Loans and ACL | Note 4 – Loans and ACL All loan and ACL information presented as of and for the three and six months ended June 30, 2023 is in accordance with ASC 326. All loan information presented prior to this period is presented in accordance with previously applicable GAAP. As a result, the presentation of information pre-ASC 326 and post-ASC 326 adoption will not be comparable for most disclosures. The following table presents the amortized cost of loans held for investment, including Paycheck Protection Program ("PPP") loans, as of the dates stated. (Dollars in thousands) June 30, 2023 December 31, 2022 Commercial and industrial $ 545,921 $ 590,049 Paycheck Protection Program 7,234 11,967 Real estate – construction, commercial 165,863 183,301 Real estate – construction, residential 82,199 76,599 Real estate – mortgage, commercial 879,729 864,989 Real estate – mortgage, residential 709,565 631,772 Real estate – mortgage, farmland 5,583 6,599 Consumer 62,510 47,423 Gross loans 2,458,604 2,412,699 Less: deferred loan fees, net of costs 327 ( 1,640 ) Total $ 2,458,931 $ 2,411,059 The Company has pledged certain commercial and residential mortgages as collateral for borrowings with the FHLB. Loans totaling $ 601.9 million and $ 436.0 million were pledged as of June 30, 2023 and December 31, 2022 , respectively. Additionally, PPP loans were pledged as collateral for the FRB's Paycheck Protection Program Liquidity Facility ("PPPLF") advances in the amount of $ 0 and $ 51 thousand as of June 30, 2023 and December 31, 2022, respectively. The following table presents the aging of the amortized cost of loans held for investment by loan category as of the date stated. June 30, 2023 (Dollars in thousands) Current 30-59 60-89 Greater than Nonaccrual Total Commercial and industrial $ 482,419 $ 1,654 $ — $ — $ 61,848 $ 545,921 Paycheck Protection Program 7,234 — — — — 7,234 Real estate – construction, commercial 162,176 2,329 313 — 1,045 165,863 Real estate – construction, residential 80,818 727 — — 654 82,199 Real estate – mortgage, commercial 866,968 462 1,104 — 11,195 879,729 Real estate – mortgage, residential 698,181 389 571 1,998 8,426 709,565 Real estate – mortgage, farmland 5,583 — — — — 5,583 Consumer 59,530 1,370 658 405 547 62,510 Less: Deferred loan fees, net of costs 327 — — — — 327 Total Loans $ 2,363,236 $ 6,931 $ 2,646 $ 2,403 $ 83,715 $ 2,458,931 The following table presents the amortized cost of nonaccrual loans held for investment by loan category as of the date stated. June 30, 2023 (Dollars in thousands) Nonaccrual Loans with No ACL Nonaccrual Loans with an ACL Total Nonaccrual Loans Commercial and industrial $ 27 $ 61,821 $ 61,848 Real estate – construction, commercial — 1,045 1,045 Real estate – construction, residential — 654 654 Real estate – mortgage, commercial 10,102 1,093 11,195 Real estate – mortgage, residential 879 7,547 8,426 Consumer 1 546 547 Total $ 11,009 $ 72,706 $ 83,715 Nonaccrual loans increased $ 73.4 million to $ 83.7 million as of June 30, 2023 from $ 10.3 million as of December 31, 2022. Of this increase, $ 37.3 million was due to one commercial and industrial loan that was placed on nonaccrual status in the second quarter of 2023, discussed further in the modified loans section below. The Company recognized $ 0 and $ 89 thousand of interest income from nonaccrual loans during the three and six months ended June 30, 2023, respectively. Credit Quality Indicators The Company categorizes loans held for investment into risk categories based on relevant information about the expected ability of borrowers to service their debt, such as current financial information, historical payment experience, collateral adequacy, credit documentation, and current economic trends, among other factors. Management considers loan risk grades to be the best indication of credit quality of its portfolio of loans held for investment. The Company uses the following definitions for loan risk grades and periodically evaluates the appropriateness of these grades across its loan portfolio. Bank regulatory agencies periodically review the Company's loan portfolio, including loan risk grades. Loan risk grades as determined by management may be changed by regulators, based on their judgment of the facts at the time of review. Risk Grade 1 – Strong: This grade is reserved for loans to the strongest