Major classifications of loans at March 31, 2023 and December 31, 2022 are summarized as follows (amounts in thousands):


	March 31, 2023						December 31, 2022
	Amount			% of Total			Amount			% of Total
Residential real estate:
Closed-end 1-4 family - first lien	$	612,574			32.5	%	$	573,033			32.2	%
Closed-end 1-4 family - junior lien		11,069			0.6	%		9,422			0.5	%
Multi-family		15,216			0.7	%		14,106			0.8	%
Total residential real estate		638,859			33.8	%		596,561			33.5	%
Commercial real estate:
Nonfarm nonresidential		530,243			28.1	%		497,766			28.0	%
Farmland		55,776			3.0	%		53,691			3.0	%
Total commercial real estate		586,019			31.1	%		551,457			31.0	%
Construction and land development:
Residential		131,194			7.0	%		121,363			6.8	%
Other		140,206			7.4	%		135,127			7.6	%
Total construction and land development		271,400			14.4	%		256,490			14.4	%
Home equity lines of credit		69,227			3.7	%		64,215			3.6	%
Commercial loans:
Other commercial loans		212,462			11.3	%		193,053			10.9	%
Agricultural		46,942			2.5	%		56,946			3.2	%
State, county, and municipal loans		40,951			2.2	%		40,964			2.3	%
Total commercial loans		300,355			16.0	%		290,963			16.4	%
Consumer loans		51,157			2.7	%		49,592			2.8	%
Total gross loans		1,917,017			101.7	%		1,809,278			101.7	%
Allowance for credit losses		(25,714	)		-1.4	%		(24,310	)		-1.4	%
Net discounts		(179	)		0.0	%		(279	)		0.0	%
Net deferred loan fees		(6,324	)		-0.3	%		(5,872	)		-0.3	%
Net loans	$	1,884,800			100.0	%	$	1,778,817			100.0	%

The Bank grants loans and extensions of credit to individuals and a variety of businesses and corporations located in its general trade area. Although the Bank has a diversified loan portfolio, a substantial portion of the loan portfolio is collateralized by improved and unimproved real estate and is dependent upon the real estate market. Relevant risk characteristics for these portfolio segments generally include debt service coverage, loan-to-value ratios and financial performance on non-consumer loans and credit scores, debt-to-income, collateral type and loan-to-value ratios for consumer loans.

The loan portfolio has been disaggregated into segments and then further disaggregated into classes for certain disclosures. A portfolio segment is defined as the level at which an entity develops and documents a systematic method for determining its allowance for credit losses. There are three primary loan portfolio segments that include real estate, commercial, and consumer. A class is generally determined based on the initial measurement attribute, risk characteristic of the loan, and the Company’s method for monitoring and assessing credit risk. Classes within the real estate portfolio segment include residential real estate, commercial real estate, construction and land development and home equity lines of credit. The portfolio segments of non-real estate commercial loans and consumer loans have not been further segregated by class.

The following describe risk characteristics relevant to each of the portfolio segments:

Real estate - As discussed below, the Company offers various types of real estate loan products. All loans within this portfolio segment are particularly sensitive to the valuation of real estate:

Residential real estate and home equity lines of credit are repaid by various means such as through a borrower’s income, sale of the property, or rental income derived from the property.

Commercial real estate loans include both owner-occupied commercial real estate loans and other commercial real estate loans secured by income producing properties. Owner-occupied commercial real estate loans to operating businesses are long-term financing of land and buildings. These loans are repaid by cash flow generated from the business operation. Real estate loans for income-producing properties such as office and industrial buildings and retail shopping centers are repaid from rent income derived from the properties. Loans secured by farmland are repaid by various means such as through a borrower’s income, sale of the property, or rental income derived from the property.

Construction and land development loans are repaid through cash flow related to the operations, sale or refinance of the underlying property. This portfolio class includes extensions of credit to real estate developers or investors where repayment is dependent on the sale of the real estate or income generated from the real estate collateral.

