Pinnacle Bankshares (PPBN) 10-Q 16 Nov 20 2020 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2020	Oct. 29, 2020
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Document Period End Date	Sep. 30, 2020
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q3
Entity Registrant Name	PINNACLE BANKSHARES CORP
Entity Central Index Key	0001031233
Entity File Number	000-23909
Entity Incorporation, State or Country Code	VA
Entity Tax Identification Number	54-1832714
Entity Address, Address Line One	622 Broad Street
Entity Address, City or Town	Altavista
Entity Address, State or Province	VA
Entity Address, Postal Zip Code	24517-1830
City Area Code	434
Local Phone Number	369-3000
Entity Current Reporting Status	No
Entity Filer Category	Non-accelerated Filer
Entity Interactive Data Current	Yes
Entity Small Business	true
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
Entity Shell Company	true
Document Quarterly Report	true
Document Transition Report	false
Entity Common Stock, Shares Outstanding		1,563,922

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) (Unaudited) - $ / shares	Sep. 30, 2020	Dec. 31, 2019
Statement Of Financial Position [Abstract]
Common stock, par value	$ 3	$ 3
Common stock, shares authorized	3,000,000	3,000,000
Common stock, shares issued	1,563,922	1,551,339
Common stock, shares outstanding	1,563,922	1,551,339

Consolidated Balance Sheets (Un

Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Cash and cash equivalents:
Cash and due from banks	$ 78,306	$ 32,903
Certificates of deposits	250	250
Securities:
Available-for-sale, at fair value	44,328	43,194
Held-to-maturity, at amortized cost	500	1,764
Federal Reserve Bank stock, at cost	159	154
Federal Home Loan Bank stock, at cost	450	423
Loans, net	416,485	389,849
Bank premises and equipment, net	17,193	15,546
Accrued interest receivable	1,335	1,277
Bank owned life insurance	10,504	10,335
Goodwill	539	539
Other real estate owned	18	666
Other assets	3,679	3,630
Total assets	573,746	500,530
Liabilities and Stockholders' Equity
Liabilities:	526,345	455,085
Deposits
Demand	130,336	110,419
Savings and NOW accounts	288,050	244,941
Time	95,071	94,923
Total deposits	513,457	450,283
Subordinated notes payable	8,000
Accrued interest payable	193	205
Other liabilities	4,695	4,597
Total liabilities	526,345	455,085
Stockholders' equity:
Common stock, $3 par value. Authorized 3,000,000 shares, issued and outstanding 1,563,922 shares in 2020 and 1,551,339 shares in 2019	4,575	4,564
Capital surplus	1,581	1,461
Retained earnings	43,324	42,404
Accumulated other comprehensive loss, net	(2,079)	(2,984)
Total stockholders' equity	47,401	45,445
Commitments, contingencies and other matters
Total liabilities and stockholders' equity	$ 573,746	$ 500,530

Condensed Consolidated Statemen

Condensed Consolidated Statements of Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Interest income:
Interest and fees on loans	$ 4,628	$ 4,704	$ 13,684	$ 13,981
Interest on securities:
U.S. Government agencies	134	205	471	633
States and political subdivisions (taxable)	15	15	44	55
States and political subdivisions (tax-exempt)	52	54	151	175
Other	24	107	129	316
Interest on federal funds sold			1	1
Total interest income	4,853	5,085	14,480	15,161
Interest on deposits:
Savings and NOW accounts	223	342	751	791
Time - under $250,000	245	243	767	672
Time - $250,000 and over	126	130	399	371
Interest on federal funds purchased		2		2
Total interest expense	594	717	1,917	1,836
Net interest income	4,259	4,368	12,563	13,325
Provision for loan losses and unfunded commitments	31	150	257	151
Net interest income after provision for loan losses	4,228	4,218	12,306	13,174
Noninterest income:
Revenue from contract with customer including assessed tax	167	133	475	485
Other operating income	237	218	863	764
Total noninterest income	1,307	1,140	3,846	3,408
Noninterest expense:
Salaries and employee benefits	2,436	2,191	7,012	6,415
Occupancy expense	285	262	835	743
Furniture and equipment expense	323	302	908	793
Office supplies and printing	51	35	152	158
Federal deposit insurance premiums	67		179	126
Capital stock tax	77	60	225	179
Advertising expense	27	29	136	143
Legal expense	134	10	821	66
Core system expense	464	470	1,431	1,383
Other operating expenses	1,098	716	2,504	1,989
Total noninterest expense	4,962	4,075	14,203	11,995
Income before income tax expense	573	1,283	1,949	4,587
Income tax expense	113	240	374	875
Net income	$ 460	$ 1,043	$ 1,575	$ 3,712
Basic net income per share	$ 0.29	$ 0.67	$ 1.01	$ 2.40
Diluted net income per share	$ 0.29	$ 0.67	$ 1.01	$ 2.38
Service charges on deposit accounts
Noninterest income:
Revenue from contract with customer including assessed tax	$ 506	$ 504	$ 1,442	$ 1,442
Mortgage loan fees
Noninterest income:
Revenue from contract with customer including assessed tax	306	173	660	407
Service charges on loan accounts
Noninterest income:
Revenue from contract with customer including assessed tax	$ 91	$ 112	$ 406	$ 310

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Income Statement [Abstract]
Net income	$ 460	$ 1,043	$ 1,575	$ 3,712
Unrealized gains on available-for-sale securities
Before tax	119	126	1,146	1,275
Income tax expense	(26)	(27)	(241)	(268)
Total other comprehensive income	93	99	905	1,007
Comprehensive income	$ 553	$ 1,142	$ 2,480	$ 4,719

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Changes in Shareholders' Equity - USD ($) $ in Thousands	Total	Common Stock	Capital Surplus	Retained Earnings	Accumulated Other Comprehensive Income (Loss)
Beginning Balances at Dec. 31, 2018	$ 42,111	$ 4,547	$ 1,333	$ 38,853	$ (2,622)
Beginning Balance (in shares) at Dec. 31, 2018		1,540,054
Net income	1,301			1,301
Other comprehensive gain (loss)	471				471
Issuance of restricted stock and related expense	123	$ 14	109
Issuance of restricted stock and related expense, shares		3,297
Stock options exercised, shares		324
Cash dividends declared by Bankshares	(193)			(193)
Ending Balances at Mar. 31, 2019	43,813	$ 4,561	1,442	39,961	(2,151)
Ending Balances, (in shares) at Mar. 31, 2019		1,543,675
Beginning Balances at Dec. 31, 2018	42,111	$ 4,547	1,333	38,853	(2,622)
Beginning Balance (in shares) at Dec. 31, 2018		1,540,054
Net income	3,712
Other comprehensive gain (loss)	1,007
Ending Balances at Sep. 30, 2019	46,301	$ 4,559	1,419	41,938	(1,615)
Ending Balances, (in shares) at Sep. 30, 2019		1,551,339
Beginning Balances at Mar. 31, 2019	43,813	$ 4,561	1,442	39,961	(2,151)
Beginning Balance (in shares) at Mar. 31, 2019		1,543,675
Net income	1,368			1,368
Other comprehensive gain (loss)	437				437
Issuance of restricted stock and related expense	(72)	$ (6)	(66)
Issuance of restricted stock and related expense, shares		7,700
Stock options exercised, shares		2,367
Cash dividends declared by Bankshares	(218)			(218)
Ending Balances at Jun. 30, 2019	45,328	$ 4,555	1,376	41,111	(1,714)
Ending Balances, (in shares) at Jun. 30, 2019		1,553,742
Net income	1,043			1,043
Other comprehensive gain (loss)	99				99
Issuance of restricted stock and related expense	47	$ 4	43
Issuance of restricted stock and related expense, shares		(2,403)
Cash dividends declared by Bankshares	(216)			(216)
Ending Balances at Sep. 30, 2019	46,301	$ 4,559	1,419	41,938	(1,615)
Ending Balances, (in shares) at Sep. 30, 2019		1,551,339
Beginning Balances at Dec. 31, 2019	45,445	$ 4,564	1,461	42,404	(2,984)
Beginning Balance (in shares) at Dec. 31, 2019		1,551,339
Net income	448			448
Other comprehensive gain (loss)	(480)				(480)
Issuance of restricted stock and related expense	84	$ 8	76
Issuance of restricted stock and related expense, shares		3,347
Stock options exercised, shares		2,412
Cash dividends declared by Bankshares	(218)			(218)
Ending Balances at Mar. 31, 2020	45,279	$ 4,572	1,537	42,634	(3,464)
Ending Balances, (in shares) at Mar. 31, 2020		1,557,098
Beginning Balances at Dec. 31, 2019	45,445	$ 4,564	1,461	42,404	(2,984)
Beginning Balance (in shares) at Dec. 31, 2019		1,551,339
Net income	1,575
Other comprehensive gain (loss)	905
Ending Balances at Sep. 30, 2020	47,401	$ 4,575	1,581	43,324	(2,079)
Ending Balances, (in shares) at Sep. 30, 2020		1,563,922
Beginning Balances at Mar. 31, 2020	45,279	$ 4,572	1,537	42,634	(3,464)
Beginning Balance (in shares) at Mar. 31, 2020		1,557,098
Net income	667			667
Other comprehensive gain (loss)	1,292				1,292
Issuance of restricted stock and related expense	2	$ (2)	4
Stock options exercised, shares		1,564
Cash dividends declared by Bankshares	(218)			(218)
Ending Balances at Jun. 30, 2020	47,022	$ 4,570	1,541	43,083	(2,172)
Ending Balances, (in shares) at Jun. 30, 2020		1,558,662
Net income	460			460
Other comprehensive gain (loss)	93				93
Issuance of restricted stock and related expense	45	$ 5	40
Issuance of restricted stock and related expense, shares		5,260
Cash dividends declared by Bankshares	(219)			(219)
Ending Balances at Sep. 30, 2020	$ 47,401	$ 4,575	$ 1,581	$ 43,324	$ (2,079)
Ending Balances, (in shares) at Sep. 30, 2020		1,563,922

Condensed Consolidated Statem_4

Condensed Consolidated Statements of Changes in Shareholders' Equity (Parenthetical) - $ / shares	3 Months Ended
	Sep. 30, 2020	Jun. 30, 2020	Mar. 31, 2020	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019
Statement Of Stockholders Equity [Abstract]
Cash dividends declared by Bankshares, per share	$ 0.14	$ 0.14	$ 0.14	$ 0.14	$ 0.14	$ 0.125

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019
Cash flows from operating activities:
Net income	$ 1,575	$ 3,712
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation of bank premises and equipment	589	526
Net (accretion) amortization of unearned fees, net	(508)	15
Net amortization of premiums and discounts on securities	230	252
Provision for loan losses and unfunded commitments	257	151
Stock based compensation expense	131	98
Increase in cash value of bank owned life insurance	(169)	(175)
Net (increase) decrease in:
Accrued interest receivable	(58)	124
Other assets	(290)	(339)
Net (decrease) increase in:
Accrued interest payable	(12)	45
Other liabilities	98	720
Net cash provided by operating activities	1,843	5,129
Cash flows from investing activities:
Purchases of available-for-sale securities	(6,969)	(4,968)
Proceeds from maturities and calls of available-for-sale securities	2,000	2,990
Proceeds from sales of available-for-sale securities		1,887
Proceeds from paydowns and maturities of available-for-sale mortgage- backed securities	4,755	4,483
Proceeds from maturities and calls of held-to-maturity securities	1,260
Proceeds from the sale of OREO	666
Purchase of Federal Reserve Stock	(5)	(5)
Purchase of Federal Home Loan Bank Stock	(27)	(24)
Net increase in loans made to customers	(26,403)	(15,590)
Purchases of bank premises and equipment	(2,236)	(582)
Disposals of bank premises and equipment		300
Net cash used in investing activities	(26,959)	(11,509)
Cash flows from financing activities:
Net increase in demand, savings and NOW deposits	63,026	10,412
Net increase (decrease) in time deposits	148	(4,350)
Proceeds from subordinated notes issued	8,000
Cash dividends paid	(655)	(627)
Net cash provided by financing activities	70,519	5,435
Net increase in cash and cash equivalents	45,403	(945)
Cash and cash equivalents, beginning of period	32,903	15,717
Cash and cash equivalents, end of period	78,306	14,772
Supplemental disclosure of cash flows information
Income taxes	400	1,480
Interest	1,929	1,791
Transfer from loans to foreclosed assets	18	18
Loans charged against the allowance for loan losses	442	451
Unrealized gains on available-for-sale securities	$ 1,146	$ 1,275

