F & M Bank (FMBM) 10-Q 14 Nov 24 2024 Q3 Quarterly report Financial data

Cover

Cover - shares	9 Months Ended
	Sep. 30, 2024	Nov. 04, 2024
Cover [Abstract]
Entity Registrant Name	F&M BANK CORP.
Entity Central Index Key	0000740806
Document Type	10-Q
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Small Business	true
Entity Shell Company	false
Entity Emerging Growth Company	false
Entity Current Reporting Status	Yes
Document Period End Date	Sep. 30, 2024
Entity Filer Category	Non-accelerated Filer
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2024
Entity Common Stock Shares Outstanding		3,520,434
Document Quarterly Report	true
Document Transition Report	false
Entity File Number	000-13273
Entity Incorporation State Country Code	VA
Entity Tax Identification Number	54-1280811
Entity Address Address Line 1	P. O. Box 1111
Entity Address City Or Town	Timberville
Entity Address State Or Province	VA
Entity Address Postal Zip Code	22853
City Area Code	540
Local Phone Number	896-8941
Entity Interactive Data Current	Yes

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Assets
Cash and due from banks	$ 18,314	$ 19,790
Money market funds and interest-bearing deposits in other banks	684	178
Federal funds sold	41,322	3,749
Cash and cash equivalents	60,320	23,717
Securities Available for sale, at fair value	376,159	368,674
Other investments	3,531	5,535
Loans held for sale, at fair value	2,332	1,119
Loans held for investment, net of deferred fees and costs	830,717	822,092
Less: allowance for credit losses	(8,028)	(8,321)
Net loans held for investment	822,689	813,771
Bank premises and equipment, net	23,060	24,328
Other real estate owned	0	55
Interest receivable	5,066	5,034
Goodwill	3,082	3,082
Bank owned life insurance	23,420	22,878
Other assets	24,936	26,403
Total Assets	1,344,595	1,294,596
Deposits:
Noninterest bearing	270,783	264,254
Interest bearing	947,505	868,982
Total deposits	1,218,288	1,133,236
Short-term debt	15,000	60,000
Long-term debt	6,965	6,932
Other liabilities	14,348	16,105
Total Liabilities	1,254,601	1,216,273
Shareholders' Equity
Common stock, $5 par value, 6,000,000 shares authorized, 3,520,353 (2024) and 3,485,570 (2023)shares issued and outstanding	17,356	17,263
Additional paid in capital	11,287	11,043
Retained earnings	83,324	81,034
Accumulated other comprehensive loss	(21,973)	(31,017)
Total Shareholders' Equity	89,994	78,323
Total Liabilities and Shareholders' Equity	$ 1,344,595	$ 1,294,596

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - $ / shares	Sep. 30, 2024	Dec. 31, 2023
Consolidated Balance Sheets
Common stock, shares par value	$ 5	$ 5
Common stock, shares authorized	6,000,000	6,000,000
Common stock, shares issued	3,520,353	3,485,570
Common stock, shares outstanding	3,520,353	3,485,570

Consolidated Statements of Inco

Consolidated Statements of Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Interest and Dividend income
Interest and fees on loans held for investment	$ 13,833	$ 12,498	$ 40,678	$ 34,869
Interest and fees on loans held for sale	60	18	123	66
Interest from money market funds and federal funds sold	518	54	891	186
Interest and dividends on interest bearing deposits and other investments	55	108	357	298
Interest on debt securities	1,824	1,923	5,537	5,797
Total interest and dividend income	16,290	14,601	47,586	41,216
Interest expense
Interest on deposits	7,440	5,804	20,728	15,059
Interest from short-term debt	241	701	1,691	2,217
Interest from long-term debt	116	116	347	343
Total interest expense	7,797	6,621	22,766	17,619
Net interest income	8,493	7,980	24,820	23,597
(Recovery of) Provision for Credit Losses	902	620	1,268	1,159
Net Interest Income After (Recovery of) Provision for Credit Losses	7,591	7,360	23,552	22,438
Noninterest income
Service charges on deposit accounts	317	256	881	755
Investment services and insurance income	481	376	1,692	1,243
Mortgage banking income	671	532	1,821	1,590
Title insurance income	423	421	1,153	1,015
Income on bank owned life insurance	191	181	558	983
Low income housing partnership losses	(196)	(205)	(589)	(616)
Card services and interchange income	773	769	2,300	2,257
Other operating income	88	177	268	387
Total noninterest income	2,748	2,507	8,084	7,614
Noninterest expense
Salaries	4,056	4,210	11,682	13,571
Employee benefits	1,011	908	2,229	3,044
Occupancy expense	401	358	1,183	1,008
Equipment expense	323	295	1,002	962
FDIC insurance assessment	257	225	778	545
Other real estate owned, net			(20)	0
Marketing expense	175	243	456	755
Legal and professional fees	303	327	1,260	1,242
ATM and check card fees	296	349	811	944
Telecommunication and data processing expense	798	616	2,255	2,109
Directors' fees	101	128	329	419
Bank franchise tax	195	129	583	453
Other operating expenses	1,741	1,105	3,703	3,212
Total noninterest expense	9,657	8,893	26,251	28,264
Income (loss) before income taxes	682	974	5,385	1,788
Income tax expense (benefit)	(110)	(44)	360	(526)
Net Income	$ 792	$ 1,018	$ 5,025	$ 2,314
Per Common Share Data
Net income (basic and diluted)	$ 0.23	$ 0.29	$ 1.44	$ 0.67
Cash dividends on common stock	$ 0.26	$ 0.26	$ 0.78	$ 0.78
Weighted average common shares outstanding (basic and diluted)	3,519,182	3,480,670	3,508,958	3,473,911

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Consolidated Statements of Comprehensive Income (Unaudited)
Net Income	$ 792	$ 1,018	$ 5,025	$ 2,314
Other comprehensive income:
Unrealized holding gains on available-for sale securities	10,538	(6,865)	11,446	(3,337)
Tax effect	(2,213)	1,442	(2,402)	701
Unrealized holding gains, net of tax	8,325	(5,423)	9,044	(2,636)
Total other comprehensive income	8,325	(5,423)	9,044	(2,636)
Total comprehensive income	$ 9,117	$ (4,405)	$ 14,069	$ (322)

Consolidated Statements of Chan

Consolidated Statements of Changes in Shareholders Equity (Unaudited) - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-In Capital	Retained Earnings (Accumulated Deficit)	Accumulated other comprehensive loss
Balance, amount at Dec. 31, 2022	$ 70,792	$ 17,149	$ 10,577	$ 83,078	$ (40,012)
Net income	2,314	0	0	2,314	0
Cumulative effect adjustment due to the adoption of ASC 326, net of tax	(1,203)	0	0	(1,203)	0
Other comprehensive (loss)	(2,636)	0	0	0	(2,636)
Dividends on common stock	2,708	0	0	2,708	0
Common stock issued	239	57	182	0	0
Vesting of time based stock awards issued at date of grant, net of shares withheld for payroll taxes	28	40	(12)	0	0
Stock-based compensation expense	194	0	194	0	0
Balance, amount at Sep. 30, 2023	67,020	17,246	10,941	81,481	(42,648)
Balance, amount at Jun. 30, 2023	72,194	17,228	10,822	81,369	(37,225)
Net income	1,018	0	0	1,018	0
Other comprehensive (loss)	(5,423)	0	0	0	(5,423)
Dividends on common stock	906	0	0	906	0
Common stock issued	76	18	58	0	0
Stock-based compensation expense	61	0	61	0	0
Balance, amount at Sep. 30, 2023	67,020	17,246	10,941	81,481	(42,648)
Balance, amount at Dec. 31, 2023	78,323	17,263	11,043	81,034	(31,017)
Net income	5,025	0	0	5,025	0
Other comprehensive (loss)	9,044	0	0	0	9,044
Dividends on common stock	2,735	0	0	2,735	0
Common stock issued	206	52	154	0	0
Vesting of time based stock awards issued at date of grant, net of shares withheld for payroll taxes	0	41	(41)	0	0
Stock-based compensation expense	131	0	131	0	0
Balance, amount at Sep. 30, 2024	89,994	17,356	11,287	83,324	(21,973)
Balance, amount at Jun. 30, 2024	81,616	17,333	11,134	83,447	(30,298)
Net income	792	0	0	792	0
Other comprehensive (loss)	8,325	0	0	0	8,325
Dividends on common stock	915	0	0	915	0
Common stock issued	104	23	81	0	0
Stock-based compensation expense	72	0	72	0	0
Balance, amount at Sep. 30, 2024	$ 89,994	$ 17,356	$ 11,287	$ 83,324	$ (21,973)

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023
Cash flows from operating activities
Net income	$ 5,025	$ 2,314
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Depreciation and amortization	1,127	958
Amortization of intangibles	22	23
Amortization of securities	554	596
Proceeds from loans held for sale	82,402	93,872
Loans held for sale originated	(82,524)	(92,677)
Gain on sale of loans held for sale	(1,091)	(1,849)
Provision for credit losses	1,268	1,159
Increase in interest receivable	(32)	(650)
(Increase) decrease in deferred taxes	(7)	(1)
(Increase) in other assets	(1,523)	(2,691)
Decrease in accrued expenses	(1,675)	(1,025)
Amortization of limited partnership investments	589	616
Amortization of debt issuance costs	33	32
Income from life insurance investment	(558)	(612)
(Gain) on life insurance investment	0	(370)
(Gain) on the sale of fixed assets	(12)	(16)
(Gain) on the sale of OREO	(21)	0
Stock-based compensation expense	131	194
Net cash provided by (used in) operating activities	3,708	(127)
Cash flows from investing activities
Proceeds from maturity of investments available for sale	10,500	4,825
Proceeds from paydowns of mortgage-backed securities	10,932	10,998
Proceeds from the redemption of restricted stock, net	2,105	(137)
Purchase of investments available for sale	(18,026)	0
Investment in limited partnership	(100)	(200)
Net increase in loans held for investment	(10,268)	(62,702)
Proceeds from life insurance investment	0	1,738
Proceeds from the sale of fixed assets	372	93
Proceeds from the sale of OREO	76	0
Net purchase of property and equipment	(219)	(5,375)
Net cash provided by (used in) investing activities	(4,628)	(50,760)
Cash flows from financing activities
Net change in deposits	85,052	50,533
Net change in short-term debt	(45,000)	(10,000)
Dividends paid in cash	(2,735)	(2,708)
Proceeds from issuance of common stock	206	267
Net cash provided by financing activities	37,523	38,092
Net increase in Cash and Cash Equivalents	36,603	(12,795)
Cash and cash equivalents, beginning of period	23,717	34,953
Cash and cash equivalents, end of period	60,320	22,158
Supplemental Cash Flow information:
Cash paid for: Interest	22,100	16,709
Taxes	608	360
Supplemental non-cash disclosures:
Change in unrealized loss on securities available for sale	11,446	3,337
Cumulative effect of the adoption of ASC 326	$ 0	$ 1,524

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	9 Months Ended
	Sep. 30, 2024
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Principles of Consolidation The Consolidated Financial Statements include the accounts of F&M Bank Corp. (the “Company”), Farmers & Merchants Bank (the “Bank”), TEB Life Insurance Company (“TEB”), Farmers & Merchants Financial Services, Inc. (“FMFS”), VBS Mortgage, LLC (dba “F&M Mortgage”), and VSTitle, LLC (“VST”), with all significant intercompany accounts and transactions eliminated. TEB was dissolved on November 8, 2023. FMFS was dissolved effective April 25, 2024, and its legal existence was subsequently terminated on June 7, 2024. The operations, assets, and liabilities of FMFS were transferred to the Bank. The accounting and reporting policies of the Company conform to accounting principles generally accepted in the United States of America (“GAAP”) and to accepted practices within the banking industry. Use of Estimates The preparation of 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 financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The material estimate that is particularly susceptible to significant change in the near term relates to the determination of the allowance for credit losses. Reclassification Certain reclassifications have been made to prior period amounts to conform to current period presentation. None of these reclassifications are considered material and have no impact on net income or shareholders’ equity. Nature of Operations The Company, through its subsidiary Farmers & Merchants Bank, operates under a charter issued by the Commonwealth of Virginia to provide commercial banking services. As a state chartered bank, the Bank is subject to regulation by the Virginia Bureau of Financial Institutions and the Board of Governors of the Federal Reserve System (the “Federal Reserve”). The Bank provides services to customers primarily in the counties of Rockingham, Shenandoah, Augusta, and Frederick, and the cities of Harrisonburg, Staunton, Waynesboro, and Winchester in Virginia. Services are provided at fourteen branch offices and a dealer finance division. The Company, through its subsidiaries, offers insurance, mortgage lending, title insurance and financial services. Cash and Cash Equivalents For purposes of reporting cash flows, cash and cash equivalents include cash on hand, amounts due from banks, federal funds sold, money market funds and interest-bearing deposits. Generally, federal funds are purchased and sold on an overnight basis. Allowance for Credit Losses – Available for Sale Securities For available for sale securities, management evaluates all investments in an unrealized loss position on a quarterly basis, and more frequently when economic or market conditions warrant such evaluation. If the Company has the intent to sell the security or it is more likely than not that the Company will be required to sell the security, the security is written down to fair value and the entire loss is recorded in earnings. If either of the above criteria is not met, the Company evaluates whether the decline in fair value is the result of credit losses or other factors. In making the assessment, the Company may consider various factors including the extent to which fair value is less than amortized cost, performance on any underlying collateral, downgrades in the ratings of the security by a rating agency, the failure of the issuer to make scheduled interest or principal payments and adverse conditions specifically related to the security. If the assessment indicates that a credit loss exists, the present value of cash flows expected to be collected are compared to the amortized cost basis of the security and any excess is recorded as an allowance for credit loss, limited by the amount that the fair value is less than the amortized cost basis. Any amount of unrealized loss that has not been recorded through an allowance for credit loss is recognized in other comprehensive income. Changes in the allowance for credit loss are recorded as provision for (or reversal of) credit loss expense. Losses are charged against the allowance for credit loss when management believes an available for sale security is confirmed to be uncollectible or when either of the criteria regarding intent or requirement to sell is met. At September 30, 2024, there was no allowance for credit loss related to the available for sale securities portfolio. Accrued interest receivable on available for sale debt securities totaled $1.4 million at September 30, 2024 and was excluded from the estimate of credit losses. Loans Loans that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are reported at amortized cost. Amortized cost is the principal balance outstanding, net of discounts and deferred fees and costs. Accrued interest receivable related to loans totaled $3.7 million at September 30, 2024 and was reported in accrued interest receivable on the consolidated balance sheets. Interest income is accrued on the unpaid principal balance. Loan origination fees, net of certain direct origination costs, are deferred and recognized in interest income using methods that approximate a level yield without anticipating prepayments. The accrual of interest is generally discontinued when a loan becomes 90 days past due and is not well collateralized and in the process of collection, or when management believes, after considering economic and business conditions and collection efforts, that the principal or interest will not be collectible in the normal course of business. Past due status is based on contractual terms of the loan. A loan is considered to be past due when a scheduled payment has not been received 30 days after the contractual due date. All accrued interest is reversed against interest income when a loan is placed on nonaccrual status. Interest received on such loans is accounted for using the cost-recovery method, until qualifying for return to accrual. Under the cost-recovery method, interest income is not recognized until the loan balance is reduced to zero. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current, there is a sustained period of repayment performance, and future payments are reasonably assured. Allowance for Credit Losses – Loans The allowance for credit losses is a valuation account that is deducted from the loans' amortized cost basis to present the net amount expected to be collected on the loans. Loans are charged off against the allowance when management believes the uncollectibility of a loan balance is confirmed. Expected recoveries do not exceed the aggregate of amounts previously charged-off and expected to be charged-off. Accrued interest receivable is excluded from the estimate of credit losses. The allowance for credit losses represents management’s estimate of lifetime credit losses expected in loans as of the balance sheet date. The allowance for credit losses is estimated by management using relevant available information, from both internal and external sources, relating to past events, current conditions, and reasonable and supportable forecasts. The Company utilizes a Qualitative Scorecard (“scorecard”) to adjust the historical loss information, as necessary, to reflect the Company’s expectations about the future. For each segment, the scorecard calculates the difference between the quantitative expected credit loss and the high watermark average remaining maturity loss rates. This difference is the maximum qualitative adjustment that can be applied to that segment. Due to the low number of losses in the Bank’s portfolio, in particular from 2008-2012, a number of pool sets will leverage peer data to calculate the overall loss rate. The Company believes that in order to provide a reasonable and supportable loss rate, data representative of losses during a financial downturn will provide a better representation of the perceived risk in the portfolio. In determining how to apply the weightings for the various qualitative factors, management assessed which factors would have the highest impact on potential loan losses. The economy and problem loan trends were determined to have the most significant effect on the estimated losses. The most influential factor on potential loan losses was economic conditions, with a weighting of 20%-25%. The Company will evaluate the weighting applied to each pool on an annual basis. The Company measures expected credit losses for loans on a pooled basis when similar risk characteristics exist. The Company has identified the following portfolio segments and calculates the allowance for credit losses for each using a remaining life methodology: 1-4 family residential construction. Other construction, land development and land. Secured by farmland. Home equity - open end. Real estate. Home equity - closed end. Multifamily. Owner-occupied commercial real estate. Other commercial real estate. Agriculture loans. Commercial and industrial. Credit cards. Automobile loans. Other consumer loans. Municipal loans. Additionally, the allowance for credit losses calculation includes adjustments for qualitative risk factors that are likely to cause estimated credit losses to differ from historical experience. These qualitative adjustments may increase or reduce reserve levels and include adjustments for lending management experience and risk tolerance, loan review and audit results, asset quality and portfolio trends, loan portfolio growth, industry concentrations, trends in underlying collateral, external factors and economic conditions not already captured. Loans that do not share risk characteristics are evaluated on an individual basis. When management determines that foreclosure is probable and the borrower is experiencing financial difficulty, the expected credit losses are based on the fair value of collateral at the reporting date adjusted for selling costs as appropriate. Allowance for Credit Losses – Unfunded Commitments Financial instruments include off-balance sheet credit instruments, such as commitments to make loans and commercial letters of credit issued to meet customer financing needs. The Company’s exposure to credit loss in the event of nonperformance by the other party to the financial instrument for off-balance sheet loan commitments is represented by the contractual amount of those instruments. Such financial instruments are recorded when they are funded. The Company records an allowance for credit losses on off-balance sheet credit exposures, unless the commitments to extend credit are unconditionally cancelable, through a charge to provision for credit losses in the Company’s consolidated statements of income . The allowance for credit losses on off-balance sheet credit exposures is estimated by loan segment at each balance sheet date under the current expected credit loss model using the same methodologies as portfolio loans, taking into consideration the likelihood that funding will occur as well as any third-party guarantees. The allowance for unfunded commitments is included in other liabilities on the Company’s consolidated balance sheets. Earnings per Share Basic earnings per share (“EPS”) is computed by dividing net income available to common shareholders by the weighted average number of common shares outstanding. Nonvested restricted shares are included in the computation of basic earnings per share as the holder is entitled to full shareholder benefits during the vesting period, including voting rights and sharing in nonforfeitable dividends. Diluted earnings per share includes all convertible securities, such as convertible preferred stock, convertible debt, equity options, and warrants. The Company does not have any convertible securities that would dilute the earnings per share. Recent Accounting Pronouncements Accounting Standards adopted in 2024: In March 2023, the Financial Accounting Standards Board (the “FASB”) issued Accounting Standards Update (“ASU”) 2023-02, “Investments—Equity Method and Joint Ventures (Topic 323): Accounting for Investments in Tax Credit Structures Using the Proportional Amortization Method.” These amendments allow reporting entities to elect to account for qualifying tax equity investments using the proportional amortization method, regardless of the program giving rise to the related income tax credits. ASU 2023-02 was effective for the Company on January 1, 2024. The adoption of ASU 2023-02 did not have a material impact on the Company’s consolidated financial statements. In March 2023, the FASB issued ASU 2023-01, “Leases (Topic 842): Common Control Arrangements.” These amendments require entities to amortize leasehold improvements associated with common control leases over the useful life to the common control group. ASU 2023-01 was effective for the Company on January 1, 2024. The adoption of ASU 2023-01 did not have a material impact on the Company’s consolidated financial statements. In June 2022, the FASB issued ASU 2022-03, “Fair Value Measurement (Topic 820): Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions.” ASU 2022-03 clarifies that a contractual restriction on the sale of an equity security is not considered part of the unit of account of the equity security and, therefore, is not considered in measuring fair value. ASU 2022-03 was effective for the Company on January 1, 2024. The adoption of ASU 2022-03 did not have a material impact on the Company’s consolidated financial statements. In August 2020, Accounting Standards Pending Adoption: In November 2024, the FASB issued ASU 2024-03, “Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses.” ASU 2024-03 requires public companies to disclose, in the notes to the financial statements, specific information about certain costs and expenses at each interim and annual reporting period. This includes disclosing amounts related to employee compensation, depreciation, and intangible asset amortization. In addition, public companies will need to provide qualitative description of the amounts remaining in relevant expense captions that are not separately disaggregated quantitatively. ASU 2024-03 is effective for public business entities for annual reporting periods beginning after December 15, 2026, and interim reporting periods beginning after December 15, 2027. Implementation of ASU 2024-03 may be applied prospectively or retrospectively. The Company does not expect the adoption of ASU 2024-03 to have a material impact on its consolidated financial statements. In March 2024, the FASB issued ASU 2024-02, “Codification Improvements – Amendments to Remove References to the Concepts Statements”. This ASU contains amendments to the Codification that remove references to various Concepts Statements. In most instances, the references are extraneous and not required to understand or apply the guidance. In other instances, the references were used in prior Statements to provide guidance in certain topical areas. This ASU is effective for fiscal years beginning after December 15, 2024. Early adoption is permitted. The amendments should be applied prospectively to all new transactions recognized on or after the date that the entity first applies the amendments or retrospectively to the beginning of the earliest comparative period presented in which the amendments were first applied. If an entity adopts the amendments retrospectively, it should adjust the opening balance of retained earnings as of the beginning of the earliest comparative period presented. The Company does not expect the adoption of ASU 2024-02 to have a material impact on its consolidated financial statements. In March 2024, the FASB issued ASU 2024-01, “Compensation – Stock Compensation (Topic 718): Scope Application of Profits Interest and Similar Awards”. This ASU provides an illustrative example intended to demonstrate how entities that account for profits interest and similar awards would determine whether a profits interest award should be accounted for in accordance with Topic 718. This ASU is effective for annual periods beginning after December 15, 2024, and interim periods within those annual periods. Early adoption is permitted. If an entity adopts the amendments in an interim period, it must adopt them as of the beginning of the annual period that includes that interim period. Transition can be done either retrospectively or prospectively. The Company does not expect the adoption of ASU 2024-01 to have a material impact on its consolidated financial statements. In December 2023, the FASB issued ASU 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures.” The amendments in this ASU require an entity to disclose specific categories in the rate reconciliation and provide additional information for reconciling items that meet a quantitative threshold, which is greater than five percent of the amount computed by multiplying pretax income by the entity’s applicable statutory rate, on an annual basis. Additionally, the amendments in this ASU require an entity to disclose the amount of income taxes paid (net of refunds received) disaggregated by federal, state, and foreign taxes and the amount of income taxes paid (net of refunds received) disaggregated by individual jurisdictions that are equal to or greater than five percent of total income taxes paid (net of refunds received). Lastly, the amendments in this ASU require an entity to disclose income (or loss) from continuing operations before income tax expense (or benefit) disaggregated between domestic and foreign and income tax expense (or benefit) from continuing operations disaggregated by federal, state, and foreign. This ASU is effective for annual periods beginning after December 15, 2024. Early adoption is permitted. The amendments should be applied on a prospective basis; however, retrospective application is permitted. The Company does not expect the adoption of ASU 2023-09 to have a material impact on its consolidated financial statements. In October 2023, the FASB issued ASU 2023-06, “Disclosure Improvements: Codification Amendments in Response to the SEC’s Disclosure Update and Simplification Initiative.” This ASU incorporates certain U.S. Securities and Exchange Commission (SEC) disclosure requirements into the FASB Accounting Standards Codification. The amendments in the ASU are expected to clarify or improve disclosure and presentation requirements of a variety of Codification Topics, allow users to more easily compare entities subject to the SEC’s existing disclosures with those entities that were not previously subject to the requirements, and align the requirements in the Codification with the SEC’s regulations. For entities subject to the SEC’s existing disclosure requirements and for entities required to file or furnish financial statements with or to the SEC in preparation for the sale of or for purposes of issuing securities that are not subject to contractual restrictions on transfer, the effective date for each amendment will be the date on which the SEC removes that related disclosure from its rules. For all other entities, the amendments will be effective two years later. However, if by June 30, 2027, the SEC has not removed the related disclosure from its regulations, the amendments will be removed from the Codification and not become effective for any entity. The Company does not expect the adoption of ASU 2023-06 to have a material impact on its consolidated financial statements. In July 2023, the FASB issued ASU 2023-03, “Presentation of Financial Statements (Topic 205), Income Statement—Reporting Comprehensive Income (Topic 220), Distinguishing Liabilities from Equity (Topic 480), Equity (Topic 505), and Compensation—Stock Compensation (Topic 718).” This ASU amends the FASB Accounting Standards Codification for SEC paragraphs pursuant to SEC Staff Accounting Bulletin No. 120, SEC Staff Announcement at the March 24, 2022 EITF Meeting, and Staff Accounting Bulletin Topic 6.B, Accounting Series Release 280—General Revision of Regulation S-X: Income or Loss Applicable to Common Stock. ASU 2023-03 is effective upon addition to the FASB Codification. The Company does not expect the adoption of ASU 2023-03 to have a material impact on its consolidated financial statements. Other accounting standards that have been issued by the FASB or other standards-setting bodies are not expected to have a material effect on the Company’s financial position, result of operations or cash flows.