Commercial loans - The commercial loan portfolio segment includes commercial and industrial loans, agricultural loans and loans to states and municipalities. These loans include those loans to commercial customers for use in normal business operations to finance working capital needs, equipment purchases, or expansion projects. Loans are repaid by business cash flows or tax revenues. Collection risk in this portfolio is driven by the creditworthiness of the underlying borrower, particularly by cash flows from the customers’ business operations.

Consumer loans - The consumer loan portfolio segment includes direct consumer installment loans, overdrafts and other revolving credit loans. Loans in this portfolio are sensitive to unemployment and other key consumer economic measures.

Under the current expected credit losses (CECL) methodology, the allowance for credit losses is measured on a collective basis for pools of loans with similar risk characteristics. For loans that do not share similar risk characteristics with the collectively evaluated pools, evaluations are performed on an individual basis. For all loan segments collectively evaluated, losses are predicted over a period of time determined to be reasonable and supportable, and at the end of the reasonable and supportable forecast period losses are reverted to long-term historical averages. The estimated loan losses for all loan segments are adjusted for changes in qualitative factors not inherently considered in the quantitative analyses.

The Company uses the discounted cash flow (DCF) method in determining the expected loss percentage for loans which fall within the loan portfolio that are not individually assessed. The DCF projects future cash flows over the life of the loan portfolio. Probability of default and loss given default are two key components in calculating losses in the DCF model. Consisent forecasts of the loss drivers are used across the loan segments.

The following tables present the balance in the allowance for credit losses by portfolio segment. It also includes the balance in the allowance for credit losses and the recorded investment in loans by portfolio segment and based on impairment method for the periods indicated below (amounts in thousands).


	Real Estate Mortgage Loans
					Construction		Home Equity
					and Land		Lines
Allowance for Credit Losses	Residential		Commercial		Development		Of Credit		Commercial			Consumer			Total
Balance - December 31, 2022 prior to adoption of ASC 326	$	5,088	$	10,057	$	3,377	$	562	$	4,778		$	448		$	24,310
Impact of adopting ASC 326		-		-		-		-		73			7			80
Provision for credit loss expense		253		892		138		156		(208	)		80			1,311
Loan charge-offs		-		-		-		-		(67	)		(34	)		(101	)
Loan recoveries		-		77		-		-		33			4			114
Balance - March 31, 2023	$	5,341	$	11,026	$	3,515	$	718	$	4,609		$	505		$	25,714

Ending balance:
Individually evaluated for impairment	$	-	$	693	$	-	$	-	$	312		$	42		$	1,047
Collectively evaluated for impairment		5,341		10,333		3,515		718		4,297			463			24,667
Total	$	5,341	$	11,026	$	3,515	$	718	$	4,609		$	505		$	25,714

Loans:
Individually evaluated for impairment	$	1,818	$	6,729	$	177	$	-	$	591		$	42		$	9,357
Collectively evaluated for impairment		637,041		579,290		271,223		69,227		299,764			51,115			1,907,660
Total	$	638,859	$	586,019	$	271,400	$	69,227	$	300,355		$	51,157		$	1,917,017


	Real Estate Mortgage Loans
					Construction			Home Equity
					and Land			Lines
Allowance for Loan Losses	Residential		Commercial		Development			Of Credit		Commercial			Consumer		Total
Balance - December 31, 2021	$	2,596	$	8,038	$	2,992		$	396	$	6,486		$	414	$	20,922
Provision (credit) for loan losses		112		251		(28	)		17		(354	)		2		-
Loan charge-offs		-		-		-			-		(62	)		-		(62	)
Loan recoveries		-		5		4			-		16			9		34
Balance - March 31, 2022	$	2,708	$	8,294	$	2,968		$	413	$	6,086		$	425	$	20,894