Summary of Significant Accounti

Summary of Significant Accounting Policies and Practices	9 Months Ended
	Sep. 30, 2020
Accounting Policies [Abstract]
Summary of Significant Accounting Policies and Practices	(1) Summary of Significant Accounting Policies and Practices The accompanying unaudited condensed consolidated financial statements of Pinnacle Bankshares Corporation (“Pinnacle” or the “Company”) have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial reporting and with applicable quarterly reporting regulations of the Securities and Exchange Commission (the “SEC”). Certain information and footnote disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations relating to interim financial statements. Therefore, these condensed consolidated financial statements should be read in conjunction with Pinnacle’s consolidated financial statements and notes thereto for the year ended December 31, 2019. The results of operations for the three-month and nine-month periods ended September 30, 2020 and 2019, are not necessarily indicative of the results of operations for the full year or any other interim periods. The accounting and reporting policies of Pinnacle conform to GAAP and general practices within the banking industry. As of September 30, 2020, the most recent notification from Office of the Comptroller of the Currency categorized Pinnacle and First National Bank (Altavista, Virginia) (“First National Bank” or the “Bank”), Pinnacle’s wholly-owned banking subsidiary, 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 Pinnacle and the First National Bank’s category. On October 30, 2020, Pinnacle completed the acquisition of Virginia Bank Bankshares, Inc. (“Virginia Bank”) and its banking subsidiary, Virginia Bank and Trust Company (Danville, Virginia), for an aggregate purchase price of $23,199 of cash and stock. Additional information about this merger is presented in Note 12.] The following is a summary of the more significant accounting policies and practices: (a) Consolidation The condensed consolidated financial statements include the accounts of Pinnacle and First National Bank. All material intercompany balances and transactions have been eliminated. (b) Use of Estimates In preparing the condensed consolidated financial statements in accordance with GAAP, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities as of the dates of the condensed consolidated balance sheets and revenues and expenses for the nine months ended September 30, 2020. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant changes in the near term relate to the determination of the allowance for loan losses, payments/obligations under benefit and pensions plans, other real estate owned and fair value of investments. In the opinion of management, all adjustments, consisting only of normal recurring adjustments, which are necessary for a fair presentation of the results of operations in these condensed consolidated financial statements, have been made. The outbreak of the novel coronavirus and the resulting COVID-19 illness has caused a significant disruption in economic activity worldwide, and Pinnacle expects that it may have a significant impact on businesses and consumers in its market areas and on its results of operations. It is unknown how long these conditions will last and what the ultimate financial impact will be to Pinnacle. ( c ) Borrowings As of September 30, 2020 and December 31, 2019, Pinnacle’s available borrowing limit with the FHLB was approximately $137,722 and $117,198, respectively. Pinnacle had $0 in borrowings from the FHLB outstanding at September 30, 2020. Pinnacle also has a $5,000 line of credit commitment of which $5,000 is currently available. The line of credit is secured by the authorized capital stock of First National Bank with a correspondent bank. The line of credit had $0 outstanding as of September 30, 2020 and December 31, 2019. On September 21, 2020, Pinnacle completed a private placement of $8,000 in fixed-to-floating rate subordinated notes due 2030 (the “ Notes (d) Pinnacle recognizes revenue from contracts with customers. Noninterest revenue streams such as service charges on deposit accounts and commissions and fees are recognized in accordance with Accounting Standards Codification (“ASC”) Topic 606. Topic 606 does not apply to revenue associated with financial instruments, including revenue from loans, securities and mortgage banking. In addition, certain noninterest income streams such as financial guarantees, derivatives, and certain credit card fees are outside the scope of the guidance. Noninterest revenue streams within the scope of Topic 606 are discussed below. Service Charges on Deposit Accounts Service charges on deposit accounts consist of monthly service fees, overdraft and nonsufficient funds fees, and VISA debit card interchange fees. Pinnacle’s performance obligation for monthly service fees is generally satisfied, and the related revenue recognized, over the period in which the service is provided. Payment for service charges on deposit accounts is primarily received immediately or at the end of each month through a direct charge to customers’ accounts. Overdraft and nonsufficient funds fees and other deposit account related fees are transactional based, and therefore, Pinnacle’s performance obligation is satisfied, and related revenue recognized, at a point in time when the service is delivered. Debit card fees are primarily comprised of interchange fee income. Interchange fees are earned whenever Pinnacle’s debit cards are processed through the Visa network. Pinnacle’s performance obligation for interchange fee income is satisfied, and related revenue recognized, when the services are rendered or upon completion. Payment is typically received immediately or in the following month. Interchange income for vendors using terminals Pinnacle has sold and commissions from VISA related to Pinnacle’s principal status are also included in other operating income. Pinnacle’s performance obligation is satisfied, and the related revenue recognized, when the commissions or fees are earned and are generally based on a percentage of activity. Commissions and Fees Commissions and fees consists of commissions received on investment product and insurance policies sales. For insurance sales, Pinnacle acts as an intermediary between Pinnacle’s customer and the insurance carrier or Bankers Insurance, LLC. Pinnacle’s performance obligation is satisfied upon the issuance of the insurance policy. Pinnacle retains a certain percentage of the policy premium for each policy sold. Investment commissions consists of recurring revenue streams such as commissions from sales of mutual funds and other investments. Commissions from the sale of investments are recognized on trade date, which is when Pinnacle has satisfied its performance obligation. Commissions and fees that total $475 and $485 for the nine month periods ended September 30, 2020 and 2019, respectively, on the condensed consolidated statements of operations includes $148 and $126 in loan late fees that are out-of-scope of Topic 606. Commissions and fees that total $167 and $133 for the three month periods ended September 30, 2020 and 2019, respectively, on the condensed consolidated statements of operations includes $53 and $40 in loan late fees that are out-of-scope of Topic 606. Other Operating Income Included in other operating income are various transaction based revenue streams such as wire transfer fees, foreign ATM fees, ACH origination fees, cashier check fees and miscellaneous services provided such as assistance with balancing a customer’s checking account or making copies. Each of these fees are transactional based, and therefore, Pinnacle’s performance obligation is satisfied, and related revenue recognized, at a point in time when the service is delivered. The following presents noninterest income, segregated by revenue streams in-scope and out-of-scope of Topic 606, for the three and nine months ended September 30, 2020 and 2019, respectively: Three Months Ended Three Months Ended Nine Months Ended Nine Months Ended September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 Non-interest Income In-scope of Topic 606: Service charges on deposit accounts $ 506 $ 482 $ 1,442 $ 1,420 Commissions and fees 114 93 327 281 Other operating income 167 151 509 497 Non-interest Income (in-scope of Topic 606) $ 787 $ 726 $ 2,278 $ 2,198 Non-interest Income (out-of-scope of Topic 606) 520 414 1,568 1,210 $ 1,307 $ 1,140 $ 3,846 $ 3,408 ( e ) Net Income per Share Basic net income per share excludes dilution and is computed by dividing income available to common stockholders by the weighted-average number of common shares outstanding for the period. Diluted net income per share reflects the potential dilution that could occur if securities or other contracts to issue common stock that are not anti-dilutive were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the earnings of Pinnacle. The following is a reconciliation of the numerators and denominators of the basic and diluted net income per share computations for the periods indicated: Net income Shares Per share Three months ended September 30, 2020 (numerator) (denominator) amount Basic net income per share $ 460 1,562,292 $ 0.29 Effect of dilutive stock options — 2,196 Diluted net income per share $ 460 1,564,488 $ 0.29 Net income Shares Per share Three months ended September 30, 2019 (numerator) (denominator) amount Basic net income per share $ 1,043 1,551,626 $ 0.67 Effect of dilutive stock options — 9,872 Diluted net income per share $ 1,043 1,561,498 $ 0.67 Net income Shares Per share Nine months ended September 30, 2020 (numerator) (denominator) amount Basic net income per share $ 1,575 1,558,732 $ 1.01 Effect of dilutive stock options — 3,453 Diluted net income per share $ 1,575 1,562,185 $ 1.01 Net income Shares Per share Nine months ended September 30, 2019 (numerator) (denominator) amount Basic net income per share $ 3,712 1,548,384 $ 2.40 Effect of dilutive stock options — 9,965 Diluted net income per share $ 3,712 1,558,349 $ 2.38 ( f ) Condensed Consolidated Statements of Cash Flows For purposes of the condensed consolidated statements of cash flows, cash and cash equivalents include cash on hand, amounts due from banks (with original maturities of three months or less), and federal funds sold. Generally, federal funds are purchased and sold for one‑day periods. ( g ) Current Accounting Developments For each of the accounting pronouncements that affect the Company, the Company elected to follow the rule that allows companies engaging in an initial public offering as an Emerging Growth Company to follow the private company implementation dates. In January 2016, the Financial Accounting Standards Board (“FASB”) Accounting Standards Update (“ASU”) 2016-01, Financial Instruments – Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities. Technical Corrections and Improvements to Financial Instruments – Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) Leases (Topic 842): Targeted Improvements Financial Instruments – Credit Losses (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842) In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326):Measurement of Credit Losses on Financial Instruments Codification Improvements to Topic 326, Financial Instruments – Credit Losses Financial Instruments – Credit Losses (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842) In March 2017, the FASB issued ASU No. 2017-08, Receivables – Nonrefundable Fees and Other Costs (Subtopic 310-20) – Premium Amortization on Purchased Callable Debt Securities In July 2017, FASB issued ASU 2017-11, Earnings Per Share (Topic 260); Distinguishing Liabilities from Equity (Topic 480); Derivatives and Hedging (Topic 815 ): (Part I) Accounting for Certain Financial Instruments with Down Round Features, (Part II) Replacement of the Indefinite Deferral for Mandatorily Redeemable Financial Instruments of Certain Nonpublic Entities and Certain Mandatorily Redeemable Noncontrolling Interests with a Scope Exception In June 2018, the FASB issued ASU 2018-07, Compensation – Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting,” which expands the scope of Topic 718 In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement. in this ASU modify the disclosure requirements on fair value measurement in Topic 820, Fair Value Measurement, based on the ideas in the Concepts Statements, including the consideration of costs and benefits. The amendments in this ASU are effective for all entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. In April 2019, the FASB issued ASU 2019-04, Codification Improvements to Topic 326, Financial Instruments—Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments. In May 2019, the FASB issued ASU 2019-05, Financial Instruments—Credit Losses (Topic 326): Targeted Transition Relief

Restrictions on Cash

Restrictions on Cash	9 Months Ended
	Sep. 30, 2020
Restricted Cash And Investments [Abstract]
Restrictions on Cash	(2) Restrictions on Cash To comply with Federal Reserve regulations, Pinnacle is required to maintain certain average reserve balances; however, due to the COVID-19 pandemic, the daily average reserve requirement for the week including September 30, 2020 was $0. The daily average reserve requirement for the week including December 31, 2019 was $5,892.

Securities

Securities	9 Months Ended
	Sep. 30, 2020
Investments [Abstract]
Securities	(3) Securities The amortized costs, gross unrealized gains, gross unrealized losses and fair values for securities as of September 30, 2020 are as follows: September 30, 2020 Gross Gross Amortized unrealized unrealized Fair Available-for-Sale costs gains losses values U.S. Treasury securities and obligations of U.S. Government corporations and agencies $ 2,701 99 — 2,800 Obligations of states and political subdivisions 10,657 742 — 11,399 Mortgage-backed securities – government 29,497 722 (90 ) 30,129 Total available-for-sale $ 42,855 1,563 (90 ) 44,328 September 30, 2020 Gross Gross Amortized unrealized unrealized Fair Held-to-Maturity costs gains losses values Obligations of states and political subdivisions $ 500 1 — 501 December 31, 2019 Gross Gross Amortized unrealized unrealized Fair Available-for-Sale costs gains losses values U.S. Treasury securities and obligations of U.S. Government corporations and agencies $ 5,986 30 (15 ) 6,001 Obligations of states and political subdivisions 8,897 370 — 9,267 Mortgage-backed securities – government 27,984 179 (237 ) 27,926 Total available-for-sale $ 42,867 579 (252 ) 43,194 December 31, 2019 Gross Gross Amortized unrealized unrealized Fair Held-to-Maturity costs gains losses values Obligations of states and political subdivisions $ 1,764 16 — 1,780 The following table shows the gross unrealized losses and fair value of Pinnacle’s investments, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, as of September 30, 2020: Less than 12 months More than 12 months Total Gross Gross Gross Gross Fair unrealized Fair unrealized Fair unrealized Description of Securities value losses value losses value losses U.S. Treasury securities and obligations of U.S. Government corporations and agencies $ — — — — — — Obligations of states and political subdivisions — — — — — — Mortgage-backed securities-government 4,372 26 8,100 64 12,472 90 Total $ 4,372 26 8,100 64 12,472 90 Pinnacle does not consider the unrealized losses other-than-temporary losses based on the volatility of the securities market price involved, the credit quality of the securities, and Pinnacle’s ability, if necessary, to hold the securities until maturity. As of September 30, 2020, the securities included 6 bonds that had continuous losses for less than 12 months and 22 bonds that had continuous losses for more than 12 months. There were no realized gains and losses in the first nine months of 2020. The following table shows the gross unrealized losses and fair value of Pinnacle’s investments, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, as of December 31, 2019: Less than 12 months More than 12 months Total Gross Gross Gross Gross Fair unrealized Fair unrealized Fair unrealized Description of Securities value losses value losses value losses U.S. Treasury securities and obligations of U.S. Government corporations and agencies $ 1,457 9 995 6 2,452 15 Obligations of states and political subdivisions — — — — — — Mortgage-backed securities-government 9,482 80 11,175 157 20,657 237 Total $ 10,939 89 12,170 163 23,109 252 For 2019, the securities included 15 bonds that had continuous losses for less than 12 months and 28 bonds that had continuous losses for more than 12 months. There were $2 in net realized losses on securities sold in 2019. The amortized costs and fair values of available‑for‑sale and held‑to‑maturity securities as of September 30, 2020 and December 31, 2019, by contractual maturity, are shown below. Actual maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. September 30, 2020 Available-for-Sale Held-to-Maturity Amortized Fair Amortized Fair costs values costs values Due in one year or less $ 998 1,001 500 501 Due after one year through five years 1,628 1,723 — — Due after five years through ten years 8,072 8,761 — — Due after ten years 2,660 2,714 — — 13,358 14,199 500 501 Mortgage-backed securities 29,497 30,129 — — Totals 42,855 44,328 500 501 December 31, 2019 Available-for-Sale Held-to-Maturity Amortized Fair Amortized Fair costs values costs values Due in one year or less $ 1,997 2,001 1,264 1,273 Due after one year through five years 3,128 3,171 500 507 Due after five years through ten years 8,453 8,784 — — Due after ten years 1,305 1,312 — — 14,883 15,268 1,764 1,780 Mortgage-backed securities 27,984 27,926 — — Totals $ 42,867 43,194 1,764 1,780 Securities with amortized costs of approximately $5,108 (fair value of $5,374) as of September 30, 2020, were pledged as collateral for public deposits. Securities with amortized costs of approximately $7,456 (fair value of $7,464) as of December 31, 2019, were pledged as collateral for public deposits.

