Document and Entity Information
Document and Entity Information - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Mar. 01, 2016 | Jun. 30, 2015 | |
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2015 | ||
Entity Registrant Name | NORWOOD FINANCIAL CORP | ||
Entity Central Index Key | 1,013,272 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 3,702,357 | ||
Document Fiscal Year Focus | 2,015 | ||
Document Fiscal Period Focus | FY | ||
Entity Current Reporting Status | Yes | ||
Entity Public Float | $ 102.1 | ||
Entity Voluntary Filers | No | ||
Entity Well-known Seasoned Issuer | No |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 | |
ASSETS | |||
Cash and due from banks | $ 9,744 | $ 8,081 | |
Interest bearing deposits with banks | 266 | 4,295 | |
Cash and cash equivalents | 10,010 | 12,376 | |
Securities available for sale | 138,851 | 156,395 | |
Loans receivable (net of allowance for loan losses 2015: $7,298; 2014: $5,875) | 552,627 | 495,260 | |
Regulatory stock, at cost | 3,412 | 1,714 | |
Premises and equipment, net | 6,472 | 6,734 | |
Bank owned life insurance | 18,820 | 18,284 | |
Accrued interest receivable | 2,363 | 2,339 | |
Foreclosed real estate owned | 2,847 | 3,726 | |
Goodwill | 9,715 | 9,715 | |
Other intangibles | 285 | 389 | |
Deferred tax asset | 3,669 | 3,285 | |
Other assets | 1,434 | 1,418 | |
Total Assets | 750,505 | 711,635 | |
LIABILITIES | |||
Deposits: Non-interest bearing demand | 107,814 | 98,064 | |
Deposits: Interest-bearing demand | 52,040 | 46,441 | |
Deposits: Money market deposit accounts | 119,028 | 120,603 | |
Deposits: Savings | 75,280 | 73,004 | |
Deposits: Time | 196,747 | 221,832 | |
Total deposits | 550,909 | 559,944 | |
Short-term borrowings | 53,235 | 25,695 | |
Other borrowings | 41,126 | 22,200 | |
Accrued interest payable | 957 | 966 | |
Other liabilities | 3,280 | 3,789 | |
Total Liabilities | 649,507 | 612,594 | |
STOCKHOLDERS' EQUITY | |||
Common stock, $.10 par value per share, authorized 10,000,000 shares, issued: 2015: 3,724,668 shares, 2014: 3,718,018 shares | 373 | 372 | |
Surplus | 35,351 | 35,206 | |
Retained earnings | 65,412 | 64,078 | |
Treasury stock at cost: 2015: 23,311 shares, 2014: 40,576 shares | (626) | (1,077) | |
Accumulated other comprehensive income | [1] | 488 | 462 |
Total Stockholders' Equity | 100,998 | 99,041 | |
Total Liabilities and Stockholders' Equity | $ 750,505 | $ 711,635 | |
[1] | All amounts are net of tax. Amounts in parentheses indicate debits. |
Consolidated Balance Sheets (pa
Consolidated Balance Sheets (parenthetical) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Consolidated Balance Sheets [Abstract] | ||
Allowance for loan losses | $ 7,298 | $ 5,875 |
Common Stock, Par or Stated Value Per Share | $ 0.10 | $ 0.10 |
Common Stock, Shares Authorized | 10,000,000 | 10,000,000 |
Common Stock, Shares, Issued | 3,724,668 | 3,718,018 |
Treasury Stock, Shares | 23,311 | 40,576 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
INTEREST INCOME | |||
Loans receivable, including fees | $ 24,002 | $ 23,841 | $ 24,576 |
Securities: Taxable | 1,918 | 2,032 | 1,662 |
Securities: Tax exempt | 1,843 | 1,888 | 1,995 |
Other | 16 | 7 | 26 |
Total interest income | 27,779 | 27,768 | 28,259 |
INTEREST EXPENSE | |||
Deposits | 2,421 | 2,463 | 2,848 |
Short-term borrowings | 85 | 77 | 66 |
Other borrowings | 752 | 668 | 684 |
Total interest expense | 3,258 | 3,208 | 3,598 |
Net Interest Income | 24,521 | 24,560 | 24,661 |
Provision for loan losses | 4,580 | 1,680 | 2,400 |
Net interest income after provision for loan losses | 19,941 | 22,880 | 22,261 |
OTHER INCOME | |||
Service charges and fees | 2,440 | 2,350 | 2,412 |
Income from fiduciary activities | 439 | 437 | 379 |
Net realized gains on sales of securities | 626 | 1,170 | 881 |
Net gain on sale of loans and servicing rights | 104 | 132 | 112 |
Earnings and proceeds on life insurance policies | 665 | 685 | 1,386 |
Other | 425 | 336 | 445 |
Total other income | 4,699 | 5,110 | 5,615 |
OTHER EXPENSES | |||
Salaries and employee benefits | 8,535 | 8,616 | 8,447 |
Occupancy | 1,660 | 1,676 | 1,598 |
Furniture and equipment | 422 | 441 | 538 |
Data processing related operations | 943 | 929 | 891 |
Federal Deposit Insurance Corporation insurance assessment | 411 | 420 | 444 |
Advertising | 240 | 224 | 208 |
Professional fees | 730 | 671 | 626 |
Postage and telephone | 436 | 414 | 435 |
Taxes, other than income | 711 | 649 | 710 |
Foreclosed real estate expense | 911 | 1,555 | 567 |
Amortization of intangible assets | 105 | 121 | 137 |
Other | 1,996 | 2,011 | 2,104 |
Total other expenses | 17,100 | 17,727 | 16,705 |
Income before Income Taxes | 7,540 | 10,263 | 11,171 |
Income tax expense | 1,632 | 2,606 | 2,706 |
Net Income | $ 5,908 | $ 7,657 | $ 8,465 |
EARNINGS PER SHARE | |||
BASIC EARNINGS PER SHARE | $ 1.60 | $ 2.10 | $ 2.33 |
DILUTED EARNINGS PER SHARE | $ 1.60 | $ 2.10 | $ 2.33 |
Consolidated Statement of Compr
Consolidated Statement of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |||
Consolidated Statement of Comprehensive Income [Abstract] | |||||
Net Income | $ 5,908 | $ 7,657 | $ 8,465 | ||
Other comprehensive income (loss): | |||||
Investment securities available for sale: Unrealized holding gains (losses) | 656 | 5,820 | (7,299) | ||
Investment securities available for sale: Tax effect | (217) | (1,984) | 2,481 | ||
Reclassification of gains from sale of securities | (626) | (1,170) | (881) | ||
Reclassification of gains from sale of securities: Tax effect | 213 | 398 | 300 | ||
Other comprehensive income (loss), net of tax amount | 26 | [1] | 3,064 | [1] | (5,399) |
Comprehensive Income | $ 5,934 | $ 10,721 | $ 3,066 | ||
[1] | All amounts are net of tax. Amounts in parentheses indicate debits. |
Consolidated Statements of Chan
Consolidated Statements of Changes in Stockholders' Equity - USD ($) $ in Thousands | Common Stock [Member] | Surplus [Member] | Retained Earnings [Member] | Treasury Stock [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Total | |
Beginning balance at Dec. 31, 2012 | $ 337 | $ 24,737 | $ 66,742 | $ (2,192) | $ 2,797 | $ 92,421 | |
Common Stock, Beginning Balance at Dec. 31, 2012 | 3,371,849 | 75,426 | |||||
Net Income | $ 0 | 0 | 8,465 | $ 0 | 0 | 8,465 | |
Other comprehensive loss | 0 | 0 | 0 | 0 | (5,399) | (5,399) | |
Cash dividends declared | 0 | 0 | (4,216) | 0 | 0 | (4,216) | |
Acquisition of treasury stock | 0 | 0 | 0 | $ (319) | 0 | (319) | |
Acquisition of treasury stock, shares | 10,712 | ||||||
Stock options exercised | 0 | (79) | 0 | $ 654 | 0 | $ 575 | |
Stock options exercised, shares | (24,127) | (24,127) | |||||
Tax benefit of stock options exercised | 0 | 39 | 0 | $ 0 | 0 | $ 39 | |
Sale of treasury stock for ESOP | 0 | 2 | 0 | $ 144 | 0 | 146 | |
Sale of treasury stock for ESOP, shares | (5,426) | ||||||
Compensation expense related to stock options | 0 | 162 | 0 | $ 0 | 0 | 162 | |
Stock dividend declared-10% | $ 34 | 10,149 | (10,193) | $ 0 | 0 | (10) | |
Stock dividend declared, shares | 336,869 | 8,043 | |||||
Common Stock, Ending Balance at Dec. 31, 2013 | 3,708,718 | 64,628 | |||||
Ending balance at Dec. 31, 2013 | $ 371 | 35,010 | 60,798 | $ (1,713) | (2,602) | 91,864 | |
Net Income | 0 | 0 | 7,657 | 0 | 0 | 7,657 | |
Other comprehensive loss | 0 | 0 | 0 | 0 | 3,064 | 3,064 | [1] |
Cash dividends declared | 0 | 0 | (4,377) | 0 | 0 | (4,377) | |
Acquisition of treasury stock | 0 | 0 | 0 | $ (179) | 0 | (179) | |
Acquisition of treasury stock, shares | 6,669 | ||||||
Stock options exercised | 0 | 13 | 0 | $ 678 | 0 | $ 691 | |
Stock options exercised, shares | (25,577) | (25,577) | |||||
Tax benefit of stock options exercised | 0 | 17 | 0 | $ 0 | 0 | $ 17 | |
Sale of treasury stock for ESOP | 0 | 13 | 0 | $ 137 | 0 | 150 | |
Sale of treasury stock for ESOP, shares | (5,144) | ||||||
Compensation expense related to stock options | 0 | 154 | 0 | $ 0 | 0 | 154 | |
Restricted stock awards | $ 1 | (1) | 0 | $ 0 | 0 | 0 | |
Restricted stock awards, shares | 9,300 | 0 | |||||
Common Stock, Ending Balance at Dec. 31, 2014 | 3,718,018 | 40,576 | |||||
Ending balance at Dec. 31, 2014 | $ 372 | 35,206 | 64,078 | $ (1,077) | 462 | 99,041 | |
Net Income | 0 | 0 | 5,908 | 0 | 0 | 5,908 | |
Other comprehensive loss | 0 | 0 | 0 | 0 | 26 | 26 | [1] |
Cash dividends declared | 0 | 0 | (4,574) | 0 | 0 | (4,574) | |
Acquisition of treasury stock | 0 | 0 | 0 | $ (127) | 0 | (127) | |
Acquisition of treasury stock, shares | 4,374 | ||||||
Stock options exercised | 0 | (9) | 0 | $ 450 | 0 | $ 441 | |
Stock options exercised, shares | (16,859) | (16,859) | |||||
Tax benefit of stock options exercised | 0 | 16 | 0 | $ 0 | 0 | $ 16 | |
Sale of treasury stock for ESOP | 0 | 10 | 0 | $ 136 | 0 | 146 | |
Sale of treasury stock for ESOP, shares | (5,060) | ||||||
Compensation expense related to stock options | 0 | 66 | 0 | $ 0 | 0 | 66 | |
Restricted stock awards | $ 1 | 62 | 0 | $ (8) | 0 | 55 | |
Restricted stock awards, shares | 6,650 | 280 | |||||
Common Stock, Ending Balance at Dec. 31, 2015 | 3,724,668 | 23,311 | |||||
Ending balance at Dec. 31, 2015 | $ 373 | $ 35,351 | $ 65,412 | $ (626) | $ 488 | $ 100,998 | |
[1] | All amounts are net of tax. Amounts in parentheses indicate debits. |
Consolidated Statements of Cha7
Consolidated Statements of Changes in Stockholders' Equity (parenthetical) - $ / shares | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Consolidated Statements of Changes in Stockholders' Equity [Abstract] | |||
Cash dividends declared | $ 1.24 | $ 1.20 | $ 1.16 |
Common Stock, Dividend Rate, Percentage | 10.00% |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
CASH FLOWS FROM OPERATING ACTIVITIES | |||
Net Income | $ 5,908 | $ 7,657 | $ 8,465 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Provision for loan losses | 4,580 | 1,680 | 2,400 |
Depreciation | 551 | 572 | 594 |
Amortization of intangible assets | 105 | 121 | 137 |
Deferred income taxes | (387) | (51) | 140 |
Net amortization of securities premiums and discounts | 936 | 860 | 1,057 |
Net realized gains on sales of securities | (626) | (1,170) | (881) |
Earnings and proceeds on life insurance policies | (665) | (685) | (617) |
Loss on sales of fixed assets and foreclosed real estate owned | 427 | 920 | 347 |
Net gain on sale of mortgage loans | (113) | (150) | (112) |
Mortgage loans originated for sale | (4,297) | (4,269) | (3,986) |
Proceeds from sale of mortgage loans originated for sale | 4,410 | 4,419 | 4,053 |
Compensation expense related to stock options | 66 | 154 | 162 |
Compensation expense related to restricted stock | 55 | 0 | 0 |
(Increase) decrease in accrued interest receivable and other assets | 113 | 238 | 759 |
(Decrease) increase in accrued interest payable and other liabilities | (565) | 235 | 173 |
Net cash provided by operating activities | 10,498 | 10,531 | 12,691 |
CASH FLOWS FROM INVESTING ACTIVITIES | |||
Securities available for sale: Proceeds from sales | 44,976 | 66,263 | 42,348 |
Securities available for sale: Proceeds from maturities and principal reductions on mortgage-backed securities | 22,853 | 14,859 | 21,142 |
Securities available for sale: Purchases | (50,565) | (74,426) | (84,589) |
Proceeds from maturities on securities held-to-maturity | 0 | 175 | 0 |
Purchase of regulatory stock | (4,095) | (1,963) | (741) |
Redemption of regulatory stock | 2,397 | 3,126 | 494 |
Net increase in loans | (65,830) | (4,270) | (29,515) |
Proceeds from bank-owned life insurance | 0 | 75 | 1,089 |
Purchase of bank-owned life insurance | 0 | 0 | (3,000) |
Purchase of premises and equipment | (290) | (193) | (393) |
Proceeds from sales of foreclosed real estate owned and fixed assets | 4,310 | 1,045 | 508 |
Net cash (used in) provided by investing activities | (46,244) | 4,691 | (52,657) |
CASH FLOWS FROM FINANCING ACTIVITIES | |||
Net (decrease) increase in deposits | (9,035) | 18,762 | 16,757 |
Net increase (decrease) in short-term borrowings | 27,540 | (24,219) | 21,217 |
Repayments of other borrowings | (10,074) | (1,561) | (5,726) |
Proceeds from other borrowings | 29,000 | 0 | 7,000 |
Stock options exercised | 441 | 691 | 575 |
Tax benefit of stock options exercised | 16 | 17 | 39 |
ESOP purchase of shares from treasury stock | 146 | 150 | 146 |
Purchase of treasury stock | (127) | (179) | (319) |
Cash dividends paid | (4,527) | (4,370) | (4,155) |
Net cash provided by (used in) financing activities | 33,380 | (10,709) | 35,534 |
Net (Decrease) increase in cash and cash equivalents | (2,366) | 4,513 | (4,432) |
CASH AND CASH EQUIVALENTS - BEGINNING | 12,376 | 7,863 | 12,295 |
CASH AND CASH EQUIVALENTS - ENDING | 10,010 | 12,376 | 7,863 |
Supplemental Disclosure of Cash Flow Information | |||
Cash payments for: Interest paid | 3,267 | 3,264 | 3,818 |
Cash payments for: Income taxes paid, net of refunds | 2,315 | 2,645 | 2,417 |
Supplemental Schedule of Noncash Investing Activities | |||
Transfers of loans to foreclosed real estate and repossession of other assets | 3,880 | 4,704 | 1,012 |
Dividends payable | $ 1,147 | $ 1,100 | $ 1,093 |
Nature of Operations
Nature of Operations | 12 Months Ended |
Dec. 31, 2015 | |
Nature of Operations [Abstract] | |
NATURE OF OPERATIONS | NOTES TO CONSOLIDATED FINANCIAL STATEMENTS NOTE 1 - NATURE OF OPERATIONS Norwood Financial Corp (Company) is a one bank holding company. Wayne Bank (Bank) is a wholly-owned subsidiary of the Company. The Bank is a state-chartered bank located in Honesdale, Pennsylvania. The Company derives substantially all of its income from the bank related services which include interest earnings on commercial mortgages, residential real estate mortgages, commercial and consumer loans, as well as interest earnings on investment securities and fees from deposit services to its customers. The Company is subject to regulation and supervision by the Federal Reserve Board while the Bank is subject to regulation and supervision by the Federal Deposit Insurance Corporation and the Pennsylvania Department of Banking and Securities. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2015 | |
Summary of Significant Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Principles of Consolidation The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiary, the Bank, and the Bank’s wholly-owned subsidiaries, WCB Realty Corp., Norwood Investment Corp., Norwood Settlement Services, LLC and WTRO Properties. All significant intercompany accounts and transactions have been eliminated in consolidation. Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses, the valuation of deferred tax assets, the determination of other-than-temporary impairment on securities, the determination of goodwill impairment and the fair value of financial instruments. Significant Group Concentrations of Credit Risk Most of the Company’s activities are with customers located within northeastern Pennsylvania. Note 3 discusses the types of securities that the Company invests in. Note 4 discusses the types of lending that the Company engages in. The Company does not have any significant concentrations to any one industry or customer. Concentrations of Credit Risk The Bank operates primarily in Wayne, Pike, Lackawanna and Monroe Counties, Pennsylvania and, accordingly, has extended credit primarily to commercial entities and individuals in this area whose ability to honor their contracts is influenced by the region’s economy. These customers are also the primary depositors of the Bank. The Bank is limited in extending credit by legal lending limits to any single borrower or group of borrowers. Securities Securities classified as available for sale are those securities that the Company intends to hold for an indefinite period of time but not necessarily to maturity. Any decision to sell a security classified as available for sale would be based on various factors, including significant movement in interest rates, changes in maturity mix of the Company’s assets and liabilities, liquidity needs, regulatory capital considerations and other similar factors. Securities available for sale are carried at fair value. Unrealized gains and losses are reported in other comprehensive income, net of the related deferred tax effect. Realized gains or losses, determined on the basis of the cost of the specific securities sold, are included in earnings. Premiums and discounts are recognized in interest income using a method which approximates the interest method over the term of the security. Bonds, notes and debentures for which the Company has the positive intent and ability to hold to maturity are reported at cost, adjusted for premiums and discounts that are recognized in interest income using the interest method over the term of the security. Management determines the appropriate classification of debt securities at the time of purchase and re-evaluates such designation as of each Consolidated Balance Sheet date. Declines in the fair value of held to maturity and available for sale securities below their cost that are deemed to be other than temporary are reflected in earnings as realized losses. In estimating other-than-temporary impairment losses, management considers (1) the length of time and the extent to which the fair value has been less than cost, (2) the financial condition and near-term prospects of the issuer, and (3) the intent of the Company to not sell the securities and it is more likely than not that it will not have to sell the securities before recovery of their cost basis. The Company, as a member of the Federal Home Loan Bank (FHLB) system is required to maintain an investment in capital stock of its district FHLB according to a predetermined formula. This regulatory stock has no quoted market value and is carried at cost. Management evaluates the regulatory stock for impairment. Management’s determination of whether these investments are impaired is based on their assessment of the ultimate recoverability of their cost rather than by recognizing temporary declines in value. The determination of whether a decline affects the ultimate recoverability of their cost is influenced by criteria such as (1) the significance of the decline in net assets of the FHLB as compared to the capital stock amount for the FHLB and the length of time this situation has persisted, (2) commitments by the FHLB to make payments required by law or regulation and the level of such payments in relation to the operating performance of the FHLB, and (3) the impact of legislative and regulatory changes on institutions and, accordingly, on the customer base of the FHLB. Management considers the FHLB’s regulatory capital ratios, liquidity, and the fact that new shares of FHLB stock continue to change hands at the $100 par value. Management believes no impairment charge is necessary related to FHLB stock as of December 31, 2015. Loans Receivable Loans receivable that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are stated at their outstanding unpaid principal balances, net of an allowance for loan losses and any deferred fees. Interest income is accrued on the unpaid principal balance. Loan origination fees are deferred and recognized as an adjustment of the yield (interest income) of the related loans. The Company is generally amortizing these amounts over the contractual life of the loan. The accrual of interest is generally discontinued when the contractual payment of principal or interest has become 90 days past due or management has serious doubts about further collectability of principal or interest, even though the loan is currently performing. A loan may remain on accrual status if it is in the process of collection and is either guaranteed or well secured. When a loan is placed on nonaccrual status, unpaid interest credited to income in the current year is reversed and unpaid interest accrued in prior years is charged against the allowance for loan losses. Interest received on nonaccrual loans generally is either applied against principal or reported as interest income, according to management’s judgment as to the collectability of principal. Generally, loans are restored to accrual status when the obligation is brought current, has performed in accordance with the contractual terms for a reasonable period of time and the ultimate collectability of the total contractual principal and interest is no longer in doubt. Troubled Debt Restructurings A loan is considered to be a troubled debt restructuring (TDR) loan when the Company grants a concession to the borrower because of the borrower’s financial condition that it would not otherwise consider. Such concessions include the reduction of interest rates, forgiveness of principal or interest, or other modifications of interest rates that are less than the current market rate for new obligations with similar risk. Loans Acquired Loans acquired including loans that have evidence of deterioration of credit quality since origination and for which it is probable, at acquisition, that the Company will be unable to collect all contractually required payments receivable, are initially recorded at fair value (as determined by the present value of expected future cash flows) with no valuation allowance. Loans are evaluated individually to determine if there is evidence of deterioration of credit quality since origination. The difference between the undiscounted cash flows expected at acquisition and the investment in the loan, or the “accretable yield,” is recognized as interest income on a level-yield method over the life of the loan. Contractually required payments for interest and principal that exceed the undiscounted cash flows expected at acquisition, or the “non-accretable difference,” are not recognized as a yield adjustment or as a loss accrual or a valuation allowance. Increases in expected cash flows subsequent to the initial investment are recognized prospectively through adjustment of the yield on the loan over its remaining estimated life. Decreases in expected cash flows are recognized immediately as impairment. Any valuation allowances on these impaired loans reflect only losses incurred after the acquisition. For purchased loans acquired that are not deemed impaired at acquisition, credit discounts representing the principal losses expected over the life of the loan are a component of the initial fair value. Loans may be aggregated and accounted for as a pool of loans if the loans being aggregated have common risk characteristics. Subsequent to the purchase date, the methods utilized to estimate the required allowance for credit losses for these loans is similar to originated loans; however, the Company records a provision for loan losses only when the required allowance exceeds any remaining credit discounts. The remaining differences between the purchase price and the unpaid principal balance at the date of acquisition are recorded in interest income over the life of the loans. Mortgage Servicing Rights Servicing assets are recognized as separate assets when rights are acquired through purchase or through the sale of financial assets. Capitalized servicing rights are reported in other assets and are amortized into noninterest income in proportion to, and over the period of, the estimated future net servicing income of the underlying financial assets. Servicing assets are evaluated for impairment based upon a third party appraisal. Fair value is determined using prices for similar assets with similar characteristics, when available, or based upon discounted cash flows using market-based assumptions. Impairment is recognized through a valuation allowance to the extent that fair value is less than the capitalized amount. The Company’s loan servicing assets at December 31, 2015 and 2014, respectively, were not impaired. Total servicing assets included in other assets as of December 31, 2015 and 2014, were $261,000 and $271,000 , respectively. Allowance for Loan Losses The allowance for loan losses is established through provisions for loan losses charged against income. Loans deemed to be uncollectible are charged against the allowance for loan losses, and subsequent recoveries, if any, are credited to the allowance. The allowance for loan losses is maintained at a level considered adequate to provide for losses that can be reasonably anticipated. Management’s periodic evaluation of the adequacy of the allowance is based on the Company’s past loan loss experience, known and inherent risks in the portfolio, adverse situations that may affect the borrower’s ability to repay, the estimated value of any underlying collateral, composition of the loan portfolio, current economic conditions and other relevant factors. This evaluation is inherently subjective as it requires material estimates that may be susceptible to significant revision as more information becomes available. The allowance consists of specific and components. The specific component relates to loans that are classified as substandard. For such loans that are also classified as impaired, an allowance is established when the discounted cash flows (or collateral value or observable market price) of the impaired loan is lower than the carrying value of that loan. The general component covers non-classified loans and is based on historical loss experience adjusted for qualitative factors. A loan is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement. Factors considered by management in determining impairment include payment status, collateral value and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record and the amount of the shortfall in relation to the principal and interest owed. Impairment is measured on a loan by loan basis for commercial and construction loans by either the present value of expected future cash flows discounted at the loan’s effective interest rate, the loan’s obtainable market price or the fair value of the collateral if the loan is collateral dependent. Large groups of smaller balance homogeneous loans are collectively evaluated for impairment. Accordingly, the Company does not separately identify individual consumer and residential real estate loans for impairment disclosures, unless such loans were acquired with impairment or are the subject of a restructuring agreement. Premises and Equipment Land is carried at cost. Premises and equipment are stated at cost less accumulated depreciation. Depreciation expense is calculated principally on the straight-line method over the respective assets estimated useful lives as follows: Years Buildings and improvements 10 - 40 Furniture and equipment 3 - 10 Transfers of Financial Assets Transfers of financial assets, including loan and loan participation sales, are accounted for as sales, when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when (1) the assets have been isolated from the Company, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets and (3) the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity or the ability to unilaterally cause the holder to return specific assets. Foreclosed Real Estate Real estate properties acquired through, or in lieu of, loan foreclosure are to be sold and are initially recorded at fair value less cost to sell at the date of foreclosure establishing a new cost basis. After foreclosure, valuations are periodically performed by management and the real estate is carried at the lower of its carrying amount or fair value less cost to sell. Revenue and expenses from operations and changes in the valuation allowance are included in other expenses. Bank Owned Life Insurance The Company invests in bank owned life insurance (BOLI) as a source of funding for employee benefit expenses. BOLI involves the purchasing of life insurance by the Bank on a select group of employees. The Company is the owner and beneficiary of the policies. This life insurance investment is carried at the cash surrender value of the underlying policies. Income from the increase in cash surrender value of the policies or from death benefits realized is included in other income on the Consolidated Statements of Income. Goodwill In connection with an acquisition the Company recorded goodwill in the amount of $9.7 million, representing the excess of amounts paid over the fair value of net assets of the institutions acquired. Goodwill is tested and deemed impaired when the carrying value of goodwill exceeds its implied fair value. The value of the goodwill can change in the future. We expect the value of the goodwill to decrease if there is a significant decrease in the franchise value of the Bank. If an impairment loss is determined in the future, we will reflect the loss as an expense for the period in which the impairment is determined, leading to a reduction of our net income for that period by the amount of the impairment loss. No impairment was recognized for the years ended December 31, 2015, 2014 and 2013. Intangible Assets At December 31, 2015, the Company had intangible assets of $285,000 which is net of accumulated amortization of $610,000 . These intangible assets will continue to be amortized using the sum-of-the-years digits method of amortization over ten years. At December 31, 2014, the Company had intangible assets of $389,000 which is net of accumulated amortization of $506,000 . Amortization expense related to intangible assets was $105,000 , $121,000 and $137,000 for the years ended December 31, 2015, 2014 and 2013. As of December 31, 2015, the estimated future amortization expense for the core deposit intangible was: 2016 $ 88,000 2017 72,000 2018 56,000 2019 39,000 2020 23,000 2021 7,000 $ 285,000 Income Taxes Deferred income tax assets and liabilities are determined based on the differences between financial statement carrying amounts and the tax basis of existing assets and liabilities. These differences are measured at the enacted tax rates that will be in effect when these differences reverse. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion of the deferred tax assets will not be realized. As changes in tax laws or rates are enacted, deferred tax assets and liabilities are adjusted through the provision for income taxes. The Company and its subsidiary file a consolidated federal income tax return. The Company recognizes interest and penalties on income taxes as a component of income tax expense. The Company analyzes each tax position taken in its tax returns and determines the likelihood that the position will be realized. Only tax positions that are “more-likely-than-not” to be realized can be recognized in an entity’s financial statements. For tax positions that do not meet this recognition threshold, an entity will record an unrecognized tax benefit for the difference between the position taken on the tax return and the amount recognized in the financial statements. The Company does not have any unrecognized tax benefits at December 31, 2015 or 2014 or during the years then ended. No unrecognized tax benefits are expected to arise within the next twelve months. Advertising Costs Advertising costs are expensed as incurred. Earnings per Share Basic earnings per share represents income available to common stockholders divided by the weighted average number of common shares outstanding during the period less any unvested restricted shares. Diluted earnings per share reflects additional common shares that would have been outstanding if dilutive potential common shares had been issued, as well as any adjustment to income that would result from the assumed issuance. Potential common shares that may be issued by the Company relate solely to outstanding stock options and are determined using the treasury stock method. Treasury shares are not deemed outstanding for earnings per share calculations. Stock Option Plans The Company recognizes the value of share-based payment transactions as compensation costs in the financial statements over the period that an employee provides service in exchange for the award. The fair value of the share-based payments for stock options is estimated using the Black-Scholes option-pricing model. The Company used the modified-prospective transition method to record compensation expense. Under the modified prospective method, companies are required to record compensation cost for new and modified awards over the related vesting period of such awards and record compensation cost prospectively for the unvested portion, at the date of adoption, of previously issued and outstanding awards over the remaining vesting period of such awards. No change to prior periods presented is permitted under the modified prospective method. Restricted Stock The Company recognizes compensation cost related to restricted stock based on the market price of the stock at the grant date over the vesting period. The product of the number of shares granted and the grant date market price of the Company’s common stock determines the fair value of restricted stock under the Company’s 2014 Equity Incentive Plan. The Company recognizes compensation expense for the fair value of the restricted stock on a straight-line basis over the requisite service period for the entire award. Cash Flow Information For the purposes of reporting cash flows, cash and cash equivalents include cash on hand, amounts due from banks, interest-bearing deposits with banks and federal funds sold. Off-Balance Sheet Financial Instruments In the ordinary course of business, the Company has entered into off-balance sheet financial instruments consisting of commitments to extend credit, letters of credit and commitments to sell loans. Such financial instruments are recorded on the balance sheets when they become receivable or payable. Trust Assets Assets held by the Company in a fiduciary capacity for customers are not included in the financial statements since such items are not assets of the Company. Trust income is reported on the accrual method. Treasury Stock Common shares repurchased are recorded as treasury stock at cost. Comprehensive Income Accounting principles generally require that recognized revenue, expenses, gains and losses be included in net income. Although certain changes in assets and liabilities, such as unrealized gains and losses on available for sale securities, are reported as a separate component of the equity section of the balance sheet. Such items, along with net income, are components of comprehensive income as presented in the Consolidated Statement of Comprehensive Income. Segment Reporting The Company acts as an independent community financial service provider and offers traditional banking related financial services to individual, business and government customers. Through its branch and automated teller machine network, the Company offers a full array of commercial and retail financial services, including the taking of time, savings and demand deposits; the making of commercial, consumer and mortgage loans; and the providing of safe deposit services. The Company also performs personal, corporate, pension and fiduciary services through its Trust Department. Management does not separately allocate expenses, including the cost of funding loan demand, between the commercial, retail, mortgage banking and trust operations of the Company. As such, discrete information is not available and segment reporting would not be meaningful. New Accounting Standards In January 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2014-01, Investments – Equity Method and Joint Ventures (Topic 323): Accounting for Investments in Qualified Affordable Housing Projects. The amendments in this Update permit reporting entities to make an accounting policy election to account for their investments in qualified affordable housing projects using the proportional amortization method if certain conditions are met. Under the proportional amortization method, an entity amortizes the initial cost of the investment in proportion to the tax credits and other tax benefits received and recognizes the net investment performance in the income statement as a component of income tax expense (benefit). The amendments in this Update should be applied retrospectively to all periods presented. A reporting entity that uses the effective yield method to account for its investments in qualified affordable housing projects before the date of adoption may continue to apply the effective yield method for those preexisting investments. The amendments in this Update are effective for public business entities for annual periods and interim reporting periods within those annual periods, beginning after December 15, 2014. Early adoption is permitted. This Update did not have a significant impact on the Company’s financial statements. In January 2014, the FASB issued ASU 2014-04, Receivables – Troubled Debt Restructurings by Creditors (Subtopic 310-40): Reclassification of Residential Real Estate Collateralized Consumer Mortgage Loans upon Foreclosure. The amendments in this Update clarify that an in substance repossession or foreclosure occurs, and a creditor is considered to have received physical possession of residential real estate property collateralizing a consumer mortgage loan, upon either (1) the creditor obtaining legal title to the residential real estate property upon completion of a foreclosure or (2) the borrower conveying all interest in the residential real estate property to the creditor to satisfy that loan through completion of a deed in lieu of foreclosure or through a similar legal agreement. Additionally, the amendments require interim and annual disclosure of both (1) the amount of foreclosed residential real estate property held by the creditor and (2) the recorded investment in consumer mortgage loans collateralized by residential real estate property that are in the process of foreclosure according to local requirements of the applicable jurisdiction . The amendments in this Update are effective for public business entities for annual periods, and interim periods within those annual periods, beginning after December 15, 2014. An entity can elect to adopt the amendments in this Update using either a modified retrospective transition method or a prospective transition method. The Company has included the disclosures related to this Update in Note 4. In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers (a new revenue recognition standard). The Update’s core principle is that a company will recognize revenue to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. In addition, this update specifies the accounting for certain costs to obtain or fulfill a contract with a customer and expands disclosure requirements for revenue recognition. This Update is effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period. The Company is evaluating the effect of adopting this new accounting Update. In June 2014, the FASB issued ASU 2014-11, Transfers and Servicing (Topic 860): Repurchase-to-Maturity Transactions, Repurchase Financings, and Disclosures . The amendments in this Update change the accounting for repurchase-to-maturity transactions to secured borrowing accounting. For repurchase financing arrangements, the amendments require separate accounting for a transfer of a financial asset executed contemporaneously with a repurchase agreement with the same counterparty, which will result in secured borrowing accounting for the repurchase agreement. The amendments also require enhanced disclosures. The accounting changes in this Update are effective for the first interim or annual period beginning after December 15, 2014. An entity is required to present changes in accounting for transactions outstanding on the effective date as a cumulative-effect adjustment to retained earnings as of the beginning of the period of adoption. Earlier application is prohibited. The disclosure for certain transactions accounted for as a sale is required to be presented for interim and annual periods beginning after December 15, 2014, and the disclosure for repurchase agreements, securities lending transactions, and repurchase-to-maturity transactions accounted for as secured borrowings is required to be presented for annual periods beginning after December 15, 2014, and for interim periods beginning after March 15, 2015. The disclosures are not required to be presented for comparative periods before the effective date. The Company has included the disclosures related to this Update in Note 7. In June 2014, the FASB issued ASU 2014-12, Compensation – Stock Compensation ( Topic 718 ): Accounting for Share-Based Payments when the Terms of an Award Provide that a Performance Target Could Be Achieved After the Requisite Service Period . The amendments require that a performance target that affects vesting and that could be achieved after the requisite service period be treated as a performance condition. The amendments in this Update are effective for annual periods and interim periods within those annual periods beginning after December 15, 2015. Earlier adoption is permitted. Entities may apply the amendments in this Update either (a) prospectively to all awards granted or modified after the effective date or (b) retrospectively to all awards with performance targets that are outstanding as of the beginning of the earliest annual period presented in the financial statements and to all new or modified awards thereafter. If retrospective transition is adopted, the cumulative effect of applying this Update as of the beginning of the earliest annual period presented in the financial statements should be recognized as an adjustment to the opening retained earnings balance at that date. Additionally, if retrospective transition is adopted, an entity may use hindsight in measuring and recognizing the compensation cost. This Update is not expected to have a significant impact on the Company’s financial statements. In August 2014, the FASB issued ASU 2014-14, Receivables – Troubled Debt Restructurings by Creditors (Subtopic 310-40) . The amendments in this Update require that a mortgage loan be derecognized and that a separate other receivable be recognized upon foreclosure if the following conditions are met: (1) the loan has a government guarantee that is not separable from the loan before foreclosure, (2) at the time of foreclosure, the creditor has the intent to convey the real estate property to the guarantor and make a claim on the guarantee, and the creditor has the ability to recover under that claim, and (3) at the time of foreclosure, any amount of the claim that is determined on the basis of the fair value of the real estate is fixed. Upon foreclosure, the separate other receivable should be measured based on the amount of the loan balance (principal and interest) expected to be recovered from the guarantor. The amendments in this Update are effective for public business entities for annual periods, and interim periods within those annual periods, beginning after December 15, 2014 . This Update did no t have a significant impact on the Company’s financial statements. In August 2014, the FASB issued ASU 2014-15, Presentation of Financial Statements – Going Concern (Subtopic 205-40). The amendments in this Update provide guidance in accounting principles generally accepted in the United States of America about management's responsibility to evaluate whether there is substantial doubt about an entity's ability to continue as a going concern and to provide related footnote disclosures. The amendments in this Update are effective for the annual period ending after December 15, 2016, and for annual periods and interim periods thereafter. Early application is permitted. This Update is not expected to have a significant impact on the Company’s financial statements. In November 2014, the FASB issued ASU 2014-16, Derivatives and Hedging (Topic 815): Determining Whether the Host Contract in a Hybrid Financial Instrument Issued in the Form of a Share Is More Akin to Debt or to Equity (a consensus of the FASB Emerging Issues Task Force). This Update clarifies how current U.S. GAAP should be interpreted in subjectively evaluating the economic characteristics and risks of a host contract in a hybrid financial instrument that is issued in the form of a share. Public business entities are required to implement the new requirements in fiscal years and interim periods within those fiscal years beginning after December 15, 2015. This Update is not expected to have a significant impact on the Company’s financial statements. In November 2014, the FASB issued ASU 2014-17, Business Combinations (Topic 805): Pushdown Accounting. The amendments in this Update apply to the separate financial statements of an acquired entity and its subsidiaries that are a business or nonprofit activity (either public or nonpublic) upon the occurrence of an event in which an acquirer (an individual or an entity) obtains control of the acquired |
Securities
Securities | 12 Months Ended |
Dec. 31, 2015 | |
Securities [Abstract] | |
Securities | NOTE 3 - SECURITIES The amortized cost, gross unrealized gains and losses, and fair value of securities were as follows: December 31, 2015 Gross Gross Amortized Unrealized Unrealized Fair Cost Gains Losses Value (In Thousands) AVAILABLE FOR SALE: U.S. Government agencies $ 9,275 $ 2 $ (108) $ 9,169 States and political subdivisions 59,120 1,747 (112) 60,755 Corporate obligations 4,933 45 (4) 4,974 Mortgage-backed securities- government sponsored entities 64,491 23 (945) 63,569 Total debt securities 137,819 1,817 (1,169) 138,467 Equity securities-financial services 292 92 - 384 $ 138,111 $ 1,909 $ (1,169) $ 138,851 December 31, 2014 Gross Gross Amortized Unrealized Unrealized Fair Cost Gains Losses Value (In Thousands) AVAILABLE FOR SALE: U.S. Government agencies $ 29,289 $ 42 $ (356) $ 28,975 States and political subdivisions 52,685 1,750 (103) 54,332 Corporate obligations 6,387 110 (11) 6,486 Mortgage-backed securities- government sponsored entities 67,032 109 (937) 66,204 Total debt securities 155,393 2,011 (1,407) 155,997 Equity securities-financial services 292 106 - 398 $ 155,685 $ 2,117 $ (1,407) $ 156,395 The following tables show the Company’s investments’ gross unrealized losses and fair value aggregated by security type and length of time that individual securities have been in a continuous unrealized loss position (in thousands): December 31, 2015 Less than 12 Months 12 Months or More Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses U.S. Government agencies $ 6,058 $ (71) $ 2,109 $ (37) $ 8,167 $ (108) States and political subdivisions 9,086 (99) 1,417 (13) 10,503 (112) Corporate obligations 2,221 (4) - - 2,221 (4) Mortgage-backed securities-government sponsored entities 40,300 (432) 16,595 (513) 56,895 (945) $ 57,665 $ (606) $ 20,121 $ (563) $ 77,786 $ (1,169) December 31, 2014 Less than 12 Months 12 Months or More Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses U.S. Government agencies $ 4,965 $ (17) $ 15,051 $ (339) $ 20,016 $ (356) States and political subdivisions 3,195 (20) 4,633 (83) 7,828 (103) Corporate obligations - - 1,144 (11) 1,144 (11) Mortgage-backed securities-government sponsored entities 22,090 (189) 26,050 (748) 48,140 (937) $ 30,250 $ (226) $ 46,878 $ (1,181) $ 77,128 $ (1,407) The Company has 54 debt securities in the less than twelve month category and 22 debt securities in the twelve months or more category as of December 31, 2015. In management’s opinion, the unrealized losses on securities reflect changes in interest rates subsequent to the acquisition of specific securities. No other-than-temporary-impairment charges were recorded in 2015. Management believes that all other unrealized losses represent temporary impairment of the securities, and it is more likely than not that it will not have to sell the securities before recovery of their cost basis. The amortized cost and fair value of debt securities as of December 31, 2015 by contractual maturity, are shown below. Expected maturities may differ from contractual maturities because borrowers may have the right to prepay obligations with or without call or prepayment penalties. Amortized Fair Cost Value (In Thousands) Due in one year or less $ 640 $ 647 Due after one year through five years 13,044 13,003 Due after five years through ten years 8,437 8,529 Due after ten years 51,207 52,719 73,328 74,898 Mortgage-backed securities - government sponsored entities 64,491 63,569 $ 137,819 $ 138,467 Gross realized gains and gross realized losses on sales of securities available for sale were $626,000 and $0 , respectively, in 2015, compared to $1,199,000 and $29,000 , respectively, in 2014, and $908,000 and $27,000 , respectively, in 2013. The proceeds from the sales of securities totaled $44,976,000 $66,263,000 and $42,348,000 for the years ended December 31, 2015, 2014 and 2013, respectively. Securities with a carrying value of $97,671,000 and $102,994,000 at December 31, 2015 and 2014, respectively, were pledged to secure public deposits, securities sold under agreements to repurchase and for other purposes as required or permitted by law. |
Loans Receivable and Allowance
Loans Receivable and Allowance for Loan Losses | 12 Months Ended |
Dec. 31, 2015 | |
Loans Receivable and Allowance for Loan Losses [Abstract] | |
Loans Receivable and Allowance for Loan Losses | NOTE 4 - LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES Set forth below is selected data relating to the composition of the loan portfolio at December 31: December 31, 2015 December 31, 2014 Real Estate: Residential $ 161,820 28.9 % $ 158,139 31.5 % Commercial 279,123 49.8 261,956 52.2 Construction 18,987 3.4 19,221 3.9 Commercial, financial and agricultural 71,090 12.7 42,514 8.5 Consumer loans to individuals 29,231 5.2 19,704 3.9 Total loans 560,251 100.0 % 501,534 100.0 % Deferred fees, net (326) (399) Total loans receivable 559,925 501,135 Allowance for loan losses (7,298) (5,875) Net loans receivable $ 552,627 $ 495,260 Purchased loans acquired in a business combination are recorded at fair value on their purchase date without a carryover of the related allowance for loan losses. The carrying value of purchased loans acquired with deteriorated credit quality was $498,000 at December 31, 2015. Changes in the accretable yield for purchased credit-impaired loans were as follows for the twelve months ended December 31: (In thousands) 2015 2014 2013 Balance at beginning of period $ 8 $ 20 $ 76 Accretion (1) (12) (56) Reclassification and other (7) - - Balance at end of period $ - $ 8 $ 20 The following table presents additional information regarding loans acquired and accounted for in accordance with ASC 310-30 (in thousands): December 31, 2015 December 31, 2014 Outstanding Balance $ 498 $ 1,057 Carrying Amount $ 498 $ 1,049 There were no material increases or decreases in the expected cash flows of these loans since the acquisition date. There has been no allowance for loan losses recorded for acquired loans with specific evidence of deterioration in credit quality as of May 31, 2011. In addition, there has been no allowance for loan losses on these loans reversed. As of December 31, 2015, for loans that were acquired with or without specific evidence of deterioration in credit quality, adjustments to the allowance for loan losses have been accounted for through the allowance for loan loss adequacy calculation. The Company maintains a loan review system, which allows for a periodic review of our loan portfolio and the early identification of potential impaired loans. The system takes into consideration, among other things, delinquency status, size of loans, type and market value of collateral and financial condition of the borrowers. Specific loan loss allowances are established for identified losses based on a review of such information. A loan evaluated for impairment is considered to be impaired when, based on current information and events, it is probable that we will be unable to collect all amounts due according to the contractual terms of the loan agreement. All loans identified as impaired are evaluated independently. The Company does not aggregate such loans for evaluation purposes. Impairment is measured on a loan-by-loan basis for commercial and construction loans by the present value of expected future cash flows discounted at the loan’s effective interest rate, the loan’s obtainable market price, or the fair value of the collateral if the loan is collateral-dependent. Large groups of smaller balance homogeneous loans are collectively evaluated for impairment. Accordingly, the Company does not separately identify individual consumer and residential mortgage loans for impairment disclosures, unless such loans are part of a larger relationship that is impaired, or are classified as a troubled debt restructuring. The following tables show the amount of loans in each category that were individually and collectively evaluated for impairment at the dates indicated: Real Estate Loans Commercial Consumer Residential Commercial Construction Loans Loans Total (In thousands) December 31, 2015 Individually evaluated for impairment $ 28 $ 8,660 $ - $ 42 $ - $ 8,730 Loans acquired with deteriorated credit quality 140 358 - - - 498 Collectively evaluated for impairment 161,652 270,105 18,987 71,048 29,231 551,023 Total Loans $ 161,820 $ 279,123 $ 18,987 $ 71,090 $ 29,231 $ 560,251 Real Estate Loans Commercial Consumer Residential Commercial Construction Loans Loans Total (In thousands) December 31, 2014 Individually evaluated for impairment $ - $ 10,556 $ - $ - $ - $ 10,556 Loans acquired with deteriorated credit quality 225 824 - - - 1,049 Collectively evaluated for impairment 157,914 250,576 19,221 42,514 19,704 489,929 Total Loans $ 158,139 $ 261,956 $ 19,221 $ 42,514 $ 19,704 $ 501,534 The following table includes the recorded investment and unpaid principal balances for impaired loans with the associated allowance amount, if applicable. Unpaid Recorded Principal Associated Investment Balance Allowance December 31, 2015 (In thousands) With no related allowance recorded: Real Estate Loans Residential $ 168 $ 173 $ - Commercial 2,644 4,610 - Commercial, financial and agricultural 43 43 Subtotal 2,855 4,826 - With an allowance recorded: Real Estate Loans Commercial 6,373 6,446 1,613 Subtotal 6,373 6,446 1,613 Total: Real Estate Loans Residential 168 173 - Commercial 9,017 11,056 1,613 Commercial, financial and agricultural 43 43 - Total Impaired Loans $ 9,228 $ 11,272 $ 1,613 Unpaid Recorded Principal Associated Investment Balance Allowance December 31, 2014 (In thousands) With no related allowance recorded: Real Estate Loans Residential $ 225 $ 233 $ - Commercial 8,407 8,566 - Subtotal 8,632 8,799 - With an allowance recorded: Real Estate Loans Commercial 2,973 3,837 293 Subtotal 2,973 3,837 293 Total: Real Estate Loans Residential 225 233 - Commercial 11,380 12,403 293 Total Impaired Loans $ 11,605 $ 12,636 $ 293 The following information for impaired loans is presented for the year ended December 31, 2015 and 2014: Average Recorded Average Recorded Interest Income Investment Recognized 2015 2014 2013 2015 2014 2013 (In thousands) Total: Real Estate Loans Residential $ 159 $ 233 $ 252 $ 4 $ 5 $ 5 Commercial 8,847 7,492 10,328 526 503 236 Commercial Loans 9 - - 2 - - Total Loans $ 9,015 $ 7,725 $ 10,580 $ 532 $ 508 $ 241 Troubled debt restructured loans are those loans whose terms have been renegotiated to provide a reduction or deferral of principal or interest as a result of financial difficulties experienced by the borrower, who could not obtain comparable terms from alternate financing sources. As of December 31, 2015, troubled debt restructured loans totaled $6.8 million and resulted in specific reserves of $1,613,000 . During 2015, there were two new loan relationships identified as troubled debt restructurings totaling $176,000 based on executed modification agreements, while one loan with a balance of $1.7 million as of December 31, 2014 was transferred to Foreclosed Real Estate Owned during 2015 as a result of foreclosure on the property. During 2015, the Company recognized charge-offs totaling $1.3 million on loans classified as troubled debt restructurings. Additionally, the Company recognized expenses of $322,000 in foreclosed real estate owned expense related to a property which was previously classified as a troubled debt restructuring. As of December 31, 2014, troubled debt restructured loans totaled $8.8 million and resulted in specific reserves of $293,000 . During 2014, there was one new loan relationship identified as troubled debt restructurings totaling $4.9 million based on extended deferrals of principal payments, while two loans with a balance of $4.7 million as of December 31, 2013 were transferred to Foreclosed Real Estate Owned during 2014 as a result of foreclosure on the properties. During 2014, the Company recognized charge-offs totaling $573,000 on loans classified as troubled debt restructurings in prior periods. No losses were recognized on loans identified as troubled debt restructurings in 2014. Additionally, the Company recognized a writedown of $680,000 in foreclosed real estate owned expense related to a property which was previously classified as a troubled debt restructuring. Foreclosed assets acquired in settlement of loans are carried at fair value less estimated costs to sell and are included in foreclosed real estate owned on the Consolidated Balance Sheets. As of December 31, 2015 and 2014, foreclosed real estate owned totaled $2,847,000 and $3,726,000 , respectively. As of December 31, 2015, included within foreclosed real estate owned is $267,000 of consumer residential mortgages that were foreclosed on or received via a deed in lieu transaction prior to the period end. As of December 31, 2015, the Company has initiated formal foreclosure proceedings on $110,000 of consumer residential mortgage loans. Management uses an eight point internal risk rating system to monitor the credit quality of the overall loan portfolio. The first four categories are considered not criticized, and are aggregated as “Pass” rated. The criticized rating categories utilized by management generally follow bank regulatory definitions. The Special Mention category includes assets that are currently protected but are potentially weak, resulting in an undue and unwarranted credit risk, but not to the point of justifying a Substandard classification. Loans in the Substandard category have well-defined weaknesses that jeopardize the liquidation of the debt, and have a distinct possibility that some loss will be sustained if the weaknesses are not corrected. All loans greater than 90 days past due are considered Substandard. Any portion of a loan that has been charged off is placed in the Loss category. To help ensure that risk ratings are accurate and reflect the present and future capacity of borrowers to repay a loan as agreed, the Company has a structured loan rating process with several layers of internal and external oversight. Generally, consumer and residential mortgage loans are included in the Pass categories unless a specific action, such as non performance, repossession, or death occurs to raise awareness of a possible credit event. The Company’s Loan Review Department is responsible for the timely and accurate risk rating of the loans on an ongoing basis. Every credit which must be approved by Loan Committee or the Board of Directors is assigned a risk rating at time of consideration. Loan Review also annually reviews relationships of $1,000,000 and over to assign or re-affirm risk ratings. Loans in the Substandard categories that are collectively evaluated for impairment are given separate consideration in the determination of the allowance. The following table presents the classes of the loan portfolio summarized by the aggregate Pass and the criticized categories of Special Mention, Substandard, Doubtful and Loss within the internal risk rating system as of December 31, 2015 and December 31, 2014 (in thousands): Special Pass Mention Substandard Doubtful Loss Total December 31, 2015 Commercial real estate loans $ 267,892 $ 1,837 $ 9,394 $ - $ - $ 279,123 Commercial 71,047 - 43 - - 71,090 Total $ 338,939 $ 1,837 $ 9,437 $ - $ - $ 350,213 Special Pass Mention Substandard Doubtful Loss Total December 31, 2014 Commercial real estate loans $ 246,629 $ 1,983 $ 13,344 $ - $ - $ 261,956 Commercial 42,514 - - - - 42,514 Total $ 289,143 $ 1,983 $ 13,344 $ - $ - $ 304,470 For residential real estate loans, construction loans and consumer loans, the Company evaluates credit quality based on the performance of the individual credits. Nonperforming loans include loans that have been placed on nonaccrual status and loans remaining in accrual status on which the contractual payment of principal and interest has become 90 days past due. The following table presents the recorded investment in the loan classes based on payment activity as of December 31, 2015 and December 31, 2014 (in thousands): Performing Nonperforming Total December 31, 2015 Residential real estate loans $ 161,380 $ 440 $ 161,820 Construction 18,987 - 18,987 Consumer loans to individuals 29,231 - 29,231 Total $ 209,598 $ 440 $ 210,038 Performing Nonperforming Total December 31, 2014 Residential real estate loans $ 156,464 $ 1,675 $ 158,139 Construction 19,221 - 19,221 Consumer loans to individuals 19,700 4 19,704 Total $ 195,385 $ 1,679 $ 197,064 Management further monitors the performance and credit quality of the loan portfolio by analyzing the age of the portfolio as determined by the length of time a recorded payment is past due. The following table presents the classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans as of December 31, 2015 and December 31, 2014 (in thousands): Current 31-60 Days Past Due 61-90 Days Past Due Greater than 90 Days Past Due and still accruing Non-Accrual Total Past Due and Non-Accrual Total Loans December 31, 2015 Real Estate loans Residential $ 160,683 $ 646 $ 51 $ - $ 440 $ 1,137 $ 161,820 Commercial 272,125 310 39 - 6,649 6,998 279,123 Construction 18,959 28 - - - 28 18,987 Commercial loans 71,043 4 - - 43 47 71,090 Consumer loans 29,179 41 11 - - 52 29,231 Total $ 551,989 $ 1,029 $ 101 $ - $ 7,132 $ 8,262 $ 560,251 Current 31-60 Days Past Due 61-90 Days Past Due Greater than 90 Days Past Due and still accruing Non-Accrual Total Past Due and Non-Accrual Total Loans December 31, 2014 Real Estate loans Residential $ 156,242 $ 222 $ - $ - $ 1,675 $ 1,897 $ 158,139 Commercial 252,495 5,100 440 - 3,921 9,461 261,956 Construction 19,221 - - - - - 19,221 Commercial loans 42,500 14 - - - 14 42,514 Consumer loans 19,606 94 - - 4 98 19,704 Total $ 490,064 $ 5,430 $ 440 $ - $ 5,600 $ 11,470 $ 501,534 The following table presents changes in the allowance for loan losses by class: Year ended December 31, (dollars in thousands) 2015 2014 2013 Allowance at beginning of period $ 5,875 $ 5,708 $ 5,502 Charge-offs: Real Estate loans Residential (224) (270) (603) Commercial (2,883) (1,196) (1,488) Construction - - (40) Commercial loans - - (4) Consumer loans (91) (80) (90) Total (3,198) (1,546) (2,225) Recoveries: Real Estate loans Residential 20 - 9 Commercial - 2 - Construction - - - Commercial loans - - - Consumer loans 21 31 22 Total 41 33 31 Provision for loan losses 4,580 1,680 2,400 Allowance at end of period $ 7,298 $ 5,875 $ 5,708 The following table presents the allowance for loan losses by the classes of the loan portfolio: (In thousands) Residential Real Estate Commercial Real Estate Construction Commercial Consumer Total Beginning balance, December 31, 2014 $ 1,323 $ 3,890 $ 222 $ 256 $ 184 $ 5,875 Charge Offs (224) (2,883) - - (91) (3,198) Recoveries 20 - - - 21 41 Provision for loan losses (50) 4,499 (132) 141 122 4,580 Ending balance, December 31, 2015 $ 1,069 $ 5,506 $ 90 $ 397 $ 236 $ 7,298 Ending balance individually evaluated for impairment $ - $ 1,613 $ - $ - $ - $ 1,613 Ending balance collectively evaluated for impairment $ 1,069 $ 3,893 $ 90 $ 397 $ 236 $ 5,685 (In thousands) Residential Real Estate Commercial Real Estate Construction Commercial Consumer Total Beginning balance, December 31, 2013 $ 1,441 $ 3,025 $ 898 $ 184 $ 160 $ 5,708 Charge Offs (270) (1,196) - - (80) (1,546) Recoveries - 2 - - 31 33 Provision for loan losses 152 2,059 (676) 72 73 1,680 Ending balance, December 31, 2014 $ 1,323 $ 3,890 $ 222 $ 256 $ 184 $ 5,875 Ending balance individually evaluated for impairment $ - $ 293 $ - $ - $ - $ 293 Ending balance collectively evaluated for impairment $ 1,323 $ 3,597 $ 222 $ 256 $ 184 $ 5,582 The recorded investment in impaired loans, not requiring an allowance for loan losses was $2,855,000 (net of charge-offs against the allowance for loan losses of $1,971,000 ) and $8,632,000 (net of charge-offs against the allowance for loan losses of $158,000 ) at December 31, 2015 and 2014, respectively. The recorded investment in impaired loans requiring an allowance for loan losses was $6,373,000 (net of a charge-off against the allowance for loan losses of $73,000 ) and $2,973,000 (net of a charge-off against the allowance for loan losses of $864,000 ) at December 31, 2015 and 2014, respectively. The specific reserve related to impaired loans was $1,613,000 for 2015 and $293,000 for 2014. For the years ended December 31, 2015 and 2014, the average recorded investment in these impaired loans was $9,015,000 , and $7,725,000, respectively, and the interest income recognized on these impaired loans was $532,000 and $508,000 , respectively. During the period ended December 31, 2015, the allowance for residential real estate loans decreased from $1,323,000 to $1,069,000 . This $254,000 decrease in the required allowance was due primarily to a decrease in the historical loss factor from 0.30% at December 31, 2014 to 0.23% on December 31, 2015. During the same period, the required allowance for commercial real estate loans increased from $3,890,000 at December 31, 2014 to $5,506,000 on December 31, 2015. This increase can be attributed to a $1,320,000 increase in the specific reserve component. Interest income that would have been recorded on loans accounted for on a non-accrual basis under the original terms of the loans was $515,000 , $451,000 and $724,000 for 2015, 2014 and 2013, respectively. The Company’s primary business activity is with customers located in northeastern Pennsylvania. Accordingly, the Company has extended credit primarily to commercial entities and individuals in this area whose ability to honor their contracts is influenced by the region’s economy. The Company does not have any significant concentrations to any one customer. As of December 31, 2015 and 2014, the Company considered its concentration of credit risk to be acceptable. As of December 31, 2015, the highest concentrations are in the hospitality lodging industry and automobile dealers, with loans outstanding of $52.6 million, or 56.8% of bank capital, to the hospitality lodging industry, and $27.5 million, or 29.7% of bank capital to the automobile dealer industry. Charge-offs on loans within these concentrations were $643,000 , $422,000 and $0 for the years ended December 31, 2015, 2014 and 2013, respectively. Gross realized gains and gross realized losses on sales of residential mortgage loans were $113,000 and $0 , respectively, in 2015 compared to $150,000 and $0 , respectively, in 2014 and $74,000 and $7,000 , respectively, in 2013. The proceeds from the sales of residential mortgage loans totaled $4.4 million, $4.4 million and $4.1 million for the years ended December 31, 2015, 2014 and 2013, respectively. |