Ending balance:
Individually evaluated for impairment	$	42	$	-	$	115		$	-	$	48		$	105	$	310
Collectively evaluated for impairment		2,666		8,294		2,853			413		6,038			320		20,584
Total	$	2,708	$	8,294	$	2,968		$	413	$	6,086		$	425	$	20,894

Loans:
Individually evaluated for impairment	$	1,928	$	5,780	$	408		$	102	$	270		$	106	$	8,594
Collectively evaluated for impairment		355,972		426,549		208,042			51,662		248,166			42,952		1,333,343
Acquired loans with deteriorated credit quality		11		-		7			-		-			-		18
Total	$	357,911	$	432,329	$	208,457		$	51,764	$	248,436		$	43,058	$	1,341,955

The Company's unfunded lending commitments are unconditionally cancellable and therefore no allowance for credit losses has been recorded.

The Bank individually evaluates for impairment all loans that are on nonaccrual status. A loan is considered impaired when, based on current events and circumstances, it is probable that all amounts due according to the contractual terms of the loan will not be collected. Impaired loans are measured based on the present value of expected future cash flows discounted at the loan’s effective interest rate, at the loan’s observable market price, or the fair value of the collateral if the loan is collateral-dependent. Management may also elect to apply an additional collective reserve to groups of impaired loans based on current economic or market factors. Impaired loans are generally placed on nonaccrual status and therefore interest payments received on impaired loans are generally applied as a reduction of the outstanding principal balance.

The allowance for credit losses represents management’s estimate of lifetime credit losses inherent in loans as of the balance sheet date. The allowance for credit losses is estimated by management using relevant available information, from both internal and external sources, relating to past events, current conditions, and reasonable and supportable forecasts. The Bank measures expected credit losses for loans on a pooled basis when similar risk characteristics exist. Generally, collectively assessed loans are grouped by call report code and then risk grade grouping. Risk grade is grouped within each call report code by pass, watch, special mention, substandard, and doubtful. Other loan types are separated into their own cohorts due to specific risk characteristics for that pool of loans.

The Bank has elected a non-discounted cash flow methodology with a probability of default (“PD”) and loss-given default (“LGD”) for all cohorts. The PD calculation looks at the historical loan portfolio at particular points in time (each month during the lookback period) to determine the probability that loans in a certain cohort will default over the next 12-month period. A default is defined as a loan that has moved to past due 90 days and greater, nonaccrual status, or experienced a charge-off during the period. Currently, the Bank’s historical data is insufficient due to a minimal amount of default activity or zero defaults, therefore management uses index PDs comprised of rates derived from the PD experience of other community banks in place of the Bank’s historical PDs.

The LGD calculation looks at actual losses (net charge-offs) experienced over the entire lookback period for each cohort of loans. The aggregate loss amount is divided by the exposure at default to determine an LGD rate. All defaults (non-accrual, charge-off, or greater than 90 days past due) occurring during the lookback period are included in the denominator, whether a loss occurred or not and exposure at default is determined by the loan balance immediately preceding the default event (i.e. nonaccrual or charge-off). Due to the very limited charge-off history, management uses index LGDs comprised of rates derived from the LGD experience of other community banks in place of the Bank’s historical LGDs.

The Bank utilizes reasonable and supportable forecasts of future economic conditions when estimating the allowance for credit losses on loans. The calculation includes a 12-month PD forecast based on the peer index regression model comparing peer defaults to the

national unemployment rate. After the forecast period, PD rates revert on a straight-line basis back to long-term historical average rates over 12 months.

The Bank recognizes that all significant factors that affect the collectability of the loan portfolio must be considered to determine the estimated credit losses as of the evaluation date. Furthermore, the methodology, in and of itself and even when selectively adjusted by comparison to market and peer data, does not provide a sufficient basis to determine the estimated credit losses. The Bank adjusts the modeled historical losses by a Qualitative adjustment to incorporate all significant risks to form a sufficient basis to estimate the credit losses. These qualitative adjustments may increase or reduce reserve levels and include adjustments for lending management experience, loan review and audit results, asset quality and portfolio trends, loan portfolio growth, and concentrations, trends in underlying collateral, as well as external factors and economic conditions not already captured.