Loans, Allowance for Loan Losse

Loans, Allowance for Loan Losses and Credit Quality	9 Months Ended
	Sep. 30, 2020
Loans And Leases Receivable Disclosure [Abstract]
Loans, Notes, Trade and Other Receivables Disclosure	(4) Loans, Allowance for Loan Losses and Credit Quality A summary of loans as of September 30, 2020 and December 31, 2019 follows: September 30, 2020 December 31, 2019 Real estate loans: Residential-mortgage $ 111,584 $ 116,139 Residential-construction 6,042 6,250 Commercial 116,797 110,277 Loans to individuals for household, family and other consumer expenditures 107,021 99,318 Commercial and industrial loans 79,276 61,536 Total loans, gross 420,720 393,520 Less unearned income and fees (707 ) (199 ) Loans, net of unearned income and fees 420,013 393,321 Less allowance for loan losses (3,528 ) (3,472 ) Loans, net $ 416,485 $ 389,849 Beginning in April 2020, Pinnacle originated loans under the Paycheck Protection Program (“PPP”) of the Small Business Administration (“SBA”). PPP loans are fully guaranteed by the SBA, and in some cases borrowers may be eligible to obtain forgiveness of the loans, in which case loans would be repaid by the SBA. As repayment of the PPP loans is guaranteed by the SBA, Pinnacle does not recognize a reserve for PPP loans in its allowance for loan losses. Pinnacle received fees from the SBA of one percent to five percent of the principal amount of each loan originated under the PPP. Fees received from the SBA are recognized net of direct origination costs in interest income over the life of the related loans. Recognition of fees related to PPP loans is dependent upon the timing of ultimate repayment or forgiveness. In the normal course of business, the First National Bank has made loans to executive officers and directors. As of September 30, 2020, loans to executive officers and directors totaled $303 as compared to $383 as of December 31, 2019. During the first nine months of 2020, one new consumer loan was made to a director per Regulation O totaling $25. Also, during the first nine months of 2020, one residential-mortgage loan of $270 was made that that was sold to the secondary market. All such loans were made in the ordinary course of business on substantially the same terms and conditions, including interest rates and collateral, as those prevailing at the same time for comparable transactions with unrelated persons, and, in the opinion of management, do not involve more than normal risk of collectability or present other unfavorable features. The fair value of loans, net of unearned income and fees, was $429,865 as of September 30, 2020. The following table presents information on Pinnacle’s allowance for loan losses and recorded investment in loans. The total allowance reflects management’s estimate of loan losses inherent in the loan portfolio at the balance sheet date. While portions of the allowance are attributed to specific portfolio segments, the entire allowance is available to absorb credit losses inherent in the total loan portfolio. The allowance for loan losses for PPP loans guaranteed by SBA were separately evaluated by Pinnacle management. This analysis included the likelihood of loss was remote and therefore there no allowance for loan losses attributed to these loans. Allowance for Loan Losses and Recorded Investment in Loans For the Three Months Ended September 30, 2020 Commercial Commercial Real Estate Consumer Residential Total Allowance for Loan Losses: Beginning balance $ 584 806 1,048 1,056 3,494 Charge-offs — — (37 ) (48 ) (85 ) Recoveries — — 89 1 90 (Recovery of) provision for loan losses (201 ) 275 (120 ) 75 29 Ending Balance 383 1,081 980 1,084 3,528 Allowance: Ending balance: individually evaluated for impairment — — — — — Ending balance: collectively evaluated for impairment $ 383 1,081 980 1,084 3,528 Commercial Commercial Real Estate Consumer Residential Total Loans: Total loans ending balance $ 79,276 116,797 107,021 117,626 420,720 Ending balance: individually evaluated for impairment — 611 — 948 1,559 Ending balance: collectively evaluated for impairment $ 79,276 $ 116,186 $ 107,021 $ 116,678 $ 419,161 Allowance for Loan Losses and Recorded Investment in Loans For the Nine Months Ended September 30, 2020 Commercial Commercial Real Estate Consumer Residential Total Allowance for Loan Losses: Beginning balance $ 440 1,087 937 1,008 3,472 Charge-offs — — (393 ) (49 ) (442 ) Recoveries 1 — 252 8 261 (Recovery of) provision for loan losses (58 ) (6 ) 184 117 237 Ending Balance $ 383 $ 1,081 $ 980 $ 1,084 3,528 Allowance: Ending balance: individually evaluated for impairment — — — — 0 Ending balance: collectively evaluated for impairment $ 383 1,081 980 1,084 3,528 Commercial Commercial Real Estate Consumer Residential Total Loans: Total loans ending balance $ 79,276 116,797 107,021 117,626 420,720 Ending balance: individually evaluated for impairment — 611 — 948 1,559 Ending balance: collectively evaluated for impairment $ 79,276 $ 116,186 $ 107,021 $ 116,678 $ 419,161 Allowance for Loan Losses and Recorded Investment in Loans For the Three Months Ended September 30, 2019 Commercial Commercial Real Estate Consumer Residential Total Allowance for Loan Losses: Beginning balance $ 650 909 1,001 796 3,356 Charge-offs — — (109 ) — (109 ) Recoveries 1 — 84 3 88 (Recovery of) provision for loan losses (27 ) 117 (101 ) 165 154 Ending Balance $ 624 1,026 875 964 3,489 Allowance: Ending balance: individually evaluated for impairment — — — — — Ending balance: collectively evaluated for impairment $ 624 1,026 875 964 3,489 Commercial Commercial Real Estate Consumer Residential Total Loans: Total loans ending balance $ 58,955 113,354 100,068 119,226 391,603 Ending balance: individually evaluated for impairment — — 57 1,256 1,313 Ending balance: collectively evaluated for impairment $ 58,955 113,354 100,011 117,970 390,290 Allowance for Loan Losses and Recorded Investment in Loans For the Nine Months Ended September 30, 2019 Commercial Commercial Real Estate Consumer Residential Total Allowance for Loan Losses: Beginning balance $ 518 1,035 834 985 3,372 Charge-offs (2 ) — (391 ) (58 ) (451 ) Recoveries 15 81 232 89 417 Provision for (recovery of) loan losses 93 (90 ) 200 (52 ) 151 Ending Balance $ 624 1,026 875 964 3,489 Allowance: Ending balance: individually evaluated for impairment — — — — — Ending balance: collectively evaluated for impairment $ 624 1,026 875 964 3,489 Commercial Commercial Real Estate Consumer Residential Total Loans: Total loans ending balance $ 58,955 113,354 100,068 119,226 391,603 Ending balance: individually evaluated for impairment — — 57 1,256 1,313 Ending balance: collectively evaluated for impairment $ 58,955 113,354 100,011 117,970 390,290 Allowance for Loan Losses and Recorded Investment in Loans For the Year Ended December 31, 2019 Commercial Commercial Real Estate Consumer Residential Total Allowance for Loan Losses: Beginning balance $ 518 1,035 834 985 3,372 Charge-offs (3 ) — (538 ) (68 ) (609 ) Recoveries 78 1 303 170 552 (Recovery of) provision for loan losses (153 ) 51 338 (79 ) 157 Ending Balance $ 440 1,087 937 1,008 3,472 Allowance: Ending balance: individually evaluated for impairment — — — — — Ending balance: collectively evaluated for impairment $ 440 1,087 937 1,008 3,472 Commercial Commercial Real Estate Consumer Residential Total Loans: Total loans ending balance $ 61,536 110,277 99,318 122,389 393,520 Ending balance: individually evaluated for impairment — 149 124 985 1,258 Ending balance: collectively evaluated for impairment $ 61,536 110,128 99,194 121,404 392,262 Pinnacle utilizes a risk rating matrix to assign a risk grade to each of its loans. A description of the general characteristics of the risk grades is as follows: Pass – These loans have minimal and acceptable credit risk. Special Mention – These loans have potential weaknesses that deserve management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan at some future date. Substandard – These loans are inadequately protected by the net worth or paying capacity of the obligor or collateral pledged, if any. Loans classified as substandard must have a well-defined weakness, or weaknesses, that jeopardize the liquidation of the debt. A substandard loan is characterized by the distinct probability that Pinnacle will sustain some loss if the deficiencies are not corrected. Doubtful – These loans have all of the weakness inherent in one classified as substandard with the added characteristic that the weaknesses make collection liquidation in full, on the basis of the currently existing facts, conditions and values, highly questionable and improbable. The following table illustrates Pinnacle’s credit quality indicators: Credit Quality Indicators As of September 30, 2020 Commercial Credit Exposure Commercial Real Estate Consumer Residential Total Pass $ 78,736 $ 114,939 $ 106,974 $ 115,785 $ 416,434 Special Mention 416 1,032 — 474 1,922 Substandard 124 826 47 1,367 2,364 Doubtful — — — — — Total $ 79,276 116,797 107,021 117,626 420,720 Credit Quality Indicators As of December 31, 2019 Commercial Credit Exposure Commercial Real Estate Consumer Residential Total Pass $ 61,308 109,249 99,226 120,731 390,514 Special Mention 72 147 — 479 698 Substandard 156 881 92 1,179 2,308 Doubtful — — — — — Total $ 61,536 110,277 99,318 122,389 393,520 The following table represents an age analysis of Pinnacle’s past due loans: Age Analysis of Past Due Loans As of September 30, 2020 Recorded Investment 30-59 Days 60-89 Days Greater Than Total Past Total 90 Days and Past Due Past Due 90 Days Due Current Loans Accruing Commercial $ — — — — 79,276 79,276 — Commercial real estate — — 611 611 116,186 116,797 — Consumer 89 — — 89 106,932 107,021 — Residential 282 — 759 1,041 116,585 117,626 — Total $ 371 — 1,370 1,741 418,979 420,720 — Age Analysis of Past Due Loans As of December 31, 2019 Recorded Investment 30-59 Days 60-89 Days Greater Than Total Past Total 90 Days and Past Due Past Due 90 Days Due Current Loans Accruing Commercial $ — — — — 61,536 61,536 — Commercial real estate — — 149 149 110,128 110,277 — Consumer 157 — 124 281 99,037 99,318 — Residential 61 — 862 923 121,466 122,389 — Total $ 218 — 1,135 1,353 392,167 393,520 — The following table presents information on Pinnacle’s impaired loans and their related allowance for loan losses: Impaired Loans As of September 30, 2020 Unpaid Average Interest Recorded Principal Related Recorded Income Investment Balance Allowance Investment Recognized With no related allowance recorded: Commercial $ — — — — — Commercial real estate 611 611 — 380 — Consumer — — — 77 — Residential 948 948 — 967 2 With related allowance recorded: Commercial $ — — — — — Commercial real estate — — — — — Consumer — — — — — Residential — — — 66 — Total: Commercial — — — — — Commercial real estate 611 611 — 380 — Consumer — — — 77 — Residential $ 948 948 33 1,033 2 Total $ 1,559 1,559 33 1,490 2 Impaired Loans As of December 31, 2019 Unpaid Average Interest Recorded Principal Related Recorded Income Investment Balance Allowance Investment Recognized With no related allowance recorded: Commercial $ — — — — — Commercial real estate 149 149 — 75 — Consumer 124 124 — 69 — Residential 985 985 — 1,039 7 Total: Commercial — — — — — Commercial real estate 149 149 — 75 — Consumer 124 124 — 69 — Residential $ 985 985 — 1,039 7 Total $ 1,258 1,258 — 1,183 7 The following presents information on Pinnacle’s nonaccrual loans: Loans in Nonaccrual Status As of September 30, 2020 December 31, 2019 Commercial $ — — Commercial real estate 611 149 Consumer — 124 Residential 759 862 Total $ 1,370 1,135 Pinnacle had two restructured loans totaling $189 as of September 30, 2020. All of these restructured loans constituted troubled debt restructurings as of September 30, 2020. There were no additional commitments to extend credit related to these troubled debt restructurings that were outstanding as of September 30, 2020 . Pinnacle offers a variety of modifications to borrowers. The modification categories offered can generally be described in the following categories. Rate Modification is a modification in which the interest rate is changed. Term Modification is a modification in which the maturity date, timing of payments or frequency of payments is changed. Interest Only Modification is a modification in which the loan is converted to interest only payments for a period of time. Payment Modification is a modification in which the dollar amount of the payment is changed, other than an interest only modification described above. Combination Modification is any other type of modification, including the restructuring of two or more loan terms through the use of multiple categories above. Section 413 of the CARES Act provides that a qualified loan modification is exempt by law from classification as a TDR as defined by GAAP, from the period beginning March 1, 2020 until the earlier of December 31, 2020 or the date that is 60 days after the date on which the national emergency concerning the COVID-19 outbreak declared by the President of the United States under the National Emergencies Act terminates. Accordingly, we are offering short-term modifications made in response to COVID-19 to borrowers who are current and otherwise not past due. These include short-term, 180 days or less, modifications in the form of payment deferrals, fee waivers, extension of repayment terms, or other delays in payments that are insignificant. The loans that receive these short-term modifications are not included in the Company’s balances of restructured loans or troubled debt restructurings. The following tables present troubled debt restructurings as of September 30, 2020 and December 31, 2019: September 30, 2020 Accrual Status Non-Accrual Status Total Troubled Debt Restructuring Commercial $ — — — Commercial real estate — — — Consumer — — — Residential 189 — 189 Total $ 189 — 189 December 31, 2019 Accrual Status Non-Accrual Status Total Troubled Debt Restructuring Commercial $ — — — Commercial real estate — — — Consumer — — — Residential 123 68 191 Total $ 123 68 191 For the three and nine months periods ended September 30, 2020 and September 30, 2019, Pinnacle had no new troubled debt restructures and no troubled debt restructures experienced payment defaults.