SECURITIES

SECURITIES	9 Months Ended
	Sep. 30, 2024
SECURITIES
SECURITIES	NOTE 2 SECURITIES The amortized cost and estimated fair value of securities available for sale, along with gross unrealized gains and losses are summarized as follows (dollars in thousands): September 30, 2024 Amortized Cost Unrealized Gains Unrealized Losses Fair Value U. S. Treasuries $ 30,068 $ - $ 1,254 $ 28,814 U. S. Government sponsored enterprises 128,494 - 5,042 123,452 Securities issued by States and political subdivisions of the U.S. 40,718 86 1,989 38,815 Mortgage-backed obligations of federal agencies 175,103 148 18,818 156,433 Corporate debt securities 30,550 - 1,905 28,645 Total Securities Available for Sale $ 404,933 $ 234 $ 29,008 $ 376,159 December 31, 2023 Amortized Cost Unrealized Gains Unrealized Losses Fair Value U. S. Treasuries $ 35,048 $ - $ 2,167 $ 32,881 U. S. Government sponsored enterprises 133,487 - 8,784 124,703 Securities issued by States and political subdivisions of the U.S. 41,341 145 2,725 38,761 Mortgage-backed obligations of federal agencies 168,468 173 23,568 145,073 Corporate debt securities 30,550 25 3,319 27,256 Total Securities Available for Sale $ 408,894 $ 343 $ 40,563 $ 368,674 There was no allowance for credit losses on available for sale securities at September 30, 2024 or December 31, 2023. The amortized cost and fair value of securities at September 30, 2024, by contractual maturity are shown below (dollars in thousands). Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Securities Available for Sale Amortized Fair Cost Value Due in one year or less $ 99,010 $ 98,108 Due after one year through five years 93,575 87,606 Due after five years 66,571 61,566 Due after ten years 145,777 128,879 Total $ 404,933 $ 376,159 There were no sales of available for sale securities in the first nine months of 2024 or 2023. The following table shows the gross unrealized losses and estimated fair value of available for sale securities for which an allowance for credit losses has not been recorded, aggregated by category and length of time that securities have been in a continuous unrealized loss position at September 30, 2024 (dollars in thousands): Less than 12 Months More than 12 Months Total September 30, 2024 Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses U.S. Treasuries $ 119 $ 5 $ 28,695 $ 1,249 $ 28,814 $ 1,254 U.S. Government sponsored enterprises - - 123,452 5,042 123,452 5,042 Securities issued by States and political subdivisions of the U.S. 1,336 17 31,852 1,972 33,188 1,989 Mortgage-backed obligations of federal agencies 10,018 - 134,230 18,818 144,248 18,818 Corporate debt securities 477 23 28,168 1,882 28,645 1,905 Total $ 11,950 $ 45 $ 346,397 $ 28,963 $ 358,347 $ 29,008 Unrealized losses at September 30, 2024 were generally attributable to changes in market interest rates and interest spread relationships since the investment securities were originally purchased, and not due to the credit quality concerns on the investment securities. Issuers continue to make timely principal and interest payments and the Company currently has no plans to sell the investments and it is more likely than not that the Company will not have to sell the securities before recovery of its amortized cost basis, which may be at maturity. The following table shows the gross unrealized losses and estimated fair value of available sale securities and held to maturity securities aggregated by category and length of time that securities have been in a continuous unrealized loss position at December 31, 2023 (dollars in thousands): Less than 12 Months More than 12 Months Total December 31, 2023 Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses U. S. Treasuries $ 125 $ - $ 32,756 $ 2,167 $ 32,881 $ 2,167 U. S. Government sponsored enterprises - - 124,703 8,784 124,703 8,784 Securities issued by States and political subdivisions in the U.S. 484 11 32,597 2,714 33,081 2,725 Mortgage-backed obligations of federal agencies - - 140,041 23,568 140,041 23,568 Corporate debt securities 1,729 271 25,002 3,048 26,731 3,319 Total $ 2,338 $ 282 $ 355,099 $ 40,281 $ 357,437 $ 40,563 The Company had securities with a market value of $204.9 million pledged to the Federal Reserve Discount Window as of September 30, 2024. The Discount Window provides access to funding to help depository institutions manage their liquidity risks. The Bank did not borrow from the Discount Window during the first nine months of 2024. Additionally, the Company had securities with a market value of $9.0 million pledged to the Federal Reserve Bank of Richmond as collateral for deposits of the Department of Justice U.S. Bankruptcy Trustee. As of September 30, 2024, other investments consisted of stock in the Federal Home Loan Bank of Atlanta (“FHLB”) (carrying basis $1.6 million), stock in the Federal Reserve Bank (carrying basis $1.1 million), and various other investments (carrying basis $831 thousand). The sale of these securities is restricted. The fair values of these securities are estimated to approximate their carrying value as of September 30, 2024. As of September 30, 2024, the Bank held investments in eleven low-income housing and historic equity partnerships (carrying basis of $4.5 million) and reported in other assets on the consolidated balance sheet. The interests in low-income housing and historic equity partnerships have limited transferability. The fair values of these securities are estimated to approximate their carrying value as of September 30, 2024. The Company was committed to invest an additional $139 thousand in three low-income housing limited partnerships on September 30, 2024. These funds will be paid as requested by the general partner to complete the projects. This additional investment has been reflected in the above carrying basis and in other liabilities on the consolidated balance sheet.

LOANS AND CREDIT QUALITY

LOANS AND CREDIT QUALITY	9 Months Ended
	Sep. 30, 2024
LOANS AND CREDIT QUALITY
LOANS AND CREDIT QUALITY	NOTE 3 LOANS AND CREDIT QUALITY The following is a summary of the major categories of total loans outstanding at September 30, 2024 and December 31, 2023 (dollars in thousands): September 30, 2024 December 31, 2023 1-4 Family residential construction $ 26,649 $ 30,488 Other construction, land development and land 61,568 47,749 Secured by farmland 83,326 81,657 Home equity – open end 47,396 45,749 Real estate 208,199 200,629 Home Equity – closed end 6,532 4,835 Multifamily 10,942 8,203 Owner-occupied commercial real estate 82,577 92,362 Other commercial real estate 98,527 106,181 Agricultural loans 16,994 14,405 Commercial and industrial 57,257 44,329 Credit Cards 3,270 3,252 Automobile loans 110,952 122,924 Other consumer loans 12,153 14,376 Municipal loans 5,059 5,625 Gross loans 831,401 822,764 Unamortized net deferred loan fees (684 ) (672 ) Less allowance for credit losses 8,028 8,321 Net loans $ 822,689 $ 813,771 The table above does not include loans held for sale of $2.3 million and $1.1 million at September 30, 2024 and December 31, 2023, respectively. Loans held for sale consist of single-family residential real estate loans originated for sale in the secondary market. Accrued interest receivable on loans held for investment totaled $3.7 million and $3.6 million at September 30, 2024 and December 31, 2023, respectively. For the quarter ended September 30, 2024, and the year ended December 31, 2023, accrued interest receivable write-offs were not material to the Company’s consolidated financial statements. The Company had loans held for investment pledged as collateral for borrowings with the FHLB totaling $302.8 million and $289.1 million as of September 30, 2024, and December 31, 2023, respectively. The Company maintains a blanket lien on certain loans in its residential real estate, commercial, agricultural farmland, and home equity portfolios. Nonaccrual and Past Due Loans The following tables show the aging of the Company’s loan portfolio, by class, for the periods indicated (dollars in thousands): Age Analysis of Past Due Loans As of September 30, 2024 Accruing Loans 30-59 Days Past due Accruing Loans 60-89 Days Past due Accruing Loans 90 Days or More Past due Nonaccrual Loans Accruing Current Loans Total Loans 1-4 Family residential construction $ 297 $ - $ - $ 439 $ 25,913 $ 26,649 Other construction, land development and land 160 - - 15 61,393 61,568 Secured by farmland 97 - - 53 83,176 83,326 Home equity – open end 216 - - 493 46,687 47,396 Real estate 1,122 835 - 917 205,325 208,199 Home Equity – closed end 35 - - - 6,497 6,532 Multifamily - - - - 10,942 10,942 Owner-occupied commercial real estate - 1,205 - 3,449 77,923 82,577 Other commercial real estate - 784 - - 97,743 98,527 Agricultural loans 171 - - - 16,823 16,994 Commercial and industrial 627 44 - 710 55,876 57,257 Credit Cards 28 32 - - 3,210 3,270 Automobile loans 1,610 191 - 438 108,713 110,952 Other consumer loans 75 12 1 63 12,002 12,153 Municipal loans - - - - 5,059 5,059 Gross loans 4,438 3,103 1 6,577 817,282 831,401 Less: Unamortized net deferred loan fees - - - - (684 ) (684 ) Loans held for investment $ 4,438 $ 3,103 $ 1 $ 6,577 $ 816,598 $ 830,717 Age Analysis of Past Due Loans As of December 31, 2023 Accruing Loans 30-59 Days Past due Accruing Loans 60-89 Days Past due Accruing Loans 90 Days or More Past due Nonaccrual Loans Accruing Current Loans Total Loans 1-4 Family residential construction $ - $ - $ - $ 440 $ 30,048 $ 30,488 Other construction, land development and land - - - 528 47,221 47,749 Secured by farmland - - - 596 81,061 81,657 Home equity – open end 595 74 - 217 44,863 45,749 Real estate 2,125 425 - 701 197,378 200,629 Home Equity – closed end 41 - - - 4,794 4,835 Multifamily - - - - 8,203 8,203 Owner-occupied commercial real estate 1,482 - - 3,000 87,880 92,362 Other commercial real estate 92 887 - - 105,202 106,181 Agricultural loans 10 - - 73 14,322 14,405 Commercial and industrial 75 39 25 622 43,568 44,329 Credit Cards 35 7 6 - 3,204 3,252 Automobile loans 1,137 481 - 237 121,069 122,924 Other consumer loans 151 14 - 24 14,187 14,376 Municipal loans - - - - 5,625 5,625 Gross loans 5,743 1,927 31 6,438 808,625 822,764 Less: Unamortized net deferred loan fees - - - - (672 ) (672 ) Loans held for investment $ 5,743 $ 1,927 $ 31 $ 6,438 $ 807,953 $ 822,092 There were $6.6 million and $6.4 million in nonaccrual loans at September 30, 2024 and December 31, 2023, respectively. There was no income recognized on nonaccrual loans during the nine months ended September 30, 2024 and year ended December 31, 2023. The following table is a summary of the Company’s nonaccrual loans by major categories for the periods indicated (dollars in thousands). September 30, 2024 December 31, 2023 Nonaccrual loans Nonaccrual loans With no Allowance With an Allowance Total With no Allowance With an Allowance Total 1-4 Family residential construction $ - $ 439 $ 439 $ - $ 440 $ 440 Other construction, land development and land 15 - 15 528 - 528 Secured by farmland 53 - 53 596 - 596 Home equity – open end 493 - 493 217 - 217 Real estate 917 - 917 701 - 701 Owner-occupied commercial real estate 2,146 1,303 3,449 - 3,000 3,000 Agricultural loans - - - 73 - 73 Commercial and industrial 710 - 710 25 597 622 Automobile loans 438 - 438 237 - 237 Other consumer loans 63 - 63 24 - 24 Total loans $ 4,835 $ 1,742 $ 6,577 $ 2,401 $ 4,037 $ 6,438 Troubled Loan Modifications Loan modifications where the borrower is experiencing financial difficulty and the modification is in the form of principal forgiveness, interest rate reductions, term extensions, other-than-insignificant payment delays, or a combination of the above modifications, are defined by the Company as troubled loan modifications. The allowance for credit losses on loans (“ACLL”) on troubled loan modifications is measured using the same method as other loans held for investment. The Company evaluates all loan modifications according to the accounting guidance for loan refinancing and restructuring to determine whether the modification should be accounted for as a new loan or a continuation of the existing loan. If the modification meets the criteria to be accounted for as a new loan, any deferred fees and costs remaining prior to the modification are recognized in income and any new deferred fees and costs are recorded on the loan as part of the modification. If the modification does not meet the criteria to be accounted for as a new loan, any new deferred fees and costs resulting from the modification are added to the existing amortized cost basis of the loan. The following tables present the amortized cost of loans and leases to borrowers experiencing financial difficulty by class of financing receivable, type of modification, financial effect of the modification, and percentage of the amortized cost basis of modifications as compared to the amortized cost basis of each loan segment for the periods presented (dollars in thousands). There were no loans modified for borrowers experiencing financial difficulty in the three months ended September 30, 2024 or 2023. Amortized Cost of Basis of Loan Modifications Made to Borrowers Experiencing Financial Difficulty For the Nine Months Ended September 30, 2024 Term Extension Weighted Average Term Extension (in months) % of Total Loan Type Owner-occupied commercial real estate $ 16 13.0 0.02 % Automobile loans 53 4.1 0.05 % Total Term Extension $ 69 6.1 0.05 % Amortized Cost of Basis of Loan Modifications Made to Borrowers Experiencing Financial Difficulty For the Year Ended December 31, 2023 Term Extension Weighted Average Term Extension (in months) % of Total Loan Type Owner-occupied commercial real estate $ 45 13.0 0.05 % Automobile loans 68 4.5 0.06 % Total Term Extension $ 113 7.9 0.05 % The Company monitors the performance of loans that are modified for borrowers experiencing financial difficulty to understand the effectiveness of its modification efforts. The Company considers a default on a troubled loan modification to occur when the borrower is 90 days past due following the modification or a foreclosure and repossession of the applicable collateral occurs. No loan or lease modifications to borrowers experiencing financial difficulty had a payment default at September 30, 2024 or December 31, 2023. The Company monitors the performance of troubled loan modifications to determine the effectiveness of the modifications. As of September 30, 2024 and December 31, 2023, $15 thousand and $159 thousand in loans modified and designated as a troubled loan modification were past due. As of September 30, 2024, the Company did not have any unfunded commitments on loans modified and designated as troubled loan modifications. Collateral Dependent Disclosures The collateral method is applied to individually evaluated loans for which foreclosure is probable. The collateral method is also applied to individually evaluated loans when borrowers are experiencing financial difficulty and repayment is expected to be provided substantially through the operation or sale of the collateral. Collateral dependent loans are loans for which the repayment is expected to be provided substantially through the operation or sale of the collateral and the borrower is experiencing financial difficulty. These loans do not share common risk characteristics and are not included within the collectively evaluated loans for determining the allowance for credit losses. Under CECL, for collateral dependent loans, the Company has adopted the practical expedient to measure the allowance for credit losses based on the fair value of collateral. The allowance for credit losses is calculated on an individual loan basis based on the shortfall between the fair value of the loan's collateral, which is adjusted for liquidation costs/discounts, and amortized cost. If the fair value of the collateral exceeds the amortized cost, no allowance is required. The following table presents an analysis of collateral-dependent loans of the Company as of the periods noted (dollars in thousands): Collateral Dependent Loans September 30, 2024 Real Estate Business/Other Assets 1-4 Family residential construction $ 439 $ - Owner-occupied commercial real estate 3,449 - Commercial and industrial - 605 Total loans $ 3,888 $ 605 Collateral Dependent Loans December 31, 2023 Real Estate Business/Other Assets 1-4 Family residential construction $ 440 $ - Other construction, land development and land 511 - Secured by farmland 596 - Owner-occupied commercial real estate 3,000 - Commercial and industrial - 597 Total loans $ 4,547 $ 597 The following tables present the loan portfolio by segment, details of the loan portfolio and the ACLL calculated in accordance with our credit loss accounting methodology for loans described above (dollars in thousands). September 30, 2024 Loan Balances Allowance for Credit Losses - Loans Loans Individually Evaluated Loans Collectively Evaluated Total Loans Individually Evaluated Loans Collectively Evaluated Total 1-4 Family residential construction $ 439 $ 26,210 $ 26,649 $ 362 $ 261 $ 623 Other construction, land development and land - 61,568 61,568 - 1,658 1,658 Secured by farmland - 83,326 83,326 - 840 840 Home equity – open end - 47,396 47,396 - 180 180 Real estate - 208,199 208,199 - 748 748 Home Equity – closed end - 6,532 6,532 - 104 104 Multifamily - 10,942 10,942 - 256 256 Owner-occupied commercial real estate 3,449 79,128 82,577 95 708 803 Other commercial real estate - 98,527 98,527 - 135 135 Agricultural loans - 16,994 16,994 - 24 24 Commercial and industrial 605 56,652 57,257 - 865 865 Credit Cards - 3,270 3,270 - 82 82 Automobile loans - 110,952 110,952 - 1,397 1,397 Other consumer loans - 12,153 12,153 - 297 297 Municipal loans - 5,059 5,059 - 16 16 Gross loans 4,493 826,908 831,401 457 7,571 8,028 Less: Unamortized net deferred loan fees - - (684 ) - - - Net loans held for investment $ 4,493 $ 826,908 $ 830,717 $ 457 $ 7,571 $ 8,028 December 31, 2023 Loan Balances Allowance for Credit Losses - Loans Loans Individually Evaluated Loans Collectively Evaluated Total Loans Individually Evaluated Loans Collectively Evaluated Total 1-4 Family residential construction $ 440 $ 30,048 $ 30,488 $ 363 $ 351 $ 714 Other construction, land development and land 511 47,238 47,749 - 1,287 1,287 Secured by farmland 596 81,061 81,657 - 815 815 Home equity – open end - 45,749 45,749 - 180 180 Real estate - 200,629 200,629 - 810 810 Home Equity – closed end - 4,835 4,835 - 77 77 Multifamily - 8,203 8,203 - 181 181 Owner-occupied commercial real estate 3,000 89,362 92,362 263 958 1,221 Other commercial real estate - 106,181 106,181 - 166 166 Agricultural loans - 14,405 14,405 - 20 20 Commercial and industrial 597 43,732 44,329 351 683 1,034 Credit Cards - 3,252 3,252 - 81 81 Automobile loans - 122,924 122,924 - 1,443 1,443 Other consumer loans - 14,376 14,376 - 292 292 Municipal loans - 5,625 5,625 - - - Gross loans 5,144 817,620 822,764 977 7,344 8,321 Less: Unamortized net deferred loan fees - - (672 ) - - - Net loans held for investment $ 5,144 $ 817,620 $ 822,092 $ 977 $ 7,344 $ 8,321 Credit Quality Indicators The Company presents loan and lease portfolio segments and classes by credit quality indicator and vintage year. The Company defines the vintage date for the purpose of this disclosure as the date of the most recent credit decision. Renewals are categorized as new credit decisions and reflect the renewal date as the vintage date, except for renewals of loans modified for borrowers experiencing financial difficulty which are presented in the original vintage. Description of the Company’s credit quality indicators: Pass: Grade 6 – Watch Grade 7 – Substandard Credit cards are classified as pass or substandard. A credit card is substandard when payments of principal and interest are past due 90 days or more. The following table presents the Company’s recorded investment in loans by credit quality indicators by year of origination as of September 30, 2024 (dollars in thousands): Term Loans by Year of Origination 2024 2023 2022 2021 2020 Prior Revolving Total 1-4 Family residential construction Pass $ - $ - $ - $ - $ - $ - $ 26,210 $ 26,210 Watch - - - - - - - - Substandard - - - - - - 439 439 Total 1-4 Family residential construction - - - - - - 26,649 26,649 Current period gross write-offs - - - - - - - - Other construction, land development and land Pass 2,209 11,975 7,590 4,610 1,753 9,278 22,962 60,377 Watch - - - - - - 665 665 Substandard - - - - - 526 - 526 Total Other construction, land development and land 2,209 11,975 7,590 4,610 1,753 9,804 23,627 61,568 Current period gross write-offs - - - - - - - - Secured by farmland Pass 4,320 10,223 13,841 13,118 25,813 8,693 4,607 80,615 Watch 156 - 1,748 - - 754 - 2,658 Substandard - - - - - 53 - 53 Total Secured by farmland 4,476 10,223 15,589 13,118 25,813 9,500 4,607 83,326 Current period gross write-offs - - - - - - - - Home equity – open end Pass - - - - - 139 46,617 46,756 Watch - - - - - - 249 249 Substandard - - - - - - 391 391 Total Home equity - open end - - - - - 139 47,257 47,396 Current period gross write-offs - - - - - - - - Real estate Pass 15,922 57,159 44,985 13,817 11,710 60,415 1,310 205,318 Watch - - 81 - - - - 81 Substandard - 207 - 530 - 2,063 - 2,800 Total Real estate 15,922 57,366 45,066 14,347 11,710 62,478 1,310 208,199 Current period gross write-offs - - - - - - - - Home Equity – closed end Pass 771 2,551 260 90 974 1,886 - 6,532 Watch - - - - - - - - Substandard - - - - - - - - Total Home Equity - closed end 771 2,551 260 90 974 1,886 - 6,532 Current period gross write-offs - - - - - - - - Multifamily Pass 2,138 - 2,656 1,339 876 1,580 2,353 10,942 Watch - - - - - - - - Substandard - - - - - - - - Total Multifamily 2,138 - 2,656 1,339 876 1,580 2,353 10,942 Current period gross write-offs - - - - - - - - Owner-occupied commercial real estate Pass 4,376 2,220 17,296 16,106 6,805 21,379 2,578 70,760 Watch - - - - - 756 - 756 Substandard - - - - - 8,617 2,444 11,061 Total Owner-occupied commercial real estate 4,376 2,220 17,296 16,106 6,805 30,752 5,022 82,577 Current period gross write-offs - - - - - - - - Other commercial real estate Pass 389 9,368 29,904 11,919 3,792 31,320 1,779 88,471 Watch 8,155 - - - - 1,814 - 9,969 Substandard - - - - - 87 - 87 Total Other commercial real estate 8,544 9,368 29,904 11,919 3,792 33,221 1,779 98,527 Current period gross write-offs - - - - - - - - Term Loans by Year of Origination 2024 2023 2022 2021 2020 Prior Revolving Total Agricultural loans Pass 3,079 2,323 2,000 403 202 - 8,769 16,776 Watch - - 37 - 31 - 150 218 Substandard - - - - - - - - Total Agricultural loans 3,079 2,323 2,037 403 233 - 8,919 16,994 Current period gross write-offs - - - - - - - - Commercial and industrial Pass 6,453 5,659 7,242 4,138 1,049 447 26,449 51,437 Watch - - 106 37 - - 4,961 5,104 Substandard - - 57 611 - - 48 716 Total 1-4 Commercial and industrial 6,453 5,659 7,405 4,786 1,049 447 31,458 57,257 Current period gross write-offs - - 133 47 24 5 - 209 Credit Cards Pass - - - - - - 3,270 3,270 Substandard - - - - - - - - Total Credit cards - - - - - - 3,270 3,270 Current period gross write-offs - - - - - - 27 27 Automobile loans Pass 23,506 41,268 28,202 12,401 3,988 1,167 - 110,532 Watch - - - - - - - - Substandard 34 88 149 110 32 7 - 420 Total Automobile loans 23,540 41,356 28,351 12,511 4,020 1,174 - 110,952 Current period gross write-offs 60 872 582 422 70 55 - 2,061 Other consumer loans Pass 3,017 3,537 3,161 1,231 327 460 356 12,089 Watch - - - - - - - - Substandard - 43 6 12 - 3 - 64 Total Other consumer loans 3,017 3,580 3,167 1,243 327 463 356 12,153 Current period gross write-offs 7 50 57 19 15 4 - 152 Municipal loans Pass - - - 812 1,065 3,182 - 5,059 Watch - - - - - - - - Substandard - - - - - - - - Total Municipal loans - - - 812 1,065 3,182 - 5,059 Current period gross write-offs - - - - - - - - Total loans $ 74,525 $ 146,621 $ 159,321 $ 81,284 $ 58,417 $ 154,626 $ 156,607 $ 831,401 Less: Unamortized net deferred loan fees (684 ) Loans held for investment $ 830,717 Current period gross write-offs $ 67 $ 922 $ 772 $ 488 $ 109 $ 64 $ 27 $ 2,449 The following table presents the Company’s recorded investment in loans by credit quality indicators by year of origination as of December 31, 2023 (dollars in thousands): Term Loans by Year of Origination 2023 2022 2021 2020 2019 Prior Revolving Total 1-4 Family residential construction Pass $ 162 $ - $ - $ - $ - $ 108 $ 29,214 $ 29,484 Watch - - - - - - 564 564 Substandard - - - - - - 440 440 Total 1-4 Family residential construction 162 - - - - 108 30,218 30,488 Current period gross write-offs - 70 - - - - - 70 Other construction, land development and land Pass 5,123 9,138 4,983 1,831 2,847 5,456 17,770 47,148 Watch - - - - - 67 - 67 Substandard 511 - - - - 23 - 534 Total Other construction, land development and land 5,634 9,138 4,983 1,831 2,847 5,546 17,770 47,749 Current period gross write-offs - - - - - - - - Secured by farmland Pass 7,503 15,834 13,688 27,020 2,509 7,842 5,869 80,265 Watch - - - - 781 - - 781 Substandard - - 333 - - 263 15 611 Total Secured by farmland 7,503 15,834 14,021 27,020 3,290 8,105 5,884 81,657 Current period gross write-offs - - - - - - - - Home equity – open end Pass 370 - - - - 141 44,089 44,600 Watch - - - - - - 883 883 Substandard - - - - - - 266 266 Total Home equity - open end 370 - - - - 141 45,238 45,749 Current period gross write-offs - - - - - - - - Real estate Pass 53,413 47,785 15,211 12,192 6,490 55,665 386 191,142 Watch - 45 - 499 155 4,893 - 5,592 Substandard - 88 539 - 1,212 2,056 - 3,895 Total Real estate 53,413 47,918 15,750 12,691 7,857 62,614 386 200,629 Current period gross write-offs - - - - - 19 - 19 Home Equity – closed end Pass 1,126 382 117 1,044 464 1,690 - 4,823 Watch - - - - - - - - Substandard - - - - 12 - - 12 Total Home Equity - closed end 1,126 382 117 1,044 476 1,690 - 4,835 Current period gross write-offs - - - - - - - - Multifamily Pass - 2,712 1,395 906 - 1,567 1,524 8,104 Watch - - - - - 99 - 99 Substandard - - - - - - - - Total Multifamily - 2,712 1,395 906 - 1,666 1,524 8,203 Current period gross write-offs - - - - - - - - Owner-occupied commercial real estate Pass 2,820 18,049 17,775 7,109 3,586 22,301 7,821 79,461 Watch - - - - 40 2,097 - 2,137 Substandard - - - - 6,283 1,183 3,298 10,764 Total Owner-occupied commercial real estate 2,820 18,049 17,775 7,109 9,909 25,581 11,119 92,362 Current period gross write-offs - - - - - - - - Other commercial real estate Pass 10,193 29,317 12,744 4,990 3,739 32,666 3,206 96,855 Watch - - - - - 9,239 - 9,239 Substandard - - - - - 87 - 87 Total Other commercial real estate 10,193 29,317 12,744 4,990 3,739 41,992 3,206 106,181 Current period gross write-offs - - - - - - - - Term Loans by Year of Origination 2023 2022 2021 2020 2019 Prior Revolving Total Agricultural loans Pass 4,626 2,548 534 340 - 38 6,066 14,152 Watch - - - 31 - - 149 180 Substandard - 48 14 11 - - - 73 Total Agricultural loans 4,626 2,596 548 382 - 38 6,215 14,405 Current period gross write-offs - - - - - - - - Commercial and industrial Pass 7,396 9,373 5,359 1,691 674 272 17,408 42,173 Watch - 44 91 - - - 1,363 1,498 Substandard - - 632 25 - 1 - 658 Total Commercial and industrial 7,396 9,417 6,082 1,716 674 273 18,771 44,329 Current period gross write-offs - 31 - - - 2 - 33 Credit Cards Pass - - - - - - 3,246 3,246 Substandard - - - - - - 6 6 Total Credit cards - - - - - - 3,252 3,252 Current period gross write-offs - - - - - - 69 69 Automobile loans Pass 52,471 38,375 19,193 7,301 2,145 2,367 - 121,852 Watch 179 323 158 106 36 32 - 834 Substandard 98 48 63 6 18 5 - 238 Total Automobile loans 52,748 38,746 19,414 7,413 2,199 2,404 - 122,924 Current period gross write-offs 334 669 560 149 53 39 - 1,804 Other consumer loans Pass 5,169 4,983 2,230 843 194 367 530 14,316 Watch 17 4 7 - 1 2 1 32 Substandard 12 7 2 - 6 1 - 28 Total Other consumer loans 5,198 4,994 2,239 843 201 370 531 14,376 Current period gross write-offs - 77 3 3 6 4 - 93 Municipal loans Pass - 118 923 1,096 1,228 2,260 - 5,625 Watch - - - - - - - - Substandard - - - - - - - - Total Municipal loans - 118 923 1,096 1,228 2,260 - 5,625 Current period gross write-offs - - - - - - - - Total loans $ 151,189 $ 179,221 $ 95,991 $ 67,041 $ 32,420 $ 152,788 $ 144,114 $ 822,764 Less: Unamortized net deferred loan fees (672 ) Loans held for investment $ 822,092 Current period gross write-offs $ 334 $ 847 $ 563 $ 152 $ 59 $ 64 $ 69 $ 2,088

