Loans

6 Months Ended

Jun. 30, 2020

(4) Loans

Loan balances were as follows:

	June 30, 2020			December 31, 2019
Commercial & Agriculture	$	442,444		$	203,110
Commercial Real Estate- Owner Occupied		252,914			245,606
Commercial Real Estate- Non-Owner Occupied		646,792			592,222
Residential Real Estate		453,067			463,032
Real Estate Construction		178,318			155,825
Farm Real Estate		35,441			34,114
Consumer and Other		13,989			15,061
Total loans		2,022,965			1,708,970
Allowance for loan losses		(20,420	)		(14,767	)
Net loans	$	2,002,545		$	1,694,203

Included in Commercial & Agriculture is $257,568 of Paycheck Protection Program (“PPP”) loans.

Included in total loans above are net deferred loan fees of $9,303 and $488 at June 30, 2020 and December 31, 2019, respectively. Included in net deferred loan fees is $8,678 of net deferred loans fees from PPP loans.

Loan Modifications/Troubled Debt Restructurings

During the first six months of 2020, Civista modified 813 loans totaling $431,283, primarily consisting of the deferral of principal and/or interest payments in accordance with customer deferral requests related to the COVID-19 pandemic. All of the loans

were performing at the time of the modification and comply with the provisions of the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) to not be considered a troubled debt restructuring. Details with respect to actual loan modifications are as follows:

	Number of				Weighted Average
Type of Loan	Loans		Balance		Interest Rate
			(In thousands)
Commercial & Agriculture		229	$	47,686		4.56	%
Commercial Real Estate:
Owner Occupied		193		91,831		4.82	%
Non-Owner Occupied		179		234,543		4.47	%
Residential Real Estate		170		29,012		4.67	%
Real Estate Construction		18		26,296		4.39	%
Farm Real Estate		9		1,783		4.94	%
Consumer and Other		15		132		8.01	%
Total		813	$	431,283		4.57	%

For additional information regarding loans modified under the CARES Act, please see the subsequent events note.

Certain loans within our commercial and commercial real estate portfolios are expected to be disproportionately adversely affected by the COVID-19 pandemic. Due to mandatory lockdowns and travel restrictions, certain industries, such as hospitality, travel, food service and restaurants and bars, may suffer greater losses as a result of the COVID-19 pandemic. The following table provides information regarding our potential COVID-19 risk concentrations for commercial and commercial real estate loans by industry type at June 30, 2020.

	Commercial & Agriculture		Commercial Real Estate- Owner Occupied		Commercial Real Estate- Non-Owner Occupied		Total
Administration and support	$	365	$	952	$	—	$	1,317
Agriculture		153		811		—		964
Construction		3,895		298		1,370		5,563
Education		74		2,363		—		2,437
Entertainment and recreation		3,102		26,638		5,151		34,891
Health care		3,226		11,523		—		14,749
Hotels		1,802		979		52,309		55,090
Information, finance and insurance		175		—		—		175
Manufacturing		6,192		2,068		—		8,260
Other services		4,490		9,319		3,421		17,230
Professional and management		250		394		—		644
Real estate		590		15,631		168,606		184,827
Restaurants		17,818		12,998		3,042		33,858
Retail		3,838		4,637		644		9,119
Transportation and warehousing		216		542		—		758
Wholesalers		1,500		2,678		—		4,178
Total	$	47,686	$	91,831	$	234,543	$	374,060