Loans that do not share risk characteristics are evaluated on an individual basis. Generally, this population includes loans on non-accrual status, however, they can also include any loan that does not share risk characteristics with its respective pool. When management determines that foreclosure is probable and the borrower is experiencing financial difficulty, the expected credit losses are based on the fair value of the collateral at the reporting date unadjusted for selling costs as appropriate. When the expected source of repayment is from a source other than the underlying collateral, impairment will generally be measured based on the present value of expected proceeds discounted at the contractual interest rate.

The loss allocations for individually assessed and collectively assessed loans are totaled to determine the total required allowance for credit losses. This total is compared to the current allowance on the Bank’s books and adjustments made accordingly by a charge or credit to the provision for credit losses.

Treatment of Pandemic-related Loan Modifications Pursuant to the CARES Act and Interagency Statement

Section 4013 of the CARES Act, enacted on March 27, 2020, provided that, from the period beginning March 1, 2020 until the earlier of December 31, 2020 or the date that is 60 days after the date on which the national emergency concerning the COVID-19 pandemic declared by the President of the United States under the National Emergencies Act terminates (the “applicable period”), we may elect to suspend GAAP for loan modifications related to the pandemic that would otherwise be categorized as troubled debt restructurings (TDR) and suspend any determination of a loan modified as a result of the effects of the pandemic as being a TDR, including impairment for accounting purposes. The suspension wasapplicable for the term of the loan modification that occurred during the applicable period for a loan that was not more than 30 days past due as of December 31, 2019. The suspension was not applicable to any adverse impact on the credit of a borrower that was not related to the pandemic.

In addition, our banking regulators and other financial regulators, on March 22, 2020 and revised April 7, 2020, issued a joint interagency statement titled the “Interagency Statement on Loan Modifications and Reporting for Financial Institutions Working with Customers Affected by the Coronavirus” that encouraged financial institutions to work prudently with borrowers who were unable to meet their contractual payment obligations due to the effects of the COVID-19 pandemic. Pursuant to the interagency statement, loan modifications that did not meet the conditions of Section 4013 of the CARES Act may still qualify as a modification that does not need to be accounted for as a TDR. Specifically, the agencies confirmed with the staff of the Financial Accounting Standards Board that short-term modifications made in good faith in response to the pandemic to borrowers who were current prior to any relief were not TDRs under GAAP. This included short-term (e.g. six months) modifications such as payment deferrals, fee waivers, extensions of repayment terms, or delays in payment that were insignificant. Borrowers considered current were those that were less than 30 days past due on their contractual payments at the time a modification program was implemented. Appropriate allowances for loan and lease losses were expected to be maintained. With regard to loans not otherwise reportable as past due, financial institutions were not expected to designate loans with deferrals granted due to the pandemic as past due because of the deferral. The interagency statement also stated that during short-term pandemic-related loan modifications, these loans generally should not be reported as nonaccrual.

We have received requests from our borrowers for loan and lease deferrals and modifications including the deferral of principal payments or the deferral of principal and interest payments for terms generally around 90-180 days. Requests are evaluated individually and approved modifications are based on the unique circumstances of each borrower. In total, the Bank placed approximately $167 million of loans on a loan deferral plan as part of COVID-19 modifications. As of March 31, 2023, however, none of these loans remain on deferral. In accordance with Section 4013 of the CARES Act and the interagency statement, we have not accounted for such loans as TDRs, nor have we designated them as past due or nonaccrual. The risk ratings for these loans are evaluated regularly and evaluated for impairment if deemed necessary.

