Peoples Financial Services (PFIS) 10-Q8 Aug 222022 Q2 Quarterly reportFinancial data

Company Profile

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
Document and Entity Information - shares	Jun. 30, 2022	Aug. 09, 2022
Document and Entity Information
Document Type	10-Q
Document Quarterly Report	true
Document Transition Report	false
Document Period End Date	Jun. 30, 2022
Entity File Number	001-36388
Entity Registrant Name	PEOPLES FINANCIAL SERVICES CORP.
Entity Incorporation, State or Country Code	PA
Entity Tax Identification Number	23-2391852
Entity Address, Address Line One	150 North Washington Avenue
Entity Address, City or Town	Scranton
Entity Address, State or Province	PA
Entity Address, Postal Zip Code	18503
City Area Code	570
Local Phone Number	346-7741
Title of 12(b) Security	Common stock, $2.00 par value
Trading Symbol	PFIS
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		7,170,660
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q2
Entity Central Index Key	0001056943
Amendment Flag	false

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Cash and cash equivalents
Cash and due from banks	$ 39,693	$ 30,415
Interest-bearing deposits in other banks	8,040	7,093
Federal funds sold		242,425
Total cash and cash equivalents	47,733	279,933
Investment securities:
Available-for-sale	513,911	517,321
Equity investments carried at fair value	121	140
Held-to-maturity: Fair value June 30, 2022, $84,076; December 31, 2021, $70,446	94,446	71,213
Total investment securities	608,478	588,674
Loans	2,565,579	2,329,173
Less: allowance for loan losses	29,374	28,383
Net loans	2,536,205	2,300,790
Loans held for sale	681	408
Premises and equipment, net	53,094	51,502
Accrued interest receivable	9,303	8,528
Goodwill	63,370	63,370
Intangible assets, net	276	468
Bank owned life insurance	47,968	42,754
Other assets	54,431	33,056
Total assets	3,421,539	3,369,483
Deposits:
Noninterest-bearing	747,558	737,756
Interest-bearing	2,163,725	2,225,641
Total deposits	2,911,283	2,963,397
Short-term borrowings	129,170	0
Long-term debt	1,646	2,711
Subordinated debentures	33,000	33,000
Accrued interest payable	1,269	408
Other liabilities	33,274	29,841
Total liabilities	3,109,642	3,029,357
Stockholders' equity:
Common stock, par value $2.00, authorized 25,000,000 shares, issued and outstanding 7,179,037 shares at June 30, 2022 and 7,169,372 shares at December 31, 2021	14,346	14,341
Capital surplus	126,986	127,549
Retained earnings	217,139	203,750
Accumulated other comprehensive loss	(46,574)	(5,514)
Total stockholders' equity	311,897	340,126
Total liabilities and stockholders' equity	$ 3,421,539	$ 3,369,483

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Consolidated Balance Sheets
Held-to-maturity, Fair value	$ 84,076	$ 70,446
Common stock, par value	$ 2	$ 2
Common stock, shares authorized	25,000,000	25,000,000
Common stock, shares issued	7,179,037	7,169,372
Common stock, shares outstanding	7,179,037	7,169,372

Consolidated Statements of Inco

Consolidated Statements of Income and Comprehensive Income (Loss) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Interest and fees on loans:
Taxable	$ 22,009	$ 20,029	$ 42,862	$ 40,929
Tax-exempt	1,218	965	2,379	1,835
Interest and dividends on investment securities:
Taxable	2,108	1,276	4,080	2,519
Tax-exempt	515	411	1,025	801
Dividends	2	25	2	48
Interest on interest-bearing deposits in other banks	18	2	20	4
Interest on federal funds sold	22	55	95	104
Total interest income	25,892	22,763	50,463	46,240
Interest expense:
Interest on deposits	1,597	1,941	3,065	4,033
Interest on short-term borrowings	122	6	122	77
Interest on long-term debt	23	82	51	185
Interest on subordinated debt	443	444	887	887
Total interest expense	2,185	2,473	4,125	5,182
Net interest income	23,707	20,290	46,338	41,058
Provision (credit) for loan losses	950	100	1,250	(400)
Net interest income after provision for loan losses	22,757	20,190	45,088	41,458
Noninterest income:
Mortgage banking income	128	208	272	520
Increase in cash surrender value of life insurance	244	225	462	444
Interest rate swap revenue	284	(132)	627	665
Net (loss) gain on equity investment securities	(23)	(17)	(19)	4
Total noninterest income	3,881	3,387	7,302	6,904
Noninterest expense:
Salaries and employee benefits expense	7,851	7,250	15,891	13,820
Net occupancy and equipment expense	3,950	3,047	7,775	6,314
Amortization of intangible assets	97	125	193	250
Net gain on sale of other real estate owned	(20)	(29)	(478)	(75)
Professional fees and outside services	766	569	1,236	1,016
FDIC insurance and assessments	319	271	645	531
Donations	331	379	665	718
Other expenses	2,199	1,846	3,855	3,513
Total noninterest expense	15,493	13,458	29,782	26,087
Income before income taxes	11,145	10,119	22,608	22,275
Income tax expense	1,792	1,588	3,625	4,266
Net income	9,353	8,531	18,983	18,009
Other comprehensive loss:
Unrealized loss on investment securities available-for-sale	(18,669)	2,470	(51,281)	(5,279)
Change in derivative fair value	(201)	(135)	(694)	106
Other comprehensive loss	(18,870)	2,335	(51,975)	(5,173)
Income tax benefit	(3,963)	490	(10,915)	(1,087)
Other comprehensive loss, net of income taxes	(14,907)	1,845	(41,060)	(4,086)
Comprehensive (loss) income	$ (5,554)	$ 10,376	$ (22,077)	$ 13,923
Net income:
Basic	$ 1.30	$ 1.18	$ 2.65	$ 2.50
Diluted	$ 1.30	$ 1.18	$ 2.63	$ 2.49
Average common shares outstanding:
Basic	7,171,909	7,204,261	7,172,181	7,207,588
Diluted	7,215,365	7,239,325	7,215,890	7,242,652
Dividends declared	$ 0.39	$ 0.37	$ 0.78	$ 0.74
Service charges, fees and commissions
Noninterest income:
Revenue from contracts with customers	$ 1,761	$ 1,625	$ 3,453	$ 2,809
Merchant services income
Noninterest income:
Revenue from contracts with customers	562	508	676	601
Commission and fees on fiduciary activities
Noninterest income:
Revenue from contracts with customers	551	553	1,106	1,086
Wealth management income
Noninterest income:
Revenue from contracts with customers	$ 374	$ 417	$ 725	$ 775

Consolidated Statements of Chan

Consolidated Statements of Changes in Stockholders' Equity - USD ($) $ in Thousands	Common Stock	Capital Surplus	Retained Earnings	Accumulated Other Comprehensive Income (Loss)	Total
Balance at Dec. 31, 2020	$ 14,431	$ 129,274	$ 171,023	$ 2,149	$ 316,877
Net income			9,478		9,478
Other comprehensive loss, net of income taxes				(5,931)	(5,931)
Dividends declared			(2,665)		(2,665)
Stock based compensation		89			89
Restricted stock issued	18	(18)
Share retirement	(26)	(491)			(517)
Balance at Mar. 31, 2021	14,423	128,854	177,836	(3,782)	317,331
Balance at Dec. 31, 2020	14,431	129,274	171,023	2,149	316,877
Net income					18,009
Other comprehensive loss, net of income taxes					(4,086)
Balance at Jun. 30, 2021	14,407	128,719	183,702	(1,937)	324,891
Balance at Mar. 31, 2021	14,423	128,854	177,836	(3,782)	317,331
Net income			8,531		8,531
Other comprehensive loss, net of income taxes				1,845	1,845
Dividends declared			(2,665)		(2,665)
Stock based compensation		177			177
Share retirement	(16)	(312)			(328)
Balance at Jun. 30, 2021	14,407	128,719	183,702	(1,937)	324,891
Balance at Dec. 31, 2021	14,341	127,549	203,750	(5,514)	340,126
Net income			9,630		9,630
Other comprehensive loss, net of income taxes				(26,153)	(26,153)
Dividends declared			(2,796)		(2,796)
Stock based compensation		(28)			(28)
Restricted stock issued	24	(24)
Share retirement	(13)	(305)			(318)
Balance at Mar. 31, 2022	14,352	127,192	210,584	(31,667)	320,461
Balance at Dec. 31, 2021	14,341	127,549	203,750	(5,514)	340,126
Net income					18,983
Other comprehensive loss, net of income taxes					(41,060)
Balance at Jun. 30, 2022	14,346	126,986	217,139	(46,574)	311,897
Balance at Mar. 31, 2022	14,352	127,192	210,584	(31,667)	320,461
Net income			9,353		9,353
Other comprehensive loss, net of income taxes				(14,907)	(14,907)
Dividends declared			(2,798)		(2,798)
Stock based compensation		116			116
Restricted stock issued	8	(8)
Share retirement	(14)	(314)			(328)
Balance at Jun. 30, 2022	$ 14,346	$ 126,986	$ 217,139	$ (46,574)	$ 311,897

Consolidated Statements of Ch_2

Consolidated Statements of Changes in Stockholders' Equity (Parenthetical) - $ / shares	3 Months Ended
	Jun. 30, 2022	Mar. 31, 2022	Jun. 30, 2021	Mar. 31, 2021
Consolidated Statements of Changes in Stockholders' Equity
Dividends declared (in dollars per share)	$ 0.39	$ 0.39	$ 0.37	$ 0.37
Restricted stock issued, shares	4,071	12,332		9,192
Share retired, shares	6,853	6,714	7,828	13,101

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021
Cash flows from operating activities:
Net income	$ 18,983	$ 18,009
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation of premises and equipment	994	1,352
Amortization of right-of-use lease asset	294	204
Amortization (accretion) of deferred loan fees, net	965	(2,614)
Amortization of intangibles	193	250
Amortization of low income housing partnerships	241	240
Provision (credit) for loan losses	1,250	(400)
Net unrealized loss (gain) on equity investment securities	19	(4)
Net gain on sale of other real estate owned	(478)	(75)
Loans originated for sale	(3,454)	(11,398)
Proceeds from sale of loans originated for sale	3,200	10,863
Net gain on sale of loans originated for sale	(19)	(173)
Net amortization of investment securities	799	551
Increase in cash surrender value of life insurance	(462)	(444)
Deferred income tax expense		620
Stock based compensation	88	266
Net change in:
Accrued interest receivable	(777)	411
Other assets	(2,045)	(1,137)
Accrued interest payable	861	(267)
Other liabilities	(1,914)	(3,253)
Net cash provided by operating activities	18,738	13,001
Proceeds from repayments of investment securities:
Available-for-sale	20,816	19,496
Held-to-maturity	2,546	119
Purchases of investment securities:
Available-for-sale	(69,392)	(65,862)
Held-to-maturity	(25,872)
Net (purchase) redemption of restricted equity securities	(4,492)	2,272
Net increase in loans	(237,630)	(56,492)
Purchases of premises and equipment	(2,880)	(816)
Investment in bank owned life insurance	(5,881)
Proceeds from bank owned life insurance	1,129
Proceeds from sale of other real estate owned	967	680
Net cash used in investing activities	(320,689)	(100,603)
Cash flows from financing activities:
Net (decrease) increase in deposits	(52,114)	174,653
Repayment of long-term debt	(1,065)	(11,017)
Net increase (decrease) in short-term borrowings	129,170	(50,000)
Retirement of common stock	(646)	(845)
Cash dividends paid	(5,594)	(5,330)
Net cash provided by financing activities	69,751	107,461
Net (decrease) increase in cash and cash equivalents	(232,200)	19,859
Cash and cash equivalents at beginning of period	279,933	228,192
Cash and cash equivalents at end of period	47,733	248,051
Cash paid during the period for:
Interest	3,264	5,449
Income taxes	$ 5,285	2,500
Noncash items:
Transfers of loans to other real estate		$ 57

Summary of significant accounti

Summary of significant accounting policies	6 Months Ended
Summary of significant accounting policies	Jun. 30, 2022
Summary of significant accounting policies
Summary of significant accounting policies	1. Summary of significan t accounting policies: Nature of operations: Peoples Financial Services Corp., a bank holding company incorporated under the laws of Pennsylvania, provides a full range of financial services through its wholly-owned subsidiary, Peoples Security Bank and Trust Company (“the Bank”), collectively, the “Company” or “Peoples”. The Company services its retail and commercial customers through Basis of presentation: The accompanying unaudited consolidated financial statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10-01 of Regulation S-X. In the opinion of management, all normal recurring adjustments necessary for a fair presentation of the consolidated financial position and results of operations for the periods presented have been included. All significant intercompany balances and transactions have been eliminated in consolidation. Prior-period amounts are reclassified when necessary to conform to the current year’s presentation. These reclassifications did not have any effect on the consolidated operating results or financial position of the Company. The consolidated operating results and financial position of the Company for the three and six months ended and as of June 30, 2022, are not necessarily indicative of the results of consolidated operations and financial position that may be expected in the future. The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Significant estimates that are particularly susceptible to material change in the near term relate to the determination of the allowance for loan losses, fair value of financial instruments, the valuation of deferred tax assets, and impairment of goodwill. Actual results could differ from those estimates. For additional information and disclosures required under GAAP, reference is made to the Company’s Annual Report on Form 10-K for the period ended December 31, 2021. Third Quarter Dividend Decl aration On July 29, 2022, the Board of Directors declared a third quarter dividend of $0.40 per share. The dividend is payable on September 15, 2022 to shareholders of record as of August 31, 2022. Recent accounting standards: From time to time, new accounting pronouncements are issued by the Financial Accounting Standards Board ("FASB") or other standard setting bodies that are adopted by the Company as of the required effective dates. The following should be read in conjunction with "Note 1 Summary of significant accounting policies" of the Notes to the Consolidated Financial Statements included in the Company’s annual report on Form 10-K for the year ended December 31, 2021. Unless otherwise discussed, management believes the impact of any recently issued standards, including those issued but not yet effective, will not have a material impact on the Company’s consolidated financial statements. Recently Issued But Not Yet Effective Accounting Pronouncements ASU 2016-13, Financial Instruments-Credit Losses (Topic 326), as modified by subsequent ASUs, changes accounting for credit losses on loans receivable and debt securities from an incurred loss methodology to an expected credit loss methodology. Among other things, ASU 2016-13 requires the measurement of all expected credit losses for financial assets held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. Accordingly, ASU 2016-13 requires the use of forward-looking information to form credit loss estimates. Many of the loss estimation techniques applied today will still be permitted, though the inputs to those techniques will change to reflect the full amount of expected credit losses. In addition, ASU 2016-13 amends the accounting for credit losses on debt securities and purchased financial assets with credit deterioration. The effect of implementing this ASU is recorded through a cumulative-effect adjustment to retained earnings. The Company has formed a committee and engaged outside vendors to implement a platform to utilize the alternative loss estimation methodologies in determining the impact that adoption of this standard will have on the Company’s financial condition and results of operations. The Company is required to adopt this guidance effective January 1, 2023. ASU No. 2022-02 Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures. This ASU eliminates the accounting guidance for troubled debt restructurings (TDRs) by creditors in Subtopic 310-40, Receivables - Troubled Debt Restructurings by Creditors, while adding disclosures for certain loan restructurings by creditors when a borrower is experiencing financial difficulty. This guidance requires an entity to determine whether the modification results in a new loan or a continuation of an existing loan. Additionally, the ASU requires disclosure of current period gross writeoffs by year of origination for financing receivables. The Company is required to adopt this guidance effective January 1, 2023. The Company does not believe adoption of this ASU will have a material impact on its financial results and will add the required disclosures for gross chargeoffs in its financial statements upon adoption of the new standard. ASU 2020-04, Reference Rate Reform (Topic 848) provides temporary optional guidance to ease the potential burden in accounting for reference rate reform. The amendments in Update 2020-04 are elective and apply to all entities that have contracts, hedging relationships, and other transactions that reference the London Inter Bank Offered Rate (“LIBOR”) or another reference rate expected to be discontinued. The guidance includes a general principle that permits an entity to consider contract modifications due to reference rate reform to be an event that does not require contract remeasurement at the modification date or reassessment of a previous accounting determination. Some specific optional expedients are as follows: ● Simplifies accounting for contract modifications, including modifications to loans receivable and debt, by prospectively adjusting the effective interest rate. ● Simplifies the assessment of hedge effectiveness and allows hedging relationships affected by reference rate reform to continue. The amendments in ASU 2020-04 are effective as of March 12, 2020 through December 31, 2022. The Company expects to apply the amendments prospectively for applicable loan and other contracts within the effective period of ASU 2020-04.

Other comprehensive loss

Other comprehensive loss	6 Months Ended
Other comprehensive loss	Jun. 30, 2022
Other comprehensive loss
Other comprehensive loss	2. Other comprehensive loss: The components of other comprehensive loss and their related tax effects are reported in the consolidated statements of income and comprehensive income. The accumulated other comprehensive loss included in the consolidated balance sheets relates to net unrealized gains and losses on investment securities available-for-sale, benefit plan adjustments and adjustments to derivative fair values. The components of accumulated other comprehensive loss included in stockholders’ equity at June 30, 2022 and December 31, 2021 are as follows: June 30, 2022 December 31, 2021 Net unrealized loss on investment securities available-for-sale $ (53,072) $ (1,791) Income tax benefit (11,145) (376) Net of income taxes (41,927) (1,415) Benefit plan adjustments (5,868) (5,868) Income tax benefit (1,232) (1,232) Net of income taxes (4,636) (4,636) Derivative adjustments (14) 680 Income tax (benefit) expense (3) 143 Net of income taxes (11) 537 Accumulated other comprehensive loss $ (46,574) $ (5,514)

Earnings per share

Earnings per share	6 Months Ended
Earnings per share	Jun. 30, 2022
Earnings per share
Earnings per share	3. Earnings per share: Basic earnings per share represent income available to common stockholders divided by the weighted-average number of common shares outstanding during the period. Diluted earnings per share reflect additional common shares that would have been outstanding if dilutive potential common shares had been issued, as well as any adjustment to income that would result from the assumed issuance. The following table presents the calculation of both basic and diluted earnings per share of common stock for the three and six months ended June 30, 2022 and 2021: 2022 2021 For the Three Months Ended June 30, Basic Diluted Basic Diluted Net income $ 9,353 $ 9,353 $ 8,531 $ 8,531 Average common shares outstanding 7,171,909 7,215,365 7,204,261 7,239,325 Earnings per share $ 1.30 $ 1.30 $ 1.18 $ 1.18 2022 2021 For the Six Months Ended June 30, Basic Diluted Basic Diluted Net income $ 18,983 $ 18,983 $ 18,009 $ 18,009 Average common shares outstanding 7,172,181 7,215,890 7,207,588 7,242,652 Earnings per share $ 2.65 $ 2.63 $ 2.50 $ 2.49

