Loans and ACL | Note 4 – Loans and ACL All loan and ACL information presented as of and for the three and nine months ended September 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) September 30, 2023 December 31, 2022 Commercial and industrial $ 532,999 $ 590,049 Paycheck Protection Program 6,414 11,967 Real estate – construction, commercial 162,860 183,301 Real estate – construction, residential 76,896 76,599 Real estate – mortgage, commercial 879,655 864,989 Real estate – mortgage, residential 721,383 631,772 Real estate – mortgage, farmland 6,150 6,599 Consumer 59,528 47,423 Gross loans 2,445,885 2,412,699 Less: deferred loan fees, net of costs 485 ( 1,640 ) Total $ 2,446,370 $ 2,411,059 The Company has pledged certain commercial and residential mortgages as collateral for borrowings with the FHLB. Loans totaling $ 765.7 million and $ 436.0 million were pledged as of September 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 September 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. September 30, 2023 (Dollars in thousands) Current 30-59 60-89 Greater than Nonaccrual Total Commercial and industrial $ 472,291 $ 2,543 $ 1,748 $ 1,528 $ 54,889 $ 532,999 Paycheck Protection Program 6,414 — — — — 6,414 Real estate – construction, commercial 156,722 3,541 — — 2,597 162,860 Real estate – construction, residential 75,831 — — — 1,065 76,896 Real estate – mortgage, commercial 867,480 — 1,104 — 11,071 879,655 Real estate – mortgage, residential 710,944 373 449 2,016 7,601 721,383 Real estate – mortgage, farmland 6,150 — — — — 6,150 Consumer 56,766 1,435 313 379 635 59,528 Less: Deferred loan fees, net of costs 485 — — — — 485 Total Loans $ 2,353,083 $ 7,892 $ 3,614 $ 3,923 $ 77,858 $ 2,446,370 The following table presents the amortized cost of nonaccrual loans held for investment by loan category as of the date stated. September 30, 2023 (Dollars in thousands) Nonaccrual Loans with No ACL Nonaccrual Loans with an ACL Total Nonaccrual Loans Commercial and industrial $ — $ 54,889 $ 54,889 Real estate – construction, commercial 2,100 497 2,597 Real estate – construction, residential — 1,065 1,065 Real estate – mortgage, commercial 5,519 5,552 11,071 Real estate – mortgage, residential 866 6,735 7,601 Consumer — 635 635 Total $ 8,485 $ 69,373 $ 77,858 The Company recognized $ 0 and $ 89 thousand of interest income from nonaccrual loans during the three and nine months ended September 30, 2023, respectively. Credit Quality Indicators The Company segments loans held for investment into risk categories based on relevant information about the expected ability and willingness 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. Independent third-party loan reviews are periodically performed on the Company's loan portfolio and such reviews are used to verify management's determination of loan risk grades. Bank regulatory agencies also periodically review the Company's loan portfolio, including loan risk grades and may, on occasion, change a grade 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). In addition, guarantor support, when available, is viewed as excellent. 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. In addition, guarantor support, when available, is viewed as strong. Risk Grade 4 – Satisfactory: This grade is given to satisfactory loans containing more risk than Risk Grade 3 loans and where the borrower is still viewed as sound. 