Premises and Equipment
Premises and Equipment | 12 Months Ended |
Dec. 31, 2015 | |
Premises and Equipment [Abstract] | |
PREMISES AND EQUIPMENT | NOTE 5 - PREMISES AND EQUIPMENT Components of premises and equipment at December 31 are as follows: 2015 2014 (In Thousands) Land and improvements $ 2,316 $ 2,275 Buildings and improvements 9,857 9,723 Furniture and equipment 4,415 4,332 16,588 16,330 Accumulated depreciation (10,116) (9,596) $ 6,472 $ 6,734 Depreciation expense totaled $551,000 , $572,000 and $594,000 for the years ended December 31, 2015, 2014 and 2013, respectively. Certain facilities are leased under various operating leases. Rental expense for these leases was $341,000 , $338,000 and $325,000 , respectively, for the years ended December 31, 2015, 2014 and 2013. Future minimum rental commitments under noncancellable leases as of December 31, 2015 were as follows (in thousands): 2016 $ 352 2017 363 2018 363 2019 368 2020 376 Thereafter 1,844 $ 3,666 |
Deposits
Deposits | 12 Months Ended |
Dec. 31, 2015 | |
Deposits [Abstract] | |
DEPOSITS | NOTE 6 - DEPOSITS Aggregate time deposits in denominations of $250,000 or more were $22,041,000 and $42,009,000 at December 31, 2015 and 2014, respectively. Included in deposit accounts are deposits of one customer relationship totaling $10,942,000 at December 31, 2015. At December 31, 2015, the scheduled maturities of time deposits are as follows (in thousands): 2016 $ 90,197 2017 54,846 2018 23,449 2019 20,926 2020 7,329 $ 196,747 |
Borrowings
Borrowings | 12 Months Ended |
Dec. 31, 2015 | |
Borrowings [Abstract] | |
BORROWINGS | NOTE 7 – BORROWINGS Short-term borrowings at December 31 consist of the following: 2015 2014 ( In Thousands) Securities sold under agreements to repurchase $ 33,563 $ 25,695 Federal Home Loan Bank short-term borrowings 19,672 - $ 53,235 $ 25,695 The outstanding balances and related information of short-term borrowings are summarized as follows: Years Ended December 31, 2015 2014 (Dollars In Thousands) Average balance during the year $ 34,057 $ 36,514 Average interest rate during the year 0.25 % 0.21 % Maximum month-end balance during the year $ 55,183 $ 49,634 Weighted average interest rate at the end of the year 0.36 % 0.20 % Securities sold under agreements to repurchase generally mature within one day to one year from the transaction date. Securities with an amortized cost and fair value of $36,797,000 and $36,316,000 at December 31, 2015 and $28,914,000 and $28,437,000 at December 31, 2014, respectively, were pledged as collateral for these agreements. The securities underlying the agreements were under the Company’s control. The collateral pledged for repurchase agreements that are classified as secured borrowings is summarized as follows: As of December 31, 2015 Remaining Contractual Maturity of the Agreements Overnight and continuous Up to 30 days 30-90 days Greater than 90 days Total Repurchase Agreements: Obligations of U.S. Government agencies $35,515 $139 $277 $385 $36,316 Total liability recognized for repurchase agreements $33,563 The Company has a line of credit commitment available from the FHLB of Pittsburgh for borrowings of up to $139,144,000 which expires in May, 2016. At December 31, 2015, there were $19,672,000 of borrowings outstanding on this line. There were no borrowings under this line of credit at December 31, 2014. The Company has a line of credit commitment available from Atlantic Community Bankers Bank for $7,000,000 which expires on June 30, 2016. There were no borrowings under this line of credit at December 31, 2015 and 2014. The Company has a line of credit commitment available from PNC Bank for $16,000,000 at December 31, 2015. There were no borrowings under this line of credit at December 31, 2015 and December 31, 2014. The Company also has a line of credit commitment from Zion’s Bank for $17,000,000 . There were no borrowings under this line of credit at December 31, 2015 and December 31, 2014. Other borrowings consisted of the following at December 31, 2015 and 2014: 2015 2014 (In Thousands) Notes with the FHLB: Convertible note due July 2015 at 4.34% $ - $ 7,111 Convertible note due January 2017 at 4.71% 10,000 10,000 Amortizing fixed rate borrowing due December 2017 at 1.27% 8,000 - Amortizing fixed rate borrowing due January 2018 at 0.91% 1,267 1,866 Amortizing fixed rate borrowing due December 2018 at 1.42% 2,434 3,223 Amortizing fixed rate borrowing due June 2020 at 1.49% 9,033 - Amortizing fixed rate borrowing due December 2020 at 1.71% 5,000 - Amortizing fixed rate borrowing due March 2022 at 1.75% 5,392 - $ 41,126 $ 22,200 The convertible note contains an option which allows the FHLB, at quarterly intervals, to change the note to an adjustable-rate advance at three-month LIBOR plus 17 basis points. If the note is converted, the option allows the Bank to put the funds back to the FHLB at no charge. Contractual maturities of other borrowings at December 31, 2015 are as follows (in thousands): 2017 $ 18,000 2018 3,701 2020 14,033 2022 5,392 $ 41,126 The Bank’s maximum borrowing capacity with the FHLB was $281,493,000 of which $60,798,000 was outstanding at December 31, 2015. Advances from the FHLB are secured by qualifying assets of the Bank. |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Dec. 31, 2015 | |
Employee Benefit Plans [Abstract] | |
EMPLOYEE BENEFIT PLANS | The Company has a defined contributory profit-sharing plan which includes provisions of a 401(k) plan. The plan permits employees to make pre-tax contributions up to 15% of the employee’s compensation, not to exceed the limits set by the Internal Revenue Service. The amount of contributions to the plan, including matching contributions, is at the discretion of the Board of Directors. All employees over the age of 21 are eligible to participate in the plan and receive Company contributions after one year of employment. Eligible employees are able to contribute to the Plan at the beginning of the first quarterly period after their date of employment. Employee contributions vest immediately, and any Company contributions are fully vested after five years. The Company’s contributions are expensed as the cost is incurred, funded currently, and amounted to $445,000 , $445,000 and $440,000 for the years ended December 31, 2015, 2014 and 2013, respectively. The Company has a non-qualified supplemental executive retirement plan for the benefit of certain executive officers. At December 31, 2015 and 2014, other liabilities include $1,427,000 and $1,443,000 accrued under the Plan. Compensation expense includes approximately $122,000 , $124,000 and $126,000 relating to the supplemental executive retirement plan for 2015, 2014 and 2013, respectively. To fund the benefits under this plan, the Company is the owner of single premium life insurance policies on participants in the non-qualified retirement plan. At December 31, 2015 and 2014, the cash value of these policies was $18,820,000 and $18,284,000 , respectively. The Company provides post retirement benefits in the form of split-dollar life arrangements to employees who meet the eligibility requirements. The net periodic post retirement benefit expense included in salaries and employee benefits was $89,00 0 and $87,000 for the years ended December 31, 2015 and 2014, respectively. The Company participates in the Pentegra Mulitemployer Defined Benefit Pension Plan (EIN 13-5645888 and Plan # 001) as a result of its acquisition of North Penn. As of December 31, 2015 and 2014, the Company’s Plan was 79.9% and 98.9% funded, respectively, and total contributions made are not more than 5% of the total contributions to the Plan. The Company’s expense related to the Plan was $48,000 in 2015, $17,000 in 2014 and $22,000 in 2013. During the plan years ending December 31, 2015, 2014 and 2013, the Company made contributions of $48,000 , $17,000 and $22,000 , respectively. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2015 | |
Income Taxes [Abstract] | |
INCOME TAXES | NOTE 9 - INCOME TAXES The components of the provision for federal income taxes are as follows: Years Ended December 31, 2015 2014 2013 (In Thousands) Current $ 2,019 $ 2,657 $ 2,566 Deferred (387) (51) 140 $ 1,632 $ 2,606 $ 2,706 Deferred income taxes reflect temporary differences in the recognition of revenue and expenses for tax reporting and financial statement purposes, principally because certain items, such as, the allowance for loan losses and loan fees are recognized in different periods for financial reporting and tax return purposes. A valuation allowance has not been established for deferred tax assets. Realization of the deferred tax assets is dependent on generating sufficient taxable income. Although realization is not assured, management believes it is more likely than not that all of the deferred tax asset will be realized. Deferred tax assets are recorded in other assets. Income tax expense of the Company is less than the amounts computed by applying statutory federal income tax rates to income before income taxes because of the following: Percentage of Income before Income Taxes Years Ended December 31, 2015 2014 2013 Tax at statutory rates 34.0 % 34.0 % 34.0 % Tax exempt interest income, net of interest expense disallowance (11.3) (7.7) (6.7) Incentive stock options 0.3 0.4 0.4 Earnings and proceeds on life insurance (1.8) (1.5) (3.7) Other 0.4 0.2 0.2 21.6 % 25.4 % 24.2 % The net deferred tax asset included in other assets in the accompanying Consolidated Balance Sheets includes the following amounts of deferred tax assets and liabilities: 2015 2014 (In Thousands) Deferred tax assets: Allowance for loan losses $ 2,481 $ 1,997 Deferred compensation 485 491 Purchase price adjustment 884 999 Other 182 201 Foreclosed real estate valuation allowance 305 280 Total Deferred Tax Assets 4,337 3,968 Deferred tax liabilities: Premises and equipment 245 265 Deferred loan fees 172 170 Net unrealized gains on securities 251 248 Total Deferred Tax Liabilities 668 683 Net Deferred Tax Asset $ 3,669 $ 3,285 The Company’s federal and state income tax returns for taxable years through 2011 have been closed for purposes of examination by the Internal Revenue Service and the Pennsylvania Department of Revenue. |
Regulatory Matters and Stockhol
Regulatory Matters and Stockholders' Equity | 12 Months Ended |
Dec. 31, 2015 | |
Regulatory Matters and Stockholders' Equity [Abstract] | |
REGULATORY MATTERS AND STOCKHOLDERS' EQUITY | NOTE 10 - REGULATORY MATTERS AND STOCKHOLDERS’ EQUITY The Company and Bank are subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Company’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Company must meet specific capital guidelines that involve quantitative measures of the Company’s assets, liabilities and certain off-balance sheet items as calculated under regulatory accounting practices. The Company’s capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk-weightings and other factors. Quantitative measures established by regulation to ensure capital adequacy require the Company and the Bank to maintain minimum amounts and ratios (set forth in the table below) of Total, Tier 1 and Common Equity Tier 1 capital (as defined in the regulations) to risk-weighted assets, and of Tier 1 capital to average assets. Management believes, as of December 31, 2015 and 2014, that the Company and the Bank meet all capital adequacy requirements to which they are subject. As of December 31, 2015, the most recent notification from the regulators has categorized the Bank as well capitalized under the regulatory framework for prompt corrective action. There are no conditions or events since that notification that management believes have changed the Bank’s category. The Bank’s actual capital amounts and ratios are presented in the table: To be Well Capitalized under Prompt For Capital Adequacy Corrective Action Actual Purposes Provision Amount Ratio Amount Ratio Amount Ratio (Dollars in Thousands) As of December 31, 2015: Total capital (to risk-weighted assets) $ 92,777 16.25 % ≥$45,672 ≥8.00 % ≥$7,090 ≥10.00 % Tier 1 capital (to risk-weighted assets) 85,638 15.00 ≥34,254 ≥6.00 ≥45,672 ≥8.00 Common Equity Tier 1 capital (to risk-weighted assets) 85,638 15.00 ≥25,690 ≥4.50 ≥37,108 ≥6.50 Tier 1 capital (to average assets) 85,638 11.73 ≥29,203 ≥4.00 ≥36,504 ≥5.00 As of December 31, 2014: Total capital (to risk-weighted assets) $ 89,613 17.59 % ≥$40,767 ≥8.00 % ≥$50,959 ≥10.00 % Tier 1 capital (to risk-weighted assets) 83,738 16.43 ≥20,383 ≥4.00 ≥30,575 ≥6.00 Tier 1 capital (to average assets) 83,738 11.93 ≥28,069 ≥4.00 ≥35,086 ≥5.00 The Company’s ratios do not differ significantly from the Bank’s ratios presented above. Effective January 1, 2015, the Company and the Bank became subject to new regulatory capital rules which, among other things, impose a new common equity Tier 1 minimum capital requirement (4.5% of risk-weighted assets), set the minimum leverage ratio for all banking organizations at a uniform 4% of total assets, increased the minimum Tier 1 capital to risk-based assets requirement (from 4% to 6% of risk-weighted assets) and assigned a higher risk-weight ( 150% ) to exposures that are more than 90 days past due or are on nonaccrual status and to certain commercial real estate facilities that finance the acquisition, development or construction of real property. The new rules also require unrealized gains and losses on certain “available-for-sale” securities holdings to be included for purposes of calculating regulatory capital requirements unless a one-time opt out is exercised, which the Company and the Bank have done. The final rule limits a banking organization’s dividends, stock repurchases and other capital distributions, and certain discretionary bonus payments to executive officers, if the banking organization does not hold a “capital conservation buffer” consisting of 2.5% of common equity Tier 1 capital to risk-weighted assets above regulatory minimum risk-based requirements. The capital conservation buffer requirements will be phased in beginning January 1, 2016 and ending January 1, 2019, when the full capital conservation buffer will be effective. The Company and the Bank are in compliance with their respective new capital requirements, including the capital conservation buffer, as of December 31, 2015. The Bank is required to maintain average cash reserve balances in vault cash or with the Federal Reserve Bank. The amount of these restricted cash reserve balances at December 31, 2015 and 2014 was approximately $437,000 and $368,000 , respectively. Under Pennsylvania banking law, the Bank is subject to certain restrictions on the amount of dividends that it may declare without prior regulatory approval. At December 31, 2015, $65,777,000 of retained earnings were available for dividends without prior regulatory approval, subject to the regulatory capital requirements discussed above. Under Federal Reserve regulations, the Bank is limited as to the amount it may lend affiliates, including the Company, unless such loans are collateralized by specific obligations. |
Stock Based Compensation
Stock Based Compensation | 12 Months Ended |
Dec. 31, 2015 | |
Stock-Based Compensation [Abstract] | |
STOCK BASED COMPENSATION | NOTE 11 - STOCK BASED COMPENSATION The Company’s shareholders approved the Norwood Financial Corp 2006 Stock Option Plan at the Annual Meeting on April 26, 2006. An aggregate of 275,000 shares of authorized but unissued Common Stock of the Company were reserved for future issuance under the Plan. This includes up to 44,000 shares for awards to outside directors. Under this plan, the Company granted 7,423 options to employees in 2015, 12,500 options to employees in 2014, and 28,600 options, which included 4,000 options granted to outside directors in 2013. As of December 31, 2015, there were 4,057 shares available for stock option awards to outside directors. At the Annual Meeting held on April 22, 2014, the Company’s shareholders approved the Norwood Financial Corp 2014 Equity Incentive Plan. An aggregate of 250,000 shares of authorized but unissued Common Stock of the Company were reserved for future issuance under the Plan. This includes up to 40,000 shares for awards to outside directors. The Plan also authorized the Company to award restricted stock to officers and outside directors, limited to 42,000 shares of restricted stock awards for officers and 8,000 shares of restricted stock awards for outside directors. Under this plan, the Company granted 13,727 shares in 2015 which included 7,077 options to employees, 4,250 shares of restricted stock to officers and 2,400 shares of restricted stock to directors. In 2014, the Company granted 9,300 shares, which included 2,800 shares to outside directors. All shares granted in 2014 were for restricted stock. The restricted shares vest over a five -year period. The product of the number of shares granted and the grant date market price of the Company’s common stock determine the fair value of restricted stock under the company’s restricted stock plan. Management recognizes compensation expense for the fair value of restricted stock on a straight-line basis over the requisite service period for the entire award. As of December 31, 2015, there were 226,973 shares available for future awards under this plan, which includes 192,173 shares available for officer awards and 34,800 shares available for awards to outside directors. Included in these totals are 31,250 shares available for restricted stock awards to officers and 2,800 shares available for restricted stock awards to outside directors. Total unrecognized compensation cost related to stock options was $71,000 as of December 31, 2015, $66,000 as of December 31, 2014, and $157,000 as of December 31, 2013. Salaries and employee benefits expense includes $66,000 , $154,000 and $162,000 of compensation costs related to options for the years ended December 31, 2015, 2014 and 2013, respectively. Compensation costs related to restricted stock amounted to $55,000 , $0 and $0 for the years ended December 31, 2015, 2014 and 2013, respectively. The expected future compensation expense relating to non-vested restricted stock outstanding as of December 31, 2015 and 2014 was $398,000 and $271,000 respectively. Net income was reduced by $92,000 , $146,000 and $154,000 for the years ended December 31, 2015, 2014 and 2013, respectively. A summary of the Company’s stock option activity and related information for the years ended December 31 follows: 2015 2014 2013 Weighted Weighted Weighted Average Average Average Average Average Aggregate Exercise Intrinsic Exercise Intrinsic Exercise Intrinsic Options Price Value Options Price Value Options Price Value Outstanding, beginning of year 206,463 $ 26.74 219,540 $ 26.64 225,670 $ 26.27 Granted 14,500 28.55 12,500 29.08 28,600 27.07 Exercised (16,859) 26.19 (25,577) 27.05 (24,127) 23.83 Forfeited (9,583) 27.02 - - (10,603) 28.92 Outstanding, end of year 194,521 $ 26.91 $ 362,754 206,463 $ 26.74 $ 477,640 219,540 $ 26.64 $ 146,970 Exercisable, end of year 180,021 $ 26.78 $ 359,854 193,963 $ 26.59 $ 477,640 190,940 $ 26.58 $ 146,900 Exercise prices for options outstanding as of December 31, 2015 ranged from $24.44 to $29.08 per share. The weighted average remaining contractual life is 5.2 years. The fair value of each option grant is estimated on the date of grant using the Black-Scholes option pricing with the following weighted average assumptions: Years Ended December 31, 2015 2014 2013 Dividend yield 3.77% 3.57% 3.49% Expected life 10 years 10 years 10 years Expected volatility 24.35% 24.97% 25.91% Risk-free interest rate 2.28% 2.17% 3.01% Weighted average fair value of options granted $ 4.89 $ 5.30 $ 5.72 The expected volatility is based on historical volatility. The risk-free interest rates for periods within the contractual life of the awards are based on the U.S. Treasury yield curve in effect at the time of the grant. The expected life is based on historical exercise experience. The dividend yield assumption is based on the Company’s history and expectation of dividend payouts. Proceeds from stock option exercises totaled $441,000 in 2015. Shares issued in connection with stock option exercises are issued from available treasury shares. If no treasury shares are available, new shares are issued from available authorized shares. During 2015, all the shares issued in connection with stock option exercises, 16,859 shares in total, were issued from available treasury shares. All share and per share data have been adjusted to give retroactive effect to the 10% stock dividend declared in 2013. As of December 31, 2015, outstanding stock options consist of the following: Average Average Options Exercise Remaining Options Exercise Outstanding Price Life, Years Exercisable Price 16,174 27.62 0.3 16,174 27.62 15,400 28.64 1.0 15,400 28.64 15,400 28.41 2.0 15,400 28.41 15,400 25.00 3.0 15,400 25.00 14,397 25.99 4.0 14,397 25.99 1,100 24.44 4.2 1,100 24.44 18,700 25.25 5.0 18,700 25.25 22,200 24.97 6.0 22,000 24.97 23,100 27.05 7.0 23,100 27.05 1,100 27.55 7.0 1,100 27.55 2,000 28.95 7.7 2,000 28.95 23,250 26.90 8.0 23,250 26.90 12,000 29.08 9.0 12,000 29.08 14,500 28.55 10.0 - - Total 194,521 180,021 A summary of the Company’s restricted stock activity and related information for the years ended December 31 is as follows: 2015 2014 Weighted-Average Weighted-Average Number of Grant Date Number of Grant Date Shares Fair Value Shares Fair Value Non-vested, beginning of year 9,300 $29.08 - $0.00 Granted 6,650 28.55 9,300 29.08 Vested (1,860) 29.08 - - Forfeited (280) 29.08 - - Non-vested at December 31 13,810 $28.82 9,300 $29.08 |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Dec. 31, 2015 | |
Earnings Per Share [Abstract] | |
EARNINGS PER SHARE | NOTE 12 - EARNINGS PER SHARE The following table sets forth the computations of basic and diluted earnings per share: Years Ended December 31, 2015 2014 2013 (In Thousands, Except Per Share Data Numerator, net income $ 5,908 $ 7,657 $ 8,465 Denominator: Weighted average shares outstanding 3,682 3,645 3,627 Less: Weighted average unvested restricted shares (9) - - Denominator: Basic earnings per share 3,673 3,645 3,627 Weighted average shares outstanding 3,682 3,645 3,627 Add: Dilutive effect of stock options 9 12 5 Denominator: Diluted earnings per share 3,691 3,657 3,632 Basic earnings per common share $ 1.60 $ 2.10 $ 2.33 Diluted earnings per common share $ 1.60 $ 2.10 $ 2.33 Stock options which had no intrinsic value because their effect would be anti-dilutive and therefore would not be included in the diluted EPS calculation were 14,000 , 12,500 , and 129,000 for the years ended December 31, 2015, 2014 and 2013, respectively. All share and per share data have been restated to give retroactive effect to the 10% stock dividend paid in 2013. |
Off-Balance Sheet Financial Ins
Off-Balance Sheet Financial Instruments | 12 Months Ended |
Dec. 31, 2015 | |
Off-Balance Sheet Financial Instruments [Abstract] | |
Off-Balance Sheet Financial Instruments | NOTE 13 - OFF-BALANCE SHEET FINANCIAL INSTRUMENTS The Bank is a party to financial instruments with off-balance-sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments include commitments to extend credit and letters of credit. Those instruments involve, to varying degrees, elements of credit and interest rate risk in excess of the amount recognized in the balance sheets. The Bank’s exposure to credit loss in the event of nonperformance by the other party to the financial instrument for commitments to extend credit and letters of credit is represented by the contractual amount of those instruments. The Bank uses the same credit policies in making commitments and conditional obligations as it does for on-balance sheet instruments. A summary of the Bank’s financial instrument commitments is as follows: December 31, 2015 2014 (In Thousands) Commitments to grant loans $ 19,704 $ 23,070 Unfunded commitments under lines of credit 48,641 45,269 Standby letters of credit 5,286 5,660 $ 73,631 $ 73,999 Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Since some of the commitments are expected to expire without being drawn upon, the total commitment amount does not necessarily represent future cash requirements. The Bank evaluates each customer’s credit worthiness on a case-by-case basis. The amount of collateral obtained, if deemed necessary by the Bank upon extension of credit, is based on management’s credit evaluation of the customer and generally consists of real estate. Standby letters of credit are conditional commitments issued by the Bank to guarantee the performance of a customer to a third party. The majority of these standby letters of credit expire within the next twelve months. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending other loan commitments. The Bank requires collateral supporting these letters of credit when deemed necessary. Management believes that the proceeds obtained through a liquidation of such collateral would be sufficient to cover the maximum potential amount of future payments required under the corresponding guarantees. |
Fair Values of Financial Instru
Fair Values of Financial Instruments | 12 Months Ended |
Dec. 31, 2015 | |
Fair Value of Financial Instruments [Abstract] | |
Fair Value of Financial Instruments | NOTE 14 – FAIR VALUES OF FINANCIAL INSTRUMENTS Management uses its best judgment in estimating the fair value of the Company’s financial instruments; however, there are inherent weaknesses in any estimation technique. Therefore, for substantially all financial instruments, the fair value estimates herein are not necessarily indicative of the amounts the Company could have realized in a sale transaction on the dates indicated. The estimated fair value amounts have been measured as of their respective year ends and have not been re-evaluated or updated for purposes of these consolidated financial statements subsequent to those respective dates. As such, the estimated fair values of these financial instruments subsequent to the respective reporting dates may be different than the amounts reported at each year end. The fair value hierarchy prioritizes the inputs to valuation methods used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy are as follows: Level 1: Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. Level 2: Quoted prices in markets that are not active, or inputs that are observable either directly or indirectly, for substantially the full term of the asset or liability. Level 3: Prices or valuation techniques that require inputs that are both significant to the fair value measurement and are unobservable (i.e. supported with little or no market activity). An asset’s or liability’s level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. For financial assets measured at fair value on a recurring basis, the fair value measurements by level within the fair value hierarchy used at December 31, 2015 and 2014 are as follows: Fair Value Measurement Reporting Date using Description Total Level 1 Level 2 Level 3 December 31, 2015 Available for Sale: U.S. Government agencies $ 9,169 $ - $ 9,169 $ - States and political subdivisions 60,755 - 60,755 - Corporate obligations 4,974 - 4,974 - Mortgage-backed securities-government sponsored entities 63,569 - 63,569 - Equity securities-financial services 384 384 - - Total available for sale $ 138,851 $ 384 $ 138,467 $ - December 31, 2014 Available for Sale: U.S. Government agencies $ 28,975 $ - $ 28,975 $ - States and political subdivisions 54,332 - 54,332 - Corporate obligations 6,486 - 6,486 - Mortgage-backed securities-government sponsored entities 66,204 - 66,204 - Equity securities-financial services 398 398 - - Total available for sale $ 156,395 $ 398 $ 155,997 $ - For financial assets measured at fair value on a nonrecurring basis, the fair value measurements by level within the fair value hierarchy used at December 31, 2015 and 2014 are as follows: Fair Value Measurement Reporting Date using Description Total Level 1 Level 2 Level 3 December 31, 2015 Impaired Loans $ 7,615 $ - $ - $ 7,615 Foreclosed real estate 2,847 - - 2,847 December 31, 2014 Impaired Loans $ 11,312 $ - $ - $ 11,312 Foreclosed real estate 3,726 - - 3,726 The following tables present additional quantitative information about assets measured at fair value on a nonrecurring basis and for which the Company has utilized Level 3 inputs to determine fair value: Quantitative Information about Level 3 Fair Value Measurements (In thousands) Fair Value Estimate Valuation Techniques Unobservable Input Range (Weighted Average) December 31, 2015 Impaired loans $ 2,574 Appraisal of collateral(1) Appraisal adjustments(2) 10% ( 10% ) Impaired loans $ 5,041 Present value of future cash flows Loan discount rate 4 -7% ( 5.61% ) Probability of default 0% Foreclosed real estate owned $ 2,847 Appraisal of collateral(1) Liquidation Expenses(2) 10% Quantitative Information about Level 3 Fair Value Measurements (In thousands) Fair Value Estimate Valuation Techniques Unobservable Input Range (Weighted Average) December 31, 2014 Impaired loans $ 11,312 Appraisal of collateral(1) Appraisal adjustments(2) 6 - 33% ( 23.35% ) Foreclosed real estate owned $ 3,726 Appraisal of collateral(1) Liquidation Expenses(2) 10% (1) Fair value is generally determined through independent appraisals of the underlying collateral, which generally include various level 3 inputs which are not identifiable, less any associated allowance. (2) Appraisals may be adjusted by management for qualitative factors such as economic conditions and estimated liquidation expenses. The range and weighted average of liquidation expenses and other appraisal adjustments are presented as a percent of the appraisal. The following information should not be interpreted as an estimate of the fair value of the entire Company since a fair value calculation is only provided for a limited portion of the Company’s assets and liabilities. Due to a wide range of valuation techniques and the degree of subjectivity used in making the estimates, comparisons between the Company’s disclosures and those of other companies may not be meaningful. The following methods and assumptions were used to estimate the fair values of the Company’s financial instruments at December 31, 2015 and 2014. Cash and cash equivalents (carried at cost): The carrying amounts reported in the consolidated balance sheet for cash and short-term instruments approximate those assets’ fair values. Securities: The fair value of securities available for sale (carried at fair value) and held to maturity (carried at amortized cost) are determined by obtaining quoted market prices on nationally recognized securities exchanges (Level 1), or matrix pricing (Level 2), which is a mathematical technique used widely in the industry to value debt securities without relying exclusively on quoted market prices for the specific securities but rather by relying on the securities’ relationship to other benchmark quoted prices. For certain securities which are not traded in active markets or are subject to transfer restrictions, valuations are adjusted to reflect illiquidity and/or non-transferability, and such adjustments are generally based on available market evidence (Level 3). In the absence of such evidence, management’s best estimate is used. Management’s best estimate consists of both internal and external support on certain Level 3 investments. Internal cash flow models using a present