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Allowance for Loan Losses
 9 Months Ended
Sep. 30, 2019
Receivables [Abstract]  
Allowance for Loan Losses Allowance for Loan Losses
The allowance for loan losses is management’s best estimate of incurred losses inherent in the loan portfolio as of the balance sheet date. The Corporation uses a methodology to systematically measure the amount of estimated loan loss exposure inherent in the loan portfolio for purposes of establishing a sufficient allowance for loan losses. The methodology includes: (1) the identification of loss allocations for individual loans deemed to be impaired and (2) the application of loss allocation factors for non-impaired loans based on historical loss experience and estimated loss emergence period, with adjustments for various exposures that management believes are not adequately represented by historical loss experience.

The following table presents the activity in the allowance for loan losses for the three months ended September 30, 2019:
(Dollars in thousands)
Commercial
 
 
Consumer
 
 
 
CRE (1)
C&I (2)
Total Commercial
Residential Real Estate
Home Equity
Other
Total Consumer
Total
Beginning Balance

$16,882


$4,453


$21,335


$4,857


$913


$293


$1,206


$27,398

Charge-offs
(947
)
(1
)
(948
)
—

—

(18
)
(18
)
(966
)
Recoveries
—

123

123

—

36

6

42

165

Provision
866

(1,128
)
(262
)
554

64

44

108

400

Ending Balance

$16,801


$3,447


$20,248


$5,411


$1,013


$325


$1,338


$26,997


(1) Commercial real estate loans.
(2) Commercial & industrial loans.

The following table presents the activity in the allowance for loan losses for the nine months ended September 30, 2019:
 
 
 
 
 
 
 
 
 
(Dollars in thousands)
Commercial
 
 
Consumer
 
 
 
CRE (1)
C&I (2)
Total Commercial
Residential Real Estate
Home Equity
Other
Total Consumer
Total
Beginning Balance

$15,381


$5,847


$21,228


$3,987


$1,603


$254


$1,857


$27,072

Charge-offs
(947
)
(19
)
(966
)
(486
)
(372
)
(64
)
(436
)
(1,888
)
Recoveries
—

151

151

—

71

16

87

238

Provision
2,367

(2,532
)
(165
)
1,910

(289
)
119

(170
)
1,575

Ending Balance

$16,801


$3,447


$20,248


$5,411


$1,013


$325


$1,338


$26,997

(1) Commercial real estate loans.
(2) Commercial & industrial loans.

The following table presents the activity in the allowance for loan losses for the three months ended September 30, 2018:
(Dollars in thousands)
Commercial
 
 
Consumer
 
 
 
CRE (1)
C&I (2)
Total Commercial
Residential Real Estate
Home Equity
Other
Total Consumer
Total
Beginning Balance

$12,443


$6,642


$19,085


$5,314


$1,375


$400


$1,775


$26,174

Charge-offs
—

(1
)
(1
)
(68
)
—

(27
)
(27
)
(96
)
Recoveries
—

71

71

—

2

8

10

81

Provision
1,052

535

1,587

(1,131
)
12

(118
)
(106
)
350

Ending Balance

$13,495


$7,247


$20,742


$4,115


$1,389


$263


$1,652


$26,509

(1) Commercial real estate loans.
(2) Commercial & industrial loans.

The following table presents the activity in the allowance for loan losses for the nine months ended September 30, 2018:
 
 
 
 
 
 
 
 
 
(Dollars in thousands)
Commercial
 
 
Consumer
 
 
 
CRE (1)
C&I (2)
Total Commercial
Residential Real Estate
Home Equity
Other
Total Consumer
Total
Beginning Balance

$12,729


$5,580


$18,309


$5,427


$2,412


$340


$2,752


$26,488

Charge-offs
(627
)
(8
)
(635
)
(73
)
(111
)
(70
)
(181
)
(889
)
Recoveries
25

104

129

—

12

19

31

160

Provision
1,368

1,571

2,939

(1,239
)
(924
)
(26
)
(950
)
750

Ending Balance

$13,495


$7,247


$20,742


$4,115


$1,389


$263


$1,652


$26,509


(1) Commercial real estate loans.
(2) Commercial & industrial loans.

The following table presents the Corporation’s loan portfolio and associated allowance for loan losses by portfolio segment and by impairment methodology:
(Dollars in thousands)
September 30, 2019
 
December 31, 2018
 
Loans
 
Related Allowance
 
Loans
 
Related Allowance
Loans Individually Evaluated for Impairment
 
 
 
 
 
 
 
Commercial:
 
 
 
 
 
 
 
Commercial real estate

$684

 

$—

 

$925

 

$—

Commercial & industrial
—

 
—

 
4,714

 
—

Total commercial
684

 
—

 
5,639

 
—

Residential Real Estate:
 
 
 
 
 
 
 
Residential real estate
12,890

 
96

 
9,710

 
100

Consumer:
 
 
 
 
 
 
 
Home equity
1,599

 
220

 
1,445

 
24

Other
107

 
5

 
22

 
3

Total consumer
1,706

 
225

 
1,467

 
27

Subtotal
15,280

 
321

 
16,816

 
127

Loans Collectively Evaluated for Impairment
 
 
 
 
 
 
 
Commercial:
 
 
 
 
 
 
 
Commercial real estate
1,516,636

 
16,801

 
1,391,483

 
15,381

Commercial & industrial
566,426

 
3,447

 
615,990

 
5,847

Total commercial
2,083,062

 
20,248

 
2,007,473

 
21,228

Residential Real Estate:
 
 
 
 
 
 
 
Residential real estate
1,365,628

 
5,315

 
1,350,677

 
3,887

Consumer:
 
 
 
 
 
 
 
Home equity
292,651

 
793

 
279,182

 
1,579

Other
21,485

 
320

 
26,212

 
251

Total consumer
314,136

 
1,113

 
305,394

 
1,830

Subtotal
3,762,826

 
26,676

 
3,663,544

 
26,945

Total

$3,778,106

 

$26,997

 

$3,680,360

 

$27,072