Quarterly report pursuant to Section 13 or 15(d)

FAIR VALUE (Tables)

v3.21.2
FAIR VALUE (Tables)
6 Months Ended
Jun. 30, 2021
FAIR VALUE [Abstract]  
Assets and Liabilities Measured at Fair Value on Recurring Basis

Assets and liabilities 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)
 
June 30, 2021
                       
U.S. Treasury and federal agency securities
 
$
67,392
   
$
   
$
67,392
   
$
 
U.S. Agency MBS and CMOs
   
64,247
     
     
64,247
     
 
Tax-exempt state and municipal bonds
   
40,725
     
     
40,725
     
 
Taxable state and municipal bonds
   
63,132
     
     
63,132
     
 
Corporate bonds and other debt securities
   
4,459
     
     
4,459
     
 
Other equity securities
   
1,491
     
     
1,491
     
 
Loans held for sale
   
4,752
     
     
4,752
     
 
Interest rate swaps
   
3,586
     
     
     
3,586
 
Interest rate swaps
   
(3,586
)
   
     
     
(3,586
)
                                 
December 31, 2020
                               
Available for sale securities
                               
U.S. Treasury and federal agency securities
 
$
64,110
   
$
   
$
64,110
   
$
 
U.S. Agency MBS and CMOs
   
64,983
     
     
64,983
     
 
Tax-exempt state and municipal bonds
   
45,642
     
     
45,642
     
 
Taxable state and municipal bonds
   
57,177
     
     
57,177
     
 
Corporate bonds and other debt securities
   
4,920
     
     
4,920
     
 
Other equity securities
   
1,513
     
     
1,513
     
 
Loans held for sale
   
5,422
     
     
5,422
     
 
Interest rate swaps
   
4,217
     
     
     
4,217
 
Interest rate swaps
   
(4,217
)
   
     
     
(4,217
)
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)
 
June 30, 2021
                       
Impaired loans
 
$
1,665
   
$
   
$
   
$
1,665
 
Other real estate owned
   
     
     
     
 
                                 
December 31, 2020
                               
Impaired loans
 
$
4,686
   
$
   
$
   
$
4,686
 
Other real estate owned
   
194
     
     
     
194
 
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, 2021
                      
Impaired Loans
 
$
1,665
 
Sales comparison approach
 
Adjustment for differences between comparable sales
 
1.0 to 30.0
         
Income approach
 
Capitalization rate
 
9.5 to 11.0

   
Asset Fair
Value
 
Valuation
Technique
 
Unobservable
Inputs
 
Range (%)
December 31, 2020
                      
Impaired Loans
 
$
4,686
 
Sales comparison approach
 
Adjustment for differences between comparable sales
 
1.5 to 20.0
         
Income approach
 
Capitalization rate
 
9.5 to 11.0
Other real estate owned
   
194
 
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 June 30, 2021 and December 31, 2020 (dollars in thousands):


Level in   June 30, 2021     December 31, 2020  

Fair Value
Hierarchy
 
Carrying
Amount
   
Fair
Value
   
Carrying
Amount
   
Fair
Value
 
Financial assets
                         
Cash and due from banks
Level 1
 
$
31,051
   
$
31,051
   
$
31,480
   
$
31,480
 
Cash equivalents
Level 2
   
1,189,266
     
1,189,266
     
752,256
     
752,256
 
Securities held to maturity
Level 3
   
121,867
     
124,972
     
79,468
     
83,246
 
FHLB stock
     
11,558
   
NA
     
11,558
   
NA
 
Loans, net
Level 2
   
1,219,857
     
1,251,865
     
1,407,236
     
1,448,874
 
Bank owned life insurance
Level 3
   
52,507
     
52,507
     
42,516
     
42,516
 
Accrued interest receivable
Level 2
   
4,539
     
4,539
     
5,625
     
5,625
 
Financial liabilities
                                 
Deposits
Level 2
   
(2,600,076
)
   
(2,600,122
)
   
(2,298,587
)
   
(2,298,867
)
Other borrowed funds
Level 2
   
(60,000
)
   
(62,198
)
   
(70,000
)
   
(73,010
)
Long-term debt
Level 2
   
(20,619
)
   
(18,126
)
   
(20,619
)
   
(18,011
)
Accrued interest payable
Level 2
   
(217
)
   
(217
)
   
(242
)
   
(242
)
Off-balance sheet credit-related items
                                 
Loan commitments