of borrowers. These loans are to individuals or corporations that are well known to the Bank and are always secured with an almost guaranteed source of repayment such as a lien on a bank deposit account. Character, credit history, and ability of individuals or company principals are excellent and unquestioned. Source of income and industry of borrower appears stable. High liquidity, minimum risk, good ratios, and low handling cost are present. Risk Grade 2 – Minimal: This grade is reserved for loans to borrowers who are deemed exceptionally strong. These loans are within guidelines and where the borrowers have documented significant overall financial strength. These loans have excellent sources of repayment, significant balance sheet liquidity, no significant identifiable risk of collection, and conform in all respects to policy, guidelines, underwriting standards, and federal and state regulations (no exceptions of any kind). Risk Grade 3 – Acceptable: This grade is reserved for loans to borrowers who are deemed strong. These loans have adequate sources of repayment, with little identifiable risk of collection. Generally, loans assigned this risk grade will demonstrate the following characteristics: (1) conformity in all respects with policy, guidelines, underwriting standards, and federal and state regulations (no exceptions of any kind), (2) documented historical cash flow that meets or exceeds required minimum guidelines, or that can be supplemented with verifiable cash flow from other sources, and (3) adequate secondary sources to liquidate the debt. Risk Grade 4 – Satisfactory: This grade is given to satisfactory loans containing more risk than Risk Grade 3 loans. These loans have adequate sources of repayment, with little identifiable risk of collection. Loans assigned this risk grade will demonstrate the following characteristics: (1) general conformity to the Bank's underwriting requirements, with limited exceptions to policy, product, or underwriting guidelines. All exceptions noted have documented mitigating factors that offset any additional risk associated with the exceptions noted, (2) documented historical cash flow that meets or exceeds required minimum guidelines, or that can be supplemented with verifiable cash flow from other sources, and (3) adequate secondary sources to liquidate the debt, including combinations of liquidity, liquidation of collateral, or liquidation value to the net worth of the borrower or guarantor. Risk Grade 5 – Watch: This grade is for satisfactory loans containing acceptable but elevated risk. These loans are characterized by borrowers who have a marginal cash flow, marginal profitability, or have experienced an unprofitable year and declining financial condition. The borrower's management may be deemed to be satisfactory, the collateral securing the loan may create a loan-to-value ratio in excess of 90 %, the debt service coverage ratio and global debt service coverage are unstable but mostly positive, and/or guarantor support, if any, is inadequate. Loans classified as Watch warrant additional monitoring by management. Risk Grade 6 – Special Mention: This grade is for loans that have potential weaknesses that deserve management's close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the Bank's credit position at some future date. Special Mention loans are not adversely classified and do not expose an institution to sufficient risk to warrant adverse classification. Special mention credits typically exhibit underwriting guideline tolerances and/or exceptions with no mitigating factors, or emerging weaknesses that may or may not be cured as time passes. Risk Grade 7 – Substandard: A substandard loan is inadequately protected by the current sound net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans classified as substandard must have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt; they are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected. Loans consistently not meeting the repayment schedule should be downgraded further to substandard. Loans in this category are characterized by deterioration in quality exhibited by any number of well-defined weaknesses requiring corrective action. The weaknesses may include, but are not limited to: (1) high debt to worth ratios, (2) declining or negative earnings trends, (3) declining or inadequate