Investment securities

Investment securities	6 Months Ended
Investment securities	Jun. 30, 2022
Investment securities
Investment securities	4. Investment securities: The amortized cost and fair value of investment securities aggregated by investment category at June 30, 2022 and December 31, 2021 are summarized as follows: Gross Gross Amortized Unrealized Unrealized Fair June 30, 2022 Cost Gains Losses Value Available-for-sale: U.S. Treasury securities $ 252,706 $ 24 $ 16,272 $ 236,458 U.S. government-sponsored enterprises 23,616 2 453 23,165 State and municipals: Taxable 69,950 49 10,027 59,972 Tax-exempt 100,547 80 11,355 89,272 Residential mortgage-backed securities: U.S. government agencies 1,290 14 1,276 U.S. government-sponsored enterprises 102,500 14,544 87,956 Commercial mortgage-backed securities: U.S. government-sponsored enterprises 12,374 272 12,102 Corporate debt securities 4,000 290 3,710 Total $ 566,983 $ 155 $ 53,227 $ 513,911 Held-to-maturity: Tax-exempt state and municipals $ 11,257 $ 10 $ 978 $ 10,289 Residential mortgage-backed securities: U.S. government agencies 18,168 1,894 16,274 U.S. government-sponsored enterprises 65,021 7,508 57,513 Total $ 94,446 $ 10 $ 10,380 $ 84,076 Gross Gross Amortized Unrealized Unrealized Fair December 31, 2021 Cost Gains Losses Value Available-for-sale: U.S. Treasury securities $ 193,849 $ 107 $ 2,382 $ 191,574 U.S. government-sponsored enterprises 33,435 343 33,778 State and municipals: Taxable 69,066 994 1,082 68,978 Tax-exempt 96,412 2,452 614 98,250 Residential mortgage-backed securities: U.S. government agencies 1,790 53 1,843 U.S. government-sponsored enterprises 109,018 939 2,925 107,032 Commercial mortgage-backed securities: U.S. government-sponsored enterprises 12,542 406 12,948 Corporate debt securities 3,000 82 2,918 Total $ 519,112 $ 5,294 $ 7,085 $ 517,321 Held-to-maturity: Tax-exempt state and municipals $ 11,476 $ 126 $ 56 $ 11,546 Residential mortgage-backed securities: U.S. government agencies 18,802 392 18,410 U.S. government-sponsored enterprises 40,935 3 448 40,490 Total $ 71,213 $ 129 $ 896 $ 70,446 Restricted Investment In Stock Restricted investment in stock includes Federal Home Loan Bank (“FHLB”) stock with a carrying cost of $8,495 and $4,003 at June 30, 2022 and December 31, 2021, respectively, and Atlantic Community Bankers Bank (“ACBB”) stock with a carrying cost of $42 at June 30, 2022 and December 31, 2021, respectively, which are included in other assets in the consolidated balance sheets. FHLB and ACBB stock was issued as a requirement to facilitate participation in borrowing and other banking services. The investment in FHLB stock may fluctuate, as it is based on the member bank’s use of FHLB’s services. These restricted investments are carried at cost and evaluated for other-than-temporary impairment (“OTTI”) quarterly. As of June 30, 2022, there was no OTTI associated with these investments. The maturity distribution of the fair value, which is the net carrying amount, of the debt securities classified as available-for-sale at June 30, 2022, is summarized as follows: Fair June 30, 2022 Value Within one year $ 29,255 After one but within five years 205,194 After five but within ten years 83,195 After ten years 92,422 410,066 Mortgage-backed and other amortizing securities 103,845 Total $ 513,911 The maturity distribution of the amortized cost and fair value, of debt securities classified as held-to-maturity at June 30, 2022, is summarized as follows: Amortized Fair June 30, 2022 Cost Value Within one year $ $ After one but within five years After five but within ten years 8,092 7,429 After ten years 3,165 2,860 11,257 10,289 Mortgage-backed securities 83,189 73,787 Total $ 94,446 $ 84,076 Securities with a carrying value of $176,683 and $203,580 at June 30, 2022 and December 31, 2021, respectively, were pledged to secure public deposits and certain other deposits as required or permitted by law. Securities and short-term investment activities are conducted with a diverse group of government entities, corporations and state and local municipalities. The counterparty’s creditworthiness and type of collateral is evaluated on a case-by-case basis. At June 30, 2022 and December 31, 2021, there were no significant concentrations of credit risk from any one issuer, with the exception of U.S. government agencies and sponsored enterprises, that exceeded 10.0 percent of stockholders’ equity. The fair value and gross unrealized losses of investment securities with unrealized losses for which an OTTI has not been recognized at June 30, 2022 and December 31, 2021, aggregated by investment category and length of time that the individual securities have been in a continuous unrealized loss position, are summarized as follows: Less Than 12 Months 12 Months or Greater Total Number of Number of Number of Securities in a Fair Unrealized Securities in a Fair Unrealized Securities in a Fair Unrealized June 30, 2022 Loss Position Value Losses Loss Position Value Losses Loss Position Value Losses U.S. Treasury securities 53 $ 232,013 $ 16,272 $ $ 53 $ 232,013 $ 16,272 U.S. government-sponsored enterprises 5 16,662 453 5 16,662 453 State and municipals: Taxable 50 45,783 7,083 14 10,707 2,944 64 56,490 10,027 Tax-exempt 92 70,020 9,523 23 12,370 2,810 115 82,390 12,333 Residential mortgage-backed securities: U.S. government agencies 9 17,550 1,908 9 17,550 1,908 U.S. government-sponsored enterprises 30 91,177 11,118 10 53,591 10,934 40 144,768 22,052 Commercial mortgage-backed securities: U.S. government-sponsored enterprises 4 12,102 272 4 12,102 272 Corporate debt securities 4 2,811 189 2 899 101 6 3,710 290 Total 247 $ 488,118 $ 46,818 49 $ 77,567 $ 16,789 296 $ 565,685 $ 63,607 Less Than 12 Months 12 Months or Greater Total Number of Number of Number of Securities in a Fair Unrealized Securities in a Fair Unrealized Securities in a Fair Unrealized December 31, 2021 Loss Position Value Losses Loss Position Value Losses Loss Position Value Losses U.S. Treasury securities 42 $ 179,974 $ 2,382 $ $ 42 $ 179,974 $ 2,382 State and municipals: Taxable 27 26,827 718 8 8,008 364 35 34,835 1,082 Tax-exempt 61 38,693 358 2 10,319 313 63 49,012 671 Residential mortgage-backed securities: U.S. government agencies 3 18,398 391 3 18,398 391 U.S. government-sponsored enterprises 13 77,875 1,454 7 48,276 1,920 20 126,151 3,374 Corporate debt securities 4 2,449 51 1 470 30 5 2,919 81 Total 150 $ 344,216 $ 5,354 18 $ 67,073 $ 2,627 168 $ 411,289 $ 7,981 Management does not consider the unrealized losses on the debt securities, as a result of significantly higher market interest rates, to be OTTI based on historical evidence that indicates the cost of these securities is recoverable within a reasonable period of time in relation to normal cyclical changes in the market rates of interest. Moreover, because there has been no known material change in the credit quality of the issuers or other events or circumstances that may cause a significant adverse impact on the fair value of these securities, and management does not intend to sell these securities and it is unlikely that the Company will be required to sell these securities before recovery of their amortized cost basis, which may be maturity, the Company does not consider the unrealized losses to be OTTI at June 30, 2022. There was no OTTI recognized for the three or six months ended June 30, 2022 and 2021.

Loans, net and allowance for lo

Loans, net and allowance for loan losses	6 Months Ended
Loans, net and allowance for loan losses	Jun. 30, 2022
Loans, net and allowance for loan losses
Loans, net and allowance for loan losses	5. Loans, net and allowance for loan losses: The major classifications of loans outstanding, net of deferred loan origination fees and costs at June 30, 2022 and December 31, 2021 are summarized as follows. The Company had net deferred loan origination fees of $602 and $1,567 at June 30, 2022 and December 31, 2021, respectively. The decrease to the fees since year-end is due in part to the forgiveness by the Small Business Administration (“SBA”) of Paycheck Protection Program (“PPP”) loans. June 30, 2022 December 31, 2021 Commercial $ 596,809 $ 613,127 Real estate: Commercial 1,569,658 1,343,539 Residential 317,672 297,624 Consumer 81,440 74,883 Total $ 2,565,579 $ 2,329,173 PPP loans are forgivable, in whole or in part, if the proceeds are used for payroll and other permitted purposes in accordance with the requirements of the PPP. These loans carry a fixed rate of 1.00% and a term of two years or five years , if not forgiven, in whole or in part. Payments are deferred until either the date on which the SBA remits the amount of forgiveness proceeds to the lender or the date that is 10 months after the last day of the covered period if the borrower does not apply for forgiveness within that 10 month period. PPP fees are deferred and accreted into interest income over the contractual period of 24 months or 60 months , as applicable. Upon SBA forgiveness, unamortized fees are then recognized into interest income. The Bank originated additional loans through the PPP, which expired on May 31, 2021. During 2021, the Bank had generated and received SBA approval on 1,062 PPP loans totaling $121,599 and generated $4,370 in related deferred PPP net fees. Net deferred loan origination fees remaining related to PPP loans is $392 at June 30, 2022, compared to $1,659 at December 31, 2021. The PPP loans are included in the commercial loan classification and had an outstanding balance at June 30, 2022 of $27,036 comprised of $13,921 remaining from those originated during 2021 as part of round two and $13,115 remaining from loans originated during 2020 under round one of the program. At December 31, 2021, PPP loans had outstanding balances totaling $68,893. The PPP loans are risk rated ‘Pass’ and do not carry an allowance for loan losses due to a 100% SBA guarantee. At June 30, 2022, there were two loans past due totaling $7 . At December 31, 2021, the outstanding PPP balance was considered current. The changes in the allowance for loan losses account by major classification of loan for the three and six months ended June 30, 2022 and 2021 are summarized as follows: Real estate June 30, 2022 Commercial Commercial Residential Consumer Total Allowance for loan losses: Beginning Balance April 1, 2022 $ 7,593 $ 16,789 $ 3,255 $ 770 $ 28,407 Charge-offs (2) (96) (98) Recoveries 20 61 34 115 Provisions (credits) 153 719 (33) 111 950 Ending balance $ 7,766 $ 17,569 $ 3,220 $ 819 $ 29,374 Real estate June 30, 2021 Commercial Commercial Residential Consumer Total Allowance for loan losses: Beginning Balance April 1, 2021 $ 8,215 $ 14,703 $ 2,994 $ 871 $ 26,783 Charge-offs (144) (2) (44) (190) Recoveries 18 8 1 19 46 Provisions (credits) 287 (286) 76 23 100 Ending balance $ 8,520 $ 14,281 $ 3,069 $ 869 $ 26,739 Real estate June 30, 2022 Commercial Commercial Residential Consumer Total Allowance for loan losses: Beginning Balance January 1, 2022 $ 8,453 $ 15,928 $ 3,209 $ 793 $ 28,383 Charge-offs (161) (132) (2) (158) (453) Recoveries 29 77 3 85 194 Provisions (credits) (555) 1,696 10 99 1,250 Ending balance $ 7,766 $ 17,569 $ 3,220 $ 819 $ 29,374 Real estate June 30, 2021 Commercial Commercial Residential Consumer Total Allowance for loan losses: Beginning Balance January 1, 2021 $ 8,734 $ 14,559 $ 3,129 $ 922 $ 27,344 Charge-offs (15) (240) (24) (106) (385) Recoveries 79 66 2 33 180 Provisions (credits) (278) (104) (38) 20 (400) Ending balance $ 8,520 $ 14,281 $ 3,069 $ 869 $ 26,739 The allocation of the allowance for loan losses and the related loans by major classifications of loans at June 30, 2022 and December 31, 2021 is summarized as follows: Real estate June 30, 2022 Commercial Commercial Residential Consumer Total Allowance for loan losses: Ending balance $ 7,766 $ 17,569 $ 3,220 $ 819 $ 29,374 Ending balance: individually evaluated for impairment 34 15 48 97 Ending balance: collectively evaluated for impairment $ 7,732 $ 17,554 $ 3,172 $ 819 $ 29,277 Loans receivable: Ending balance $ 596,809 $ 1,569,658 $ 317,672 $ 81,440 $ 2,565,579 Ending balance: individually evaluated for impairment 160 2,903 1,267 4,330 Ending balance: collectively evaluated for impairment $ 596,649 $ 1,566,755 $ 316,405 $ 81,440 $ 2,561,249 Real estate December 31, 2021 Commercial Commercial Residential Consumer Total Allowance for loan losses: Ending balance $ 8,453 $ 15,928 $ 3,209 $ 793 $ 28,383 Ending balance: individually evaluated for impairment 40 109 26 175 Ending balance: collectively evaluated for impairment $ 8,413 $ 15,819 $ 3,183 $ 793 $ 28,208 Loans receivable: Ending balance $ 613,127 $ 1,343,539 $ 297,624 $ 74,883 $ 2,329,173 Ending balance: individually evaluated for impairment 199 2,889 1,274 4,362 Ending balance: collectively evaluated for impairment $ 612,928 $ 1,340,650 $ 296,350 $ 74,883 $ 2,324,811 The Company segments loans into 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. Loans are individually analyzed for credit risk by classifying them within the Company’s internal risk rating system. The Company’s risk rating classifications are defined as follows: ● Pass- A loan to borrowers with acceptable credit quality and risk that is not adversely classified as Substandard, Doubtful, Loss nor designated as Special Mention. ● Special Mention- A loan that has potential weaknesses that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or in the institution’s credit position at some future date. Special Mention loans are not adversely classified since they do not expose the Company to sufficient risk to warrant adverse classification. ● Substandard- A loan that is inadequately protected by the current sound worth and paying capacity of the obligor or of the collateral pledged, if any. Loans so classified must have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the bank will sustain some loss if the deficiencies are not corrected. ● Doubtful – A loan classified as Doubtful has all the weaknesses inherent in one classified Substandard with the added characteristic that the weaknesses make the collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. ● Loss- A loan classified as Loss is considered uncollectible and of such little value that its continuance as bankable loan is not warranted. This classification does not mean that the loan has absolutely no recovery or salvage value, but rather it is not practical or desirable to defer writing off this basically worthless asset even though partial recovery may be affected in the future. The following tables present the major classification of loans summarized by the aggregate pass rating and the classified ratings of special mention, substandard and doubtful within the Company’s internal risk rating system at June 30, 2022 and December 31, 2021: Special June 30, 2022 Pass Mention Substandard Doubtful Total Commercial $ 587,907 $ 8,077 $ 825 $ $ 596,809 Real estate: Commercial 1,555,363 8,028 6,267 1,569,658 Residential 315,835 119 1,718 317,672 Consumer 81,131 309 81,440 Total $ 2,540,236 $ 16,224 $ 9,119 $ $ 2,565,579 Special December 31, 2021 Pass Mention Substandard Doubtful Total Commercial $ 611,151 $ 896 $ 1,080 $ $ 613,127 Real estate: Commercial 1,324,646 13,939 4,954 1,343,539 Residential 294,892 333 2,399 297,624 Consumer 74,744 139 74,883 Total $ 2,305,433 $ 15,168 $ 8,572 $ $ 2,329,173 The increase to special mention commercial loans is primarily the result of the downgrade of one credit with an outstanding balance of $7,800 due to insufficient cash flows as the borrower’s operations have not stabilized in the anticipated timeframe. The decrease to special mention commercial real estate loans is due in part to an upgrade of a $3,531 credit resulting from improved financial performance and satisfactory repayment history and the payoff of a $2,429 credit. The increase to substandard commercial real estate loans is primarily due to the downgrade of three credits totaling $1,745 as a result of repayment uncertainty. These downgrades were offset by the payoff/reduction of various credits. Substandard residential real estate loans decreased Information concerning nonaccrual loans by major loan classification at June 30, 2022 and December 31, 2021 is summarized as follows: June 30, 2022 December 31, 2021 Commercial $ 147 $ 185 Real estate: Commercial 1,889 1,793 Residential 613 694 Consumer 270 139 Total $ 2,919 $ 2,811 Nonaccrual loans increased $108 from year end December 31, 2021 due to increases in commercial real estate and consumer loans, partially offset by reduced commercial and residential real estate loans.The major classifications of loans by past due status are summarized as follows: Greater Loans > 90 30-59 Days 60-89 Days than 90 Total Past Days and June 30, 2022 Past Due Past Due Days Due Current Total Loans Accruing Commercial $ 78 $ 19 $ 127 $ 224 $ 596,585 $ 596,809 $ Real estate: Commercial 1,561 240 708 2,509 1,567,149 1,569,658 Residential 270 475 375 1,120 316,552 317,672 190 Consumer 523 179 123 825 80,615 81,440 Total $ 2,432 $ 913 $ 1,333 $ 4,678 $ 2,560,901 $ 2,565,579 $ 190 Improved credit quality resulted in lower levels of past due loans from year end. Greater Loans > 90 30-59 Days 60-89 Days than 90 Total Past Days and December 31, 2021 Past Due Past Due Days Due Current Total Loans Accruing Commercial $ 101 155 $ 158 $ 414 $ 612,713 $ 613,127 $ Real estate: Commercial 768 $ 423 834 2,025 1,341,514 1,343,539 Residential 1,552 207 265 2,024 295,600 297,624 13 Consumer 477 163 51 691 74,192 74,883 Total $ 2,898 $ 948 $ 1,308 $ 5,154 $ 2,324,019 $ 2,329,173 $ 13 The following tables summarize information concerning impaired loans as of and for the three and six months ended June 30, 2022 and June 30, 2021, and as of and for the year ended December 31, 2021 by major loan classification: This Quarter Year-to-Date Unpaid Average Interest Average Interest Recorded Principal Related Recorded Income Recorded Income June 30, 2022 Investment Balance Allowance Investment Recognized Investment Recognized With no related allowance: Commercial $ 126 $ 471 $ 132 $ 2 $ 141 $ 4 Real estate: Commercial 2,473 3,262 2,611 10 2,532 22 Residential 996 1,181 935 6 914 10 Consumer 270 283 238 205 Total 3,865 5,197 3,916 18 3,792 36 With an allowance recorded: Commercial 34 34 $ 34 28 32 Real estate: Commercial 430 442 15 435 4 461 8 Residential 271 276 48 273 3 315 6 Total 735 752 97 736 7 808 14 Total impaired loans Commercial 160 505 34 160 2 173 4 Real estate: Commercial 2,903 3,704 15 3,046 14 2,993 30 Residential 1,267 1,457 48 1,208 9 1,229 16 Consumer 270 283 238 205 Total $ 4,600 $ 5,949 $ 97 $ 4,652 $ 25 $ 4,600 $ 50 For the Year Ended Unpaid Average Interest Recorded Principal Related Recorded Income December 31, 2021 Investment Balance Allowance Investment Recognized With no related allowance: Commercial $ 158 $ 481 $ 964 $ 13 Real estate: Commercial 2,376 3,120 2,719 22 Residential 873 1,073 1,016 19 Consumer 139 148 100 Total 3,546 4,822 4,799 54 With an allowance recorded: Commercial 41 41 40 1,091 15 Real estate: Commercial 513 543 109 802 22 Residential 401 401 26 436 13 Consumer Total 955 985 175 2,329 50 Total impaired loans Commercial 199 522 40 2,055 28 Real estate: Commercial 2,889 3,663 109 3,521 44 Residential 1,274 1,474 26 1,452 32 Consumer 139 148 100 Total $ 4,501 $ 5,807 $ 175 $ 7,128 $ 104 This Quarter Year-to-Date Unpaid Average Interest Average Interest Recorded Principal Related Recorded Income Recorded Income June 30, 2021 Investment Balance Allowance Investment Recognized Investment Recognized With no related allowance: Commercial $ 1,105 $ 1,603 $ 889 $ 3 $ 1,343 $ 7 Real estate: Commercial 3,009 3,970 3,145 9 2,887 15 Residential 1,007 1,185 1,064 4 1,071 10 Consumer 76 86 85 94 Total 5,197 6,844 5,183 16 5,395 32 With an allowance recorded: Commercial 966 999 $ 549 1,472 5 1,663 10 Real estate: Commercial 674 771 87 692 6 988 10 Residential 459 470 58 441 3 447 7 Consumer Total 2,099 2,240 694 2,605 14 3,098 27 Total impaired loans Commercial 2,071 2,602 549 2,361 8 3,006 17 Real estate: Commercial 3,683 4,741 87 3,837 15 3,875 25 Residential 1,466 1,655 58 1,505 7 1,518 17 Consumer 76 86 85 94 Total $ 7,296 $ 9,084 $ 694 $ 7,788 $ 30 $ 8,493 $ 59 Loan Modifications/Troubled Debt Restructurings/COVID-19 Included in the commercial real estate and residential real estate categories are troubled debt restructurings that are classified as impaired. Troubled debt restructurings totaled $1,468 at June 30, 2022, $1,649 at December 31, 2021 and $2,637 at June 30, 2021. Troubled debt restructured loans are loans with original terms, interest rate, or both, that have been modified as a result of a deterioration in the borrower’s financial condition and a concession has been granted that the Company would not otherwise consider. Unless on nonaccrual, interest income on these loans is recognized when earned, using the interest method. The Company offers a variety of modifications to borrowers that would be considered concessions. The modification categories offered generally fall within the following categories: ● Rate Modification - A modification in which the interest rate is changed to a below market rate. ● Term Modification - A modification in which the maturity date, timing of payments or frequency of payments is changed. ● Payment Modification - A modification in which the dollar amount of the payment is changed, other than an interest only modification described above. ● Combination Modification - Any other type of modification, including the use of multiple categories above. There were no loans modified as troubled debt restructurings during the six months ended June 30, 2022 or 2021. During the three months and six ended June 30, 2022, or 2021, there were no payment defaults on troubled debt restructurings.

