Allowance for Loan Losses

3 Months Ended

Mar. 31, 2021

Allowance for Loan LossesThe following tables detail activity in the allowance for loan losses, segregated by class of loan, for the three months periods ended March 31, 2021 and March 31, 2020. Allocation of a portion of the allowance to one category of loans does not preclude its availability to absorb losses in other loan categories and periodically may result in reallocation within the provision categories.


(dollars in thousands)	Construction, land and land development		Other commercial real estate		Residential real estate		Commercial, financial & agricultural		Consumer and other		Total
Three months ended March 31, 2021
Beginning Balance	$	1,013	$	6,880	$	2,278	$	1,713	$	243	$	12,127
Charge-offs	—		—		—		(15)		(11)		(26)
Recoveries	15		—		66		3		8		92
Provision	25		248		67		(35)		195		500
Ending balance	1,053		7,128		2,411		1,666		435		12,693









Period end amount allocated to
Individually evaluated for impairment	—		1,315		229		38		6		1,588
Collectively evaluated for impairment	1,015		5,771		2,172		1,528		429		10,915
Purchase credit impaired	38		42		10		100		—		190
Ending Balance	1,053		7,128		2,411		1,666		435		12,693

Loans
Individually evaluated for impairment	7,480		15,368		2,300		89		6		25,243
Collectively evaluated for impairment	108,439		521,948		175,910		210,199		20,196		1,036,692
Purchase credit impaired	48		764		1		27		—		840
Ending balance	$	115,967	$	538,080	$	178,211	$	210,315	$	20,202	$	1,062,775


(dollars in thousands)	Construction, land and land development		Other commercial real estate		Residential real estate		Commercial, financial & agricultural		Consumer and other		Total
Three months ended March 31, 2020
Beginning Balance	$	215	$	3,908	$	980	$	1,657	$	103	$	6,863
Charge-offs	—		(30)		(64)		(68)		(351)		(513)
Recoveries	13		5		4		1		55		78
Provision	126		938		283		190		419		1,956
Ending balance	354		4,821		1,203		1,780		226		8,384







December 31, 2020
Period end amount allocated to
Individually evaluated for impairment	—		1,436		226		263		—		1,925
Collectively evaluated for impairment	1,013		5,444		2,048		1,450		162		10,117
Purchase credit impaired	—		—		4		—		81		85
Ending Balance	1,013		6,880		2,278		1,713		243		12,127

Loans
Individually evaluated for impairment	6,982		17,430		2,352		350		—		27,114
Collectively evaluated for impairment	114,017		502,961		180,658		212,984		21,522		1,032,142
Purchase credit impaired	94		—		11		46		96		247
Ending Balance	$	121,093	$	520,391	$	183,021	$	213,380	$	21,618	$	1,059,503

Management continually evaluates the allowance for loan losses methodology seeking to refine and enhance this process as appropriate, and it is likely that the methodology will continue to evolve over time.

The Company determines its individual reserves during its quarterly review of substandard loans. This process involves reviewing all loans with a risk grade of 6 or greater and an outstanding balance of $250,000 or more, regardless of the loans impairment classification.