Deposits

Deposits	9 Months Ended
	Sep. 30, 2020
Deposits [Abstract]
Deposits	( 5 ) Deposits A summary of deposits as of September 30, 2020 and December 31, 2019: September 30, 2020 December 31, 2019 Noninterest-bearing demand deposits $ 130,336 $ 110,419 Interest-bearing: Savings and money market accounts 192,079 161,279 NOW accounts 95,971 83,662 Time deposits – under $250,000 88,429 87,278 Time deposits – $250,000 and over 6,642 7,645 Total interest-bearing deposits 383,121 339,864 Total deposits $ 513,457 $ 450,283 In the normal course of business, the First National Bank has received deposits from executive officers and directors. As of September 30, 2020 and December 31, 2019, deposits from executive officers and directors were approximately $16,375 and $2,145, respectively. All such deposits were received in the ordinary course of business on substantially the same terms and conditions, including interest rates, as those prevailing at the same time for comparable transactions with unrelated persons. The fair value of deposits was $492,882 as of September 30, 2020 and $410,213 as of December 31, 2019.

Employee Benefit Plans

Employee Benefit Plans	9 Months Ended
	Sep. 30, 2020
Compensation And Retirement Disclosure [Abstract]
Employee Benefit Plans	( 6 ) Employee Benefit Plans First National Bank maintains a noncontributory defined benefit pension plan that covers substantially all of its employees. Benefits are computed based on employees’ average final compensation and years of credited service. Pension expenses amounted to approximately $190 and $123 in the third quarter of 2020 and 2019, respectively. Pension expenses amounted to approximately $568 and $370 in the first nine months of 2020 and 2019, respectively. The components of net pension benefit cost under the plan for the three and nine months ended September 30, 2020 and 2019 is summarized as follows: Pension Benefits Three Months Ended Three Months Ended Nine Months Ended Nine Months Ended September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 Service cost $ 201 142 $ 603 426 Interest cost 97 91 290 273 Expected return on plan assets (152 ) (132 ) (456 ) (396 ) Net loss due to settlement — — — — Recognized net actuarial loss 44 22 131 67 Net pension benefit cost $ 190 123 $ 568 370

Financial Instruments with Off-

Financial Instruments with Off-Balance-Sheet Risk	9 Months Ended
	Sep. 30, 2020
Risks And Uncertainties [Abstract]
Financial Instruments with Off Balance Sheet Risk	( 7 ) Financial Instruments with Off‑Balance‑Sheet Risk Pinnacle 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 mortgage sale lock commitments, commitments to extend credit and standby letters of credit. These instruments may involve, to varying degrees, credit risk in excess of the amount recognized in the balance sheets. The contract amounts of these instruments reflect the extent of involvement First National Bank has in particular classes of financial instruments. Credit risk is defined as the possibility of sustaining a loss because the other parties to a financial instrument fail to perform in accordance with the terms of the contract. Pinnacle’s maximum exposure to credit loss under commitments to extend credit and standby letters of credit is represented by the contractual amount of these instruments. Pinnacle uses the same credit policies in making commitments and conditional obligations as it does for on‑balance‑sheet instruments. Pinnacle requires collateral to support financial instruments when it is deemed necessary. First National Bank evaluates such customers’ creditworthiness on a case‑by‑case basis. The amount of collateral obtained upon extension of credit is based on management’s credit evaluation of the counterparty. Collateral may include deposits held in financial institutions, U.S. Treasury securities, other marketable securities, real estate, accounts receivable, inventory, and property, plant and equipment. Financial instruments whose contract amounts represent credit risk: Contract amounts at September 30, 2020 December 31, 2019 Commitments to extend credit $ 96,546 $ 79,001 Standby letters of credit $ 6,365 $ 5,074 In the ordinary course of business, Pinnacle may enter into mortgage rate lock commitments that are subsequently funded by Pinnacle. Pinnacle then sells the mortgage loan to a secondary market bank that had underwritten the mortgage loan before Pinnacle funded the loan. The secondary market bank pays a fee that was agreed upon on the lock commitment date to Pinnacle and buys the loan within five days of the initial funding by Pinnacle. 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 many of the commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. Standby letters of credit are conditional commitments issued by First National Bank to guarantee the performance of a customer to a third party. These guarantees are primarily issued to support public and private borrowing arrangements, including bond financing and similar transactions. Unless renewed, substantially all of Pinnacle’s standby letters of credit commitments as of September 30, 2020 will expire within one year. Management does not anticipate any material losses as a result of these transactions. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loans to customers.

Concentrations of Credit Risk a

Concentrations of Credit Risk and Contingencies	9 Months Ended
	Sep. 30, 2020
Description Of Credit Risk Related Contingent Features [Abstract]
Concentrations of Credit Risk and Contingencies	( 8 ) Concentrations of Credit Risk and Contingencies Pinnacle grants commercial, residential and consumer loans to customers primarily in the central Virginia area. As a whole, the portfolio is affected by general economic conditions in the central Virginia region. Pinnacle’s commercial and real estate loan portfolios are diversified, with no significant concentrations of credit other than the geographic focus on the central Virginia region. The installment loan portfolio consists of consumer loans primarily for automobiles and other personal property. Overall, Pinnacle’s loan portfolio is diversified and is not concentrated within a single industry or group of industries, the loss of any one or more of which would generate a materially adverse impact on the business of Pinnacle. Pinnacle has established operating policies relating to the credit process and collateral in loan originations. Loans to purchase real and personal property are generally collateralized by the related property. Credit approval is primarily based on the creditworthiness of the borrower, the ability to repay and the value of the collateral pledged. At times, Pinnacle may have cash and cash equivalents at a financial institution in excess of insured limits. Pinnacle places its cash and cash equivalents with high credit quality financial institutions whose credit rating and financial condition is monitored by management to minimize credit risk. In the ordinary course of business, various claims and lawsuits are brought by and against Pinnacle. In the opinion of management, there is no pending or threatened proceeding in which an adverse decision could result in a material adverse change in Pinnacle’s consolidated financial condition or results of operations.

Dividend Restrictions and Capit

Dividend Restrictions and Capital Requirements	9 Months Ended
	Sep. 30, 2020
Regulatory Capital Requirements [Abstract]
Dividend Restrictions and Capital Requirements	( 9 ) Dividend Restrictions and Capital Requirements Pinnacle’s principal source of funds for dividend payments is dividends received from the Bank. For three months ended September 30, 2020 and September 30, 2019, dividends from the Bank totaled $794 and $248, respectively. For nine months ended September 30, 2020 and September 30, 2019, dividends from the Bank totaled $1,921 and $733 respectively. Substantially all of Pinnacle’s retained earnings consist of undistributed earnings of the Bank, which are restricted by various regulations administered by federal banking regulatory agencies. Under applicable federal laws, the Comptroller of the Currency restricts, without prior approval, the total dividend payments of First National Bank in any calendar year to the net profits of that year, as defined, combined with the retained net profits for the two preceding years. Pinnacle and First National 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 Pinnacle’s consolidated financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, Pinnacle and First National Bank must meet specific capital guidelines that involve quantitative measures of their assets, liabilities and certain off‑balance‑sheet items as calculated under regulatory accounting practices. Pinnacle and First National Bank’s capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings and other factors. Beginning January 1, 2015, Pinnacle and First National Bank became subject to the Basel III Capital Rules. In addition, a new ratio, Common Equity Tier 1 or “CET 1” Risk-Based Capital Ratio, is now measured and monitored. Pinnacle and First National Bank's actual regulatory capital amounts and ratios as of September 30, 2020, are listed below: Regulatory Capital Ratios as of September 30, 2020 Pinnacle Consolidated First National Bank Amount Ratio Amount Ratio Total Risk-Based Capital Ratio (to Risk Weighted Assets) $ 52,468 12.81 % $ 51,062 12.51 % CET 1 Risk Based Capital Ratio (to Risk Weighted Assets) $ 48,940 11.95 % $ 47,534 11.65 % Tier 1 Risk-Based Capital Ratio (to Risk Weighted Assets) $ 48,940 11.95 % $ 47,534 11.65 % Tier 1 Leverage Capital Ratio (to Average Assets) $ 48,940 8.63 % $ 47,534 8.40 % The Basel III Capital Rules limit capital distributions and certain discretionary bonus payments if the banking organization does not hold a “capital conservation buffer” consisting of 2.50% of CET1 capital, Tier 1 capital and total capital to risk weighted assets in addition to the amount necessary to meet minimum risk-based capital requirements. The capital conservation buffer was first applied on January 1, 2016, at 0.625% of risk weighted assets, increasing each year until fully implemented at 2.50% on January 1, 2019. Basel III was fully phased in on January 1, 2019 and now requires (i) a minimum ratio of CET1 capital to risk weighted assets of at least 4.50%, plus a 2.50% capital conservation buffer, (ii) a minimum ratio of Tier 1 capital to risk weighted assets of at least 6.00%, plus the capital conservation buffer, (iii) a minimum ratio of total capital to risk weighted assets of at least 8.00%, plus the 2.50% capital conservation buffer and (iv) a minimum leverage ratio of 4.00%. The federal banking agencies have developed a Community Bank Leverage Ratio (the “CBLR”), which is defined as the ratio of a bank’s Tier 1 capital to average total consolidated assets, for banks with assets of less than $10 billion. A qualifying community bank that exceeds this ratio will be deemed to be in compliance with all other capital and leverage requirements, including the capital requirements under the Basel III Capital Rules and the capital requirements to be considered “well capitalized” under Prompt Corrective Action statutes. The federal banking agencies have set the minimum CBLR at 9.0%. A bank can elect to be subject to the CBLR, which First National Bank did beginning with the quarter ended March 31, 2020. The minimum CBLR has been temporarily lowered to 8% beginning for the second quarter of 2020, and will rise to 8.5% for periods during 2020 until returning to 9% beginning January 1, 2022. As of September 30, 2020, First National Bank had a CBLR of 8.40%. First National Bank was considered “well capitalized” as of December 31, 2019 and September 30, 2020. In August 2018, the Board of Governors of the Federal Reserve System updated the Small Bank Holding Company Policy Statement (the “Statement”). The Statement, among other things, exempts qualifying bank holding companies with consolidated assets of less than $3 billion from reporting consolidated regulatory capital ratios and from minimum regulatory capital requirements. Pinnacle expects that it will be treated as a small bank holding company and is not subject to regulatory capital requirements on a consolidated basis. At September 30, 2020, Pinnacle’s regulatory capital ratios exceeded all minimum capital requirements that would have applied to Pinnacle if it were not a small bank holding company.