liquidity, (4) improper loan structure, (5) questionable repayment sources, (6) lack of well-defined secondary repayment source, and (7) unfavorable competitive comparisons. Such loans are no longer considered to be adequately protected due to the borrower's declining net worth, lack of earnings capacity, declining collateral margins, and/or unperfected collateral positions. The possibility of loss of a portion of the loan balance cannot be ruled out. The repayment ability of the borrower is marginal or weak and the loan may have exhibited excessive overdue status or extensions and/or renewals. Risk Grade 8 – Doubtful: Loans classified doubtful have all the weaknesses inherent in loans classified substandard, plus the added characteristic that the weaknesses make collection or liquidation in full on the basis of currently existing facts, conditions, and values highly questionable and improbable. However, these loans are not yet rated as loss because certain events may occur which would salvage the Bank's position, which can include, but not limited to (1) an injection of capital, (2) alternative financing, and (3) liquidation of assets or the pledging of additional collateral. Doubtful is a temporary grade where a loss is expected but is presently not quantified with any degree of accuracy. Once the loss position is determined, the amount is charged off against the allowance for credit losses. Risk Grade 9 – Loss : Loans classified loss are considered uncollectable and of such little value that their continuance as assets is not warranted. This classification does not mean that the asset has absolutely no recovery or salvage value, but rather that it is not practical or desirable to defer charging off the worthless loan, even though partial recovery may be effected in the future. Probable loss portions of doubtful loans are charged off promptly against the allowance for credit losses. The following table presents the amortized cost of loans held for investment by internal loan risk grade by year of origination as of June 30, 2023. Also presented are current period gross charge-offs by loan type for the six months ended June 30, 2023. Term Loans Amortized Cost Basis by Origination Year (Dollars in thousands) 2023 2022 2021 2020 2019 Prior Revolving Loans Total Commercial and industrial Risk Grades 1 - 4 $ 36,665 $ 131,441 $ 44,931 $ 31,890 $ 12,814 $ 17,085 $ 135,331 $ 410,157 Risk Grades 5 - 6 28,363 1,904 9,964 6,793 450 1,827 17,375 66,676 Risk Grade 7 — 55,429 2,172 3,253 870 44 1,567 63,335 Risk Grade 8 — 5,338 36 — — — 379 5,753 Total 65,028 194,112 57,103 41,936 14,134 18,956 154,652 545,921 Current period gross charge-offs — 198 39 — 625 9 7,224 8,095 Paycheck Protection Program Risk Grades 1 - 4 — — 7,234 — — — — 7,234 Total — — 7,234 — — — — 7,234 Real estate – construction, commercial Risk Grades 1 - 4 4,684 56,296 46,538 16,193 2,345 8,865 10,820 145,741 Risk Grades 5 - 6 — 6,464 6,252 532 — 840 5,792 19,880 Risk Grade 7 — — — — — 242 — 242 Total 4,684 62,760 52,790 16,725 2,345 9,947 16,612 165,863 Current period gross charge-offs — — — — — 28 — 28 Real estate – construction, residential Risk Grades 1 - 4 27,215 39,151 7,998 347 1,194 71 2,046 78,022 Risk Grades 5 - 6 — 2,278 473 585 — — 240 3,576 Risk Grade 7 21 580 — — — — — 601 Total 27,236 42,009 8,471 932 1,194 71 2,286 82,199 Real estate – mortgage, commercial Risk Grades 1 - 4 29,516 268,410 113,715 153,897 44,080 144,333 11,689 765,640 Risk Grades 5 - 6 — 25,746 4,757 16,870 13,304 31,823 4,042 96,542 Risk Grade 7 — — 6,307 2,180 131 8,831 98 17,547 Total 29,516 294,156 124,779 172,947 57,515 184,987 15,829 879,729 Real estate – mortgage, residential Risk Grades 1 - 4 50,358 204,528 117,255 71,731 29,032 146,643 57,415 676,962 Risk Grades 5 - 6 35 8,570 24 1,605 2,482 6,475 1,189 20,380 Risk Grade 7 — 650 2,287 1,934 611 6,417 324 12,223 Total 50,393 213,748 119,566 75,270 32,125 159,535 58,928 709,565 Current period gross charge-offs — 744 — 498 — 14 — 1,256 Real estate – mortgage, farmland Risk Grades 1 - 4 — 729 1,424 — 1,549 1,624 211 5,537 Risk Grades 5 - 6 — — — — — — 46 46 Total — 729 1,424 — 1,549 1,624 257 5,583 Consumer Risk Grades 1 - 4 23,641 17,070 4,779 3,875 1,854 970 9,043 61,232 Risk Grades 5 - 6 56 54 11 71 4 444 30 670 Risk Grade 7 15 159 125 118 85 106 — 608 Total 23,712 17,283 4,915 4,064 1,943 1,520 9,073 