v3.26.1
Loans and Other Finance Receivables
 3 Months Ended
Mar. 31, 2026
Receivables [Abstract]  
Loans and Other Finance Receivables Loans and Other Finance Receivables
The following table presents loans and other finance receivables detailed by category at the dates indicated:
(dollars in thousands)March 31,
2026		December 31,
2025
Real estate loans:
Commercial mortgage$870,544 $879,440 
Home equity lines and loans109,795 107,002 
Residential mortgage 235,067 236,135 
Construction343,376 330,543 
Total real estate loans1,558,782 1,553,120 
Commercial, industrial & other finance receivables444,395 428,981 
Small business loans134,468 139,765 
Consumer303 329 
Leases, net40,837 45,489 
Loans and other finance receivables$2,178,785 $2,167,684 
Balances included in loans and other finance receivables
Residential mortgage real estate loans accounted under fair value option, at fair value$14,090 $14,396 
Residential mortgage real estate loans accounted under fair value option, at amortized cost15,925 16,169 
Unearned lease income included in leases, net(4,702)(4,980)
Unamortized net deferred loan origination costs, not included in loans above2,790 2,916 
Fair Value Option for Residential Mortgage Real Estate Loans
Residential mortgage real estate loans that were originated by the Corporation and intended for sale in the secondary market to permanent investors, but were either repurchased or unsalable due to defect, and that the Corporation has the ability and intent to hold for the foreseeable future or until maturity or payoff are carried at fair value pursuant to the Corporation's election of the fair value option for these loans. The remaining loans, net of fees and costs are stated at their outstanding unpaid principal balances, net of deferred fees or costs, since the original intent for these loans was to hold them until payoff or maturity.
Past Due and Nonaccrual Loans
The following tables present an aging of the Corporation’s loans at the dates indicated:
March 31, 2026
(dollars in thousands)30-59 days past due60-89 days past dueTotal past dueCurrentTotal accruing Nonaccrual Total loans and other finance receivables% Delinquent
Commercial mortgage$7,270 $13 $7,283 $856,513 $863,796 $6,748 $870,544 1.61 %
Home equity lines and loans332 — 332 107,240 107,572 2,223 109,795 2.33 
Residential mortgage (1)
1,890 189 2,079 223,638 225,717 9,350 235,067 4.86 
Construction— — — 335,688 335,688 7,688 343,376 2.24 
Commercial, industrial & other finance receivables1,100 — 1,100 436,116 437,216 7,179 444,395 1.86 
Small business loans (2)
2,269 — 2,269 108,288 110,557 23,911 134,468 19.47 
Consumer— — — 303 303 — 303 — 
Leases, net409 353 762 38,515 39,277 1,560 40,837 5.69 %
Total$13,270 $555 $13,825 $2,106,301 $2,120,126 $58,659 $2,178,785 3.33 %
(1) Includes $14.1 million of loans at fair value of which $13.2 million are current, $352 thousand are 30-89 days past due and $497 thousand are nonaccrual.
(2) Includes $12.9 million of loans within nonaccrual category that are guaranteed by the SBA.

December 31, 2025
(dollars in thousands)30-59 days past due60-89 days past dueTotal past dueCurrentTotal accruing Nonaccrual Total loans and other finance receivables% Delinquent
Commercial mortgage$1,059 $328 $1,387 $875,581 $876,968 $2,472 $879,440 0.44 %
Home equity lines and loans513 — 513 104,466 104,979 2,023 107,002 2.37 
Residential mortgage (1)
1,843 621 2,464 223,286 225,750 10,385 236,135 5.44 
Construction— — — 323,893 323,893 6,650 330,543 2.01 
Commercial, industrial & other finance receivables1,099 — 1,099 421,112 422,211 6,770 428,981 1.83 
Small business loans (2)
739 — 739 114,245 114,984 24,781 139,765 18.26 
Consumer— — — 329 329 — 329 — 
Leases, net699 249 948 42,562 43,510 1,979 45,489 6.43 
Total$5,952 $1,198 $7,150 $2,105,474 $2,112,624 $55,060 $2,167,684 2.87 %
(1) Includes $14.4 million of loans at fair value of which $13.3 million are current, $604 thousand are 30-89 days past due and $510 thousand are nonaccrual.
(2) Includes $13.2 million of loans within nonaccrual category that are guaranteed by the SBA.

There were no loans or other finance receivables in the tables above as of March 31, 2026 or December 31, 2025, that were 90+days past due and still accruing interest.
Foreclosed and Repossessed Assets
At March 31, 2026 and December 31, 2025, there were six and 11 consumer mortgage loans, respectively, secured by residential real estate properties (included in loans, net of fees and costs on the Consolidated Balance Sheets) totaling $1.6 million and $3.1 million, respectively, for which formal foreclosure proceedings were in process.
Risks and Uncertainties
We have no particular credit concentration. Our commercial loans have been proactively managed in an effort to achieve a balanced portfolio with no unusual exposure to one industry. Additionally, most of our lending activity occurs within our primary market areas which are concentrated in southeastern Pennsylvania, Delaware, and Maryland as well as other contiguous markets and represents a geographic concentration. Additionally, our loan portfolio is concentrated in commercial loans. Commercial loans are generally viewed as having more inherent risk of default than residential real estate loans or other consumer loans. Also, the commercial loan balance per borrower is typically larger than that for residential real estate loans and consumer loans, implying higher potential losses on an individual loan basis.
Past Due and Nonaccrual Status
The following table presents the amortized costs basis of loans on nonaccrual status, net of fees and costs as of March 31, 2026 and December 31, 2025. As of these dates there were no loans 90 days or more past due and still accruing.
March 31, 2026
December 31, 2025
(dollars in thousands)Nonaccrual without ACLNonaccrual with ACLTotal nonaccrualNonaccrual without ACLNonaccrual with ACLTotal nonaccrual
Commercial mortgage$6,748 $— $6,748 $2,472 $— $2,472 
Home equity lines and loans2,025 198 2,223 2,023 — 2,023 
Residential mortgage7,490 1,860 9,350 9,020 1,365 10,385 
Construction3,669 4,019 7,688 1,889 4,761 6,650 
Commercial, industrial & other finance receivables6,080 1,099 7,179 6,770 — 6,770 
Small business loans (1)
19,678 4,233 23,911 18,050 6,731 24,781 
Leases, net— 1,560 1,560 — 1,979 1,979 
Total$45,690 $12,969 $58,659 $40,224 $14,836 $55,060 
(1) Included in non-performing small business loans as of March 31, 2026 and December 31, 2025, are $12.9 million and $13.2 million in SBA guarantees.

Collateral-dependent Loans
The following table presents the amortized cost basis of non-accruing collateral-dependent loans and other finance receivables by class as of March 31, 2026 and December 31, 2025 under the current expected credit loss model:
March 31, 2026December 31, 2025
(dollars in thousands)Real estateEquipment and otherTotalReal estateEquipment and otherTotal
Commercial mortgage$6,748 $— $6,748 $2,472 $— $2,472 
Home equity lines and loans2,223 — 2,223 2,023 — 2,023 
Residential mortgage9,350 — 9,350 10,385 — 10,385 
Construction7,688 — 7,688 6,650 — 6,650 
Commercial, industrial & other finance receivables849 6,330 7,179 1,372 5,398 6,770 
Small business loans19,874 4,037 23,911 19,287 5,494 24,781 
Total$46,732 $10,367 $57,099 $42,189 $10,892 $53,081