FAIR VALUE (Tables)
|
9 Months Ended |
Sep. 30, 2019 |
|---|
| 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
Value
|
|
|
Quoted Prices in
Active Markets
for Identical
Assets
(Level 1)
|
|
|
Significant Other
Observable
Inputs
(Level 2)
|
|
|
Significant
Unobservable
Inputs
(Level 3)
|
|
September 30, 2019 |
|
|
|
|
|
|
|
|
|
|
|
|
U.S. Treasury and federal agency securities |
|
$ |
79,392 |
|
|
$ |
— |
|
|
$ |
79,392 |
|
|
$ |
— |
|
U.S. Agency MBS and CMOs |
|
|
35,099 |
|
|
|
— |
|
|
|
35,099 |
|
|
|
— |
|
Tax-exempt state and municipal bonds |
|
|
46,474 |
|
|
|
— |
|
|
|
46,474 |
|
|
|
— |
|
Taxable state and municipal bonds |
|
|
43,754 |
|
|
|
— |
|
|
|
43,754 |
|
|
|
— |
|
Corporate bonds and other debt securities |
|
|
5,176 |
|
|
|
— |
|
|
|
5,176 |
|
|
|
— |
|
Other equity securities |
|
|
1,488 |
|
|
|
— |
|
|
|
1,488 |
|
|
|
— |
|
Loans held for sale |
|
|
1,317 |
|
|
|
— |
|
|
|
1,317 |
|
|
|
— |
|
Interest rate swaps |
|
|
2,361 |
|
|
|
— |
|
|
|
— |
|
|
|
2,361 |
|
Interest rate swaps |
|
|
(2,361 |
) |
|
|
— |
|
|
|
— |
|
|
|
(2,361 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December 31, 2018 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S. Treasury and federal agency securities |
|
$ |
95,398 |
|
|
$ |
— |
|
|
$ |
95,398 |
|
|
$ |
— |
|
U.S. Agency MBS and CMOs |
|
|
32,890 |
|
|
|
— |
|
|
|
32,890 |
|
|
|
— |
|
Tax-exempt state and municipal bonds |
|
|
45,127 |
|
|
|
— |
|
|
|
45,127 |
|
|
|
— |
|
Taxable state and municipal bonds |
|
|
45,934 |
|
|
|
— |
|
|
|
45,934 |
|
|
|
— |
|
Corporate bonds and other debt securities |
|
|
7,637 |
|
|
|
— |
|
|
|
7,637 |
|
|
|
— |
|
Other equity securities |
|
|
1,438 |
|
|
|
— |
|
|
|
1,438 |
|
|
|
— |
|
Loans held for sale |
|
|
415 |
|
|
|
— |
|
|
|
415 |
|
|
|
— |
|
Interest rate swaps |
|
|
700 |
|
|
|
— |
|
|
|
— |
|
|
|
700 |
|
Interest rate swaps |
|
|
(700 |
) |
|
|
— |
|
|
|
— |
|
|
|
(700 |
) |
|
| 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
Value
|
|
|
Quoted Prices in
Active Markets
for Identical
Assets
(Level 1)
|
|
|
Significant Other
Observable
Inputs
(Level 2)
|
|
|
Significant
Unobservable
Inputs
(Level 3)
|
|
September 30, 2019 |
|
|
|
|
|
|
|
|
|
|
|
|
Impaired loans |
|
$ |
3,358 |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
3,358 |
|
Other real estate owned |
|
|
808 |
|
|
|
— |
|
|
|
— |
|
|
|
808 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December 31, 2018 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Impaired loans |
|
$ |
3,211 |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
3,211 |
|
Other real estate owned |
|
|
1,205 |
|
|
|
— |
|
|
|
— |
|
|
|
1,205 |
|
|
| 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):
September 30, 2019 |
|
Asset Fair
Value
|
|
Valuation
Technique
|
|
Unobservable
Inputs
|
|
Range (%) |
Impaired Loans |
|
$ |
3,358 |
|
Sales comparison approach |
|
Adjustment for differences between comparable sales |
|
1.0 to 30.0 |
| |
|
|
|
|
Income approach |
|
Capitalization rate |
|
9.5 to 11.0 |
Other real estate owned |
|
|
808 |
|
Sales comparison approach |
|
Adjustment for differences between comparable sales |
|
3.0 to 20.0 |
| |
|
|
|
|
Income approach |
|
Capitalization rate |
|
9.5 to 11.0 |
December 31, 2018 |
|
Asset Fair
Value
|
|
Valuation
Technique
|
|
Unobservable
Inputs
|
|
Range (%) |
Impaired Loans |
|
$ |
3,211 |
|
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 |
|
|
1,205 |
|
Sales comparison approach |
|
Adjustment for differences between comparable sales |
|
3.0 to 20.0 |
| |
|
|
|
|
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 September 30, 2019 and December 31, 2018 (dollars in thousands):
|
Level in |
|
September 30, 2019 |
|
|
December 31, 2018 |
|
|
Fair Value
|
|
Carrying
Amount
|
|
Fair
Value
|
|
|
Carrying
Amount
|
|
Fair
Value
|
|
Financial assets |
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and due from banks |
Level 1 |
|
$ |
50,870 |
|
|
$ |
50,870 |
|
|
$ |
40,526 |
|
|
$ |
40,526 |
|
Cash equivalents |
Level 2 |
|
|
319,566 |
|
|
|
319,566 |
|
|
|
130,758 |
|
|
|
130,758 |
|
Securities held to maturity |
Level 3 |
|
|
81,995 |
|
|
|
85,109 |
|
|
|
70,334 |
|
|
|
71,505 |
|
FHLB stock |
|
|
|
11,558 |
|
NA |
|
|
|
11,558 |
|
NA |
|
Loans, net |
Level 2 |
|
|
1,356,724 |
|
|
|
1,398,186 |
|
|
|
1,385,571 |
|
|
|
1,403,005 |
|
Bank owned life insurance |
Level 3 |
|
|
41,960 |
|
|
|
41,960 |
|
|
|
41,185 |
|
|
|
41,185 |
|
Accrued interest receivable |
Level 2 |
|
|
5,335 |
|
|
|
5,335 |
|
|
|
5,279 |
|
|
|
5,279 |
|
Financial liabilities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits |
Level 2 |
|
|
(1,820,140 |
) |
|
|
(1,821,372 |
) |
|
|
(1,676,739 |
) |
|
|
(1,677,634 |
) |
Other borrowed funds |
Level 2 |
|
|
(60,000 |
) |
|
|
(60,997 |
) |
|
|
(60,000 |
) |
|
|
(59,092 |
) |
Long-term debt |
Level 2 |
|
|
(41,238 |
) |
|
|
(37,173 |
) |
|
|
(41,238 |
) |
|
|
(37,046 |
) |
Accrued interest payable |
Level 2 |
|
|
(552 |
) |
|
|
(552 |
) |
|
|
(503 |
) |
|
|
(503 |
) |
Off-balance sheet credit-related items |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loan commitments |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|