FAIR VALUE (Tables)
|
9 Months Ended |
Sep. 30, 2017 |
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| FAIR VALUE [Abstract] |
|
| Assets Measured at Fair Value on Recurring Basis |
Assets measured at fair value on a recurring basis are summarized below (in thousands):
| |
|
Fair |
|
|
Quoted Prices in Active Markets for Identical Assets |
|
|
Significant Other Observable Inputs |
|
|
Significant Unobservable Inputs |
|
| |
|
Value |
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|
(Level 1) |
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|
(Level 2) |
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|
(Level 3) |
|
September 30, 2017 |
|
|
|
|
|
|
|
|
|
|
|
|
U.S. Treasury and federal agency securities |
|
$ |
97,735 |
|
|
$ |
--- |
|
|
$ |
97,735 |
|
|
$ |
--- |
|
U.S. Agency MBS and CMOs |
|
|
20,133 |
|
|
|
--- |
|
|
|
20,133 |
|
|
|
--- |
|
Tax-exempt state and municipal bonds |
|
|
41,799 |
|
|
|
--- |
|
|
|
41,799 |
|
|
|
--- |
|
Taxable state and municipal bonds |
|
|
42,874 |
|
|
|
--- |
|
|
|
42,874 |
|
|
|
--- |
|
Corporate bonds and other debt securities |
|
|
10,161 |
|
|
|
--- |
|
|
|
10,161 |
|
|
|
--- |
|
Other equity securities |
|
|
1,480 |
|
|
|
--- |
|
|
|
1,480 |
|
|
|
--- |
|
Loans held for sale |
|
|
2,199 |
|
|
|
--- |
|
|
|
2,199 |
|
|
|
--- |
|
Interest rate swaps |
|
|
351 |
|
|
|
--- |
|
|
|
--- |
|
|
|
351 |
|
Interest rate swaps |
|
|
(351 |
) |
|
|
--- |
|
|
|
--- |
|
|
|
(351 |
) |
| |
|
|
|
|
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|
|
|
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|
December 31, 2016 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S. Treasury and federal agency securities |
|
$ |
84,350 |
|
|
$ |
--- |
|
|
$ |
84,350 |
|
|
$ |
--- |
|
U.S. Agency MBS and CMOs |
|
|
11,817 |
|
|
|
--- |
|
|
|
11,817 |
|
|
|
--- |
|
Tax-exempt state and municipal bonds |
|
|
39,187 |
|
|
|
--- |
|
|
|
39,187 |
|
|
|
--- |
|
Taxable state and municipal bonds |
|
|
33,883 |
|
|
|
--- |
|
|
|
33,883 |
|
|
|
--- |
|
Corporate bonds and other debt securities |
|
|
13,726 |
|
|
|
--- |
|
|
|
13,726 |
|
|
|
--- |
|
Other equity securities |
|
|
1,470 |
|
|
|
--- |
|
|
|
1,470 |
|
|
|
--- |
|
Loans held for sale |
|
|
2,181 |
|
|
|
--- |
|
|
|
2,181 |
|
|
|
--- |
|
Interest rate swaps |
|
|
494 |
|
|
|
--- |
|
|
|
--- |
|
|
|
494 |
|
Interest rate swaps |
|
|
(494 |
) |
|
|
--- |
|
|
|
--- |
|
|
|
(494 |
) |
|
| Assets Measured at Fair Value on Non-Recurring Basis |
Assets measured at fair value on a non-recurring basis are summarized below (in thousands):
| |
Fair |
|
Quoted Prices in Active Markets for Identical Assets |
|
Significant Other Observable Inputs |
|
Significant Unobservable Inputs |
|
| |
Value |
|
(Level 1) |
|
(Level 2) |
|
(Level 3) |
|
September 30, 2017 |
|
|
|
|
|
|
|
|
Impaired loans |
|
$ |
2,775 |
|
|
$ |
--- |
|
|
$ |
--- |
|
|
$ |
2,775 |
|
Other real estate owned |
|
|
4,631 |
|
|
|
--- |
|
|
|
--- |
|
|
|
4,631 |
|
| December 31, 2016 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Impaired loans |
|
$ |
3,436 |
|
|
$ |
--- |
|
|
$ |
--- |
|
|
$ |
3,436 |
|
Other real estate owned |
|
|
9,542 |
|
|
|
--- |
|
|
|
--- |
|
|
|
9,542 |
|
|
| Quantitative Information about Level 3 Fair Value Measurements Measured on Non-Recurring Basis |
Quantitative information about Level 3 fair value measurements measured on a non-recurring basis was as follows at period end (dollars in thousands):
| |
|
Asset |
|
|
|
|
|
|
|
|
|
|
| |
|
Fair |
|
Valuation |
Unobservable |
|
|
|
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| |
|
Value |
|
Technique |
Inputs |
|
Range (%) |
|
September 30, 2017 |
|
|
|