ALLOWANCE FOR CREDIT LOSSES

ALLOWANCE FOR CREDIT LOSSES	9 Months Ended
	Sep. 30, 2024
ALLOWANCE FOR CREDIT LOSSES
ALLOWANCE FOR CREDIT LOSSES	NOTE 4 ALLOWANCE FOR CREDIT LOSSES The allowance for credit losses (“ACL”) consists of the allowance for credit losses on loans and the reserve for unfunded commitments. The Company’s ACL is governed by the Company’s ACL Committee, which reports to the Board of Directors and contains representatives from the Company’s finance, credit, and risk teams, and is responsible for calculating the Company’s estimate of expected credit losses and resulting ACL. The ACL Committee considers the quantitative model results and qualitative factors when finalizing the ACL. The Company’s ACL model is subject to the Company’s models risk management program, which is overseen by the Director of Risk Management that reports to the Company’s Board Risk Committee. Allowance for Credit Losses on Loans The following tables show the allowance for credit losses activity by loan segment for the periods indicated, (dollars in thousands). Allowance for Credit Losses and Carrying Amount of Loans For the Nine Months Ended September 30, 2024 Beginning Balance Charge-offs Recoveries Provision for loan credit losses Ending Balance 1-4 Family residential construction $ 714 $ - $ - $ (91 ) $ 623 Other construction, land development and land 1,287 - 69 302 1,658 Secured by farmland 815 - - 25 840 Home equity – open end 180 - 25 (25 ) 180 Real estate 810 - 4 (66 ) 748 Home Equity – closed end 77 - - 27 104 Multifamily 181 - - 75 256 Owner-occupied commercial real estate 1,221 - - (418 ) 803 Other commercial real estate 166 - - (31 ) 135 Agricultural loans 20 - - 4 24 Commercial and industrial 1,034 209 44 (4 ) 865 Credit Cards 81 27 19 9 82 Automobile loans 1,443 2,061 572 1,443 1,397 Other consumer loans 292 152 73 84 297 Municipal loans - - - 16 16 Total loans $ 8,321 $ 2,449 $ 806 $ 1,350 $ 8,028 Allowance for Credit Losses and Carrying Amount of Loans For the Year Ended December 31, 2023 Beginning Balance Adjustment for adoption of ASU 2016-13 Charge-offs Recoveries Provision for loan credit losses Ending Balance 1-4 Family residential construction $ 324 $ 109 $ 70 $ 1 $ 350 $ 714 Other construction, land development and land 694 602 - - (9 ) 1,287 Secured by farmland 571 311 - - (67 ) 815 Home equity – open end 446 (189 ) - 3 (80 ) 180 Real estate 1,389 (184 ) 19 2 (378 ) 810 Home Equity – closed end 39 96 - - (58 ) 77 Multifamily 71 182 - - (72 ) 181 Owner-occupied commercial real estate 992 280 - - (51 ) 1,221 Other commercial real estate 1,023 (582 ) - - (275 ) 166 Agricultural loans 80 (58 ) - - (2 ) 20 Commercial and industrial 368 338 33 2 359 1,034 Credit Cards 68 26 69 37 19 81 Automobile loans 1,790 (257 ) 1,804 514 1,200 1,443 Other consumer loans 81 103 93 55 146 292 Municipal loans - - - - - - Total loans $ 7,936 $ 777 $ 2,088 $ 614 $ 1,082 $ 8,321 Unfunded Commitments The Company maintains an allowance for off-balance sheet credit exposures such as unfunded balances for existing lines of credit, commitments to extend future credit, as well as both standby and commercial letters of credit when there is a contractual obligation to extend credit and when this extension of credit is not unconditionally cancellable (i.e. commitment cannot be canceled at any time). The allowance for off-balance sheet credit exposures is adjusted as a provision for credit loss expense. The estimate includes consideration of the likelihood that funding will occur, which is based on a historical funding study derived from internal information, and an estimate of expected credit losses on commitments expected to be funded over their estimated life, which are the same loss rates that are used in computing the allowance for credit losses on loans and are discussed above. The allowance for credit losses for unfunded loan commitments of $608 thousand at September 30, 2024 and $690 thousand at December 31, 2023 is separately classified on the consolidated balance sheet within Other liabilities. The following table presents the balance and activity in the allowance for credit losses for unfunded loan commitments for the periods indicated (dollars in thousands). 2024 2023 Balance as of January 1 $ 690 $ - Adjustment to allowance for unfunded commitments for adoption of ASU 2016-13 - 747 Recovery of credit losses – unfunded commitments (82 ) - Balance as of September 30 $ 608 $ 747

LEASES

LEASES	9 Months Ended
	Sep. 30, 2024
LEASES
LEASES	NOTE 5 LEASES Lease liabilities represent the Company’s obligation to make lease payments and are presented at each reporting date as the net present value of the remaining contractual cash flows. Cash flows are discounted at the Company’s incremental borrowing rate in effect at the commencement date of the lease. Right-of-use assets represent the Company’s right to use the underlying asset for the lease term and are calculated as the sum of the lease liability and if applicable, prepaid rent, initial direct costs, and any incentives received from the lessor. The Company’s long-term lease agreements are classified as operating leases. Certain of these leases offer the option to extend the lease term. The Company has included such extensions in its calculation of the lease liabilities to the extent the options are reasonably assured of being exercised. The lease agreements do not provide for residual value guarantees and have no restrictions or covenants that would impact dividends or require incurring additional financial obligations. The Company has five operating leases for office properties. The following tables present information about the Company’s leases (dollars in thousands): September 30, 2024 Lease Liabilities $ 624 Right-of-use assets $ 593 Weighted average remaining lease term (years) 0.77 years Weighted average discount rate 3.43 % For the Three Months Ended September 30, For the Nine Months Ended September 30, 2024 2023 2024 2023 Operating lease cost $ 35 $ 40 $ 110 $ 123 Total lease cost $ 35 $ 40 $ 110 $ 123 Cash paid for amounts included in the measurement of lease liabilities $ 40 $ 44 $ 129 $ 149 A maturity analysis of operating lease liabilities and reconciliation of the undiscounted cash flows to the total of operating lease liabilities is as follows (dollars in thousands): September 30, 2024 Three months ending December 31, 2024 $ 45 Twelve months ending December 31, 2025 125 Twelve months ending December 31, 2026 70 Twelve months ending December 31, 2027 56 Twelve months ending December 31, 2028 57 Thereafter 406 Total undiscounted cash flows $ 759 Discount (135 ) Lease liabilities $ 624

OTHER REAL ESTATE OWNED

OTHER REAL ESTATE OWNED	9 Months Ended
	Sep. 30, 2024
OTHER REAL ESTATE OWNED
OTHER REAL ESTATE OWNED	NOTE 6 OTHER REAL ESTATE OWNED The table below reflects other real estate owned (“OREO”) activity for the nine months ended September 30, 2024 and 2023 (dollars in thousands). 2024 2023 Balance as of January 1 $ 55 $ - Purchase of foreclosed real estate - - Loans transferred to OREO - - Proceeds from sale of OREO (76 ) - Gain on sales of OREO 21 - Balance as of September 30 $ - $ - The Company did not have any other real estate owned at September 30, 2024 or 2023.

SHORT TERM DEBT

SHORT TERM DEBT	9 Months Ended
	Sep. 30, 2024
SHORT TERM DEBT
SHORT-TERM DEBT	NOTE 7 SHORT-TERM DEBT The Company uses short-term debt, including Federal funds purchased and FHLB short-term borrowings, to maintain liquidity. Federal funds purchased are unsecured, overnight borrowings from other financial institutions. FHLB short-term debt, secured by the Company’s loan portfolio, may take the form of a daily rate variable loan, which acts as a line of credit, or a fixed-rate advance, depending on the Company’s needs. As of September 30, 2024, and December 31, 2023, the Company had $15.0 million and $60.0 million in FHLB advances, respectively.

LONG TERM DEBT

LONG TERM DEBT	9 Months Ended
	Sep. 30, 2024
LONG TERM DEBT
LONG-TERM DEBT	NOTE 8 LONG-TERM DEBT On July 29, 2020, the Company sold and issued to an institutional accredited investor a 6.00% fixed to floating rate subordinated note due July 31, 2030 with an aggregate principal amount of $7.0 million. The note initially bears interest at 6.00% per annum, beginning July 29, 2020 but excluding July 31, 2025, payable semi-annually in arrears. From and including July 31, 2025 through July 30, 2030, or up to an early redemption date, the interest rate will reset quarterly to an interest rate per annum equal to the then current three-month SOFR plus 593 basis points, payable quarterly in arrears. Beginning on July 31, 2025 through maturity, the note may be redeemed, at the Company’s option, on any scheduled interest payment date. The note will mature on July 31, 2030. The subordinated note, net of issuance costs totaled $7.0 and $6.9 million at September 30, 2024 and December 31, 2023, respectively.

MORTGAGE BANKING DERIVATIVES

MORTGAGE BANKING DERIVATIVES	9 Months Ended
	Sep. 30, 2024
MORTGAGE BANKING DERIVATIVES
MORTGAGE BANKING DERIVATIVES	NOTE 9 MORTGAGE BANKING DERIVATIVES Loans Held for Sale (“LHFS”) The Company, through the Bank’s mortgage banking subsidiary, F&M Mortgage, originates residential mortgage loans for sale in the secondary market. Residential mortgage loans held for sale are sold to a permanent investor with the mortgage servicing rights released. Fair value of the Company’s LHFS is based on observable market prices for the identical instruments traded in the secondary mortgage loan markets in which the Company conducts business, totaling $2.3 million as of September 30, 2024, of which $2.3 million is related to unpaid principal. The Company’s portfolio of LHFS is classified as Level 2. Interest Rate Lock Commitments and Forward Sales Commitments (“IRLCs”) The Company, through F&M Mortgage, enters into commitments to originate residential mortgage loans in which the interest rate on the loan is determined prior to funding, termed interest rate lock commitments (“IRLCs”). Such rate lock commitments on mortgage loans to be sold in the secondary market are derivatives. Upon entering into a commitment to originate a loan, the Company protects itself from changes in interest rates during the period prior to sale by requiring a firm purchase agreement from a permanent investor before a loan can be closed (forward sales commitment). The Company locks in the loan and rate with an investor and commits to deliver the loan if settlement occurs on a best-efforts basis, thus limiting interest rate risk. Certain additional risks exist if the investor fails to meet its purchase obligation; however, based on historical performance and the size and nature of the investors, the Company does not expect them to fail to meet their obligation. The Company determines the fair value of the IRLCs based on the price of the underlying loans obtained from an investor for loans that will be delivered on a best-efforts basis while taking into consideration the probability that the rate lock commitments will close. The fair value of these derivative instruments is reported in Other assets in the consolidated balance sheet at September 30, 2024, and totaled $13 thousand, with a notional amount of $8.1 million and total positions of 29. The fair value of the IRLCs at December 31, 2023 totaled $81 thousand, with a notional amount of $6.2 million and total positions of 22. Changes in fair value are recorded as a component of Mortgage banking income in the consolidated income statement for the period ended September 30, 2024. The Company’s IRLCs are classified as Level 2. At September 30, 2024 and 2023, each IRLC and all LHFS were subject to a forward sales commitment on a best-efforts basis. The Company elects the fair value option for its forward sales commitments related to IRLCs and LHFS under ASC 825-10-15-4(b). The fair value of forward sales commitments reported in Other assets in the consolidated balance sheet at September 30, 2024 totaled $32 thousand, with a notional amount of $10.4 million and total positions of 42. The fair value of forward sales commitments reported in Other liabilities in the consolidated balance sheet at December 31, 2023 totaled $22 thousand, with a notional amount of $7.3 million and total positions of 27.

ACCUMULATED OTHER COMPREHENSIVE

ACCUMULATED OTHER COMPREHENSIVE LOSS	9 Months Ended
	Sep. 30, 2024
ACCUMULATED OTHER COMPREHENSIVE LOSS
ACCUMULATED OTHER COMPREHENSIVE LOSS	NOTE 10 ACCUMULATED OTHER COMPREHENSIVE LOSS The following tables present components of accumulated other comprehensive loss for the periods stated (dollars in thousands). For the three months ended September 30, 2024 Unrealized Securities Gains (Losses) Adjustments Related to Pension Plan Accumulated Other Comprehensive Loss Balance at June 30, 2024 $ (31,055 ) $ 757 $ (30,298 ) Change in unrealized securities gains, net of tax expense of $2,213 8,325 - 8,325 Balance at September 30, 2024 $ (22,730 ) $ 757 $ (21,973 ) For the three months ended September 30, 2023 Unrealized Securities Gains (Losses) Adjustments Related to Pension Plan Accumulated Other Comprehensive Loss Balance at June 30, 2023 $ (37,664 ) $ 439 $ (37,225 ) Change in unrealized securities (losses), net of tax benefit of $1,442 (5,423 ) - (5,423 ) Balance at September 30, 2023 $ (43,087 ) $ 439 $ (42,648 ) For the nine months ended September 30, 2024 Unrealized Securities Gains (Losses) Adjustments Related to Pension Plan Accumulated Other Comprehensive Loss Balance at December 31, 2023 $ (31,774 ) $ 757 $ (31,017 ) Change in unrealized securities gains, net of tax expense of $2,404 9,044 - 9,044 Balance at September 30, 2024 $ (22,730 ) $ 757 $ (21,973 ) For the nine months ended September 30, 2023 Unrealized Securities Gains (Losses) Adjustments Related to Pension Plan Accumulated Other Comprehensive Loss Balance at December 31, 2022 $ (40,451 ) $ 439 $ (40,012 ) Change in unrealized securities (losses), net of tax benefit of $701 (2,636 ) - (2,636 ) Balance at September 30, 2023 $ (43,087 ) $ 439 $ (42,648 ) There were no reclassification adjustments reported on the consolidated statements of income during the three or nine months ended September 30, 2024 or 2023.