Disclosures About Fair Value of

Disclosures About Fair Value of Financial Instruments	9 Months Ended
	Sep. 30, 2020
Disclosures About Fair Value Of Financial Instruments [Abstract]
Disclosures about Fair Value of Financial Instruments	(1 0 ) Disclosures about Fair Value of Financial Instruments GAAP requires Pinnacle to disclose estimated fair values of its financial instruments. The following methods and assumptions were used to estimate the approximate fair value of each class of financial instrument for which it is practicable to estimate that value. (a) Securities The fair value of securities is estimated based on bid prices as quoted on national exchanges or bid quotations received from securities dealers. The fair value of certain state and municipal securities is not readily available through market sources other than dealer quotations; so fair value estimates are based on quoted market prices of similar instruments, adjusted for differences between the quoted instruments and the instruments being valued. (b) Loans Fair values are estimated for portfolios of loans with similar financial characteristics. Loans are segregated by type such as commercial, real estate ‑ residential, real estate ‑ commercial, loans to individuals and other loans. Each loan category is further segmented into fixed and adjustable rate interest terms. The fair value of fixed rate loans is calculated by discounting scheduled cash flows through the estimated maturity using estimated market discount rates that reflect the credit and interest rate risk inherent in the loan as well as estimates for prepayments. The estimate of maturity is based on Pinnacle’s historical experience with repayments for each loan classification, modified, as required, by an estimate of the effect of current economic and lending conditions. (c) Deposits The fair value of demand deposits, NOW accounts, and savings deposits is the amount payable on demand. The fair value of fixed maturity time deposits, certificates of deposit is estimated by discounting scheduled cash flows through the estimated maturity using the rates currently offered for deposits or borrowings of similar remaining maturities. ( d ) Commitments to Extend Credit and Standby Letters of Credit The only amounts recorded for commitments to extend credit and standby letters of credit are the deferred fees arising from these unrecognized financial instruments. These deferred fees are not deemed significant as of September 30, 2020 and December 31, 2019, and as such, the related fair values have not been estimated. Fair value estimates are made at a specific point in time, based on relevant market information and information about the financial instrument. These estimates do not reflect any premium or discount that could result from offering for sale at one time Pinnacle’s entire holdings of a particular financial instrument. Because no market exists for a significant portion of Pinnacle’s financial instruments, fair value estimates are based on judgments regarding future expected loss experience, current economic conditions, risk characteristics of various financial instruments and other factors. These estimates are subjective in nature and involve uncertainties and matters of significant judgment and therefore cannot be determined with precision. Changes in assumptions could significantly affect the estimates. Fair value estimates are based on existing on and off‑balance sheet financial instruments without attempting to estimate the value of anticipated funding needs and the value of assets and liabilities that are not considered financial instruments. Significant assets that are not considered financial assets include deferred tax assets and premises and equipment and other real estate owned. In addition, the tax ramifications related to the realization of the unrealized gains and losses can have a significant effect on fair value estimates and have not been considered in the estimates. ( e ) Fair Value Methodologies The following is a description of valuation methodologies used for assets and liabilities recorded at fair value. Available-for-Sale Securities Available-for-sale securities are recorded at fair value on a recurring basis. Fair value measurement is based upon quoted prices, if available, and would in such case be included as a Level 1 asset. As of September 30, 2020 and December 31, 2019, Pinnacle currently carried no Level 1 securities. If quoted prices are not available, valuations are obtained from readily available pricing sources from independent providers for market transactions involving similar assets or liabilities. Pinnacle’s principal market for these securities is the secondary institutional markets, and valuations are based on observable market data in those markets. These would be classified as Level 2 assets. Pinnacle’s entire available-for-sale securities portfolio was classified as Level 2 securities at September 30, 2020 and December 31, 2019. As of September 30, 2020 and December 31, 2019, Pinnacle carried no Level 3 securities for which fair value would be determined using unobservable inputs. Loans Pinnacle does not record loans at fair value on a recurring basis. However, from time to time, a loan is considered impaired and a specific allowance for loan losses is established for that loan. Loans for which it is probable that payment of interest and principal will not be made in accordance with the contractual terms of the loan agreement are considered impaired. Once a loan is identified as individually impaired, management measures impairment in accordance with ASC Topic 360, Impairment of a Loan. Impairment of a Loan Other Real Estate Owned Other real estate owned is adjusted to fair value less estimated selling costs upon transfer of the loans to foreclosed assets. Subsequently, other real estate owned is carried at the lower of carrying value or fair value less estimated selling costs. Fair value is based upon independent market prices, appraised values of the collateral or management’s estimation of the value of the collateral. When the fair value of the collateral is based on observable market price or a current appraised value, Pinnacle records the foreclosed asset as a nonrecurring Level 2 asset. When an appraised value is not available or management determines the fair value of the collateral is further impaired below the appraised value and there is no observable market price, Pinnacle records the other real estate owned as a nonrecurring Level 3 asset. For substantially all of Pinnacle’s other real estate owned as of December 31, 2019, the valuation methodology utilized by Pinnacle was collateral based measurements such as a real estate appraisal and the primary unobservable input was adjustments for differences between the comparable real estate sales. The discount to reflect current market conditions ranged from 0% to 25% for each of the respective periods. The following tables present information about certain assets and liabilities measured at fair value: Fair Value Measurements on September 30, 2020 Description Total Carrying Amount in The Consolidated Balance Sheet Assets/Liabilities Measured at Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Available-for-sale securities $ 44,328 $ 44,328 $ — $ 44,328 $ — Impaired loans (nonrecurring) $ 1,559 $ 1,559 $ — $ — $ 1,559 Other Real Estate Owned (nonrecurring) $ 18 $ 18 $ — $ — $ 18 Fair Value Measurements on December 31, 2019 Description Total Carrying Amount in The Consolidated Balance Sheet Assets/Liabilities Measured at Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Available-for-sale securities $ 43,194 $ 43,194 $ — $ 43,194 $ — Impaired loans (nonrecurring) $ 1,258 $ 1,258 $ — $ — $ 1,258 Other Real Estate Owned (nonrecurring) $ 666 $ 666 $ — $ — $ 666 The following table sets forth a summary of changes in the fair value of Pinnacle’s nonrecurring Level 3 assets for the period ended September 30, 2020 and 2019: Level 3 Assets Level 3 Assets Period Ended September 30, 2020 Period Ended September 30, 2019 Impaired Other Real Impaired Other Real Loans Estate Owned Loans Estate Owned Balance, beginning of the year $ 1,258 666 $ 1,186 627 Purchases, sales, issuances, and settlements (net) 593 (619 ) 151 17 Balance, March 31 $ 1,851 47 $ 1,337 644 Purchases, sales, issuances, and settlements (net) (110 ) (47 ) (215 ) 105 Balance, June 30 $ 1,741 — $ 1,122 749 Purchases, sales, issuances, and settlements (net) (182 ) 18 245 (104 ) Balance, September 30 $ 1,559 18 $ 1,367 645

Parent Company Financial Inform

Parent Company Financial Information	9 Months Ended
	Sep. 30, 2020
Condensed Financial Information Of Parent Company Only Disclosure [Abstract]
Parent Company Financial Information	( 11 ) Parent Company Financial Information Condensed financial information of Pinnacle (“Parent”) is presented below: Condensed Balance Sheets Assets September 30, 2020 December 31, 2020 Cash due from subsidiary $ 8,121 31 Investment in subsidiary, at equity 45,995 44,320 Other assets 1,428 1,141 Total assets $ 55,544 45,492 Liabilities and stockholders' equity Subordinated notes payable $ 8,000 — Other liabilities 143 47 Total liabilities $ 8,143 47 Stockholders' equity Common stock of $3 par value, authorized 3,000,000 shares; issued and outstanding 1,563,922 shares in 2020 and 1,551,339 in 2019 $ 4,575 4,564 Capital surplus 1,581 1,461 Retained earnings 43,324 42,404 Accumulated other comprehensive loss, net (2,079 ) (2,984 ) Total stockholders' equity $ 47,401 45,445 Total liabilities and stockholders' equity $ 55,544 45,492 Condensed Statements of Income Three Months Ended Three Months Ended Nine Months Ended Nine Months Ended September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 Income: Dividends from subsidiary $ 794 248 $ 1,921 733 Equity in undistributed net income of subsidiary 13 827 641 3,105 Total Income 807 1,075 2,562 3,838 Expenses: Other expenses 439 26 1,249 104 Income before income tax benefit 368 1,049 1,313 3,734 Applicable income tax benefit 92 6 262 22 Net income $ 460 1,043 $ 1,575 3,712 Condensed Statements of Cash Flows Nine Months Ended Nine Months Ended September 30, 2020 September 30, 2019 Cash flows from operating activities: Net income $ 1,575 $ 3,712 Adjustments to reconcile net income to net cash provided by operating activities: Equity in undistributed net income of subsidiary (641 ) (3,105 ) (Increase) decrease in other assets (286 ) 22 Net cash provided by operating activities 648 629 Cash flows from financing activities Cash dividends paid (655 ) (633 ) Increase (decrease) in other liabilities 97 (6 ) Proceeds from subordinated notes issued 8,000 - Net cash used in financing activities 7,442 (639 ) Net increase (decrease) in cash from subsidiary 8,090 (10 ) Cash due from subsidiary, beginning of year 31 30 Cash due from subsidiary, end of quarter $ 8,121 $ 20

Subsequent Event.

Subsequent Event.	9 Months Ended
	Sep. 30, 2020
Subsequent Events [Abstract]
Subsequent Event.	(12) Subsequent Event. Pinnacle entered into an agreement with Virginia Bank Bankshares, Inc. (or “Virginia Bank”), effective January 21, 2020 and as amended on June 9, 2020 (as amended, the “Merger Agreement”), which provides for the merger of Virginia Bank with and into Pinnacle (the “Merger”) with Pinnacle surviving the Merger. Under the Merger Agreement, Virginia Bank shareholders had the opportunity to elect to receive either $16.00 of cash (the “Cash Consideration”) or 0.5400 shares of Pinnacle common stock (the “Stock Consideration”) for each share of Virginia Bank common stock held, subject to the limitation that 60% of the shares will be exchanged for the Stock Consideration and 40% of the shares will be exchanged for the Cash Consideration. On October 30, 2020, Pinnacle completed the acquisition of Virginia Bank and its banking subsidiary Virginia Bank and Trust Company for an aggregate purchase price of $23,199 in cash and stock, approximately allocated as $11,751 of Cash Consideration and $11,448 of Stock Consideration. As a result of this transaction, Virginia Bank and Trust Company because a division of Pinnacle’s wholly-owned banking subsidiary, First National Bank. The Merger is being accounted for using the acquisition method of accounting and, accordingly, assets acquired, liabilities assumed and consideration exchanged were recorded at estimated fair values on the acquisition date. Fair values are preliminary and subject to refinement for up to one year after the closing date of the acquisition. Pinnacle’s management is in the process of assessing the assets purchased and the liabilities assumed in the Merger. The financial position and results of operations of Virginia Bank are not reflected in Pinnacle’s financial statements as of September 30, 2019.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies and Practices (Policies)	9 Months Ended
	Sep. 30, 2020
Accounting Policies [Abstract]
Consolidation	(a) Consolidation The condensed consolidated financial statements include the accounts of Pinnacle and First National Bank. All material intercompany balances and transactions have been eliminated.
Use of Estimates	(b) Use of Estimates In preparing the condensed consolidated financial statements in accordance with GAAP, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities as of the dates of the condensed consolidated balance sheets and revenues and expenses for the nine months ended September 30, 2020. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant changes in the near term relate to the determination of the allowance for loan losses, payments/obligations under benefit and pensions plans, other real estate owned and fair value of investments. In the opinion of management, all adjustments, consisting only of normal recurring adjustments, which are necessary for a fair presentation of the results of operations in these condensed consolidated financial statements, have been made. The outbreak of the novel coronavirus and the resulting COVID-19 illness has caused a significant disruption in economic activity worldwide, and Pinnacle expects that it may have a significant impact on businesses and consumers in its market areas and on its results of operations. It is unknown how long these conditions will last and what the ultimate financial impact will be to Pinnacle.
Borrowings	( c ) Borrowings As of September 30, 2020 and December 31, 2019, Pinnacle’s available borrowing limit with the FHLB was approximately $137,722 and $117,198, respectively. Pinnacle had $0 in borrowings from the FHLB outstanding at September 30, 2020. Pinnacle also has a $5,000 line of credit commitment of which $5,000 is currently available. The line of credit is secured by the authorized capital stock of First National Bank with a correspondent bank. The line of credit had $0 outstanding as of September 30, 2020 and December 31, 2019. On September 21, 2020, Pinnacle completed a private placement of $8,000 in fixed-to-floating rate subordinated notes due 2030 (the “ Notes
Revenue Recognition	(d) Pinnacle recognizes revenue from contracts with customers. Noninterest revenue streams such as service charges on deposit accounts and commissions and fees are recognized in accordance with Accounting Standards Codification (“ASC”) Topic 606. Topic 606 does not apply to revenue associated with financial instruments, including revenue from loans, securities and mortgage banking. In addition, certain noninterest income streams such as financial guarantees, derivatives, and certain credit card fees are outside the scope of the guidance. Noninterest revenue streams within the scope of Topic 606 are discussed below. Service Charges on Deposit Accounts Service charges on deposit accounts consist of monthly service fees, overdraft and nonsufficient funds fees, and VISA debit card interchange fees. Pinnacle’s performance obligation for monthly service fees is generally satisfied, and the related revenue recognized, over the period in which the service is provided. Payment for service charges on deposit accounts is primarily received immediately or at the end of each month through a direct charge to customers’ accounts. Overdraft and nonsufficient funds fees and other deposit account related fees are transactional based, and therefore, Pinnacle’s performance obligation is satisfied, and related revenue recognized, at a point in time when the service is delivered. Debit card fees are primarily comprised of interchange fee income. Interchange fees are earned whenever Pinnacle’s debit cards are processed through the Visa network. Pinnacle’s performance obligation for interchange fee income is satisfied, and related revenue recognized, when the services are rendered or upon completion. Payment is typically received immediately or in the following month. Interchange income for vendors using terminals Pinnacle has sold and commissions from VISA related to Pinnacle’s principal status are also included in other operating income. Pinnacle’s performance obligation is satisfied, and the related revenue recognized, when the commissions or fees are earned and are generally based on a percentage of activity. Commissions and Fees Commissions and fees consists of commissions received on investment product and insurance policies sales. For insurance sales, Pinnacle acts as an intermediary between Pinnacle’s customer and the insurance carrier or Bankers Insurance, LLC. Pinnacle’s performance obligation is satisfied upon the issuance of the insurance policy. Pinnacle retains a certain percentage of the policy premium for each policy sold. Investment commissions consists of recurring revenue streams such as commissions from sales of mutual funds and other investments. Commissions from the sale of investments are recognized on trade date, which is when Pinnacle has satisfied its performance obligation. Commissions and fees that total $475 and $485 for the nine month periods ended September 30, 2020 and 2019, respectively, on the condensed consolidated statements of operations includes $148 and $126 in loan late fees that are out-of-scope of Topic 606. Commissions and fees that total $167 and $133 for the three month periods ended September 30, 2020 and 2019, respectively, on the condensed consolidated statements of operations includes $53 and $40 in loan late fees that are out-of-scope of Topic 606. Other Operating Income Included in other operating income are various transaction based revenue streams such as wire transfer fees, foreign ATM fees, ACH origination fees, cashier check fees and miscellaneous services provided such as assistance with balancing a customer’s checking account or making copies. Each of these fees are transactional based, and therefore, Pinnacle’s performance obligation is satisfied, and related revenue recognized, at a point in time when the service is delivered. The following presents noninterest income, segregated by revenue streams in-scope and out-of-scope of Topic 606, for the three and nine months ended September 30, 2020 and 2019, respectively: Three Months Ended Three Months Ended Nine Months Ended Nine Months Ended September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 Non-interest Income In-scope of Topic 606: Service charges on deposit accounts $ 506 $ 482 $ 1,442 $ 1,420 Commissions and fees 114 93 327 281 Other operating income 167 151 509 497 Non-interest Income (in-scope of Topic 606) $ 787 $ 726 $ 2,278 $ 2,198 Non-interest Income (out-of-scope of Topic 606) 520 414 1,568 1,210 $ 1,307 $ 1,140 $ 3,846 $ 3,408
Net Income per Share	( e ) Net Income per Share Basic net income per share excludes dilution and is computed by dividing income available to common stockholders by the weighted-average number of common shares outstanding for the period. Diluted net income per share reflects the potential dilution that could occur if securities or other contracts to issue common stock that are not anti-dilutive were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the earnings of Pinnacle. The following is a reconciliation of the numerators and denominators of the basic and diluted net income per share computations for the periods indicated: Net income Shares Per share Three months ended September 30, 2020 (numerator) (denominator) amount Basic net income per share $ 460 1,562,292 $ 0.29 Effect of dilutive stock options — 2,196 Diluted net income per share $ 460 1,564,488 $ 0.29 Net income Shares Per share Three months ended September 30, 2019 (numerator) (denominator) amount Basic net income per share $ 1,043 1,551,626 $ 0.67 Effect of dilutive stock options — 9,872 Diluted net income per share $ 1,043 1,561,498 $ 0.67 Net income Shares Per share Nine months ended September 30, 2020 (numerator) (denominator) amount Basic net income per share $ 1,575 1,558,732 $ 1.01 Effect of dilutive stock options — 3,453 Diluted net income per share $ 1,575 1,562,185 $ 1.01 Net income Shares Per share Nine months ended September 30, 2019 (numerator) (denominator) amount Basic net income per share $ 3,712 1,548,384 $ 2.40 Effect of dilutive stock options — 9,965 Diluted net income per share $ 3,712 1,558,349 $ 2.38
Condensed Consolidated Statements of Cash Flows	( f ) Condensed Consolidated Statements of Cash Flows For purposes of the condensed consolidated statements of cash flows, cash and cash equivalents include cash on hand, amounts due from banks (with original maturities of three months or less), and federal funds sold. Generally, federal funds are purchased and sold for one‑day periods.
Current Accounting Developments	( g ) Current Accounting Developments For each of the accounting pronouncements that affect the Company, the Company elected to follow the rule that allows companies engaging in an initial public offering as an Emerging Growth Company to follow the private company implementation dates. In January 2016, the Financial Accounting Standards Board (“FASB”) Accounting Standards Update (“ASU”) 2016-01, Financial Instruments – Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities. Technical Corrections and Improvements to Financial Instruments – Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) Leases (Topic 842): Targeted Improvements Financial Instruments – Credit Losses (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842) In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326):Measurement of Credit Losses on Financial Instruments Codification Improvements to Topic 326, Financial Instruments – Credit Losses Financial Instruments – Credit Losses (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842) In March 2017, the FASB issued ASU No. 2017-08, Receivables – Nonrefundable Fees and Other Costs (Subtopic 310-20) – Premium Amortization on Purchased Callable Debt Securities In July 2017, FASB issued ASU 2017-11, Earnings Per Share (Topic 260); Distinguishing Liabilities from Equity (Topic 480); Derivatives and Hedging (Topic 815 ): (Part I) Accounting for Certain Financial Instruments with Down Round Features, (Part II) Replacement of the Indefinite Deferral for Mandatorily Redeemable Financial Instruments of Certain Nonpublic Entities and Certain Mandatorily Redeemable Noncontrolling Interests with a Scope Exception In June 2018, the FASB issued ASU 2018-07, Compensation – Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting,” which expands the scope of Topic 718 In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement. in this ASU modify the disclosure requirements on fair value measurement in Topic 820, Fair Value Measurement, based on the ideas in the Concepts Statements, including the consideration of costs and benefits. The amendments in this ASU are effective for all entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. In April 2019, the FASB issued ASU 2019-04, Codification Improvements to Topic 326, Financial Instruments—Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments. In May 2019, the FASB issued ASU 2019-05, Financial Instruments—Credit Losses (Topic 326): Targeted Transition Relief