Other assets

Other assets	6 Months Ended
Other assets	Jun. 30, 2022
Other assets
Other assets	6. Other assets: The increase in other assets was due to the increase to the net deferred tax asset related to the higher unrealized loss of the available-for-sale securities portfolio. The components of other assets at June 30, 2022, and December 31, 2021 are summarized as follows: June 30, 2022 December 31, 2021 Other real estate owned $ 121 $ 609 Investment in low income housing partnership 5,659 5,900 Mortgage servicing rights 919 882 Restricted equity securities (FHLB and other) 8,537 4,045 Net deferred tax asset 16,266 5,355 Interest rate floor 97 844 Interest rate swaps 14,720 9,026 Other assets 8,112 6,395 Total $ 54,431 $ 33,056

Fair value estimates

Fair value estimates	6 Months Ended
Fair value estimates	Jun. 30, 2022
Fair value estimates
Fair value estimates	7. Fair value estimates: The Company uses fair value measurements to record fair value adjustments to certain assets and liabilities and to determine fair value disclosure under GAAP. Fair value estimates are calculated without attempting to estimate the value of anticipated future business and the value of certain assets and liabilities that are not considered financial. Accordingly, such assets and liabilities are excluded from disclosure requirements. In accordance with FASB ASC 820, “Fair Value Measurements and Disclosures,” fair value is the price that would be received to sell an asset or transfer a liability in an orderly transaction between market participants at the measurement date. Fair value is best determined based upon quoted market prices. In cases where quoted market prices are not available, fair values are based on estimates using present value or other valuation techniques. Those techniques are significantly affected by the assumptions used, including the discount rate and estimates of future cash flows. In that regard, the derived fair value estimates cannot be substantiated by comparison to independent markets. In many cases, these values cannot be realized in immediate settlement of the instrument. Current fair value guidance provides a consistent definition of fair value, which focuses on exit price in an orderly transaction that is not a forced liquidation or distressed sale between participants at the measurement date under current market conditions. If there has been a significant decrease in the volume and level of activity for the asset or liability, a change in valuation technique or the use of multiple valuation techniques may be appropriate. In such instances, determining the price at which willing market participants would transact at the measurement date under current market conditions depends on the facts and circumstances and requires the use of significant judgment. The fair value is a reasonable point within the range that is most representative of fair value under current market conditions. In accordance with GAAP, the Company groups its assets and liabilities generally measured at fair value into three levels based on market information or other fair value estimates in which the assets and liabilities are traded or valued and the reliability of the assumptions used to determine fair value. These levels include: ● Level 1: Unadjusted quoted prices of identical assets or liabilities in active markets that the entity has the ability to access as of the measurement date. ● Level 2: Significant other observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data. ● Level 3: Significant unobservable inputs that reflect a reporting entity’s own assumptions about the assumptions that market participants would use in pricing an asset or liability. An asset’s or liability’s placement in the fair value hierarchy is based on the lowest level of input that is significant to the fair value estimate. During the periods ended June 30, 2022 and December 31, 2021 there were no transfers in or out of Level 3 . The following methods and assumptions were used by the Company to calculate fair values and related carrying amounts of financial instruments: Investment securities: Loans held for sale: Interest rate swaps and options: Assets and liabilities measured at fair value on a recurring basis at June 30, 2022 and December 31, 2021 are summarized as follows: Fair Value Measurement Using Quoted Prices in Significant Significant Active Markets for Other Observable Unobservable Identical Assets Inputs Inputs June 30, 2022 Amount (Level 1) (Level 2) (Level 3) U.S. Treasury securities $ 236,458 $ 236,458 $ $ U.S. government-sponsored enterprises 23,165 23,165 State and municipals: Taxable 59,972 59,972 Tax-exempt 89,272 89,272 Mortgage-backed securities: U.S. government agencies 1,276 1,276 U.S. government-sponsored enterprises 100,058 100,058 Corporate debt securities 3,710 3,710 Common equity securities 121 121 Total investment securities $ 514,032 $ 236,579 $ 277,453 $ Loan held for sale $ 681 $ 681 Interest rate floor-other assets $ 97 $ 97 Interest rate swap-other assets $ 14,720 $ 14,720 Interest rate swap-other liabilities $ (13,982) $ (13,982) Fair Value Measurement Using Quoted Prices in Significant Significant Active Markets for Other Observable Unobservable Identical Assets Inputs Inputs December 31, 2021 Amount (Level 1) (Level 2) (Level 3) U.S. Treasury securities $ 191,574 $ 191,574 $ U.S. government-sponsored enterprises 33,778 $ 33,778 State and municipals: Taxable 68,978 68,978 Tax-exempt 98,250 98,250 Mortgage-backed securities: U.S. government agencies 1,843 1,843 U.S. government-sponsored enterprises 119,980 119,980 Corporate debt securities 2,918 2,918 Common equity securities 140 140 Total investment securities $ 517,461 $ 191,714 $ 325,747 $ Loan held for sale $ 408 $ 408 Interest rate floor-other assets $ 844 $ 844 Interest rate swap-other assets $ 9,026 $ 9,026 Interest rate swap-other liabilities $ (8,811) $ (8,811) Assets and liabilities measured at fair value on a nonrecurring basis at March 31, 2022 and December 31, 2021 are summarized as follows: Fair Value Measurement Using Quoted Prices in Significant Significant Active Markets for Other Observable Unobservable Identical Assets Inputs Inputs June 30, 2022 Amount (Level 1) (Level 2) (Level 3) Impaired loans $ 638 $ 638 Fair Value Measurement Using Quoted Prices in Significant Other Significant Active Markets for Observable Unobservable Identical Assets Inputs Inputs December 31, 2021 Amount (Level 1) (Level 2) (Level 3) Impaired loans $ 780 $ 780 Other real estate owned $ 487 $ 487 Fair values of impaired loans are based on the present value of expected future cash flows discounted at the loan’s effective interest rate or the fair value of the collateral if the loan is collateral dependent. The following table presents additional quantitative information about assets measured at fair value on a nonrecurring basis and for which the Company has utilized Level 3 inputs to determine fair value: Quantitative Information about Level 3 Fair Value Measurements Fair Value Range June 30, 2022 Estimate Valuation Techniques Unobservable Input (Weighted Average) Impaired loans $ 638 Appraisal of collateral Appraisal adjustments 19.8% to 97.0% (70.5)% Liquidation expenses 3.0% to 6.0% (5.2)% Quantitative Information about Level 3 Fair Value Measurements Fair Value Range December 31, 2021 Estimate Valuation Techniques Unobservable Input (Weighted Average) Impaired loans $ 780 Appraisal of collateral Appraisal adjustments 6.4% to 97.0% (65.2)% Liquidation expenses 3.0% to 6.0% (5.1)% Other real estate owned $ 487 Appraisal of collateral Appraisal adjustments 35.9% to 35.9% (35.9)% Liquidation expenses 3.0% to 6.0% (5.0)% Fair value is generally determined through independent appraisals of the underlying collateral, which generally include various Level 3 inputs which are not identifiable. Appraisals may be adjusted by management for qualitative factors such as economic conditions and estimated liquidation expenses. The range and weighted average of liquidation expenses and other appraisal adjustments are presented as a percent of the appraisal. The carrying and fair values of the Company’s financial instruments at June 30, 2022 and December 31, 2021 and their placement within the fair value hierarchy are as follows: Fair Value Hierarchy Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable Carrying Fair Assets Inputs Inputs June 30, 2022 Value Value (level 1) (level 2) (Level 3) Financial assets: Cash and due from banks $ 47,733 $ 47,733 $ 47,733 Investment securities: Available-for-sale 513,911 513,911 236,458 $ 277,453 Common equity securities 121 121 121 Held-to-maturity 94,446 84,076 84,076 Loans held for sale 681 681 681 Net loans 2,536,205 2,507,034 $ 2,507,034 Accrued interest receivable 9,303 9,303 9,303 Mortgage servicing rights 919 1,414 1,414 Restricted equity securities (FHLB and other) 8,537 8,537 8,537 Interest rate floor 97 97 97 Interest rate swaps 14,720 14,720 14,720 Total $ 3,226,673 $ 3,187,627 Financial liabilities: Deposits $ 2,911,283 $ 2,903,800 $ 2,903,800 Short-term borrowings 129,170 129,083 129,083 Long-term debt 1,646 1,657 1,657 Subordinated debentures 33,000 33,286 33,286 Accrued interest payable 1,269 1,269 1,269 Interest rate swaps 13,982 13,982 13,982 Total $ 3,090,350 $ 3,083,077 Fair Value Hierarchy Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable Carrying Fair Assets Inputs Inputs December 31, 2021 Value Value (level 1) (level 2) (Level 3) Financial assets: Cash and due from banks $ 279,933 $ 279,933 $ 279,933 Investment securities: Available-for-sale 517,321 517,321 191,574 $ 325,747 Common equity securities 140 140 140 Held-to-maturity 71,213 70,446 70,446 Loans held for sale 408 408 408 Net loans 2,300,790 2,261,586 $ 2,261,586 Accrued interest receivable 8,528 8,528 8,528 Mortgage servicing rights 882 1,357 1,357 Restricted equity securities (FHLB and other) 4,045 4,045 4,045 Interest rate floor 844 844 844 Interest rate swaps 9,026 9,026 9,026 Total $ 3,193,130 $ 3,153,634 Financial liabilities: Deposits $ 2,963,397 $ 2,963,547 $ 2,963,547 Long-term debt 2,711 2,778 2,778 Subordinated debentures 33,000 32,337 32,337 Accrued interest payable 408 408 408 Interest rate swaps 8,811 8,811 8,811 Total $ 3,008,327 $ 3,007,881

Employee benefit plans

Employee benefit plans	6 Months Ended
Employee benefit plans	Jun. 30, 2022
Employee benefit plans
Employee benefit plans	8. Employee benefit plans: The Company provides an Employee Stock Ownership Plan (“ESOP”) and a Retirement Profit Sharing Plan. The Company also maintains Supplemental Executive Retirement Plans (“SERPs”) and an Employees’ Pension Plan, which is currently frozen. For the three and six months ended June 30, salaries and employee benefits expense includes approximately $308 and $597 in 2022, and $342 and $648 in 2021 relating to the employee benefit plans. Pension Benefits Three Months Ended June 30, 2022 2021 Components of net periodic pension benefit: Interest cost $ 114 $ 105 Expected return on plan assets (352) (322) Amortization of unrecognized net gain 50 76 Net periodic benefit $ (188) $ (141) Pension Benefits Six Months Ended June 30, 2022 2021 Components of net periodic pension benefit: Interest cost $ 228 $ 210 Expected return on plan assets (704) (644) Amortization of unrecognized net gain 99 152 Net periodic benefit $ (377) $ (282) In May 2017, the Company’s stockholders approved the 2017 equity incentive plan (“2017 Plan”). The 2017 Plan allows for eligible participants to be granted equity awards. Under the 2017 Plan the Compensation Committee of the Board of Directors has the authority to, among other things: ● Select the persons to be granted awards under the 2017 Plan. ● Determine the type, size and term of awards. ● Determine whether such performance objectives and conditions have been met. ● Accelerate the vesting or excercisability of an award. Persons eligible to receive awards under the 2017 Plan include directors, officers, employees, consultants and other service providers of the Company and its subsidiaries. As of June 30, 2022, there were 17,365 shares of the Company’s common stock available for grant as awards pursuant to the 2017 Plan. If any outstanding awards under the 2017 Plan are forfeited by the holder or canceled by the Company, the underlying shares would be available for regrant to others. The 2017 Plan authorizes grants of stock options, stock appreciation rights, cash awards, performance awards, restricted stock and restricted stock units. For the six months ended June 30, 2022 and 2021, the Company granted awards of restricted stock and restricted stock units under the 2017 Plan, The non-performance restricted stock grants made in 2022, 2021 and 2020 vest equally over three years . The performance-based restricted stock units vest over three fiscal years and include conditions based on the Company’s three year cumulative diluted earnings per share and three-year average return on equity or tangible equity that determines the number of restricted stock units that may vest. The Company expenses the fair value of all-share based compensation over the requisite service period commencing at grant date. The fair value of restricted stock is expensed on a straight-line basis. Compensation is recognized over the vesting period and adjusted based on the performance criterea. The Company classifies share-based compensation for employees within “salaries and employee benefits expense” on the consolidated statements of income and comprehensive income. The Company recognized net compensation costs of $191 and $390 for the three and six months ended June 30, 2022 for awards granted under the 2017 Plan. The Company recognized compensation expense of $177 and $266 for the three and six months ended June 30, 2021 for awards granted under the 2017 Plan. As of June 30, 2022, the Company had $1,412 of unrecognized compensation expense associated with restricted stock awards. The remaining cost is expected to be recognized over a weighted average vesting period of under 2.0 years.

Derivatives and hedging activit

Derivatives and hedging activities	6 Months Ended
Derivatives and hedging activities	Jun. 30, 2022
Derivatives and hedging activities
Derivatives and hedging activities	9. Derivatives and hedging activities Risk Management Objective of Using Derivatives The Company is exposed to certain risk arising from both its business operations and economic conditions. The Company principally manages its exposures to a wide variety of business and operational risks through management of its core business activities. The Company manages economic risks, including interest rate, liquidity, and credit risk primarily by managing the amount, sources, and duration of its assets and liabilities and the use of derivative financial instruments. Specifically, the Company enters into derivative financial instruments to manage exposures that arise from business activities that result in the receipt or payment of future known and uncertain cash amounts, the value of which are determined by interest rates. The Company’s derivative financial instruments are used to manage differences in the amount, timing, and duration of the Company’s known or expected cash receipts principally related to the Company’s assets and borrowings. Cash Flow Hedges of Interest Rate Risk The Company’s objectives in using interest rate derivatives are to add stability to interest income/expense and to manage its exposure to interest rate movements. To accomplish this objective, the Company primarily uses interest rate swaps and floors as part of its interest rate risk management strategy. Interest rate swaps designated as cash flow hedges involve the receipt of variable amounts from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreements without exchange of the underlying notional amount. Interest rate floors designated as cash flow hedges involve the receipt of variable-rate amounts from a counterparty if interest rates fall below the strike rate on the contract in exchange for an up-front premium. Such derivatives have been used to hedge the variable cash flows associated with existing variable-rate assets and issuances of debt. For derivatives designated and that qualify as cash flow hedges of interest rate risk, the gain or loss on the derivative is recorded in accumulated other comprehensive income (loss) and subsequently reclassified into interest expense/income in the same period(s) during which the hedged transaction affects earnings. Amounts reported in accumulated other comprehensive income (loss) related to derivatives will be reclassified to interest expense/income as interest payments are made/received on the Company’s variable-rate debt/assets. During the next twelve months, the Company estimates that an additional $41 will be reclassified as an increase to interest income. Non-designated Hedges Derivatives not designated as hedges are not speculative and result from a service the Company provides to certain customers. The Company executes interest rate swaps with commercial banking customers to facilitate their respective risk management strategies. Those interest rate swaps are simultaneously hedged by offsetting interest rate swaps that the Company executes with a third party, such that the Company minimizes its net risk exposure resulting from such transactions. As the interest rate swaps associated with this program do not meet the strict hedge accounting requirements, changes in the fair value of both the customer swaps and the offsetting swaps are recognized directly in earnings. As of June 30, 2022, the Company had 89 interest rate swaps with an aggregate notional amount of $418,159 related to this program. Fair Values of Derivative Instruments on the Balance Sheet The table below presents the fair value of the Company’s derivative financial instruments as well as their classification on the Consolidated Balance Sheets as of June 30, 2022 and December 31, 2021. Asset Derivatives Asset Derivatives Liability Derivatives Liability Derivatives As of June 30, 2022 As of December 31, 2021 (1) As of June 30, 2022 As of December 31, 2021 (2) Notional Balance Sheet Balance Sheet Balance Sheet Balance Sheet Amount Location Fair Value Location Fair Value Location Fair Value Location Fair Value Derivatives designated as hedging instruments Interest Rate Floor $ 25,000 Other Assets $ 97 Other Assets $ 844 Total derivatives designated as hedging instruments $ 97 $ 844 $ $ Derivatives not Interest Rate Swaps (2) $ 418,159 Other Assets $ 14,720 Other Assets $ 9,026 Other Liabilities $ 13,985 Other Liabilities $ 8,811 Total derivatives not $ 14,720 $ 9,026 $ 13,985 $ 8,811 (1) Amounts include accrued interest. (2) Notional amount of interest rate swaps at December 31, 2021 was $392,677 . Effect of Fair Value and Cash Flow Hedge Accounting on Accumulated Other Comprehensive Income (Loss) The table below presents the effect of fair value and cash flow hedge accounting on accumulated other comprehensive income (loss) as of June 30, 2022 and June 30, 2021. Location of Amount of Amount of Amount of Amount of Amount of Gain or (Loss) Amount of Gain (Loss) Gain (Loss) Gain (Loss) Gain (Loss) Loss Recognized from Gain (Loss) Reclassified Reclassified Recognized in Recognized in Recognized in Accumulated Reclassified from Accumulated from Accumulated Derivatives in OCI on OCI Included OCI Excluded Other Comprehensive from Accumulated OCI into Income OCI into Income Hedging Derivative Component Component Income into OCI into Income Included Component Excluded Component Relationships June 30, 2022 Income June 30, 2022 Derivatives in Cash Flow Hedging Relationships $ $ Interest Expense $ $ Cash Flow Swap Other expense Interest Rate Floor () $ (469) $ (493) $ 24 Interest Income $ 224 $ 256 $ (32) Total $ (469) $ (493) $ 24 $ 224 $ 256 $ (32) Location of Amount of Amount of Amount of Amount of Amount of Gain or (Loss) Amount of Gain Loss Gain Gain Gain Recognized from Loss Reclassified Reclassified Recognized in Recognized in Recognized in Accumulated Reclassified from Accumulated from Accumulated Derivatives in OCI on OCI Included OCI Excluded Other Comprehensive from Accumulated OCI into Income OCI into Income Hedging Derivative Component Component Income into OCI into Income Included Component Excluded Component Relationships June 30, 2021 Income June 30, 2021 Derivatives in Cash Flow Hedging Relationships Cash Flow Swap $ 401 $ 401 Interest Expense $ (23) $ (23) Cash Flow Swap Other Expense (25) (25) Interest Rate Floor () $ (25) $ (83) $ 7 Interest Income $ 268 $ 300 $ (32) Total $ 376 $ 318 $ 7 $ 220 $ 252 $ (32) * Amounts disclosed are gross and not net of taxes. Effect of Fair Value and Cash Flow Hedge Accounting on the Consolidated Statements of Income and Comprehensive Income The table below presents the effect of the Company’s derivative financial instruments on the Consolidated Statements of Income and Comprehensive Income for the three and six months ended June 30, 2022 and June 30, 2021. Location and Amount of Gain or (Loss) Recognized in Income on Fair Value and Cash Flow Hedging Relationships For the three months ended June 30, 2022 2022 2021 2021 Interest Income Interest Expense Interest Income Interest Expense Total amounts of income and expense line items presented in the statements of income and comprehensive income in which the effects of fair value or cash flow hedges are recorded $ 93 $ $ 134 The effects of fair value and cash flow hedging: Gain or (loss) on cash flow hedging relationships Interest contracts Amount of gain or (loss) reclassified from accumulated other comprehensive income into income $ 93 $ $ 134 $ Amount of gain or (loss) reclassified from accumulated other comprehensive income into income as a result that a forecasted transaction is no longer probable of occurring Amount of gain or (loss) reclassified from accumulated other comprehensive income into income - included component $ 109 $ $ 150 $ Amount of gain or (loss) reclassified from accumulated other comprehensive income into income - excluded component $ (16) $ (16) $ Location and Amount of Gain or (Loss) Recognized in Income on Fair Value and Cash Flow Hedging Relationships For the six months ended June 30, 2022 2022 2021 2021 Interest Income Interest Expense Interest Income Interest Expense Total amounts of income and expense line items presented in the statements of income and comprehensive income in which the effects of fair value or cash flow hedges are recorded $ 224 $ $ 268 $ (48) The effects of fair value and cash flow hedging: Gain or (loss) on cash flow hedging relationships Interest contracts Amount of gain or (loss) reclassified from accumulated other comprehensive income into income $ 224 $ $ 268 $ (23) Amount of gain or (loss) reclassified from accumulated other comprehensive income into income as a result that a forecasted transaction is no longer probable of occurring $ $ (25) Amount of gain or (loss) reclassified from accumulated other comprehensive income into income - included component $ 256 $ $ 300 $ (48) Amount of gain or (loss) reclassified from accumulated other comprehensive income into income - excluded component $ (32) $ (32) $ Effect of Derivative Instruments on the Consolidated Statements of Income and Comprehensive Income The tables below present the effect of the Company’s derivative financial instruments on the Consolidated Statements of Income and Comprehensive Income for the three and six months ended June 30, 2022 and 2021. Amount of Gain Amount of Gain Amount of Gain Amount of Loss Recognized in Recognized in Recognized in Recognized in Location of Gain or (Loss) Income Income Income Income Recognized in Income on Three Months Ended Six Months Ended Three Months Ended Six Months Ended Derivatives Not Designated as Hedging Instruments Derivative June 30, 2022 June 30, 2022 June 30, 2021 June 30, 2021 Interest Rate Swaps Interest rate swap revenue $ 283 $ 523 $ (237) $ 168 Other Contracts 1 4 Total $ 284 $ 527 $ (237) $ 168 Fee Income Fee income $ 1 $ 104 $ 105 $ 497 Offsetting Derivatives The table below presents a gross presentation, the effects of offsetting, and a net presentation of the Company’s derivatives as of June 30, 2022 and December 31, 2021. The net amounts of derivative assets or liabilities can be reconciled to the tabular disclosure of fair value. The tabular disclosure of fair value provides the location that derivative assets and liabilities are presented on the Consolidated Balance Sheets. Offsetting of Derivative Assets as of June 30, 2022 Gross Amounts Not Offset in the Balance Sheet Gross Net Amounts Amounts of Gross Amounts of Assets Recognized Offset in the presented in the Financial Cash Collateral Net Assets Balance Sheet Balance Sheet Instruments Received Amount Derivatives $ 14,816 $ $ 14,816 $ 100 11,220 $ 3,496 Offsetting of Derivative Liabilities as of June 30, 2022 Gross Amounts Not Offset in the Balance Sheet Gross Net Amounts Amounts of Gross Amounts of Liabilities Recognized Offset in the presented in the Financial Cash Collateral Net Liabilities Balance Sheet Balance Sheet Instruments Paid Amount Derivatives $ 13,985 $ $ 13,985 $ 100 7,830 $ 6,055 Offsetting of Derivative Assets as of December 31, 2021 Gross Amounts Not Offset in the Balance Sheet Gross Net Amounts Amounts of Gross Amounts of Assets Recognized Offset in the presented in the Financial Cash Collateral Net Assets Balance Sheet Balance Sheet Instruments Received Amount Derivatives $ 9,870 $ $ 9,870 $ 3,218 $ 6,652 Offsetting of Derivative Liabilities as of December 31, 2021 Gross Amounts Not Offset in the Balance Sheet Gross Net Amounts Amounts of Gross Amounts of Liabilities Recognized Offset in the presented in the Financial Cash Collateral Net Liabilities Balance Sheet Balance Sheet Instruments Paid Amount Derivatives $ 8,818 $ $ 8,818 $ 3,218 5,600 $ Credit-risk-related Contingent Features The Company has agreements with certain of its derivative counterparties that contain a provision where if the Company defaults on any of its indebtedness, including default where repayment of the indebtedness has not been accelerated by the lender, then the Company could also be declared in default on its derivative obligations. The Company also has agreements with certain of its derivative counterparties that contain a provision where if the Company fails to maintain its status as a well capitalized institution, then the counterparty could terminate the derivative positions and the Company would be required to settle its obligations under the agreements. As of June 30, 2022, the termination value of derivatives in a net liability position, which includes accrued interest but excludes any adjustment for nonperformance risk, related to these agreements was $3,402. As of December 31, 2021, the termination value of derivatives in a net liability position, which includes accrued interest but excludes any adjustment for nonperformance risk, related to these agreements was $5,600. The Company has minimum collateral posting thresholds with certain of its derivative counterparties, and had posted collateral of $7,830 with dealer counterparties at June 30, 2022 and December 31, 2021. Cash collateral represents the amount that cannot be used to offset our derivative assets and liabilities from a gross basis to a net basis in accordance with the agreement. The cash collateral is exchanged under bilateral collateral and master netting agreements that allow us to offset the net derivative position with the related collateral. The application of the cash collateral cannot reduce the net derivative position below zero. Therefore, excess other collateral, if any, is not reflected above. If the Company had breached any of these provisions it could have been required to settle its obligations under the agreements at the termination value.