62,510 Current period gross charge-offs 571 156 131 23 41 27 1 950 Total Loans Risk Grades 1 - 4 $ 172,079 $ 717,625 $ 343,874 $ 277,933 $ 92,868 $ 319,591 $ 226,555 $ 2,150,525 Risk Grades 5 - 6 28,454 45,016 21,481 26,456 16,240 41,409 28,714 207,770 Risk Grade 7 36 56,818 10,891 7,485 1,697 15,640 1,989 94,556 Risk Grade 8 — 5,338 36 — — — 379 5,753 Total $ 200,569 $ 824,797 $ 376,282 $ 311,874 $ 110,805 $ 376,640 $ 257,637 $ 2,458,604 Total current period gross charge-offs $ 571 $ 1,098 $ 170 $ 521 $ 666 $ 78 $ 7,225 $ 10,329 The table above includes one $ 5.3 million commercial and industrial loan classified as doubtful (risk grade 8) as of June 30, 2023, which was fully reserved as of the same date. There were no loans classified as loss (risk grade 9) as of June 30, 2023 . The following table presents an analysis of the change in the ACL by major loan segment for the period stated. Loan segments are presented as either commercial or consumer as follows: • Commercial – Commercial and industrial; PPP; real estate – construction, commercial; real estate – mortgage, commercial; and real estate – mortgage, farmland; • Consumer – real estate – construction, residential; real estate – mortgage, residential; and consumer. For the three months ended June 30, 2023 (Dollars in thousands) Commercial Consumer Total Balance, beginning of period $ 21,279 $ 8,695 $ 29,974 Charge-offs ( 7,326 ) ( 1,694 ) ( 9,020 ) Recoveries 887 126 1,013 Net charge-offs ( 6,439 ) ( 1,568 ) ( 8,007 ) Provision for credit losses - loans 19,524 1,576 21,100 Balance, end of period $ 34,364 $ 8,703 $ 43,067 For the six months ended June 30, 2023 (Dollars in thousands) Commercial Consumer Total Balance, beginning of period $ 19,269 $ 3,670 $ 22,939 Impact of ASC 326 adoption ( 470 ) 4,492 4,022 Charge-offs ( 8,125 ) ( 2,204 ) ( 10,329 ) Recoveries 1,005 230 1,235 Net charge-offs ( 7,120 ) ( 1,974 ) ( 9,094 ) Provision for credit losses - loans 22,685 2,515 25,200 Balance, end of period $ 34,364 $ 8,703 $ 43,067 The increase in the ACL during the six months ended June 30, 2023 was primarily attributable to specific reserve needs of $ 14.1 million for a portfolio of specialty finance loans (classified as commercial and industrial loans) and $ 4.0 million due to the adoption of ASC 326 effective January 1, 2023. Of the $ 9.0 million and $ 10.3 million in gross loan charge-offs for the three and six months ended June 30, 2023, respectively, $ 7.0 million was attributable to one commercial and industrial loan that was fully charged-off in the second quarter of 2023. Other than the aforementioned, there were no material changes to the assumptions, loss factors (both quantitative and qualitative), or reasonable and supportable forecasts used in the estimation of the ACL and the provision for credit losses for loans held for investment as of and for the six months ended June 30, 2023 . The following table presents the amortized cost of collateral-dependent loans as of the date stated. (Dollars in thousands) June 30, 2023 Commercial and industrial $ 94,743 Real estate – construction, commercial 5,792 Real estate – construction, residential 1,646 Real estate – mortgage, commercial 17,403 Real estate – mortgage, residential 1,735 Total collateral-dependent loans $ 121,319 Acquired Loans As of June 30, 2023 , the amortized cost of PCD loans totaled $ 57.1 million with an estimated ACL of $ 601 thousand. The remaining non-credit discount on PCD loans was $ 5.0 million as of June 30, 2023. Modified Loans The Company closely monitors the performance of borrowers experiencing financial difficulty to understand the effectiveness of its loan modification efforts. The following table presents information on modified loans as of the date stated. June 30, 2023 (Dollars in thousands) Number of Loans Amortized Cost Amortized Cost of Modified Loans to Gross Loans by Category Financial Effect Modification - term extension and forbearance Commercial and industrial 1 37,250 6.82 % See Note (1) Real estate – mortgage, commercial 2 6,288 0.71 % Forbearance agreements Modification - interest-only Real estate – mortgage, commercial 1 3,051 0.35 % Interest-only payments for six months Modification - term extension and interest-only Real estate – mortgage, commercial 1 287 0.03 % Term extension and interest-only payments for six months Total 5 $ 46,876 1.91 % (1) This $ 37.3 million loan was modified via a forbearance agreement in the second quarter of 2023 under which the borrower defaulted in this same period. The Company received cash payments of $ 4.5 million in the six months ended June 30, 2023 for interest. This loan is collateral-dependent, is on nonaccrual status, and has a specific reserve of $ 8.0 million as of June 30, 2023. The following table presents an aging analysis of the amortized cost of loans modified in the preceding 12 months as of the date stated. June 30, 2023 Payment Status (Amortized Cost) (Dollars in thousands) Current 30-89 90+ Nonaccrual Total Commercial and industrial $ — $ — $ — $ 37,250 $ 37,250 Real estate – mortgage, commercial — — — 9,626 9,626 Total modified loans $ — $ — $ — $ 46,876 $ 46,876 None of the loans in the table above, other than the $ 37.3 million commercial and industrial loan on nonaccrual, had a payment default during the six months ended June 30, 2023. Six residential mortgage loans with a total amortized cost of $ 645 thousand we re in the process of foreclosure as of June 30, 2023 , compared to none as of December 31, 2022. Pre-ASC 326 Adoption Disclosures Prior to the adoption of ASC 326 on January 1, 2023, the Company calculated the allowance for loan losses under the incurred loss methodology. The following disclosures are presented under this previously applicable GAAP for the applicable prior periods. The following table presents the aging of the amortized cost of loans held for investment as of the date stated. December 31, 2022 (Dollars in thousands) Current 30-59 60-89 Greater than Nonaccrual Total Past Nonaccrual PCI Loans Total Commercial and industrial $ 585,487 $ 488 $ 279 $ — $ 2,314 $ 3,081 $ 1,481 $ 590,049 Paycheck Protection Program 11,967 — — — — — — 11,967 Real estate – construction, commercial 181,432 1,136 19 — 714 1,869 — 183,301 Real estate – construction, residential 73,972 1,416 1,204 — — 2,620 7 76,599 Real estate – mortgage, commercial 799,378 6,199 297 6,234 1,658 14,388 51,223 864,989 Real estate – mortgage, residential 614,178 4,544 231 1,998 5,143 11,916 5,678 631,772 Real estate – mortgage, farmland 6,524 — 75 — — 75 — 6,599 Consumer 45,461 880 200 28 495 1,603 359 47,423 Less: deferred loan fees, net of costs ( 1,640 ) — — — — — — ( 1,640 ) Total Loans $ 2,316,759 $ 14,663 $ 2,305 $ 8,260 $ 10,324 $ 35,552 $ 58,748 $ 2,411,059 The following table presents the aging of the amortized cost of PCI loans as of the date stated. December 31, 2022 (Dollars in thousands) Current 30-89 Greater than Total Commercial and industrial $ 1,481 $ — $ — $ 1,481 Real estate – construction, commercial 7 — — 7 Real estate – mortgage, commercial 51,223 — — 51,223 Real estate – mortgage, residential 5,324 354 — 5,678 Consumer 359 — — 359 Total PCI Loans $ 58,394 $ 354 $ — $ 58,748 The following table presents the outstanding principal balance and related recorded investment of acquired loans included in the consolidated balance sheet as of the date stated. (Dollars in thousands) December 31, 2022 PCI loans Outstanding principal balance $ 64,911 Recorded investment 58,748 Purchased performing loans Outstanding principal balance 513,461 Recorded investment 511,752 Total acquired loans Outstanding principal balance 578,372 Recorded investment 570,500 The following table presents the changes in accretable yield for PCI loans for the periods stated. (Dollars in thousands) For the three months ended June 30, 2022 For the six months ended June 30, 2022 Balance, beginning of period $ 13,337 $ 16,849 Accretion ( 1,750 ) ( 5,262 ) Reclassification of nonaccretable difference due to improvement in expected cash flows 2,515 2,515 Other changes, net ( 1,157 ) ( 1,157 ) Balance, end of period $ 12,945 $ 12,945 The following table presents a summary of the loan portfolio individually and collectively evaluated for impairment as of the date stated. December 31, 2022 (Dollars in thousands) Individually Collectively Total Loan Balances Related Allowance for Loan Losses PCI loans: Commercial and industrial $ — $ 1,481 $ 1,481 $ — Real estate – construction, commercial — 7 7 — Real estate – mortgage, commercial — 51,223 51,223 3 Real estate – mortgage, residential — 5,678 5,678 — Consumer — 359 359 — Total PCI loans — 58,748 58,748 3 Originated and purchased performing loans: Commercial and industrial 39,247 549,321 