The following table presents collateral dependent impaired loans by class of loans as of March 31, 2023 (amounts in thousands). Purchased credit-impaired loans are not included in these tables because they are carried at fair value and accordingly have no related associated allowance. Collateral dependent loans are loans for which the repayment is expected to be provided substantially through the operation or sale of the collateral and the borrower is experiencing financial difficulty. The Company reviews individually evaluated loans for designation as collateral dependent loans, as well as other loans that management of the Company designates as having higher risk. These loans do not share common risk characteristics and are not included within the collectively evaluated loans for determining the allowance for credit losses. The Company considers all impaired loans to be collateral dependent.


Nonaccruing Impaired Loans	Unpaid Principal Balance		Recorded Investment		Impaired Loans With No Allowance		Impaired Loans With Allowance		Allowance for Credit Losses
Mortgage loans on real estate:
Residential real estate	$	733	$	733	$	733	$	-	$	-
Commercial real estate		2,873		2,873		364		2,509		693
Construction and land development		-		-		-		-		-
Total mortgage loans on real estate		3,606		3,606		1,097		2,509		693
Home equity lines of credit		-		-		-		-		-
Commercial loans		558		558		-		558		279
Consumer loans		-		-		-		-		-
Total Loans	$	4,164	$	4,164	$	1,097	$	3,067	$	972


Accruing Impaired Loans	Unpaid Principal Balance		Recorded Investment		Impaired Loans With No Allowance		Impaired Loans With Allowance		Allowance for Credit Losses
Mortgage loans on real estate:
Residential real estate	$	1,085	$	1,085	$	1,085	$	-	$	-
Commercial real estate		3,856		3,856		3,856		-		-
Construction and land development		177		177		177		-		-
Total mortgage loans on real estate		5,118		5,118		5,118		-		-
Home equity lines of credit		-		-		-		-		-
Commercial loans		33		33		-		33		33
Consumer loans		42		42		-		42		42
Total Loans	$	5,193	$	5,193	$	5,118	$	75	$	75


Total Impaired Loans	Unpaid Principal Balance		Recorded Investment		Impaired Loans With No Allowance		Impaired Loans With Allowance		Allowance for Credit Losses
Mortgage loans on real estate:
Residential real estate	$	1,818	$	1,818	$	1,818	$	-	$	-
Commercial real estate		6,729		6,729		4,220		2,509		693
Construction and land development		177		177		177		-		-
Total mortgage loans on real estate		8,724		8,724		6,215		2,509		693
Home equity lines of credit		-		-		-		-		-
Commercial loans		591		591		-		591		312
Consumer loans		42		42		-		42		42
Total Loans	$	9,357	$	9,357	$	6,215	$	3,142	$	1,047

The following table presents collateral dependent impaired loans by class of loans as of December 31, 2022 (amounts in thousands). Purchased credit-impaired loans are not included in these tables because they are carried at fair value and accordingly have no related associated allowance.


Nonaccruing Impaired Loans	Unpaid Principal Balance		Recorded Investment		Impaired Loans With No Allowance		Impaired Loans With Allowance		Allowance for Loan Losses
Mortgage loans on real estate:
Residential real estate	$	239	$	239	$	239	$	-	$	-
Commercial real estate		599		599		373		226		241
Construction and land development		-		-		-		-		-
Total mortgage loans on real estate		838		838		612		226		241
Home equity lines of credit		-		-		-		-		-
Commercial loans		-		-		-		-		-
Consumer loans		-		-		-		-		-
Total Loans	$	838	$	838	$	612	$	226	$	241


Accruing Impaired Loans	Unpaid Principal Balance		Recorded Investment		Impaired Loans With No Allowance		Impaired Loans With Allowance		Allowance for Loan Losses
Mortgage loans on real estate:
Residential real estate	$	1,012	$	1,012	$	1,012	$	-	$	-
Commercial real estate		6,178		6,178		6,178		-		-
Construction and land development		190		190		190		-		-
Total mortgage loans on real estate		7,380		7,380		7,380		-		-
Home equity lines of credit		-		-		-		-		-
Commercial loans		595		595		-		595		317
Consumer loans		47		47		-		47		47
Total Loans	$	8,022	$	8,022	$	7,380	$	642	$	364