Deposits

Deposits	6 Months Ended
Deposits	Jun. 30, 2022
Deposits.
Deposits	10. Deposits The major components of interest-bearing and noninterest-bearing deposits at June 30, 2022 and December 31, 2021 are summarized as follows: At the period end June 30, 2022 December 31, 2021 Interest-bearing deposits: Money market accounts $ 592,989 $ 588,245 Now accounts 752,397 851,086 Savings accounts 518,146 491,796 Time deposits less than $250 219,690 203,719 Time deposits $250 or more 80,503 90,795 Total interest-bearing deposits 2,163,725 2,225,641 Noninterest-bearing deposits 747,558 737,756 Total deposits $ 2,911,283 $ 2,963,397 Total deposits decreased $52,114 from December 31, 2021 due primarily to outflows of public fund NOW accounts and reductions to high balance time deposits as these customers are typically more price-sensitive. Brokered deposits added during the three months ended June 30, 2022 totaled $25,317 and were used to offset a portion of the deposit outflows and lock-in then current interest rates, as our expectation is for interest rates to continue to increase throughout the remainder of 2022. Of the brokered deposits added during the current period, $11,400 are callable which gives the Bank the option to call the certificates of deposit after the initial three month term.

Borrowings

Borrowings	6 Months Ended
Borrowings	Jun. 30, 2022
Borrowings
Borrowings	11. Borrowings Short-term borrowings consists of FHLB advances representing overnight borrowings or with stated original terms of less than twelve months and other borrowings related to collateral held from derivative counterparties. Total short-term borrowings at June 30, 2022 were $129,170 as compared to no short-term borrowings at December 31, 2021. The increase in short-term borrowings was due primarily to fund a portion of loan growth and replace deposit outflows during the three months ended June 30, 2022, as overnight borrowings with the FHLB were $117,950 at June 30, 2022. Other borrowings, which include cash collateral pledged by derivative counterparties to offset interest rate exposure, totaled $11,220 and increased due to higher market interest rates. The table below outlines short-term borrowings at and for the six months ended June 30, 2022 and for the year ended December 31, 2021: At and for the six months ended June 30, 2022 Weighted Maximum Weighted Average Ending Average Month-End Average Rate at End Balance Balance Balance Rate of the Period Other borrowings $ 11,220 $ 5,466 $ 11,220 0.83 % 1.58 % FHLB advances 117,950 13,669 117,950 1.63 % 1.75 Total short-term borrowings 129,170 19,135 129,170 1.29 % 1.74 % At and for the year ended December 31, 2021 Weighted Weighted Maximum Average Average Ending Average Month-End Rate for Rate at End Balance Balance Balance the Year of the Year FHLB advances $ $ 13,973 $ 50,000 0.56 % % The Company has an agreement with the FHLB which allows for borrowings up to its maximum borrowing capacity based on a percentage of qualifying collateral assets. At June 30, 2022, the maximum borrowing capacity was $1,018,230 of which $119,596 was outstanding in borrowings and $283,500 was used to issue standby letters of credit to collateralize public fund deposits. At December 31, 2021, the maximum borrowing capacity was $896,130 of which $2,711 was outstanding in borrowings and $373,035 was used to issue standby letters of credit to collateralize public fund deposits. Advances with the FHLB are secured under terms of a blanket collateral agreement by a pledge of FHLB stock and certain other qualifying collateral, such as investments and mortgage-backed securities and mortgage loans. Interest accrues daily on the FHLB advances based on rates of the FHLB discount notes. The overnight borrowing rate resets each day. Long-term debt consisting of advances from the FHLB at June 30, 2022 and December 31, 2021 are as follows: Interest Rate Due Fixed June 30, 2022 December 31, 2021 March 2023 4.69 $ 1,646 2,711 $ 1,646 $ 2,711 Maturities of long-term debt, by contractual maturity, for the remainder of 2022 and subsequent years are as follows: 2022 1,091 2023 555 $ 1,646 The advances from the FHLB totaling $1,646 are not convertible.

Subordinated debt

Subordinated debt	6 Months Ended
Subordinated debt	Jun. 30, 2022
Subordinated debt
Subordinated debt	12. Subordinated debt On June 1, 2020, the Company sold $33,000 aggregate principal amount of Subordinated Notes due 2030 (the “2020 Notes”) to accredited investors. The 2020 Notes qualify as Tier 2 capital for regulatory capital purposes. The 2020 Notes bear interest at a rate of 5.375% per year for the first five years and then float based on a benchmark rate (as defined), provided that the interest rate applicable to the outstanding principal balance during the period the 2020 Notes are floating will at no time be less the 4.75% . Interest is payable semi-annually in arrears on June 1 and December 1 of each year, beginning on June 1, 2020, for the first five years after issuance and will be payable quarterly in arrears thereafter on March 1, June 1, September 1, and December 1. The 2020 Notes will mature on June 1, 2030 and are redeemable in whole or in part, without premium or penalty, at any time on or after June 1, 2025 and prior to June 1, 2030. Additionally, if all or any portion of the 2020 Notes cease to be deemed Tier 2 Capital, the Company may redeem, in whole and not in part, at any time upon giving not less than ten days ’ notice, an amount equal to one hundred percent ( 100% ) of the principal amount outstanding plus accrued but unpaid interest to but excluding the date fixed for redemption. Holders of the 2020 Notes may not accelerate the maturity of the 2020 Notes, except upon the bankruptcy, insolvency, liquidation, receivership or similar proceeding by or against the Company or the Bank.

Summary of significant accoun_2

Summary of significant accounting policies (Policies)	6 Months Ended
Summary of significant accounting policies (Policies)	Jun. 30, 2022
Summary of significant accounting policies
Nature of operations	Nature of operations: Peoples Financial Services Corp., a bank holding company incorporated under the laws of Pennsylvania, provides a full range of financial services through its wholly-owned subsidiary, Peoples Security Bank and Trust Company (“the Bank”), collectively, the “Company” or “Peoples”. The Company services its retail and commercial customers through
Basis of presentation	Basis of presentation: The accompanying unaudited consolidated financial statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10-01 of Regulation S-X. In the opinion of management, all normal recurring adjustments necessary for a fair presentation of the consolidated financial position and results of operations for the periods presented have been included. All significant intercompany balances and transactions have been eliminated in consolidation. Prior-period amounts are reclassified when necessary to conform to the current year’s presentation. These reclassifications did not have any effect on the consolidated operating results or financial position of the Company. The consolidated operating results and financial position of the Company for the three and six months ended and as of June 30, 2022, are not necessarily indicative of the results of consolidated operations and financial position that may be expected in the future. The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Significant estimates that are particularly susceptible to material change in the near term relate to the determination of the allowance for loan losses, fair value of financial instruments, the valuation of deferred tax assets, and impairment of goodwill. Actual results could differ from those estimates. For additional information and disclosures required under GAAP, reference is made to the Company’s Annual Report on Form 10-K for the period ended December 31, 2021.
Second Quarter Dividend Declaration	Third Quarter Dividend Decl aration On July 29, 2022, the Board of Directors declared a third quarter dividend of $0.40 per share. The dividend is payable on September 15, 2022 to shareholders of record as of August 31, 2022.
Recent accounting standards	Recent accounting standards: From time to time, new accounting pronouncements are issued by the Financial Accounting Standards Board ("FASB") or other standard setting bodies that are adopted by the Company as of the required effective dates. The following should be read in conjunction with "Note 1 Summary of significant accounting policies" of the Notes to the Consolidated Financial Statements included in the Company’s annual report on Form 10-K for the year ended December 31, 2021. Unless otherwise discussed, management believes the impact of any recently issued standards, including those issued but not yet effective, will not have a material impact on the Company’s consolidated financial statements. Recently Issued But Not Yet Effective Accounting Pronouncements ASU 2016-13, Financial Instruments-Credit Losses (Topic 326), as modified by subsequent ASUs, changes accounting for credit losses on loans receivable and debt securities from an incurred loss methodology to an expected credit loss methodology. Among other things, ASU 2016-13 requires the measurement of all expected credit losses for financial assets held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. Accordingly, ASU 2016-13 requires the use of forward-looking information to form credit loss estimates. Many of the loss estimation techniques applied today will still be permitted, though the inputs to those techniques will change to reflect the full amount of expected credit losses. In addition, ASU 2016-13 amends the accounting for credit losses on debt securities and purchased financial assets with credit deterioration. The effect of implementing this ASU is recorded through a cumulative-effect adjustment to retained earnings. The Company has formed a committee and engaged outside vendors to implement a platform to utilize the alternative loss estimation methodologies in determining the impact that adoption of this standard will have on the Company’s financial condition and results of operations. The Company is required to adopt this guidance effective January 1, 2023. ASU No. 2022-02 Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures. This ASU eliminates the accounting guidance for troubled debt restructurings (TDRs) by creditors in Subtopic 310-40, Receivables - Troubled Debt Restructurings by Creditors, while adding disclosures for certain loan restructurings by creditors when a borrower is experiencing financial difficulty. This guidance requires an entity to determine whether the modification results in a new loan or a continuation of an existing loan. Additionally, the ASU requires disclosure of current period gross writeoffs by year of origination for financing receivables. The Company is required to adopt this guidance effective January 1, 2023. The Company does not believe adoption of this ASU will have a material impact on its financial results and will add the required disclosures for gross chargeoffs in its financial statements upon adoption of the new standard. ASU 2020-04, Reference Rate Reform (Topic 848) provides temporary optional guidance to ease the potential burden in accounting for reference rate reform. The amendments in Update 2020-04 are elective and apply to all entities that have contracts, hedging relationships, and other transactions that reference the London Inter Bank Offered Rate (“LIBOR”) or another reference rate expected to be discontinued. The guidance includes a general principle that permits an entity to consider contract modifications due to reference rate reform to be an event that does not require contract remeasurement at the modification date or reassessment of a previous accounting determination. Some specific optional expedients are as follows: ● Simplifies accounting for contract modifications, including modifications to loans receivable and debt, by prospectively adjusting the effective interest rate. ● Simplifies the assessment of hedge effectiveness and allows hedging relationships affected by reference rate reform to continue. The amendments in ASU 2020-04 are effective as of March 12, 2020 through December 31, 2022. The Company expects to apply the amendments prospectively for applicable loan and other contracts within the effective period of ASU 2020-04.

Other comprehensive income (los

Other comprehensive income (loss) (Tables)	6 Months Ended
Other comprehensive income (loss) (Tables)	Jun. 30, 2022
Other comprehensive loss
Schedule of components of accumulated other comprehensive income (loss)	June 30, 2022 December 31, 2021 Net unrealized loss on investment securities available-for-sale $ (53,072) $ (1,791) Income tax benefit (11,145) (376) Net of income taxes (41,927) (1,415) Benefit plan adjustments (5,868) (5,868) Income tax benefit (1,232) (1,232) Net of income taxes (4,636) (4,636) Derivative adjustments (14) 680 Income tax (benefit) expense (3) 143 Net of income taxes (11) 537 Accumulated other comprehensive loss $ (46,574) $ (5,514)

Earnings per share (Tables)

Earnings per share (Tables)	6 Months Ended
Earnings per share (Tables)	Jun. 30, 2022
Earnings per share
Schedule of earnings per share	2022 2021 For the Three Months Ended June 30, Basic Diluted Basic Diluted Net income $ 9,353 $ 9,353 $ 8,531 $ 8,531 Average common shares outstanding 7,171,909 7,215,365 7,204,261 7,239,325 Earnings per share $ 1.30 $ 1.30 $ 1.18 $ 1.18 2022 2021 For the Six Months Ended June 30, Basic Diluted Basic Diluted Net income $ 18,983 $ 18,983 $ 18,009 $ 18,009 Average common shares outstanding 7,172,181 7,215,890 7,207,588 7,242,652 Earnings per share $ 2.65 $ 2.63 $ 2.50 $ 2.49

Investment securities (Tables)

Investment securities (Tables)	6 Months Ended
Investment securities (Tables)	Jun. 30, 2022
Investment Securities
Schedule of amortized cost and fair value of investment securities aggregated by investment category	Gross Gross Amortized Unrealized Unrealized Fair June 30, 2022 Cost Gains Losses Value Available-for-sale: U.S. Treasury securities $ 252,706 $ 24 $ 16,272 $ 236,458 U.S. government-sponsored enterprises 23,616 2 453 23,165 State and municipals: Taxable 69,950 49 10,027 59,972 Tax-exempt 100,547 80 11,355 89,272 Residential mortgage-backed securities: U.S. government agencies 1,290 14 1,276 U.S. government-sponsored enterprises 102,500 14,544 87,956 Commercial mortgage-backed securities: U.S. government-sponsored enterprises 12,374 272 12,102 Corporate debt securities 4,000 290 3,710 Total $ 566,983 $ 155 $ 53,227 $ 513,911 Held-to-maturity: Tax-exempt state and municipals $ 11,257 $ 10 $ 978 $ 10,289 Residential mortgage-backed securities: U.S. government agencies 18,168 1,894 16,274 U.S. government-sponsored enterprises 65,021 7,508 57,513 Total $ 94,446 $ 10 $ 10,380 $ 84,076 Gross Gross Amortized Unrealized Unrealized Fair December 31, 2021 Cost Gains Losses Value Available-for-sale: U.S. Treasury securities $ 193,849 $ 107 $ 2,382 $ 191,574 U.S. government-sponsored enterprises 33,435 343 33,778 State and municipals: Taxable 69,066 994 1,082 68,978 Tax-exempt 96,412 2,452 614 98,250 Residential mortgage-backed securities: U.S. government agencies 1,790 53 1,843 U.S. government-sponsored enterprises 109,018 939 2,925 107,032 Commercial mortgage-backed securities: U.S. government-sponsored enterprises 12,542 406 12,948 Corporate debt securities 3,000 82 2,918 Total $ 519,112 $ 5,294 $ 7,085 $ 517,321 Held-to-maturity: Tax-exempt state and municipals $ 11,476 $ 126 $ 56 $ 11,546 Residential mortgage-backed securities: U.S. government agencies 18,802 392 18,410 U.S. government-sponsored enterprises 40,935 3 448 40,490 Total $ 71,213 $ 129 $ 896 $ 70,446
Schedule of fair value and unrealized losses of investment securities in continuous unrealized loss position	Less Than 12 Months 12 Months or Greater Total Number of Number of Number of Securities in a Fair Unrealized Securities in a Fair Unrealized Securities in a Fair Unrealized June 30, 2022 Loss Position Value Losses Loss Position Value Losses Loss Position Value Losses U.S. Treasury securities 53 $ 232,013 $ 16,272 $ $ 53 $ 232,013 $ 16,272 U.S. government-sponsored enterprises 5 16,662 453 5 16,662 453 State and municipals: Taxable 50 45,783 7,083 14 10,707 2,944 64 56,490 10,027 Tax-exempt 92 70,020 9,523 23 12,370 2,810 115 82,390 12,333 Residential mortgage-backed securities: U.S. government agencies 9 17,550 1,908 9 17,550 1,908 U.S. government-sponsored enterprises 30 91,177 11,118 10 53,591 10,934 40 144,768 22,052 Commercial mortgage-backed securities: U.S. government-sponsored enterprises 4 12,102 272 4 12,102 272 Corporate debt securities 4 2,811 189 2 899 101 6 3,710 290 Total 247 $ 488,118 $ 46,818 49 $ 77,567 $ 16,789 296 $ 565,685 $ 63,607 Less Than 12 Months 12 Months or Greater Total Number of Number of Number of Securities in a Fair Unrealized Securities in a Fair Unrealized Securities in a Fair Unrealized December 31, 2021 Loss Position Value Losses Loss Position Value Losses Loss Position Value Losses U.S. Treasury securities 42 $ 179,974 $ 2,382 $ $ 42 $ 179,974 $ 2,382 State and municipals: Taxable 27 26,827 718 8 8,008 364 35 34,835 1,082 Tax-exempt 61 38,693 358 2 10,319 313 63 49,012 671 Residential mortgage-backed securities: U.S. government agencies 3 18,398 391 3 18,398 391 U.S. government-sponsored enterprises 13 77,875 1,454 7 48,276 1,920 20 126,151 3,374 Corporate debt securities 4 2,449 51 1 470 30 5 2,919 81 Total 150 $ 344,216 $ 5,354 18 $ 67,073 $ 2,627 168 $ 411,289 $ 7,981
Available-for-Sale Securities
Investment Securities
Schedule of maturity distribution of fair value	Fair June 30, 2022 Value Within one year $ 29,255 After one but within five years 205,194 After five but within ten years 83,195 After ten years 92,422 410,066 Mortgage-backed and other amortizing securities 103,845 Total $ 513,911
Held-to-maturity Securities.
Investment Securities
Schedule of maturity distribution of fair value	Amortized Fair June 30, 2022 Cost Value Within one year $ $ After one but within five years After five but within ten years 8,092 7,429 After ten years 3,165 2,860 11,257 10,289 Mortgage-backed securities 83,189 73,787 Total $ 94,446 $ 84,076