FAIR VALUE MEASUREMENTS

FAIR VALUE MEASUREMENTS	9 Months Ended
	Sep. 30, 2024
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS	NOTE 11 FAIR VALUE MEASUREMENTS Fair value is the exchange price that would be received for an asset or paid to transfer a liability (exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. There are three levels of inputs that may be used to measure fair values: Level 1 – Valuation is based on quoted prices in active markets for identical assets and liabilities. Level 2 – Valuation is based on observable inputs including quoted prices in active markets for similar assets and liabilities, quoted prices for identical or similar assets and liabilities in less active markets, and model-based valuation techniques for which significant assumptions can be derived primarily from or corroborated by observable data in the market. Level 3 – Valuation is based on model-based techniques that use one or more significant inputs or assumptions that are unobservable in the market. The following describes the valuation techniques used by the Company to measure certain financial assets and liabilities recorded at fair value on a recurring basis in the financial statements: Available for Sale Securities (“AFS Securities”) Loans Held for Sale Derivative assets – IRLCs Derivative Asset/Liability – Forward Sale Commitments The following tables present the balances of financial assets and liabilities measured at fair value on a recurring basis as of the periods indicated (dollars in thousands): September 30, 2024 Total Level 1 Level 2 Level 3 Assets: Loans held for sale, F&M Mortgage $ 2,332 $ - $ 2,332 $ - U. S. Treasury securities 28,814 - 28,814 - U.S. Government sponsored enterprises 123,452 - 123,452 - Securities issued by States and political subdivisions of the US 38,815 - 38,815 - Mortgage-backed obligations of federal agencies 156,433 - 156,433 - Corporate debt securities 28,645 - 28,645 - IRLC 32 - 32 - Forward sales commitments 12 - 12 - Assets at Fair Value $ 378,535 $ - $ 378,535 $ - December 31, 2023 Total Level 1 Level 2 Level 3 Assets: Loans held for sale, F&M Mortgage $ 1,119 $ - $ 1,119 $ - U. S. Treasury securities 32,881 - 32,881 - U.S. Government sponsored enterprises 124,703 - 124,703 - Securities issued by States and political subdivisions of the US 38,761 - 38,761 - Mortgage-backed obligations of federal agencies 145,073 - 145,073 - Corporate debt securities 27,256 - 27,256 - IRLC 81 - 81 - Assets at Fair Value $ 369,874 $ - $ 369,874 $ - Liabilities: Forward sales commitments $ 22 $ - $ 22 $ - Liabilities at Fair Value $ 22 $ - $ 22 $ - Certain financial assets are measured at fair value on a nonrecurring basis in accordance with GAAP. Adjustments to the fair value of these assets usually result from the application of lower-of-cost-or-market accounting or write-downs of individual assets. The following describes the valuation techniques used by the Company to measure certain financial assets recorded at fair value on a nonrecurring basis in the financial statements: Collateral Dependent Loans with an ACL 326, may Other Real Estate Owned The Company markets OREO independently and with local realtors. Properties marketed by realtors are discounted by selling costs. Properties that the Company markets independently are not discounted by selling costs. The following presents the carrying amount, fair value, and placement in the fair value hierarchy of the Company’s financial instruments as of September 30, 2024 and December 31, 2023 (dollars in thousands). Fair values are estimated under the exit price notion in accordance with the adoption of ASU 2016-01, “ Recognition and Measurement of Financial Assets and Financial Liabilities.” The following table summarizes the Company’s financial assets that were measured at fair value on a nonrecurring basis during the period (dollars in thousands): September 30, 2024 Fair Value Measurements Using: Collateral dependent loans with an ACL Balance Level 1 Level 2 Level 3 1-4 family residential construction $ 77 $ - $ - $ 77 Owner-occupied commercial real estate 1,208 - - 1,208 Total collateral dependent loans with an ACL $ 1,285 $ - $ - $ 1,285 OREO $ - $ - $ - $ - December 31, 2023 Fair Value Measurements Using: Collateral dependent loans with an ACL Balance Level 1 Level 2 Level 3 1-4 family residential construction $ 77 $ - $ - $ 77 Owner-occupied commercial real estate 2,737 - - 2,737 Commercial and industrial 246 - - 246 Total collateral dependent loans with an ACL $ 3,060 $ - $ - $ 3,060 OREO $ 55 $ - $ - $ 55 The following table presents information about Level 3 Fair Value Measurements for the periods indicated (dollars in thousands): September 30, 2024 Fair Value Valuation Technique Significant Unobservable Inputs 1-4 family residential construction $ 77 Discounted appraised value Discount for marketability (25%) and selling costs (25%) Owner-occupied commercial real estate 1,208 Discounted appraised value Discount for marketability (25%) and selling costs (10%) December 31, 2023 Fair Value Valuation Technique Significant Unobservable Inputs 1-4 family residential construction $ 77 Discounted appraised value Discount for marketability (25%) and selling costs (10%) Owner-occupied commercial real estate 2,737 Discounted appraised value Discount for marketability (25%) and selling costs (8%) Commercial and industrial 246 Discounted appraised value Discount for marketability (65%) and selling costs (6%) OREO 55 Discounted appraised value Discount for marketability (60%) and selling costs (10%) September 30, 2024 Fair Value Measurements using Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Total Fair Value Carrying Value Level 1 Level 2 Level 3 Balance Assets: Cash and cash equivalents $ 60,320 $ 60,320 $ - $ - $ 60,320 Securities 376,159 - 376,159 - 376,159 Loans held for sale 2,332 - 2,332 - 2,332 Loans held for investment, net 830,717 - - 811,324 811,324 Interest receivable 5,066 - 5,066 - 5,066 Bank owned life insurance 23,420 - 23,420 - 23,420 IRLC 32 - 32 - 32 Forward sales commitments 13 - 13 - 13 Liabilities: Deposits $ 1,218,288 $ - $ 1,218,135 $ - $ 1,218,135 Short-term debt 15,000 - - 15,000 15,000 Long-term debt 6,965 - - 6,888 6,888 Interest payable 2,258 - 2,258 - 2,258 December 31, 2023 Fair Value Measurements using Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Total Fair Value Carrying Value Level 1 Level 2 Level 3 Balance Assets: Cash and cash equivalents $ 23,717 $ 23,717 $ - $ - $ 23,717 Securities 368,674 - 368,674 - 368,674 Loans held for sale 1,119 - 1,119 - 1,119 Loans held for investment, net 822,092 - - 793,440 793,440 Interest receivable 5,034 - 5,034 - 5,034 Bank owned life insurance 22,878 - 22,878 - 22,878 IRLC 81 - 81 - 81 Liabilities: Deposits $ 1,133,236 $ - $ 1,131,747 $ - $ 1,131,747 Short-term debt 60,000 - - 60,000 60,000 Long-term debt 6,932 - - 6,761 6,761 Interest payable 1,592 - 1,592 - 1,592 Forward sales commitments 22 - 22 - 22

EMPLOYEE BENEFITS

EMPLOYEE BENEFITS	9 Months Ended
	Sep. 30, 2024
EMPLOYEE BENEFITS
EMPLOYEE BENEFITS	NOTE 12 EMPLOYEE BENEFITS Defined Benefit Pension Plan The Bank has a qualified noncontributory defined benefit pension plan which covers substantially all full-time employees hired before April 1, 2012. The benefits are primarily based on years of service and earnings. The Company uses December 31 st Three Months Ended Nine Months Ended September 30, 2024 September 30, 2023 September 30, 2024 September 30, 2023 Service cost $ - $ - $ - $ - Interest cost 79 92 237 276 Expected return on plan assets (98 ) (130 ) (294 ) (390 ) Recognized net actuarial gain (5 ) - (15 ) - Net periodic pension cost $ (24 ) $ (38 ) $ (72 ) $ (114 ) Stock Incentive Plan The Company grants stock awards to directors and employees under the Company’s 2020 Stock Incentive Plan and 2023 Directors Stock Incentive Plan. On March 7, 2024, the Company’s Compensation Committee awarded 33,568 shares with a fair value of $597 thousand from the 2020 Stock Incentive Plan to selected employees. These shares vest 25% over each of the next four years. In the three months ended September 30, 2024, no shares were awarded and 3,367 shares were forfeited. Unrecognized compensation expense related to the nonvested restricted stock as of September 30, 2024 totaled $834 thousand.

REVENUE RECOGNITION

REVENUE RECOGNITION	9 Months Ended
	Sep. 30, 2024
REVENUE RECOGNITION
REVENUE RECOGNITION	NOTE 13 REVENUE RECOGNITION The majority of the Company’s noninterest income is generated from short-term contracts for fees on deposit accounts, ATM and check cards, and annuity and insurance commissions that is accounted for in accordance with ASC Topic 606, Revenue from Contracts with Customers Service charges on deposit accounts consist of account maintenance charges and overdrawn account fees. The Company’s performance obligation is generally satisfied, and the related revenue recognized, immediately, when the transaction occurs, or by month-end. Investment services and insurance income consists primarily of commissions received on mutual funds and other investment sales that are recognized on the trade date, which is when the Company has satisfied its performance obligation. Title insurance and real estate settlement services revenue is recognized at the time the real estate transaction is completed. Card services and interchange income primarily consist of debit and credit card income, ATM fees, merchant services income, and other service charges. The Company’s performance obligation is generally satisfied, and the related revenue recognized, immediately, when the transaction occurs, or by month-end. Interchange fees from cardholder transactions represent a percentage of the underlying transaction value and are recognized no less than monthly. Noninterest income, segregated by revenue streams in-scope and out-of-scope of ASC 606, for September 30, 2024 and 2023 consisted of the following (dollars in thousands). Three Months Ended September 30, Nine Months Ended September 30, 2024 2023 2024 2023 Noninterest income Service charges on deposit accounts $ 317 $ 256 $ 881 $ 755 Investment services and insurance income 481 376 1,692 1,243 Title insurance income 423 421 1,153 1,015 Card services and interchange income 773 769 2,300 2,257 Other 71 192 211 389 Within scope of ASC 606 2,065 2,014 6,237 5,659 Not within scope of ASC 606 683 493 1,847 1,955 Total noninterest income $ 2,748 $ 2,507 $ 8,084 $ 7,614

SUMMARY OF SIGNIFICANT ACCOUN_2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	9 Months Ended
	Sep. 30, 2024
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Principles Of Consolidation	The Consolidated Financial Statements include the accounts of F&M Bank Corp. (the “Company”), Farmers & Merchants Bank (the “Bank”), TEB Life Insurance Company (“TEB”), Farmers & Merchants Financial Services, Inc. (“FMFS”), VBS Mortgage, LLC (dba “F&M Mortgage”), and VSTitle, LLC (“VST”), with all significant intercompany accounts and transactions eliminated. TEB was dissolved on November 8, 2023. FMFS was dissolved effective April 25, 2024, and its legal existence was subsequently terminated on June 7, 2024. The operations, assets, and liabilities of FMFS were transferred to the Bank. The accounting and reporting policies of the Company conform to accounting principles generally accepted in the United States of America (“GAAP”) and to accepted practices within the banking industry.
Use of Estimates	The preparation of 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 financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The material estimate that is particularly susceptible to significant change in the near term relates to the determination of the allowance for credit losses.
Reclassification	Certain reclassifications have been made to prior period amounts to conform to current period presentation. None of these reclassifications are considered material and have no impact on net income or shareholders’ equity.
Nature Of Operations	The Company, through its subsidiary Farmers & Merchants Bank, operates under a charter issued by the Commonwealth of Virginia to provide commercial banking services. As a state chartered bank, the Bank is subject to regulation by the Virginia Bureau of Financial Institutions and the Board of Governors of the Federal Reserve System (the “Federal Reserve”). The Bank provides services to customers primarily in the counties of Rockingham, Shenandoah, Augusta, and Frederick, and the cities of Harrisonburg, Staunton, Waynesboro, and Winchester in Virginia. Services are provided at fourteen branch offices and a dealer finance division. The Company, through its subsidiaries, offers insurance, mortgage lending, title insurance and financial services.
Cash and Cash Equivalents	For purposes of reporting cash flows, cash and cash equivalents include cash on hand, amounts due from banks, federal funds sold, money market funds and interest-bearing deposits. Generally, federal funds are purchased and sold on an overnight basis.
Allowance for Credit Losses - Available for Sale Securities	For available for sale securities, management evaluates all investments in an unrealized loss position on a quarterly basis, and more frequently when economic or market conditions warrant such evaluation. If the Company has the intent to sell the security or it is more likely than not that the Company will be required to sell the security, the security is written down to fair value and the entire loss is recorded in earnings. If either of the above criteria is not met, the Company evaluates whether the decline in fair value is the result of credit losses or other factors. In making the assessment, the Company may consider various factors including the extent to which fair value is less than amortized cost, performance on any underlying collateral, downgrades in the ratings of the security by a rating agency, the failure of the issuer to make scheduled interest or principal payments and adverse conditions specifically related to the security. If the assessment indicates that a credit loss exists, the present value of cash flows expected to be collected are compared to the amortized cost basis of the security and any excess is recorded as an allowance for credit loss, limited by the amount that the fair value is less than the amortized cost basis. Any amount of unrealized loss that has not been recorded through an allowance for credit loss is recognized in other comprehensive income. Changes in the allowance for credit loss are recorded as provision for (or reversal of) credit loss expense. Losses are charged against the allowance for credit loss when management believes an available for sale security is confirmed to be uncollectible or when either of the criteria regarding intent or requirement to sell is met. At September 30, 2024, there was no allowance for credit loss related to the available for sale securities portfolio. Accrued interest receivable on available for sale debt securities totaled $1.4 million at September 30, 2024 and was excluded from the estimate of credit losses.
Loans	Loans that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are reported at amortized cost. Amortized cost is the principal balance outstanding, net of discounts and deferred fees and costs. Accrued interest receivable related to loans totaled $3.7 million at September 30, 2024 and was reported in accrued interest receivable on the consolidated balance sheets. Interest income is accrued on the unpaid principal balance. Loan origination fees, net of certain direct origination costs, are deferred and recognized in interest income using methods that approximate a level yield without anticipating prepayments. The accrual of interest is generally discontinued when a loan becomes 90 days past due and is not well collateralized and in the process of collection, or when management believes, after considering economic and business conditions and collection efforts, that the principal or interest will not be collectible in the normal course of business. Past due status is based on contractual terms of the loan. A loan is considered to be past due when a scheduled payment has not been received 30 days after the contractual due date. All accrued interest is reversed against interest income when a loan is placed on nonaccrual status. Interest received on such loans is accounted for using the cost-recovery method, until qualifying for return to accrual. Under the cost-recovery method, interest income is not recognized until the loan balance is reduced to zero. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current, there is a sustained period of repayment performance, and future payments are reasonably assured.
Allowance for Credit Losses - Loans	The allowance for credit losses is a valuation account that is deducted from the loans' amortized cost basis to present the net amount expected to be collected on the loans. Loans are charged off against the allowance when management believes the uncollectibility of a loan balance is confirmed. Expected recoveries do not exceed the aggregate of amounts previously charged-off and expected to be charged-off. Accrued interest receivable is excluded from the estimate of credit losses. The allowance for credit losses represents management’s estimate of lifetime credit losses expected in loans as of the balance sheet date. The allowance for credit losses is estimated by management using relevant available information, from both internal and external sources, relating to past events, current conditions, and reasonable and supportable forecasts. The Company utilizes a Qualitative Scorecard (“scorecard”) to adjust the historical loss information, as necessary, to reflect the Company’s expectations about the future. For each segment, the scorecard calculates the difference between the quantitative expected credit loss and the high watermark average remaining maturity loss rates. This difference is the maximum qualitative adjustment that can be applied to that segment. Due to the low number of losses in the Bank’s portfolio, in particular from 2008-2012, a number of pool sets will leverage peer data to calculate the overall loss rate. The Company believes that in order to provide a reasonable and supportable loss rate, data representative of losses during a financial downturn will provide a better representation of the perceived risk in the portfolio. In determining how to apply the weightings for the various qualitative factors, management assessed which factors would have the highest impact on potential loan losses. The economy and problem loan trends were determined to have the most significant effect on the estimated losses. The most influential factor on potential loan losses was economic conditions, with a weighting of 20%-25%. The Company will evaluate the weighting applied to each pool on an annual basis. The Company measures expected credit losses for loans on a pooled basis when similar risk characteristics exist. The Company has identified the following portfolio segments and calculates the allowance for credit losses for each using a remaining life methodology: 1-4 family residential construction. Other construction, land development and land. Secured by farmland. Home equity - open end. Real estate. Home equity - closed end. Multifamily. Owner-occupied commercial real estate. Other commercial real estate. Agriculture loans. Commercial and industrial. Credit cards. Automobile loans. Other consumer loans. Municipal loans. Additionally, the allowance for credit losses calculation includes adjustments for qualitative risk factors that are likely to cause estimated credit losses to differ from historical experience. These qualitative adjustments may increase or reduce reserve levels and include adjustments for lending management experience and risk tolerance, loan review and audit results, asset quality and portfolio trends, loan portfolio growth, industry concentrations, trends in underlying collateral, external factors and economic conditions not already captured. Loans that do not share risk characteristics are evaluated on an individual basis. When management determines that foreclosure is probable and the borrower is experiencing financial difficulty, the expected credit losses are based on the fair value of collateral at the reporting date adjusted for selling costs as appropriate.
Allowance for Credit Losses - Unfunded Commitments	Financial instruments include off-balance sheet credit instruments, such as commitments to make loans and commercial letters of credit issued to meet customer financing needs. The Company’s exposure to credit loss in the event of nonperformance by the other party to the financial instrument for off-balance sheet loan commitments is represented by the contractual amount of those instruments. Such financial instruments are recorded when they are funded. The Company records an allowance for credit losses on off-balance sheet credit exposures, unless the commitments to extend credit are unconditionally cancelable, through a charge to provision for credit losses in the Company’s consolidated statements of income . The allowance for credit losses on off-balance sheet credit exposures is estimated by loan segment at each balance sheet date under the current expected credit loss model using the same methodologies as portfolio loans, taking into consideration the likelihood that funding will occur as well as any third-party guarantees. The allowance for unfunded commitments is included in other liabilities on the Company’s consolidated balance sheets.
Earnings Per Share	Basic earnings per share (“EPS”) is computed by dividing net income available to common shareholders by the weighted average number of common shares outstanding. Nonvested restricted shares are included in the computation of basic earnings per share as the holder is entitled to full shareholder benefits during the vesting period, including voting rights and sharing in nonforfeitable dividends. Diluted earnings per share includes all convertible securities, such as convertible preferred stock, convertible debt, equity options, and warrants. The Company does not have any convertible securities that would dilute the earnings per share.
Recent Accounting Pronouncements	Accounting Standards adopted in 2024: In March 2023, the Financial Accounting Standards Board (the “FASB”) issued Accounting Standards Update (“ASU”) 2023-02, “Investments—Equity Method and Joint Ventures (Topic 323): Accounting for Investments in Tax Credit Structures Using the Proportional Amortization Method.” These amendments allow reporting entities to elect to account for qualifying tax equity investments using the proportional amortization method, regardless of the program giving rise to the related income tax credits. ASU 2023-02 was effective for the Company on January 1, 2024. The adoption of ASU 2023-02 did not have a material impact on the Company’s consolidated financial statements. In March 2023, the FASB issued ASU 2023-01, “Leases (Topic 842): Common Control Arrangements.” These amendments require entities to amortize leasehold improvements associated with common control leases over the useful life to the common control group. ASU 2023-01 was effective for the Company on January 1, 2024. The adoption of ASU 2023-01 did not have a material impact on the Company’s consolidated financial statements. In June 2022, the FASB issued ASU 2022-03, “Fair Value Measurement (Topic 820): Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions.” ASU 2022-03 clarifies that a contractual restriction on the sale of an equity security is not considered part of the unit of account of the equity security and, therefore, is not considered in measuring fair value. ASU 2022-03 was effective for the Company on January 1, 2024. The adoption of ASU 2022-03 did not have a material impact on the Company’s consolidated financial statements. In August 2020, Accounting Standards Pending Adoption: In November 2024, the FASB issued ASU 2024-03, “Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses.” ASU 2024-03 requires public companies to disclose, in the notes to the financial statements, specific information about certain costs and expenses at each interim and annual reporting period. This includes disclosing amounts related to employee compensation, depreciation, and intangible asset amortization. In addition, public companies will need to provide qualitative description of the amounts remaining in relevant expense captions that are not separately disaggregated quantitatively. ASU 2024-03 is effective for public business entities for annual reporting periods beginning after December 15, 2026, and interim reporting periods beginning after December 15, 2027. Implementation of ASU 2024-03 may be applied prospectively or retrospectively. The Company does not expect the adoption of ASU 2024-03 to have a material impact on its consolidated financial statements. In March 2024, the FASB issued ASU 2024-02, “Codification Improvements – Amendments to Remove References to the Concepts Statements”. This ASU contains amendments to the Codification that remove references to various Concepts Statements. In most instances, the references are extraneous and not required to understand or apply the guidance. In other instances, the references were used in prior Statements to provide guidance in certain topical areas. This ASU is effective for fiscal years beginning after December 15, 2024. Early adoption is permitted. The amendments should be applied prospectively to all new transactions recognized on or after the date that the entity first applies the amendments or retrospectively to the beginning of the earliest comparative period presented in which the amendments were first applied. If an entity adopts the amendments retrospectively, it should adjust the opening balance of retained earnings as of the beginning of the earliest comparative period presented. The Company does not expect the adoption of ASU 2024-02 to have a material impact on its consolidated financial statements. In March 2024, the FASB issued ASU 2024-01, “Compensation – Stock Compensation (Topic 718): Scope Application of Profits Interest and Similar Awards”. This ASU provides an illustrative example intended to demonstrate how entities that account for profits interest and similar awards would determine whether a profits interest award should be accounted for in accordance with Topic 718. This ASU is effective for annual periods beginning after December 15, 2024, and interim periods within those annual periods. Early adoption is permitted. If an entity adopts the amendments in an interim period, it must adopt them as of the beginning of the annual period that includes that interim period. Transition can be done either retrospectively or prospectively. The Company does not expect the adoption of ASU 2024-01 to have a material impact on its consolidated financial statements. In December 2023, the FASB issued ASU 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures.” The amendments in this ASU require an entity to disclose specific categories in the rate reconciliation and provide additional information for reconciling items that meet a quantitative threshold, which is greater than five percent of the amount computed by multiplying pretax income by the entity’s applicable statutory rate, on an annual basis. Additionally, the amendments in this ASU require an entity to disclose the amount of income taxes paid (net of refunds received) disaggregated by federal, state, and foreign taxes and the amount of income taxes paid (net of refunds received) disaggregated by individual jurisdictions that are equal to or greater than five percent of total income taxes paid (net of refunds received). Lastly, the amendments in this ASU require an entity to disclose income (or loss) from continuing operations before income tax expense (or benefit) disaggregated between domestic and foreign and income tax expense (or benefit) from continuing operations disaggregated by federal, state, and foreign. This ASU is effective for annual periods beginning after December 15, 2024. Early adoption is permitted. The amendments should be applied on a prospective basis; however, retrospective application is permitted. The Company does not expect the adoption of ASU 2023-09 to have a material impact on its consolidated financial statements. In October 2023, the FASB issued ASU 2023-06, “Disclosure Improvements: Codification Amendments in Response to the SEC’s Disclosure Update and Simplification Initiative.” This ASU incorporates certain U.S. Securities and Exchange Commission (SEC) disclosure requirements into the FASB Accounting Standards Codification. The amendments in the ASU are expected to clarify or improve disclosure and presentation requirements of a variety of Codification Topics, allow users to more easily compare entities subject to the SEC’s existing disclosures with those entities that were not previously subject to the requirements, and align the requirements in the Codification with the SEC’s regulations. For entities subject to the SEC’s existing disclosure requirements and for entities required to file or furnish financial statements with or to the SEC in preparation for the sale of or for purposes of issuing securities that are not subject to contractual restrictions on transfer, the effective date for each amendment will be the date on which the SEC removes that related disclosure from its rules. For all other entities, the amendments will be effective two years later. However, if by June 30, 2027, the SEC has not removed the related disclosure from its regulations, the amendments will be removed from the Codification and not become effective for any entity. The Company does not expect the adoption of ASU 2023-06 to have a material impact on its consolidated financial statements. In July 2023, the FASB issued ASU 2023-03, “Presentation of Financial Statements (Topic 205), Income Statement—Reporting Comprehensive Income (Topic 220), Distinguishing Liabilities from Equity (Topic 480), Equity (Topic 505), and Compensation—Stock Compensation (Topic 718).” This ASU amends the FASB Accounting Standards Codification for SEC paragraphs pursuant to SEC Staff Accounting Bulletin No. 120, SEC Staff Announcement at the March 24, 2022 EITF Meeting, and Staff Accounting Bulletin Topic 6.B, Accounting Series Release 280—General Revision of Regulation S-X: Income or Loss Applicable to Common Stock. ASU 2023-03 is effective upon addition to the FASB Codification. The Company does not expect the adoption of ASU 2023-03 to have a material impact on its consolidated financial statements. Other accounting standards that have been issued by the FASB or other standards-setting bodies are not expected to have a material effect on the Company’s financial position, result of operations or cash flows.