Summary of Significant Accoun_3

Summary of Significant Accounting Policies and Practices (Tables)	9 Months Ended
	Sep. 30, 2020
Accounting Policies [Abstract]
Schedule of Non Interest Income Segregated by Revenue	The following presents noninterest income, segregated by revenue streams in-scope and out-of-scope of Topic 606, for the three and nine months ended September 30, 2020 and 2019, respectively: Three Months Ended Three Months Ended Nine Months Ended Nine Months Ended September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 Non-interest Income In-scope of Topic 606: Service charges on deposit accounts $ 506 $ 482 $ 1,442 $ 1,420 Commissions and fees 114 93 327 281 Other operating income 167 151 509 497 Non-interest Income (in-scope of Topic 606) $ 787 $ 726 $ 2,278 $ 2,198 Non-interest Income (out-of-scope of Topic 606) 520 414 1,568 1,210 $ 1,307 $ 1,140 $ 3,846 $ 3,408
Reconciliation of the numerators and denominators of the basic and diluted net income per share computations	The following is a reconciliation of the numerators and denominators of the basic and diluted net income per share computations for the periods indicated: Net income Shares Per share Three months ended September 30, 2020 (numerator) (denominator) amount Basic net income per share $ 460 1,562,292 $ 0.29 Effect of dilutive stock options — 2,196 Diluted net income per share $ 460 1,564,488 $ 0.29 Net income Shares Per share Three months ended September 30, 2019 (numerator) (denominator) amount Basic net income per share $ 1,043 1,551,626 $ 0.67 Effect of dilutive stock options — 9,872 Diluted net income per share $ 1,043 1,561,498 $ 0.67 Net income Shares Per share Nine months ended September 30, 2020 (numerator) (denominator) amount Basic net income per share $ 1,575 1,558,732 $ 1.01 Effect of dilutive stock options — 3,453 Diluted net income per share $ 1,575 1,562,185 $ 1.01 Net income Shares Per share Nine months ended September 30, 2019 (numerator) (denominator) amount Basic net income per share $ 3,712 1,548,384 $ 2.40 Effect of dilutive stock options — 9,965 Diluted net income per share $ 3,712 1,558,349 $ 2.38

Securities (Tables)

Securities (Tables)	9 Months Ended
	Sep. 30, 2020
Investments [Abstract]
Schedule of amortized costs, gross unrealized gains, gross unrealized losses, and fair values for securities	The amortized costs, gross unrealized gains, gross unrealized losses and fair values for securities as of September 30, 2020 are as follows: September 30, 2020 Gross Gross Amortized unrealized unrealized Fair Available-for-Sale costs gains losses values U.S. Treasury securities and obligations of U.S. Government corporations and agencies $ 2,701 99 — 2,800 Obligations of states and political subdivisions 10,657 742 — 11,399 Mortgage-backed securities – government 29,497 722 (90 ) 30,129 Total available-for-sale $ 42,855 1,563 (90 ) 44,328 September 30, 2020 Gross Gross Amortized unrealized unrealized Fair Held-to-Maturity costs gains losses values Obligations of states and political subdivisions $ 500 1 — 501 December 31, 2019 Gross Gross Amortized unrealized unrealized Fair Available-for-Sale costs gains losses values U.S. Treasury securities and obligations of U.S. Government corporations and agencies $ 5,986 30 (15 ) 6,001 Obligations of states and political subdivisions 8,897 370 — 9,267 Mortgage-backed securities – government 27,984 179 (237 ) 27,926 Total available-for-sale $ 42,867 579 (252 ) 43,194 December 31, 2019 Gross Gross Amortized unrealized unrealized Fair Held-to-Maturity costs gains losses values Obligations of states and political subdivisions $ 1,764 16 — 1,780
Schedule of gross unrealized losses and fair value of the Company's investments	The following table shows the gross unrealized losses and fair value of Pinnacle’s investments, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, as of September 30, 2020: Less than 12 months More than 12 months Total Gross Gross Gross Gross Fair unrealized Fair unrealized Fair unrealized Description of Securities value losses value losses value losses U.S. Treasury securities and obligations of U.S. Government corporations and agencies $ — — — — — — Obligations of states and political subdivisions — — — — — — Mortgage-backed securities-government 4,372 26 8,100 64 12,472 90 Total $ 4,372 26 8,100 64 12,472 90 The following table shows the gross unrealized losses and fair value of Pinnacle’s investments, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, as of December 31, 2019: Less than 12 months More than 12 months Total Gross Gross Gross Gross Fair unrealized Fair unrealized Fair unrealized Description of Securities value losses value losses value losses U.S. Treasury securities and obligations of U.S. Government corporations and agencies $ 1,457 9 995 6 2,452 15 Obligations of states and political subdivisions — — — — — — Mortgage-backed securities-government 9,482 80 11,175 157 20,657 237 Total $ 10,939 89 12,170 163 23,109 252
Schedule of amortized costs and fair values of available-for-sale and held-to-maturity securities	The amortized costs and fair values of available‑for‑sale and held‑to‑maturity securities as of September 30, 2020 and December 31, 2019, by contractual maturity, are shown below. Actual maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. September 30, 2020 Available-for-Sale Held-to-Maturity Amortized Fair Amortized Fair costs values costs values Due in one year or less $ 998 1,001 500 501 Due after one year through five years 1,628 1,723 — — Due after five years through ten years 8,072 8,761 — — Due after ten years 2,660 2,714 — — 13,358 14,199 500 501 Mortgage-backed securities 29,497 30,129 — — Totals 42,855 44,328 500 501 December 31, 2019 Available-for-Sale Held-to-Maturity Amortized Fair Amortized Fair costs values costs values Due in one year or less $ 1,997 2,001 1,264 1,273 Due after one year through five years 3,128 3,171 500 507 Due after five years through ten years 8,453 8,784 — — Due after ten years 1,305 1,312 — — 14,883 15,268 1,764 1,780 Mortgage-backed securities 27,984 27,926 — — Totals $ 42,867 43,194 1,764 1,780