Loans, net and allowance for _2

Loans, net and allowance for loan losses (Tables)	6 Months Ended
Loans, net and allowance for loan losses (Tables)	Jun. 30, 2022
Loans, net and allowance for loan losses
Schedule of major classifications of loans outstanding	June 30, 2022 December 31, 2021 Commercial $ 596,809 $ 613,127 Real estate: Commercial 1,569,658 1,343,539 Residential 317,672 297,624 Consumer 81,440 74,883 Total $ 2,565,579 $ 2,329,173
Schedule of changes in allowance for loan losses account by major classification of loans	The changes in the allowance for loan losses account by major classification of loan for the three and six months ended June 30, 2022 and 2021 are summarized as follows: Real estate June 30, 2022 Commercial Commercial Residential Consumer Total Allowance for loan losses: Beginning Balance April 1, 2022 $ 7,593 $ 16,789 $ 3,255 $ 770 $ 28,407 Charge-offs (2) (96) (98) Recoveries 20 61 34 115 Provisions (credits) 153 719 (33) 111 950 Ending balance $ 7,766 $ 17,569 $ 3,220 $ 819 $ 29,374 Real estate June 30, 2021 Commercial Commercial Residential Consumer Total Allowance for loan losses: Beginning Balance April 1, 2021 $ 8,215 $ 14,703 $ 2,994 $ 871 $ 26,783 Charge-offs (144) (2) (44) (190) Recoveries 18 8 1 19 46 Provisions (credits) 287 (286) 76 23 100 Ending balance $ 8,520 $ 14,281 $ 3,069 $ 869 $ 26,739 Real estate June 30, 2022 Commercial Commercial Residential Consumer Total Allowance for loan losses: Beginning Balance January 1, 2022 $ 8,453 $ 15,928 $ 3,209 $ 793 $ 28,383 Charge-offs (161) (132) (2) (158) (453) Recoveries 29 77 3 85 194 Provisions (credits) (555) 1,696 10 99 1,250 Ending balance $ 7,766 $ 17,569 $ 3,220 $ 819 $ 29,374 Real estate June 30, 2021 Commercial Commercial Residential Consumer Total Allowance for loan losses: Beginning Balance January 1, 2021 $ 8,734 $ 14,559 $ 3,129 $ 922 $ 27,344 Charge-offs (15) (240) (24) (106) (385) Recoveries 79 66 2 33 180 Provisions (credits) (278) (104) (38) 20 (400) Ending balance $ 8,520 $ 14,281 $ 3,069 $ 869 $ 26,739 The allocation of the allowance for loan losses and the related loans by major classifications of loans at June 30, 2022 and December 31, 2021 is summarized as follows: Real estate June 30, 2022 Commercial Commercial Residential Consumer Total Allowance for loan losses: Ending balance $ 7,766 $ 17,569 $ 3,220 $ 819 $ 29,374 Ending balance: individually evaluated for impairment 34 15 48 97 Ending balance: collectively evaluated for impairment $ 7,732 $ 17,554 $ 3,172 $ 819 $ 29,277 Loans receivable: Ending balance $ 596,809 $ 1,569,658 $ 317,672 $ 81,440 $ 2,565,579 Ending balance: individually evaluated for impairment 160 2,903 1,267 4,330 Ending balance: collectively evaluated for impairment $ 596,649 $ 1,566,755 $ 316,405 $ 81,440 $ 2,561,249 Real estate December 31, 2021 Commercial Commercial Residential Consumer Total Allowance for loan losses: Ending balance $ 8,453 $ 15,928 $ 3,209 $ 793 $ 28,383 Ending balance: individually evaluated for impairment 40 109 26 175 Ending balance: collectively evaluated for impairment $ 8,413 $ 15,819 $ 3,183 $ 793 $ 28,208 Loans receivable: Ending balance $ 613,127 $ 1,343,539 $ 297,624 $ 74,883 $ 2,329,173 Ending balance: individually evaluated for impairment 199 2,889 1,274 4,362 Ending balance: collectively evaluated for impairment $ 612,928 $ 1,340,650 $ 296,350 $ 74,883 $ 2,324,811
Schedule of major classification of loans portfolio summarized by credit quality	Special June 30, 2022 Pass Mention Substandard Doubtful Total Commercial $ 587,907 $ 8,077 $ 825 $ $ 596,809 Real estate: Commercial 1,555,363 8,028 6,267 1,569,658 Residential 315,835 119 1,718 317,672 Consumer 81,131 309 81,440 Total $ 2,540,236 $ 16,224 $ 9,119 $ $ 2,565,579 Special December 31, 2021 Pass Mention Substandard Doubtful Total Commercial $ 611,151 $ 896 $ 1,080 $ $ 613,127 Real estate: Commercial 1,324,646 13,939 4,954 1,343,539 Residential 294,892 333 2,399 297,624 Consumer 74,744 139 74,883 Total $ 2,305,433 $ 15,168 $ 8,572 $ $ 2,329,173
Schedule of information concerning nonaccrual loans by major loan classification	June 30, 2022 December 31, 2021 Commercial $ 147 $ 185 Real estate: Commercial 1,889 1,793 Residential 613 694 Consumer 270 139 Total $ 2,919 $ 2,811
Schedule of major classifications of loans by past due status	Greater Loans > 90 30-59 Days 60-89 Days than 90 Total Past Days and June 30, 2022 Past Due Past Due Days Due Current Total Loans Accruing Commercial $ 78 $ 19 $ 127 $ 224 $ 596,585 $ 596,809 $ Real estate: Commercial 1,561 240 708 2,509 1,567,149 1,569,658 Residential 270 475 375 1,120 316,552 317,672 190 Consumer 523 179 123 825 80,615 81,440 Total $ 2,432 $ 913 $ 1,333 $ 4,678 $ 2,560,901 $ 2,565,579 $ 190 Improved credit quality resulted in lower levels of past due loans from year end. Greater Loans > 90 30-59 Days 60-89 Days than 90 Total Past Days and December 31, 2021 Past Due Past Due Days Due Current Total Loans Accruing Commercial $ 101 155 $ 158 $ 414 $ 612,713 $ 613,127 $ Real estate: Commercial 768 $ 423 834 2,025 1,341,514 1,343,539 Residential 1,552 207 265 2,024 295,600 297,624 13 Consumer 477 163 51 691 74,192 74,883 Total $ 2,898 $ 948 $ 1,308 $ 5,154 $ 2,324,019 $ 2,329,173 $ 13
Summarized information concerning impaired loans	This Quarter Year-to-Date Unpaid Average Interest Average Interest Recorded Principal Related Recorded Income Recorded Income June 30, 2022 Investment Balance Allowance Investment Recognized Investment Recognized With no related allowance: Commercial $ 126 $ 471 $ 132 $ 2 $ 141 $ 4 Real estate: Commercial 2,473 3,262 2,611 10 2,532 22 Residential 996 1,181 935 6 914 10 Consumer 270 283 238 205 Total 3,865 5,197 3,916 18 3,792 36 With an allowance recorded: Commercial 34 34 $ 34 28 32 Real estate: Commercial 430 442 15 435 4 461 8 Residential 271 276 48 273 3 315 6 Total 735 752 97 736 7 808 14 Total impaired loans Commercial 160 505 34 160 2 173 4 Real estate: Commercial 2,903 3,704 15 3,046 14 2,993 30 Residential 1,267 1,457 48 1,208 9 1,229 16 Consumer 270 283 238 205 Total $ 4,600 $ 5,949 $ 97 $ 4,652 $ 25 $ 4,600 $ 50 For the Year Ended Unpaid Average Interest Recorded Principal Related Recorded Income December 31, 2021 Investment Balance Allowance Investment Recognized With no related allowance: Commercial $ 158 $ 481 $ 964 $ 13 Real estate: Commercial 2,376 3,120 2,719 22 Residential 873 1,073 1,016 19 Consumer 139 148 100 Total 3,546 4,822 4,799 54 With an allowance recorded: Commercial 41 41 40 1,091 15 Real estate: Commercial 513 543 109 802 22 Residential 401 401 26 436 13 Consumer Total 955 985 175 2,329 50 Total impaired loans Commercial 199 522 40 2,055 28 Real estate: Commercial 2,889 3,663 109 3,521 44 Residential 1,274 1,474 26 1,452 32 Consumer 139 148 100 Total $ 4,501 $ 5,807 $ 175 $ 7,128 $ 104 This Quarter Year-to-Date Unpaid Average Interest Average Interest Recorded Principal Related Recorded Income Recorded Income June 30, 2021 Investment Balance Allowance Investment Recognized Investment Recognized With no related allowance: Commercial $ 1,105 $ 1,603 $ 889 $ 3 $ 1,343 $ 7 Real estate: Commercial 3,009 3,970 3,145 9 2,887 15 Residential 1,007 1,185 1,064 4 1,071 10 Consumer 76 86 85 94 Total 5,197 6,844 5,183 16 5,395 32 With an allowance recorded: Commercial 966 999 $ 549 1,472 5 1,663 10 Real estate: Commercial 674 771 87 692 6 988 10 Residential 459 470 58 441 3 447 7 Consumer Total 2,099 2,240 694 2,605 14 3,098 27 Total impaired loans Commercial 2,071 2,602 549 2,361 8 3,006 17 Real estate: Commercial 3,683 4,741 87 3,837 15 3,875 25 Residential 1,466 1,655 58 1,505 7 1,518 17 Consumer 76 86 85 94 Total $ 7,296 $ 9,084 $ 694 $ 7,788 $ 30 $ 8,493 $ 59

Other assets (Tables)

Other assets (Tables)	6 Months Ended
Other assets (Tables)	Jun. 30, 2022
Other assets
Schedule of components of other assets	June 30, 2022 December 31, 2021 Other real estate owned $ 121 $ 609 Investment in low income housing partnership 5,659 5,900 Mortgage servicing rights 919 882 Restricted equity securities (FHLB and other) 8,537 4,045 Net deferred tax asset 16,266 5,355 Interest rate floor 97 844 Interest rate swaps 14,720 9,026 Other assets 8,112 6,395 Total $ 54,431 $ 33,056

Fair value estimates (Tables)

Fair value estimates (Tables)	6 Months Ended
Fair value estimates (Tables)	Jun. 30, 2022
Fair value estimates
Schedule of assets and liabilities measured at fair value on a recurring basis	Fair Value Measurement Using Quoted Prices in Significant Significant Active Markets for Other Observable Unobservable Identical Assets Inputs Inputs June 30, 2022 Amount (Level 1) (Level 2) (Level 3) U.S. Treasury securities $ 236,458 $ 236,458 $ $ U.S. government-sponsored enterprises 23,165 23,165 State and municipals: Taxable 59,972 59,972 Tax-exempt 89,272 89,272 Mortgage-backed securities: U.S. government agencies 1,276 1,276 U.S. government-sponsored enterprises 100,058 100,058 Corporate debt securities 3,710 3,710 Common equity securities 121 121 Total investment securities $ 514,032 $ 236,579 $ 277,453 $ Loan held for sale $ 681 $ 681 Interest rate floor-other assets $ 97 $ 97 Interest rate swap-other assets $ 14,720 $ 14,720 Interest rate swap-other liabilities $ (13,982) $ (13,982) Fair Value Measurement Using Quoted Prices in Significant Significant Active Markets for Other Observable Unobservable Identical Assets Inputs Inputs December 31, 2021 Amount (Level 1) (Level 2) (Level 3) U.S. Treasury securities $ 191,574 $ 191,574 $ U.S. government-sponsored enterprises 33,778 $ 33,778 State and municipals: Taxable 68,978 68,978 Tax-exempt 98,250 98,250 Mortgage-backed securities: U.S. government agencies 1,843 1,843 U.S. government-sponsored enterprises 119,980 119,980 Corporate debt securities 2,918 2,918 Common equity securities 140 140 Total investment securities $ 517,461 $ 191,714 $ 325,747 $ Loan held for sale $ 408 $ 408 Interest rate floor-other assets $ 844 $ 844 Interest rate swap-other assets $ 9,026 $ 9,026 Interest rate swap-other liabilities $ (8,811) $ (8,811)
Schedule of assets and liabilities measured at fair value on a nonrecurring basis	Fair Value Measurement Using Quoted Prices in Significant Significant Active Markets for Other Observable Unobservable Identical Assets Inputs Inputs June 30, 2022 Amount (Level 1) (Level 2) (Level 3) Impaired loans $ 638 $ 638 Fair Value Measurement Using Quoted Prices in Significant Other Significant Active Markets for Observable Unobservable Identical Assets Inputs Inputs December 31, 2021 Amount (Level 1) (Level 2) (Level 3) Impaired loans $ 780 $ 780 Other real estate owned $ 487 $ 487
Schedule of additional quantitative information about assets measured at fair value on a nonrecurring basis	Quantitative Information about Level 3 Fair Value Measurements Fair Value Range June 30, 2022 Estimate Valuation Techniques Unobservable Input (Weighted Average) Impaired loans $ 638 Appraisal of collateral Appraisal adjustments 19.8% to 97.0% (70.5)% Liquidation expenses 3.0% to 6.0% (5.2)% Quantitative Information about Level 3 Fair Value Measurements Fair Value Range December 31, 2021 Estimate Valuation Techniques Unobservable Input (Weighted Average) Impaired loans $ 780 Appraisal of collateral Appraisal adjustments 6.4% to 97.0% (65.2)% Liquidation expenses 3.0% to 6.0% (5.1)% Other real estate owned $ 487 Appraisal of collateral Appraisal adjustments 35.9% to 35.9% (35.9)% Liquidation expenses 3.0% to 6.0% (5.0)%
Schedule of carrying and fair values of financial instruments	Fair Value Hierarchy Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable Carrying Fair Assets Inputs Inputs June 30, 2022 Value Value (level 1) (level 2) (Level 3) Financial assets: Cash and due from banks $ 47,733 $ 47,733 $ 47,733 Investment securities: Available-for-sale 513,911 513,911 236,458 $ 277,453 Common equity securities 121 121 121 Held-to-maturity 94,446 84,076 84,076 Loans held for sale 681 681 681 Net loans 2,536,205 2,507,034 $ 2,507,034 Accrued interest receivable 9,303 9,303 9,303 Mortgage servicing rights 919 1,414 1,414 Restricted equity securities (FHLB and other) 8,537 8,537 8,537 Interest rate floor 97 97 97 Interest rate swaps 14,720 14,720 14,720 Total $ 3,226,673 $ 3,187,627 Financial liabilities: Deposits $ 2,911,283 $ 2,903,800 $ 2,903,800 Short-term borrowings 129,170 129,083 129,083 Long-term debt 1,646 1,657 1,657 Subordinated debentures 33,000 33,286 33,286 Accrued interest payable 1,269 1,269 1,269 Interest rate swaps 13,982 13,982 13,982 Total $ 3,090,350 $ 3,083,077 Fair Value Hierarchy Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable Carrying Fair Assets Inputs Inputs December 31, 2021 Value Value (level 1) (level 2) (Level 3) Financial assets: Cash and due from banks $ 279,933 $ 279,933 $ 279,933 Investment securities: Available-for-sale 517,321 517,321 191,574 $ 325,747 Common equity securities 140 140 140 Held-to-maturity 71,213 70,446 70,446 Loans held for sale 408 408 408 Net loans 2,300,790 2,261,586 $ 2,261,586 Accrued interest receivable 8,528 8,528 8,528 Mortgage servicing rights 882 1,357 1,357 Restricted equity securities (FHLB and other) 4,045 4,045 4,045 Interest rate floor 844 844 844 Interest rate swaps 9,026 9,026 9,026 Total $ 3,193,130 $ 3,153,634 Financial liabilities: Deposits $ 2,963,397 $ 2,963,547 $ 2,963,547 Long-term debt 2,711 2,778 2,778 Subordinated debentures 33,000 32,337 32,337 Accrued interest payable 408 408 408 Interest rate swaps 8,811 8,811 8,811 Total $ 3,008,327 $ 3,007,881

Employee benefit plans (Tables)

Employee benefit plans (Tables)	6 Months Ended
Employee benefit plans (Tables)	Jun. 30, 2022
Employee benefit plans
Schedule of components of net periodic benefit cost	Pension Benefits Three Months Ended June 30, 2022 2021 Components of net periodic pension benefit: Interest cost $ 114 $ 105 Expected return on plan assets (352) (322) Amortization of unrecognized net gain 50 76 Net periodic benefit $ (188) $ (141) Pension Benefits Six Months Ended June 30, 2022 2021 Components of net periodic pension benefit: Interest cost $ 228 $ 210 Expected return on plan assets (704) (644) Amortization of unrecognized net gain 99 152 Net periodic benefit $ (377) $ (282)

