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Loans and Credit Quality (Tables)
 6 Months Ended
Jun. 30, 2024
Loans and Credit Quality [Abstract]  
Composition of Loans Receivable

June 30, 2024

December 31, 2023

Percentage of

Percentage of

Balance

total Loans

Balance

total Loans

(Dollars in Thousands)

Commercial real estate

$

535,850

42.46%

$

539,034

43.00%

Commercial construction

19,230

1.52%

16,840

1.34%

Commercial

38,788

3.07%

33,951

2.71%

Residential real estate

667,769

52.91%

663,127

52.90%

Consumer

495

0.04%

565

0.05%

Total loans

1,262,132

100.00%

1,253,517

100.00%

Unearned origination fees

592

522

Allowance for credit losses

(12,246)

(12,461)

Net Loans

$

1,250,478

$

1,241,578
Schedule of Loan Portfolio by Origination Year The following table presents the classes of the loan portfolio summarized by the aggregate pass rating and the classified ratings of special mention (potential weakness), substandard (well defined weakness) and doubtful (full collection unlikely) within the Company's internal risk rating system as of June 30, 2024 by year of origination:

2024

2023

2022

2021

2020

Prior

Revolving

Total

June 30, 2024

(In Thousands)

Commercial

real estate

Pass

$

26,187

$

61,255

$

149,545

$

51,128

$

61,118

$

176,099

$

9,291

$

534,623

Special Mention

-

-

-

-

-

-

-

-

Substandard

-

-

-

-

-

1,227

-

1,227

Total

26,187

61,255

149,545

51,128

61,118

177,326

9,291

535,850

Commercial

construction

Pass

1,934

3,215

8,591

5,167

-

29

-

18,936

Special Mention

-

-

-

-

-

-

-

-

Substandard

-

-

-

-

-

239

55

294

Total

1,934

3,215

8,591

5,167

-

268

55

19,230

Commercial

Pass

4,992

2,073

4,272

1,872

3,006

13,941

8,611

38,767

Special Mention

-

-

-

-

-

21

-

21

Substandard

-

-

-

-

-

-

-

-

Total

4,992

2,073

4,272

1,872

3,006

13,962

8,611

38,788

Residential

real estate

Pass

38,140

69,892

91,967

152,093

135,106

156,511

22,553

666,262

Special Mention

-

-

-

-

-

432

-

432

Substandard

-

-

44

-

-

1,031

-

1,075

Total

38,140

69,892

92,011

152,093

135,106

157,974

22,553

667,769

Consumer

Pass

75

81

93

16

-

9

221

495

Special Mention

-

-

-

-

-

-

-

-

Substandard

-

-

-

-

-

-

-

-

Total

75

81

93

16

-

9

221

495

Total

Loans Receivable

$

71,328

$

136,516

$

254,512

$

210,276

$

199,230

$

349,539

$

40,731

$

1,262,132

The Company had gross charge-offs of $11 thousand during the six months ending June 30, 2024. One (1) charge-off of $5 thousand was a consumer loan originated in 2021 and one (1) charge-off of $6 thousand was a consumer loan originated in 2023.


‎

The following table presents the classes of the loan portfolio summarized by the aggregate pass rating and the classified ratings of special mention (potential weakness), substandard (well defined weakness) and doubtful (full collection unlikely) within the Company's internal risk rating system as of December 31, 2023 by year of origination:

2023

2022

2021

2020

2019

Prior

Revolving

Total

December 31, 2023

(In Thousands)