value formula that includes assumptions market participants would use along with indicative exit pricing obtained from broker/dealers (where available) are used to support fair values of certain Level 3 investments, if applicable. Loans receivable (carried at cost): The fair values of loans are estimated using discounted cash flow analyses, using market rates at the balance sheet date that reflect the credit and interest rate-risk inherent in the loans. Projected future cash flows are calculated based upon contractual maturity or call dates, projected repayments and prepayments of principal. Generally, for variable rate loans that reprice frequently and with no significant change in credit risk, fair values are based on carrying values. Impaired loans (generally carried at fair value): The Company measures impairment generally based on the fair value of the loan’s collateral. Fair value is generally determined based upon independent third-party appraisals of the properties, or discounted cash flows based upon the lowest level of input that is significant to the fair value measurements. As of December 31, 2015, the fair value investment in impaired loans totaled $9,228,000 which included three loans for $6,373,000 for which a valuation allowance of $1,613,000 had been provided based on the estimated value of the collateral or the present value of estimated cash flows, and twenty loans for $2,855,000 which did not require a valuation allowance since the estimated realizable value of the collateral exceeded the recorded investment in the loan. As of December 31, 2015, the Company has recognized charge-offs against the allowance for loan losses on these impaired loans in the amount of $2,044,000 over the life of the loans. As of December 31, 2014, the fair value investment in impaired loans totaled $11,605,000 which included three loans for $2,973,000 for which a valuation allowance of $293,000 had been provided based on the estimated value of the collateral or the present value of estimated cash flows, and fourteen loans for $8,632,000 which did not require a valuation allowance since the estimated realizable value of the collateral exceeded the recorded investment in the loan. As of December 31, 2014, the Company has recognized charge-offs against the allowance for loan losses on these impaired loans in the amount of $1,022,000 over the life of the loans. Mortgage servicing rights (generally carried at cost): The Company utilizes a third party provider to estimate the fair value of certain loan servicing rights. Fair value for the purpose of this measurement is determined by estimating potential revenues and expenses of the various loan pools to arrive at a net cash flow stream, and then utilize present value methodologies on the cash flow stream at a current market yield. Foreclosed real estate owned (carried at fair value): Real estate properties acquired through, or in lieu of loan foreclosure are to be sold and are carried at fair value less estimated cost to sell. Fair value is based upon independent market prices, appraised value of the collateral or management’s estimation of the value of the collateral. These assets are included in Level 3 fair value based upon the lowest level of input that is significant to the fair value measurement. Restricted investment in Federal Home Loan Bank stock (carried at cost): The Company, as a member of the Federal Home Loan Bank (FHLB) system is required to maintain an investment in capital stock of its district FHLB according to a predetermined formula. This regulatory stock has no quoted market value and is carried at cost. Bank owned life insurance (carried at cost): The fair value is equal to the cash surrender value of the Bank owned life insurance. Accrued interest receivable and payable (carried at cost): The carrying amount of accrued interest receivable and accrued interest payable approximates its fair value. Deposit liabilities (carried at cost except certificates of deposit which are at fair value): The fair values disclosed for demand deposits (e.g., interest and noninterest checking, passbook savings and money market accounts) are, by definition, equal to the amount payable on demand at the reporting date (i.e., their carrying amounts). Fair values for fixed-rate certificates of deposit are estimated using a discounted cash flow calculation that applies interest rates currently being offered in the market on certificates to a schedule of aggregated expected monthly maturities on time deposits. Short-term borrowings (carried at cost): The carrying amounts of short-term borrowings approximate their fair values. Other borrowings (carried at cost): Fair values of FHLB advances are estimated using discounted cash flow analysis, based on quoted prices for new FHLB advances with similar credit risk characteristics, terms and remaining maturity. These prices obtained from this active market represent a market value that is deemed to represent the transfer price if the liability were assumed by a third party. Off-balance sheet financial instruments (disclosed at cost): Fair values for the Company’s off-balance sheet financial instruments (lending commitments and letters of credit) are based on fees currently charged in the market to enter into similar agreements, taking into account, the remaining terms of the agreements and the counterparties’ credit standing. T he estimated fair values of the Bank’s financial instruments were as follows at December 31, 2015 and December 31, 2014. (In thousands) Fair Value Measurements at December 31, 2015 Carrying Fair Amount Value Level 1 Level 2 Level 3 Financial assets: Cash and cash equivalents $ 10,010 $ 10,010 $ 10,010 $ - $ - Securities 138,851 138,851 384 138,467 - Loans receivable, net 552,627 559,416 - - 559,416 Mortgage servicing rights 261 291 - - 291 Regulatory stock 3,412 3,412 3,412 - - Bank owned life insurance 18,820 18,820 18,820 - - Accrued interest receivable 2,363 2,363 2,363 - - Financial liabilities: Deposits 550,909 551,175 354,162 - 197,013 Short-term borrowings 53,235 53,235 53,235 - - Other borrowings 41,126 41,260 - - 41,260 Accrued interest payable 957 957 957 - - Off-balance sheet financial instruments: Commitments to extend credit and outstanding letters of credit - - - - - Fair Value Measurements at December 31, 2014 Carrying Fair Amount Value Level 1 Level 2 Level 3 Financial assets: Cash and cash equivalents $ 12,376 $ 12,376 $ 12,376 $ - $ - Securities 156,395 156,395 398 155,997 - Loans receivable, net 495,260 507,833 - - 507,833 Mortgage servicing rights 271 277 - - 277 Regulatory stock 1,714 1,714 1,714 - - Bank owned life insurance 18,284 18,284 18,284 - - Accrued interest receivable 2,339 2,339 2,339 - - Financial liabilities: Deposits 559,944 560,243 338,112 - 222,131 Short-term borrowings 25,695 25,695 25,695 - - Other borrowings 22,200 23,228 - - 23,228 Accrued interest payable 966 966 966 - - Off-balance sheet financial instruments: Commitments to extend credit and outstanding letters of credit - - - - - |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 12 Months Ended |
Dec. 31, 2015 | |
Accumulated Other Comprehensive Income (Loss) [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | NOTE 15 – ACCUMULATED OTHER COMPREHENSIVE INCOME The following tables present the changes in accumulated other comprehensive income (loss) (in thousands) by component, net of tax, for the years ended December 31, 2015 and 2014: Unrealized gains on available for sale securities (a) Balance as of December 31, 2014 $ 462 Other comprehensive income before reclassification 439 Amount reclassified from accumulated other comprehensive income (413) Total other comprehensive income 26 Balance as of December 31, 2015 $ 488 Unrealized gains on available for sale securities (a) Balance as of December 31, 2013 $ (2,602) Other comprehensive income before reclassification 3,836 Amount reclassified from accumulated other comprehensive income (772) Total other comprehensive income 3,064 Balance as of December 31, 2014 $ 462 (a) All amounts are net of tax. Amounts in parentheses indicate debits. The following table presents significant amounts reclassified out of each component of accumulated other comprehensive income (loss) (in thousands) for the year ended December 31, 2015: Amount Reclassified From Accumulated Affected Line Item in Other Consolidated Comprehensive Statement of Details about other comprehensive income Income (Loss) (a) Income Twelve months Twelve months ended ended December 31, December 31, 2015 2014 Unrealized gains on available for sale securities $ 626 $ 1,170 Net realized gains on sales of securities (213) (398) Income tax expense $ 413 $ 772 Net of tax Amounts in parentheses indicate debits to net income . |
Proposed Acquisition of Delawar
Proposed Acquisition of Delaware Bancshares, Inc. | 12 Months Ended |
Dec. 31, 2015 | |
Subsequent Events [Abstract] | |
Proposed Acquisition of Delaware Bancshares, Inc. | NOTE 16 – PROPOSED ACQUISITION OF DELAWARE BANCSHARES, INC. On March 10, 2016 , Norwood Financial Corp. (“Norwood Financial”) and its wholly owned subsidiary, Wayne Bank, and Delaware Bancshares, Inc. (“Delaware Bancshares”), and its wholly owned subsidiary, The National Bank of Delaware County (“NBDC Bank”) entered into an Agreement and Plan of Merger (the “Merger Agreement”) pursuant to which Delaware Bancshares will merge with and into Norwood Financial, with Norwood Financial as the surviving corporation. Concurrent with the merger, it is expected that NBDC Bank will merge with and into Wayne Bank. Under the terms of the Merger Agreement, each outstanding share of Delaware Bancshares common stock will be converted into either the right to receive $16.68 in cash or 0.6221 shares of Norwood Financial common stock or a combination of both. Not more than 25% of the merger consideration shall be paid in cash and the remainder will be paid in Norwood Financial common stock. In the event of a greater than 20% decline in market value of Norwood Financial common stock, Delaware Bancshares may, in certain circumstances, be able to terminate the Merger Agreement unless Norwood Financial increases the number of shares into which Delaware Bancshares common stock may be converted. The senior management of Norwood Financial and Wayne Bank will remain the same following the merger. The directors of NBDC Bank will be invited to join a newly formed regional advisory board. Within 18 months of the merger, Norwood Financial and Wayne Bank will invite one member of the advisory board to join their boards. The transaction is subject to customary closing conditions, including the receipt of regulatory approvals and approval by the shareholders of Delaware Bancshares. The merger is currently expected to be completed in the third quarter of 2016. Each of the directors and executive officers of Delaware Bancshares have agreed to vote their shares in favor of the approval of the Merger Agreement at the shareholders’ meeting to be held to vote on the proposed transaction. If the merger is not consummated under certain circumstances, Delaware Bancshares has agreed to pay Norwood Financial a termination fee of $615,000 . The Merger Agreement also contains usual and customary representations and warranties that Norwood Financial and Delaware Bancshares made to each other as of specific dates. The assertions embodied in those representations and warranties were made solely for purposes of the contract between Norwood Financial and Delaware Bancshares, and may be subject to important qualifications and limitations agreed to by the parties in connection with negotiating its terms. Moreover, the representations and warranties are subject to a contractual standard of materiality that may be different from what may be viewed as material to shareholders, and the representations and warranties may have been used to allocate risk between Norwood Financial and Delaware Bancshares rather than establishing matters as facts. |
Norwood Financial Corp (Parent
Norwood Financial Corp (Parent Company Only) Financial Information | 12 Months Ended |
Dec. 31, 2015 | |
Norwood Financial Corp (Parent Company Only) Financial Information [Abstract] | |
NORWOOD FINANCIAL CORP (PARENT COMPANY ONLY) FINANCIAL INFORMATION | NOTE 17 - NORWOOD FINANCIAL CORP (PARENT COMPANY ONLY) FINANCIAL INFORMATION BALANCE SHEETS December 31, 2015 2014 (In Thousands) ASSETS Cash on deposit in bank subsidiary $ 2,151 $ 1,846 Securities available for sale 384 398 Investment in bank subsidiary 95,895 94,268 Other assets 4,113 3,900 Total assets $ 102,543 $ 100,412 LIABILITIES AND STOCKHOLDERS’ EQUITY Liabilities $ 1,545 $ 1,371 Stockholders’ equity 100,998 99,041 Total liabilities and stockholders' equity $ 102,543 $ 100,412 STATEMENTS OF INCOME Years Ended December 31, 2015 2014 2013 Income: (In Thousands) Dividends from bank subsidiary $ 4,574 $ 4,377 $ 4,216 Other interest income 11 10 9 4,585 4,387 4,225 Expenses 313 346 267 4,272 4,041 3,958 Income tax benefit (103) (114) (88) 4,375 4,155 4,046 Equity in undistributed earnings of subsidiary 1,533 3,502 4,419 Net Income $ 5,908 $ 7,657 $ 8,465 Comprehensive Income $ 5,934 $ 10,721 $ 3,066 STATEMENTS OF CASH FLOWS Years Ended December 31, 2015 2014 2013 (In Thousands) CASH FLOWS FROM OPERATING ACTIVITIES Net income $ 5,908 $ 7,657 $ 8,465 Adjustments to reconcile net income to net cash provided by operating activities: Undistributed earnings of bank subsidiary (1,533) (3,502) (4,419) Other, net (19) 177 (247) Net Cash Provided by Operating Activities 4,356 4,332 3,799 CASH FLOWS FROM FINANCING ACTIVITIES Stock options exercised 441 691 575 Tax benefit of stock options exercised 16 17 39 ESOP purchase of shares from treasury stock 146 150 146 Acquisition of treasury stock (127) (179) (319) Cash dividends paid (4,527) (4,370) (4,155) Net Cash Used in Financing Activities (4,051) (3,691) (3,714) Net Increase (Decrease) in Cash and Cash Equivalents 305 641 85 CASH AND CASH EQUIVALENTS - BEGINNING 1,846 1,205 1,120 CASH AND CASH EQUIVALENTS - ENDING $ 2,151 $ 1,846 $ 1,205 |
Summary of Significant Accoun26
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2015 | |
Summary of Significant Accounting Policies [Abstract] | |
Principles of Consolidation [Policy Text Block] | Principles of Consolidation The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiary, the Bank, and the Bank’s wholly-owned subsidiaries, WCB Realty Corp., Norwood Investment Corp., Norwood Settlement Services, LLC and WTRO Properties. All significant intercompany accounts and transactions have been eliminated in consolidation. |
Estimates [Policy Text Block] | Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses, the valuation of deferred tax assets, the determination of other-than-temporary impairment on securities, the determination of goodwill impairment and the fair value of financial instruments. |
Concentrations of Credit Risk [Policy Text Block] | Significant Group Concentrations of Credit Risk Most of the Company’s activities are with customers located within northeastern Pennsylvania. Note 3 discusses the types of securities that the Company invests in. Note 4 discusses the types of lending that the Company engages in. The Company does not have any significant concentrations to any one industry or customer. Concentrations of Credit Risk The Bank operates primarily in Wayne, Pike, Lackawanna and Monroe Counties, Pennsylvania and, accordingly, has extended credit primarily to commercial entities and individuals in this area whose ability to honor their contracts is influenced by the region’s economy. These customers are also the primary depositors of the Bank. The Bank is limited in extending credit by legal lending limits to any single borrower or group of borrowers. |
Securities [Policy Text Block] | Securities Securities classified as available for sale are those securities that the Company intends to hold for an indefinite period of time but not necessarily to maturity. Any decision to sell a security classified as available for sale would be based on various factors, including significant movement in interest rates, changes in maturity mix of the Company’s assets and liabilities, liquidity needs, regulatory capital considerations and other similar factors. Securities available for sale are carried at fair value. Unrealized gains and losses are reported in other comprehensive income, net of the related deferred tax effect. Realized gains or losses, determined on the basis of the cost of the specific securities sold, are included in earnings. Premiums and discounts are recognized in interest income using a method which approximates the interest method over the term of the security. Bonds, notes and debentures for which the Company has the positive intent and ability to hold to maturity are reported at cost, adjusted for premiums and discounts that are recognized in interest income using the interest method over the term of the security. Management determines the appropriate classification of debt securities at the time of purchase and re-evaluates such designation as of each Consolidated Balance Sheet date. Declines in the fair value of held to maturity and available for sale securities below their cost that are deemed to be other than temporary are reflected in earnings as realized losses. In estimating other-than-temporary impairment losses, management considers (1) the length of time and the extent to which the fair value has been less than cost, (2) the financial condition and near-term prospects of the issuer, and (3) the intent of the Company to not sell the securities and it is more likely than not that it will not have to sell the securities before recovery of their cost basis. The Company, as a member of the Federal Home Loan Bank (FHLB) system is required to maintain an investment in capital stock of its district FHLB according to a predetermined formula. This regulatory stock has no quoted market value and is carried at cost. Management evaluates the regulatory stock for impairment. Management’s determination of whether these investments are impaired is based on their assessment of the ultimate recoverability of their cost rather than by recognizing temporary declines in value. The determination of whether a decline affects the ultimate recoverability of their cost is influenced by criteria such as (1) the significance of the decline in net assets of the FHLB as compared to the capital stock amount for the FHLB and the length of time this situation has persisted, (2) commitments by the FHLB to make payments required by law or regulation and the level of such payments in relation to the operating performance of the FHLB, and (3) the impact of legislative and regulatory changes on institutions and, accordingly, on the customer base of the FHLB. Management considers the FHLB’s regulatory capital ratios, liquidity, and the fact that new shares of FHLB stock continue to change hands at the $100 par value. Management believes no impairment charge is necessary related to FHLB stock as of December 31, 2015. |
Loans Receivable [Policy Text Block] | Loans Receivable Loans receivable that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are stated at their outstanding unpaid principal balances, net of an allowance for loan losses and any deferred fees. Interest income is accrued on the unpaid principal balance. Loan origination fees are deferred and recognized as an adjustment of the yield (interest income) of the related loans. The Company is generally amortizing these amounts over the contractual life of the loan. The accrual of interest is generally discontinued when the contractual payment of principal or interest has become 90 days past due or management has serious doubts about further collectability of principal or interest, even though the loan is currently performing. A loan may remain on accrual status if it is in the process of collection and is either guaranteed or well secured. When a loan is placed on nonaccrual status, unpaid interest credited to income in the current year is reversed and unpaid interest accrued in prior years is charged against the allowance for loan losses. Interest received on nonaccrual loans generally is either applied against principal or reported as interest income, according to management’s judgment as to the collectability of principal. Generally, loans are restored to accrual status when the obligation is brought current, has performed in accordance with the contractual terms for a reasonable period of time and the ultimate collectability of the total contractual principal and interest is no longer in doubt. |
Troubled Debt Restructurings [Policy Text Block] | Troubled Debt Restructurings A loan is considered to be a troubled debt restructuring (TDR) loan when the Company grants a concession to the borrower because of the borrower’s financial condition that it would not otherwise consider. Such concessions include the reduction of interest rates, forgiveness of principal or interest, or other modifications of interest rates that are less than the current market rate for new obligations with similar risk. |
Loans Acquired [Policy Text Block] | Loans Acquired Loans acquired including loans that have evidence of deterioration of credit quality since origination and for which it is probable, at acquisition, that the Company will be unable to collect all contractually required payments receivable, are initially recorded at fair value (as determined by the present value of expected future cash flows) with no valuation allowance. Loans are evaluated individually to determine if there is evidence of deterioration of credit quality since origination. The difference between the undiscounted cash flows expected at acquisition and the investment in the loan, or the “accretable yield,” is recognized as interest income on a level-yield method over the life of the loan. Contractually required payments for interest and principal that exceed the undiscounted cash flows expected at acquisition, or the “non-accretable difference,” are not recognized as a yield adjustment or as a loss accrual or a valuation allowance. Increases in expected cash flows subsequent to the initial investment are recognized prospectively through adjustment of the yield on the loan over its remaining estimated life. Decreases in expected cash flows are recognized immediately as impairment. Any valuation allowances on these impaired loans reflect only losses incurred after the acquisition. For purchased loans acquired that are not deemed impaired at acquisition, credit discounts representing the principal losses expected over the life of the loan are a component of the initial fair value. Loans may be aggregated and accounted for as a pool of loans if the loans being aggregated have common risk characteristics. Subsequent to the purchase date, the methods utilized to estimate the required allowance for credit losses for these loans is similar to originated loans; however, the Company records a provision for loan losses only when the required allowance exceeds any remaining credit discounts. The remaining differences between the purchase price and the unpaid principal balance at the date of acquisition are recorded in interest income over the life of the loans. |
Mortgage Servicing Rights [Policy Text Block] | Mortgage Servicing Rights Servicing assets are recognized as separate assets when rights are acquired through purchase or through the sale of financial assets. Capitalized servicing rights are reported in other assets and are amortized into noninterest income in proportion to, and over the period of, the estimated future net servicing income of the underlying financial assets. Servicing assets are evaluated for impairment based upon a third party appraisal. Fair value is determined using prices for similar assets with similar characteristics, when available, or based upon discounted cash flows using market-based assumptions. Impairment is recognized through a valuation allowance to the extent that fair value is less than the capitalized amount. The Company’s loan servicing assets at December 31, 2015 and 2014, respectively, were not impaired. Total servicing assets included in other assets as of December 31, 2015 and 2014, were $261,000 and $271,000 , respectively. |
Allowance for Loan Losses [Policy Text Block] | Allowance for Loan Losses The allowance for loan losses is established through provisions for loan losses charged against income. Loans deemed to be uncollectible are charged against the allowance for loan losses, and subsequent recoveries, if any, are credited to the allowance. The allowance for loan losses is maintained at a level considered adequate to provide for losses that can be reasonably anticipated. Management’s periodic evaluation of the adequacy of the allowance is based on the Company’s past loan loss experience, known and inherent risks in the portfolio, adverse situations that may affect the borrower’s ability to repay, the estimated value of any underlying collateral, composition of the loan portfolio, current economic conditions and other relevant factors. This evaluation is inherently subjective as it requires material estimates that may be susceptible to significant revision as more information becomes available. The allowance consists of specific and components. The specific component relates to loans that are classified as substandard. For such loans that are also classified as impaired, an allowance is established when the discounted cash flows (or collateral value or observable market price) of the impaired loan is lower than the carrying value of that loan. The general component covers non-classified loans and is based on historical loss experience adjusted for qualitative factors. A loan is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement. Factors considered by management in determining impairment include payment status, collateral value and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record and the amount of the shortfall in relation to the principal and interest owed. Impairment is measured on a loan by loan basis for commercial and construction loans by either the present value of expected future cash flows discounted at the loan’s effective interest rate, the loan’s obtainable market price or the fair value of the collateral if the loan is collateral dependent. Large groups of smaller balance homogeneous loans are collectively evaluated for impairment. Accordingly, the Company does not separately identify individual consumer and residential real estate loans for impairment disclosures, unless such loans were acquired with impairment or are the subject of a restructuring agreement. |
Premises and Equipment [Policy Text Block] | Premises and Equipment Land is carried at cost. Premises and equipment are stated at cost less accumulated depreciation. Depreciation expense is calculated principally on the straight-line method over the respective assets estimated useful lives as follows: Years Buildings and improvements 10 - 40 Furniture and equipment 3 - 10 |
Transfers of Financial Assets [Policy Text Block] | Transfers of Financial Assets Transfers of financial assets, including loan and loan participation sales, are accounted for as sales, when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when (1) the assets have been isolated from the Company, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets and (3) the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity or the ability to unilaterally cause the holder to return specific assets. |
Foreclosed Real Estate [Policy Text Block] | Foreclosed Real Estate Real estate properties acquired through, or in lieu of, loan foreclosure are to be sold and are initially recorded at fair value less cost to sell at the date of foreclosure establishing a new cost basis. After foreclosure, valuations are periodically performed by management and the real estate is carried at the lower of its carrying amount or fair value less cost to sell. Revenue and expenses from operations and changes in the valuation allowance are included in other expenses. |
Bank Owned Life Insurance [Policy Text Block] | Bank Owned Life Insurance The Company invests in bank owned life insurance (BOLI) as a source of funding for employee benefit expenses. BOLI involves the purchasing of life insurance by the Bank on a select group of employees. The Company is the owner and beneficiary of the policies. This life insurance investment is carried at the cash surrender value of the underlying policies. Income from the increase in cash surrender value of the policies or from death benefits realized is included in other income on the Consolidated Statements of Income. |
Goodwill [Policy Text Block] | Goodwill In connection with an acquisition the Company recorded goodwill in the amount of $9.7 million, representing the excess of amounts paid over the fair value of net assets of the institutions acquired. Goodwill is tested and deemed impaired when the carrying value of goodwill exceeds its implied fair value. The value of the goodwill can change in the future. We expect the value of the goodwill to decrease if there is a significant decrease in the franchise value of the Bank. If an impairment loss is determined in the future, we will reflect the loss as an expense for the period in which the impairment is determined, leading to a reduction of our net income for that period by the amount of the impairment loss. No impairment was recognized for the years ended December 31, 2015, 2014 and 2013. |
Intangible Assets [Policy Text Block] | Intangible Assets At December 31, 2015, the Company had intangible assets of $285,000 which is net of accumulated amortization of $610,000 . These intangible assets will continue to be amortized using the sum-of-the-years digits method of amortization over ten years. At December 31, 2014, the Company had intangible assets of $389,000 which is net of accumulated amortization of $506,000 . Amortization expense related to intangible assets was $105,000 , $121,000 and $137,000 for the years ended December 31, 2015, 2014 and 2013. As of December 31, 2015, the estimated future amortization expense for the core deposit intangible was: 2016 $ 88,000 2017 72,000 2018 56,000 2019 39,000 2020 23,000 2021 7,000 $ 285,000 |
Income Taxes [Policy Text Block] | Income Taxes Deferred income tax assets and liabilities are determined based on the differences between financial statement carrying amounts and the tax basis of existing assets and liabilities. These differences are measured at the enacted tax rates that will be in effect when these differences reverse. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion of the deferred tax assets will not be realized. As changes in tax laws or rates are enacted, deferred tax assets and liabilities are adjusted through the provision for income taxes. The Company and its subsidiary file a consolidated federal income tax return. The Company recognizes interest and penalties on income taxes as a component of income tax expense. The Company analyzes each tax position taken in its tax returns and determines the likelihood that the position will be realized. Only tax positions that are “more-likely-than-not” to be realized can be recognized in an entity’s financial statements. For tax positions that do not meet this recognition threshold, an entity will record an unrecognized tax benefit for the difference between the position taken on the tax return and the amount recognized in the financial statements. The Company does not have any unrecognized tax benefits at December 31, 2015 or 2014 or during the years then ended. No unrecognized tax benefits are expected to arise within the next twelve months. |
Advertising Costs [Policy Text Block] | Advertising Costs Advertising costs are expensed as incurred. |
Earnings per Share [Policy Text Block] | Earnings per Share Basic earnings per share represents income available to common stockholders divided by the weighted average number of common shares outstanding during the period less any unvested restricted shares. Diluted earnings per share reflects additional common shares that would have been outstanding if dilutive potential common shares had been issued, as well as any adjustment to income that would result from the assumed issuance. Potential common shares that may be issued by the Company relate solely to outstanding stock options and are determined using the treasury stock method. Treasury shares are not deemed outstanding for earnings per share calculations. |