Derivatives and hedging activ_2

Derivatives and hedging activities (Tables)	6 Months Ended
Derivatives and hedging activities (Tables)	Jun. 30, 2022
Derivatives and hedging activities
Schedule of fair value of derivative financial instruments and balance sheet classification	Asset Derivatives Asset Derivatives Liability Derivatives Liability Derivatives As of June 30, 2022 As of December 31, 2021 (1) As of June 30, 2022 As of December 31, 2021 (2) Notional Balance Sheet Balance Sheet Balance Sheet Balance Sheet Amount Location Fair Value Location Fair Value Location Fair Value Location Fair Value Derivatives designated as hedging instruments Interest Rate Floor $ 25,000 Other Assets $ 97 Other Assets $ 844 Total derivatives designated as hedging instruments $ 97 $ 844 $ $ Derivatives not Interest Rate Swaps (2) $ 418,159 Other Assets $ 14,720 Other Assets $ 9,026 Other Liabilities $ 13,985 Other Liabilities $ 8,811 Total derivatives not $ 14,720 $ 9,026 $ 13,985 $ 8,811 (1) Amounts include accrued interest. (2) Notional amount of interest rate swaps at December 31, 2021 was $392,677 .
Schedule of effect of fair value and cash flow hedge accounting on accumulated other comprehensive income	Location of Amount of Amount of Amount of Amount of Amount of Gain or (Loss) Amount of Gain (Loss) Gain (Loss) Gain (Loss) Gain (Loss) Loss Recognized from Gain (Loss) Reclassified Reclassified Recognized in Recognized in Recognized in Accumulated Reclassified from Accumulated from Accumulated Derivatives in OCI on OCI Included OCI Excluded Other Comprehensive from Accumulated OCI into Income OCI into Income Hedging Derivative Component Component Income into OCI into Income Included Component Excluded Component Relationships June 30, 2022 Income June 30, 2022 Derivatives in Cash Flow Hedging Relationships $ $ Interest Expense $ $ Cash Flow Swap Other expense Interest Rate Floor () $ (469) $ (493) $ 24 Interest Income $ 224 $ 256 $ (32) Total $ (469) $ (493) $ 24 $ 224 $ 256 $ (32) Location of Amount of Amount of Amount of Amount of Amount of Gain or (Loss) Amount of Gain Loss Gain Gain Gain Recognized from Loss Reclassified Reclassified Recognized in Recognized in Recognized in Accumulated Reclassified from Accumulated from Accumulated Derivatives in OCI on OCI Included OCI Excluded Other Comprehensive from Accumulated OCI into Income OCI into Income Hedging Derivative Component Component Income into OCI into Income Included Component Excluded Component Relationships June 30, 2021 Income June 30, 2021 Derivatives in Cash Flow Hedging Relationships Cash Flow Swap $ 401 $ 401 Interest Expense $ (23) $ (23) Cash Flow Swap Other Expense (25) (25) Interest Rate Floor () $ (25) $ (83) $ 7 Interest Income $ 268 $ 300 $ (32) Total $ 376 $ 318 $ 7 $ 220 $ 252 $ (32) * Amounts disclosed are gross and not net of taxes.
Schedule of effect of derivative financial instruments on Income Statement	Location and Amount of Gain or (Loss) Recognized in Income on Fair Value and Cash Flow Hedging Relationships For the three months ended June 30, 2022 2022 2021 2021 Interest Income Interest Expense Interest Income Interest Expense Total amounts of income and expense line items presented in the statements of income and comprehensive income in which the effects of fair value or cash flow hedges are recorded $ 93 $ $ 134 The effects of fair value and cash flow hedging: Gain or (loss) on cash flow hedging relationships Interest contracts Amount of gain or (loss) reclassified from accumulated other comprehensive income into income $ 93 $ $ 134 $ Amount of gain or (loss) reclassified from accumulated other comprehensive income into income as a result that a forecasted transaction is no longer probable of occurring Amount of gain or (loss) reclassified from accumulated other comprehensive income into income - included component $ 109 $ $ 150 $ Amount of gain or (loss) reclassified from accumulated other comprehensive income into income - excluded component $ (16) $ (16) $ Location and Amount of Gain or (Loss) Recognized in Income on Fair Value and Cash Flow Hedging Relationships For the six months ended June 30, 2022 2022 2021 2021 Interest Income Interest Expense Interest Income Interest Expense Total amounts of income and expense line items presented in the statements of income and comprehensive income in which the effects of fair value or cash flow hedges are recorded $ 224 $ $ 268 $ (48) The effects of fair value and cash flow hedging: Gain or (loss) on cash flow hedging relationships Interest contracts Amount of gain or (loss) reclassified from accumulated other comprehensive income into income $ 224 $ $ 268 $ (23) Amount of gain or (loss) reclassified from accumulated other comprehensive income into income as a result that a forecasted transaction is no longer probable of occurring $ $ (25) Amount of gain or (loss) reclassified from accumulated other comprehensive income into income - included component $ 256 $ $ 300 $ (48) Amount of gain or (loss) reclassified from accumulated other comprehensive income into income - excluded component $ (32) $ (32) $
Schedule of gain (loss) on derivative instruments not designated as hedging instruments	Amount of Gain Amount of Gain Amount of Gain Amount of Loss Recognized in Recognized in Recognized in Recognized in Location of Gain or (Loss) Income Income Income Income Recognized in Income on Three Months Ended Six Months Ended Three Months Ended Six Months Ended Derivatives Not Designated as Hedging Instruments Derivative June 30, 2022 June 30, 2022 June 30, 2021 June 30, 2021 Interest Rate Swaps Interest rate swap revenue $ 283 $ 523 $ (237) $ 168 Other Contracts 1 4 Total $ 284 $ 527 $ (237) $ 168 Fee Income Fee income $ 1 $ 104 $ 105 $ 497
Schedule of offsetting derivatives	Offsetting of Derivative Assets as of June 30, 2022 Gross Amounts Not Offset in the Balance Sheet Gross Net Amounts Amounts of Gross Amounts of Assets Recognized Offset in the presented in the Financial Cash Collateral Net Assets Balance Sheet Balance Sheet Instruments Received Amount Derivatives $ 14,816 $ $ 14,816 $ 100 11,220 $ 3,496 Offsetting of Derivative Liabilities as of June 30, 2022 Gross Amounts Not Offset in the Balance Sheet Gross Net Amounts Amounts of Gross Amounts of Liabilities Recognized Offset in the presented in the Financial Cash Collateral Net Liabilities Balance Sheet Balance Sheet Instruments Paid Amount Derivatives $ 13,985 $ $ 13,985 $ 100 7,830 $ 6,055 Offsetting of Derivative Assets as of December 31, 2021 Gross Amounts Not Offset in the Balance Sheet Gross Net Amounts Amounts of Gross Amounts of Assets Recognized Offset in the presented in the Financial Cash Collateral Net Assets Balance Sheet Balance Sheet Instruments Received Amount Derivatives $ 9,870 $ $ 9,870 $ 3,218 $ 6,652 Offsetting of Derivative Liabilities as of December 31, 2021 Gross Amounts Not Offset in the Balance Sheet Gross Net Amounts Amounts of Gross Amounts of Liabilities Recognized Offset in the presented in the Financial Cash Collateral Net Liabilities Balance Sheet Balance Sheet Instruments Paid Amount Derivatives $ 8,818 $ $ 8,818 $ 3,218 5,600 $

Deposits (Tables)

Deposits (Tables)	6 Months Ended
Deposits (Tables)	Jun. 30, 2022
Deposits.
Summary of major components of interest-bearing and noninterest-bearing deposits	At the period end June 30, 2022 December 31, 2021 Interest-bearing deposits: Money market accounts $ 592,989 $ 588,245 Now accounts 752,397 851,086 Savings accounts 518,146 491,796 Time deposits less than $250 219,690 203,719 Time deposits $250 or more 80,503 90,795 Total interest-bearing deposits 2,163,725 2,225,641 Noninterest-bearing deposits 747,558 737,756 Total deposits $ 2,911,283 $ 2,963,397

Borrowings (Tables)

Borrowings (Tables)	6 Months Ended
Borrowings (Tables)	Jun. 30, 2022
Borrowings
Summary of short-term borrowings	At and for the six months ended June 30, 2022 Weighted Maximum Weighted Average Ending Average Month-End Average Rate at End Balance Balance Balance Rate of the Period Other borrowings $ 11,220 $ 5,466 $ 11,220 0.83 % 1.58 % FHLB advances 117,950 13,669 117,950 1.63 % 1.75 Total short-term borrowings 129,170 19,135 129,170 1.29 % 1.74 % At and for the year ended December 31, 2021 Weighted Weighted Maximum Average Average Ending Average Month-End Rate for Rate at End Balance Balance Balance the Year of the Year FHLB advances $ $ 13,973 $ 50,000 0.56 % %
Schedule of long-term debt consisting of advances	Interest Rate Due Fixed June 30, 2022 December 31, 2021 March 2023 4.69 $ 1,646 2,711 $ 1,646 $ 2,711
Schedule of maturities of long-term debt	2022 1,091 2023 555 $ 1,646

Summary of significant accoun_3

Summary of significant accounting policies - Nature of operations and Basis of presentation (Details)		3 Months Ended				6 Months Ended
	Jul. 29, 2022 $ / shares	Jun. 30, 2022 $ / shares	Mar. 31, 2022 $ / shares	Jun. 30, 2021 $ / shares	Mar. 31, 2021 $ / shares	Jun. 30, 2022 Office $ / shares	Jun. 30, 2021 $ / shares
Summary of significant accounting policies
Number of full-service community banking offices \| Office						28
Dividends declared \| $ / shares	$ 0.40	$ 0.39	$ 0.39	$ 0.37	$ 0.37	$ 0.78	$ 0.74

Other comprehensive loss - Comp

Other comprehensive loss - Components of Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2022	Dec. 31, 2021
Other comprehensive loss
Net unrealized loss on investment securities available-for-sale	$ (53,072)	$ (1,791)
Income tax benefit	(11,145)	(376)
Net of income taxes	(41,927)	(1,415)
Benefit plan adjustments	(5,868)	(5,868)
Income tax benefit	1,232	1,232
Net of income taxes	(4,636)	(4,636)
Derivative adjustments	(14)	680
Income tax (benefit) expense	(3)	143
Net of income taxes	(11)	537
Accumulated other comprehensive loss	$ (46,574)	$ (5,514)

Earnings per share - Schedule o

Earnings per share - Schedule of Earnings per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Earnings per share
Net income, Basic	$ 9,353	$ 8,531	$ 18,983	$ 18,009
Average common shares outstanding - basic	7,171,909	7,204,261	7,172,181	7,207,588
Net income - basic	$ 1.30	$ 1.18	$ 2.65	$ 2.50
Net income, Diluted	$ 9,353	$ 8,531	$ 18,983	$ 18,009
Average common shares outstanding - diluted	7,215,365	7,239,325	7,215,890	7,242,652
Net income - diluted	$ 1.30	$ 1.18	$ 2.63	$ 2.49

Investment securities - Amortiz

Investment securities - Amortized Cost and Fair Value of Investment Securities Aggregated by Investment Category (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Investment Securities
Available-for-sale, Amortized Cost	$ 566,983	$ 519,112
Available-for-sale, Gross Unrealized Gains	155	5,294
Available-for-sale, Gross Unrealized Losses	53,227	7,085
Available-for-sale, Fair Value	513,911	517,321
Held-to-maturity, Amortized Cost	94,446	71,213
Held-to-maturity, Gross Unrealized Gains	10	129
Held-to-maturity, Gross Unrealized Losses	10,380	896
Held-to-maturity, Fair value	84,076	70,446
U.S. Treasury securities
Investment Securities
Available-for-sale, Amortized Cost	252,706	193,849
Available-for-sale, Gross Unrealized Gains	24	107
Available-for-sale, Gross Unrealized Losses	16,272	2,382
Available-for-sale, Fair Value	236,458	191,574
U.S. Government-sponsored enterprises state and municipals
Investment Securities
Available-for-sale, Amortized Cost	23,616	33,435
Available-for-sale, Gross Unrealized Gains	2	343
Available-for-sale, Gross Unrealized Losses	453
Available-for-sale, Fair Value	23,165	33,778
State and Municipals, Taxable
Investment Securities
Available-for-sale, Amortized Cost	69,950	69,066
Available-for-sale, Gross Unrealized Gains	49	994
Available-for-sale, Gross Unrealized Losses	10,027	1,082
Available-for-sale, Fair Value	59,972	68,978
State and Municipals, Tax-exempt
Investment Securities
Available-for-sale, Amortized Cost	100,547	96,412
Available-for-sale, Gross Unrealized Gains	80	2,452
Available-for-sale, Gross Unrealized Losses	11,355	614
Available-for-sale, Fair Value	89,272	98,250
State and Municipals Tax-exempt Bonds
Investment Securities
Held-to-maturity, Amortized Cost	11,257	11,476
Held-to-maturity, Gross Unrealized Gains	10	126
Held-to-maturity, Gross Unrealized Losses	978	56
Held-to-maturity, Fair value	10,289	11,546
Mortgage-backed Securities, U.S. Government agencies
Investment Securities
Available-for-sale, Amortized Cost	1,290	1,790
Available-for-sale, Gross Unrealized Gains		53
Available-for-sale, Gross Unrealized Losses	14
Available-for-sale, Fair Value	1,276	1,843
Held-to-maturity, Amortized Cost	18,168	18,802
Held-to-maturity, Gross Unrealized Losses	1,894	392
Held-to-maturity, Fair value	16,274	18,410
Mortgage-backed Securities, U.S. Government-sponsored enterprises
Investment Securities
Available-for-sale, Amortized Cost	102,500	109,018
Available-for-sale, Gross Unrealized Gains		939
Available-for-sale, Gross Unrealized Losses	14,544	2,925
Available-for-sale, Fair Value	87,956	107,032
Held-to-maturity, Amortized Cost	65,021	40,935
Held-to-maturity, Gross Unrealized Gains		3
Held-to-maturity, Gross Unrealized Losses	7,508	448
Held-to-maturity, Fair value	57,513	40,490
Commercial mortgage-backed Securities, U.S. government-sponsored enterprises
Investment Securities
Available-for-sale, Amortized Cost	12,374	12,542
Available-for-sale, Gross Unrealized Gains		406
Available-for-sale, Gross Unrealized Losses	272
Available-for-sale, Fair Value	12,102	12,948
Corporate Debt Securities
Investment Securities
Available-for-sale, Amortized Cost	4,000	3,000
Available-for-sale, Gross Unrealized Losses	290	82
Available-for-sale, Fair Value	$ 3,710	$ 2,918

Investment securities - Maturit

Investment securities - Maturity Distribution of Debt Securities Classified as Available-for-Sale (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Investment securities
Within one year	$ 29,255
After one but within five years	205,194
After five but within ten years	83,195
After ten years	92,422
Available for sale securities	410,066
Mortgage-backed and other amortizing securities	103,845
Total	$ 513,911	$ 517,321

Investment securities - Summary

Investment securities - Summary of Amortized Cost and Fair Value of Securities by Contractual Maturity (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Amortized Cost of Held-to-maturity Securities
Amortized Cost, After five but within ten years, Held to maturity	$ 8,092
Amortized Cost, After ten years, Held to maturity	3,165
Amortized Cost, Held to maturity	11,257
Amortized Cost, Mortgage-backed securities, Held to maturity	83,189
Held-to-maturity, Amortized Cost	94,446	$ 71,213
Fair Value of Held-to-maturity Securities
Fair Value, After five but within ten years, Held to maturity	7,429
Fair Value, After ten years, Held to maturity	2,860
Fair Value, Held to maturity	10,289
Fair Value, Mortgage-backed securities, Held to maturity	73,787
Held to maturity, Fair Value	$ 84,076	$ 70,446

Investment securities - Pledged

Investment securities - Pledged Securities (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Available-for-sale and Held-to-maturity securities
Carrying value of securities pledged	us-gaap:AssetPledgedAsCollateralMember	us-gaap:AssetPledgedAsCollateralMember
Collateral Pledged
Available-for-sale and Held-to-maturity securities
Carrying value of securities pledged	$ 176,683	$ 203,580
U.S. Government-sponsored enterprises state and municipals
Available-for-sale and Held-to-maturity securities
Maximum percentage of stockholders' equity exceeded for securities of any individual issuer	10%	10%

Investment securities - Fair Va

Investment securities - Fair Value and Unrealized Losses of Investment Securities in Continuous Unrealized Loss Position (Details) $ in Thousands	Jun. 30, 2022 USD ($) security	Dec. 31, 2021 USD ($) security
Available-for-sale and Held-to-maturity securities
Less Than 12 Months, Number of Securities	247	150
Less Than 12 Months, Fair Value	$ 488,118	$ 344,216
12 Months or More, Fair Value	$ 77,567	$ 67,073
12 Months or Greater, Number of Securities	49	18
Less Than 12 Months, Unrealized Losses	$ 46,818	$ 5,354
12 Months or More, Unrealized Losses	$ 16,789	$ 2,627
Total, Number of Securities	296	168
Total, Fair Value	$ 565,685	$ 411,289
Total, Unrealized Losses	$ 63,607	$ 7,981
U.S. Treasury securities
Available-for-sale and Held-to-maturity securities
Less Than 12 Months, Number of Securities \| security	53	42
Less Than 12 Months, Fair Value	$ 232,013	$ 179,974
Less Than 12 Months, Unrealized Losses	$ 16,272	$ 2,382
Total, Number of Securities \| security	53	42
Total, Fair Value	$ 232,013	$ 179,974
Total, Unrealized Losses	$ 16,272	$ 2,382
U.S. Government-sponsored enterprises state and municipals
Available-for-sale and Held-to-maturity securities
Less Than 12 Months, Number of Securities \| security	5
Less Than 12 Months, Fair Value	$ 16,662
Less Than 12 Months, Unrealized Losses	$ 453
Total, Number of Securities \| security	5
Total, Fair Value	$ 16,662
Total, Unrealized Losses	$ 453
State and Municipals, Taxable
Available-for-sale and Held-to-maturity securities
Less Than 12 Months, Number of Securities \| security	50	27
Less Than 12 Months, Fair Value	$ 45,783	$ 26,827
12 Months or More, Fair Value	$ 10,707	$ 8,008
12 Months or Greater, Number of Securities \| security	14	8
Less Than 12 Months, Unrealized Losses	$ 7,083	$ 718
12 Months or More, Unrealized Losses	$ 2,944	$ 364
Total, Number of Securities \| security	64	35
Total, Fair Value	$ 56,490	$ 34,835
Total, Unrealized Losses	$ 10,027	$ 1,082
State and Municipals, Tax-exempt
Available-for-sale and Held-to-maturity securities
Less Than 12 Months, Number of Securities \| security	92	61
Less Than 12 Months, Fair Value	$ 70,020	$ 38,693
12 Months or More, Fair Value	$ 12,370	$ 10,319
12 Months or Greater, Number of Securities \| security	23	2
Less Than 12 Months, Unrealized Losses	$ 9,523	$ 358
12 Months or More, Unrealized Losses	$ 2,810	$ 313
Total, Number of Securities \| security	115	63
Total, Fair Value	$ 82,390	$ 49,012
Total, Unrealized Losses	$ 12,333	$ 671
Mortgage-backed Securities, U.S. Government agencies
Available-for-sale and Held-to-maturity securities
Less Than 12 Months, Number of Securities \| security	9	3
Less Than 12 Months, Fair Value	$ 17,550	$ 18,398
Less Than 12 Months, Unrealized Losses	$ 1,908	$ 391
Total, Number of Securities \| security	9	3
Total, Fair Value	$ 17,550	$ 18,398
Total, Unrealized Losses	$ 1,908	$ 391
Mortgage-backed Securities, U.S. Government-sponsored enterprises
Available-for-sale and Held-to-maturity securities
Less Than 12 Months, Number of Securities \| security	30	13
Less Than 12 Months, Fair Value	$ 91,177	$ 77,875
12 Months or More, Fair Value	$ 53,591	$ 48,276
12 Months or Greater, Number of Securities \| security	10	7
Less Than 12 Months, Unrealized Losses	$ 11,118	$ 1,454
12 Months or More, Unrealized Losses	$ 10,934	$ 1,920
Total, Number of Securities \| security	40	20
Total, Fair Value	$ 144,768	$ 126,151
Total, Unrealized Losses	$ 22,052	$ 3,374
Commercial mortgage-backed Securities, U.S. government-sponsored enterprises
Available-for-sale and Held-to-maturity securities
Less Than 12 Months, Number of Securities \| security	4
Less Than 12 Months, Fair Value	$ 12,102
Less Than 12 Months, Unrealized Losses	$ 272
Total, Number of Securities \| security	4
Total, Fair Value	$ 12,102
Total, Unrealized Losses	$ 272
Corporate Debt Securities
Available-for-sale and Held-to-maturity securities
Less Than 12 Months, Number of Securities \| security	4	4
Less Than 12 Months, Fair Value	$ 2,811	$ 2,449
12 Months or More, Fair Value	$ 899	$ 470
12 Months or Greater, Number of Securities \| security	2	1
Less Than 12 Months, Unrealized Losses	$ 189	$ 51
12 Months or More, Unrealized Losses	$ 101	$ 30
Total, Number of Securities \| security	6	5
Total, Fair Value	$ 3,710	$ 2,919
Total, Unrealized Losses	$ 290	$ 81