Commercial

real estate

Pass

$

62,467

$

160,257

$

58,094

$

64,146

$

26,835

$

157,888

$

8,094

$

537,781

Special Mention

-

-

-

-

-

-

-

-

Substandard

-

-

-

-

-

1,253

-

1,253

Total

62,467

160,257

58,094

64,146

26,835

159,141

8,094

539,034

Commercial

construction

Pass

2,071

8,591

5,412

-

440

30

-

16,544

Special Mention

-

-

-

-

-

-

-

-

Substandard

-

-

-

-

-

241

55

296

Total

2,071

8,591

5,412

-

440

271

55

16,840

Commercial

Pass

2,236

4,851

2,260

3,312

5,388

9,311

6,572

33,930

Special Mention

-

-

-

-

21

-

-

21

Substandard

-

-

-

-

-

-

-

-

Total

2,236

4,851

2,260

3,312

5,409

9,311

6,572

33,951

Residential

real estate

Pass

75,372

96,032

158,135

142,318

46,035

122,252

21,423

661,567

Special Mention

-

-

-

-

-

443

-

443

Substandard

-

-

-

-

173

944

-

1,117

Total

75,372

96,032

158,135

142,318

46,208

123,639

21,423

663,127

Consumer

Pass

130

118

22

1

13

11

270

565

Special Mention

-

-

-

-

-

-

-

-

Substandard

-

-

-

-

-

-

-

-

Total

130

118

22

1

13

11

270

565

Total

Loans Receivable

$

142,276

$

269,849

$

223,923

$

209,777

$

78,905

$

292,373

$

36,414

$

1,253,517

The Company had no loans that were charged off during the year ended December 31, 2023 and therefore no gross charge-off information is presented in the above table.
Schedule of Impaired Loans
‎

The following table presents the carrying value and related allowance for credit losses of individually analyzed loans at June 30, 2024 and December 31, 2023, respectively:

June 30, 2024

December 31, 2023

Recorded Investment

Unpaid Principal Balance

Related Allowance for Credit Losses

Recorded Investment

Unpaid Principal Balance

Related Allowance for Credit Losses

(In Thousands)

With no related allowance recorded:

Commercial real estate (1)

$

1,227

$

1,227

$

1,303

$

1,543

Commercial construction (1)

55

55

55

55

Commercial

-

-

-

-

Residential real estate (1)

1,224

1,227

1,202

1,206

Consumer

-

-

-

-

With an allowance recorded:

Commercial real estate

$

-

$

-

$

-

$

-

$

-

$

-

Commercial construction (1)

239

239

20

241

241

22

Commercial (2)

21

21

21

21

21

21

Residential real estate (1)

431

431

83

516

516

152

Consumer

-

-

-

-

-

-

Total:

Commercial real estate

$

1,227

$

1,227

$

-

$

1,303

$

1,543

$

-

Commercial construction

294

294

20

296

296

22

Commercial

21

21

21

21

21

21

Residential real estate

1,655

1,658

83

1,718

1,722

152

Consumer

-

-

-

-

-

-

$

3,197

$

3,200

$

124

$

3,338

$

3,582

$

195

1.All loans are real estate collateral dependent.

2.All loans are non-collateral dependent loans.
Schedule of Nonaccrual Loans

June 30, 2024

December 31, 2023

(In Thousands)

Commercial real estate

$

-

$

-

Commercial construction

-

-

Commercial

-

-

Residential real estate

292

366

Consumer

-

-

Total

$

292

$

366
Schedule of Past Due Loans

Greater

Loan

than

Receivables >

30-59 Days

60-89 Days

90 Days

Total

Total Loan

90 Days and

Past Due

Past Due

Past Due

Past Due

Current

Receivables

Accruing

June 30, 2024

(In Thousands)

Commercial real estate

$

742

$

-

$

-

$

742

$

535,108

$

535,850

$

-

Commercial construction

-

-

-

-

19,230

19,230

-

Commercial

-

-

-

-

38,788

38,788

-

Residential real estate

607

-

788

1,395

666,374

667,769

496

Consumer

1

-

-

1

494

495

-

Total

$

1,350

$

-

$

788

$

2,138

$

1,259,994

$

1,262,132

$

496

December 31, 2023

Commercial real estate

$

630

$

-

$

-

$

630

$

538,404

$

539,034

$

-

Commercial construction

-

-

-

-

16,840

16,840

-

Commercial

-

-

-

-

33,951

33,951

-

Residential real estate

344

-

193

537

662,590

663,127

-

Consumer

-

-

-

-

565

565

-

Total

$

974

$

-

$

193

$

1,167

$

1,252,350

$

1,253,517

$

-
Activity in Allowance for Loan Losses

Commercial Real Estate

Commercial Construction

Commercial

Residential Real Estate

Consumer

Unallocated

Total

Allowance for credit losses

(In Thousands)

Three Months Ending June 30, 2024

Beginning Balance - March 31, 2024

$

6,216 

$

237 

$

553 

$

5,508 

$

29 

$

-

$

12,543 

Charge-offs

-

-

-

-

(11)

-

(11)

Recoveries

-

-

-

-

-

-

-

Provisions (credits) on loans

(199)

(10)

(28)

(70)

21 

-

(286)