Total Impaired Loans	Unpaid Principal Balance		Recorded Investment		Impaired Loans With No Allowance		Impaired Loans With Allowance		Allowance for Loan Losses
Mortgage loans on real estate:
Residential real estate	$	1,251	$	1,251	$	1,251	$	-	$	-
Commercial real estate		6,777		6,777		6,551		226		241
Construction and land development		190		190		190		-		-
Total mortgage loans on real estate		8,218		8,218		7,992		226		241
Home equity lines of credit		-		-		-		-		-
Commercial loans		595		595		-		595		317
Consumer loans		47		47		-		47		47
Total Loans	$	8,860	$	8,860	$	7,992	$	868	$	605

The following tables present the aging of loans and non-accrual loans as of March 31, 2023 and December 31, 2022, by class of loans (amounts in thousands).


	Accruing Loans
As of March 31, 2023	Current		30-89 Days Past Due		90+ Days Past Due		Nonaccrual Loans		Total Loans		Nonaccrual With No ACL
Mortgage loans on real estate:
Residential real estate	$	636,697	$	939	$	-	$	1,223	$	638,859	$	1,223
Commercial real estate		582,863		283		-		2,873		586,019		364
Construction and land development		270,948		444		-		8		271,400		8
Total mortgage loans on real estate		1,490,508		1,666		-		4,104		1,496,278		1,595
Home equity lines of credit		68,728		450		-		49		69,227		49
Commercial loans		299,410		387		-		558		300,355		-
Consumer loans		50,815		339		-		3		51,157		3
Total Loans	$	1,909,461	$	2,842	$	-	$	4,714	$	1,917,017	$	1,647


	Accruing Loans
As of December 31, 2022	Current		30-89 Days Past Due		90+ Days Past Due		Nonaccrual Loans		Total Loans		Nonaccrual With No ACL
Mortgage loans on real estate:
Residential real estate	$	594,055	$	1,737	$	72	$	697	$	596,561	$	454
Commercial real estate		545,354		5,504		-		599		551,457		-
Construction and land development		255,989		492		-		9		256,490		9
Total mortgage loans on real estate		1,395,398		7,733		72		1,305		1,404,508		463
Home equity lines of credit		64,016		150		-		49		64,215		26
Commercial loans		290,485		412		66		-		290,963		-
Consumer loans		49,251		339		-		2		49,592		2
Total Loans	$	1,799,150	$	8,634	$	138	$	1,356	$	1,809,278	$	491

The Bank categorizes loans in risk categories based on relevant information about the ability of borrowers to service their debt such as: current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. The Bank analyzes loans individually by classifying the loans as to credit risk. This analysis is performed on a continuous basis. The Bank uses the following definitions for its risk ratings:

Special Mention - Weakness exists that could cause future impairment, including the deterioration of financial ratios, past due status and questionable management capabilities. Collateral values generally afford adequate coverage but may not be immediately marketable.

Substandard - Specific and well-defined weaknesses exist that may include poor liquidity and deterioration of financial ratios. The loan may be past due and related deposit accounts experiencing overdrafts. Immediate corrective action is necessary.

Doubtful - Specific weaknesses characterized as Substandard that are severe enough to make collection in full unlikely. There is no reliable secondary source of full repayment. Loans classified as doubtful will be placed on non-accrual, analyzed and fully or partially charged-off based on review of collateral and other relevant factors.

Loans not meeting the criteria above that are analyzed individually as part of the above described process are considered to be Pass rated loans.

The following table presents loan balances classified by credit quality indicator, loan type and based on year of origination as of March 31, 2023 (amounts in thousands).