Loans, Allowance for Loan Los_2

Loans, Allowance for Loan Losses and Credit Quality (Tables)	9 Months Ended
	Sep. 30, 2020
Loans And Leases Receivable Disclosure [Abstract]
Summary of Loans	A summary of loans as of September 30, 2020 and December 31, 2019 follows: September 30, 2020 December 31, 2019 Real estate loans: Residential-mortgage $ 111,584 $ 116,139 Residential-construction 6,042 6,250 Commercial 116,797 110,277 Loans to individuals for household, family and other consumer expenditures 107,021 99,318 Commercial and industrial loans 79,276 61,536 Total loans, gross 420,720 393,520 Less unearned income and fees (707 ) (199 ) Loans, net of unearned income and fees 420,013 393,321 Less allowance for loan losses (3,528 ) (3,472 ) Loans, net $ 416,485 $ 389,849 The following table represents an age analysis of Pinnacle’s past due loans: Age Analysis of Past Due Loans As of September 30, 2020 Recorded Investment 30-59 Days 60-89 Days Greater Than Total Past Total 90 Days and Past Due Past Due 90 Days Due Current Loans Accruing Commercial $ — — — — 79,276 79,276 — Commercial real estate — — 611 611 116,186 116,797 — Consumer 89 — — 89 106,932 107,021 — Residential 282 — 759 1,041 116,585 117,626 — Total $ 371 — 1,370 1,741 418,979 420,720 — Age Analysis of Past Due Loans As of December 31, 2019 Recorded Investment 30-59 Days 60-89 Days Greater Than Total Past Total 90 Days and Past Due Past Due 90 Days Due Current Loans Accruing Commercial $ — — — — 61,536 61,536 — Commercial real estate — — 149 149 110,128 110,277 — Consumer 157 — 124 281 99,037 99,318 — Residential 61 — 862 923 121,466 122,389 — Total $ 218 — 1,135 1,353 392,167 393,520 —
Allowance for loan Losses and evaluations for impairment	The following table presents information on Pinnacle’s allowance for loan losses and recorded investment in loans. The total allowance reflects management’s estimate of loan losses inherent in the loan portfolio at the balance sheet date. While portions of the allowance are attributed to specific portfolio segments, the entire allowance is available to absorb credit losses inherent in the total loan portfolio. The allowance for loan losses for PPP loans guaranteed by SBA were separately evaluated by Pinnacle management. This analysis included the likelihood of loss was remote and therefore there no allowance for loan losses attributed to these loans. Allowance for Loan Losses and Recorded Investment in Loans For the Three Months Ended September 30, 2020 Commercial Commercial Real Estate Consumer Residential Total Allowance for Loan Losses: Beginning balance $ 584 806 1,048 1,056 3,494 Charge-offs — — (37 ) (48 ) (85 ) Recoveries — — 89 1 90 (Recovery of) provision for loan losses (201 ) 275 (120 ) 75 29 Ending Balance 383 1,081 980 1,084 3,528 Allowance: Ending balance: individually evaluated for impairment — — — — — Ending balance: collectively evaluated for impairment $ 383 1,081 980 1,084 3,528 Commercial Commercial Real Estate Consumer Residential Total Loans: Total loans ending balance $ 79,276 116,797 107,021 117,626 420,720 Ending balance: individually evaluated for impairment — 611 — 948 1,559 Ending balance: collectively evaluated for impairment $ 79,276 $ 116,186 $ 107,021 $ 116,678 $ 419,161 Allowance for Loan Losses and Recorded Investment in Loans For the Nine Months Ended September 30, 2020 Commercial Commercial Real Estate Consumer Residential Total Allowance for Loan Losses: Beginning balance $ 440 1,087 937 1,008 3,472 Charge-offs — — (393 ) (49 ) (442 ) Recoveries 1 — 252 8 261 (Recovery of) provision for loan losses (58 ) (6 ) 184 117 237 Ending Balance $ 383 $ 1,081 $ 980 $ 1,084 3,528 Allowance: Ending balance: individually evaluated for impairment — — — — 0 Ending balance: collectively evaluated for impairment $ 383 1,081 980 1,084 3,528 Commercial Commercial Real Estate Consumer Residential Total Loans: Total loans ending balance $ 79,276 116,797 107,021 117,626 420,720 Ending balance: individually evaluated for impairment — 611 — 948 1,559 Ending balance: collectively evaluated for impairment $ 79,276 $ 116,186 $ 107,021 $ 116,678 $ 419,161 Allowance for Loan Losses and Recorded Investment in Loans For the Three Months Ended September 30, 2019 Commercial Commercial Real Estate Consumer Residential Total Allowance for Loan Losses: Beginning balance $ 650 909 1,001 796 3,356 Charge-offs — — (109 ) — (109 ) Recoveries 1 — 84 3 88 (Recovery of) provision for loan losses (27 ) 117 (101 ) 165 154 Ending Balance $ 624 1,026 875 964 3,489 Allowance: Ending balance: individually evaluated for impairment — — — — — Ending balance: collectively evaluated for impairment $ 624 1,026 875 964 3,489 Commercial Commercial Real Estate Consumer Residential Total Loans: Total loans ending balance $ 58,955 113,354 100,068 119,226 391,603 Ending balance: individually evaluated for impairment — — 57 1,256 1,313 Ending balance: collectively evaluated for impairment $ 58,955 113,354 100,011 117,970 390,290 Allowance for Loan Losses and Recorded Investment in Loans For the Nine Months Ended September 30, 2019 Commercial Commercial Real Estate Consumer Residential Total Allowance for Loan Losses: Beginning balance $ 518 1,035 834 985 3,372 Charge-offs (2 ) — (391 ) (58 ) (451 ) Recoveries 15 81 232 89 417 Provision for (recovery of) loan losses 93 (90 ) 200 (52 ) 151 Ending Balance $ 624 1,026 875 964 3,489 Allowance: Ending balance: individually evaluated for impairment — — — — — Ending balance: collectively evaluated for impairment $ 624 1,026 875 964 3,489 Commercial Commercial Real Estate Consumer Residential Total Loans: Total loans ending balance $ 58,955 113,354 100,068 119,226 391,603 Ending balance: individually evaluated for impairment — — 57 1,256 1,313 Ending balance: collectively evaluated for impairment $ 58,955 113,354 100,011 117,970 390,290 Allowance for Loan Losses and Recorded Investment in Loans For the Year Ended December 31, 2019 Commercial Commercial Real Estate Consumer Residential Total Allowance for Loan Losses: Beginning balance $ 518 1,035 834 985 3,372 Charge-offs (3 ) — (538 ) (68 ) (609 ) Recoveries 78 1 303 170 552 (Recovery of) provision for loan losses (153 ) 51 338 (79 ) 157 Ending Balance $ 440 1,087 937 1,008 3,472 Allowance: Ending balance: individually evaluated for impairment — — — — — Ending balance: collectively evaluated for impairment $ 440 1,087 937 1,008 3,472 Commercial Commercial Real Estate Consumer Residential Total Loans: Total loans ending balance $ 61,536 110,277 99,318 122,389 393,520 Ending balance: individually evaluated for impairment — 149 124 985 1,258 Ending balance: collectively evaluated for impairment $ 61,536 110,128 99,194 121,404 392,262
Credit quality indicators	The following table illustrates Pinnacle’s credit quality indicators: Credit Quality Indicators As of September 30, 2020 Commercial Credit Exposure Commercial Real Estate Consumer Residential Total Pass $ 78,736 $ 114,939 $ 106,974 $ 115,785 $ 416,434 Special Mention 416 1,032 — 474 1,922 Substandard 124 826 47 1,367 2,364 Doubtful — — — — — Total $ 79,276 116,797 107,021 117,626 420,720 Credit Quality Indicators As of December 31, 2019 Commercial Credit Exposure Commercial Real Estate Consumer Residential Total Pass $ 61,308 109,249 99,226 120,731 390,514 Special Mention 72 147 — 479 698 Substandard 156 881 92 1,179 2,308 Doubtful — — — — — Total $ 61,536 110,277 99,318 122,389 393,520
Schedule of Impaired Loans	The following table presents information on Pinnacle’s impaired loans and their related allowance for loan losses: Impaired Loans As of September 30, 2020 Unpaid Average Interest Recorded Principal Related Recorded Income Investment Balance Allowance Investment Recognized With no related allowance recorded: Commercial $ — — — — — Commercial real estate 611 611 — 380 — Consumer — — — 77 — Residential 948 948 — 967 2 With related allowance recorded: Commercial $ — — — — — Commercial real estate — — — — — Consumer — — — — — Residential — — — 66 — Total: Commercial — — — — — Commercial real estate 611 611 — 380 — Consumer — — — 77 — Residential $ 948 948 33 1,033 2 Total $ 1,559 1,559 33 1,490 2 Impaired Loans As of December 31, 2019 Unpaid Average Interest Recorded Principal Related Recorded Income Investment Balance Allowance Investment Recognized With no related allowance recorded: Commercial $ — — — — — Commercial real estate 149 149 — 75 — Consumer 124 124 — 69 — Residential 985 985 — 1,039 7 Total: Commercial — — — — — Commercial real estate 149 149 — 75 — Consumer 124 124 — 69 — Residential $ 985 985 — 1,039 7 Total $ 1,258 1,258 — 1,183 7
Loans in Nonaccrual Status	The following presents information on Pinnacle’s nonaccrual loans: Loans in Nonaccrual Status As of September 30, 2020 December 31, 2019 Commercial $ — — Commercial real estate 611 149 Consumer — 124 Residential 759 862 Total $ 1,370 1,135
Troubled debt restructurings	The following tables present troubled debt restructurings as of September 30, 2020 and December 31, 2019: September 30, 2020 Accrual Status Non-Accrual Status Total Troubled Debt Restructuring Commercial $ — — — Commercial real estate — — — Consumer — — — Residential 189 — 189 Total $ 189 — 189 December 31, 2019 Accrual Status Non-Accrual Status Total Troubled Debt Restructuring Commercial $ — — — Commercial real estate — — — Consumer — — — Residential 123 68 191 Total $ 123 68 191

Deposits (Tables)

Deposits (Tables)	9 Months Ended
	Sep. 30, 2020
Deposits [Abstract]
Summary of Deposits	A summary of deposits as of September 30, 2020 and December 31, 2019: September 30, 2020 December 31, 2019 Noninterest-bearing demand deposits $ 130,336 $ 110,419 Interest-bearing: Savings and money market accounts 192,079 161,279 NOW accounts 95,971 83,662 Time deposits – under $250,000 88,429 87,278 Time deposits – $250,000 and over 6,642 7,645 Total interest-bearing deposits 383,121 339,864 Total deposits $ 513,457 $ 450,283

Employee Benefit Plans (Tables)

Employee Benefit Plans (Tables)	9 Months Ended
	Sep. 30, 2020
Compensation And Retirement Disclosure [Abstract]
Employee Benefit Plans (Tables)	The components of net pension benefit cost under the plan for the three and nine months ended September 30, 2020 and 2019 is summarized as follows: Pension Benefits Three Months Ended Three Months Ended Nine Months Ended Nine Months Ended September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 Service cost $ 201 142 $ 603 426 Interest cost 97 91 290 273 Expected return on plan assets (152 ) (132 ) (456 ) (396 ) Net loss due to settlement — — — — Recognized net actuarial loss 44 22 131 67 Net pension benefit cost $ 190 123 $ 568 370

Financial Instruments with Of_2

Financial Instruments with Off-Balance-Sheet Risk (Tables)	9 Months Ended
	Sep. 30, 2020
Risks And Uncertainties [Abstract]
Financial instruments whose contract amounts represent credit risk	Financial instruments whose contract amounts represent credit risk: Contract amounts at September 30, 2020 December 31, 2019 Commitments to extend credit $ 96,546 $ 79,001 Standby letters of credit $ 6,365 $ 5,074

Dividend Restrictions and Cap_2

Dividend Restrictions and Capital Requirements (Tables)	9 Months Ended
	Sep. 30, 2020
Regulatory Capital Requirements [Abstract]
Bankshares and the Bank's actual capital amounts and ratios	Pinnacle and First National Bank's actual regulatory capital amounts and ratios as of September 30, 2020, are listed below: Regulatory Capital Ratios as of September 30, 2020 Pinnacle Consolidated First National Bank Amount Ratio Amount Ratio Total Risk-Based Capital Ratio (to Risk Weighted Assets) $ 52,468 12.81 % $ 51,062 12.51 % CET 1 Risk Based Capital Ratio (to Risk Weighted Assets) $ 48,940 11.95 % $ 47,534 11.65 % Tier 1 Risk-Based Capital Ratio (to Risk Weighted Assets) $ 48,940 11.95 % $ 47,534 11.65 % Tier 1 Leverage Capital Ratio (to Average Assets) $ 48,940 8.63 % $ 47,534 8.40 %

Disclosures About Fair Value _2

Disclosures About Fair Value of Financial Instruments (Tables)	9 Months Ended
	Sep. 30, 2020
Disclosures About Fair Value Of Financial Instruments [Abstract]
Summary of Assets and Liabilities Measured at Fair Value	The following tables present information about certain assets and liabilities measured at fair value: Fair Value Measurements on September 30, 2020 Description Total Carrying Amount in The Consolidated Balance Sheet Assets/Liabilities Measured at Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Available-for-sale securities $ 44,328 $ 44,328 $ — $ 44,328 $ — Impaired loans (nonrecurring) $ 1,559 $ 1,559 $ — $ — $ 1,559 Other Real Estate Owned (nonrecurring) $ 18 $ 18 $ — $ — $ 18 Fair Value Measurements on December 31, 2019 Description Total Carrying Amount in The Consolidated Balance Sheet Assets/Liabilities Measured at Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Available-for-sale securities $ 43,194 $ 43,194 $ — $ 43,194 $ — Impaired loans (nonrecurring) $ 1,258 $ 1,258 $ — $ — $ 1,258 Other Real Estate Owned (nonrecurring) $ 666 $ 666 $ — $ — $ 666
Summary of Changes in Fair Value of Nonrecurring Assets	The following table sets forth a summary of changes in the fair value of Pinnacle’s nonrecurring Level 3 assets for the period ended September 30, 2020 and 2019: Level 3 Assets Level 3 Assets Period Ended September 30, 2020 Period Ended September 30, 2019 Impaired Other Real Impaired Other Real Loans Estate Owned Loans Estate Owned Balance, beginning of the year $ 1,258 666 $ 1,186 627 Purchases, sales, issuances, and settlements (net) 593 (619 ) 151 17 Balance, March 31 $ 1,851 47 $ 1,337 644 Purchases, sales, issuances, and settlements (net) (110 ) (47 ) (215 ) 105 Balance, June 30 $ 1,741 — $ 1,122 749 Purchases, sales, issuances, and settlements (net) (182 ) 18 245 (104 ) Balance, September 30 $ 1,559 18 $ 1,367 645

Parent Company Financial Info_2

Parent Company Financial Information (Table)	9 Months Ended
	Sep. 30, 2020
Condensed Financial Information Of Parent Company Only Disclosure [Abstract]
Summary of Condensed Balance Sheets	Condensed financial information of Pinnacle (“Parent”) is presented below: Condensed Balance Sheets Assets September 30, 2020 December 31, 2020 Cash due from subsidiary $ 8,121 31 Investment in subsidiary, at equity 45,995 44,320 Other assets 1,428 1,141 Total assets $ 55,544 45,492 Liabilities and stockholders' equity Subordinated notes payable $ 8,000 — Other liabilities 143 47 Total liabilities $ 8,143 47 Stockholders' equity Common stock of $3 par value, authorized 3,000,000 shares; issued and outstanding 1,563,922 shares in 2020 and 1,551,339 in 2019 $ 4,575 4,564 Capital surplus 1,581 1,461 Retained earnings 43,324 42,404 Accumulated other comprehensive loss, net (2,079 ) (2,984 ) Total stockholders' equity $ 47,401 45,445 Total liabilities and stockholders' equity $ 55,544 45,492
Summary of Condensed Statements of Income	Condensed Statements of Income Three Months Ended Three Months Ended Nine Months Ended Nine Months Ended September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 Income: Dividends from subsidiary $ 794 248 $ 1,921 733 Equity in undistributed net income of subsidiary 13 827 641 3,105 Total Income 807 1,075 2,562 3,838 Expenses: Other expenses 439 26 1,249 104 Income before income tax benefit 368 1,049 1,313 3,734 Applicable income tax benefit 92 6 262 22 Net income $ 460 1,043 $ 1,575 3,712
Summary of Condensed Statements of Cash Flow	Condensed Statements of Cash Flows Nine Months Ended Nine Months Ended September 30, 2020 September 30, 2019 Cash flows from operating activities: Net income $ 1,575 $ 3,712 Adjustments to reconcile net income to net cash provided by operating activities: Equity in undistributed net income of subsidiary (641 ) (3,105 ) (Increase) decrease in other assets (286 ) 22 Net cash provided by operating activities 648 629 Cash flows from financing activities Cash dividends paid (655 ) (633 ) Increase (decrease) in other liabilities 97 (6 ) Proceeds from subordinated notes issued 8,000 - Net cash used in financing activities 7,442 (639 ) Net increase (decrease) in cash from subsidiary 8,090 (10 ) Cash due from subsidiary, beginning of year 31 30 Cash due from subsidiary, end of quarter $ 8,121 $ 20

