estate
161,400

 
464

 
2,317

 
—

 
164,181

Consumer and other
967

 
—

 
—

 
—

 
967


$
754,919

 
$
7,023

 
$
11,275

 
$
—

 
$
773,217

December 31, 2016
 
 
 
 
 
 
 
 
 
Commercial and industrial
$
40,247

 
$
—

 
$
33

 
$
—

 
$
40,280

Construction
25,360

 
—

 
—

 
—

 
25,360

Commercial real estate
463,889

 
7,461

 
7,877

 
—

 
479,227

Residential real estate
147,526

 
584

 
2,127

 
—

 
150,237

Consumer and other
1,038

 
—

 
—

 
—

 
1,038


$
678,060

 
$
8,045

 
$
10,037

 
$
—

 
$
696,142
Impaired Loans
The following table reflects information about our impaired loans by class as of June 30, 2017 and December 31, 2016:

June 30, 2017
 
December 31, 2016
(Dollars in thousands)
Recorded
Investment
 
Unpaid
Principal
Balance
 
Related
Allowance
 
Recorded
Investment
 
Unpaid
Principal
Balance
 
Related
Allowance

 
 
 
 
 
 
 
 
 
 
 
With no related allowance recorded:
 
 
 
 
 
 
 
 
 
 
 
Commercial and industrial
$
20

 
$
20

 
$
—

 
$
19

 
$
19

 
$
—

Commercial real estate
4,183

 
4,442

 
—

 
2,324

 
2,324

 
—

Residential real estate
2,038

 
2,076

 
—

 
1,604

 
1,629

 
—

With an allowance recorded:
 
 
 
 
 
 
 
 
 
 
 
Commercial and industrial
—

 
—

 
—

 
14

 
14

 
14

Commercial real estate
326

 
326

 
28

 
2,273

 
2,364

 
135

Residential real estate
—

 
—

 
—

 
363

 
363

 
6

Total:
 
 
 
 
 
 
 
 
 
 
 
Commercial and industrial
20

 
20

 
—

 
33

 
33

 
14

Commercial real estate
4,509

 
4,768

 
28

 
4,597

 
4,688

 
135

Residential real estate
2,038

 
2,076

 
—

 
1,967

 
1,992

 
6


$
6,567

 
$
6,864

 
$
28

 
$
6,597

 
$
6,713

 
$
155


໿
The following tables presents the average recorded investment and income recognized for the three and six months ended June 30, 2017 and 2016:

For the Three Months Ended June 30, 2017
 
For the Three Months Ended June 30, 2016
(Dollars in thousands)
Average
Recorded
Investment
 
Interest
Income
Recognized
 
Average
Recorded
Investment
 
Interest
Income
Recognized
With no related allowance recorded:
 
 
 
 
 
 
 
Commercial and industrial
$
20

 
$
—

 
$
20

 
$
—

Commercial real estate
3,237

 
8

 
2,113

 
5

Residential real estate
1,742

 
8

 
1,123

 
2

Total impaired loans without a related allowance
4,999

 
16

 
3,256

 
7


 
 
 
 
 
 
 
With an allowance recorded:
 
 
 
 
 
 
 
Commercial real estate
1,168

 
—

 
2,701

 
8

Residential real estate
134

 
—

 
239

 
—

Total impaired loans with an allowance
1,302

 
—

 
2,940

 
8

Total impaired loans
$
6,301

 
$
16

 
$
6,196

 
$
15



 
For the Six Months Ended June 30, 2017
 
For the Six Months Ended June 30, 2016
(Dollars in thousands)
Average
Recorded
Investment
 
Interest
Income
Recognized
 
Average
Recorded
Investment
 
Interest
Income
Recognized
With no related allowance recorded:
 
 
 
 
 
 
 
Commercial and industrial
$
20

 
$
—

 
$
20

 
$
—

Commercial real estate
2,560

 
8

 
2,230

 
13

Residential real estate
1,544

 
9

 
1,035

 
3

Total impaired loans without a related allowance
4,124

 
17

 
3,285

 
16


 
 
 
 
 
 
 
With an allowance recorded:
 
 
 
 
 
 
 
Commercial and industrial
3

 
—

 
—

 
—

Commercial real estate
1,879

 
8

 
2,680

 
16

Residential real estate
200

 
—

 
577

 
—

Consumer and other
—

 
—

 
111

 
—

Total impaired loans with an allowance
2,082

 
8

 
3,368

 
16

Total impaired loans
$
6,206

 
$
25

 
$
6,653

 
$
32
Troubled Debt Restructured on Recorded Investment
The following table presents the recorded investment in troubled debt restructured loans, based on payment performance status:
(Dollars in thousands)
Commercial Real Estate
 
Residential Real Estate
 
Total
June 30, 2017
 
 
 
 
 
Performing
$
456

 
$
488

 
$
944

Non-performing
2,232

 
249

 
2,481

Total
$
2,688

 
$
737

 
$
3,425

December 31, 2016
 
 
 
 
 
Performing
$
550

 
$
129

 
$
679

Non-performing
2,258

 
—

 
2,258

Total
$
2,808

 
$
129

 
$
2,937

The following table summarizes troubled debt restructuring that occurred during the three and six months ended June 30, 2017.
໿
 
 Number of Loans
 
Pre-Modification Outstanding Recorded Investment
 
Post-Modification Outstanding Recorded Investment
(Dollars in thousands)
 
 
 
 
 
Residential real estate
3

 
$
637

 
$
615