SECURITIES (Tables)

SECURITIES (Tables)	9 Months Ended
	Sep. 30, 2024
SECURITIES
Schedule Of Amortized Cost And Fair Value For Securities	September 30, 2024 Amortized Cost Unrealized Gains Unrealized Losses Fair Value U. S. Treasuries $ 30,068 $ - $ 1,254 $ 28,814 U. S. Government sponsored enterprises 128,494 - 5,042 123,452 Securities issued by States and political subdivisions of the U.S. 40,718 86 1,989 38,815 Mortgage-backed obligations of federal agencies 175,103 148 18,818 156,433 Corporate debt securities 30,550 - 1,905 28,645 Total Securities Available for Sale $ 404,933 $ 234 $ 29,008 $ 376,159 December 31, 2023 Amortized Cost Unrealized Gains Unrealized Losses Fair Value U. S. Treasuries $ 35,048 $ - $ 2,167 $ 32,881 U. S. Government sponsored enterprises 133,487 - 8,784 124,703 Securities issued by States and political subdivisions of the U.S. 41,341 145 2,725 38,761 Mortgage-backed obligations of federal agencies 168,468 173 23,568 145,073 Corporate debt securities 30,550 25 3,319 27,256 Total Securities Available for Sale $ 408,894 $ 343 $ 40,563 $ 368,674
Schedule Amortized Cost And Fair Value Of Securities, Maturity	Securities Available for Sale Amortized Fair Cost Value Due in one year or less $ 99,010 $ 98,108 Due after one year through five years 93,575 87,606 Due after five years 66,571 61,566 Due after ten years 145,777 128,879 Total $ 404,933 $ 376,159
Schedule Of Unrealized Losses	Less than 12 Months More than 12 Months Total September 30, 2024 Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses U.S. Treasuries $ 119 $ 5 $ 28,695 $ 1,249 $ 28,814 $ 1,254 U.S. Government sponsored enterprises - - 123,452 5,042 123,452 5,042 Securities issued by States and political subdivisions of the U.S. 1,336 17 31,852 1,972 33,188 1,989 Mortgage-backed obligations of federal agencies 10,018 - 134,230 18,818 144,248 18,818 Corporate debt securities 477 23 28,168 1,882 28,645 1,905 Total $ 11,950 $ 45 $ 346,397 $ 28,963 $ 358,347 $ 29,008 Less than 12 Months More than 12 Months Total December 31, 2023 Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses U. S. Treasuries $ 125 $ - $ 32,756 $ 2,167 $ 32,881 $ 2,167 U. S. Government sponsored enterprises - - 124,703 8,784 124,703 8,784 Securities issued by States and political subdivisions in the U.S. 484 11 32,597 2,714 33,081 2,725 Mortgage-backed obligations of federal agencies - - 140,041 23,568 140,041 23,568 Corporate debt securities 1,729 271 25,002 3,048 26,731 3,319 Total $ 2,338 $ 282 $ 355,099 $ 40,281 $ 357,437 $ 40,563

LOANS AND CREDIT QUALITY (Table

LOANS AND CREDIT QUALITY (Tables)	9 Months Ended
	Sep. 30, 2024
LOANS AND CREDIT QUALITY
Schedule Of Loans Outstanding	September 30, 2024 December 31, 2023 1-4 Family residential construction $ 26,649 $ 30,488 Other construction, land development and land 61,568 47,749 Secured by farmland 83,326 81,657 Home equity – open end 47,396 45,749 Real estate 208,199 200,629 Home Equity – closed end 6,532 4,835 Multifamily 10,942 8,203 Owner-occupied commercial real estate 82,577 92,362 Other commercial real estate 98,527 106,181 Agricultural loans 16,994 14,405 Commercial and industrial 57,257 44,329 Credit Cards 3,270 3,252 Automobile loans 110,952 122,924 Other consumer loans 12,153 14,376 Municipal loans 5,059 5,625 Gross loans 831,401 822,764 Unamortized net deferred loan fees (684 ) (672 ) Less allowance for credit losses 8,028 8,321 Net loans $ 822,689 $ 813,771
Summary Of Non accrual and Past Due Loans	Age Analysis of Past Due Loans As of September 30, 2024 Accruing Loans 30-59 Days Past due Accruing Loans 60-89 Days Past due Accruing Loans 90 Days or More Past due Nonaccrual Loans Accruing Current Loans Total Loans 1-4 Family residential construction $ 297 $ - $ - $ 439 $ 25,913 $ 26,649 Other construction, land development and land 160 - - 15 61,393 61,568 Secured by farmland 97 - - 53 83,176 83,326 Home equity – open end 216 - - 493 46,687 47,396 Real estate 1,122 835 - 917 205,325 208,199 Home Equity – closed end 35 - - - 6,497 6,532 Multifamily - - - - 10,942 10,942 Owner-occupied commercial real estate - 1,205 - 3,449 77,923 82,577 Other commercial real estate - 784 - - 97,743 98,527 Agricultural loans 171 - - - 16,823 16,994 Commercial and industrial 627 44 - 710 55,876 57,257 Credit Cards 28 32 - - 3,210 3,270 Automobile loans 1,610 191 - 438 108,713 110,952 Other consumer loans 75 12 1 63 12,002 12,153 Municipal loans - - - - 5,059 5,059 Gross loans 4,438 3,103 1 6,577 817,282 831,401 Less: Unamortized net deferred loan fees - - - - (684 ) (684 ) Loans held for investment $ 4,438 $ 3,103 $ 1 $ 6,577 $ 816,598 $ 830,717 Age Analysis of Past Due Loans As of December 31, 2023 Accruing Loans 30-59 Days Past due Accruing Loans 60-89 Days Past due Accruing Loans 90 Days or More Past due Nonaccrual Loans Accruing Current Loans Total Loans 1-4 Family residential construction $ - $ - $ - $ 440 $ 30,048 $ 30,488 Other construction, land development and land - - - 528 47,221 47,749 Secured by farmland - - - 596 81,061 81,657 Home equity – open end 595 74 - 217 44,863 45,749 Real estate 2,125 425 - 701 197,378 200,629 Home Equity – closed end 41 - - - 4,794 4,835 Multifamily - - - - 8,203 8,203 Owner-occupied commercial real estate 1,482 - - 3,000 87,880 92,362 Other commercial real estate 92 887 - - 105,202 106,181 Agricultural loans 10 - - 73 14,322 14,405 Commercial and industrial 75 39 25 622 43,568 44,329 Credit Cards 35 7 6 - 3,204 3,252 Automobile loans 1,137 481 - 237 121,069 122,924 Other consumer loans 151 14 - 24 14,187 14,376 Municipal loans - - - - 5,625 5,625 Gross loans 5,743 1,927 31 6,438 808,625 822,764 Less: Unamortized net deferred loan fees - - - - (672 ) (672 ) Loans held for investment $ 5,743 $ 1,927 $ 31 $ 6,438 $ 807,953 $ 822,092
Summary Of non accrual loans by major categories	September 30, 2024 December 31, 2023 Nonaccrual loans Nonaccrual loans With no Allowance With an Allowance Total With no Allowance With an Allowance Total 1-4 Family residential construction $ - $ 439 $ 439 $ - $ 440 $ 440 Other construction, land development and land 15 - 15 528 - 528 Secured by farmland 53 - 53 596 - 596 Home equity – open end 493 - 493 217 - 217 Real estate 917 - 917 701 - 701 Owner-occupied commercial real estate 2,146 1,303 3,449 - 3,000 3,000 Agricultural loans - - - 73 - 73 Commercial and industrial 710 - 710 25 597 622 Automobile loans 438 - 438 237 - 237 Other consumer loans 63 - 63 24 - 24 Total loans $ 4,835 $ 1,742 $ 6,577 $ 2,401 $ 4,037 $ 6,438
Schedule Of modified to borrowers experiencing	Amortized Cost of Basis of Loan Modifications Made to Borrowers Experiencing Financial Difficulty For the Nine Months Ended September 30, 2024 Term Extension Weighted Average Term Extension (in months) % of Total Loan Type Owner-occupied commercial real estate $ 16 13.0 0.02 % Automobile loans 53 4.1 0.05 % Total Term Extension $ 69 6.1 0.05 % Amortized Cost of Basis of Loan Modifications Made to Borrowers Experiencing Financial Difficulty For the Year Ended December 31, 2023 Term Extension Weighted Average Term Extension (in months) % of Total Loan Type Owner-occupied commercial real estate $ 45 13.0 0.05 % Automobile loans 68 4.5 0.06 % Total Term Extension $ 113 7.9 0.05 %
Summary Of analysis of collateral-dependent loans	Collateral Dependent Loans September 30, 2024 Real Estate Business/Other Assets 1-4 Family residential construction $ 439 $ - Owner-occupied commercial real estate 3,449 - Commercial and industrial - 605 Total loans $ 3,888 $ 605 Collateral Dependent Loans December 31, 2023 Real Estate Business/Other Assets 1-4 Family residential construction $ 440 $ - Other construction, land development and land 511 - Secured by farmland 596 - Owner-occupied commercial real estate 3,000 - Commercial and industrial - 597 Total loans $ 4,547 $ 597
Summary Of segregated loan portfolio segment	September 30, 2024 Loan Balances Allowance for Credit Losses - Loans Loans Individually Evaluated Loans Collectively Evaluated Total Loans Individually Evaluated Loans Collectively Evaluated Total 1-4 Family residential construction $ 439 $ 26,210 $ 26,649 $ 362 $ 261 $ 623 Other construction, land development and land - 61,568 61,568 - 1,658 1,658 Secured by farmland - 83,326 83,326 - 840 840 Home equity – open end - 47,396 47,396 - 180 180 Real estate - 208,199 208,199 - 748 748 Home Equity – closed end - 6,532 6,532 - 104 104 Multifamily - 10,942 10,942 - 256 256 Owner-occupied commercial real estate 3,449 79,128 82,577 95 708 803 Other commercial real estate - 98,527 98,527 - 135 135 Agricultural loans - 16,994 16,994 - 24 24 Commercial and industrial 605 56,652 57,257 - 865 865 Credit Cards - 3,270 3,270 - 82 82 Automobile loans - 110,952 110,952 - 1,397 1,397 Other consumer loans - 12,153 12,153 - 297 297 Municipal loans - 5,059 5,059 - 16 16 Gross loans 4,493 826,908 831,401 457 7,571 8,028 Less: Unamortized net deferred loan fees - - (684 ) - - - Net loans held for investment $ 4,493 $ 826,908 $ 830,717 $ 457 $ 7,571 $ 8,028 December 31, 2023 Loan Balances Allowance for Credit Losses - Loans Loans Individually Evaluated Loans Collectively Evaluated Total Loans Individually Evaluated Loans Collectively Evaluated Total 1-4 Family residential construction $ 440 $ 30,048 $ 30,488 $ 363 $ 351 $ 714 Other construction, land development and land 511 47,238 47,749 - 1,287 1,287 Secured by farmland 596 81,061 81,657 - 815 815 Home equity – open end - 45,749 45,749 - 180 180 Real estate - 200,629 200,629 - 810 810 Home Equity – closed end - 4,835 4,835 - 77 77 Multifamily - 8,203 8,203 - 181 181 Owner-occupied commercial real estate 3,000 89,362 92,362 263 958 1,221 Other commercial real estate - 106,181 106,181 - 166 166 Agricultural loans - 14,405 14,405 - 20 20 Commercial and industrial 597 43,732 44,329 351 683 1,034 Credit Cards - 3,252 3,252 - 81 81 Automobile loans - 122,924 122,924 - 1,443 1,443 Other consumer loans - 14,376 14,376 - 292 292 Municipal loans - 5,625 5,625 - - - Gross loans 5,144 817,620 822,764 977 7,344 8,321 Less: Unamortized net deferred loan fees - - (672 ) - - - Net loans held for investment $ 5,144 $ 817,620 $ 822,092 $ 977 $ 7,344 $ 8,321
Schedule Of Credit Quality Indicators	Term Loans by Year of Origination 2024 2023 2022 2021 2020 Prior Revolving Total 1-4 Family residential construction Pass $ - $ - $ - $ - $ - $ - $ 26,210 $ 26,210 Watch - - - - - - - - Substandard - - - - - - 439 439 Total 1-4 Family residential construction - - - - - - 26,649 26,649 Current period gross write-offs - - - - - - - - Other construction, land development and land Pass 2,209 11,975 7,590 4,610 1,753 9,278 22,962 60,377 Watch - - - - - - 665 665 Substandard - - - - - 526 - 526 Total Other construction, land development and land 2,209 11,975 7,590 4,610 1,753 9,804 23,627 61,568 Current period gross write-offs - - - - - - - - Secured by farmland Pass 4,320 10,223 13,841 13,118 25,813 8,693 4,607 80,615 Watch 156 - 1,748 - - 754 - 2,658 Substandard - - - - - 53 - 53 Total Secured by farmland 4,476 10,223 15,589 13,118 25,813 9,500 4,607 83,326 Current period gross write-offs - - - - - - - - Home equity – open end Pass - - - - - 139 46,617 46,756 Watch - - - - - - 249 249 Substandard - - - - - - 391 391 Total Home equity - open end - - - - - 139 47,257 47,396 Current period gross write-offs - - - - - - - - Real estate Pass 15,922 57,159 44,985 13,817 11,710 60,415 1,310 205,318 Watch - - 81 - - - - 81 Substandard - 207 - 530 - 2,063 - 2,800 Total Real estate 15,922 57,366 45,066 14,347 11,710 62,478 1,310 208,199 Current period gross write-offs - - - - - - - - Home Equity – closed end Pass 771 2,551 260 90 974 1,886 - 6,532 Watch - - - - - - - - Substandard - - - - - - - - Total Home Equity - closed end 771 2,551 260 90 974 1,886 - 6,532 Current period gross write-offs - - - - - - - - Multifamily Pass 2,138 - 2,656 1,339 876 1,580 2,353 10,942 Watch - - - - - - - - Substandard - - - - - - - - Total Multifamily 2,138 - 2,656 1,339 876 1,580 2,353 10,942 Current period gross write-offs - - - - - - - - Owner-occupied commercial real estate Pass 4,376 2,220 17,296 16,106 6,805 21,379 2,578 70,760 Watch - - - - - 756 - 756 Substandard - - - - - 8,617 2,444 11,061 Total Owner-occupied commercial real estate 4,376 2,220 17,296 16,106 6,805 30,752 5,022 82,577 Current period gross write-offs - - - - - - - - Other commercial real estate Pass 389 9,368 29,904 11,919 3,792 31,320 1,779 88,471 Watch 8,155 - - - - 1,814 - 9,969 Substandard - - - - - 87 - 87 Total Other commercial real estate 8,544 9,368 29,904 11,919 3,792 33,221 1,779 98,527 Current period gross write-offs - - - - - - - - Term Loans by Year of Origination 2024 2023 2022 2021 2020 Prior Revolving Total Agricultural loans Pass 3,079 2,323 2,000 403 202 - 8,769 16,776 Watch - - 37 - 31 - 150 218 Substandard - - - - - - - - Total Agricultural loans 3,079 2,323 2,037 403 233 - 8,919 16,994 Current period gross write-offs - - - - - - - - Commercial and industrial Pass 6,453 5,659 7,242 4,138 1,049 447 26,449 51,437 Watch - - 106 37 - - 4,961 5,104 Substandard - - 57 611 - - 48 716 Total 1-4 Commercial and industrial 6,453 5,659 7,405 4,786 1,049 447 31,458 57,257 Current period gross write-offs - - 133 47 24 5 - 209 Credit Cards Pass - - - - - - 3,270 3,270 Substandard - - - - - - - - Total Credit cards - - - - - - 3,270 3,270 Current period gross write-offs - - - - - - 27 27 Automobile loans Pass 23,506 41,268 28,202 12,401 3,988 1,167 - 110,532 Watch - - - - - - - - Substandard 34 88 149 110 32 7 - 420 Total Automobile loans 23,540 41,356 28,351 12,511 4,020 1,174 - 110,952 Current period gross write-offs 60 872 582 422 70 55 - 2,061 Other consumer loans Pass 3,017 3,537 3,161 1,231 327 460 356 12,089 Watch - - - - - - - - Substandard - 43 6 12 - 3 - 64 Total Other consumer loans 3,017 3,580 3,167 1,243 327 463 356 12,153 Current period gross write-offs 7 50 57 19 15 4 - 152 Municipal loans Pass - - - 812 1,065 3,182 - 5,059 Watch - - - - - - - - Substandard - - - - - - - - Total Municipal loans - - - 812 1,065 3,182 - 5,059 Current period gross write-offs - - - - - - - - Total loans $ 74,525 $ 146,621 $ 159,321 $ 81,284 $ 58,417 $ 154,626 $ 156,607 $ 831,401 Less: Unamortized net deferred loan fees (684 ) Loans held for investment $ 830,717 Current period gross write-offs $ 67 $ 922 $ 772 $ 488 $ 109 $ 64 $ 27 $ 2,449 Term Loans by Year of Origination 2023 2022 2021 2020 2019 Prior Revolving Total 1-4 Family residential construction Pass $ 162 $ - $ - $ - $ - $ 108 $ 29,214 $ 29,484 Watch - - - - - - 564 564 Substandard - - - - - - 440 440 Total 1-4 Family residential construction 162 - - - - 108 30,218 30,488 Current period gross write-offs - 70 - - - - - 70 Other construction, land development and land Pass 5,123 9,138 4,983 1,831 2,847 5,456 17,770 47,148 Watch - - - - - 67 - 67 Substandard 511 - - - - 23 - 534 Total Other construction, land development and land 5,634 9,138 4,983 1,831 2,847 5,546 17,770 47,749 Current period gross write-offs - - - - - - - - Secured by farmland Pass 7,503 15,834 13,688 27,020 2,509 7,842 5,869 80,265 Watch - - - - 781 - - 781 Substandard - - 333 - - 263 15 611 Total Secured by farmland 7,503 15,834 14,021 27,020 3,290 8,105 5,884 81,657 Current period gross write-offs - - - - - - - - Home equity – open end Pass 370 - - - - 141 44,089 44,600 Watch - - - - - - 883 883 Substandard - - - - - - 266 266 Total Home equity - open end 370 - - - - 141 45,238 45,749 Current period gross write-offs - - - - - - - - Real estate Pass 53,413 47,785 15,211 12,192 6,490 55,665 386 191,142 Watch - 45 - 499 155 4,893 - 5,592 Substandard - 88 539 - 1,212 2,056 - 3,895 Total Real estate 53,413 47,918 15,750 12,691 7,857 62,614 386 200,629 Current period gross write-offs - - - - - 19 - 19 Home Equity – closed end Pass 1,126 382 117 1,044 464 1,690 - 4,823 Watch - - - - - - - - Substandard - - - - 12 - - 12 Total Home Equity - closed end 1,126 382 117 1,044 476 1,690 - 4,835 Current period gross write-offs - - - - - - - - Multifamily Pass - 2,712 1,395 906 - 1,567 1,524 8,104 Watch - - - - - 99 - 99 Substandard - - - - - - - - Total Multifamily - 2,712 1,395 906 - 1,666 1,524 8,203 Current period gross write-offs - - - - - - - - Owner-occupied commercial real estate Pass 2,820 18,049 17,775 7,109 3,586 22,301 7,821 79,461 Watch - - - - 40 2,097 - 2,137 Substandard - - - - 6,283 1,183 3,298 10,764 Total Owner-occupied commercial real estate 2,820 18,049 17,775 7,109 9,909 25,581 11,119 92,362 Current period gross write-offs - - - - - - - - Other commercial real estate Pass 10,193 29,317 12,744 4,990 3,739 32,666 3,206 96,855 Watch - - - - - 9,239 - 9,239 Substandard - - - - - 87 - 87 Total Other commercial real estate 10,193 29,317 12,744 4,990 3,739 41,992 3,206 106,181 Current period gross write-offs - - - - - - - - Term Loans by Year of Origination 2023 2022 2021 2020 2019 Prior Revolving Total Agricultural loans Pass 4,626 2,548 534 340 - 38 6,066 14,152 Watch - - - 31 - - 149 180 Substandard - 48 14 11 - - - 73 Total Agricultural loans 4,626 2,596 548 382 - 38 6,215 14,405 Current period gross write-offs - - - - - - - - Commercial and industrial Pass 7,396 9,373 5,359 1,691 674 272 17,408 42,173 Watch - 44 91 - - - 1,363 1,498 Substandard - - 632 25 - 1 - 658 Total Commercial and industrial 7,396 9,417 6,082 1,716 674 273 18,771 44,329 Current period gross write-offs - 31 - - - 2 - 33 Credit Cards Pass - - - - - - 3,246 3,246 Substandard - - - - - - 6 6 Total Credit cards - - - - - - 3,252 3,252 Current period gross write-offs - - - - - - 69 69 Automobile loans Pass 52,471 38,375 19,193 7,301 2,145 2,367 - 121,852 Watch 179 323 158 106 36 32 - 834 Substandard 98 48 63 6 18 5 - 238 Total Automobile loans 52,748 38,746 19,414 7,413 2,199 2,404 - 122,924 Current period gross write-offs 334 669 560 149 53 39 - 1,804 Other consumer loans Pass 5,169 4,983 2,230 843 194 367 530 14,316 Watch 17 4 7 - 1 2 1 32 Substandard 12 7 2 - 6 1 - 28 Total Other consumer loans 5,198 4,994 2,239 843 201 370 531 14,376 Current period gross write-offs - 77 3 3 6 4 - 93 Municipal loans Pass - 118 923 1,096 1,228 2,260 - 5,625 Watch - - - - - - - - Substandard - - - - - - - - Total Municipal loans - 118 923 1,096 1,228 2,260 - 5,625 Current period gross write-offs - - - - - - - - Total loans $ 151,189 $ 179,221 $ 95,991 $ 67,041 $ 32,420 $ 152,788 $ 144,114 $ 822,764 Less: Unamortized net deferred loan fees (672 ) Loans held for investment $ 822,092 Current period gross write-offs $ 334 $ 847 $ 563 $ 152 $ 59 $ 64 $ 69 $ 2,088