	2023		2022		2021		2020		2019		Prior		Revolving Loans		Total
Residential real estate
Pass	$	54,339	$	320,455	$	131,200	$	77,618	$	19,998	$	29,612	$	-	$	633,222
Special Mention		355		1,653		543		96		28		328		-		3,003
Substandard		37		900		252		343		547		555		-		2,634
Doubtful		-		-		-		-		-		-		-		-
Total residential real estate	$	54,731	$	323,008	$	131,995	$	78,057	$	20,573	$	30,495	$	-	$	638,859
Commercial real estate
Pass	$	31,735	$	197,039	$	109,805	$	103,497	$	50,447	$	82,549	$	-	$	575,072
Special Mention		435		-		-		1,201		-		2,388		-		4,024
Substandard		199		784		262		48		52		5,578		-		6,923
Doubtful		-		-		-		-		-		-		-		-
Total commercial real estate	$	32,369	$	197,823	$	110,067	$	104,746	$	50,499	$	90,515	$	-	$	586,019
Construction and land development
Pass	$	23,340	$	181,482	$	47,033	$	7,288	$	3,156	$	8,026	$	-	$	270,325
Special Mention		211		387		240		-		25		14		-		877
Substandard		-		177		8		12		-		1		-		198
Doubtful		-		-		-		-		-		-		-		-
Total construction and land development	$	23,551	$	182,046	$	47,281	$	7,300	$	3,181	$	8,041	$	-	$	271,400
Home equity lines of credit
Pass	$	7,604	$	27,273	$	12,725	$	6,106	$	3,492	$	11,712	$	-	$	68,912
Special Mention		-		210		-		-		-		-		-		210
Substandard		-		-		-		-		-		105		-		105
Doubtful		-		-		-		-		-		-		-		-
Total home equity lines of credit	$	7,604	$	27,483	$	12,725	$	6,106	$	3,492	$	11,817	$	-	$	69,227
Commercial loans
Pass	$	29,909	$	116,270	$	61,143	$	51,206	$	13,384	$	20,959	$	-	$	292,871
Special Mention		142		572		509		1,055		209		4,330		-		6,817
Substandard		76		-		-		28		-		563		-		667
Doubtful		-		-		-		-		-		-		-		-
Total commercial loans	$	30,127	$	116,842	$	61,652	$	52,289	$	13,593	$	25,852	$	-	$	300,355
Consumer loans
Pass	$	6,721	$	20,932	$	11,799	$	5,136	$	2,929	$	3,289	$	-	$	50,806
Special Mention		8		163		37		21		8		6		-		243
Substandard		-		23		31		9		-		45		-		108
Doubtful		-		-		-		-		-		-		-		-
Total consumer loans	$	6,729	$	21,118	$	11,867	$	5,166	$	2,937	$	3,340	$	-	$	51,157
Total Loans
Pass	$	153,648	$	863,451	$	373,705	$	250,851	$	93,406	$	156,147	$	-	$	1,891,208
Special Mention		1,151		2,985		1,329		2,373		270		7,066		-		15,174
Substandard		312		1,884		553		440		599		6,847		-		10,635
Doubtful		-		-		-		-		-		-		-		-
Total loans	$	155,111	$	868,320	$	375,587	$	253,664	$	94,275	$	170,060	$	-	$	1,917,017

As of December 31, 2022, the risk category of loans by class of loans is as follows (amounts in thousands):



As of December 31, 2022	Pass		Special Mention		Substandard		Doubtful		Total
Mortgage loans on real estate:
Residential real estate	$	591,882	$	2,648	$	2,031	$	-	$	596,561
Commercial real estate		539,777		4,706		6,974		-		551,457
Construction and land development		256,200		77		213		-		256,490
Total mortgage loans on real estate		1,387,859		7,431		9,218		-		1,404,508
Home equity lines of credit		63,861		212		142		-		64,215
Commercial loans		283,359		7,008		596		-		290,963
Consumer loans		49,206		238		148		-		49,592
Total Loans	$	1,784,285	$	14,889	$	10,104	$	-	$	1,809,278