Stock Option Plans [Policy Text Block] | Stock Option Plans The Company recognizes the value of share-based payment transactions as compensation costs in the financial statements over the period that an employee provides service in exchange for the award. The fair value of the share-based payments for stock options is estimated using the Black-Scholes option-pricing model. The Company used the modified-prospective transition method to record compensation expense. Under the modified prospective method, companies are required to record compensation cost for new and modified awards over the related vesting period of such awards and record compensation cost prospectively for the unvested portion, at the date of adoption, of previously issued and outstanding awards over the remaining vesting period of such awards. No change to prior periods presented is permitted under the modified prospective method. Restricted Stock The Company recognizes compensation cost related to restricted stock based on the market price of the stock at the grant date over the vesting period. The product of the number of shares granted and the grant date market price of the Company’s common stock determines the fair value of restricted stock under the Company’s 2014 Equity Incentive Plan. The Company recognizes compensation expense for the fair value of the restricted stock on a straight-line basis over the requisite service period for the entire award. |
Cash Flow Information [ Policy Text Block] | Cash Flow Information For the purposes of reporting cash flows, cash and cash equivalents include cash on hand, amounts due from banks, interest-bearing deposits with banks and federal funds sold. |
Off-Balance Sheet Financial Instruments [Policy Text Block] | Off-Balance Sheet Financial Instruments In the ordinary course of business, the Company has entered into off-balance sheet financial instruments consisting of commitments to extend credit, letters of credit and commitments to sell loans. Such financial instruments are recorded on the balance sheets when they become receivable or payable. |
Trust Assets [Policy Text Block] | Trust Assets Assets held by the Company in a fiduciary capacity for customers are not included in the financial statements since such items are not assets of the Company. Trust income is reported on the accrual method. |
Treasury Stock [Policy] | Treasury Stock Common shares repurchased are recorded as treasury stock at cost. |
Comprehensive Income [Policy Text Block] | Comprehensive Income Accounting principles generally require that recognized revenue, expenses, gains and losses be included in net income. Although certain changes in assets and liabilities, such as unrealized gains and losses on available for sale securities, are reported as a separate component of the equity section of the balance sheet. Such items, along with net income, are components of comprehensive income as presented in the Consolidated Statement of Comprehensive Income. |
Segment Reporting [Policy Text Block] | Segment Reporting The Company acts as an independent community financial service provider and offers traditional banking related financial services to individual, business and government customers. Through its branch and automated teller machine network, the Company offers a full array of commercial and retail financial services, including the taking of time, savings and demand deposits; the making of commercial, consumer and mortgage loans; and the providing of safe deposit services. The Company also performs personal, corporate, pension and fiduciary services through its Trust Department. Management does not separately allocate expenses, including the cost of funding loan demand, between the commercial, retail, mortgage banking and trust operations of the Company. As such, discrete information is not available and segment reporting would not be meaningful. |
New Accounting Standards [Policy Text Block] | New Accounting Standards In January 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2014-01, Investments – Equity Method and Joint Ventures (Topic 323): Accounting for Investments in Qualified Affordable Housing Projects. The amendments in this Update permit reporting entities to make an accounting policy election to account for their investments in qualified affordable housing projects using the proportional amortization method if certain conditions are met. Under the proportional amortization method, an entity amortizes the initial cost of the investment in proportion to the tax credits and other tax benefits received and recognizes the net investment performance in the income statement as a component of income tax expense (benefit). The amendments in this Update should be applied retrospectively to all periods presented. A reporting entity that uses the effective yield method to account for its investments in qualified affordable housing projects before the date of adoption may continue to apply the effective yield method for those preexisting investments. The amendments in this Update are effective for public business entities for annual periods and interim reporting periods within those annual periods, beginning after December 15, 2014. Early adoption is permitted. This Update did not have a significant impact on the Company’s financial statements. In January 2014, the FASB issued ASU 2014-04, Receivables – Troubled Debt Restructurings by Creditors (Subtopic 310-40): Reclassification of Residential Real Estate Collateralized Consumer Mortgage Loans upon Foreclosure. The amendments in this Update clarify that an in substance repossession or foreclosure occurs, and a creditor is considered to have received physical possession of residential real estate property collateralizing a consumer mortgage loan, upon either (1) the creditor obtaining legal title to the residential real estate property upon completion of a foreclosure or (2) the borrower conveying all interest in the residential real estate property to the creditor to satisfy that loan through completion of a deed in lieu of foreclosure or through a similar legal agreement. Additionally, the amendments require interim and annual disclosure of both (1) the amount of foreclosed residential real estate property held by the creditor and (2) the recorded investment in consumer mortgage loans collateralized by residential real estate property that are in the process of foreclosure according to local requirements of the applicable jurisdiction . The amendments in this Update are effective for public business entities for annual periods, and interim periods within those annual periods, beginning after December 15, 2014. An entity can elect to adopt the amendments in this Update using either a modified retrospective transition method or a prospective transition method. The Company has included the disclosures related to this Update in Note 4. In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers (a new revenue recognition standard). The Update’s core principle is that a company will recognize revenue to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. In addition, this update specifies the accounting for certain costs to obtain or fulfill a contract with a customer and expands disclosure requirements for revenue recognition. This Update is effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period. The Company is evaluating the effect of adopting this new accounting Update. In June 2014, the FASB issued ASU 2014-11, Transfers and Servicing (Topic 860): Repurchase-to-Maturity Transactions, Repurchase Financings, and Disclosures . The amendments in this Update change the accounting for repurchase-to-maturity transactions to secured borrowing accounting. For repurchase financing arrangements, the amendments require separate accounting for a transfer of a financial asset executed contemporaneously with a repurchase agreement with the same counterparty, which will result in secured borrowing accounting for the repurchase agreement. The amendments also require enhanced disclosures. The accounting changes in this Update are effective for the first interim or annual period beginning after December 15, 2014. An entity is required to present changes in accounting for transactions outstanding on the effective date as a cumulative-effect adjustment to retained earnings as of the beginning of the period of adoption. Earlier application is prohibited. The disclosure for certain transactions accounted for as a sale is required to be presented for interim and annual periods beginning after December 15, 2014, and the disclosure for repurchase agreements, securities lending transactions, and repurchase-to-maturity transactions accounted for as secured borrowings is required to be presented for annual periods beginning after December 15, 2014, and for interim periods beginning after March 15, 2015. The disclosures are not required to be presented for comparative periods before the effective date. The Company has included the disclosures related to this Update in Note 7. In June 2014, the FASB issued ASU 2014-12, Compensation – Stock Compensation ( Topic 718 ): Accounting for Share-Based Payments when the Terms of an Award Provide that a Performance Target Could Be Achieved After the Requisite Service Period . The amendments require that a performance target that affects vesting and that could be achieved after the requisite service period be treated as a performance condition. The amendments in this Update are effective for annual periods and interim periods within those annual periods beginning after December 15, 2015. Earlier adoption is permitted. Entities may apply the amendments in this Update either (a) prospectively to all awards granted or modified after the effective date or (b) retrospectively to all awards with performance targets that are outstanding as of the beginning of the earliest annual period presented in the financial statements and to all new or modified awards thereafter. If retrospective transition is adopted, the cumulative effect of applying this Update as of the beginning of the earliest annual period presented in the financial statements should be recognized as an adjustment to the opening retained earnings balance at that date. Additionally, if retrospective transition is adopted, an entity may use hindsight in measuring and recognizing the compensation cost. This Update is not expected to have a significant impact on the Company’s financial statements. In August 2014, the FASB issued ASU 2014-14, Receivables – Troubled Debt Restructurings by Creditors (Subtopic 310-40) . The amendments in this Update require that a mortgage loan be derecognized and that a separate other receivable be recognized upon foreclosure if the following conditions are met: (1) the loan has a government guarantee that is not separable from the loan before foreclosure, (2) at the time of foreclosure, the creditor has the intent to convey the real estate property to the guarantor and make a claim on the guarantee, and the creditor has the ability to recover under that claim, and (3) at the time of foreclosure, any amount of the claim that is determined on the basis of the fair value of the real estate is fixed. Upon foreclosure, the separate other receivable should be measured based on the amount of the loan balance (principal and interest) expected to be recovered from the guarantor. The amendments in this Update are effective for public business entities for annual periods, and interim periods within those annual periods, beginning after December 15, 2014 . This Update did no t have a significant impact on the Company’s financial statements. In August 2014, the FASB issued ASU 2014-15, Presentation of Financial Statements – Going Concern (Subtopic 205-40). The amendments in this Update provide guidance in accounting principles generally accepted in the United States of America about management's responsibility to evaluate whether there is substantial doubt about an entity's ability to continue as a going concern and to provide related footnote disclosures. The amendments in this Update are effective for the annual period ending after December 15, 2016, and for annual periods and interim periods thereafter. Early application is permitted. This Update is not expected to have a significant impact on the Company’s financial statements. In November 2014, the FASB issued ASU 2014-16, Derivatives and Hedging (Topic 815): Determining Whether the Host Contract in a Hybrid Financial Instrument Issued in the Form of a Share Is More Akin to Debt or to Equity (a consensus of the FASB Emerging Issues Task Force). This Update clarifies how current U.S. GAAP should be interpreted in subjectively evaluating the economic characteristics and risks of a host contract in a hybrid financial instrument that is issued in the form of a share. Public business entities are required to implement the new requirements in fiscal years and interim periods within those fiscal years beginning after December 15, 2015. This Update is not expected to have a significant impact on the Company’s financial statements. In November 2014, the FASB issued ASU 2014-17, Business Combinations (Topic 805): Pushdown Accounting. The amendments in this Update apply to the separate financial statements of an acquired entity and its subsidiaries that are a business or nonprofit activity (either public or nonpublic) upon the occurrence of an event in which an acquirer (an individual or an entity) obtains control of the acquired entity. An acquired entity may elect the option to apply pushdown accounting in the reporting period in which the change-in-control event occurs. If pushdown accounting is not applied in the reporting period in which the change-in-control event occurs, an acquired entity will have the option to elect to apply pushdown accounting in a subsequent reporting period to the acquired entity's most recent change-in-control event. The amendments in this Update are effective on November 18, 2014. After the effective date, an acquired entity can make an election to apply the guidance to future change-in-control events or to its most recent change-in-control event. This Update is not expected to have a significant impact on the Company’s financial statements. In January 2015, the FASB issued ASU 2015-01, Income Statement – Extraordinary and Unusual Items, as part of its initiative to reduce complexity in accounting standards. This Update eliminates from U.S. GAAP the concept of extraordinary items. The amendments in this Update are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015. A reporting entity may apply the amendments prospectively. A reporting entity may also apply the amendments retrospectively to all prior periods presented in the financial statements. Early adoption is permitted provided that the guidance is applied from the beginning of the fiscal year of adoption. This Update is not expected to have a significant impact on the Company’s financial statements. In February 2015, the FASB issued ASU 2015-02, Consolidation (Topic 810) . The amendments in this Update affect reporting entities that are required to evaluate whether they should consolidate certain legal entities. All legal entities are subject to reevaluation under the revised consolidation model. Specifically, the amendments (1) modify the evaluation of whether limited partnerships and similar legal entities are variable interest entities (“VIEs”) or voting interest entities; (2) eliminate the presumption that a general partner should consolidate a limited partnership; (3) affect the consolidation analysis of reporting entities that are involved with VIEs, particularly those that have fee arrangements and related-party relationships; and (4) provide a scope exception from consolidation guidance for reporting entities with interests in legal entities that are required to comply with or operate in accordance with requirements that are similar to those in Rule 2a-7 of the Investment Company Act of 1940 for registered money market funds. The amendments in this Update are effective for public business entities for fiscal years, and for interim periods within those fiscal years, beginning after December 15, 2015. For all other entities, the amendments in this Update are effective for fiscal years beginning after December 15, 2016, and for interim periods within fiscal years beginning after December 15, 2017. This Update is not expected to have a significant impact on the Company’s financial statements. In April 2015, the FASB issued ASU 2015-03, Interest – Imputation of Interest (Subtopic 835-30) , as part of its initiative to reduce complexity in accounting standards. To simplify presentation of debt issuance costs, the amendments in this Update require that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. The recognition and measurement guidance for debt issuance costs are not affected by the amendments in this Update. For public business entities, the amendments in this Update are effective for financial statements issued for fiscal years beginning after December 15, 2015, and interim periods within those fiscal years. For all other entities, the amendments in this Update are effective for financial statements issued for fiscal years beginning after December 15, 2015, and interim periods within fiscal years beginning after December 15, 2016. An entity should apply the new guidance on a retrospective basis, wherein the balance sheet of each individual period presented should be adjusted to reflect the period-specific effects of applying the new guidance. This Update is not expected to have a significant impact on the Company’s financial statements. In May 2015, the FASB issued ASU 2015-08 , Business Combinations – Pushdown Accounting – Amendment to SEC Paragraphs Pursuant to Staff Accounting Bulletin No. 115 . This Update was issued to amend various SEC paragraphs pursuant to the issuance of Staff Accounting Bulletin No. 115 . This Update is not expected to have a significant impact on the Company’s financial statements. In June 2015, the FASB issued ASU 2015-10, Technical Corrections and Improvements . The amendments in this Update represent changes to clarify the FASB Accounting Standards Codification (“Codification”), correct unintended application of guidance, or make minor improvements to the Codification that are not expected to have a significant effect on current accounting practice or create a significant administrative cost to most entities. Transition guidance varies based on the amendments in this Update. The amendments in this Update that require transition guidance are effective for all entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015. Early adoption is permitted, including adoption in an interim period. All other amendments will be effective upon the issuance of this Update . This Update is not expected to have a significant impact on the Company’s financial statements. In August 2015, the FASB issued ASU 2015-14, Revenue from Contract with Customers ( Topic 606 ). The amendments in this Update defer the effective date of ASU 2014-09 for all entities by one year. Public business entities, certain not-for-profit entities, and certain employee benefit plans should apply the guidance in ASU 2014-09 to annual reporting periods beginning after December 15, 2017, including interim reporting periods within that reporting period. All other entities should apply the guidance in ASU 2014-09 to annual reporting periods beginning after December 15, 2018, and interim reporting periods within annual reporting periods beginning after December 15, 2019. The Company is evaluating the effect of adopting this new accounting Update. In August 2015, the FASB issued ASU 2015-15, Interest – Imputation of Interest (Subtopic 835-30): Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements Amendments to SEC Paragraphs Pursuant to Staff Announcement at June 18, 2015 EITF Meeting . This Update adds SEC paragraphs pursuant to the SEC Staff Announcement at the June 18, 2015 Emerging Issues Task Force meeting about the presentation and subsequent measurement of debt issuance costs associated with line-of-credit arrangements. This Update is not expected to have a significant impact on the Company’s financial statements. In September 2015, the FASB issued ASU 2015-16, Business Combinations (Topic 805). The amendments in this Update require that an acquirer recognizes adjustments to provisional amounts that are identified during the measurement period in the reporting period in which the adjustment amounts are determined. The amendments in this Update require that the acquirer record, in the same period's financial statements, the effect on earnings of changes in depreciation, amortization, or other income effects, if any, as a result of the change to the provisional amounts, calculated as if the accounting had been completed at the acquisition date. The amendments in this Update require an entity to present separately on the face of the income statement or disclose in the notes the portion of the amount recorded in current-period earnings by line item that would have been recorded in previous reporting periods if the adjustment to the provisional amounts had been recognized as of the acquisition date. For public business entities, the amendments in this Update are effective for fiscal years beginning after December 15, 2015, including interim periods within those fiscal years. For all other entities, the amendments in this Update are effective for fiscal years beginning after December 15, 2016, and interim periods within fiscal years beginning after December 15, 2017. This Update is not expected to have a significant impact on the Company’s financial statements. In November 2015, the FASB issued ASU 2015-17, Income Taxes (Topic 740): Balance Sheet Classification of Deferred Taxes . The amendments in this Update require that deferred tax liabilities and assets be classified as noncurrent in a classified statement of financial position. The amendments in this Update apply to all entities that present a classified statement of financial position. For public business entities, the amendments in this Update are effective for financial statements issued for annual periods beginning after December 15, 2016, and interim periods within those annual periods. For all other entities, the amendments in this Update are effective for financial statements issued for annual periods beginning after December 15, 2017, and interim periods within annual periods beginning after December 15, 2018. Earlier application is permitted for all entities as of the beginning of an interim or annual reporting period. The amendments in this Update may be applied either prospectively to all deferred tax liabilities and assets or retrospectively to all periods presented. This Update is not expected to have a significant impact on the Company’s financial statements. In January 2016, the FASB issued ASU 2016-01, Financial Instruments – Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities . This Update applies to all entities that hold financial assets or owe financial liabilities and is intended to provide more useful information on the recognition, measurement, presentation, and disclosure of financial instruments. Among other things, this Update (a) requires equity investments (except those accounted for under the equity method of accounting or those that result in consolidation of the investee) to be measured at fair value with changes in fair value recognized in net income; (b) simplifies the impairment assessment of equity investments without readily determinable fair values by requiring a qualitative assessment to identify impairment; (c) eliminates the requirement to disclose the fair value of financial instruments measured at amortized cost for entities that are not public business entities; (d) eliminates the requirement for public business entities to disclose the method(s) and significant assumptions used to estimate the fair value that is required to be disclosed for financial instruments measured at amortized cost on the balance sheet; (e) requires public business entities to use the exit price notion when measuring the fair value of financial instruments for disclosure purposes; (f) requires an entity to present separately in other comprehensive income the portion of the total change in the fair value of a liability resulting from a change in the instrument-specific credit risk when the entity has elected to measure the liability at fair value in accordance with the fair value option for financial instruments; (g) requires separate presentation of financial assets and financial liabilities by measurement category and form of financial asset (that is, securities or loans and receivables) on the balance sheet or the accompanying notes to the financial statements; and (h) clarifies that an entity should evaluate the need for a valuation allowance on a deferred tax asset related to available-for-sale securities in combination with the entity’s other deferred tax assets. For public business entities, the amendments in this Update are effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. For all other entities including not-for-profit entities and employee benefit plans within the scope of Topics 960 through 965 on plan accounting, the amendments in this Update are effective for fiscal years beginning after December 15, 2018, and interim periods within fiscal years beginning after December 15, 2019. All entities that are not public business entities may adopt the amendments in this Update earlier as of the fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. The Company is currently evaluating the impact the adoption of the standard will have on the Company’s financial position or results of operations. |
Summary of Significant Accoun27
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Summary of Significant Accounting Policies [Abstract] | |
Premises and Equipment, Schedule of Useful Life [Table Text Block] | Years Buildings and improvements 10 - 40 Furniture and equipment 3 - 10 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block] | 2016 $ 88,000 2017 72,000 2018 56,000 2019 39,000 2020 23,000 2021 7,000 $ 285,000 |
Securities (Tables)
Securities (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Securities [Abstract] | |
Amortized Cost and Fair Values of Securities [Table Text Block] | The amortized cost, gross unrealized gains and losses, and fair value of securities were as follows: December 31, 2015 Gross Gross Amortized Unrealized Unrealized Fair Cost Gains Losses Value (In Thousands) AVAILABLE FOR SALE: U.S. Government agencies $ 9,275 $ 2 $ (108) $ 9,169 States and political subdivisions 59,120 1,747 (112) 60,755 Corporate obligations 4,933 45 (4) 4,974 Mortgage-backed securities- government sponsored entities 64,491 23 (945) 63,569 Total debt securities 137,819 1,817 (1,169) 138,467 Equity securities-financial services 292 92 - 384 $ 138,111 $ 1,909 $ (1,169) $ 138,851 December 31, 2014 Gross Gross Amortized Unrealized Unrealized Fair Cost Gains Losses Value (In Thousands) AVAILABLE FOR SALE: U.S. Government agencies $ 29,289 $ 42 $ (356) $ 28,975 States and political subdivisions 52,685 1,750 (103) 54,332 Corporate obligations 6,387 110 (11) 6,486 Mortgage-backed securities- government sponsored entities 67,032 109 (937) 66,204 Total debt securities 155,393 2,011 (1,407) 155,997 Equity securities-financial services 292 106 - 398 $ 155,685 $ 2,117 $ (1,407) $ 156,395 |
Investments' Gross Unrealized Losses and Fair Value [Table Text Block] | December 31, 2015 Less than 12 Months 12 Months or More Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses U.S. Government agencies $ 6,058 $ (71) $ 2,109 $ (37) $ 8,167 $ (108) States and political subdivisions 9,086 (99) 1,417 (13) 10,503 (112) Corporate obligations 2,221 (4) - - 2,221 (4) Mortgage-backed securities-government sponsored entities 40,300 (432) 16,595 (513) 56,895 (945) $ 57,665 $ (606) $ 20,121 $ (563) $ 77,786 $ (1,169) December 31, 2014 Less than 12 Months 12 Months or More Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses U.S. Government agencies $ 4,965 $ (17) $ 15,051 $ (339) $ 20,016 $ (356) States and political subdivisions 3,195 (20) 4,633 (83) 7,828 (103) Corporate obligations - - 1,144 (11) 1,144 (11) Mortgage-backed securities-government sponsored entities 22,090 (189) 26,050 (748) 48,140 (937) $ 30,250 $ (226) $ 46,878 $ (1,181) $ 77,128 $ (1,407) |
Securities by Contractual Maturity [Table Text Block] | Amortized Fair Cost Value (In Thousands) Due in one year or less $ 640 $ 647 Due after one year through five years 13,044 13,003 Due after five years through ten years 8,437 8,529 Due after ten years 51,207 52,719 73,328 74,898 Mortgage-backed securities - government sponsored entities 64,491 63,569 $ 137,819 $ 138,467 |
Loans Receivable and Allowanc29
Loans Receivable and Allowance for Loan Losses (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Loans Receivable and Allowance for Loan Losses [Abstract] | |
Composition of Loans Receivable [Table Text Block] | December 31, 2015 December 31, 2014 Real Estate: Residential $ 161,820 28.9 % $ 158,139 31.5 % Commercial 279,123 49.8 261,956 52.2 Construction 18,987 3.4 19,221 3.9 Commercial, financial and agricultural 71,090 12.7 42,514 8.5 Consumer loans to individuals 29,231 5.2 19,704 3.9 Total loans 560,251 100.0 % 501,534 100.0 % Deferred fees, net (326) (399) Total loans receivable 559,925 501,135 Allowance for loan losses (7,298) (5,875) Net loans receivable $ 552,627 $ 495,260 |
Changes In The Accretable Yield For Purchased Credit Impaired Loans [Table Text Block] | 2015 2014 2013 Balance at beginning of period $ 8 $ 20 $ 76 Accretion (1) (12) (56) Reclassification and other (7) - - Balance at end of period $ - $ 8 $ 20 |
Additional Information Regarding Loans Acquired and Accounted for in Accordance with ASC 310-30 [Table Text Block] | December 31, 2015 December 31, 2014 Outstanding Balance $ 498 $ 1,057 Carrying Amount $ 498 $ 1,049 |
Schedule of Loans Individually and Collectively Evaluated for Impairment [Table Text Block] | Real Estate Loans Commercial Consumer Residential Commercial Construction Loans Loans Total (In thousands) December 31, 2015 Individually evaluated for impairment $ 28 $ 8,660 $ - $ 42 $ - $ 8,730 Loans acquired with deteriorated credit quality 140 358 - - - 498 Collectively evaluated for impairment 161,652 270,105 18,987 71,048 29,231 551,023 Total Loans $ 161,820 $ 279,123 $ 18,987 $ 71,090 $ 29,231 $ 560,251 Real Estate Loans Commercial Consumer Residential Commercial Construction Loans Loans Total (In thousands) December 31, 2014 Individually evaluated for impairment $ - $ 10,556 $ - $ - $ - $ 10,556 Loans acquired with deteriorated credit quality 225 824 - - - 1,049 Collectively evaluated for impairment 157,914 250,576 19,221 42,514 19,704 489,929 Total Loans $ 158,139 $ 261,956 $ 19,221 $ 42,514 $ 19,704 $ 501,534 |
Impaired Loans and Related Interest Income by Loan Portfolio Class [Table Text Block] | Unpaid Recorded Principal Associated Investment Balance Allowance December 31, 2015 (In thousands) With no related allowance recorded: Real Estate Loans Residential $ 168 $ 173 $ - Commercial 2,644 4,610 - Commercial, financial and agricultural 43 43 Subtotal 2,855 4,826 - With an allowance recorded: Real Estate Loans Commercial 6,373 6,446 1,613 Subtotal 6,373 6,446 1,613 Total: Real Estate Loans Residential 168 173 - Commercial 9,017 11,056 1,613 Commercial, financial and agricultural 43 43 - Total Impaired Loans $ 9,228 $ 11,272 $ 1,613 Unpaid Recorded Principal Associated Investment Balance Allowance December 31, 2014 (In thousands) With no related allowance recorded: Real Estate Loans Residential $ 225 $ 233 $ - Commercial 8,407 8,566 - Subtotal 8,632 8,799 - With an allowance recorded: Real Estate Loans Commercial 2,973 3,837 293 Subtotal 2,973 3,837 293 Total: Real Estate Loans Residential 225 233 - Commercial 11,380 12,403 293 Total Impaired Loans $ 11,605 $ 12,636 $ 293 The following information for impaired loans is presented for the year ended December 31, 2015 and 2014: Average Recorded Average Recorded Interest Income Investment Recognized 2015 2014 2013 2015 2014 2013 (In thousands) Total: Real Estate Loans Residential $ 159 $ 233 $ 252 $ 4 $ 5 $ 5 Commercial 8,847 7,492 10,328 526 503 236 Commercial Loans 9 - - 2 - - Total Loans $ 9,015 $ 7,725 $ 10,580 $ 532 $ 508 $ 241 |
Classes of the Loan Portfolio Summarized by the Aggregate Risk Rating [Table Text Block] | Special Pass Mention Substandard Doubtful Loss Total December 31, 2015 Commercial real estate loans $ 267,892 $ 1,837 $ 9,394 $ - $ - $ 279,123 Commercial 71,047 - 43 - - 71,090 Total $ 338,939 $ 1,837 $ 9,437 $ - $ - $ 350,213 Special Pass Mention Substandard Doubtful Loss Total December 31, 2014 Commercial real estate loans $ 246,629 $ 1,983 $ 13,344 $ - $ - $ 261,956 Commercial 42,514 - - - - 42,514 Total $ 289,143 $ 1,983 $ 13,344 $ - $ - $ 304,470 For residential real estate loans, construction loans and consumer loans, the Company evaluates credit quality based on the performance of the individual credits. Nonperforming loans include loans that have been placed on nonaccrual status and loans remaining in accrual status on which the contractual payment of principal and interest has become 90 days past due. The following table presents the recorded investment in the loan classes based on payment activity as of December 31, 2015 and December 31, 2014 (in thousands): Performing Nonperforming Total December 31, 2015 Residential real estate loans $ 161,380 $ 440 $ 161,820 Construction 18,987 - 18,987 Consumer loans to individuals 29,231 - 29,231 Total $ 209,598 $ 440 $ 210,038 Performing Nonperforming Total December 31, 2014 Residential real estate loans $ 156,464 $ 1,675 $ 158,139 Construction 19,221 - 19,221 Consumer loans to individuals 19,700 4 19,704 Total $ 195,385 $ 1,679 $ 197,064 |