ALLOWANCE FOR CREDIT LOSSES (Ta

ALLOWANCE FOR CREDIT LOSSES (Tables)	9 Months Ended
	Sep. 30, 2024
ALLOWANCE FOR CREDIT LOSSES
Schdule of allowance for loan losses	Allowance for Credit Losses and Carrying Amount of Loans For the Nine Months Ended September 30, 2024 Beginning Balance Charge-offs Recoveries Provision for loan credit losses Ending Balance 1-4 Family residential construction $ 714 $ - $ - $ (91 ) $ 623 Other construction, land development and land 1,287 - 69 302 1,658 Secured by farmland 815 - - 25 840 Home equity – open end 180 - 25 (25 ) 180 Real estate 810 - 4 (66 ) 748 Home Equity – closed end 77 - - 27 104 Multifamily 181 - - 75 256 Owner-occupied commercial real estate 1,221 - - (418 ) 803 Other commercial real estate 166 - - (31 ) 135 Agricultural loans 20 - - 4 24 Commercial and industrial 1,034 209 44 (4 ) 865 Credit Cards 81 27 19 9 82 Automobile loans 1,443 2,061 572 1,443 1,397 Other consumer loans 292 152 73 84 297 Municipal loans - - - 16 16 Total loans $ 8,321 $ 2,449 $ 806 $ 1,350 $ 8,028 Allowance for Credit Losses and Carrying Amount of Loans For the Year Ended December 31, 2023 Beginning Balance Adjustment for adoption of ASU 2016-13 Charge-offs Recoveries Provision for loan credit losses Ending Balance 1-4 Family residential construction $ 324 $ 109 $ 70 $ 1 $ 350 $ 714 Other construction, land development and land 694 602 - - (9 ) 1,287 Secured by farmland 571 311 - - (67 ) 815 Home equity – open end 446 (189 ) - 3 (80 ) 180 Real estate 1,389 (184 ) 19 2 (378 ) 810 Home Equity – closed end 39 96 - - (58 ) 77 Multifamily 71 182 - - (72 ) 181 Owner-occupied commercial real estate 992 280 - - (51 ) 1,221 Other commercial real estate 1,023 (582 ) - - (275 ) 166 Agricultural loans 80 (58 ) - - (2 ) 20 Commercial and industrial 368 338 33 2 359 1,034 Credit Cards 68 26 69 37 19 81 Automobile loans 1,790 (257 ) 1,804 514 1,200 1,443 Other consumer loans 81 103 93 55 146 292 Municipal loans - - - - - - Total loans $ 7,936 $ 777 $ 2,088 $ 614 $ 1,082 $ 8,321
Summarize of activity in the allowance for credit losses	2024 2023 Balance as of January 1 $ 690 $ - Adjustment to allowance for unfunded commitments for adoption of ASU 2016-13 - 747 Recovery of credit losses – unfunded commitments (82 ) - Balance as of September 30 $ 608 $ 747

LEASES (Tables)

LEASES (Tables)	9 Months Ended
	Sep. 30, 2024
LEASES
Summary of Lease	September 30, 2024 Lease Liabilities $ 624 Right-of-use assets $ 593 Weighted average remaining lease term (years) 0.77 years Weighted average discount rate 3.43 % For the Three Months Ended September 30, For the Nine Months Ended September 30, 2024 2023 2024 2023 Operating lease cost $ 35 $ 40 $ 110 $ 123 Total lease cost $ 35 $ 40 $ 110 $ 123 Cash paid for amounts included in the measurement of lease liabilities $ 40 $ 44 $ 129 $ 149
Maturity of lease liability	September 30, 2024 Three months ending December 31, 2024 $ 45 Twelve months ending December 31, 2025 125 Twelve months ending December 31, 2026 70 Twelve months ending December 31, 2027 56 Twelve months ending December 31, 2028 57 Thereafter 406 Total undiscounted cash flows $ 759 Discount (135 ) Lease liabilities $ 624

OTHER REAL ESTATE OWNED (Tables

OTHER REAL ESTATE OWNED (Tables)	9 Months Ended
	Sep. 30, 2024
OTHER REAL ESTATE OWNED
Other real estate owned activity	2024 2023 Balance as of January 1 $ 55 $ - Purchase of foreclosed real estate - - Loans transferred to OREO - - Proceeds from sale of OREO (76 ) - Gain on sales of OREO 21 - Balance as of September 30 $ - $ -

ACCUMULATED OTHER COMPREHENSI_2

ACCUMULATED OTHER COMPREHENSIVE LOSS (Tables)	9 Months Ended
	Sep. 30, 2024
ACCUMULATED OTHER COMPREHENSIVE LOSS
Schedule of Accumulated other comprehensive loss	For the three months ended September 30, 2024 Unrealized Securities Gains (Losses) Adjustments Related to Pension Plan Accumulated Other Comprehensive Loss Balance at June 30, 2024 $ (31,055 ) $ 757 $ (30,298 ) Change in unrealized securities gains, net of tax expense of $2,213 8,325 - 8,325 Balance at September 30, 2024 $ (22,730 ) $ 757 $ (21,973 ) For the three months ended September 30, 2023 Unrealized Securities Gains (Losses) Adjustments Related to Pension Plan Accumulated Other Comprehensive Loss Balance at June 30, 2023 $ (37,664 ) $ 439 $ (37,225 ) Change in unrealized securities (losses), net of tax benefit of $1,442 (5,423 ) - (5,423 ) Balance at September 30, 2023 $ (43,087 ) $ 439 $ (42,648 ) For the nine months ended September 30, 2024 Unrealized Securities Gains (Losses) Adjustments Related to Pension Plan Accumulated Other Comprehensive Loss Balance at December 31, 2023 $ (31,774 ) $ 757 $ (31,017 ) Change in unrealized securities gains, net of tax expense of $2,404 9,044 - 9,044 Balance at September 30, 2024 $ (22,730 ) $ 757 $ (21,973 ) For the nine months ended September 30, 2023 Unrealized Securities Gains (Losses) Adjustments Related to Pension Plan Accumulated Other Comprehensive Loss Balance at December 31, 2022 $ (40,451 ) $ 439 $ (40,012 ) Change in unrealized securities (losses), net of tax benefit of $701 (2,636 ) - (2,636 ) Balance at September 30, 2023 $ (43,087 ) $ 439 $ (42,648 )

FAIR VALUE MEASUREMENTS (Tables

FAIR VALUE MEASUREMENTS (Tables)	9 Months Ended
	Sep. 30, 2024
FAIR VALUE MEASUREMENTS
Fair value on a recurring basis	September 30, 2024 Total Level 1 Level 2 Level 3 Assets: Loans held for sale, F&M Mortgage $ 2,332 $ - $ 2,332 $ - U. S. Treasury securities 28,814 - 28,814 - U.S. Government sponsored enterprises 123,452 - 123,452 - Securities issued by States and political subdivisions of the US 38,815 - 38,815 - Mortgage-backed obligations of federal agencies 156,433 - 156,433 - Corporate debt securities 28,645 - 28,645 - IRLC 32 - 32 - Forward sales commitments 12 - 12 - Assets at Fair Value $ 378,535 $ - $ 378,535 $ - December 31, 2023 Total Level 1 Level 2 Level 3 Assets: Loans held for sale, F&M Mortgage $ 1,119 $ - $ 1,119 $ - U. S. Treasury securities 32,881 - 32,881 - U.S. Government sponsored enterprises 124,703 - 124,703 - Securities issued by States and political subdivisions of the US 38,761 - 38,761 - Mortgage-backed obligations of federal agencies 145,073 - 145,073 - Corporate debt securities 27,256 - 27,256 - IRLC 81 - 81 - Assets at Fair Value $ 369,874 $ - $ 369,874 $ - Liabilities: Forward sales commitments $ 22 $ - $ 22 $ - Liabilities at Fair Value $ 22 $ - $ 22 $ -
Summarizes Measured At Fair Value On A Nonrecurring Basis	September 30, 2024 Fair Value Measurements Using: Collateral dependent loans with an ACL Balance Level 1 Level 2 Level 3 1-4 family residential construction $ 77 $ - $ - $ 77 Owner-occupied commercial real estate 1,208 - - 1,208 Total collateral dependent loans with an ACL $ 1,285 $ - $ - $ 1,285 OREO $ - $ - $ - $ - December 31, 2023 Fair Value Measurements Using: Collateral dependent loans with an ACL Balance Level 1 Level 2 Level 3 1-4 family residential construction $ 77 $ - $ - $ 77 Owner-occupied commercial real estate 2,737 - - 2,737 Commercial and industrial 246 - - 246 Total collateral dependent loans with an ACL $ 3,060 $ - $ - $ 3,060 OREO $ 55 $ - $ - $ 55
Carrying value and estimated fair value for financial instruments	September 30, 2024 Fair Value Valuation Technique Significant Unobservable Inputs 1-4 family residential construction $ 77 Discounted appraised value Discount for marketability (25%) and selling costs (25%) Owner-occupied commercial real estate 1,208 Discounted appraised value Discount for marketability (25%) and selling costs (10%) December 31, 2023 Fair Value Valuation Technique Significant Unobservable Inputs 1-4 family residential construction $ 77 Discounted appraised value Discount for marketability (25%) and selling costs (10%) Owner-occupied commercial real estate 2,737 Discounted appraised value Discount for marketability (25%) and selling costs (8%) Commercial and industrial 246 Discounted appraised value Discount for marketability (65%) and selling costs (6%) OREO 55 Discounted appraised value Discount for marketability (60%) and selling costs (10%) September 30, 2024 Fair Value Measurements using Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Total Fair Value Carrying Value Level 1 Level 2 Level 3 Balance Assets: Cash and cash equivalents $ 60,320 $ 60,320 $ - $ - $ 60,320 Securities 376,159 - 376,159 - 376,159 Loans held for sale 2,332 - 2,332 - 2,332 Loans held for investment, net 830,717 - - 811,324 811,324 Interest receivable 5,066 - 5,066 - 5,066 Bank owned life insurance 23,420 - 23,420 - 23,420 IRLC 32 - 32 - 32 Forward sales commitments 13 - 13 - 13 Liabilities: Deposits $ 1,218,288 $ - $ 1,218,135 $ - $ 1,218,135 Short-term debt 15,000 - - 15,000 15,000 Long-term debt 6,965 - - 6,888 6,888 Interest payable 2,258 - 2,258 - 2,258 December 31, 2023 Fair Value Measurements using Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Total Fair Value Carrying Value Level 1 Level 2 Level 3 Balance Assets: Cash and cash equivalents $ 23,717 $ 23,717 $ - $ - $ 23,717 Securities 368,674 - 368,674 - 368,674 Loans held for sale 1,119 - 1,119 - 1,119 Loans held for investment, net 822,092 - - 793,440 793,440 Interest receivable 5,034 - 5,034 - 5,034 Bank owned life insurance 22,878 - 22,878 - 22,878 IRLC 81 - 81 - 81 Liabilities: Deposits $ 1,133,236 $ - $ 1,131,747 $ - $ 1,131,747 Short-term debt 60,000 - - 60,000 60,000 Long-term debt 6,932 - - 6,761 6,761 Interest payable 1,592 - 1,592 - 1,592 Forward sales commitments 22 - 22 - 22

EMPLOYEE BENEFITS (Tables)

EMPLOYEE BENEFITS (Tables)	9 Months Ended
	Sep. 30, 2024
EMPLOYEE BENEFITS
Schedule Of Employee Benefit Plan	Three Months Ended Nine Months Ended September 30, 2024 September 30, 2023 September 30, 2024 September 30, 2023 Service cost $ - $ - $ - $ - Interest cost 79 92 237 276 Expected return on plan assets (98 ) (130 ) (294 ) (390 ) Recognized net actuarial gain (5 ) - (15 ) - Net periodic pension cost $ (24 ) $ (38 ) $ (72 ) $ (114 )

REVENUE RECOGNITION (Tables)

REVENUE RECOGNITION (Tables)	9 Months Ended
	Sep. 30, 2024
REVENUE RECOGNITION
Summary Of Noninterest Income, Segregated By Revenue Streams	Three Months Ended September 30, Nine Months Ended September 30, 2024 2023 2024 2023 Noninterest income Service charges on deposit accounts $ 317 $ 256 $ 881 $ 755 Investment services and insurance income 481 376 1,692 1,243 Title insurance income 423 421 1,153 1,015 Card services and interchange income 773 769 2,300 2,257 Other 71 192 211 389 Within scope of ASC 606 2,065 2,014 6,237 5,659 Not within scope of ASC 606 683 493 1,847 1,955 Total noninterest income $ 2,748 $ 2,507 $ 8,084 $ 7,614

SUMMARY OF SIGNIFICANT ACCOUN_3

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) $ in Millions	Sep. 30, 2024 USD ($)
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Accrued interest receivable on available for sale debt securities	$ 1.4
Accrued interest receivable related to loans	$ 3.7

SECURITIES (Details)

SECURITIES (Details) - USD ($) $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2024	Dec. 31, 2023
Amortized Cost	$ 404,933	$ 408,894
Gross Unrealized gains	234	343
Gross Unrealized losses	29,008	40,563
Fair value	376,159	368,674
U S Treasuries [Member]
Amortized Cost	30,068	35,048
Gross Unrealized gains	0	0
Gross Unrealized losses	1,254	2,167
Fair value	28,814	32,881
U. S. Government Sponsored Enterprises [Member]
Amortized Cost	128,494	133,487
Gross Unrealized gains	0	0
Gross Unrealized losses	5,042	8,784
Fair value	123,452	124,703
Securities issued by States and political subdivisions in the U.S. [Member]
Amortized Cost	40,718	41,341
Gross Unrealized gains	86	145
Gross Unrealized losses	1,989	2,725
Fair value	38,815	38,761
Mortgage-backed obligations of federal agencies [Member]
Amortized Cost	175,103	168,468
Gross Unrealized gains	148	173
Gross Unrealized losses	18,818	23,568
Fair value	156,433	145,073
Corporate debt security [Member]
Amortized Cost	30,550	30,550
Gross Unrealized gains	0	25
Gross Unrealized losses	1,905	3,319
Fair value	$ 28,645	$ 27,256

SECURITIES (Details 1)

SECURITIES (Details 1) - Securities Available for Sale [Member] $ in Thousands	Sep. 30, 2024 USD ($)
Due in one year or less, amortized cost	$ 99,010
Due in one year or less, fair value	98,108
Due after one year through five years, amortized cost	93,575
Due after one year through five years, fair value	87,606
Due after five years through ten years, amortized cost	66,571
Due after five years through ten years, fair value	61,566
Due after ten years, amortized cost	145,777
Due after ten years, fair value	128,879
Total, amortized cost	404,933
Total fair value	$ 376,159

SECURITIES (Details 2)

SECURITIES (Details 2) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Fair value less than 12 months	$ 11,950	$ 2,338
Unrealized losses less than 12 months	45	282
Fair value more than 12 months	346,397	355,099
Unrealized losses more than 12 months	28,963	40,281
Fair value total	358,347	357,437
Unrealized losses total	29,008	40,563
U S Treasuries [Member]
Fair value less than 12 months	119	125
Unrealized losses less than 12 months	5	0
Fair value more than 12 months	28,695	32,756
Unrealized losses more than 12 months	1,249	2,167
Fair value total	28,814	32,881
Unrealized losses total	1,254	2,167
U. S. Government Sponsored Enterprises [Member]
Fair value less than 12 months	0	0
Unrealized losses less than 12 months	0	0
Fair value more than 12 months	123,452	124,703
Unrealized losses more than 12 months	5,042	8,784
Fair value total	123,452	124,703
Unrealized losses total	5,042	8,784
Securities issued by States and political subdivisions in the U.S. [Member]
Fair value less than 12 months	1,336	484
Unrealized losses less than 12 months	17	11
Fair value more than 12 months	31,852	32,597
Unrealized losses more than 12 months	1,972	2,714
Fair value total	33,188	33,081
Unrealized losses total	1,989	2,725
Mortgage-backed obligations of federal agencies [Member]
Fair value less than 12 months	10,018	0
Unrealized losses less than 12 months	0	0
Fair value more than 12 months	134,230	140,041
Unrealized losses more than 12 months	18,818	23,568
Fair value total	144,248	140,041
Unrealized losses total	18,818	23,568
Corporate debt security [Member]
Fair value less than 12 months	477	1,729
Unrealized losses less than 12 months	23	271
Fair value more than 12 months	28,168	25,002
Unrealized losses more than 12 months	1,882	3,048
Fair value total	28,645	26,731
Unrealized losses total	$ 1,905	$ 3,319

SECURITIES (Details Narrative)

SECURITIES (Details Narrative) $ in Thousands	Sep. 30, 2024 USD ($)
SECURITIES
Market value of pledged securities to FRBR	$ 9,000
Market value of pledged securities to FRDW	204,900
Carrying basis low income housing historic equity partnerships	4,500
Carrying Basis of Stock in FHLB	1,600
Carrying basis of various other investments	831
Additional commitment to low-income housing limited partnerships	139
Carrying Basis of stock in the Federal Reserve Bank	$ 1,100

LOANS AND CREDIT QUALITY (Detai

LOANS AND CREDIT QUALITY (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Gross loans	$ 831,401	$ 822,764
Unamortized net deferred loan fees	(684)	672
Less allowance for credit losses	8,028	8,321
Loans outstanding	822,689	813,771
Multi-Family [Member]
Loans outstanding	10,942	8,203
1-4 Family residential construction [Member]
Loans outstanding	26,649	30,488
Owner-occupied commercial real estate [Member]
Loans outstanding	82,577	92,362
Real Estate [Member]
Loans outstanding	208,199	200,629
Credit Cards [Member]
Loans outstanding	3,270	3,252
Other commercial real estate [Member]
Loans outstanding	98,527	106,181
Commercial and industrial [Member]
Loans outstanding	57,257	44,329
Automobile loans [Member]
Loans outstanding	110,952	122,924
Farmland [Member]
Loans outstanding	83,326	81,657
Home Equity - Open End [Member]
Loans outstanding	47,396	45,749
Home Equity - Closed End [Member]
Loans outstanding	6,532	4,835
Agricultural loans [Member]
Loans outstanding	16,994	14,405
Other consumer loans [Member]
Loans outstanding	12,153	14,376
Municipal loans [Member]
Loans outstanding	5,059	5,625
OtherConstruction/Land Developments [Member]
Loans outstanding	$ 61,568	$ 47,749

LOANS AND CREDIT QUALITY (Det_2

LOANS AND CREDIT QUALITY (Details 1) - USD ($)	Sep. 30, 2024	Dec. 31, 2023
Less: Deferred loan fees, net of costs, 30-59 days past due	$ 0	$ 0
Gross loans, net of costs, current	816,598,000	807,953,000
Gross loans, net of costs, 30-59 days past due	4,438,000	5,743,000
Less: Deferred loan fees, net of costs, 60-89 days past due	0	0
Gross loans, net of costs, 60-89 days past due	3,103,000	1,927,000
Less: Deferred loan fees, net of costs, greater than 90 days	0	0
Gross loans, net of costs, greater than 90 days	1,000	31,000
Less: Deferred loan fees, net of costs, non accruel loans	0	0
Gross loans, net of costs, non accruel loans	6,577,000	6,438,000
Less: Deferred loan fees, net of costs, current	(684,000)	(672,000)
Less: Deferred loan fees, net of costs, total loan receivable	(684,000)	(672,000)
Gross loans, net of costs, total loan receivable	830,717,000	822,092,000
Total [Member]
30-59 Days Past due	4,438,000	5,743,000
60-89 Days Past due	3,103,000	1,927,000
Greater than 90 Days	1,000	31,000
Non-Accrual Loans	6,577,000	6,438,000
Current	817,282,000	808,625,000
Total Loan Receivable	831,401,000	822,764,000
Multi-Family [Member]
Non-Accrual Loans	0	0
Current	10,942,000	8,203,000
Total Loan Receivable	10,942,000	8,203,000
30-59 Days Past Due	0	0
60-89 Days Past Due	0	0
Greater than 90 Days	0	0
Construction/Land Development Other [Member]
Non-Accrual Loans	15,000	528,000
Current	61,393,000	47,221,000
Total Loan Receivable	61,568,000	47,749,000
30-59 Days Past Due	160,000	0
60-89 Days Past Due	0	0
Greater than 90 Days	0	0
Real Estate [Member]
Non-Accrual Loans	917,000	701,000
Current	205,325,000	197,378,000
Total Loan Receivable	208,199,000	200,629,000
30-59 Days Past Due	1,122,000	2,125,000
60-89 Days Past Due	835,000	425,000
Greater than 90 Days	0	0
Credit Cards [Member]
Non-Accrual Loans	0	0
Current	3,210,000	3,204,000
Total Loan Receivable	3,270,000	3,252,000
30-59 Days Past Due	28,000	35,000
60-89 Days Past Due	32,000	7,000
Greater than 90 Days	0	6,000
Other commercial real estate [Member]
Non-Accrual Loans	0	0
Current	97,743,000	105,202,000
Total Loan Receivable	98,527,000	106,181,000
30-59 Days Past Due	0	92,000
60-89 Days Past Due	784,000	887,000
Greater than 90 Days	0	0
Commercial and industrial [Member]
Non-Accrual Loans	710,000	622,000
Current	55,876,000	43,568,000
Total Loan Receivable	57,257,000	44,329,000
30-59 Days Past Due	627,000	75,000
60-89 Days Past Due	44,000	39,000
Greater than 90 Days	0	25,000
Automobile loans [Member]
Non-Accrual Loans	438,000	237,000
Current	108,713,000	121,069,000
Total Loan Receivable	110,952,000	122,924,000
30-59 Days Past Due	1,610,000	1,137,000
60-89 Days Past Due	191,000	481,000
Greater than 90 Days	0	0
1-4 Family residential construction [Member]
Non-Accrual Loans	439,000	440,000
Current	25,913,000	30,048,000
Total Loan Receivable	26,649,000	30,488,000
30-59 Days Past Due	297,000	0
60-89 Days Past Due	0	0
Greater than 90 Days	0	0
Owner-occupied [Member]
Non-Accrual Loans	3,449,000	3,000,000
Current	77,923,000	87,880,000
Total Loan Receivable	82,577,000	92,362,000
30-59 Days Past Due	0	1,482,000
60-89 Days Past Due	1,205,000	0
Greater than 90 Days	0	0
Farmland [Member]
Non-Accrual Loans	53,000	596,000
Current	83,176,000	81,061,000
Total Loan Receivable	83,326,000	81,657,000
30-59 Days Past Due	97,000	0
60-89 Days Past Due	0	0
Greater than 90 Days	0	0
Agricultural loans [Member]
Non-Accrual Loans	0	73,000
Current	16,823,000	14,322,000
Total Loan Receivable	16,994,000	14,405,000
30-59 Days Past Due	171,000	10,000
60-89 Days Past Due	0	0
Greater than 90 Days	0	0
Other consumer loans [Member]
Non-Accrual Loans	63,000	24,000
Current	12,002,000	14,187,000
Total Loan Receivable	12,153,000	14,376,000
30-59 Days Past Due	75,000	151,000
60-89 Days Past Due	12,000	14,000
Greater than 90 Days	1,000	0
Municipal loans [Member]
Non-Accrual Loans	0	0
Current	5,059,000	5,625,000
Total Loan Receivable	5,059,000	5,625,000
30-59 Days Past Due	0	0
60-89 Days Past Due	0	0
Greater than 90 Days	0	0
Home Equity - Close End [Member]
Non-Accrual Loans	0	0
Current	6,497,000	4,794,000
Total Loan Receivable	6,532,000	4,835,000
30-59 Days Past Due	35,000	41,000
60-89 Days Past Due	0	0
Greater than 90 Days	0	0
Home Equity Open End [Member]
Non-Accrual Loans	493,000	217,000
Current	46,687,000	44,863,000
Total Loan Receivable	47,396,000	45,749,000
30-59 Days Past Due	216,000	595,000
60-89 Days Past Due	0	74,000
Greater than 90 Days	$ 0	$ 0