588,568 15,272 Real estate – construction, commercial 521 182,773 183,294 1,637 Real estate – construction, residential — 76,599 76,599 628 Real estate – mortgage, commercial 4,567 809,199 813,766 2,353 Real estate – mortgage, residential 835 625,259 626,094 1,760 Real estate – mortgage, farmland — 6,599 6,599 4 Consumer — 47,064 47,064 1,282 Total originated and purchased performing loans 45,170 2,296,814 2,341,984 22,936 Gross loans 45,170 2,355,562 2,400,732 22,939 Less: deferred loan fees, net of costs — — ( 1,640 ) — Total $ 45,170 $ 2,355,562 $ 2,399,092 $ 22,939 The table above excludes PPP loans of $ 12.0 million as of December 31, 2022. PPP loans are fully guaranteed by the U.S. government; therefore, the Company recorded no allowance for loan losses for these loans. The following tables present information related to impaired loans held for investment by loan type as of and for the dates stated. December 31, 2022 (Dollars in thousands) Recorded Unpaid Related With no specific allowance recorded: Commercial and industrial $ 1,309 $ 1,289 $ — Real estate – construction, commercial 521 521 — Real estate – mortgage, commercial 4,438 4,404 — Real estate – mortgage, residential 835 834 — With an allowance recorded: Commercial and industrial $ 37,938 $ 37,911 $ 3,178 Real estate – mortgage, commercial 129 126 1 Total $ 45,170 $ 45,085 $ 3,179 For the three months ended June 30, 2022 For the six months ended June 30, 2022 (Dollars in thousands) Average Interest Average Interest With no specific allowance recorded: Commercial and industrial $ 6,203 $ 12 $ 5,754 $ 74 Real estate – construction, commercial 521 8 523 8 Real estate – mortgage, commercial 6,254 100 9,067 148 Real estate – mortgage, residential 1,441 3 1,392 17 With an allowance recorded: Commercial and industrial $ 6,619 $ 33 $ 4,955 $ 33 Real estate – mortgage, commercial 3,570 2 1,829 2 Real estate – mortgage, residential 58 5 59 5 Total $ 24,666 $ 163 $ 23,579 $ 287 Impaired loans also include TDRs, and as of December 31, 2022 , there were 11 TDRs totaling $ 1.1 million. The following table presents the analysis of the change in the allowance for loan losses by loan type for the period stated. (Dollars in thousands) For the three months ended June 30, 2022 For the six months ended June 30, 2022 Allowance for loan losses, beginning of period $ 12,013 $ 12,121 Charge-offs Commercial and industrial ( 1,383 ) ( 3,746 ) Real estate – construction — ( 123 ) Real estate – mortgage ( 1,079 ) ( 1,093 ) Consumer ( 329 ) ( 605 ) Total charge-offs ( 2,791 ) ( 5,567 ) Recoveries Commercial and industrial 2 37 Real estate – construction 4 16 Real estate – mortgage 387 391 Consumer 133 250 Total recoveries 526 694 Net charge-offs ( 2,265 ) ( 4,873 ) Provision for loan losses 7,494 9,994 Allowance for loan losses, end of period $ 17,242 $ 17,242 The following table presents the amortized cost of loans held for investment by internal loan risk grade as of the date stated. December 31, 2022 (Dollars in thousands) Grade Grade Grade Grade Grade Grade Grade Total PCI loans: Commercial and industrial $ — $ — $ — $ 1,369 $ — $ 112 $ — $ 1,481 Real estate – construction, commercial — — — 7 — — — 7 Real estate – mortgage, commercial — — — 22,778 26,059 1,700 686 51,223 Real estate – mortgage residential — — — 1,453 1,985 — 2,240 5,678 Consumer — — — — 353 — 6 359 Total PCI loans — — — 25,607 28,397 1,812 2,932 58,748 Originated and purchased performing loans: Commercial and industrial 318 885 193,144 312,278 38,552 2,834 40,557 588,568 Paycheck Protection Program 11,967 — — — — — — 11,967 Real estate – construction, commercial — 361 14,223 156,027 8,504 3,365 814 183,294 Real estate – construction, residential — — 3,110 72,327 1,162 — — 76,599 Real estate – mortgage, commercial — 2,330 187,648 561,554 54,352 2,048 5,834 813,766 Real estate – mortgage residential — 7,311 233,697 365,511 11,858 — 7,717 626,094 Real estate – mortgage, farmland 549 — 1,315 4,609 126 — — 6,599 Consumer 197 — 21,330 24,731 256 — 550 47,064 Total originated and purchased performing loans 13,031 10,887 654,467 1,497,037 114,810 8,247 55,472 2,353,951 Gross loans $ 13,031 $ 10,887 $ 654,467 $ 1,522,644 $ 143,207 $ 10,059 $ 58,404 $ 2,412,699 Less: deferred loan fees, net of costs ( 1,640 ) Total $ 2,411,059 There were no loans classified as doubtful or loss as of December 31, 2022 . |