Investment securities (Details)

Investment securities (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
Investment securities (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021	Dec. 31, 2021
Other-than-temporary impairments recognized	$ 0	$ 0	$ 0	$ 0
Value of common stock	14,346		14,346		$ 14,341
Federal Home Loan Bank of Pittsburgh (FHLB)
Value of common stock	8,495		8,495		4,003
Atlantic Community Bankers Bank (ACBB)
Value of common stock	$ 42		$ 42		$ 42

Loans, net and allowance for _3

Loans, net and allowance for loan losses - Net Deferred Loan Costs (Details)	6 Months Ended	12 Months Ended
	Jun. 30, 2022 USD ($) loan	Dec. 31, 2021 USD ($) loan
Net deferred loan costs	$ 602,000	$ 1,567,000
Loans	2,565,579,000	2,329,173,000
PPP
Net deferred loan costs	392,000	1,659,000
Loans	27,036,000	68,893,000
Fixed interest rate	1
PPP \| Financial Asset, Past Due [Member]
Loans	$ 7,000
Financing receivables, number of past due loans \| loan	2
PPP \| Scenario, Loans Issued Before 5 June 2020 [Member]
Term of paycheck protection program	2 years
Deferral term of paycheck protection program	24 months
PPP \| Scenario, Loans Issued After 5 June 2020 [Member]
Term of paycheck protection program	5 years
Deferral term of paycheck protection program	60 months
PPP Two
Net deferred loan costs		$ 4,370,000,000
Loans	$ 13,921,000
Number of loans \| loan		1,062
Proceeds from Sale of Loans Receivable		$ 121,599,000,000
PPP One
Loans	$ 13,115,000

Loans, net and allowance for _4

Loans, net and allowance for loan losses - Major Classifications of Loans Outstanding (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Accounts, Notes, Loans and Financing Receivable
Loans	$ 2,565,579	$ 2,329,173
Commercial
Accounts, Notes, Loans and Financing Receivable
Loans	596,809	613,127
Real estate Commercial
Accounts, Notes, Loans and Financing Receivable
Loans	1,569,658	1,343,539
Real estate Residential
Accounts, Notes, Loans and Financing Receivable
Loans	317,672	297,624
Consumer
Accounts, Notes, Loans and Financing Receivable
Loans	$ 81,440	$ 74,883

Loans, net and allowance for _5

Loans, net and allowance for loan losses - Changes in Allowance for Loan Losses Account by Major Classification of Loans (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Allowance for loan losses:
Beginning Balance	$ 28,407	$ 26,783	$ 28,383	$ 27,344
Charge-offs	(98)	(190)	(453)	(385)
Recoveries	115	46	194	180
Provisions (credits)	950	100	1,250	(400)
Ending balance	29,374	26,739	29,374	26,739
Commercial
Allowance for loan losses:
Beginning Balance	7,593	8,215	8,453	8,734
Charge-offs			(161)	(15)
Recoveries	20	18	29	79
Provisions (credits)	153	287	(555)	(278)
Ending balance	7,766	8,520	7,766	8,520
Real estate Commercial
Allowance for loan losses:
Beginning Balance	16,789	14,703	15,928	14,559
Charge-offs		(144)	(132)	(240)
Recoveries	61	8	77	66
Provisions (credits)	719	(286)	1,696	(104)
Ending balance	17,569	14,281	17,569	14,281
Real estate Residential
Allowance for loan losses:
Beginning Balance	3,255	2,994	3,209	3,129
Charge-offs	(2)	(2)	(2)	(24)
Recoveries		1	3	2
Provisions (credits)	(33)	76	10	(38)
Ending balance	3,220	3,069	3,220	3,069
Consumer
Allowance for loan losses:
Beginning Balance	770	871	793	922
Charge-offs	(96)	(44)	(158)	(106)
Recoveries	34	19	85	33
Provisions (credits)	111	23	99	20
Ending balance	$ 819	$ 869	$ 819	$ 869

Loans, net and allowance for _6

Loans, net and allowance for loan losses - Allocation of Allowance for Loan Losses and Related Loans by Major Classification of Loans (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Mar. 31, 2022	Dec. 31, 2021	Jun. 30, 2021	Mar. 31, 2021	Dec. 31, 2020
Allowance for loan losses:
Ending balance	$ 29,374	$ 28,407	$ 28,383	$ 26,739	$ 26,783	$ 27,344
Ending balance: individually evaluated for impairment	97		175
Ending balance: collectively evaluated for impairment	29,277		28,208
Loans receivable:
Ending balance	2,565,579		2,329,173
Ending balance: individually evaluated for impairment	4,330		4,362
Ending balance: collectively evaluated for impairment	2,561,249		2,324,811
Commercial
Allowance for loan losses:
Ending balance	7,766	7,593	8,453	8,520	8,215	8,734
Ending balance: individually evaluated for impairment	34		40
Ending balance: collectively evaluated for impairment	7,732		8,413
Loans receivable:
Ending balance	596,809		613,127
Ending balance: individually evaluated for impairment	160		199
Ending balance: collectively evaluated for impairment	596,649		612,928
Real estate Commercial
Allowance for loan losses:
Ending balance	17,569	16,789	15,928	14,281	14,703	14,559
Ending balance: individually evaluated for impairment	15		109
Ending balance: collectively evaluated for impairment	17,554		15,819
Loans receivable:
Ending balance	1,569,658		1,343,539
Ending balance: individually evaluated for impairment	2,903		2,889
Ending balance: collectively evaluated for impairment	1,566,755		1,340,650
Real estate Residential
Allowance for loan losses:
Ending balance	3,220	3,255	3,209	3,069	2,994	3,129
Ending balance: individually evaluated for impairment	48		26
Ending balance: collectively evaluated for impairment	3,172		3,183
Loans receivable:
Ending balance	317,672		297,624
Ending balance: individually evaluated for impairment	1,267		1,274
Ending balance: collectively evaluated for impairment	316,405		296,350
Consumer
Allowance for loan losses:
Ending balance	819	$ 770	793	$ 869	$ 871	$ 922
Ending balance: collectively evaluated for impairment	819		793
Loans receivable:
Ending balance	81,440		74,883
Ending balance: collectively evaluated for impairment	$ 81,440		$ 74,883

Loans, net and allowance for _7

Loans, net and allowance for loan losses - Major Classification of Loans Portfolio Summarized by Credit Quality (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2022 USD ($) loan	Dec. 31, 2021 USD ($)
Accounts, Notes, Loans and Financing Receivable
Loans	$ 2,565,579	$ 2,329,173
Commercial
Accounts, Notes, Loans and Financing Receivable
Loans	596,809	613,127
Real estate Commercial
Accounts, Notes, Loans and Financing Receivable
Loans	1,569,658	1,343,539
Real estate Residential
Accounts, Notes, Loans and Financing Receivable
Loans	317,672	297,624
Consumer
Accounts, Notes, Loans and Financing Receivable
Loans	81,440	74,883
Pass
Accounts, Notes, Loans and Financing Receivable
Loans	2,540,236	2,305,433
Pass \| Commercial
Accounts, Notes, Loans and Financing Receivable
Loans	587,907	611,151
Pass \| Real estate Commercial
Accounts, Notes, Loans and Financing Receivable
Loans	1,555,363	1,324,646
Pass \| Real estate Residential
Accounts, Notes, Loans and Financing Receivable
Loans	315,835	294,892
Pass \| Consumer
Accounts, Notes, Loans and Financing Receivable
Loans	81,131	74,744
Special Mention
Accounts, Notes, Loans and Financing Receivable
Loans	16,224	15,168
Special Mention \| Commercial
Accounts, Notes, Loans and Financing Receivable
Loans	$ 8,077	896
Number of loans degraded \| loan	1
Increase in loans receivables due to insufficient cash flow	$ 7,800,000
Decrease in loan due to upgrading credit line	3,531,000
Decrease in loan due to downgrading credit line	2,429,000
Special Mention \| Real estate Commercial
Accounts, Notes, Loans and Financing Receivable
Loans	8,028	13,939
Special Mention \| Real estate Residential
Accounts, Notes, Loans and Financing Receivable
Loans	119	333
Substandard
Accounts, Notes, Loans and Financing Receivable
Loans	9,119	8,572
Substandard \| Commercial
Accounts, Notes, Loans and Financing Receivable
Loans	825	1,080
Amount of increase (decrease) in loans and leases receivable due to repayment uncertainty	1,745,000
Substandard \| Real estate Commercial
Accounts, Notes, Loans and Financing Receivable
Loans	6,267	4,954
Substandard \| Real estate Residential
Accounts, Notes, Loans and Financing Receivable
Loans	1,718	2,399
Decrease in loan due to downgrading credit line	681,000
Decrease in loan due to payoff of credit	538,000
Substandard \| Consumer
Accounts, Notes, Loans and Financing Receivable
Loans	$ 309	$ 139

Loans, net and allowance for _8

Loans, net and allowance for loan losses - Information Concerning Nonaccrual Loans by Major Loan Classification (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2021	Jun. 30, 2022
Financing Receivable, Recorded Investment, Past Due.
Nonaccrual loans, Total	$ 2,811	$ 2,919
Nonaccrual loans increased	108,000
Commercial
Financing Receivable, Recorded Investment, Past Due.
Nonaccrual loans, Total	185	147
Real estate Commercial
Financing Receivable, Recorded Investment, Past Due.
Nonaccrual loans, Total	1,793	1,889
Real estate Residential
Financing Receivable, Recorded Investment, Past Due.
Nonaccrual loans, Total	694	613
Consumer
Financing Receivable, Recorded Investment, Past Due.
Nonaccrual loans, Total	$ 139	$ 270

Loans, net and allowance for _9

Loans, net and allowance for loan losses - Major Classification of Loans by Past Due Status (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Financing Receivable, Recorded Investment, Past Due.
Loans	$ 2,565,579	$ 2,329,173
Loans > 90 Days and Accruing	190	13
Financial Assets, Past Due
Financing Receivable, Recorded Investment, Past Due.
Total Due	4,678	5,154
30-59 Days Past Due
Financing Receivable, Recorded Investment, Past Due.
Total Due	2,432	2,898
60-89 Days Past Due
Financing Receivable, Recorded Investment, Past Due.
Total Due	913	948
Greater than 90 Days
Financing Receivable, Recorded Investment, Past Due.
Total Due	1,333	1,308
Financial Assets, Not Past Due
Financing Receivable, Recorded Investment, Past Due.
Total Due	2,560,901	2,324,019
Commercial
Financing Receivable, Recorded Investment, Past Due.
Loans	596,809	613,127
Commercial \| Financial Assets, Past Due
Financing Receivable, Recorded Investment, Past Due.
Total Due	224	414
Commercial \| 30-59 Days Past Due
Financing Receivable, Recorded Investment, Past Due.
Total Due	78	101
Commercial \| 60-89 Days Past Due
Financing Receivable, Recorded Investment, Past Due.
Total Due	19	155
Commercial \| Greater than 90 Days
Financing Receivable, Recorded Investment, Past Due.
Total Due	127	158
Commercial \| Financial Assets, Not Past Due
Financing Receivable, Recorded Investment, Past Due.
Total Due	596,585	612,713
Real estate Commercial
Financing Receivable, Recorded Investment, Past Due.
Loans	1,569,658	1,343,539
Real estate Commercial \| Financial Assets, Past Due
Financing Receivable, Recorded Investment, Past Due.
Total Due	2,509	2,025
Real estate Commercial \| 30-59 Days Past Due
Financing Receivable, Recorded Investment, Past Due.
Total Due	1,561	768
Real estate Commercial \| 60-89 Days Past Due
Financing Receivable, Recorded Investment, Past Due.
Total Due	240	423
Real estate Commercial \| Greater than 90 Days
Financing Receivable, Recorded Investment, Past Due.
Total Due	708	834
Real estate Commercial \| Financial Assets, Not Past Due
Financing Receivable, Recorded Investment, Past Due.
Total Due	1,567,149	1,341,514
Real estate Residential
Financing Receivable, Recorded Investment, Past Due.
Loans	317,672	297,624
Loans > 90 Days and Accruing	190	13
Real estate Residential \| Financial Assets, Past Due
Financing Receivable, Recorded Investment, Past Due.
Total Due	1,120	2,024
Real estate Residential \| 30-59 Days Past Due
Financing Receivable, Recorded Investment, Past Due.
Total Due	270	1,552
Real estate Residential \| 60-89 Days Past Due
Financing Receivable, Recorded Investment, Past Due.
Total Due	475	207
Real estate Residential \| Greater than 90 Days
Financing Receivable, Recorded Investment, Past Due.
Total Due	375	265
Real estate Residential \| Financial Assets, Not Past Due
Financing Receivable, Recorded Investment, Past Due.
Total Due	316,552	295,600
Consumer
Financing Receivable, Recorded Investment, Past Due.
Loans	81,440	74,883
Consumer \| Financial Assets, Past Due
Financing Receivable, Recorded Investment, Past Due.
Total Due	825	691
Consumer \| 30-59 Days Past Due
Financing Receivable, Recorded Investment, Past Due.
Total Due	523	477
Consumer \| 60-89 Days Past Due
Financing Receivable, Recorded Investment, Past Due.
Total Due	179	163
Consumer \| Greater than 90 Days
Financing Receivable, Recorded Investment, Past Due.
Total Due	123	51
Consumer \| Financial Assets, Not Past Due
Financing Receivable, Recorded Investment, Past Due.
Total Due	$ 80,615	$ 74,192

Loans, net and allowance for_10

Loans, net and allowance for loan losses - Summarized Information in Concerning to Impaired Loans (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021	Dec. 31, 2021
Financing Receivable, Impaired
Recorded Investment, With no related allowance, Total	$ 3,865	$ 5,197	$ 3,865	$ 5,197	$ 3,546
Unpaid Principal Balance, With no related allowance, Total	5,197	6,844	5,197	6,844	4,822
Average Recorded Investment, With no related allowance, Total	3,916	5,183	3,792	5,395	4,799
Interest Income Recognized, With no related allowance, Total	18	16	36	32	54
Recorded Investment, With an allowance recorded, Total	735	2,099	735	2,099	955
Unpaid Principal Balance, With an allowance recorded, Total	752	2,240	752	2,240	985
Related Allowance, With an allowance recorded, Total	97	694	97	694	175
Average Recorded Investment, With an allowance recorded, Total	736	2,605	808	3,098	2,329
Interest Income Recognized, With an allowance recorded, Total	7	14	14	27	50
Recorded Investment, Total	4,600	7,296	4,600	7,296	4,501
Unpaid Principal Balance, Total	5,949	9,084	5,949	9,084	5,807
Average Recorded Investment, Total	4,652	7,788	4,600	8,493	7,128
Interest Income Recognized, Total	25	30	50	59	104
Commercial
Financing Receivable, Impaired
Recorded Investment, With no related allowance, Total	126	1,105	126	1,105	158
Unpaid Principal Balance, With no related allowance, Total	471	1,603	471	1,603	481
Average Recorded Investment, With no related allowance, Total	132	889	141	1,343	964
Interest Income Recognized, With no related allowance, Total	2	3	4	7	13
Recorded Investment, With an allowance recorded, Total	34	966	34	966	41
Unpaid Principal Balance, With an allowance recorded, Total	34	999	34	999	41
Related Allowance, With an allowance recorded, Total	34	549	34	549	40
Average Recorded Investment, With an allowance recorded, Total	28	1,472	32	1,663	1,091
Interest Income Recognized, With an allowance recorded, Total		5		10	15
Recorded Investment, Total	160	2,071	160	2,071	199
Unpaid Principal Balance, Total	505	2,602	505	2,602	522
Average Recorded Investment, Total	160	2,361	173	3,006	2,055
Interest Income Recognized, Total	2	8	4	17	28
Real estate Commercial
Financing Receivable, Impaired
Recorded Investment, With no related allowance, Total	2,473	3,009	2,473	3,009	2,376
Unpaid Principal Balance, With no related allowance, Total	3,262	3,970	3,262	3,970	3,120
Average Recorded Investment, With no related allowance, Total	2,611	3,145	2,532	2,887	2,719
Interest Income Recognized, With no related allowance, Total	10	9	22	15	22
Recorded Investment, With an allowance recorded, Total	430	674	430	674	513
Unpaid Principal Balance, With an allowance recorded, Total	442	771	442	771	543
Related Allowance, With an allowance recorded, Total	15	87	15	87	109
Average Recorded Investment, With an allowance recorded, Total	435	692	461	988	802
Interest Income Recognized, With an allowance recorded, Total	4	6	8	10	22
Recorded Investment, Total	2,903	3,683	2,903	3,683	2,889
Unpaid Principal Balance, Total	3,704	4,741	3,704	4,741	3,663
Average Recorded Investment, Total	3,046	3,837	2,993	3,875	3,521
Interest Income Recognized, Total	14	15	30	25	44
Real estate Residential
Financing Receivable, Impaired
Recorded Investment, With no related allowance, Total	996	1,007	996	1,007	873
Unpaid Principal Balance, With no related allowance, Total	1,181	1,185	1,181	1,185	1,073
Average Recorded Investment, With no related allowance, Total	935	1,064	914	1,071	1,016
Interest Income Recognized, With no related allowance, Total	6	4	10	10	19
Recorded Investment, With an allowance recorded, Total	271	459	271	459	401
Unpaid Principal Balance, With an allowance recorded, Total	276	470	276	470	401
Related Allowance, With an allowance recorded, Total	48	58	48	58	26
Average Recorded Investment, With an allowance recorded, Total	273	441	315	447	436
Interest Income Recognized, With an allowance recorded, Total	3	3	6	7	13
Recorded Investment, Total	1,267	1,466	1,267	1,466	1,274
Unpaid Principal Balance, Total	1,457	1,655	1,457	1,655	1,474
Average Recorded Investment, Total	1,208	1,505	1,229	1,518	1,452
Interest Income Recognized, Total	9	7	16	17	32
Consumer
Financing Receivable, Impaired
Recorded Investment, With no related allowance, Total	270	76	270	76	139
Unpaid Principal Balance, With no related allowance, Total	283	86	283	86	148
Average Recorded Investment, With no related allowance, Total	238	85	205	94	100
Recorded Investment, Total	270	76	270	76	139
Unpaid Principal Balance, Total	283	86	283	86	148
Average Recorded Investment, Total	$ 238	$ 85	$ 205	$ 94	$ 100

Loans, net and allowance for_11

Loans, net and allowance for loan losses - Loan Modifications and Troubled Debt Restructurings (Details) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022 USD ($)	Jun. 30, 2021 USD ($)	Jun. 30, 2022 USD ($) loan	Jun. 30, 2021 USD ($) loan	Dec. 31, 2021 USD ($)
Loans, net and allowance for loan losses
Number of loans \| loan			0	0
Number of defaults on loans restructured	$ 0	$ 0	$ 0	$ 0
Loans receivable, related parties, considered as nonaccrual, past due or restructured or potential credit risk	$ 1,468	$ 2,637	$ 1,468	$ 2,637	$ 1,649

Other assets - Components of Ot

Other assets - Components of Other Assets (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Other real estate owned	$ 121	$ 609
Investment in low income housing partnership	5,659	5,900
Mortgage servicing rights	919	882
Restricted equity securities (FHLB and other)	8,537	4,045
Net deferred tax asset	16,266	5,355
Interest rate floor and swaps	14,816	9,870
Other assets	8,112	6,395
Total	54,431	33,056
Interest Rate Floor
Interest rate floor and swaps	97	844
Interest Rate Swaps
Interest rate floor and swaps	$ 14,720	$ 9,026