LOANS AND CREDIT QUALITY (Det_3

LOANS AND CREDIT QUALITY (Details 2) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Other construction, land development and land [Member]
Nonaccrual loans with No Allowance	$ 15	$ 528
Nonaccrual Loans with an Allowance	0	0
Non-Accrual Loans	15	528
Total [Member]
Nonaccrual loans with No Allowance	4,835	2,401
Nonaccrual Loans with an Allowance	1,742	4,037
Non-Accrual Loans	6,577	6,438
Other Commercial Real Estate [Member]
Nonaccrual loans with No Allowance	2,146	0
Nonaccrual Loans with an Allowance	1,303	3,000
Non-Accrual Loans	3,449	3,000
Real Estate [Member]
Nonaccrual loans with No Allowance	917	701
Nonaccrual Loans with an Allowance	0	0
Non-Accrual Loans	917	701
Automobile loans [Member]
Nonaccrual loans with No Allowance	438	237
Nonaccrual Loans with an Allowance	0	0
Non-Accrual Loans	438	237
1-4 Family residential construction [Member]
Nonaccrual loans with No Allowance	0	0
Nonaccrual Loans with an Allowance	439	440
Non-Accrual Loans	439	440
Farmland [Member]
Nonaccrual loans with No Allowance	53	596
Nonaccrual Loans with an Allowance	0	0
Non-Accrual Loans	53	596
Agricultural loans [Member]
Nonaccrual loans with No Allowance	0	73
Nonaccrual Loans with an Allowance	0	0
Non-Accrual Loans	0	73
Home Equity Open End [Member]
Nonaccrual loans with No Allowance	493	217
Nonaccrual Loans with an Allowance	0	0
Non-Accrual Loans	493	217
Other consumer loans [Member]
Nonaccrual loans with No Allowance	63	24
Nonaccrual Loans with an Allowance	0	0
Non-Accrual Loans	63	24
Commercial & Industrial [Member]
Nonaccrual loans with No Allowance	710	25
Nonaccrual Loans with an Allowance	0	597
Non-Accrual Loans	$ 710	$ 622

LOANS AND CREDIT QUALITY (Det_4

LOANS AND CREDIT QUALITY (Details 3) - USD ($) $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2024	Dec. 31, 2023
Total [Member]
Weighted Average TermExtension (Months)	6 years 1 month 6 days	7 years 10 months 24 days
Loan percentage	0.05%	0.05%
Term Extension	$ 69	$ 113
Automobile loans [Member]
Weighted Average TermExtension (Months)	4 years 1 month 6 days	4 years 6 months
Loan percentage	0.05%	0.06%
Term Extension	$ 53	$ 68
Commercial Real Estate [Member]
Weighted Average TermExtension (Months)	13 years	13 years
Loan percentage	0.02%	0.05%
Term Extension	$ 16	$ 45

LOANS AND CREDIT QUALITY (Det_5

LOANS AND CREDIT QUALITY (Details 4) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Business/Other Assets	$ 24,936	$ 26,403
1-4 Family residential construction [Member]
Real state	439	440
Business/Other Assets	0	0
Other construction, land development and land [Member]
Real state		511
Business/Other Assets		0
Total [Member]
Real state	3,888	4,547
Business/Other Assets	605	597
Owner-occupied commercial real estateCommercial Real Estate [Member]
Real state	3,449	3,000
Business/Other Assets	0	0
Farmland [Member]
Real state		596
Business/Other Assets		0
Commercial & Industrial [Member]
Real state	0	0
Business/Other Assets	$ 605	$ 597

LOANS AND CREDIT QUALITY (Det_6

LOANS AND CREDIT QUALITY (Details 5) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Less: Unamortized net deferred loan fees, Loan Balances	$ (684)	$ (672)
Less: Unamortized net deferred loan fees, Allowance for Credit Losses - Loans	0	0
Net loans held for investment loans balance individually	4,493	5,144
Net loans held for investment loans balance collectively	826,908	817,620
Net loans held for investment loans balance	830,717	822,092
Net loans held for investment allowance for Credit Losses - Loans individually	457	977
Net loans held for investment allowance for Credit Losses - Loans Collectively	7,571	7,344
Net loans held for investment allowance for Credit Losses - Loans	8,028	8,321
Less: Unamortized net deferred loan fees, Loans Individually Evaluated	0	0
Less: Unamortized net deferred loan fees, Loans Collectively Evaluated	0	0
Less: Unamortized net deferred loan fees, Allowance for Credit Losses - Loans Individually Evaluated	0	0
Less: Unamortized net deferred loan fees, Allowance for Credit Losses - Loans Collectively Evaluated	0	0
Owner-occupied commercial real estateCommercial Real Estate [Member] | Allowance for Credit Losses - Loans [Member]
Allowance for Credit Losses - Loans	803	1,221
Loan Individually Evaluated For Impairment	95	263
Collectively Evaluated for Impairment	708	958
Other Commercial Real Estate [Member] | Allowance for Credit Losses - Loans [Member]
Allowance for Credit Losses - Loans	135	166
Loan Individually Evaluated For Impairment	0	0
Collectively Evaluated for Impairment	135	166
Multi-Family [Member] | Allowance for Credit Losses - Loans [Member]
Allowance for Credit Losses - Loans	256	181
Loan Individually Evaluated For Impairment	0	0
Collectively Evaluated for Impairment	256	181
Other construction, land development and land [Member] | Allowance for Credit Losses - Loans [Member]
Allowance for Credit Losses - Loans	1,658	1,287
Loan Individually Evaluated For Impairment	0	0
Collectively Evaluated for Impairment	1,658	1,287
Farmland [Member] | Allowance for Credit Losses - Loans [Member]
Allowance for Credit Losses - Loans	840	815
Loan Individually Evaluated For Impairment	0	0
Collectively Evaluated for Impairment	840	815
Home Equity Open End [Member] | Allowance for Credit Losses - Loans [Member]
Allowance for Credit Losses - Loans	180	180
Loan Individually Evaluated For Impairment	0	0
Collectively Evaluated for Impairment	180	180
Home Equity - Close End [Member] | Allowance for Credit Losses - Loans [Member]
Allowance for Credit Losses - Loans	104	77
Loan Individually Evaluated For Impairment	0	0
Collectively Evaluated for Impairment	104	77
Agricultural loans [Member] | Allowance for Credit Losses - Loans [Member]
Allowance for Credit Losses - Loans	24	20
Loan Individually Evaluated For Impairment	0	0
Collectively Evaluated for Impairment	24	20
Automobile loans [Member] | Allowance for Credit Losses - Loans [Member]
Allowance for Credit Losses - Loans	1,397	1,443
Loan Individually Evaluated For Impairment	0	0
Collectively Evaluated for Impairment	1,397	1,443
Other consumer loans [Member] | Allowance for Credit Losses - Loans [Member]
Allowance for Credit Losses - Loans	297	292
Loan Individually Evaluated For Impairment	0	0
Collectively Evaluated for Impairment	297	292
Municipal loans [Member] | Allowance for Credit Losses - Loans [Member]
Allowance for Credit Losses - Loans	16	0
Loan Individually Evaluated For Impairment	0	0
Collectively Evaluated for Impairment	16	0
Gross Loans [Member] | Allowance for Credit Losses - Loans [Member]
Allowance for Credit Losses - Loans	8,028	8,321
Loan Individually Evaluated For Impairment	457	977
Collectively Evaluated for Impairment	7,571	7,344
1-4 Family residential construction [Member] | Allowance for Credit Losses - Loans [Member]
Allowance for Credit Losses - Loans	623	714
Loan Individually Evaluated For Impairment	362	363
Collectively Evaluated for Impairment	261	351
Real Estate [Member] | Allowance for Credit Losses - Loans [Member]
Allowance for Credit Losses - Loans	748	810
Loan Individually Evaluated For Impairment	0	0
Collectively Evaluated for Impairment	748	810
Commercial and industrial [Member] | Allowance for Credit Losses - Loans [Member]
Allowance for Credit Losses - Loans	865	1,034
Loan Individually Evaluated For Impairment	0	351
Collectively Evaluated for Impairment	865	683
Credit Cards [Member] | Allowance for Credit Losses - Loans [Member]
Allowance for Credit Losses - Loans	82	81
Loan Individually Evaluated For Impairment	0	0
Collectively Evaluated for Impairment	82	81
Loans Balances [Member] | Owner-occupied commercial real estateCommercial Real Estate [Member]
Loan Balances	82,577	92,362
Loan Individually Evaluated For Impairment	3,449	3,000
Collectively Evaluated for Impairment	79,128	89,362
Loans Balances [Member] | Other Commercial Real Estate [Member]
Loan Balances	98,527	106,181
Loan Individually Evaluated For Impairment	0	0
Collectively Evaluated for Impairment	98,527	106,181
Loans Balances [Member] | Multi-Family [Member]
Loan Balances	10,942	8,203
Loan Individually Evaluated For Impairment	0	0
Collectively Evaluated for Impairment	10,942	8,203
Loans Balances [Member] | Other construction, land development and land [Member]
Loan Balances	61,568	47,749
Loan Individually Evaluated For Impairment	0	511
Collectively Evaluated for Impairment	61,568	47,238
Loans Balances [Member] | Farmland [Member]
Loan Balances	83,326	81,657
Loan Individually Evaluated For Impairment	0	596
Collectively Evaluated for Impairment	83,326	81,061
Loans Balances [Member] | Home Equity Open End [Member]
Loan Balances	0	45,749
Loan Individually Evaluated For Impairment	47,396	0
Collectively Evaluated for Impairment	47,396	45,749
Loans Balances [Member] | Home Equity - Close End [Member]
Loan Balances	6,532	4,835
Loan Individually Evaluated For Impairment	0	0
Collectively Evaluated for Impairment	6,532	4,835
Loans Balances [Member] | Agricultural loans [Member]
Loan Balances	16,994	14,405
Loan Individually Evaluated For Impairment	0	0
Collectively Evaluated for Impairment	16,994	14,405
Loans Balances [Member] | Automobile loans [Member]
Loan Balances	110,952	122,924
Loan Individually Evaluated For Impairment	0	0
Collectively Evaluated for Impairment	110,952	122,924
Loans Balances [Member] | Other consumer loans [Member]
Loan Balances	12,153	14,376
Loan Individually Evaluated For Impairment	0	0
Collectively Evaluated for Impairment	12,153	14,376
Loans Balances [Member] | Municipal loans [Member]
Loan Balances	5,059	5,625
Loan Individually Evaluated For Impairment	0	0
Collectively Evaluated for Impairment	5,059	5,625
Loans Balances [Member] | Gross Loans [Member]
Loan Balances	831,401	822,764
Loan Individually Evaluated For Impairment	4,493	5,144
Collectively Evaluated for Impairment	826,908	817,620
Loans Balances [Member] | 1-4 Family residential construction [Member]
Loan Balances	26,210	30,488
Loan Individually Evaluated For Impairment	439	440
Collectively Evaluated for Impairment	26,649	30,048
Loans Balances [Member] | Real Estate [Member]
Loan Balances	208,199	200,629
Loan Individually Evaluated For Impairment	0	0
Collectively Evaluated for Impairment	208,199	200,629
Loans Balances [Member] | Commercial and industrial [Member]
Loan Balances	57,257	44,329
Loan Individually Evaluated For Impairment	605	597
Collectively Evaluated for Impairment	56,652	43,732
Loans Balances [Member] | Credit Cards [Member]
Loan Balances	3,270	3,252
Loan Individually Evaluated For Impairment	0	0
Collectively Evaluated for Impairment	$ 3,270	$ 3,252

LOANS AND CREDIT QUALITY (Det_7

LOANS AND CREDIT QUALITY (Details 6) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Less: Unamortized net deferred loan fees	$ (684)	$ (672)
Loans held for investment	830,717	822,092
Total [Member]
2024	74,525
2023	146,621	151,189
2022	159,321	179,221
2021	81,284	95,991
2020	58,417	67,041
2019		32,420
Prior	154,626	152,788
Revolving	156,607	144,114
Total	831,401	822,764
Current Period Gross Write Offs Member [Member] | Total [Member]
2024	67
2023	922	334
2022	772	847
2021	488	563
2020	109	152
2019		59
Prior	64	64
Revolving	27	69
Total	2,449	2,088
Current Period Gross Write Offs Member [Member] | 1-4 Family residential construction [Member]
2024	0
2023	0	0
2022	0	70
2021	0	0
2020	0	0
2019		0
Prior	0	0
Revolving	0	0
Total	0	70
Multi-Family [Member]
2024	2,138
2023	0	0
2022	2,656	2,712
2021	1,339	1,395
2020	876	906
2019		0
Prior	1,580	1,666
Revolving	2,353	1,524
Total	10,942	8,203
Multi-Family [Member] | Watch [Member]
2024	0
2023	0	0
2022	0	0
2021	0	0
2020	0	0
2019		0
Prior	0	99
Revolving	0	0
Total	0	99
Multi-Family [Member] | Pass [Member]
2024	2,138
2023	0	0
2022	2,656	2,712
2021	1,339	1,395
2020	876	906
2019		0
Prior	1,580	1,567
Revolving	2,353	1,524
Total	10,942	8,104
Multi-Family [Member] | Substandard [Member]
2024	0
2023	0	0
2022	0	0
2021	0	0
2020	0	0
2019		0
Prior	0	0
Revolving	0	0
Total	0	0
Real Estate [Member]
2024	15,922
2023	57,366	53,413
2022	45,066	47,918
2021	14,347	15,750
2020	11,710	12,691
2019		7,857
Prior	62,478	62,614
Revolving	1,310	386
Total	208,199	200,629
Real Estate [Member] | Watch [Member]
2024	0
2023	0	0
2022	81	45
2021	0	0
2020	0	499
2019		155
Prior	0	4,893
Revolving	0	0
Total	81	5,592
Real Estate [Member] | Pass [Member]
2024	15,922
2023	57,159	53,413
2022	44,985	47,785
2021	13,817	15,211
2020	11,710	12,192
2019		6,490
Prior	60,415	55,665
Revolving	1,310	386
Total	205,318	191,142
Real Estate [Member] | Current Period Gross Write Offs Member [Member]
2024	0
2023	0	0
2022	0	0
2021	0	0
2020	0	0
2019		0
Prior	0	19
Revolving	0	0
Total	0	19
Real Estate [Member] | Substandard [Member]
2024	0
2023	207	0
2022	0	88
2021	530	539
2020	0	0
2019		1,212
Prior	2,063	2,056
Revolving	0	0
Total	2,800	3,895
Credit Cards [Member]
2024	0
2023	0	0
2022	0	0
2021	0	0
2020	0	0
2019		0
Prior	0	0
Revolving	3,270	3,252
Total	3,270	3,252
Credit Cards [Member] | Pass [Member]
2024	0
2023	0	0
2022	0	0
2021	0	0
2020	0	0
2019		0
Prior	0	0
Revolving	3,270	3,246
Total	3,270	3,246
Credit Cards [Member] | Current Period Gross Write Offs Member [Member]
2024	0
2023	0	0
2022	0	0
2021	0	0
2020	0	0
2019		0
Prior	0	0
Revolving	27	69
Total	27	69
Credit Cards [Member] | Substandard [Member]
2024	0
2023	0	0
2022	0	0
2021	0	0
2020	0	0
2019		0
Prior	0	0
Revolving	0	6
Total	0	6
Other commercial real estate [Member]
2024	8,544
2023	9,368	10,193
2022	29,904	29,317
2021	11,919	12,744
2020	3,792	4,990
2019		3,739
Prior	33,221	41,992
Revolving	1,779	3,206
Total	98,527	106,181
Other commercial real estate [Member] | Watch [Member]
2024	8,155
2023	0	0
2022	0	0
2021	0	0
2020	0	0
2019		0
Prior	1,814	9,239
Revolving	0	0
Total	9,969	9,239
Other commercial real estate [Member] | Pass [Member]
2024	389
2023	9,368	10,193
2022	29,904	29,317
2021	11,919	12,744
2020	3,792	4,990
2019		3,739
Prior	31,320	32,666
Revolving	1,779	3,206
Total	88,471	96,855
Other commercial real estate [Member] | Substandard [Member]
2024	0
2023	0	0
2022	0	0
2021	0	0
2020	0	0
2019		0
Prior	87	87
Revolving	0	0
Total	87	87
Commercial and industrial [Member]
2024	6,453
2023	5,659	7,396
2022	7,405	9,417
2021	4,786	6,082
2020	1,049	1,716
2019		674
Prior	447	273
Revolving	31,458	18,771
Total	57,257	44,329
Commercial and industrial [Member] | Watch [Member]
2024	0
2023	0	0
2022	106	44
2021	37	91
2020	0	0
2019		0
Prior	0	0
Revolving	4,961	1,363
Total	5,104	1,498
Commercial and industrial [Member] | Pass [Member]
2024	6,453
2023	5,659	7,396
2022	7,242	9,373
2021	4,138	5,359
2020	1,049	1,691
2019		674
Prior	447	272
Revolving	26,449	17,408
Total	51,437	42,173
Commercial and industrial [Member] | Current Period Gross Write Offs Member [Member]
2024	0
2023	0	0
2022	133	31
2021	47	0
2020	24	0
2019		0
Prior	5	2
Revolving	0	0
Total	209	33
Commercial and industrial [Member] | Substandard [Member]
2024	0
2023	0	0
2022	57	0
2021	611	632
2020	0	25
2019		0
Prior	0	1
Revolving	48	0
Total	716	658
Automobile loans [Member]
2024	23,540
2023	41,356	52,748
2022	28,351	38,746
2021	12,511	19,414
2020	4,020	7,413
2019		2,199
Prior	1,174	2,404
Revolving	0	0
Total	110,952	122,924
1-4 Family residential construction [Member]
2024	0
2023	0	162
2022	0	0
2021	0	0
2020	0	0
2019		0
Prior	0	108
Revolving	26,649	30,218
Total	26,649	30,488
1-4 Family residential construction [Member] | Watch [Member]
2024	0
2023	0	0
2022	0	0
2021	0	0
2020	0	0
2019		0
Prior	0	0
Revolving	0	564
Total	0	564
1-4 Family residential construction [Member] | Pass [Member]
2024	0
2023	0	162
2022	0	0
2021	0	0
2020	0	0
2019		0
Prior	0	108
Revolving	26,210	29,214
Total	26,210	29,484
1-4 Family residential construction [Member] | Substandard [Member]
2024	0
2023	0	0
2022	0	0
2021	0	0
2020	0	0
2019		0
Prior	0	0
Revolving	439	440
Total	439	440
Owner-occupied [Member]
2024	4,376
2023	2,220	2,820
2022	17,296	18,049
2021	16,106	17,775
2020	6,805	7,109
2019		9,909
Prior	30,752	25,581
Revolving	5,022	11,119
Total	82,577	92,362
Owner-occupied [Member] | Watch [Member]
2024	0
2023	0	0
2022	0	0
2021	0	0
2020	0	0
2019		40
Prior	756	2,097
Revolving	0	0
Total	756	2,137
Owner-occupied [Member] | Pass [Member]
2024	4,376
2023	2,220	2,820
2022	17,296	18,049
2021	16,106	17,775
2020	6,805	7,109
2019		3,586
Prior	21,379	22,301
Revolving	2,578	7,821
Total	70,760	79,461
Owner-occupied [Member] | Substandard [Member]
2024	0
2023	0	0
2022	0	0
2021	0	0
2020	0	0
2019		6,283
Prior	8,617	1,183
Revolving	2,444	3,298
Total	11,061	10,764
Construction/Land [Member] | Watch [Member]
2024	0
2023	0	0
2022	0	0
2021	0	0
2020	0	0
2019		0
Prior	0	67
Revolving	665	0
Total	66	67
Construction/Land [Member] | Pass [Member]
2024	2,209
2023	11,975	5,123
2022	7,590	9,138
2021	4,610	4,983
2020	1,753	1,831
2019		2,847
Prior	9,278	5,456
Revolving	22,962	17,770
Total	60,377	47,148
Construction/Land [Member] | Substandard [Member]
2024	0
2023	0	511
2022	0	0
2021	0	0
2020	0	0
2019		0
Prior	526	23
Revolving	0	0
Total	526	534
Automobile loans [Member] | Watch [Member]
2024	0
2023	0	179
2022	0	323
2021	0	158
2020	0	106
2019		36
Prior	0	32
Revolving	0	0
Total	0	834
Automobile loans [Member] | Pass [Member]
2024	23,506
2023	41,268	52,471
2022	28,202	38,375
2021	12,401	19,193
2020	3,988	7,301
2019		2,145
Prior	1,167	2,367
Revolving	0	0
Total	110,532	121,852
Automobile loans [Member] | Current Period Gross Write Offs Member [Member]
2024	60
2023	872	334
2022	582	669
2021	422	560
2020	70	149
2019		53
Prior	55	39
Revolving	0	0
Total	2,061	1,804
Automobile loans [Member] | Substandard [Member]
2024	34
2023	88	98
2022	149	48
2021	110	63
2020	32	6
2019		18
Prior	7	5
Revolving	0	0
Total	420	238
Farmland [Member]
2024	4,476
2023	10,223	7,503
2022	15,589	15,834
2021	13,118	14,021
2020	25,813	27,020
2019		3,290
Prior	9,500	8,105
Revolving	4,607	5,884
Total	83,326	81,657
Farmland [Member] | Watch [Member]
2024	156
2023	0	0
2022	1,748	0
2021	0	0
2020	0	0
2019		781
Prior	754	0
Revolving	0	0
Total	2,658	781
Farmland [Member] | Pass [Member]
2024	4,320
2023	10,223	7,503
2022	13,841	15,834
2021	13,118	13,688
2020	25,813	27,020
2019		2,509
Prior	8,693	7,842
Revolving	4,607	5,869
Total	80,615	80,265
Farmland [Member] | Substandard [Member]
2024	0
2023	0	0
2022	0	0
2021	0	333
2020	0	0
2019		0
Prior	53	263
Revolving	0	15
Total	53	611
Agricultural loans [Member]
2024	3,079
2023	2,323	4,626
2022	2,037	2,596
2021	403	548
2020	233	382
2019		0
Prior	0	38
Revolving	8,919	6,215
Total	16,994	14,405
Agricultural loans [Member] | Watch [Member]
2024	0
2023	0	0
2022	37	0
2021	0	0
2020	31	31
2019		0
Prior	0	0
Revolving	150	149
Total	218	180
Agricultural loans [Member] | Pass [Member]
2024	3,079
2023	2,323	4,626
2022	2,000	2,548
2021	403	534
2020	202	340
2019		0
Prior	0	38
Revolving	8,769	6,066
Total	16,776	14,152
Agricultural loans [Member] | Substandard [Member]
2024	0
2023	0	0
2022	0	48
2021	0	14
2020	0	11
2019		0
Prior	0	0
Revolving	0	0
Total	0	73
Other consumer loans [Member]
2024	3,017
2023	3,580	5,198
2022	3,167	4,994
2021	1,243	2,239
2020	327	843
2019		201
Prior	463	370
Revolving	356	531
Total	12,153	14,376
Other consumer loans [Member] | Watch [Member]
2024	0
2023	0	17
2022	0	4
2021	0	7
2020	0	0
2019		1
Prior	0	2
Revolving	0	1
Total	0	32
Other consumer loans [Member] | Pass [Member]
2024	3,017
2023	3,537	5,169
2022	3,161	4,983
2021	1,231	2,230
2020	327	843
2019		194
Prior	460	367
Revolving	356	530
Total	12,089	14,316
Other consumer loans [Member] | Current Period Gross Write Offs Member [Member]
2024	7
2023	50	0
2022	57	77
2021	19	3
2020	15	3
2019		6
Prior	4	4
Revolving	0	0
Total	152	93
Other consumer loans [Member] | Substandard [Member]
2024	0
2023	43	12
2022	6	7
2021	12	2
2020	0	0
2019		6
Prior	3	1
Revolving	0	0
Total	64	28
Municipal loans [Member]
2024	0
2023	0	0
2022	0	118
2021	812	923
2020	1,065	1,096
2019		1,228
Prior	3,182	2,260
Revolving	0	0
Total	5,059	5,625
Municipal loans [Member] | Watch [Member]
2024	0
2023	0	0
2022	0	0
2021	0	0
2020	0	0
2019		0
Prior	0	0
Revolving	0	0
Total	0	0
Municipal loans [Member] | Pass [Member]
2024	0
2023	0	0
2022	0	118
2021	812	923
2020	1,065	1,096
2019		1,228
Prior	3,182	2,260
Revolving	0	0
Total	5,059	5,625
Municipal loans [Member] | Current Period Gross Write Offs Member [Member]
2024	0
2023	0	0
2022	0	0
2021	0	0
2020	0	0
2019		0
Prior	0	0
Revolving	0	0
Total	0	0
Municipal loans [Member] | Substandard [Member]
2024	0
2023	0	0
2022	0	0
2021	0	0
2020	0	0
2019		0
Prior	0	0
Revolving	0	0
Total	0	0
Home Equity - Close End [Member]
2024	771
2023	2,551	1,126
2022	260	382
2021	90	117
2020	974	1,044
2019		476
Prior	1,886	1,690
Revolving	0	0
Total	6,532	4,835
Home Equity - Close End [Member] | Watch [Member]
2024	0
2023	0	0
2022	0	0
2021	0	0
2020	0	0
2019		0
Prior	0	0
Revolving	0	0
Total	0	0
Home Equity - Close End [Member] | Pass [Member]
2024	771
2023	2,551	1,126
2022	260	382
2021	90	117
2020	974	1,044
2019		464
Prior	1,886	1,690
Revolving	0	0
Total	6,532	4,823
Home Equity - Close End [Member] | Substandard [Member]
2024	0
2023	0	0
2022	0	0
2021	0	0
2020	0	0
2019		12
Prior	0	0
Revolving	0	0
Total	0	12
Home Equity Open End [Member]
2024	0
2023	0	370
2022	0	0
2021	0	0
2020	0	0
2019		0
Prior	139	141
Revolving	47,257	45,238
Total	47,396	45,749
Home Equity Open End [Member] | Watch [Member]
2024	0
2023	0	0
2022	0	0
2021	0	0
2020	0	0
2019		0
Prior	0	0
Revolving	249	883
Total	249	883
Home Equity Open End [Member] | Pass [Member]
2024	0
2023	0	370
2022	0	0
2021	0	0
2020	0	0
2019		0
Prior	139	141
Revolving	46,617	44,089
Total	46,756	44,600
Home Equity Open End [Member] | Substandard [Member]
2024	0
2023	0	0
2022	0	0
2021	0	0
2020	0	0
2019		0
Prior	0	0
Revolving	391	266
Total	391	266
Construction/Land [Member]
2024	2,209
2023	11,975	5,634
2022	7,590	9,138
2021	4,610	4,983
2020	1,753	1,831
2019		2,847
Prior	9,804	5,546
Revolving	23,627	17,770
Total	$ 61,568	$ 47,749

