FAIR VALUE (Tables)
|
6 Months Ended |
Jun. 30, 2018 |
|---|
| 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) |
|
June 30, 2018 |
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|
|
|
|
|
|
|
|
|
|
|
U.S. Treasury and federal agency securities |
|
$ |
93,702 |
|
|
$ |
--- |
|
|
$ |
93,702 |
|
|
$ |
--- |
|
U.S. Agency MBS and CMOs |
|
|
28,653 |
|
|
|
--- |
|
|
|
28,653 |
|
|
|
--- |
|
Tax-exempt state and municipal bonds |
|
|
43,758 |
|
|
|
--- |
|
|
|
43,758 |
|
|
|
--- |
|
Taxable state and municipal bonds |
|
|
44,323 |
|
|
|
--- |
|
|
|
44,323 |
|
|
|
--- |
|
Corporate bonds and other debt securities |
|
|
8,334 |
|
|
|
--- |
|
|
|
8,334 |
|
|
|
--- |
|
Other equity securities |
|
|
1,435 |
|
|
|
--- |
|
|
|
1,435 |
|
|
|
--- |
|
Loans held for sale |
|
|
61 |
|
|
|
--- |
|
|
|
61 |
|
|
|
--- |
|
Interest rate swaps |
|
|
404 |
|
|
|
--- |
|
|
|
--- |
|
|
|
404 |
|
Interest rate swaps |
|
|
(404 |
) |
|
|
--- |
|
|
|
--- |
|
|
|
(404 |
) |
| |
|
|
|
|
|
|
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|
|
|
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|
December 31, 2017 |
|
|
|
|
|
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|
|
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|
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|
|
|
|
U.S. Treasury and federal agency securities |
|
$ |
101,964 |
|
|
$ |
--- |
|
|
$ |
101,964 |
|
|
$ |
--- |
|
U.S. Agency MBS and CMOs |
|
|
23,385 |
|
|
|
--- |
|
|
|
23,385 |
|
|
|
--- |
|
Tax-exempt state and municipal bonds |
|
|
42,057 |
|
|
|
--- |
|
|
|
42,057 |
|
|
|
--- |
|
Taxable state and municipal bonds |
|
|
43,735 |
|
|
|
--- |
|
|
|
43,735 |
|
|
|
--- |
|
Corporate bonds and other debt securities |
|
|
8,109 |
|
|
|
--- |
|
|
|
8,109 |
|
|
|
--- |
|
Other equity securities |
|
|
1,470 |
|
|
|
--- |
|
|
|
1,470 |
|
|
|
--- |
|
Loans held for sale |
|
|
1,208 |
|
|
|
--- |
|
|
|
1,208 |
|
|
|
--- |
|
Interest rate swaps |
|
|
197 |
|
|
|
--- |
|
|
|
--- |
|
|
|
197 |
|
Interest rate swaps |
|
|
(197 |
) |
|
|
--- |
|
|
|
--- |
|
|
|
(197 |
) |
|
| 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) |
|
June 30, 2018 |
|
|
|
|
|
|
|
|
|
|
|
|
Impaired loans |
|
$ |
2,483 |
|
|
$ |
--- |
|
|
$ |
--- |
|
|
$ |
2,483 |
|
Other real estate owned |
|
|
1,738 |
|
|
|
--- |
|
|
|
--- |
|
|
|
1,738 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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|
December 31, 2017 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Impaired loans |
|
$ |
2,278 |
|
|
$ |
--- |
|
|
$ |
--- |
|
|
$ |
2,278 |
|
Other real estate owned |
|
|
3,658 |
|
|
|
--- |
|
|
|
--- |
|
|
|
3,658 |
|
|
| 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
Value
|
|
Valuation
Technique
|
Unobservable
Inputs
|
|
Range (%) |
|
June 30, 2018 |
|
|
|
|
|
|
|
|
|
|
|
|
Impaired Loans |
|
$ |
2,483 |
|
Sales comparison approach |
Adjustment for differences between comparable sales |
|
|
1.0 |
|
to |
|
|
15.0 |
|
| |
|
|
|
|
Income approach |
Capitalization rate |
|
|
9.5 |
|
to |
|
|
11.0 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other real estate owned |
|
|
1,738 |
|
Sales comparison approach |
Adjustment for differences between comparable sales |
|
|
3.0 |
|
to |
|
|
20.0 |
|