Loan Portfolio Summarized by the Past Due Status [Table Text Block] | Current 31-60 Days Past Due 61-90 Days Past Due Greater than 90 Days Past Due and still accruing Non-Accrual Total Past Due and Non-Accrual Total Loans December 31, 2015 Real Estate loans Residential $ 160,683 $ 646 $ 51 $ - $ 440 $ 1,137 $ 161,820 Commercial 272,125 310 39 - 6,649 6,998 279,123 Construction 18,959 28 - - - 28 18,987 Commercial loans 71,043 4 - - 43 47 71,090 Consumer loans 29,179 41 11 - - 52 29,231 Total $ 551,989 $ 1,029 $ 101 $ - $ 7,132 $ 8,262 $ 560,251 Current 31-60 Days Past Due 61-90 Days Past Due Greater than 90 Days Past Due and still accruing Non-Accrual Total Past Due and Non-Accrual Total Loans December 31, 2014 Real Estate loans Residential $ 156,242 $ 222 $ - $ - $ 1,675 $ 1,897 $ 158,139 Commercial 252,495 5,100 440 - 3,921 9,461 261,956 Construction 19,221 - - - - - 19,221 Commercial loans 42,500 14 - - - 14 42,514 Consumer loans 19,606 94 - - 4 98 19,704 Total $ 490,064 $ 5,430 $ 440 $ - $ 5,600 $ 11,470 $ 501,534 |
Allowance for Loan Losses and Recorded Investment in Financing Receivables [Table Text Block] | Year ended December 31, (dollars in thousands) 2015 2014 2013 Allowance at beginning of period $ 5,875 $ 5,708 $ 5,502 Charge-offs: Real Estate loans Residential (224) (270) (603) Commercial (2,883) (1,196) (1,488) Construction - - (40) Commercial loans - - (4) Consumer loans (91) (80) (90) Total (3,198) (1,546) (2,225) Recoveries: Real Estate loans Residential 20 - 9 Commercial - 2 - Construction - - - Commercial loans - - - Consumer loans 21 31 22 Total 41 33 31 Provision for loan losses 4,580 1,680 2,400 Allowance at end of period $ 7,298 $ 5,875 $ 5,708 The following table presents the allowance for loan losses by the classes of the loan portfolio: (In thousands) Residential Real Estate Commercial Real Estate Construction Commercial Consumer Total Beginning balance, December 31, 2014 $ 1,323 $ 3,890 $ 222 $ 256 $ 184 $ 5,875 Charge Offs (224) (2,883) - - (91) (3,198) Recoveries 20 - - - 21 41 Provision for loan losses (50) 4,499 (132) 141 122 4,580 Ending balance, December 31, 2015 $ 1,069 $ 5,506 $ 90 $ 397 $ 236 $ 7,298 Ending balance individually evaluated for impairment $ - $ 1,613 $ - $ - $ - $ 1,613 Ending balance collectively evaluated for impairment $ 1,069 $ 3,893 $ 90 $ 397 $ 236 $ 5,685 (In thousands) Residential Real Estate Commercial Real Estate Construction Commercial Consumer Total Beginning balance, December 31, 2013 $ 1,441 $ 3,025 $ 898 $ 184 $ 160 $ 5,708 Charge Offs (270) (1,196) - - (80) (1,546) Recoveries - 2 - - 31 33 Provision for loan losses 152 2,059 (676) 72 73 1,680 Ending balance, December 31, 2014 $ 1,323 $ 3,890 $ 222 $ 256 $ 184 $ 5,875 Ending balance individually evaluated for impairment $ - $ 293 $ - $ - $ - $ 293 Ending balance collectively evaluated for impairment $ 1,323 $ 3,597 $ 222 $ 256 $ 184 $ 5,582 |
Premises and Equipment (Tables)
Premises and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Premises and Equipment [Abstract] | |
Property, Plant and Equipment [Table Text Block] | Components of premises and equipment at December 31 are as follows: 2015 2014 (In Thousands) Land and improvements $ 2,316 $ 2,275 Buildings and improvements 9,857 9,723 Furniture and equipment 4,415 4,332 16,588 16,330 Accumulated depreciation (10,116) (9,596) $ 6,472 $ 6,734 |
Operating Leases of Lessee Disclosure [Table Text Block] | 2016 $ 352 2017 363 2018 363 2019 368 2020 376 Thereafter 1,844 $ 3,666 |
Deposits (Tables)
Deposits (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Deposits [Abstract] | |
Schedule of Maturities of Time Deposits [Table Text Block] | Aggregate time deposits in denominations of $250,000 or more were $22,041,000 and $42,009,000 at December 31, 2015 and 2014, respectively. Included in deposit accounts are deposits of one customer relationship totaling $10,942,000 at December 31, 2015. At December 31, 2015, the scheduled maturities of time deposits are as follows (in thousands): 2016 $ 90,197 2017 54,846 2018 23,449 2019 20,926 2020 7,329 $ 196,747 |
Borrowings (Tables)
Borrowings (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Borrowings [Abstract] | |
Schedule of Short-term Debt [Table Text Block] | Short-term borrowings at December 31 consist of the following: 2015 2014 ( In Thousands) Securities sold under agreements to repurchase $ 33,563 $ 25,695 Federal Home Loan Bank short-term borrowings 19,672 - $ 53,235 $ 25,695 The outstanding balances and related information of short-term borrowings are summarized as follows: Years Ended December 31, 2015 2014 (Dollars In Thousands) Average balance during the year $ 34,057 $ 36,514 Average interest rate during the year 0.25 % 0.21 % Maximum month-end balance during the year $ 55,183 $ 49,634 Weighted average interest rate at the end of the year 0.36 % 0.20 % |
Schedule of remaining contractual maturity of repurchase agreements [Table Text Block] | As of December 31, 2015 Remaining Contractual Maturity of the Agreements Overnight and continuous Up to 30 days 30-90 days Greater than 90 days Total Repurchase Agreements: Obligations of U.S. Government agencies $35,515 $139 $277 $385 $36,316 Total liability recognized for repurchase agreements $33,563 |
Schedule of Federal Home Loan Bank, Advances, by Branch of FHLB Bank [Table Text Block] | 2015 2014 (In Thousands) Notes with the FHLB: Convertible note due July 2015 at 4.34% $ - $ 7,111 Convertible note due January 2017 at 4.71% 10,000 10,000 Amortizing fixed rate borrowing due December 2017 at 1.27% 8,000 - Amortizing fixed rate borrowing due January 2018 at 0.91% 1,267 1,866 Amortizing fixed rate borrowing due December 2018 at 1.42% 2,434 3,223 Amortizing fixed rate borrowing due June 2020 at 1.49% 9,033 - Amortizing fixed rate borrowing due December 2020 at 1.71% 5,000 - Amortizing fixed rate borrowing due March 2022 at 1.75% 5,392 - $ 41,126 $ 22,200 |
Schedule of Contractual Maturities of Other Borrowings [Table Text Block] | The convertible note contains an option which allows the FHLB, at quarterly intervals, to change the note to an adjustable-rate advance at three-month LIBOR plus 17 basis points. If the note is converted, the option allows the Bank to put the funds back to the FHLB at no charge. Contractual maturities of other borrowings at December 31, 2015 are as follows (in thousands): 2017 $ 18,000 2018 3,701 2020 14,033 2022 5,392 $ 41,126 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Income Taxes [Abstract] | |
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] | Years Ended December 31, 2015 2014 2013 (In Thousands) Current $ 2,019 $ 2,657 $ 2,566 Deferred (387) (51) 140 $ 1,632 $ 2,606 $ 2,706 |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | Percentage of Income before Income Taxes Years Ended December 31, 2015 2014 2013 Tax at statutory rates 34.0 % 34.0 % 34.0 % Tax exempt interest income, net of interest expense disallowance (11.3) (7.7) (6.7) Incentive stock options 0.3 0.4 0.4 Earnings and proceeds on life insurance (1.8) (1.5) (3.7) Other 0.4 0.2 0.2 21.6 % 25.4 % 24.2 % |
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | 2015 2014 (In Thousands) Deferred tax assets: Allowance for loan losses $ 2,481 $ 1,997 Deferred compensation 485 491 Purchase price adjustment 884 999 Other 182 201 Foreclosed real estate valuation allowance 305 280 Total Deferred Tax Assets 4,337 3,968 Deferred tax liabilities: Premises and equipment 245 265 Deferred loan fees 172 170 Net unrealized gains on securities 251 248 Total Deferred Tax Liabilities 668 683 Net Deferred Tax Asset $ 3,669 $ 3,285 |
Regulatory Matters and Stockh34
Regulatory Matters and Stockholders' Equity (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Regulatory Matters and Stockholders' Equity [Abstract] | |
Schedule of Compliance with Regulatory Capital Requirements under Banking Regulations [Table Text Block] | To be Well Capitalized under Prompt For Capital Adequacy Corrective Action Actual Purposes Provision Amount Ratio Amount Ratio Amount Ratio (Dollars in Thousands) As of December 31, 2015: Total capital (to risk-weighted assets) $ 92,777 16.25 % ≥$45,672 ≥8.00 % ≥$7,090 ≥10.00 % Tier 1 capital (to risk-weighted assets) 85,638 15.00 ≥34,254 ≥6.00 ≥45,672 ≥8.00 Common Equity Tier 1 capital (to risk-weighted assets) 85,638 15.00 ≥25,690 ≥4.50 ≥37,108 ≥6.50 Tier 1 capital (to average assets) 85,638 11.73 ≥29,203 ≥4.00 ≥36,504 ≥5.00 As of December 31, 2014: Total capital (to risk-weighted assets) $ 89,613 17.59 % ≥$40,767 ≥8.00 % ≥$50,959 ≥10.00 % Tier 1 capital (to risk-weighted assets) 83,738 16.43 ≥20,383 ≥4.00 ≥30,575 ≥6.00 Tier 1 capital (to average assets) 83,738 11.93 ≥28,069 ≥4.00 ≥35,086 ≥5.00 |
Stock Based Compensation (Table
Stock Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Stock-Based Compensation [Abstract] | |
Summary of Stock Option Activity [Table Text Block] | 2015 2014 2013 Weighted Weighted Weighted Average Average Average Average Average Aggregate Exercise Intrinsic Exercise Intrinsic Exercise Intrinsic Options Price Value Options Price Value Options Price Value Outstanding, beginning of year 206,463 $ 26.74 219,540 $ 26.64 225,670 $ 26.27 Granted 14,500 28.55 12,500 29.08 28,600 27.07 Exercised (16,859) 26.19 (25,577) 27.05 (24,127) 23.83 Forfeited (9,583) 27.02 - - (10,603) 28.92 Outstanding, end of year 194,521 $ 26.91 $ 362,754 206,463 $ 26.74 $ 477,640 219,540 $ 26.64 $ 146,970 Exercisable, end of year 180,021 $ 26.78 $ 359,854 193,963 $ 26.59 $ 477,640 190,940 $ 26.58 $ 146,900 |
Schedule of Fair Value Assumptions [Table Text Block] | Years Ended December 31, 2015 2014 2013 Dividend yield 3.77% 3.57% 3.49% Expected life 10 years 10 years 10 years Expected volatility 24.35% 24.97% 25.91% Risk-free interest rate 2.28% 2.17% 3.01% Weighted average fair value of options granted $ 4.89 $ 5.30 $ 5.72 |
Schedule of Outstanding Stock Options [Table Text Block] | Average Average Options Exercise Remaining Options Exercise Outstanding Price Life, Years Exercisable Price 16,174 27.62 0.3 16,174 27.62 15,400 28.64 1.0 15,400 28.64 15,400 28.41 2.0 15,400 28.41 15,400 25.00 3.0 15,400 25.00 14,397 25.99 4.0 14,397 25.99 1,100 24.44 4.2 1,100 24.44 18,700 25.25 5.0 18,700 25.25 22,200 24.97 6.0 22,000 24.97 23,100 27.05 7.0 23,100 27.05 1,100 27.55 7.0 1,100 27.55 2,000 28.95 7.7 2,000 28.95 23,250 26.90 8.0 23,250 26.90 12,000 29.08 9.0 12,000 29.08 14,500 28.55 10.0 - - Total 194,521 180,021 |
Schedule of Share-based Compensation, Restricted Stock Units Award Activity [Table Text Block] | 2015 2014 Weighted-Average Weighted-Average Number of Grant Date Number of Grant Date Shares Fair Value Shares Fair Value Non-vested, beginning of year 9,300 $29.08 - $0.00 Granted 6,650 28.55 9,300 29.08 Vested (1,860) 29.08 - - Forfeited (280) 29.08 - - Non-vested at December 31 13,810 $28.82 9,300 $29.08 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Earnings Per Share [Abstract] | |
Earnings Per Share [Table Text Block] | Years Ended December 31, 2015 2014 2013 (In Thousands, Except Per Share Data Numerator, net income $ 5,908 $ 7,657 $ 8,465 Denominator: Weighted average shares outstanding 3,682 3,645 3,627 Less: Weighted average unvested restricted shares (9) - - Denominator: Basic earnings per share 3,673 3,645 3,627 Weighted average shares outstanding 3,682 3,645 3,627 Add: Dilutive effect of stock options 9 12 5 Denominator: Diluted earnings per share 3,691 3,657 3,632 Basic earnings per common share $ 1.60 $ 2.10 $ 2.33 Diluted earnings per common share $ 1.60 $ 2.10 $ 2.33 |
Off-Balance Sheet Financial I37
Off-Balance Sheet Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Off-Balance Sheet Financial Instruments [Abstract] | |
Schedule of Fair Value, Off-balance Sheet Risks [Table Text Block] | December 31, 2015 2014 (In Thousands) Commitments to grant loans $ 19,704 $ 23,070 Unfunded commitments under lines of credit 48,641 45,269 Standby letters of credit 5,286 5,660 $ 73,631 $ 73,999 |
Fair Value of Financial Instrum
Fair Value of Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Fair Value of Financial Instruments [Abstract] | |
Fair Value, Assets Measured on Recurring Basis [Table Text Block] | Fair Value Measurement Reporting Date using Description Total Level 1 Level 2 Level 3 December 31, 2015 Available for Sale: U.S. Government agencies $ 9,169 $ - $ 9,169 $ - States and political subdivisions 60,755 - 60,755 - Corporate obligations 4,974 - 4,974 - Mortgage-backed securities-government sponsored entities 63,569 - 63,569 - Equity securities-financial services 384 384 - - Total available for sale $ 138,851 $ 384 $ 138,467 $ - December 31, 2014 Available for Sale: U.S. Government agencies $ 28,975 $ - $ 28,975 $ - States and political subdivisions 54,332 - 54,332 - Corporate obligations 6,486 - 6,486 - Mortgage-backed securities-government sponsored entities 66,204 - 66,204 - Equity securities-financial services 398 398 - - Total available for sale $ 156,395 $ 398 $ 155,997 $ - |
Fair Value, Assets Measured on Nonrecurring Basis [Table Text Block] | Fair Value Measurement Reporting Date using Description Total Level 1 Level 2 Level 3 December 31, 2015 Impaired Loans $ 7,615 $ - $ - $ 7,615 Foreclosed real estate 2,847 - - 2,847 December 31, 2014 Impaired Loans $ 11,312 $ - $ - $ 11,312 Foreclosed real estate 3,726 - - 3,726 |
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis, Valuation Techniques [Table Text Block] | Quantitative Information about Level 3 Fair Value Measurements (In thousands) Fair Value Estimate Valuation Techniques Unobservable Input Range (Weighted Average) December 31, 2015 Impaired loans $ 2,574 Appraisal of collateral(1) Appraisal adjustments(2) 10% ( 10% ) Impaired loans $ 5,041 Present value of future cash flows Loan discount rate 4 -7% ( 5.61% ) Probability of default 0% Foreclosed real estate owned $ 2,847 Appraisal of collateral(1) Liquidation Expenses(2) 10% Quantitative Information about Level 3 Fair Value Measurements (In thousands) Fair Value Estimate Valuation Techniques Unobservable Input Range (Weighted Average) December 31, 2014 Impaired loans $ 11,312 Appraisal of collateral(1) Appraisal adjustments(2) 6 - 33% ( 23.35% ) Foreclosed real estate owned $ 3,726 Appraisal of collateral(1) Liquidation Expenses(2) 10% |
Fair Value, by Balance Sheet Grouping [Table Text Block] | Fair Value Measurements at December 31, 2015 Carrying Fair Amount Value Level 1 Level 2 Level 3 Financial assets: Cash and cash equivalents $ 10,010 $ 10,010 $ 10,010 $ - $ - Securities 138,851 138,851 384 138,467 - Loans receivable, net 552,627 559,416 - - 559,416 Mortgage servicing rights 261 291 - - 291 Regulatory stock 3,412 3,412 3,412 - - Bank owned life insurance 18,820 18,820 18,820 - - Accrued interest receivable 2,363 2,363 2,363 - - Financial liabilities: Deposits 550,909 551,175 354,162 - 197,013 Short-term borrowings 53,235 53,235 53,235 - - Other borrowings 41,126 41,260 - - 41,260 Accrued interest payable 957 957 957 - - Off-balance sheet financial instruments: Commitments to extend credit and outstanding letters of credit - - - - - Fair Value Measurements at December 31, 2014 Carrying Fair Amount Value Level 1 Level 2 Level 3 Financial assets: Cash and cash equivalents $ 12,376 $ 12,376 $ 12,376 $ - $ - Securities 156,395 156,395 398 155,997 - Loans receivable, net 495,260 507,833 - - 507,833 Mortgage servicing rights 271 277 - - 277 Regulatory stock 1,714 1,714 1,714 - - Bank owned life insurance 18,284 18,284 18,284 - - Accrued interest receivable 2,339 2,339 2,339 - - Financial liabilities: Deposits 559,944 560,243 338,112 - 222,131 Short-term borrowings 25,695 25,695 25,695 - - Other borrowings 22,200 23,228 - - 23,228 Accrued interest payable 966 966 966 - - Off-balance sheet financial instruments: Commitments to extend credit and outstanding letters of credit - - - - - |
Accumulated Other Comprehensi39
Accumulated Other Comprehensive Income (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Accumulated Other Comprehensive Income (Loss) [Abstract] | |
Components of Accumulated Other Comprehensive Income [Table Text Block] | Unrealized gains on available for sale securities (a) Balance as of December 31, 2014 $ 462 Other comprehensive income before reclassification 439 Amount reclassified from accumulated other comprehensive income (413) Total other comprehensive income 26 Balance as of December 31, 2015 $ 488 Unrealized gains on available for sale securities (a) Balance as of December 31, 2013 $ (2,602) Other comprehensive income before reclassification 3,836 Amount reclassified from accumulated other comprehensive income (772) Total other comprehensive income 3,064 Balance as of December 31, 2014 $ 462 |
Items Reclassified Out of Each Component of OCI [Table Text Block] | Amount Reclassified From Accumulated Affected Line Item in Other Consolidated Comprehensive Statement of Details about other comprehensive income Income (Loss) (a) Income Twelve months Twelve months ended ended December 31, December 31, 2015 2014 Unrealized gains on available for sale securities $ 626 $ 1,170 Net realized gains on sales of securities (213) (398) Income tax expense $ 413 $ 772 Net of tax Amounts in parentheses indicate debits to net income |
Norwood Financial Corp (Paren40
Norwood Financial Corp (Parent Company Only) Financial Information (Tables) - Parent Company [Member] | 12 Months Ended |
Dec. 31, 2015 | |
Condensed Financial Statements, Captions [Line Items] | |
Parent Company Only - Balance Sheets [Table Text Block] | December 31, 2015 2014 (In Thousands) ASSETS Cash on deposit in bank subsidiary $ 2,151 $ 1,846 Securities available for sale 384 398 Investment in bank subsidiary 95,895 94,268 Other assets 4,113 3,900 Total assets $ 102,543 $ 100,412 LIABILITIES AND STOCKHOLDERS’ EQUITY Liabilities $ 1,545 $ 1,371 Stockholders’ equity 100,998 99,041 Total liabilities and stockholders' equity $ 102,543 $ 100,412 |
Parent Company Only - Statements of Income [Table Text Block] | STATEMENTS OF INCOME Years Ended December 31, 2015 2014 2013 Income: (In Thousands) Dividends from bank subsidiary $ 4,574 $ 4,377 $ 4,216 Other interest income 11 10 9 4,585 4,387 4,225 Expenses 313 346 267 4,272 4,041 3,958 Income tax benefit (103) (114) (88) 4,375 4,155 4,046 Equity in undistributed earnings of subsidiary 1,533 3,502 4,419 Net Income $ 5,908 $ 7,657 $ 8,465 Comprehensive Income $ 5,934 $ 10,721 $ 3,066 |
Parent Company Only - Statements of Cash Flows [Table Text Block] | STATEMENTS OF CASH FLOWS Years Ended December 31, 2015 2014 2013 (In Thousands) CASH FLOWS FROM OPERATING ACTIVITIES Net income $ 5,908 $ 7,657 $ 8,465 Adjustments to reconcile net income to net cash provided by operating activities: Undistributed earnings of bank subsidiary (1,533) (3,502) (4,419) Other, net (19) 177 (247) Net Cash Provided by Operating Activities 4,356 4,332 3,799 CASH FLOWS FROM FINANCING ACTIVITIES Stock options exercised 441 691 575 Tax benefit of stock options exercised 16 17 39 ESOP purchase of shares from treasury stock 146 150 146 Acquisition of treasury stock (127) (179) (319) Cash dividends paid (4,527) (4,370) (4,155) Net Cash Used in Financing Activities (4,051) (3,691) (3,714) Net Increase (Decrease) in Cash and Cash Equivalents 305 641 85 CASH AND CASH EQUIVALENTS - BEGINNING 1,846 1,205 1,120 CASH AND CASH EQUIVALENTS - ENDING $ 2,151 $ 1,846 $ 1,205 |
Nature of Operations (Details)
Nature of Operations (Details) | 12 Months Ended |
Dec. 31, 2015segment | |
Nature of Operations [Abstract] | |
Number of Reportable Segments | 1 |
Summary of Significant Accoun42
Summary of Significant Accounting Policies (Mortgage Servicing Rights) (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Summary of Significant Accounting Policies [Abstract] | ||
Servicing Assets | $ 261 | $ 271 |
Summary of Significant Accoun43
Summary of Significant Accounting Policies (Useful Life of Premises and Equipment) (Details) | 12 Months Ended |
Dec. 31, 2015 | |
Minimum [Member] | Buildings and improvements [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 10 years |
Minimum [Member] | Furniture and equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 3 years |
Maximum [Member] | Buildings and improvements [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 40 years |
Maximum [Member] | Furniture and equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 10 years |
Summary of Significant Accoun44
Summary of Significant Accounting Policies (Goodwill) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Summary of Significant Accounting Policies [Abstract] | |||
Goodwill | $ 9,715 | $ 9,715 | |
Goodwill, Impairment Loss | $ 0 | $ 0 | $ 0 |
Summary of Significant Accoun45
Summary of Significant Accounting Policies (Intangible Assets) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Summary of Significant Accounting Policies [Abstract] | |||
Intangible Assets, Net (Excluding Goodwill) | $ 285 | $ 389 | |
Finite-Lived Intangible Assets, Accumulated Amortization | $ 610 | 506 | |
Finite-Lived Intangible Assets, Amortization Method | sum-of-the-years digits method | ||
Finite-Lived Intangible Asset, Useful Life | 10 years | ||
Amortization of Intangible Assets | $ 105 | $ 121 | $ 137 |
2,016 | 88 | ||
2,017 | 72 | ||
2,018 | 56 | ||
2,019 | 39 | ||
2,020 | 23 | ||
2,021 | 7 | ||
Amortization Expense for the Core Deposit Intangible, Total | $ 285 |
Summary of Significant Accoun46
Summary of Significant Accounting Policies (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Summary of Significant Accounting Policies [Abstract] | ||
Impairment of Investments | $ 0 | |
Unrecognized Tax Benefits | 0 | $ 0 |
Unrecognized tax benefits expected within next twelve months | $ 0 |
Securities (Amortized Cost and
Securities (Amortized Cost and Fair Values of Securities) (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Schedule of Investments [Line Items] | ||
Available for Sale, Amortized Cost | $ 138,111 | $ 155,685 |
Available-for-sale Securities, Gross Unrealized Gains | 1,909 | 2,117 |
Available for Sale, Gross Unrealized Losses | (1,169) | (1,407) |
Available for Sale, Fair Value | 138,851 | 156,395 |
Total Debt Securities [Member] | ||
Schedule of Investments [Line Items] | ||
Available for Sale, Amortized Cost | 137,819 | 155,393 |
Available-for-sale Securities, Gross Unrealized Gains | 1,817 | 2,011 |
Available for Sale, Gross Unrealized Losses | (1,169) | (1,407) |
Available for Sale, Fair Value | 138,467 | 155,997 |
U.S. Government Agencies [Member] | ||
Schedule of Investments [Line Items] | ||
Available for Sale, Amortized Cost | 9,275 | 29,289 |
Available-for-sale Securities, Gross Unrealized Gains | 2 | 42 |
Available for Sale, Gross Unrealized Losses | (108) | (356) |
Available for Sale, Fair Value | 9,169 | 28,975 |
States and political subdivisions [Member] | ||
Schedule of Investments [Line Items] | ||
Available for Sale, Amortized Cost | 59,120 | 52,685 |
Available-for-sale Securities, Gross Unrealized Gains | 1,747 | 1,750 |
Available for Sale, Gross Unrealized Losses | (112) | (103) |
Available for Sale, Fair Value | 60,755 | 54,332 |
Corporate obligations [Member] | ||
Schedule of Investments [Line Items] | ||
Available for Sale, Amortized Cost | 4,933 | 6,387 |
Available-for-sale Securities, Gross Unrealized Gains | 45 | 110 |
Available for Sale, Gross Unrealized Losses | (4) | (11) |
Available for Sale, Fair Value | 4,974 | 6,486 |
Mortgage-backed securities-government sponsored entities [Member] | ||
Schedule of Investments [Line Items] | ||
Available for Sale, Amortized Cost | 64,491 | 67,032 |
Available-for-sale Securities, Gross Unrealized Gains | 23 | 109 |
Available for Sale, Gross Unrealized Losses | (945) | (937) |
Available for Sale, Fair Value | 63,569 | 66,204 |
Equity securities-financial services [Member] | ||
Schedule of Investments [Line Items] | ||
Available for Sale, Amortized Cost | 292 | 292 |
Available-for-sale Securities, Gross Unrealized Gains | 92 | 106 |
Available for Sale, Gross Unrealized Losses | 0 | 0 |
Available for Sale, Fair Value | $ 384 | $ 398 |
Securities (Investments' Gross
Securities (Investments' Gross Unrealized Losses and Fair Value) (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2015USD ($)security | Dec. 31, 2014USD ($) | |
Schedule of Investments [Line Items] | ||
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Less than One Year | security | 54 | |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Greater than or Equal to One Year | security | 22 | |
Impairment of Investments | $ 0 | |
U.S. Government Agencies [Member] | ||
Schedule of Investments [Line Items] | ||
Less than 12 Months, Fair Value | 6,058 | $ 4,965 |
Less than 12 Months, Unrealized Losses | (71) | (17) |
12 Months or More, Fair Value | 2,109 | 15,051 |
12 Months or More, Unrealized Losses | (37) | (339) |
Total, Fair Value | 8,167 | 20,016 |
Total, Unrealized Losses | (108) | (356) |
States and political subdivisions [Member] | ||
Schedule of Investments [Line Items] | ||
Less than 12 Months, Fair Value | 9,086 | 3,195 |
Less than 12 Months, Unrealized Losses | (99) | (20) |
12 Months or More, Fair Value | 1,417 | 4,633 |
12 Months or More, Unrealized Losses | (13) | (83) |
Total, Fair Value | 10,503 | 7,828 |
Total, Unrealized Losses | (112) | (103) |
Corporate obligations [Member] | ||
Schedule of Investments [Line Items] | ||
Less than 12 Months, Fair Value | 2,221 | 0 |
Less than 12 Months, Unrealized Losses | (4) | 0 |
12 Months or More, Fair Value | 0 | 1,144 |
12 Months or More, Unrealized Losses | 0 | (11) |
Total, Fair Value | 2,221 | 1,144 |
Total, Unrealized Losses | (4) | (11) |
Mortgage-backed securities-government sponsored entities [Member] | ||
Schedule of Investments [Line Items] | ||
Less than 12 Months, Fair Value | 40,300 | 22,090 |
Less than 12 Months, Unrealized Losses | (432) | (189) |
12 Months or More, Fair Value | 16,595 | 26,050 |
12 Months or More, Unrealized Losses | (513) | (748) |
Total, Fair Value | 56,895 | 48,140 |
Total, Unrealized Losses | (945) | (937) |
Total Debt Securities [Member] | ||
Schedule of Investments [Line Items] | ||
Less than 12 Months, Fair Value | 57,665 | 30,250 |
Less than 12 Months, Unrealized Losses | (606) | (226) |
12 Months or More, Fair Value | 20,121 | 46,878 |
12 Months or More, Unrealized Losses | (563) | (1,181) |
Total, Fair Value | 77,786 | 77,128 |
Total, Unrealized Losses | $ (1,169) | $ (1,407) |
Securities (Securities by Contr
Securities (Securities by Contractual Maturity) (Details) $ in Thousands | Dec. 31, 2015USD ($) |
Securities [Abstract] | |
Available for Sale, Amortized Cost, Due in one year or less | $ 640 |
Available for Sale, Amortized Cost, Due after one year through five years | 13,044 |
Available for Sale, Amortized Cost, Due after five years through ten years | 8,437 |
Available for Sale, Amortized Cost, Due after ten years | 51,207 |
Available-for-sale Securities, Debt Maturities, Single Maturity Date, Amortized Cost Basis, Total | 73,328 |
Available for Sale, Amortized Cost, Mortgage-backed securities- government sponsored agencies | 64,491 |
Available for Sale, Amortized Cost, Total | 137,819 |
Available for Sale, Fair Value, Due in one year or less | 647 |
Available for Sale, Fair Value, Due after one year through five years | 13,003 |
Available for Sale, Fair Value, Due after five years through ten years | 8,529 |
Available for Sale, Fair Value, Due after ten years | 52,719 |
Available-for-sale Securities, Debt Maturities, Single Maturity Date, Total | 74,898 |
Available for Sale, Fair Value, Mortgage-backed securities- government sponsored agencies | 63,569 |
Available for Sale, Fair Value, Total | $ 138,467 |
Securities (Gross Realized Gain
Securities (Gross Realized Gains and Losses on Sales of Securities Available-for-Sale) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Securities [Abstract] | |||
Gross realized gains | $ 626,000 | $ 1,199,000 | $ 908,000 |
Gross realized losses | 0 | 29,000 | 27,000 |
Proceeds from sale of securities | 44,976,000 | 66,263,000 | $ 42,348,000 |
Available-for-sale Securities Pledged as Collateral | $ 97,671,000 | $ 102,994,000 |
Loans Receivable and Allowanc51
Loans Receivable and Allowance for Loan Losses (Composition of Loans Receivable) (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans and Leases Receivable, Gross | $ 560,251 | $ 501,534 | ||
Deferred fees (net) | (326) | (399) | ||
Total loans receivable | 559,925 | 501,135 | ||
Allowance for loan losses | 7,298 | 5,875 | $ 5,708 | $ 5,502 |
Net loans receivable | $ 552,627 | $ 495,260 | ||
Percent of Loans | 100.00% | 100.00% | ||
Residential Real Estate Loans [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans and Leases Receivable, Gross | $ 161,820 | $ 158,139 | ||
Allowance for loan losses | $ 1,069 | $ 1,323 | 1,441 | |
Percent of Loans | 28.90% | 31.50% | ||
Commercial Real Estate Loans [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans and Leases Receivable, Gross | $ 279,123 | $ 261,956 | ||
Allowance for loan losses | $ 5,506 | $ 3,890 | 3,025 | |
Percent of Loans | 49.80% | 52.20% | ||
Construction Real Estate Loans [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans and Leases Receivable, Gross | $ 18,987 | $ 19,221 | ||
Allowance for loan losses | $ 90 | $ 222 | 898 | |
Percent of Loans | 3.40% | 3.90% | ||
Commercial, financial and agricultural loans [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans and Leases Receivable, Gross | $ 71,090 | $ 42,514 | ||
Allowance for loan losses | $ 397 | $ 256 | 184 | |
Percent of Loans | 12.70% | 8.50% | ||
Consumer loans to individuals [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans and Leases Receivable, Gross | $ 29,231 | $ 19,704 | ||
Allowance for loan losses | $ 236 | $ 184 | $ 160 | |
Percent of Loans | 5.20% | 3.90% |
Loans Receivable and Allowanc52
Loans Receivable and Allowance for Loan Losses (Changes in the Accretable Yield for Purchased Credit Impaired Loans) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Loans Receivable and Allowance for Loan Losses [Abstract] | |||
Balance at beginning of period | $ 8 | $ 20 | $ 76 |
Accretion | (1) | (12) | (56) |
Reclassification and other | (7) | 0 | 0 |
Balance at end of period | $ 0 | $ 8 | $ 20 |
Loans Receivable and Allowanc53
Loans Receivable and Allowance for Loan Losses (Loans Acquired and Accounted for in Accordance with ASC 310-30) (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Loans Receivable and Allowance for Loan Losses [Abstract] | ||
Acquired Loans with Specific Evidence of Deterioration in Credit Quality, Outstanding Balance | $ 498 | $ 1,057 |
Acquired Loans with Specific Evidence of Deterioration in Credit Quality, Carrying Amount | 498 | $ 1,049 |
Certain Loans and Debt Securities Acquired in Transfer, Allowance for Credit Losses Due to Subsequent Impairment | $ 0 |
Loans Receivable and Allowanc54
Loans Receivable and Allowance for Loan Losses (Loans Individually and Collectively Evaluated for Impairment) (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Individually evaluated for impairment | $ 8,730 | $ 10,556 |
Loans acquired with deteriorated credit quality | 498 | 1,049 |
Collectively evaluated for impairment | 551,023 | 489,929 |
Total Loans | 560,251 | 501,534 |
Residential Real Estate Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Individually evaluated for impairment | 28 | 0 |
Loans acquired with deteriorated credit quality | 140 | 225 |
Collectively evaluated for impairment | 161,652 | 157,914 |
Total Loans | 161,820 | 158,139 |
Commercial Real Estate Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Individually evaluated for impairment | 8,660 | 10,556 |
Loans acquired with deteriorated credit quality | 358 | 824 |
Collectively evaluated for impairment | 270,105 | 250,576 |
Total Loans | 279,123 | 261,956 |
Construction Real Estate Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Individually evaluated for impairment | 0 | 0 |
Loans acquired with deteriorated credit quality | 0 | 0 |
Collectively evaluated for impairment | 18,987 | 19,221 |
Total Loans | 18,987 | 19,221 |
Commercial, financial and agricultural loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Individually evaluated for impairment | 42 | 0 |
Loans acquired with deteriorated credit quality | 0 | 0 |
Collectively evaluated for impairment | 71,048 | 42,514 |
Total Loans | 71,090 | 42,514 |
Consumer loans to individuals [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Individually evaluated for impairment | 0 | 0 |
Loans acquired with deteriorated credit quality | 0 | 0 |