Fair value estimates - Transfer

Fair value estimates - Transfers Between Levels (Details) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2022	Dec. 31, 2021
Fair value estimates
Fair value of assets transfers from level 1 to level 2	$ 0	$ 0
Fair value of assets transfers from level 2 to level 1	0	0
Fair value of liabilities transfers from level 1 to level 2	0	0
Fair value of liabilities transfers from level 2 to level 1	0	0
Fair value of assets transfers into level 3	0	0
Fair value of assets transfers out of level 3	0	0
Fair value of liabilities transfers into level 3	0	0
Fair value of liabilities transfers out of level 3	$ 0	$ 0

Fair value estimates - Schedule

Fair value estimates - Schedule of Assets and Liabilities Measured at Fair Value on Recurring Basis (Details) - Recurring Basis - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets, Fair Value Estimate	$ 514,032	$ 517,461
U.S. Treasury securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets, Fair Value Estimate	236,458	191,574
U.S. Government-sponsored enterprises state and municipals
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets, Fair Value Estimate	23,165	33,778
State and Municipals, Taxable
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets, Fair Value Estimate	59,972	68,978
State and Municipals, Tax-exempt
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets, Fair Value Estimate	89,272	98,250
Corporate Debt Securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets, Fair Value Estimate	3,710	2,918
Mortgage-backed Securities, U.S. Government agencies
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets, Fair Value Estimate	1,276	1,843
Mortgage-backed Securities, U.S. Government-sponsored enterprises
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets, Fair Value Estimate	100,058	119,980
Equity Securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets, Fair Value Estimate	121	140
Loan held for sale
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets, Fair Value Estimate	681	408
Interest rate floor - other assets
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets, Fair Value Estimate	97	844
Interest rate swap-other assets
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets, Fair Value Estimate	14,720	9,026
Interest rate swap-other liabilities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Liabilities measured at fair value	(13,982)	(8,811)
Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets, Fair Value Estimate	236,579	191,714
Level 1 \| U.S. Treasury securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets, Fair Value Estimate	236,458	191,574
Level 1 \| Equity Securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets, Fair Value Estimate	121	140
Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets, Fair Value Estimate	277,453	325,747
Level 2 \| U.S. Government-sponsored enterprises state and municipals
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets, Fair Value Estimate	23,165	33,778
Level 2 \| State and Municipals, Taxable
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets, Fair Value Estimate	59,972	68,978
Level 2 \| State and Municipals, Tax-exempt
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets, Fair Value Estimate	89,272	98,250
Level 2 \| Corporate Debt Securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets, Fair Value Estimate	3,710	2,918
Level 2 \| Mortgage-backed Securities, U.S. Government agencies
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets, Fair Value Estimate	1,276	1,843
Level 2 \| Mortgage-backed Securities, U.S. Government-sponsored enterprises
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets, Fair Value Estimate	100,058	119,980
Level 2 \| Loan held for sale
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets, Fair Value Estimate	681	408
Level 2 \| Interest rate floor - other assets
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets, Fair Value Estimate	97	844
Level 2 \| Interest rate swap-other assets
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets, Fair Value Estimate	14,720	9,026
Level 2 \| Interest rate swap-other liabilities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Liabilities measured at fair value	$ (13,982)	$ (8,811)

Fair value estimates - Schedu_2

Fair value estimates - Schedule of Assets and Liabilities Measured at Fair Value on Nonrecurring Basis (Details) - Nonrecurring Basis - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Impaired loans	$ 638	$ 780
Other real estate owned		487
Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Impaired loans	$ 638	780
Other real estate owned		$ 487

Fair value estimates - Addition

Fair value estimates - Additional Quantitative Information about Assets Measured at Fair Value on Nonrecurring Basis (Details) - Nonrecurring Basis - Level 3 - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Impaired Loans
Fair Value Inputs, Assets, Quantitative Information
Assets, Fair Value Estimate	$ 638	$ 780
Range and weighted average of appraisal adjustments	70.50%	65.20%
Range and weighted average of liquidation expenses	5.20%	5.10%
Impaired Loans \| Minimum
Fair Value Inputs, Assets, Quantitative Information
Range and weighted average of appraisal adjustments	19.80%	6.40%
Range and weighted average of liquidation expenses	3%	3%
Impaired Loans \| Maximum
Fair Value Inputs, Assets, Quantitative Information
Range and weighted average of appraisal adjustments	97%	97%
Range and weighted average of liquidation expenses	6%	6%
Other Real Estate Owned
Fair Value Inputs, Assets, Quantitative Information
Assets, Fair Value Estimate		$ 487
Range and weighted average of appraisal adjustments		35.90%
Range and weighted average of liquidation expenses		5%
Other Real Estate Owned \| Minimum
Fair Value Inputs, Assets, Quantitative Information
Range and weighted average of appraisal adjustments		35.90%
Range and weighted average of liquidation expenses		3%
Other Real Estate Owned \| Maximum
Fair Value Inputs, Assets, Quantitative Information
Range and weighted average of appraisal adjustments		35.90%
Range and weighted average of liquidation expenses		6%

Fair value estimates - Carrying

Fair value estimates - Carrying and Fair Values of Financial Instruments (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Investment securities:
Available-for-sale	$ 513,911	$ 517,321
Common equity securities	121	140
Held-to-maturity	84,076	70,446
Loans held for sale	681	408
Mortgage servicing rights	919	882
Financial liabilities:
Subordinated debentures	33,000	33,000
Carrying Value
Financial assets:
Cash and due from banks	47,733	279,933
Investment securities:
Available-for-sale	513,911	517,321
Common equity securities	121	140
Held-to-maturity	94,446	71,213
Loans held for sale	681	408
Net loans	2,536,205	2,300,790
Accrued interest receivable	9,303	8,528
Mortgage servicing rights	919	882
Restricted equity securities (FHLB and other)	8,537	4,045
Interest rate floor	97	844
Interest rate swaps	14,720	9,026
Total assets	3,226,673	3,193,130
Financial liabilities:
Deposits	2,911,283	2,963,397
Short-term borrowings	129,170
Long-term debt	1,646	2,711
Subordinated debentures	33,000	33,000
Accrued interest payable	1,269	408
Interest rate swap	13,982	8,811
Total liabilities	3,090,350	3,008,327
Fair Value
Financial assets:
Cash and due from banks	47,733	279,933
Investment securities:
Available-for-sale	513,911	517,321
Common equity securities	121	140
Held-to-maturity	84,076	70,446
Loans held for sale	681	408
Net loans	2,507,034	2,261,586
Accrued interest receivable	9,303	8,528
Mortgage servicing rights	1,414	1,357
Restricted equity securities (FHLB and other)	8,537	4,045
Interest rate floor	97	844
Interest rate swaps	14,720	9,026
Total assets	3,187,627	3,153,634
Financial liabilities:
Deposits	2,903,800	2,963,547
Short-term borrowings	129,083
Long-term debt	1,657	2,778
Subordinated debentures	33,286	32,337
Accrued interest payable	1,269	408
Interest rate swap	13,982	8,811
Total liabilities	3,083,077	3,007,881
Level 1
Financial assets:
Cash and due from banks	47,733	279,933
Investment securities:
Available-for-sale	236,458	191,574
Common equity securities	121	140
Level 2
Investment securities:
Available-for-sale	277,453	325,747
Held-to-maturity	84,076	70,446
Loans held for sale	681	408
Accrued interest receivable	9,303	8,528
Mortgage servicing rights	1,414	1,357
Restricted equity securities (FHLB and other)	8,537	4,045
Interest rate floor	97	844
Interest rate swaps	14,720	9,026
Financial liabilities:
Deposits	2,903,800	2,963,547
Short-term borrowings	129,083
Long-term debt	1,657	2,778
Subordinated debentures	33,286	32,337
Accrued interest payable	1,269	408
Interest rate swap	13,982	8,811
Level 3
Investment securities:
Net loans	$ 2,507,034	$ 2,261,586

Employee benefit plans - Compon

Employee benefit plans - Components of Net Periodic Benefit Cost (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Components of net periodic pension cost:
Salaries and employee benefits expense	$ 7,851	$ 7,250	$ 15,891	$ 13,820
Pension Benefits
Components of net periodic pension cost:
Salaries and employee benefits expense	308	342	597	648
Interest cost	114	105	228	210
Expected return on plan assets	(352)	(322)	(704)	(644)
Amortization of unrecognized net gain	50	76	99	152
Net periodic benefit	$ (188)	$ (141)	$ (377)	$ (282)

Employee benefit plans - Additi

Employee benefit plans - Additional Information (Details) - 2017 Plan - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Share-based Compensation Arrangement by Share-based Payment Award
Common stock available for grant as awards	17,365		17,365
Salaries and employee benefits expense	$ 191		$ 390
Non-Performance-based restricted stock
Share-based Compensation Arrangement by Share-based Payment Award
Shares or units vesting period			3 years
Performance-based restricted stock units
Share-based Compensation Arrangement by Share-based Payment Award
Shares or units vesting period			3 years
Cumulative diluted earnings per share period used for conditions for vesting of performance-based restricted stock units			3 years
Average return on equity period used for conditions for vesting of performance-based restricted stock units			3 years
Restricted Stock
Share-based Compensation Arrangement by Share-based Payment Award
Granted shares			19,787	19,818
Salaries and employee benefits expense		$ 177		$ 266
Unrecognized compensation expense	$ 1,412		$ 1,412
Weighted average vesting period			2 years

Derivatives and hedging activ_3

Derivatives and hedging activities - Fair Values of Derivative Instruments on the Balance Sheet (Details) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022 USD ($) security	Jun. 30, 2021 USD ($)	Jun. 30, 2022 USD ($) security	Jun. 30, 2021 USD ($)	Dec. 31, 2021 USD ($)
Derivatives, Fair Value
Interest rate floor and swaps	$ 14,816		$ 14,816		$ 9,870
Liability Derivatives	13,985		13,985		8,818
Posted collateral	11,220		11,220
Net Amounts of Assets presented in the Balance Sheet	13,985		13,985		8,818
Interest expense
Derivatives, Fair Value
Amount of gain or (loss) reclassified as a increase to interest income (expense)				$ (48)
Interest income
Derivatives, Fair Value
Amount of gain or (loss) reclassified as a increase to interest income (expense)	109	$ 150	256	$ 300
Interest Rate Floor
Derivatives, Fair Value
Interest rate floor and swaps	97		97		844
Interest Rate Swaps
Derivatives, Fair Value
Interest rate floor and swaps	14,720		14,720		9,026
Credit-risk contract
Derivatives, Fair Value
Posted collateral	7,830		7,830
Net Amounts of Assets presented in the Balance Sheet	3,402		3,402		5,600
Derivatives designated as hedging instruments
Derivatives, Fair Value
Interest rate floor and swaps	97		97		844
Derivatives designated as hedging instruments \| Interest Rate Floor
Derivatives, Fair Value
Notional amount	25,000		25,000
Derivatives designated as hedging instruments \| Interest Rate Floor \| Other Assets.
Derivatives, Fair Value
Interest rate floor and swaps	97		97		844
Derivatives not designated as hedging instruments
Derivatives, Fair Value
Interest rate floor and swaps	14,720		14,720		9,026
Liability Derivatives	$ 13,985		$ 13,985		8,811
Derivatives not designated as hedging instruments \| Interest Rate Swaps
Derivatives, Fair Value
Number of instruments held \| security	89		89
Notional amount	$ 418,159		$ 418,159		392,677
Derivatives not designated as hedging instruments \| Interest Rate Swaps \| Other Assets.
Derivatives, Fair Value
Interest rate floor and swaps	14,720		14,720		9,026
Derivatives not designated as hedging instruments \| Interest Rate Swaps \| Other Liabilities.
Derivatives, Fair Value
Liability Derivatives	$ 13,985		13,985		$ 8,811
Cash Flow Hedge \| Interest income
Derivatives, Fair Value
Amount of gain or (loss) reclassified as a increase to interest income (expense)			$ 41

Derivatives and hedging activ_4

Derivatives and hedging activities - Effect of Fair Value and Cash Flow Hedge Accounting on Accumulated Other Comprehensive Income (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021	Dec. 31, 2021
Derivative Instruments, Gain (Loss)
Amount of Gain (Loss) Recognized in OCI Included Component			$ (14)		$ 680
Interest expense
Derivative Instruments, Gain (Loss)
Amount of Gain (Loss) Reclassified from Accumulated OCI into Income				$ (23)
Interest income
Derivative Instruments, Gain (Loss)
Amount of Gain (Loss) Reclassified from Accumulated OCI into Income	$ 93	$ 134	224	268
Interest Rate Floor \| Interest income
Derivative Instruments, Gain (Loss)
Amount of Gain (Loss) Recognized in OCI on Derivative			(469)	(25)
Amount of Gain (Loss) Recognized in OCI Included Component			(493)	(83)
Amount of Loss Recognized in OCI Excluded Component			24	7
Amount of Gain (Loss) Reclassified from Accumulated OCI into Income			224	268
Amount of Gain (Loss) Reclassified from Accumulated OCI into Income Included Component			256	300
Amount of Gain (Loss) Reclassified from Accumulated OCI into Income Excluded Component			(32)	(32)
Cash Flow Hedge
Derivative Instruments, Gain (Loss)
Amount of Gain (Loss) Recognized in OCI on Derivative			(469)	376
Amount of Gain (Loss) Recognized in OCI Included Component			(493)	318
Amount of Loss Recognized in OCI Excluded Component			24	7
Amount of Gain (Loss) Reclassified from Accumulated OCI into Income			224	220
Amount of Gain (Loss) Reclassified from Accumulated OCI into Income Included Component			256	252
Amount of Gain (Loss) Reclassified from Accumulated OCI into Income Excluded Component			$ (32)	(32)
Cash Flow Hedge \| Interest expense
Derivative Instruments, Gain (Loss)
Amount of Gain (Loss) Recognized in OCI on Derivative				401
Amount of Gain (Loss) Recognized in OCI Included Component				401
Amount of Gain (Loss) Reclassified from Accumulated OCI into Income				(23)
Amount of Gain (Loss) Reclassified from Accumulated OCI into Income Included Component				$ (23)

Derivatives and hedging activ_5

Derivatives and hedging activities - Effect of Fair Value and Cash Flow Hedge Accounting on the Income Statement (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Derivative Instruments, Gain (Loss)
Total amounts of income and expense line items presented in the statements of income and comprehensive income in which the effects of fair value or cash flow hedges are recorded	$ (201)	$ (135)	$ (694)	$ 106
Interest income
Derivative Instruments, Gain (Loss)
Total amounts of income and expense line items presented in the statements of income and comprehensive income in which the effects of fair value or cash flow hedges are recorded	93	134	224	268
Amount of gain or (loss) reclassified from accumulated other comprehensive income into income	93	134	224	268
Amount of gain or (loss) reclassified from accumulated other comprehensive income into income - included component	109	150	256	300
Amount of gain or (loss) reclassified from accumulated other comprehensive income into income - excluded component	$ (16)	$ (16)	$ (32)	(32)
Interest expense
Derivative Instruments, Gain (Loss)
Total amounts of income and expense line items presented in the statements of income and comprehensive income in which the effects of fair value or cash flow hedges are recorded				(48)
Amount of gain or (loss) reclassified from accumulated other comprehensive income into income				(23)
Amount of gain or (loss) reclassified from accumulated other comprehensive income into income as a result that a forecasted transaction is no longer probable of occurring				(25)
Amount of gain or (loss) reclassified from accumulated other comprehensive income into income - included component				$ (48)

Derivatives and hedging activ_6

Derivatives and hedging activities - Effect of Other Derivative Instruments on the Income Statement (Details) - Derivatives not designated as hedging instruments - Interest Rate Swap Revenue - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Interest Rate Swaps
Derivative Instruments, Gain (Loss)
Amount of Gain (Loss) Recognized in Income	$ 283	$ (237)	$ 523	$ 168
Fee Income
Derivative Instruments, Gain (Loss)
Amount of Gain (Loss) Recognized in Income	$ 1	$ 105	$ 104	$ 497

Derivatives and hedging activ_7

Derivatives and hedging activities - Offsetting Derivatives (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Offsetting of Derivative Assets
Gross Amounts of Recognized Assets	$ 14,816	$ 9,870
Net Amounts of Assets presented in the Balance Sheet	14,816	9,870
Gross Amounts Not Offset in the Statement of Financial Position - Financial Instruments	100	3,218
Gross Amounts Not Offset in the Statement of Financial Position - Cash Collateral Received	11,220
Net Amount	3,496	6,652
Offsetting of Derivative Liabilities
Gross Amounts of Recognized Liabilities	13,985	8,818
Net Amounts of Assets presented in the Balance Sheet	13,985	8,818
Gross Amounts Not Offset in the Statement of Financial Position - Financial Instruments	100	3,218
Gross Amounts Not Offset in the Statement of Financial Position - Cash Collateral Paid	7,830	$ 5,600
Net Amount	$ 6,055

Deposits - Components of Intere

Deposits - Components of Interest-bearing and Noninterest-bearing Deposits (Details) - USD ($) $ in Thousands	3 Months Ended	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2022	Dec. 31, 2021
Deposits.
Money market accounts	$ 592,989	$ 592,989	$ 588,245
Now accounts	752,397	752,397	851,086
Savings accounts	518,146	518,146	491,796
Time deposits less than $250	219,690	219,690	203,719
Time deposits $250 or more	80,503	80,503	90,795
Total interest-bearing deposits	2,163,725	2,163,725	2,225,641
Noninterest-bearing deposits	747,558	747,558	737,756
Total deposits	2,911,283	2,911,283	$ 2,963,397
Deposits decreased	(52,114)	(52,114)
Brokered deposits increased	$ 25,317
Brokered deposits increased callable		$ 11,400
Certificates of deposit callable term		3 months

Borrowings (Details)

Borrowings (Details) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
Borrowings (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Short-term Debt
Ending Balance	$ 129,170	$ 0
Average Balance	19,135
Maximum Month-End Balance	$ 129,170
Weighted Average Rate for the Year	1.29%
Weighted Average Rate at End of Year	1.74%
Other borrowings
Short-term Debt
Ending Balance	$ 11,220
Average Balance	5,466
Maximum Month-End Balance	$ 11,220
Weighted Average Rate for the Year	0.83%
Weighted Average Rate at End of Year	1.58%
FHLB Advances
Short-term Debt
Ending Balance	$ 117,950
Average Balance	13,669	13,973
Maximum Month-End Balance	$ 117,950	$ 50,000
Weighted Average Rate for the Year	1.63%	0.56%
Weighted Average Rate at End of Year	1.75%

Borrowings - Additional Informa

Borrowings - Additional Information (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Short-term Debt
Short-term borrowings	$ 129,170	$ 0
Increase in short-term borrowings	117,950
Other borrowings	11,220
Peoples Bank
Short-term Debt
Maximum borrowing capacity	1,018,230,000,000	896,130
Outstanding amount in borrowings	119,596	2,711
Amount of credit facility used to issue standby letters of credit to collateralize public fund deposits	$ 283,500	$ 373,035

Borrowings - Long-term debt adv

Borrowings - Long-term debt advances (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Debt Instrument
Long-term debt	$ 1,646	$ 2,711
Long-term 4.69% fixed rate debt due March 2023
Debt Instrument
Long-term debt	$ 1,646	$ 2,711
Fixed interest rate (as a percent)	4.69%	4.69%

Borrowings - Maturities of long

Borrowings - Maturities of long-term debt (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Borrowings
2022	$ 1,091
2023	555
Total long-term debt	1,646	$ 2,711
FHLB long-term advances	$ 1,646

Subordinated debt (Details)

Subordinated debt (Details) - 2020 Notes	Jun. 01, 2020 USD ($)
Debt Instrument
Aggregate principal amount	$ 33,000
Rate of interest for first five years	5.375%
Duration interest rate in effect	5 years
Percentage of debt redeemed	100%
Minimum
Debt Instrument
Floated interest rate	4.75%
Number of days notice to redeem debt	10 days