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 uncollectible 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 September 30, 2023. Also presented are current period gross charge-offs by loan type for the nine months ended September 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 $ 33,067 $ 140,132 $ 36,097 $ 27,087 $ 11,425 $ 16,388 $ 131,422 $ 395,618 Risk Grades 5 - 6 26,097 2,123 12,446 6,427 790 1,775 23,641 73,299 Risk Grade 7 — 3,731 2,460 3,421 825 36 2,620 13,093 Risk Grade 8 — 48,160 2,450 — — 379 — 50,989 Total 59,164 194,146 53,453 36,935 13,040 18,578 157,683 532,999 Current period gross charge-offs 1,334 7,214 248 232 725 43 131 9,927 Paycheck Protection Program Risk Grades 1 - 4 — — 6,414 — — — — 6,414 Total — — 6,414 — — — — 6,414 Real estate – construction, commercial Risk Grades 1 - 4 7,496 65,904 36,512 15,800 2,104 5,759 11,530 145,105 Risk Grades 5 - 6 3,370 6,851 2,020 — — 748 3,621 16,610 Risk Grade 7 119 — — 532 18 476 — 1,145 Total 10,985 72,755 38,532 16,332 2,122 6,983 15,151 162,860 Current period gross charge-offs — — — — — 28 — 28 Real estate – construction, residential Risk Grades 1 - 4 31,389 33,009 2,659 63 946 69 1,987 70,122 Risk Grades 5 - 6 1,288 3,566 — 169 241 — — 5,264 Risk Grade 7 21 580 462 447 — — — 1,510 Total 32,698 37,155 3,121 679 1,187 69 1,987 76,896 Real estate – mortgage, commercial Risk Grades 1 - 4 13,996 289,696 123,153 136,403 39,800 132,130 21,357 756,535 Risk Grades 5 - 6 2,353 24,797 5,767 16,959 15,943 31,425 4,065 101,309 Risk Grade 7 331 8,266 4,647 112 8,455 — 21,811 Total 16,680 314,493 137,186 158,009 55,855 172,010 25,422 879,655 Real estate – mortgage, residential Risk Grades 1 - 4 41,916 209,899 124,713 70,812 28,702 139,827 55,703 671,572 Risk Grades 5 - 6 11,372 8,325 184 1,627 1,895 6,935 1,663 32,001 Risk Grade 7 — 2,263 2,005 1,980 996 10,438 128 17,810 Total 53,288 220,487 126,902 74,419 31,593 157,200 57,494 721,383 Current period gross charge-offs — 744 — 498 — 14 — 1,256 Real estate – mortgage, farmland Risk Grades 1 - 4 — 875 1,809 — 1,535 1,573 209 6,001 Risk Grades 5 - 6 149 — — — — — — 149 Total 149 875 1,809 — 1,535 1,573 209 6,150 Consumer Risk Grades 1 - 4 22,899 15,567 4,204 3,198 1,471 666 10,268 58,273 Risk Grades 5 - 6 64 51 13 16 14 440 30 628 Risk Grade 7 14 223 87 117 56 130 — 627 Total 22,977 15,841 4,304 3,331 1,541 1,236 10,298 59,528 Current period gross charge-offs 1,083 280 200 31 48 57 — 1,699 Total Loans Risk Grades 1 - 4 $ 150,763 $ 755,082 $ 335,561 $ 253,363 $ 85,983 $ 296,412 $ 232,476 $ 2,109,640 Risk Grades 5 - 6 44,693 45,713 20,430 25,198 18,883 41,323 33,020 229,260 Risk Grade 7 485 6,797 13,280 11,144 2,007 19,535 2,748 55,996 Risk Grade 8 — 48,160 2,450 — — 379 — 50,989 Total $ 195,941 $ 855,752 $ 371,721 $ 289,705 $ 106,873 $ 357,649 $ 268,244 $ 2,445,885 Total current period gross charge-offs $ 2,417 $ 8,238 $ 448 $ 761 $ 773 $ 142 $ 131 $ 12,910 Of the $ 51.0 million of commercial and industrial loans classified as doubtful (risk grade 8) as of September 30, 2023, $ 48.2 million was attributable to a group of specialty finance loans with a collective specific reserve of $ 21.8 million as of the same date. There were no loans classified as loss (risk grade 9) as of September 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 September 30, 2023 (Dollars in thousands) Commercial Consumer Total Balance, beginning of period $ 29,864 $ 8,703 $ 38,567 Charge-offs ( 1,832 ) ( 749 ) ( 2,581 ) Recoveries 1,600 445 2,045 Net charge-offs ( 232 ) ( 304 ) ( 536 ) Provision for credit losses - loans 11,394 206 11,600 Balance, end of period $ 41,026 $ 8,605 $ 49,631 For the nine months ended September 30, 2023 (Dollars in thousands) Commercial Consumer Total Balance, beginning of period $ 27,070 $ 3,670 $ 30,740 Impact of ASC 326 adoption 2,926 4,492 7,418 Charge-offs ( 9,955 ) ( 2,954 ) ( 12,909 ) Recoveries 2,605 674 3,279 Net charge-offs ( 7,350 ) ( 2,280 ) ( 9,630 ) Provision for credit losses - loans 18,380 2,723 21,103 Balance, end of period $ 41,026 $ 8,605 $ 49,631 The increase in the ACL during the nine months ended September 30, 2023 was primarily attributable to specific reserve needs for a portfolio of specialty fina nce loans (classified as commercial and industrial loans) and $ 7.4 million due to the adoption of ASC 326 effective January 1, 2023. Of the $ 12.9 million in gross loan charge-offs for the nine months ended September 30, 2023, $ 7.0 million was attributable to one commercial and industrial loan that was fully charged-off in the second quarter of 2023. 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 nine months ended September 30, 2023. The following table presents the amortized cost of collateral-dependent loans as of the date stated. (Dollars in thousands) September 30, 2023 Commercial and industrial $ 83,437 Real estate – construction, commercial 6,635 Real estate – construction, residential 2,299 Real estate – mortgage, commercial 18,352 Real estate – mortgage, residential 3,029 Total collateral-dependent loans $ 113,752 Acquired Loans As of September 30, 2023 , the amortized cost of PCD loans totaled $ 56.6 million with an estimated ACL of $ 556 thousand. The remaining non-credit discount on PCD loans was $ 4.5 million as of September 30, 2023. Modified Loans The Company closely monitors the performance of borrowers experiencing financial difficulty that have been granted certain loan modifications it would otherwise not consider. The following table presents information on modified loans as of the date stated. September 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 Forbearance agreements Commercial and industrial (1) 1 32,750 6.14 % Real estate – mortgage, commercial 2 6,208 0.71 % Modification - interest-only Interest-only payments for six months Real estate – mortgage, commercial 1 244 0.03 % Commercial and industrial 1 2,982 0.34 % Modification - Payment Deferral Payment Deferral 3-9 Months Real estate – mortgage, commercial 1 2,999 0.34 % Commercial and industrial 5 5,806 0.66 % Total 11 $ 50,989 2.08 % 32.8 million loan was modified via a forbearance agreement in the second quarter of 2023 under which the borrower defaulted in the same period. The Company received cash payments of $ 4.5 million in the first half of 2023 for interest. This loan is collateral-dependent, is on nonaccrual status, and has a specific reserve of $ 9.3 million as of September 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. September 30, 2023 Payment Status (Amortized Cost) (Dollars in thousands) Current 30-89 Greater than Nonaccrual Total Commercial and industrial $ 2,692 $ — $ 244 $ 35,864 $ 38,800 Real estate – mortgage, commercial — — — 12,189 12,189 Total modified loans $ 2,692 $ — $ 244 $ 48,053 $ 50,989 None of the loans in the table above other than the $ 32.75 million commercial and industrial loan on nonaccrual had a payment default during the nine months ended June 30, 2023. Four residential mortgage loans with a total amortized cost of $ 974 thousand were in the process of foreclosure as of September 30, 2023 , and 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) 30-59 60-89 Greater than Nonaccrual Total Past Nonaccrual PCI Loans Current Total Commercial and industrial $ 488 $ 279 $ — $ 68,039 $ 68,806 $ 1,481 $ 519,762 $ 590,049 Paycheck Protection Program — — — — — — 11,967 11,967 Real estate – construction, commercial 1,137 19 — 714 1,870 — 181,431 183,301 Real estate – construction, residential 1,416 1,204 — — 2,620 7 73,972 76,599 Real estate – mortgage, commercial 6,198 297 6,234 1,658 14,387 51,223 799,379 864,989 Real estate – mortgage, residential 4,544 231 1,998 5,143 11,916 5,678 614,178 631,772 Real estate – mortgage, farmland — 75 — — 75 — 6,524 6,599 Consumer 880 200 28 495 1,603 359 45,461 47,423 Less: deferred loan fees, net of costs — — — — — — ( 1,640 ) ( 1,640 ) Total Loans $ 14,663 $ 2,305 $ 8,260 $ 76,049 $ 101,277 $ 58,748 $ 2,251,034 $ 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 354 — 5,324 5,678 Consumer — — 359 359 Total PCI Loans $ 354 $ — $ 58,394 $ 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 September 30, 2022 For the nine months ended September 30, 2022 Balance, beginning of period $ 12,945 $ 16,849 Accretion ( 1,108 ) ( 6,370 ) Reclassification of nonaccretable difference due to improvement in expected cash flows — 2,515 Other changes, net — ( 1,157 ) Balance, end of period $ 11,837 $ 11,837 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 67,654 520,914 588,568 23,073 Real estate – construction, commercial 521 182,773 183,294 1,637 Real estate – construction, residential — 76,599 76,599 628 Real estate – mortgage, commercial 4,634 809,132 813,766 2,353 Real estate – mortgage, residential 834 625,260 626,094 1,760 Real estate – mortgage, farmland — 6,599 6,599 4 Consumer — 47,064 47,064 1,282 Total originated and purchased performing loans 73,643 2,268,341 2,341,984 30,737 Gross loans 73,643 2,327,089 2,400,732 30,740 Less: deferred loan fees, net of costs — — ( 1,640 ) — Total $ 73,643 $ 2,327,089 $ 2,399,092 $ 30,740 The table above excludes PPP loans of $ 12.0 mil lion 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 $ 1,269 $ 1,289 $ — Real estate – construction, commercial 521 521 — Real estate – mortgage, commercial 4,507 4,504 — Real estate – mortgage, residential 834 834 — With an allowance recorded: Commercial and industrial $ 66,386 $ 66,386 $ 11,605 Real estate – mortgage, commercial 126 126 1 Total $ 73,643 $ 73,660 $ 11,606 For the three months ended September 30, 2022 For the nine months ended September 30, 2022 (Dollars in thousands) Average Interest Average Interest With no specific allowance recorded: Commercial and industrial $ 5,197 $ — $ 5,568 $ 74 Real estate – construction, commercial 521 8 522 16 Real estate – mortgage, commercial 2,839 26 6,991 174 Real estate – mortgage, residential 1,188 5 1,324 22 With an allowance recorded: Commercial and industrial $ 4,024 $ 44 $ 4,644 $ 77 Real estate – mortgage, commercial 851 1 1,503 3 Real estate – mortgage, residential 142 1 86 6 Total $ 14,762 $ 85 $ 20,638 $ 372 Impaired loans also include TDRs, and as of December 31, 2022, there were 12 TDRs totaling $ 38.3 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 September 30, 2022 For the nine months ended September 30, 2022 Allowance for loan losses, beginning of period $ 17,242 $ 12,121 Charge-offs Commercial and industrial ( 31 ) ( 4,958 ) Consumer ( 717 ) ( 1,357 ) Total charge-offs ( 748 ) ( 6,315 ) Recoveries Commercial and industrial 6 430 Consumer 134 404 Total recoveries 140 834 Net charge-offs ( 608 ) ( 5,481 ) Provision for loan losses 3,900 13,894 Allowance for loan losses, end of period $ 20,534 $ 20,534 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 318 885 192,393 291,204 31,902 2,834 69,032 588,568 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 10,887 653,716 1,475,963 108,160 8,247 83,947 2,353,951 Gross loans $ 13,031 $ 10,887 $ 653,716 $ 1,501,570 $ 136,557 $ 10,059 $ 86,879 $ 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 . |