Ending Balance - June 30, 2024

$

6,017 

$

227 

$

525 

$

5,438 

$

39 

$

-

$

12,246 

Six Months Ending June 30, 2024

Beginning Balance - December 31, 2023

$

6,108 

$

195 

$

920 

$

5,224 

$

14 

$

-

$

12,461 

Charge-offs

-

-

-

-

(11)

-

(11)

Recoveries

240 

-

-

-

-

-

240 

Provisions (credits) on loans

(331)

32 

(395)

214 

36 

-

(444)

Ending Balance - June 30, 2024

$

6,017 

$

227 

$

525 

$

5,438 

$

39 

$

-

$

12,246 

Allowance for credit losses

Three Months Ending June 30, 2023

Beginning Balance - March 31, 2023

$

5,605 

$

277 

$

1,117 

$

5,482 

$

32 

$

124 

$

12,637 

Charge-offs

-

-

-

-

-

-

-

Recoveries

-

-

-

1 

-

-

1 

Provisions (credits) on loans

336 

40 

(144)

(184)

(9)

71 

110 

Ending Balance - June 30, 2023

$

5,941 

$

317 

$

973 

$

5,299 

$

23 

$

195 

$

12,748 

Six Months Ending June 30, 2023

Beginning Balance - December 31, 2022

$

5,113 

$

200 

$

1,289 

$

4,960 

$

13 

$

874 

$

12,449 

January 1, 2023 adoption of ASU 2016-13

492 

77 

(172)

522 

19 

(750)

188 

Charge-offs

-

-

-

-

-

-

-

Recoveries

-

-

-

1 

-

-

1 

Provisions (credits) on loans

336 

40 

(144)

(184)

(9)

71 

110 

Ending Balance - June 30, 2023

$

5,941 

$

317 

$

973 

$

5,299 

$

23 

$

195 

$

12,748 
Allocation of Allowance for Loan Losses and Related Loan Portfolio

Commercial Real Estate

Commercial Construction

Commercial

Residential Real Estate

Consumer

Unallocated

Total

(In Thousands)

June 30, 2024

Allowance for Credit Losses

Ending Balance

$

6,017

$

227

$

525

$

5,438

$

39

$

-

$

12,246

Ending balance: individually evaluated for impairment - real estate collateral dependent

$

-

$

20

$

-

$

83

$

-

$

-

$

103

Ending balance: individually evaluated for impairment - non-collateral dependent

$

-

$

-

$

21

$

-

$

-

$

-

$

21

Ending balance: collectively evaluated for impairment

$

6,017

$

207

$

504

$

5,355

$

39

$

-

$

12,122

Loans receivables:

Ending balance

$

535,850

$

19,230

$

38,788

$

667,769

$

495

$

1,262,132

Ending balance: individually evaluated for impairment - real estate collateral dependent

$

1,227

$

294

$

-

$

1,655

$

-

$

3,176

Ending balance: individually evaluated for impairment - non-collateral dependent

$

-

$

-

$

21

$

-

$

-

$

21

Ending balance: collectively evaluated for impairment

$

534,623

$

18,936

$

38,767

$

666,114

$

495

$

1,258,935

December 31, 2023

Allowance for Credit Losses

Ending Balance

$

6,108

$

195

$

920

$

5,224

$

14

$

-

$

12,461

Ending balance: individually evaluated for impairment - real estate collateral dependent

$

-

$

22

$

-

$

152

$

-

$

-

$

174

Ending balance: individually evaluated for impairment - non-collateral dependent

$

-

$

-

$

21

$

-

$

-

$

-

$

21

Ending balance: collectively evaluated for impairment

$

6,108

$

173

$

899

$

5,072

$

14

$

-

$

12,266

Loans receivables:

Ending balance

$

539,034

$

16,840

$

33,951

$

663,127

$

565

$

1,253,517

Ending balance: individually evaluated for impairment - real estate collateral dependent

$

1,303

$

296

$

-

$

1,718

$

-

$

3,317

Ending balance: individually evaluated for impairment - non-collateral dependent

$

-

$

-

$

21

$

-

$

-

$

21

Ending balance: collectively evaluated for impairment

$

537,731

$

16,544

$

33,930

$

661,409

$

565

$

1,250,179
Schedule of New Restructured Loans

Number of Loans

Pre-Modification Outstanding Balance

Post- Modification Outstanding Balance

(Dollars In Thousands)

Six Months Ending June 30, 2024

Residential real estate

1

$

79

$

79

1

$

79

$

79