| |
|
|
|
|
Income approach |
Capitalization rate |
|
|
9.5 |
|
to |
|
|
11.0 |
|
| |
|
Asset
Fair
Value
|
|
Valuation
Technique
|
Unobservable
Inputs
|
|
Range (%) |
|
December 31, 2017 |
|
|
|
|
|
|
|
|
|
|
|
|
Impaired Loans |
|
$ |
2,278 |
|
Sales comparison approach |
Adjustment for differences between comparable sales |
|
|
2.0 |
|
to |
|
|
15.0 |
|
| |
|
|
|
|
Income approach |
Capitalization rate |
|
|
9.5 |
|
to |
|
|
11.0 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other real estate owned |
|
|
3,658 |
|
Sales comparison approach |
Adjustment for differences between comparable sales |
|
|
3.0 |
|
to |
|
|
22.0 |
|
| |
|
|
|
|
Income approach |
Capitalization rate |
|
|
9.5 |
|
to |
|
|
11.0 |
|
|
| 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 June 30, 2018 and December 31, 2017 (dollars in thousands):
|
Level in |
|
June 30, 2018 |
|
|
December 31, 2017 |
|
|
Fair Value |
|
Carrying |
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|
Fair |
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|
Carrying |
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|
Fair |
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|
Hierarchy |
|
Amount |
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|
Value |
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|
Amount |
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|
Value |
|
Financial assets |
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|
|
|
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|
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Cash and due from banks |
Level 1 |
|
$ |
37,105 |
|
|
$ |
37,105 |
|
|
$ |
34,945 |
|
|
$ |
34,945 |
|
Cash equivalents |
Level 2 |
|
|
107,416 |
|
|
|
107,416 |
|
|
|
126,522 |
|
|
|
126,522 |
|
Securities held to maturity |
Level 3 |
|
|
79,569 |
|
|
|
80,536 |
|
|
|
85,827 |
|
|
|
86,452 |
|
FHLB stock |
|
|
|
11,558 |
|
|
NA |
|
|
|
11,558 |
|
|
NA |
|
Loans, net |
Level 2 |
|
|
1,308,508 |
|
|
|
1,315,257 |
|
|
|
1,301,431 |
|
|
|
1,296,633 |
|
Bank owned life insurance |
Level 3 |
|
|
40,744 |
|
|
|
40,744 |
|
|
|
40,243 |
|
|
|
40,243 |
|
Accrued interest receivable |
Level 2 |
|
|
5,078 |
|
|
|
5,078 |
|
|
|
4,680 |
|
|
|
4,680 |
|
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Financial liabilities |
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Deposits |
Level 2 |
|
|
(1,580,461 |
) |
|
|
(1,580,641 |
) |
|
|
(1,579,010 |
) |
|
|
(1,579,016 |
) |
Other borrowed funds |
Level 2 |
|
|
(65,667 |
) |
|
|
(64,570 |
) |
|
|
(92,118 |
) |
|
|
(91,313 |
) |
Long-term debt |
Level 2 |
|
|
(41,238 |
) |
|
|
(36,962 |
) |
|
|
(41,238 |
) |
|
|
(36,546 |
) |
Accrued interest payable |
Level 2 |
|
|
(704 |
) |
|
|
(704 |
) |
|
|
(604 |
) |
|
|
(604 |
) |
| |
|
|
|
|
|
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|
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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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|
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Loan commitments |
|
|
|
--- |
|
|
|
--- |
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|
--- |
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|
--- |
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