Collectively evaluated for impairment | 29,231 | 19,704 |
Total Loans | $ 29,231 | $ 19,704 |
Loans Receivable and Allowanc55
Loans Receivable and Allowance for Loan Losses (Impaired Loans and Related Interest Income by Loan Portfolio Class) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Financing Receivable, Impaired [Line Items] | |||
Impaired Financing Receivable, with No Related Allowance, Recorded Investment | $ 2,855 | $ 8,632 | |
Impaired Financing Receivable, with Related Allowance, Recorded Investment | 6,373 | 2,973 | |
Impaired Financing Receivable, Recorded Investment | 9,228 | 11,605 | |
Unpaid Principal Balance, With no related allowance recorded | 4,826 | 8,799 | |
Unpaid Principal Balance, With an allowance recorded | 6,446 | 3,837 | |
Unpaid Principal Balance, Total | 11,272 | 12,636 | |
Associated Allowance | 1,613 | 293 | |
Average Recorded Investment, Total | 9,015 | 7,725 | $ 10,580 |
Interest Income Recognized, Total | 532 | 508 | 241 |
Residential Real Estate Loans [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Impaired Financing Receivable, with No Related Allowance, Recorded Investment | 168 | 225 | |
Impaired Financing Receivable, Recorded Investment | 168 | 225 | |
Unpaid Principal Balance, With no related allowance recorded | 173 | 233 | |
Unpaid Principal Balance, Total | 173 | 233 | |
Associated Allowance | 0 | 0 | |
Average Recorded Investment, Total | 159 | 233 | 252 |
Interest Income Recognized, Total | 4 | 5 | 5 |
Commercial Real Estate Loans [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Impaired Financing Receivable, with No Related Allowance, Recorded Investment | 2,644 | 8,407 | |
Impaired Financing Receivable, with Related Allowance, Recorded Investment | 6,373 | 2,973 | |
Impaired Financing Receivable, Recorded Investment | 9,017 | 11,380 | |
Unpaid Principal Balance, With no related allowance recorded | 4,610 | 8,566 | |
Unpaid Principal Balance, With an allowance recorded | 6,446 | 3,837 | |
Unpaid Principal Balance, Total | 11,056 | 12,403 | |
Associated Allowance | 1,613 | 293 | |
Average Recorded Investment, Total | 8,847 | 7,492 | 10,328 |
Interest Income Recognized, Total | 526 | 503 | 236 |
Commercial, financial and agricultural loans [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Impaired Financing Receivable, with No Related Allowance, Recorded Investment | 43 | ||
Impaired Financing Receivable, Recorded Investment | 43 | ||
Unpaid Principal Balance, With no related allowance recorded | 43 | ||
Unpaid Principal Balance, Total | 43 | ||
Associated Allowance | 0 | ||
Average Recorded Investment, Total | 9 | 0 | 0 |
Interest Income Recognized, Total | $ 2 | $ 0 | $ 0 |
Loans Receivable and Allowanc56
Loans Receivable and Allowance for Loan Losses (Troubled Debt Restructurings) (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015USD ($)loan | Dec. 31, 2014USD ($)loan | Dec. 31, 2013USD ($) | |
Troubled Debt Restructuring, Debtor, Subsequent Periods [Line Items] | |||
Impaired Financing Receivable, Related Allowance | $ 1,613 | $ 293 | |
Mortgage Loans on Real Estate, Foreclosures | $ 1,700 | $ 4,700 | |
Mortgage Loans on Real Estate, Number of Foreclosures | loan | 1 | 2 | |
Foreclosed real estate expense | $ 911 | $ 1,555 | $ 567 |
Foreclosed real estate owned | 2,847 | 3,726 | |
Residential Real Estate Loans [Member] | |||
Troubled Debt Restructuring, Debtor, Subsequent Periods [Line Items] | |||
Foreclosed real estate owned | 267 | ||
Mortgage Loans in Process of Foreclosure, Amount | 110 | ||
Troubled Debt Restructured Loans [Member] | |||
Troubled Debt Restructuring, Debtor, Subsequent Periods [Line Items] | |||
Financing Receivable, Modifications, Post-Modification Recorded Investment | 6,800 | 8,800 | |
New Loans Identified as Troubled Debt Restructurings | $ 176 | $ 4,900 | |
New Loans Identified as Troubled Debt Restructurings, Number of Loans | loan | 2 | 1 | |
Financing Receivables, Impaired, Troubled Debt Restructuring, Write-down | $ 1,300 | $ 573 | |
Impaired Financing Receivable, Related Allowance | 1,613 | 293 | |
Gains (Losses) on Sales of Other Real Estate | $ 680 | ||
Foreclosed real estate expense | $ 322 |
Loans Receivable and Allowanc57
Loans Receivable and Allowance for Loan Losses (Classes of the Loan Portfolio Summarized by the Aggregate Risk Rating) (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Total Summarized by Aggregate Risk Rating [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Carrying Amount | $ 350,213 | $ 304,470 |
Pass [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Carrying Amount | 338,939 | 289,143 |
Special Mention [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Carrying Amount | 1,837 | 1,983 |
Substandard [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Carrying Amount | 9,437 | 13,344 |
Doubtful [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Carrying Amount | 0 | 0 |
Loss [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Carrying Amount | 0 | 0 |
Total Summarized by Performance of Individual Credits [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Carrying Amount | 210,038 | 197,064 |
Performing Financial Instruments [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Carrying Amount | 209,598 | 195,385 |
Nonperforming Financial Instruments [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Carrying Amount | 440 | 1,679 |
Commercial Real Estate Loans [Member] | Total Summarized by Aggregate Risk Rating [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Carrying Amount | 279,123 | 261,956 |
Commercial Real Estate Loans [Member] | Pass [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Carrying Amount | 267,892 | 246,629 |
Commercial Real Estate Loans [Member] | Special Mention [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Carrying Amount | 1,837 | 1,983 |
Commercial Real Estate Loans [Member] | Substandard [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Carrying Amount | 9,394 | 13,344 |
Commercial Real Estate Loans [Member] | Doubtful [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Carrying Amount | 0 | 0 |
Commercial Real Estate Loans [Member] | Loss [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Carrying Amount | 0 | 0 |
Commercial, financial and agricultural loans [Member] | Total Summarized by Aggregate Risk Rating [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Carrying Amount | 71,090 | 42,514 |
Commercial, financial and agricultural loans [Member] | Pass [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Carrying Amount | 71,047 | 42,514 |
Commercial, financial and agricultural loans [Member] | Special Mention [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Carrying Amount | 0 | 0 |
Commercial, financial and agricultural loans [Member] | Substandard [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Carrying Amount | 43 | 0 |
Commercial, financial and agricultural loans [Member] | Doubtful [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Carrying Amount | 0 | 0 |
Commercial, financial and agricultural loans [Member] | Loss [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Carrying Amount | 0 | 0 |
Residential Real Estate Loans [Member] | Total Summarized by Performance of Individual Credits [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Carrying Amount | 161,820 | 158,139 |
Residential Real Estate Loans [Member] | Performing Financial Instruments [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Carrying Amount | 161,380 | 156,464 |
Residential Real Estate Loans [Member] | Nonperforming Financial Instruments [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Carrying Amount | 440 | 1,675 |
Construction Real Estate Loans [Member] | Total Summarized by Performance of Individual Credits [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Carrying Amount | 18,987 | 19,221 |
Construction Real Estate Loans [Member] | Performing Financial Instruments [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Carrying Amount | 18,987 | 19,221 |
Construction Real Estate Loans [Member] | Nonperforming Financial Instruments [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Carrying Amount | 0 | 0 |
Consumer loans to individuals [Member] | Total Summarized by Performance of Individual Credits [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Carrying Amount | 29,231 | 19,704 |
Consumer loans to individuals [Member] | Performing Financial Instruments [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Carrying Amount | 29,231 | 19,700 |
Consumer loans to individuals [Member] | Nonperforming Financial Instruments [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Carrying Amount | $ 0 | $ 4 |
Loans Receivable and Allowanc58
Loans Receivable and Allowance for Loan Losses (Loan Portfolio Summarized by the Past Due Status) (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | $ 551,989 | $ 490,064 |
Non-Accrual | 7,132 | 5,600 |
Total Past Due and Non-Accrual | 8,262 | 11,470 |
Total Loans | 560,251 | 501,534 |
Financing Receivables, 31 to 60 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past Due | 1,029 | 5,430 |
Financing Receivables, 61 to 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past Due | 101 | 440 |
Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past Due | 0 | 0 |
Residential Real Estate Loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | 160,683 | 156,242 |
Non-Accrual | 440 | 1,675 |
Total Past Due and Non-Accrual | 1,137 | 1,897 |
Total Loans | 161,820 | 158,139 |
Residential Real Estate Loans [Member] | Financing Receivables, 31 to 60 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past Due | 646 | 222 |
Residential Real Estate Loans [Member] | Financing Receivables, 61 to 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past Due | 51 | 0 |
Residential Real Estate Loans [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past Due | 0 | 0 |
Commercial Real Estate Loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | 272,125 | 252,495 |
Non-Accrual | 6,649 | 3,921 |
Total Past Due and Non-Accrual | 6,998 | 9,461 |
Total Loans | 279,123 | 261,956 |
Commercial Real Estate Loans [Member] | Financing Receivables, 31 to 60 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past Due | 310 | 5,100 |
Commercial Real Estate Loans [Member] | Financing Receivables, 61 to 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past Due | 39 | 440 |
Commercial Real Estate Loans [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past Due | 0 | 0 |
Construction Real Estate Loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | 18,959 | 19,221 |
Non-Accrual | 0 | 0 |
Total Past Due and Non-Accrual | 28 | 0 |
Total Loans | 18,987 | 19,221 |
Construction Real Estate Loans [Member] | Financing Receivables, 31 to 60 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past Due | 28 | 0 |
Construction Real Estate Loans [Member] | Financing Receivables, 61 to 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past Due | 0 | 0 |
Construction Real Estate Loans [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past Due | 0 | 0 |
Commercial, financial and agricultural loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | 71,043 | 42,500 |
Non-Accrual | 43 | 0 |
Total Past Due and Non-Accrual | 47 | 14 |
Total Loans | 71,090 | 42,514 |
Commercial, financial and agricultural loans [Member] | Financing Receivables, 31 to 60 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past Due | 4 | 14 |
Commercial, financial and agricultural loans [Member] | Financing Receivables, 61 to 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past Due | 0 | 0 |
Commercial, financial and agricultural loans [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past Due | 0 | 0 |
Consumer loans to individuals [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | 29,179 | 19,606 |
Non-Accrual | 0 | 4 |
Total Past Due and Non-Accrual | 52 | 98 |
Total Loans | 29,231 | 19,704 |
Consumer loans to individuals [Member] | Financing Receivables, 31 to 60 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past Due | 41 | 94 |
Consumer loans to individuals [Member] | Financing Receivables, 61 to 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past Due | 11 | 0 |
Consumer loans to individuals [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past Due | $ 0 | $ 0 |
Loans Receivable and Allowanc59
Loans Receivable and Allowance for Loan Losses (Allowance for Loan Losses and Recorded Investment in Financing Receivables) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Allowance at beginning of period | $ 5,875 | $ 5,708 | $ 5,502 |
Charge Offs | (3,198) | (1,546) | (2,225) |
Recoveries | 41 | 33 | 31 |
Provision for loan losses | 4,580 | 1,680 | 2,400 |
Allowance at end of period | 7,298 | 5,875 | 5,708 |
Ending balance individually evaluated for impairment | 1,613 | 293 | |
Ending balance collectively evaluated for impairment | 5,685 | 5,582 | |
Residential Real Estate Loans [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Allowance at beginning of period | 1,323 | 1,441 | |
Charge Offs | (224) | (270) | (603) |
Recoveries | 20 | 0 | 9 |
Provision for loan losses | (50) | 152 | |
Allowance at end of period | 1,069 | 1,323 | 1,441 |
Ending balance individually evaluated for impairment | 0 | 0 | |
Ending balance collectively evaluated for impairment | 1,069 | 1,323 | |
Commercial Real Estate Loans [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Allowance at beginning of period | 3,890 | 3,025 | |
Charge Offs | (2,883) | (1,196) | (1,488) |
Recoveries | 0 | 2 | 0 |
Provision for loan losses | 4,499 | 2,059 | |
Allowance at end of period | 5,506 | 3,890 | 3,025 |
Ending balance individually evaluated for impairment | 1,613 | 293 | |
Ending balance collectively evaluated for impairment | 3,893 | 3,597 | |
Construction Real Estate Loans [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Allowance at beginning of period | 222 | 898 | |
Charge Offs | 0 | 0 | (40) |
Recoveries | 0 | 0 | 0 |
Provision for loan losses | (132) | (676) | |
Allowance at end of period | 90 | 222 | 898 |
Ending balance individually evaluated for impairment | 0 | 0 | |
Ending balance collectively evaluated for impairment | 90 | 222 | |
Commercial, financial and agricultural loans [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Allowance at beginning of period | 256 | 184 | |
Charge Offs | 0 | 0 | (4) |
Recoveries | 0 | 0 | 0 |
Provision for loan losses | 141 | 72 | |
Allowance at end of period | 397 | 256 | 184 |
Ending balance individually evaluated for impairment | 0 | 0 | |
Ending balance collectively evaluated for impairment | 397 | 256 | |
Consumer loans to individuals [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Allowance at beginning of period | 184 | 160 | |
Charge Offs | (91) | (80) | (90) |
Recoveries | 21 | 31 | 22 |
Provision for loan losses | 122 | 73 | |
Allowance at end of period | 236 | 184 | $ 160 |
Ending balance individually evaluated for impairment | 0 | 0 | |
Ending balance collectively evaluated for impairment | $ 236 | $ 184 |
Loans Receivable and Allowanc60
Loans Receivable and Allowance for Loan Losses (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Real Estate Acquired Through Foreclosure | $ 2,847 | $ 3,726 | |
Impaired Financing Receivable, with No Related Allowance, Recorded Investment | 2,855 | 8,632 | |
Impaired Financing Receivable, with Related Allowance, Recorded Investment | 6,373 | 2,973 | |
Loans and Leases Receivable, Impaired, Interest Lost on Nonaccrual Loans | 515 | 451 | $ 724 |
Loans and Leases Receivable, Gross | 560,251 | 501,534 | |
Financing Receivable, Allowance for Credit Losses, Write-downs | 3,198 | 1,546 | 2,225 |
Impaired Financing Receivable, Related Allowance | 1,613 | 293 | |
Proceeds from Sale of Mortgage Loans Held-for-sale | 4,410 | 4,419 | 4,053 |
Customer Concentration Risk [Member] | Loans Receivable [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Financing Receivable, Allowance for Credit Losses, Write-downs | 643 | 422 | 0 |
Hospitality Lodging Industry [Member] | Loans Receivable [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans and Leases Receivable, Gross | $ 52,600 | ||
Concentration Risk, Percentage | 56.80% | ||
Automobile Dealers [Member] | Loans Receivable [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans and Leases Receivable, Gross | $ 27,500 | ||
Concentration Risk, Percentage | 29.70% | ||
Troubled Debt Restructured Loans [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Impaired Financing Receivable, Related Allowance | $ 1,613 | 293 | |
Financing Receivables, Impaired, Troubled Debt Restructuring, Write-down | 1,300 | 573 | |
Residential Real Estate Loans [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Impaired Financing Receivable, with No Related Allowance, Recorded Investment | 168 | 225 | |
Allowance for Loan and Lease Losses, Adjustments, Other | (254) | ||
Loans and Leases Receivable, Gross | 161,820 | 158,139 | |
Financing Receivable, Allowance for Credit Losses, Write-downs | 224 | 270 | 603 |
Allowance for Loan and Lease Losses, Real Estate | 1,069 | 1,323 | |
Impaired Financing Receivable, Related Allowance | $ 0 | $ 0 | |
Historical loss factor | 0.23% | 0.30% | |
Gross Realized Gains on Loans | $ 113 | $ 150 | 74 |
Gross Realized Losses on Loans | 0 | 0 | 7 |
Proceeds from Sale of Mortgage Loans Held-for-sale | 4,410 | 4,419 | 4,053 |
Commercial Real Estate Loans [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Impaired Financing Receivable, with No Related Allowance, Recorded Investment | 2,644 | 8,407 | |
Impaired Financing Receivable, with Related Allowance, Recorded Investment | 6,373 | 2,973 | |
Allowance for Loan and Lease Losses, Adjustments, Other | 1,320 | ||
Loans and Leases Receivable, Gross | 279,123 | 261,956 | |
Financing Receivable, Allowance for Credit Losses, Write-downs | 2,883 | 1,196 | $ 1,488 |
Allowance for Loan and Lease Losses, Real Estate | 5,506 | 3,890 | |
Impaired Financing Receivable, Related Allowance | 1,613 | 293 | |
Impaired Loans [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Impaired Financing Receivable, with No Related Allowance, Recorded Investment | 2,855 | 8,632 | |
Impaired Financing Receivable, with Related Allowance, Recorded Investment | 6,373 | 2,973 | |
Impaired Financing Receivable, Related Allowance | 1,613 | 293 | |
Impaired Loans Not Requiring an Allowance [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Impaired Financing Receivable, with No Related Allowance, Recorded Investment | 2,855 | 8,632 | |
Financing Receivable, Allowance for Credit Losses, Write-downs | 1,971 | 158 | |
Impaired Loans Requiring an Allowance [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Impaired Financing Receivable, with Related Allowance, Recorded Investment | 6,373 | 2,973 | |
Financing Receivable, Allowance for Credit Losses, Write-downs | $ 73 | $ 864 |
Premises and Equipment (Schedul
Premises and Equipment (Schedule of Premises and Equipment) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Property, Plant and Equipment [Line Items] | |||
Property, Plant and Equipment, Gross | $ 16,588 | $ 16,330 | |
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment | (10,116) | (9,596) | |
Property, Plant and Equipment, Net, Total | 6,472 | 6,734 | |
Depreciation Premises and Equipment | 551 | 572 | $ 594 |
Land and Improvements [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, Plant and Equipment, Gross | 2,316 | 2,275 | |
Buildings and improvements [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, Plant and Equipment, Gross | 9,857 | 9,723 | |
Furniture and equipment [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, Plant and Equipment, Gross | $ 4,415 | $ 4,332 |
Premises and Equipment (Sched62
Premises and Equipment (Schedule of Future Minimum Rental Payments of Operating Leases) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Premises and Equipment [Abstract] | |||
Operating Leases, Future Minimum Payments Due, Next Twelve Months | $ 352,000 | ||
Operating Leases, Future Minimum Payments, Due in Two Years | 363,000 | ||
Operating Leases, Future Minimum Payments, Due in Three Years | 363,000 | ||
Operating Leases, Future Minimum Payments, Due in Four Years | 368,000 | ||
Operating Leases, Future Minimum Payments, Due in Five Years | 376,000 | ||
Operating Leases, Future Minimum Payments, Due Thereafter | 1,844,000 | ||
Operating Leases, Future Minimum Payments Due, Total | 3,666,000 | ||
Operating Leases, Rent Expense, Net | $ 341,000 | $ 338,000 | $ 325,000 |
Deposits (Details)
Deposits (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Time Deposit Maturities, Next Twelve Months | $ 90,197,000 | |
Time Deposit Maturities, Year Two | 54,846,000 | |
Time Deposit Maturities, Year Three | 23,449,000 | |
Time Deposit Maturities, Year Four | 20,926,000 | |
Time Deposit Maturities, Year Five | 7,329,000 | |
Time Deposits, Total | 196,747,000 | $ 221,832,000 |
Time Deposits, $250,000 or More | 22,041,000 | $ 42,009,000 |
Major Customer Deposits [Member] | ||
Deposits of one customer relationship | $ 10,942,000 |
Borrowings (Narrative) (Details
Borrowings (Narrative) (Details) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
Available-for-sale Securities Pledged as Collateral | $ 97,671,000 | $ 102,994,000 |
FHLB of Pittsburgh [Member] | ||
Long-term Line of Credit | 19,672,000 | 0 |
Line of Credit Facility, Maximum Borrowing Capacity | 139,144,000 | |
Federal Home Loan Bank, Advances, General Debt Obligations, Maximum Amount Available | 281,493,000 | |
Advances from Federal Home Loan Banks | 60,798,000 | |
Atlantic Central Bankers Bank [Member] | ||
Long-term Line of Credit | 0 | 0 |
Line of Credit Facility, Maximum Borrowing Capacity | 7,000,000 | |
PNC Bank [Member] | ||
Long-term Line of Credit | 0 | 0 |
Line of Credit Facility, Maximum Borrowing Capacity | 16,000,000 | |
Zion Bank [Member] | ||
Long-term Line of Credit | 0 | 0 |
Line of Credit Facility, Maximum Borrowing Capacity | 17,000,000 | |
Securities Sold under Agreements to Repurchase [Member] | ||
Available-for-sale securities pledged as collateral, amortized cost | 36,797,000 | 28,914,000 |
Available-for-sale Securities Pledged as Collateral | $ 36,316,000 | $ 28,437,000 |
Borrowings (Short-Term Borrowin
Borrowings (Short-Term Borrowings) (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Short-term Debt [Line Items] | ||
Short-term Borrowings | $ 53,235 | $ 25,695 |
Securities Sold under Agreements to Repurchase [Member] | ||
Short-term Debt [Line Items] | ||
Short-term Borrowings | 33,563 | 25,695 |
FHLB of Pittsburgh [Member] | Federal Home Loan Bank Advances [Member] | ||
Short-term Debt [Line Items] | ||
Short-term Borrowings | $ 19,672 | $ 0 |
Borrowings (Outstanding Balance
Borrowings (Outstanding Balances and Related Information) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Borrowings [Abstract] | ||
Short-term Debt, Average Outstanding Amount | $ 34,057 | $ 36,514 |
Short-term Debt, Average Interest Rate During the Year | 0.25% | 0.21% |
Short-term Debt, Maximum Month-end Outstanding Amount | $ 55,183 | $ 49,634 |
Short-term Debt, Weighted Average Interest Rate | 0.36% | 0.20% |
Borrowings (Other Borrowings) (
Borrowings (Other Borrowings) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Long-term Federal Home Loan Bank Advances | $ 41,126 | $ 22,200 |
Convertible note due July 2015 at 4.34% [Member] | ||
Long-term Federal Home Loan Bank Advances | $ 0 | 7,111 |
Debt Instrument, Interest Rate, Stated Percentage | 4.34% | |
Debt Instrument, Basis Spread on Variable Rate | 0.17% | |
Debt Instrument, Description of Variable Rate Basis | three-month LIBOR | |
Convertible note due January 2017 at 4.71% [Member] | ||
Long-term Federal Home Loan Bank Advances | $ 10,000 | 10,000 |
Debt Instrument, Interest Rate, Stated Percentage | 4.71% | |
Amortizing fixed rate borrowing due December 2017 at 1.27% [Member] | ||
Long-term Federal Home Loan Bank Advances | $ 8,000 | 0 |
Debt Instrument, Interest Rate, Stated Percentage | 1.27% | |
Amortizing fixed rate borrowing due January 2018 at 0.91% [Member] | ||
Long-term Federal Home Loan Bank Advances | $ 1,267 | 1,866 |
Debt Instrument, Interest Rate, Stated Percentage | 0.91% | |
Amortizing fixed rate borrowing due December 2018 at 1.42% [Member] | ||
Long-term Federal Home Loan Bank Advances | $ 2,434 | 3,223 |
Debt Instrument, Interest Rate, Stated Percentage | 1.42% | |
Amortizing fixed rate borrowing due June 2020 at 1.49% [Member] | ||
Long-term Federal Home Loan Bank Advances | $ 9,033 | 0 |
Debt Instrument, Interest Rate, Stated Percentage | 1.49% | |
Amortizing fixed rate borrowing due December 2020 at 1.71% [Member] | ||
Long-term Federal Home Loan Bank Advances | $ 5,000 | 0 |
Debt Instrument, Interest Rate, Stated Percentage | 1.71% | |
Amortizing fixed rate borrowing due March 2022 at 1.75% [Member] | ||
Long-term Federal Home Loan Bank Advances | $ 5,392 | $ 0 |
Debt Instrument, Interest Rate, Stated Percentage | 1.75% |
Borrowings (Contractual Maturit
Borrowings (Contractual Maturities of Other Borrowings) (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Borrowings [Abstract] | ||
Federal Home Loan Bank, Advances, Maturities Summary, Due in Year Two | $ 18,000 | |
Federal Home Loan Bank, Advances, Maturities Summary, Due in Year Three | 3,701 | |
Federal Home Loan Bank, Advances, Maturities Summary, Due in Year Five | 14,033 | |
Federal Home Loan Bank, Advances, Maturities Summary, Due after Year Five | 5,392 | |
Long-term Federal Home Loan Bank Advances, Total | $ 41,126 | $ 22,200 |
Borrowings (Collateral Pledged
Borrowings (Collateral Pledged for Repurchase Agreements) (Details) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
Assets Sold under Agreements to Repurchase [Line Items] | ||
Available-for-sale Securities Pledged as Collateral | $ 97,671,000 | $ 102,994,000 |
Short-term Borrowings | 53,235,000 | 25,695,000 |
US Treasury Securities [Member] | ||
Assets Sold under Agreements to Repurchase [Line Items] | ||
Available-for-sale Securities Pledged as Collateral | 36,316,000 | |
Maturity Overnight [Member] | US Treasury Securities [Member] | ||
Assets Sold under Agreements to Repurchase [Line Items] | ||
Available-for-sale Securities Pledged as Collateral | 35,515,000 | |
Maturity Less than 30 Days [Member] | US Treasury Securities [Member] | ||
Assets Sold under Agreements to Repurchase [Line Items] | ||
Available-for-sale Securities Pledged as Collateral | 139,000 | |
Maturity 30 to 90 Days [Member] | US Treasury Securities [Member] | ||
Assets Sold under Agreements to Repurchase [Line Items] | ||
Available-for-sale Securities Pledged as Collateral | 277,000 | |
Maturity Greater than 90 Days [Member] | US Treasury Securities [Member] | ||
Assets Sold under Agreements to Repurchase [Line Items] | ||
Available-for-sale Securities Pledged as Collateral | 385,000 | |
Securities Sold under Agreements to Repurchase [Member] | ||
Assets Sold under Agreements to Repurchase [Line Items] | ||
Available-for-sale Securities Pledged as Collateral | 36,316,000 | 28,437,000 |
Short-term Borrowings | $ 33,563,000 | $ 25,695,000 |
Employee Benefit Plans (Details
Employee Benefit Plans (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Contribution Plan, Maximum Annual Contributions Per Employee, Percent | 15.00% | ||
Defined Contribution Plan, Employer Contributions, Vesting Period | 5 years | ||
Defined Contribution Plan, Cost Recognized | $ 445,000 | $ 445,000 | $ 440,000 |
Defined Benefit Plan, Percentage of Plan Funded | 79.90% | 98.90% | |
Defined Benefit Plan, Contribution Percentage | 5.00% | ||
Supplemental Employee Retirement Plan, Defined Benefit [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Benefit Obligation | $ 1,427,000 | $ 1,443,000 | |
Pension and Other Postretirement Benefit Expense | 122,000 | 124,000 | 126,000 |
Cash Surrender Value of Life Insurance | 18,820,000 | 18,284,000 | |
Defined Benefit Plan, Net Periodic Benefit Cost | 89,000 | 87,000 | |
Multiemployer Plans, Postretirement Benefit [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Net Periodic Benefit Cost | 48,000 | 17,000 | 22,000 |
Defined Benefit Plan, Contributions by Employer | $ 48,000 | $ 17,000 | $ 22,000 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Current Income Tax Expense (Benefit) | $ 2,019 | $ 2,657 | $ 2,566 |
Earliest Tax Year [Member] | |||
Open Tax Year | 2,011 |
Income Taxes (Components of Fed
Income Taxes (Components of Federal Income Tax Provision) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Current Income Tax Expense (Benefit) | $ 2,019 | $ 2,657 | $ 2,566 |
Deferred Income Tax Expense (Benefit) | (387) | (51) | 140 |
Current Income Tax Expense (Benefit), Total | 1,632 | 2,606 | 2,706 |
Parent Company [Member] | |||
Current Income Tax Expense (Benefit), Total | $ (103) | $ (114) | $ (88) |
Income Taxes (Income Tax Rate R
Income Taxes (Income Tax Rate Reconciliation) (Details) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income Taxes [Abstract] | |||
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 34.00% | 34.00% | 34.00% |
Effective Income Tax Rate Reconciliation, Tax Exempt Income | (11.30%) | (7.70%) | (6.70%) |
Effective Income Tax Rate Reconciliation, Nondeductible Expense, Share-based Compensation Cost, Percent | 0.30% | 0.40% | 0.40% |
Effective Income Tax Rate Reconciliation, Nondeductible Expense, Life Insurance, Percent | (1.80%) | (1.50%) | (3.70%) |
Effective Income Tax Rate Reconciliation, Other Adjustments, Percent | 0.40% | 0.20% | 0.20% |
Effective Income Tax Rate, Continuing Operations, Total | 21.60% | 25.40% | 24.20% |
Income Taxes (Schedule of Defer
Income Taxes (Schedule of Deferred Tax Assets and Liabilties) (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Income Taxes [Abstract] | ||
Deferred tax assets, Allowance for loan losses | $ 2,481 | $ 1,997 |
Deferred tax assets, Deferred compensation | 485 | 491 |
Deferred Tax Assets, Purchase Price Adjustment | 884 | 999 |
Deferred Tax Assets, Other | 182 | 201 |
Deferred Tax Assets, Foreclosed real estate | 305 | 280 |
Deferred Tax Assets, Gross, Total | 4,337 | 3,968 |
Deferred tax liabilities, Premises and equipment | 245 | 265 |
Deferred tax liablities, Deferred loan fees | 172 | 170 |
Deferred tax liabilties, Net unrealized gains on securities | 251 | 248 |
Deferred Tax Liabilities, Gross, Total | 668 | 683 |
Deferred Tax Assets, Net, Total | $ 3,669 | $ 3,285 |
Regulatory Matters and Stockh75
Regulatory Matters and Stockholders' Equity (Narrative) (Details) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
Regulatory Matters and Stockholders' Equity [Abstract] | ||
Restricted Cash and Cash Equivalents | $ 437,000 | $ 368,000 |
Statutory Accounting Practices, Statutory Amount Available for Dividend Payments without Regulatory Approval | $ 65,777,000 |
Regulatory Matters and Stockh76
Regulatory Matters and Stockholders' Equity (Schedule of Compliance with Regulatory Capital Requirements under Banking Regulations) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Regulatory Matters and Stockholders' Equity [Abstract] | ||
Total capital (to risk weighted assets), Amount | $ 92,777 | $ 89,613 |
Total capital (to risk weighted assets) For Capital Adequacy Purposes, Amount | 45,672 | 40,767 |
Total capital (to risk weighted assets) To Be Well Capitalized Under Prompt Corrective Action Provisions, Amount | $ 7,090 | $ 50,959 |
Total capital (to risk weighted assets), Ratio | 16.25% | 17.59% |
Total capital (to risk weighted assets) For Capital Adequacy Purposes, Ratio | 8.00% | 8.00% |
Total capital (to risk weighted assets) To Be Well Capitalized Under Prompt Corrective Action Provisions, Ratio | 10.00% | 10.00% |
Tier 1 capital (to risk weighted assets), Amount | $ 85,638 | $ 83,738 |
Tier 1 capital (to risk weighted assets) For Capital Adequacy Purposes, Amount | 34,254 | 20,383 |
Tier 1 capital (to risk weighted assets) To Be Well Capitalized Under Prompt Corrective Action Provisions, Amount | $ 45,672 | $ 30,575 |
Tier 1 capital (to risk weighted assets), Ratio | 15.00% | 16.43% |
Tier 1 capital (to risk weighted assets) For Capital Adequacy Purposes, Ratio | 6.00% | 4.00% |
Tier 1 capital (to risk weighted assets) To Be Well Capitalized Under Prompt Corrective Action Provisions, Ratio | 8.00% | 6.00% |
Common Equity Tier 1 capital (to risk-weighted assets), amount | $ 85,638 | |
Common Equity Tier 1 capital (to risk-weighted assets), for Capital Adequacy Purposes, amount | 25,690 | |
Common Equity Tier 1 capital (to risk-weighted assets) to be Well Capitalized under Prompt Corrective Action Provision, amount | $ 37,108 | |
Common Equity Tier 1 capital (to risk-weighted assets), Ratio | 15.00% | |
Common Equity Tier 1 capital (to risk-weighted assets) For Capital Adequacy Purposes, Ratio | 4.50% | |
Common Equity Tier 1 capital (to risk-weighted assets) to be Well Capitalized under Prompt Corrective Action Provision | 6.50% | |
Tier 1 capital (to average assets), Amount | $ 85,638 | $ 83,738 |