LOANS AND CREDIT QUALITY (Det_8

LOANS AND CREDIT QUALITY (Details Narrative) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
LOANS AND CREDIT QUALITY
Loans pledged as collateral	$ 302,800	$ 289,100
Troubled loan Borrower	15	159
Loans held for sale	2,300	1,100
Accrued interest receivable on loans held for investment	3,700	3,600
Nonaccrual loans	$ 6,600	$ 6,400

ALLOWANCE FOR CREDIT LOSSES (De

ALLOWANCE FOR CREDIT LOSSES (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Allowance for credit losses on loans beginning balance	$ 8,321	$ 7,936
Adjustment for adoption of ASU		777
Charge-offs	2,449	2,088
Recoveries	806	614
Provision for Loan Losses	1,350	1,082
Allowance for credit losses on loans ending balance	8,028	8,321
Agricultural loans [Member]
Allowance for credit losses on loans beginning balance	20	80
Adjustment for adoption of ASU		(58)
Charge-offs	0	0
Recoveries	0	0
Provision for Loan Losses	4	(2)
Allowance for credit losses on loans ending balance	24	20
Other consumer loans [Member]
Allowance for credit losses on loans beginning balance	292	81
Adjustment for adoption of ASU		103
Charge-offs	152	93
Recoveries	73	55
Provision for Loan Losses	84	146
Allowance for credit losses on loans ending balance	297	292
Municipal loans [Member]
Allowance for credit losses on loans beginning balance	0	0
Adjustment for adoption of ASU		0
Charge-offs	0	0
Recoveries	0	0
Provision for Loan Losses	16	0
Allowance for credit losses on loans ending balance	16	0
Home Equity - Close End [Member]
Allowance for credit losses on loans beginning balance	77	39
Adjustment for adoption of ASU		96
Charge-offs	0	0
Recoveries	0	0
Provision for Loan Losses	27	(58)
Allowance for credit losses on loans ending balance	104	77
Home Equity Open End [Member]
Allowance for credit losses on loans beginning balance	180	446
Adjustment for adoption of ASU		(189)
Charge-offs	0	0
Recoveries	25	3
Provision for Loan Losses	(25)	(80)
Allowance for credit losses on loans ending balance	180	180
Multi-Family [Member]
Allowance for credit losses on loans beginning balance	181	71
Adjustment for adoption of ASU		182
Charge-offs	0	0
Recoveries	0	0
Provision for Loan Losses	75	(72)
Allowance for credit losses on loans ending balance	256	181
1-4 Family residential construction [Member]
Allowance for credit losses on loans beginning balance	714	324
Adjustment for adoption of ASU		109
Charge-offs	0	70
Recoveries	0	1
Provision for Loan Losses	(91)	350
Allowance for credit losses on loans ending balance	623	714
Owner-occupied commercial real estate [Member]
Allowance for credit losses on loans beginning balance	1,221	992
Adjustment for adoption of ASU		280
Charge-offs	0	0
Recoveries	0	0
Provision for Loan Losses	(418)	(51)
Allowance for credit losses on loans ending balance	803	1,221
Other construction, land development and land [Member]
Allowance for credit losses on loans beginning balance	1,287	694
Adjustment for adoption of ASU		602
Charge-offs	0	0
Recoveries	69	0
Provision for Loan Losses	302	(9)
Allowance for credit losses on loans ending balance	1,658	1,287
Secured by farmland [Member]
Allowance for credit losses on loans beginning balance	815	571
Adjustment for adoption of ASU		311
Charge-offs	0	0
Recoveries	0	0
Provision for Loan Losses	25	(67)
Allowance for credit losses on loans ending balance	840	815
Real Estate [Member]
Allowance for credit losses on loans beginning balance	810	1,389
Adjustment for adoption of ASU		(184)
Charge-offs	0	19
Recoveries	4	2
Provision for Loan Losses	(66)	(378)
Allowance for credit losses on loans ending balance	748	810
Credit Cards [Member]
Allowance for credit losses on loans beginning balance	81	68
Adjustment for adoption of ASU		26
Charge-offs	27	69
Recoveries	19	37
Provision for Loan Losses	9	19
Allowance for credit losses on loans ending balance	82	81
Other commercial real estate [Member]
Allowance for credit losses on loans beginning balance	166	1,023
Adjustment for adoption of ASU		(582)
Charge-offs	0	0
Recoveries	0	0
Provision for Loan Losses	(31)	(275)
Allowance for credit losses on loans ending balance	135	166
Commercial and industrial [Member]
Allowance for credit losses on loans beginning balance	1,034	368
Adjustment for adoption of ASU		338
Charge-offs	209	33
Recoveries	44	2
Provision for Loan Losses	(4)	359
Allowance for credit losses on loans ending balance	865	1,034
Automobile loans [Member]
Allowance for credit losses on loans beginning balance	1,443	1,790
Adjustment for adoption of ASU		(257)
Charge-offs	2,061	1,804
Recoveries	572	514
Provision for Loan Losses	1,443	1,200
Allowance for credit losses on loans ending balance	$ 1,397	$ 1,443

ALLOWANCE FOR CREDIT LOSSES (_2

ALLOWANCE FOR CREDIT LOSSES (Details 1) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023
ALLOWANCE FOR CREDIT LOSSES
Allowance for Credit Losses - Unfunded Commitments	$ 690	$ 0
Adjustment to allowance for unfunded commitments for adoption of ASU 2016-13	0	747
Recovery of credit losses - unfunded commitments	(82)	0
Allowance for Credit Losses - Unfunded Commitments	$ 608	$ 747

ALLOWANCE FOR CREDIT LOSSES (_3

ALLOWANCE FOR CREDIT LOSSES (Details Narrative) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023	Sep. 30, 2023	Dec. 31, 2022
ALLOWANCE FOR CREDIT LOSSES
Allowance for Credit Losses - Unfunded Commitments	$ 608	$ 690	$ 747	$ 0

LEASES (Details)

LEASES (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Lease liabilities	$ 624		$ 624
Long-Term Lease Agreements [Member]
Lease liabilities	624		624
Right-of-use assets	$ 593		$ 593
Weighted average discount rate	3.43%		3.43%
Weighted average remaining lease term			9 months 7 days
Operating lease cost	$ 35	$ 40	$ 110	$ 123
Total lease cost	35	40	110	123
Cash paid for amounts included in the measurement of lease liabilities	$ 40	$ 44	$ 129	$ 149

LEASES (Details 1)

LEASES (Details 1) $ in Thousands	Sep. 30, 2024 USD ($)
LEASES
Nine months ending December 31, 2024	$ 45
Twelve months ending December 31, 2025	125
Twelve months ending December 31, 2026	70
Twelve months ending December 31, 2027	56
Twelve months ending December 31, 2028	57
Thereafter	406
Total undiscounted cash flows	759
Discount	(135)
Lease Liabilites	$ 624

OTHER REAL ESTATE OWNED (Detail

OTHER REAL ESTATE OWNED (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023
OTHER REAL ESTATE OWNED
Beginning balance	$ 55	$ 0
Purchase of foreclosed real estate	0	0
Loans transferred to OREO	0	0
Proceeds from sale of OREO	(76)	0
Gain on sales of OREO	21	0
Ending balance	$ 0	$ 0

SHORTTERM DEBT (Details Narrati

SHORTTERM DEBT (Details Narrative) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Short term debt	$ 15,000	$ 60,000
Short Term Debt [Member]
Short term debt	$ 15,000	$ 60,000

LONGTERM DEBT (Details Narrativ

LONGTERM DEBT (Details Narrative) - USD ($) $ in Millions	1 Months Ended
	Jul. 29, 2020	Sep. 30, 2024	Dec. 31, 2023
Subordinated notes, net of issuance costs		$ 7	$ 6.9
2030 Notes [Member] | Accredited Investor [Member]
Principal amount	$ 7
Interest rate description	The note initially bears interest at 6.00% per annum, beginning July 29, 2020 but excluding July 31, 2025, payable semi-annually in arrears. From and including July 31, 2025 through July 30, 2030
Maturity date	Jul. 31, 2030
Interest rate	6%

MORTGAGE BANKING DERIVATIVES (D

MORTGAGE BANKING DERIVATIVES (Details Narrative) - USD ($) $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2024	Dec. 31, 2023
Mortgage loan	$ 2,300
Unpaid mortgage loan	2,300
Interest Rate Lock Commitments [Member]
Fair value of these derivative instruments	$ 13	$ 22
No. of positions	29	27
Notional amount	$ 8,100	$ 7,300
Other Assets [Member]
Fair value of these derivative instruments	$ 32	$ 81
No. of positions	42	22
Notional amount	$ 10,400	$ 6,200

ACCUMULATED OTHER COMPREHENSI_3

ACCUMULATED OTHER COMPREHENSIVE LOSS (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Unrealized Securities Gains Losses [Member]
Beginning balance	$ (31,055)	$ (37,664)	$ (31,774)	$ (40,451)
Change in unrealized securities gains (losses), net of tax benefit	8,325	(5,423)	9,044	(2,636)
Ending balance	(22,730)	(43,087)	(22,730)	(43,087)
Adjustments Related to Pension Plan [Member]
Beginning balance	757	439	757	439
Change in unrealized securities gains (losses), net of tax benefit	0	0	0	0
Ending balance	757	439	757	439
Accumulated Other comprehensive Income (Loss) [Member]
Beginning balance	(30,298)	(37,225)	(31,017)	(40,012)
Change in unrealized securities gains (losses), net of tax benefit	8,325	(5,423)	9,044	(2,636)
Ending balance	$ (21,973)	$ (42,648)	$ (21,973)	$ (42,648)

FAIR VALUE MEASUREMENTS (Detail

FAIR VALUE MEASUREMENTS (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Loans held for sale, F&M Mortgage	$ 2,332	$ 1,119
U.S Treasury securities	28,814	32,881
U. S. Government sponsored enterprises	123,452	124,703
Securities issued by States and political subdivisions in the U. S.	38,815	38,761
Mortgage-backed obligations of federal agencies	156,433	145,073
Corporate debt securities	28,645	27,256
IRLC	32	81
Forward sales commitments	12	22
Assets at Fair Value	378,535	369,874
Total fair value of liabilities		22
Fair Value Inputs Level 2 [Member]
Loans held for sale, F&M Mortgage	2,332	1,119
U.S Treasury securities	28,814	32,881
U. S. Government sponsored enterprises	123,452	124,703
Securities issued by States and political subdivisions in the U. S.	38,815	38,761
Mortgage-backed obligations of federal agencies	156,433	145,073
Corporate debt securities	28,645	27,256
IRLC	32	81
Forward sales commitments	12	22
Assets at Fair Value	378,535	369,874
Total fair value of liabilities		22
Fair Value Inputs Level 1 [Member]
Loans held for sale, F&M Mortgage	0	0
U.S Treasury securities	0	0
U. S. Government sponsored enterprises	0	0
Securities issued by States and political subdivisions in the U. S.	0	0
Mortgage-backed obligations of federal agencies	0	0
Corporate debt securities	0	0
IRLC	0	0
Forward sales commitments	0	0
Assets at Fair Value	0	0
Total fair value of liabilities		0
Fair Value Inputs Level 3 [Member]
Loans held for sale, F&M Mortgage	0	0
U.S Treasury securities	0	0
U. S. Government sponsored enterprises	0	0
Securities issued by States and political subdivisions in the U. S.	0	0
Mortgage-backed obligations of federal agencies	0	0
Corporate debt securities	0	0
IRLC	0	0
Forward sales commitments	0	0
Assets at Fair Value	$ 0	0
Total fair value of liabilities		$ 0

FAIR VALUE MEASUREMENTS (Deta_2

FAIR VALUE MEASUREMENTS (Details 1) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
OREO	$ 0	$ 55
Collateral dependent loans with an ACL	1,285	3,060
Commercial and industrial [Member]
Collateral dependent loans with an ACL		246
Fair Value Inputs Level 2 [Member]
OREO		0
Collateral dependent loans with an ACL	0	0
Fair Value Inputs Level 1 [Member]
OREO		0
Collateral dependent loans with an ACL	0	0
Fair Value Inputs Level 3 [Member]
OREO	0	55
Collateral dependent loans with an ACL	1,285	3,060
Fair Value Inputs Level 3 [Member] | Commercial and industrial [Member]
Collateral dependent loans with an ACL		246
1-4 family residential construction [Member]
Collateral dependent loans with an ACL	77	77
1-4 family residential construction [Member] | Fair Value Inputs Level 2 [Member]
Collateral dependent loans with an ACL	0	0
1-4 family residential construction [Member] | Fair Value Inputs Level 1 [Member]
Collateral dependent loans with an ACL	0	0
1-4 family residential construction [Member] | Fair Value Inputs Level 3 [Member]
Collateral dependent loans with an ACL	77	77
Commercial & Industrial [Member] | Fair Value Inputs Level 2 [Member]
Collateral dependent loans with an ACL		0
Commercial & Industrial [Member] | Fair Value Inputs Level 1 [Member]
Collateral dependent loans with an ACL		0
Commercial Real Estate Portfolio Segment [Member]
Collateral dependent loans with an ACL	1,208	2,737
Commercial Real Estate Portfolio Segment [Member] | Fair Value Inputs Level 2 [Member]
Collateral dependent loans with an ACL	0	0
Commercial Real Estate Portfolio Segment [Member] | Fair Value Inputs Level 1 [Member]
Collateral dependent loans with an ACL	0	0
Commercial Real Estate Portfolio Segment [Member] | Fair Value Inputs Level 3 [Member]
Collateral dependent loans with an ACL	$ 1,208	$ 2,737

FAIR VALUE MEASUREMENTS (Deta_3

FAIR VALUE MEASUREMENTS (Details 2) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Owner-occupied [Member]
Discount for marketability	25%	25%
Selling Costs	10%	8%
Collateral Dependent Loans	$ 1,208	$ 2,737
Commercial & Industrial [Member]
Discount for marketability		65%
Selling Costs		6%
Collateral Dependent Loans		$ 246
1-4 family residential construction [Member]
Discount for marketability	25%	25%
Selling Costs	25%	10%
Collateral Dependent Loans	$ 77	$ 77
OREO [Member]
Discount for marketability		60%
Selling Costs		10%
Collateral Dependent Loans		$ 55

FAIR VALUE MEASUREMENTS (Deta_4

FAIR VALUE MEASUREMENTS (Details 3) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Cash and cash equivalents	$ 60,320	$ 23,717
Securities	376,159	368,674
Loans held for sale	2,332	1,119
Loans held for investment, net	811,324	793,440
Interest receivable	5,066	5,034
Bank owned life insurance	23,420	22,878
IRLC	32	81
Deposits	1,218,135	1,131,747
Short-term debt	15,000	60,000
Long-term debt	6,888	6,761
Interest payable	2,258	1,592
Forward sales commitments	13	22
Carrying Amount [Member]
Cash and cash equivalents	60,320	23,717
Securities	376,159	368,674
Loans held for sale	2,332	1,119
Loans held for investment, net	830,717	822,092
Interest receivable	5,066	5,034
Bank owned life insurance	23,420	22,878
IRLC	32	81
Deposits	1,218,288	1,133,236
Short-term debt	15,000	60,000
Long-term debt	6,965	6,932
Interest payable	2,258	1,592
Forward sales commitments	13	22
Fair Value Inputs Level 2 [Member]
Cash and cash equivalents	0	0
Securities	376,159	368,674
Loans held for sale	2,332	1,119
Loans held for investment, net	0	0
Interest receivable	5,066	5,034
Bank owned life insurance	23,420	22,878
IRLC	32	81
Deposits	1,218,135	1,131,747
Short-term debt	0	0
Long-term debt	0	0
Interest payable	2,258	1,592
Forward sales commitments	13	22
Fair Value Inputs Level 1 [Member]
Cash and cash equivalents	60,320	23,717
Securities	0	0
Loans held for sale	0	0
Loans held for investment, net	0	0
Interest receivable	0	0
Bank owned life insurance	0	0
IRLC	0	0
Deposits	0	0
Short-term debt	0	0
Long-term debt	0	0
Interest payable	0	0
Forward sales commitments	0	0
Fair Value Inputs Level 3 [Member]
Cash and cash equivalents	0	0
Securities	0	0
Loans held for sale	0	0
Loans held for investment, net	811,324	793,440
Interest receivable	0	0
Bank owned life insurance	0	0
IRLC	0	0
Deposits	0	0
Short-term debt	15,000	60,000
Long-term debt	6,888	6,761
Interest payable	0	0
Forward sales commitments	$ 0	$ 0

EMPLOYEE BENEFITS (Details)

EMPLOYEE BENEFITS (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
EMPLOYEE BENEFITS
Service cost	$ 0	$ 0	$ 0	$ 0
Interest cost	79	92	237	276
Expected return on plan assets	(98)	(130)	(294)	(390)
Amortization of net loss	(5)	0	(15)	0
Net periodic pension cost	$ (24)	$ (38)	$ (72)	$ (114)

EMPLOYEE BENEFITS (Details Narr

EMPLOYEE BENEFITS (Details Narrative) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2024	Mar. 07, 2024
EMPLOYEE BENEFITS
Fair value shares, amount		$ 597
Stock shares		33,568
Allocation pension plan, percentage equity		25%
Unrecognized compensation cost	$ 834
Shares forefeited	3,367

REVENUE RECOGNITION (Details)

REVENUE RECOGNITION (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Total noninterest income	$ 2,748	$ 2,507	$ 8,084	$ 7,614
Card Services And Interchange Income [Member]
Total noninterest income	773	769	2,300	2,257
Service Charges on Deposits [Member]
Total noninterest income	317	256	881	755
Investment Services and Insurance Income [Member]
Total noninterest income	481	376	1,692	1,243
Title Insurance Income [Member]
Total noninterest income	423	421	1,153	1,015
Other [Member]
Total noninterest income	71	192	211	389
Noninterest Income (in-scope of Topic 606) [Member]
Total noninterest income	2,065	2,014	6,237	5,659
Noninterest Income (out-of-scope of Topic 606) [Member]
Total noninterest income	$ 683	$ 493	$ 1,847	$ 1,955