|
|
|
|
|
|
|
|
|
Impaired Loans |
|
$ |
2,775 |
|
Sales comparison approach |
Adjustment for differences between comparable sales |
|
|
4.0 |
|
to |
|
|
15.0 |
|
| |
|
|
|
|
Income approach |
Capitalization rate |
|
|
9.5 |
|
to |
|
|
11.0 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other real estate owned |
|
|
4,631 |
|
Sales comparison approach |
Adjustment for differences between comparable sales |
|
|
3.0 |
|
to |
|
|
22.0 |
|
| |
|
|
|
|
Income approach |
Capitalization rate |
|
|
9.5 |
|
to |
|
|
11.0 |
|
| |
Asset |
|
|
|
|
|
|
|
|
|
|
| |
Fair |
|
Valuation |
Unobservable |
|
|
|
|
|
|
|
| |
Value |
|
Technique |
Inputs |
|
Range (%) |
|
December 31, 2016 |
|
|
|
|
|
|
|
|
|
|
|
|
Impaired Loans |
|
$ |
3,436 |
|
Sales comparison approach |
Adjustment for differences between comparable sales |
|
|
1.0 |
|
to |
|
|
35.0 |
|
| |
|
|
|
|
Income approach |
Capitalization rate |
|
|
9.5 |
|
to |
|
|
11.5 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other real estate owned |
|
|
9,542 |
|
Sales comparison approach |
Adjustment for differences between comparable sales |
|
|
2.0 |
|
to |
|
|
32.5 |
|
| |
|
|
|
|
Income approach |
Capitalization rate |
|
|
9.5 |
|
to |
|
|
11.5 |
|
|
| Carrying Amounts and Estimated Fair Values of Financial Instruments, Not Previously Presented |
The carrying amounts and estimated fair values of financial instruments, not previously presented, were as follows at September 30, 2017 and December 31, 2016 (dollars in thousands):
| |
Level in |
|
September 30, 2017 |
|
December 31, 2016 |
| |
Fair Value |
|
Carrying |
|
Fair |
|
Carrying |
|
Fair |
| |
Hierarchy |
|
Amount |
|
Value |
|
Amount |
|
Value |
Financial assets |
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|
|
|
|
|
|
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|
Cash and due from banks |
Level 1 |
|
$ |
28,318 |
|
$ |
28,318 |
|
$ |
27,690 |
|
$ |
27,690 |
Cash equivalents |
Level 2 |
|
|
131,571 |
|
|
131,571 |
|
|
62,129 |
|
|
62,129 |
Securities held to maturity |
Level 3 |
|
|
61,927 |
|
|
62,854 |
|
|
69,378 |
|
|
69,849 |
FHLB stock |
|
|
|
11,558 |
|
|
NA |
|
|
11,558 |
|
|
NA |
Loans, net |
Level 2 |
|
|
1,240,828 |
|
|
1,237,274 |
|
|
1,260,414 |
|
|
1,247,842 |
Bank owned life insurance |
Level 3 |
|
|
40,042 |
|
|
40,042 |
|
|
39,274 |
|
|
39,274 |
Accrued interest receivable |
Level 2 |
|
|
4,532 |
|
|
4,532 |
|
|
4,092 |
|
|
4,092 |
| |
|
|
|
|
|
|
|
|
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|
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Financial liabilities |
|
|
|
|
|
|
|
|
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|
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|
Deposits |
Level 2 |
|
|
(1,506,178) |
|
|
(1,506,115) |
|
|
(1,448,724) |
|
|
(1,448,692) |
Other borrowed funds |
Level 2 |
|
|
(72,118) |
|
|
(71,946) |
|
|
(84,173) |
|
|
(84,051) |
Long-term debt |
Level 2 |
|
|
(41,238) |
|
|
(36,562) |
|
|
(41,238) |
|
|
(36,112) |
Accrued interest payable |
Level 2 |
|
|
(545) |
|
|
(545) |
|
|
(282) |
|
|
(282) |
| |
|
|
|
|
|
|
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|
|
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Off-balance sheet credit-related items |
|
|
|
|
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|
|
|
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|
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|
|
Loan commitments |
|
|
|
--- |
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|
--- |
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|
--- |
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|
--- |
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