Tier 1 capital (to average assets) For Capital Adequacy Purposes, Amount | 29,203 | 28,069 |
Tier 1 capital (to average assets) To Be Well Capitalized Under Prompt Corrective Action Provisions, Amount | $ 36,504 | $ 35,086 |
Tier 1 capital (to average assets), Ratio | 11.73% | 11.93% |
Tier 1 capital (to average assets) For Capital Adequacy Purposes, Ratio | 4.00% | 4.00% |
Tier 1 capital (to average assets) To Be Well Capitalized Under Prompt Corrective Action Provisions, Ratio | 5.00% | 5.00% |
Risk weight assigned to exposures | 150.00% | |
Capital conservation buffer | 2.50% |
Stock Based Compensation (Narra
Stock Based Compensation (Narrative) (Details) - USD ($) | 12 Months Ended | |||||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Apr. 22, 2014 | Dec. 31, 2012 | Apr. 26, 2006 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Options, Granted | 14,500 | 12,500 | 28,600 | |||
Stock Issued During Period, Value, Restricted Stock Award, Gross | $ 55,000 | $ 0 | ||||
Options, Exercised | (16,859) | (25,577) | (24,127) | |||
Proceeds from Stock Options Exercised | $ 441,000 | $ 691,000 | $ 575,000 | |||
Remaining Life, Years | 5 years 2 months 12 days | |||||
Average Exercise Price | $ 26.91 | $ 26.74 | $ 26.64 | $ 26.27 | ||
Allocated Share-based Compensation Expense | $ 66,000 | $ 154,000 | $ 162,000 | |||
Future compensation expense of non-vested restricted stock outstanding | 398,000 | 271,000 | ||||
Unrecognized Salaries And Employee Benefits Expense | $ 71,000 | $ 66,000 | $ 157,000 | |||
Common Stock, Dividend Rate, Percentage | 10.00% | |||||
Stock Issued During Period Shares Stock Options Exercised | 16,859 | 25,577 | 24,127 | |||
Common Stock, Dividend Rate, Percentage | 10.00% | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 14,500 | 12,500 | 28,600 | |||
Net Income Reduction | $ 92,000 | $ 146,000 | $ 154,000 | |||
Minimum [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share Price | $ 24.44 | |||||
Maximum [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share Price | $ 29.08 | |||||
Restricted Stock [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Allocated Share-based Compensation Expense | $ 55,000 | $ 0 | $ 0 | |||
Norwood Financial Corp 2006 Stock Option Plan [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 275,000 | |||||
Options, Granted | 7,423 | 12,500 | 28,600 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 7,423 | 12,500 | 28,600 | |||
Norwood Financial Corp 2006 Stock Option Plan [Member] | Outside Directors [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 44,000 | |||||
Options, Granted | 4,000 | |||||
Shares available for awards | 4,057 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 4,000 | |||||
Norwood Financial Corp 2014 Equity Incentive Plan [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 250,000 | |||||
Options, Granted | 13,727 | |||||
Shares available for awards | 226,973 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 13,727 | |||||
Norwood Financial Corp 2014 Equity Incentive Plan [Member] | Employee Stock Option [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Options, Granted | 7,077 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 7,077 | |||||
Norwood Financial Corp 2014 Equity Incentive Plan [Member] | Restricted Stock [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 42,000 | |||||
Stock Issued During Period, Value, Restricted Stock Award, Gross | $ 9,300 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 5 years | |||||
Norwood Financial Corp 2014 Equity Incentive Plan [Member] | Officer [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Shares available for awards | 192,173 | |||||
Norwood Financial Corp 2014 Equity Incentive Plan [Member] | Officer [Member] | Restricted Stock [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Shares available for awards | 31,250 | |||||
Stock Issued During Period, Value, Restricted Stock Award, Gross | $ 4,250 | |||||
Norwood Financial Corp 2014 Equity Incentive Plan [Member] | Outside Directors [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 40,000 | |||||
Shares available for awards | 34,800 | |||||
Norwood Financial Corp 2014 Equity Incentive Plan [Member] | Outside Directors [Member] | Restricted Stock [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 8,000 | |||||
Shares available for awards | 2,800 | |||||
Stock Issued During Period, Value, Restricted Stock Award, Gross | $ 2,400 | $ 2,800 |
Stock Based Compensation (Summa
Stock Based Compensation (Summary of Stock Option Activity) (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Stock-Based Compensation [Abstract] | |||
Options, Outstanding, beginning of period | 206,463 | 219,540 | 225,670 |
Options, Granted | 14,500 | 12,500 | 28,600 |
Options, Exercised | (16,859) | (25,577) | (24,127) |
Options, Forfeited | (9,583) | (10,603) | |
Options, Outstanding, end of period | 194,521 | 206,463 | 219,540 |
Options, Exercisable, end of period | 180,021 | 193,963 | 190,940 |
Weighted Average Exercise Price Per Share, Outstanding, beginning of period | $ 26.74 | $ 26.64 | $ 26.27 |
Weighted Average Exercise Price Per Share, Granted | 28.55 | 29.08 | 27.07 |
Weighted Average Exercise Price Per Share, Exercised | 26.19 | 27.05 | 23.83 |
Weighted Average Exercise Price Per Share, Forfeited | 27.02 | 28.92 | |
Weighted Average Exercise Price Per Share, Outstanding, end of period | 26.91 | 26.74 | 26.64 |
Weighted Average Exercise Price Per Share, Exercisable, end of period | $ 26.78 | $ 26.59 | $ 26.58 |
Weighted Average Remaining Contractual Term, Outstanding | 5 years 2 months 12 days | ||
Aggregate Intrinsic Value, Outstanding, end of period | $ 362,754 | $ 477,640 | $ 146,970 |
Aggregate Intrinsic Value, Exercisable at end of period | $ 359,854 | $ 477,640 | $ 146,900 |
Stock Based Compensation (Sched
Stock Based Compensation (Schedule of Fair Value Assumptions) (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Stock-Based Compensation [Abstract] | |||
Dividend yield | 3.77% | 3.57% | 3.49% |
Expected life | 10 years | 10 years | 10 years |
Expected volatility | 24.35% | 24.97% | 25.91% |
Risk-free interest rate | 2.28% | 2.17% | 3.01% |
Weighted average fair value of options granted | $ 4.89 | $ 5.30 | $ 5.72 |
Stock Based Compensation (Sch80
Stock Based Compensation (Schedule of Outstanding Stock Options) (Details) - $ / shares | 12 Months Ended | |||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Options Outstanding | 194,521 | 206,463 | 219,540 | 225,670 |
Average Exercise Price | $ 26.91 | $ 26.74 | $ 26.64 | $ 26.27 |
Remaining Life, Years | 5 years 2 months 12 days | |||
Options Exercisable | 180,021 | 193,963 | 190,940 | |
Average Exercise Price | $ 26.78 | $ 26.59 | $ 26.58 | |
Average Exercise Price - $27.62 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Options Outstanding | 16,174 | |||
Average Exercise Price | $ 27.62 | |||
Remaining Life, Years | 3 months 18 days | |||
Options Exercisable | 16,174 | |||
Average Exercise Price | $ 27.62 | |||
Average Exercise Price - $28.64 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Options Outstanding | 15,400 | |||
Average Exercise Price | $ 28.64 | |||
Remaining Life, Years | 1 year | |||
Options Exercisable | 15,400 | |||
Average Exercise Price | $ 28.64 | |||
Average Exercise Price - $28.41 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Options Outstanding | 15,400 | |||
Average Exercise Price | $ 28.41 | |||
Remaining Life, Years | 2 years | |||
Options Exercisable | 15,400 | |||
Average Exercise Price | $ 28.41 | |||
Average Exercise Price - $25.00 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Options Outstanding | 15,400 | |||
Average Exercise Price | $ 25 | |||
Remaining Life, Years | 3 years | |||
Options Exercisable | 15,400 | |||
Average Exercise Price | $ 25 | |||
Average Exercise Price - $25.99 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Options Outstanding | 14,397 | |||
Average Exercise Price | $ 25.99 | |||
Remaining Life, Years | 4 years | |||
Options Exercisable | 14,397 | |||
Average Exercise Price | $ 25.99 | |||
Average Exercise Price - $24.44 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Options Outstanding | 1,100 | |||
Average Exercise Price | $ 24.44 | |||
Remaining Life, Years | 4 years 2 months 12 days | |||
Options Exercisable | 1,100 | |||
Average Exercise Price | $ 24.44 | |||
Average Exercise Price - $25.25 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Options Outstanding | 18,700 | |||
Average Exercise Price | $ 25.25 | |||
Remaining Life, Years | 5 years | |||
Options Exercisable | 18,700 | |||
Average Exercise Price | $ 25.25 | |||
Average Exercise Price - $24.97 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Options Outstanding | 22,200 | |||
Average Exercise Price | $ 24.97 | |||
Remaining Life, Years | 6 years | |||
Options Exercisable | 22,000 | |||
Average Exercise Price | $ 24.97 | |||
Average Exercise Price - $27.05 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Options Outstanding | 23,100 | |||
Average Exercise Price | $ 27.05 | |||
Remaining Life, Years | 7 years | |||
Options Exercisable | 23,100 | |||
Average Exercise Price | $ 27.05 | |||
Average Exercise Price - $27.55 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Options Outstanding | 1,100 | |||
Average Exercise Price | $ 27.55 | |||
Remaining Life, Years | 7 years | |||
Options Exercisable | 1,100 | |||
Average Exercise Price | $ 27.55 | |||
Average Exercise Price - $28.95 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Options Outstanding | 2,000 | |||
Average Exercise Price | $ 28.95 | |||
Remaining Life, Years | 7 years 8 months 12 days | |||
Options Exercisable | 2,000 | |||
Average Exercise Price | $ 28.95 | |||
Average Exercise Price - $26.90 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Options Outstanding | 23,250 | |||
Average Exercise Price | $ 26.90 | |||
Remaining Life, Years | 8 years | |||
Options Exercisable | 23,250 | |||
Average Exercise Price | $ 26.90 | |||
Average Exercise Price 29.08 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Options Outstanding | 12,000 | |||
Average Exercise Price | $ 29.08 | |||
Remaining Life, Years | 9 years | |||
Options Exercisable | 12,000 | |||
Average Exercise Price | $ 29.08 | |||
Average Exercise Price - $28.55 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Options Outstanding | 14,500 | |||
Average Exercise Price | $ 28.55 | |||
Remaining Life, Years | 10 years | |||
Options Exercisable | 0 | |||
Average Exercise Price | $ 0 |
Stock Based Compensation (Restr
Stock Based Compensation (Restricted Stock Rollforward) (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Future compensation expense of non-vested restricted stock outstanding | $ 398 | $ 271 | |
Restricted Stock or Unit Expense | $ 55 | $ 0 | $ 0 |
Restricted Stock [Member] | |||
Restricted stock outstanding, beginning balance | 9,300 | 0 | |
Restricted stock, granted | 6,650 | 9,300 | |
Restricted stock, vested | (1,860) | 0 | |
Restricted stock, forfeited | (280) | 0 | |
Restricted stock outstanding, ending balance | 13,810 | 9,300 | 0 |
Restricted stock outstanding, weighted-average grant date fair value, beginning balance | $ 29.08 | ||
Restricted stock, granted, weighted-average grant date fair value | 28.55 | $ 29.08 | |
Restricted stock, vested, weighted-average grant date fair value | 29.08 | ||
Restricted stock, forfeited, weighted-average grant date fair value | 29.08 | ||
Restricted stock outstanding, weighted-average grant date fair value, ending balance | $ 28.82 | $ 29.08 |
Earnings Per Share (Narrative)
Earnings Per Share (Narrative) (Details) - shares | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Earnings Per Share [Abstract] | |||
Common Stock, Dividend Rate, Percentage | 10.00% | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 14,000 | 12,500 | 129,000 |
Earnings Per Share (Basic and D
Earnings Per Share (Basic and Diluted Earnings Per Share) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Earnings Per Share [Abstract] | |||
Numerator, net income | $ 5,908 | $ 7,657 | $ 8,465 |
Weighted average shares outstanding | 3,682 | 3,645 | 3,627 |
Less: Weighted average unvested restricted shares | (9) | 0 | 0 |
Weighted Average Number of Shares Outstanding, Basic, Total | 3,673 | 3,645 | 3,627 |
Add: Dilutive effect of stock options | 9 | 12 | 5 |
Diluted EPS weighted average shares outstanding | 3,691 | 3,657 | 3,632 |
Basic earnings per common share | $ 1.60 | $ 2.10 | $ 2.33 |
Diluted earnings per common share | $ 1.60 | $ 2.10 | $ 2.33 |
Off-Balance Sheet Financial I84
Off-Balance Sheet Financial Instruments (Table) (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Loss Contingencies [Line Items] | ||
Financial Instrument Commitments | $ 73,631 | $ 73,999 |
Unfunded availability under loan commitments [Member] | ||
Loss Contingencies [Line Items] | ||
Financial Instrument Commitments | 19,704 | 23,070 |
Unfunded commitments under lines of credit [Member] | ||
Loss Contingencies [Line Items] | ||
Financial Instrument Commitments | 48,641 | 45,269 |
Standby letters of credit [Member] | ||
Loss Contingencies [Line Items] | ||
Financial Instrument Commitments | $ 5,286 | $ 5,660 |
Fair Value of Financial Instr85
Fair Value of Financial Instruments (Fair Value, Assets and Liabilities Measured on Recurring Basis) (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | $ 138,851 | $ 156,395 |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 384 | 398 |
Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 138,467 | 155,997 |
Significant Unobservable Inputs (Level 3) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 0 | 0 |
U.S. Government Agencies [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 9,169 | 28,975 |
U.S. Government Agencies [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 0 | 0 |
U.S. Government Agencies [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 9,169 | 28,975 |
U.S. Government Agencies [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 0 | 0 |
States and political subdivisions [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 60,755 | 54,332 |
States and political subdivisions [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 0 | 0 |
States and political subdivisions [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 60,755 | 54,332 |
States and political subdivisions [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 0 | 0 |
Corporate obligations [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 4,974 | 6,486 |
Corporate obligations [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 0 | 0 |
Corporate obligations [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 4,974 | 6,486 |
Corporate obligations [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 0 | 0 |
Mortgage-backed securities-government sponsored entities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 63,569 | 66,204 |
Mortgage-backed securities-government sponsored entities [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 0 | 0 |
Mortgage-backed securities-government sponsored entities [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 63,569 | 66,204 |
Mortgage-backed securities-government sponsored entities [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 0 | 0 |
Equity securities-financial services [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 384 | 398 |
Equity securities-financial services [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 384 | 398 |
Equity securities-financial services [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 0 | 0 |
Equity securities-financial services [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | $ 0 | $ 0 |
Fair Value of Financial Instr86
Fair Value of Financial Instruments (Fair Value, Assets and Liabilities Measured on Nonrecurring Basis) (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Impaired Loans [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | $ 7,615 | $ 11,312 |
Impaired Loans [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | 0 | 0 |
Impaired Loans [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | 0 | 0 |
Impaired Loans [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | 7,615 | 11,312 |
Foreclosed Real Estate Owned [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | 2,847 | 3,726 |
Foreclosed Real Estate Owned [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | 0 | 0 |
Foreclosed Real Estate Owned [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | 0 | 0 |
Foreclosed Real Estate Owned [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Nonrecurring | $ 2,847 | $ 3,726 |
Fair Value of Financial Instr87
Fair Value of Financial Instruments (Additional Qualitative Information about Level 3 Assets) (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015USD ($)loan | Dec. 31, 2014USD ($)loan | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impaired Financing Receivable, Recorded Investment | $ 9,228 | $ 11,605 | |
Impaired Financing Receivable, with Related Allowance, Recorded Investment | 6,373 | 2,973 | |
Impaired Financing Receivable, Related Allowance | 1,613 | 293 | |
Impaired Financing Receivable, with No Related Allowance, Recorded Investment | 2,855 | 8,632 | |
Impaired Loans [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Assets, Fair Value Disclosure, Nonrecurring | 7,615 | 11,312 | |
Impaired Financing Receivable, Recorded Investment | $ 9,228 | $ 11,605 | |
Number of impaired loans requiring a valuation allowance | loan | 3 | 3 | |
Impaired Financing Receivable, with Related Allowance, Recorded Investment | $ 6,373 | $ 2,973 | |
Impaired Financing Receivable, Related Allowance | $ 1,613 | $ 293 | |
Number of impaired loans not requiring a valuation allowance | loan | 20 | 14 | |
Impaired Financing Receivable, with No Related Allowance, Recorded Investment | $ 2,855 | $ 8,632 | |
Impaired Loans, Cumulative Charge-Offs | 2,044 | 1,022 | |
Impaired Loans [Member] | Appraisal of collateral [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Assets, Fair Value Disclosure, Nonrecurring | $ 2,574 | $ 11,312 | |
Fair Value Measurements, Valuation Techniques | [1] | Appraisal of collateral(1) | Appraisal of collateral(1) |
Fair Value Disclosure, Unobservable Input Range | [2] | Appraisal adjustments(2) | Appraisal adjustments(2) |
Fair Value Inputs, Discount Rate | 10.00% | ||
Impaired Loans [Member] | Present value of future cash flows [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Assets, Fair Value Disclosure, Nonrecurring | $ 5,041 | ||
Fair Value Measurements, Valuation Techniques | Present value of future cash flows | ||
Fair Value Disclosure, Unobservable Input Range | Loan discount rate | ||
Impaired Loans [Member] | Minimum [Member] | Appraisal of collateral [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Fair Value Inputs, Discount Rate | 6.00% | ||
Impaired Loans [Member] | Minimum [Member] | Present value of future cash flows [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Fair Value Inputs, Discount Rate | 4.00% | ||
Impaired Loans [Member] | Maximum [Member] | Appraisal of collateral [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Fair Value Inputs, Discount Rate | 33.00% | ||
Impaired Loans [Member] | Maximum [Member] | Present value of future cash flows [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Fair Value Inputs, Discount Rate | 7.00% | ||
Impaired Loans [Member] | Weighted Average [Member] | Appraisal of collateral [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Fair Value Inputs, Discount Rate | 10.00% | 23.35% | |
Impaired Loans [Member] | Weighted Average [Member] | Present value of future cash flows [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Fair Value Inputs, Discount Rate | 5.61% | ||
Foreclosed Real Estate Owned [Member] | Appraisal of collateral [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Assets, Fair Value Disclosure, Nonrecurring | $ 2,847 | $ 3,726 | |
Fair Value Measurements, Valuation Techniques | [1] | Appraisal of collateral(1) | Appraisal of collateral(1) |
Fair Value Disclosure, Unobservable Input Range | [2] | Liquidation Expenses(2) | Liquidation Expenses(2) |
Fair Value Inputs, Discount Rate | 10.00% | 10.00% | |
[1] | Fair value is generally determined through independent appraisals of the underlying collateral, which generally include various level 3 inputs which are not identifiable, less any associated allowance. | ||
[2] | Appraisals may be adjusted by management for qualitative factors such as economic conditions and estimated liquidation expenses. The range and weighted average of liquidation expenses and other appraisal adjustments are presented as a percent of the appraisal. |
Fair Value of Financial Instr88
Fair Value of Financial Instruments (Fair Value, by Balance Sheet Grouping) (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Financial assets: Cash and due from banks, interest-bearing deposits with banks and federal funds sold, Fair Value Disclosure | $ 10,010 | $ 12,376 | ||
Financial assets: Securities, Fair Value Disclosure | 138,851 | 156,395 | ||
Financial assets: Loans receivable, net, Fair Value Disclosure | 559,416 | 507,833 | ||
Financial assets: Mortgage servicing rights, Fair Value Disclosure | 291 | 277 | ||
Financial assets: Regulatory stock, Fair Value Disclosure | 3,412 | 1,714 | ||
Financial assets: Bank owned life insurance, Fair Value Disclosure | 18,820 | 18,284 | ||
Financial assets: Accrued interest receivable, Fair Value Disclosure | 2,363 | 2,339 | ||
Financial liabilities: Deposits, Fair Value Disclosure | 551,175 | 560,243 | ||
Financial liabilities: Short-term borrowings, Fair Value Disclosure | 53,235 | 25,695 | ||
Financial liabilities: Other borrowings, Fair Value Disclosure | 41,260 | 23,228 | ||
Financial liabilities: Accrued interest payable, Fair Value Disclosure | 957 | 966 | ||
Off-balance sheet financial instruments: Commitments to extend credit and outstanding letters of credit, Fair Value Disclosure | 0 | 0 | ||
Financial assets: Cash and due from banks, interest-bearing deposits with banks and federal funds sold | 10,010 | 12,376 | $ 7,863 | $ 12,295 |
Financial assets: Securities | 138,851 | 156,395 | ||
Financial assets: Loans receivable, net | 552,627 | 495,260 | ||
Financial assets: Mortgage servicing rights | 261 | 271 | ||
Financial assets: Investment in FHLB stock | 3,412 | 1,714 | ||
Financial assets: Bank owned life insurance | 18,820 | 18,284 | ||
Financial assets: Accrued interest receivable | 2,363 | 2,339 | ||
Financial liabilities: Deposits | 550,909 | 559,944 | ||
Financial liabilities: Short-term borrowings | 53,235 | 25,695 | ||
Financial liabilities: Other borrowings | 41,126 | 22,200 | ||
Financial liabilities: Accrued interest payable | 957 | 966 | ||
Off-balance sheet financial instruments: Commitments to extend credit and outstanding letters of credit | 0 | 0 | ||
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Financial assets: Cash and due from banks, interest-bearing deposits with banks and federal funds sold, Fair Value Disclosure | 10,010 | 12,376 | ||
Financial assets: Securities, Fair Value Disclosure | 384 | 398 | ||
Financial assets: Loans receivable, net, Fair Value Disclosure | 0 | 0 | ||
Financial assets: Mortgage servicing rights, Fair Value Disclosure | 0 | 0 | ||
Financial assets: Regulatory stock, Fair Value Disclosure | 3,412 | 1,714 | ||
Financial assets: Bank owned life insurance, Fair Value Disclosure | 18,820 | 18,284 | ||
Financial assets: Accrued interest receivable, Fair Value Disclosure | 2,363 | 2,339 | ||
Financial liabilities: Deposits, Fair Value Disclosure | 354,162 | 338,112 | ||
Financial liabilities: Short-term borrowings, Fair Value Disclosure | 53,235 | 25,695 | ||
Financial liabilities: Other borrowings, Fair Value Disclosure | 0 | 0 | ||
Financial liabilities: Accrued interest payable, Fair Value Disclosure | 957 | 966 | ||
Off-balance sheet financial instruments: Commitments to extend credit and outstanding letters of credit, Fair Value Disclosure | 0 | 0 | ||
Significant Other Observable Inputs (Level 2) [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Financial assets: Cash and due from banks, interest-bearing deposits with banks and federal funds sold, Fair Value Disclosure | 0 | 0 | ||
Financial assets: Securities, Fair Value Disclosure | 138,467 | 155,997 | ||
Financial assets: Loans receivable, net, Fair Value Disclosure | 0 | 0 | ||
Financial assets: Mortgage servicing rights, Fair Value Disclosure | 0 | 0 | ||
Financial assets: Regulatory stock, Fair Value Disclosure | 0 | 0 | ||
Financial assets: Bank owned life insurance, Fair Value Disclosure | 0 | 0 | ||
Financial assets: Accrued interest receivable, Fair Value Disclosure | 0 | 0 | ||
Financial liabilities: Deposits, Fair Value Disclosure | 0 | 0 | ||
Financial liabilities: Short-term borrowings, Fair Value Disclosure | 0 | 0 | ||
Financial liabilities: Other borrowings, Fair Value Disclosure | 0 | 0 | ||
Financial liabilities: Accrued interest payable, Fair Value Disclosure | 0 | 0 | ||
Off-balance sheet financial instruments: Commitments to extend credit and outstanding letters of credit, Fair Value Disclosure | 0 | 0 | ||
Significant Unobservable Inputs (Level 3) [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Financial assets: Cash and due from banks, interest-bearing deposits with banks and federal funds sold, Fair Value Disclosure | 0 | 0 | ||
Financial assets: Securities, Fair Value Disclosure | 0 | 0 | ||
Financial assets: Loans receivable, net, Fair Value Disclosure | 559,416 | 507,833 | ||
Financial assets: Mortgage servicing rights, Fair Value Disclosure | 291 | 277 | ||
Financial assets: Regulatory stock, Fair Value Disclosure | 0 | 0 | ||
Financial assets: Bank owned life insurance, Fair Value Disclosure | 0 | 0 | ||
Financial assets: Accrued interest receivable, Fair Value Disclosure | 0 | 0 | ||
Financial liabilities: Deposits, Fair Value Disclosure | 197,013 | 222,131 | ||
Financial liabilities: Short-term borrowings, Fair Value Disclosure | 0 | 0 | ||
Financial liabilities: Other borrowings, Fair Value Disclosure | 41,260 | 23,228 | ||
Financial liabilities: Accrued interest payable, Fair Value Disclosure | 0 | 0 | ||
Off-balance sheet financial instruments: Commitments to extend credit and outstanding letters of credit, Fair Value Disclosure | $ 0 | $ 0 |
Accumulated Other Comprehensi89
Accumulated Other Comprehensive Income (Components of Accumulated Other Comprehensive Income and Accumulated Other Comprehensive Income) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | ||||
Accumulated Other Comprehensive Income (Loss) [Abstract] | ||||||
Beginning balance | [1] | $ 462 | $ (2,602) | |||
Other comprehensive income (loss) before reclassification | [1] | 439 | 3,836 | |||
Amount reclassified from accumulated other comprehensive income (loss) | [1] | (413) | (772) | |||
Other comprehensive income (loss), net of tax amount | 26 | [1] | 3,064 | [1] | $ (5,399) | |
Ending balance | [1] | $ 488 | $ 462 | $ (2,602) | ||
[1] | All amounts are net of tax. Amounts in parentheses indicate debits. |
Accumulated Other Comprehensi90
Accumulated Other Comprehensive Income (Items Reclassified Out of Each Component of OCI) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Net realized gains on sales of securities | $ 626 | $ 1,170 | $ 881 | |
Income tax expense | (1,632) | (2,606) | (2,706) | |
Net Income | 5,908 | 7,657 | $ 8,465 | |
Reclassification out of Accumulated Other Comprehensive Income [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Income tax expense | [1] | (213) | (398) | |
Net Income | [1] | 413 | 772 | |
Reclassification out of Accumulated Other Comprehensive Income [Member] | Unrealized gains on available for sale securities [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Net realized gains on sales of securities | [1] | $ 626 | $ 1,170 | |
[1] | Amounts in parentheses indicate debits to net income. |
Proposed Acquisition of Delaw91
Proposed Acquisition of Delaware Bancshares, Inc. (Details) - USD ($) $ / shares in Units, $ in Thousands | Mar. 10, 2016 | Dec. 31, 2015 |
Subsequent Event, Date | Mar. 10, 2016 | |
Subsequent Event [Member] | Delaware Bancshares and NBDC Bank Proposed Acquisition [Member] | ||
Business Acquisition, Share Price | $ 16.68 | |
Business Acquisition, shares exchanged | 0.6221 | |
Business Combination, Contingent Consideration, Asset, Current | $ 615 | |
Subsequent Event [Member] | Delaware Bancshares and NBDC Bank Proposed Acquisition [Member] | Maximum [Member] | ||
Percent of cash consideration | 25.00% | |
Percent decline in market value resulting in possible termination | 20.00% |
Norwood Financial Corp (Paren92
Norwood Financial Corp (Parent Company Only) Financial Information (Balance Sheets) (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Condensed Financial Statements, Captions [Line Items] | ||||
Cash on deposit in bank subsidiary | $ 9,744 | $ 8,081 | ||
Securities available for sale | 138,851 | 156,395 | ||
Other assets | 1,434 | 1,418 | ||
Total Assets | 750,505 | 711,635 | ||
Liabilities | 649,507 | 612,594 | ||
Stockholders' equity | 100,998 | 99,041 | $ 91,864 | $ 92,421 |
Total Liabilities and Stockholders' Equity | 750,505 | 711,635 | ||
Parent Company [Member] | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Cash on deposit in bank subsidiary | 2,151 | 1,846 | ||
Securities available for sale | 384 | 398 | ||
Investment in bank subsidiary | 95,895 | 94,268 | ||
Other assets | 4,113 | 3,900 | ||
Total Assets | 102,543 | 100,412 | ||
Liabilities | 1,545 | 1,371 | ||
Stockholders' equity | 100,998 | 99,041 | ||
Total Liabilities and Stockholders' Equity | $ 102,543 | $ 100,412 |
Norwood Financial Corp (Paren93
Norwood Financial Corp (Parent Company Only) Financial Information (Statements of Income) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Condensed Financial Statements, Captions [Line Items] | |||
Net realized gain (loss) on sales of securities | $ 626 | $ 1,170 | $ 881 |
Income before taxes and equity in undistributed earnings | 7,540 | 10,263 | 11,171 |
Income tax expense | 1,632 | 2,606 | 2,706 |
Net Income | 5,908 | 7,657 | 8,465 |
Comprehensive Income, Net of Tax | 5,934 | 10,721 | 3,066 |
Parent Company [Member] | |||
Condensed Financial Statements, Captions [Line Items] | |||
Dividends from bank subsidiary | 4,574 | 4,377 | 4,216 |
Other interest income | 11 | 10 | 9 |
Total Revenues | 4,585 | 4,387 | 4,225 |
Expenses | 313 | 346 | 267 |
Income before taxes and equity in undistributed earnings | 4,272 | 4,041 | 3,958 |
Income tax expense | (103) | (114) | (88) |
Income before equity in undistributed earnings | 4,375 | 4,155 | 4,046 |
Equity in undistributed earnings of subsidiary | 1,533 | 3,502 | 4,419 |
Net Income | 5,908 | 7,657 | 8,465 |
Comprehensive Income, Net of Tax | $ 5,934 | $ 10,721 | $ 3,066 |
Norwood Financial Corp (Paren94
Norwood Financial Corp (Parent Company Only) Financial Information (Statements of Cash Flows) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Condensed Financial Statements, Captions [Line Items] | |||
Net Income | $ 5,908 | $ 7,657 | $ 8,465 |
Net (gains) losses on sales of securities | 626 | 1,170 | 881 |
Net Cash Provided by (Used in) Operating Activities, Continuing Operations | 10,498 | 10,531 | 12,691 |
Proceeds from sale of securities | 44,976 | 66,263 | 42,348 |
Securities available for sale: Purchases | (50,565) | (74,426) | (84,589) |
Proceeds from Stock Options Exercised | 441 | 691 | 575 |
Excess Tax Benefit from Share-based Compensation, Financing Activities | 16 | 17 | 39 |
ESOP purchase of shares from treasury stock | 146 | 150 | 146 |
Acquisition of treasury stock | (127) | (179) | (319) |
Cash dividends paid | (4,527) | (4,370) | (4,155) |
Net Cash Provided by (Used in) Financing Activities, Continuing Operations | 33,380 | (10,709) | 35,534 |
Net Increase (Decrease) in Cash and Cash Equivalents | (2,366) | 4,513 | (4,432) |
CASH AND CASH EQUIVALENTS - BEGINNING | 12,376 | 7,863 | 12,295 |
CASH AND CASH EQUIVALENTS - ENDING | 10,010 | 12,376 | 7,863 |
Parent Company [Member] | |||
Condensed Financial Statements, Captions [Line Items] | |||
Net Income | 5,908 | 7,657 | 8,465 |
Undistributed earnings of bank subsidiary | (1,533) | (3,502) | (4,419) |
Other, net | 19 | (177) | 247 |
Net Cash Provided by (Used in) Operating Activities, Continuing Operations | 4,356 | 4,332 | 3,799 |
Proceeds from Stock Options Exercised | 441 | 691 | 575 |
Excess Tax Benefit from Share-based Compensation, Financing Activities | 16 | 17 | 39 |
ESOP purchase of shares from treasury stock | 146 | 150 | 146 |
Acquisition of treasury stock | (127) | (179) | (319) |
Cash dividends paid | (4,527) | (4,370) | (4,155) |
Net Cash Provided by (Used in) Financing Activities, Continuing Operations | (4,051) | (3,691) | (3,714) |
Net Increase (Decrease) in Cash and Cash Equivalents | 305 | 641 | 85 |
CASH AND CASH EQUIVALENTS - BEGINNING | 1,846 | 1,205 | 1,120 |
CASH AND CASH EQUIVALENTS - ENDING | $ 2,151 | $ 1,846 | $ 1,205 |