Summary of Significant Accoun_4

Summary of Significant Accounting Policies and Practices - (Details Textual) - USD ($) $ in Thousands	Oct. 30, 2020	Sep. 21, 2020	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019	Dec. 31, 2019
Investment Holdings [Line Items]
Company's available borrowing limit with the FHLB			$ 137,722		$ 137,722		$ 117,198
Federal Home Loan Bank Advances			0		0
Bankshares line of credit with corresponding bank			5,000		5,000
Line of credit outstanding					0		$ 0
Commissions and fees			167	$ 133	475	$ 485
Loan late fees			$ 53	$ 40	$ 148	$ 126
Private Placement [Member]
Investment Holdings [Line Items]
Debt Instrument, Face Amount		$ 8,000
Notes interest rate		5.25%
Maturity Date		Sep. 30, 2030
Variable Rate		5.13%
Virginia Bank and Subsidiary [Member] | Subsequent Event [Member]
Investment Holdings [Line Items]
Business combination aggregate purchase price	$ 23,199

Summary of Significant Accoun_5

Summary of Significant Accounting Policies and Practices - Schedule of Non Interest Income Segregated by Revenue (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Noninterest income:
Revenue from contract with customer including assessed tax	$ 167	$ 133	$ 475	$ 485
Non-interest Income	1,307	1,140	3,846	3,408
Service charges on deposit accounts
Noninterest income:
Revenue from contract with customer including assessed tax	506	504	1,442	1,442
In-scope and Out-of-scope of Topic 606
Noninterest income:
Revenue from contract with customer including assessed tax	787	726	2,278	2,198
Non-interest Income (out-of-scope of Topic 606)	520	414	1,568	1,210
Non-interest Income	1,307	1,140	3,846	3,408
In-scope and Out-of-scope of Topic 606 | Other operating income expense
Noninterest income:
Revenue from contract with customer including assessed tax	167	151	509	497
In-scope and Out-of-scope of Topic 606 | Service charges on deposit accounts
Noninterest income:
Revenue from contract with customer including assessed tax	506	482	1,442	1,420
In-scope and Out-of-scope of Topic 606 | Commissions and fees
Noninterest income:
Revenue from contract with customer including assessed tax	$ 114	$ 93	$ 327	$ 281

Summary of Significant Accoun_6

Summary of Significant Accounting Policies and Practices - Reconciliation of the numerators and denominators of the basic and diluted net income per share computations (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Earnings Per Share Basic And Diluted [Abstract]
Basic net income per share, Net income (numerator)	$ 460	$ 1,043	$ 1,575	$ 3,712
Diluted net income per share, Net income (numerator)	$ 460	$ 1,043	$ 1,575	$ 3,712
Basic net income per share, Shares (denominator)	1,562,292	1,551,626	1,558,732	1,548,384
Effect of dilutive stock options, Shares (denominator)	2,196	9,872	3,453	9,965
Diluted net income per share, Shares (denominator)	1,564,488	1,561,498	1,562,185	1,558,349
Basic net income per share	$ 0.29	$ 0.67	$ 1.01	$ 2.40
Diluted net income per share	$ 0.29	$ 0.67	$ 1.01	$ 2.38

Restrictions on Cash (Details)

Restrictions on Cash (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
COVID-19 [Member]
Restricted Cash And Cash Equivalents Items [Line Items]
Daily average reserve requirement	$ 0	$ 5,892

Securities (Details)

Securities (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Debt Securities Heldtomaturity Allowance For Credit Loss [Line Items]
Available-for-Sale, Amortized Costs	$ 42,855	$ 42,867
Available-for-Sale, Gross Unrealized Gains	1,563	579
Available-for-Sale, Gross Unrealized Losses	(90)	(252)
Available-for-Sale Fair values	44,328	43,194
Held-to-Maturity Fair values	501	1,780
U.S. Treasury securities and obligations of U.S. Government corporations and agencies [Member]
Debt Securities Heldtomaturity Allowance For Credit Loss [Line Items]
Available-for-Sale, Amortized Costs	2,701	5,986
Available-for-Sale, Gross Unrealized Gains	99	30
Available-for-Sale, Gross Unrealized Losses		(15)
Available-for-Sale Fair values	2,800	6,001
Obligations of states and political subdivisions [Member]
Debt Securities Heldtomaturity Allowance For Credit Loss [Line Items]
Available-for-Sale, Amortized Costs	10,657	8,897
Available-for-Sale, Gross Unrealized Gains	742	370
Available-for-Sale Fair values	11,399	9,267
Held-to-Maturity, Amortized Costs	500	1,764
Held-to-Maturity, Gross Unrealized Gains	1	16
Held-to-Maturity Fair values	501	1,780
Mortgage-backed securities- government [Member]
Debt Securities Heldtomaturity Allowance For Credit Loss [Line Items]
Available-for-Sale, Amortized Costs	29,497	27,984
Available-for-Sale, Gross Unrealized Gains	722	179
Available-for-Sale, Gross Unrealized Losses	(90)	(237)
Available-for-Sale Fair values	$ 30,129	$ 27,926

Securities (Details1)

Securities (Details1) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Debt Securities Heldtomaturity Allowance For Credit Loss [Line Items]
Fair value, Less than 12 Months	$ 4,372	$ 10,939
Gross unrealized losses, Less than 12 Months	26	89
Fair value, More than 12 Months	8,100	12,170
Gross unrealized losses, More than 12 Months	64	163
Fair value, Total	12,472	23,109
Gross unrealized losses, Total	90	252
U.S. Treasury securities and obligations of U.S. Government corporations and agencies [Member]
Debt Securities Heldtomaturity Allowance For Credit Loss [Line Items]
Fair value, Less than 12 Months		1,457
Gross unrealized losses, Less than 12 Months		9
Fair value, More than 12 Months		995
Gross unrealized losses, More than 12 Months		6
Fair value, Total		2,452
Gross unrealized losses, Total		15
Mortgage-backed securities- government [Member]
Debt Securities Heldtomaturity Allowance For Credit Loss [Line Items]
Fair value, Less than 12 Months	4,372	9,482
Gross unrealized losses, Less than 12 Months	26	80
Fair value, More than 12 Months	8,100	11,175
Gross unrealized losses, More than 12 Months	64	157
Fair value, Total	12,472	20,657
Gross unrealized losses, Total	$ 90	$ 237

Securities (Details Textual)

Securities (Details Textual) $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2020USD ($)Stock	Dec. 31, 2019USD ($)Stock
Debt Securities Heldtomaturity Allowance For Credit Loss [Line Items]
Number of bonds continuous unrealized loss position less than 12 months aggregate losses | Stock	6	15
Number of bonds continuous unrealized Loss position More than 12 months aggregate losses | Stock	22	28
Gross realized gains or losses	$ 0	$ 2
Securities with amortized cost	42,855	42,867
Held-to-Maturity Fair values	501	1,780
Deposits [Member]
Debt Securities Heldtomaturity Allowance For Credit Loss [Line Items]
Securities with amortized cost	5,108	7,456
Held-to-Maturity Fair values	$ 5,374	$ 7,464

Securities (Details 2)

Securities (Details 2) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Investments [Abstract]
Available-for-sale Securities, Due in one year or less, amortized costs	$ 998	$ 1,997
Available-for-sale Securities, Due after one year through five years, amortized costs	1,628	3,128
Available-for-sale Securities, Due after five years through ten years, amortized costs	8,072	8,453
Available-for-sale Securities, Due after ten years, amortized costs	2,660	1,305
Available-for-Sale, Gross Amount, Amortized cost	13,358	14,883
Available-for-sale Securities, Mortgage-backed securities, amortized costs	29,497	27,984
Available-for-Sale, Amortized Costs	42,855	42,867
Available-for-sale Securities, Due in one year or less, fair value	1,001	2,001
Available-for-sale Securities, Due after one year through five years, fair value	1,723	3,171
Available-for-sale Securities, Due after five years through ten years, fair value	8,761	8,784
Available-for-sale Securities, Due after ten years, fair value	2,714	1,312
Available-for-Sale, Fair value, Gross Amount	14,199	15,268
Available-for-sale Securities, Mortgage-backed securities, fair value	30,129	27,926
Available for sale securities fair value, Total	44,328	43,194
Held-to-maturity Securities, Due in one year or less, amortized costs	500	1,264
Held-to-maturity Securities, Due after one year through five years, amortized costs		500
Held-to-maturity Securities, Amortized costs, Gross Amount	500	1,764
Held-to-maturity Securities, amortized costs, Total	500	1,764
Held-to-maturity Securities, Due in one year or less, fair value	501	1,273
Held-to-maturity Securities, Due after one year through five years, fair value		507
Held-to-maturity Securities, Gross Amount	501	1,780
Held-to-maturity Securities, Fair Value, Total	$ 501	$ 1,780

Loans and Allowance for Loan Lo

Loans and Allowance for Loan Losses (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Jun. 30, 2020	Dec. 31, 2019	Sep. 30, 2019	Jun. 30, 2019	Dec. 31, 2018
Loans And Leases Receivable Disclosure [Line Items]
Total loans, gross	$ 420,720		$ 393,520
Less unearned income and fees	(707)		(199)
Loans, net of unearned income and fees	420,013		393,321
Less allowance for loan losses	(3,528)	$ (3,494)	(3,472)	$ (3,489)	$ (3,356)	$ (3,372)
Loans, net	416,485		389,849	391,603
Commercial and Industrial Loans [Member]
Loans And Leases Receivable Disclosure [Line Items]
Total loans, gross	79,276		61,536
Loans to individuals for household, family and other consumer expenditures [Member]
Loans And Leases Receivable Disclosure [Line Items]
Total loans, gross	107,021		99,318
Less allowance for loan losses	(980)	$ (1,048)	(937)	(875)	$ (1,001)	$ (834)
Loans, net				$ 100,068
Commercial [Member]
Loans And Leases Receivable Disclosure [Line Items]
Total loans, gross	116,797		110,277
Residential-mortgage [Member]
Loans And Leases Receivable Disclosure [Line Items]
Total loans, gross	111,584		116,139
Residential-construction [Member]
Loans And Leases Receivable Disclosure [Line Items]
Total loans, gross	$ 6,042		$ 6,250

Loans and Allowance for Loan _2

Loans and Allowance for Loan Losses and Credit Quality (Details Textual)	3 Months Ended		9 Months Ended
	Sep. 30, 2020USD ($)Loan	Sep. 30, 2019USD ($)Loan	Sep. 30, 2020USD ($)Loan	Sep. 30, 2019USD ($)Loan	Jun. 30, 2020USD ($)	Dec. 31, 2019USD ($)	Jun. 30, 2019USD ($)	Dec. 31, 2018USD ($)
Loans And Leases Receivable Disclosure [Line Items]
Interest on loans from executive officers and directors totaled	$ 25,000		$ 25,000
Number of residential mortgage loan | Loan			1
Loans, net of unearned income and fees	420,013,000		$ 420,013,000			$ 393,321,000
Allowance for loan losses	3,528,000	$ 3,489,000	3,528,000	$ 3,489,000	$ 3,494,000	3,472,000	$ 3,356,000	$ 3,372,000
Total Troubled Debt Restructuring	189,000		189,000			191,000
Fair Value Measurement [Member]
Loans And Leases Receivable Disclosure [Line Items]
Loans, net of unearned income and fees	429,865,000		429,865,000
Small Business Administration [Member]
Loans And Leases Receivable Disclosure [Line Items]
Allowance for loan losses	$ 0		$ 0
Small Business Administration [Member] | Minimum [Member]
Loans And Leases Receivable Disclosure [Line Items]
Percentage of fee over principal amount	1.00%		1.00%
Small Business Administration [Member] | Maximum [Member]
Loans And Leases Receivable Disclosure [Line Items]
Percentage of fee over principal amount	5.00%		5.00%
Residential Mortgage
Loans And Leases Receivable Disclosure [Line Items]
Loan sold in secondary market			$ 270,000
Allowance for loan losses	$ 1,084,000	$ 964,000	1,084,000	$ 964,000	$ 1,056,000	1,008,000	$ 796,000	$ 985,000
Total Troubled Debt Restructuring	189,000		189,000			191,000
Executive Officer [Member]
Loans And Leases Receivable Disclosure [Line Items]
Loans to executive officers and directors totaled	$ 303,000		$ 303,000			$ 383,000
Number of restructured loan | Loan	2		2
Number of newly restructured loans | Loan	0	0	0	0
Director [Member]
Loans And Leases Receivable Disclosure [Line Items]
Number of consumer loans | Loan			1

Loans and Allowance for Loan _3

Loans and Allowance for Loan Losses and Credit Quality (Details 1) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019	Dec. 31, 2019
Loans And Leases Receivable Disclosure [Line Items]
Beginning balance	$ 3,494	$ 3,356	$ 3,472	$ 3,372	$ 3,372
Charge-offs	(85)	(109)	(442)	(451)	(609)
Recoveries	90	88	261	417	552
(Recovery of) provision for loan losses	29	154	237	151	157
Ending Balance	3,528	3,489	3,528	3,489	3,472
Ending balance: individually evaluated for impairment	0		0
Ending balance: collectively evaluated for impairment	3,528	3,489	3,528	3,489	3,472
Total loans, gross	420,720		420,720		393,520
Ending balance: individually evaluated for impairment	1,559	1,313	1,559	1,313	1,258
Ending balance: collectively evaluated for impairment	419,161	390,290	419,161	390,290	392,262
Loans, net	416,485	391,603	416,485	391,603	389,849
Commercial [Member]
Loans And Leases Receivable Disclosure [Line Items]
Beginning balance	584	650	440	518	518
Charge-offs				(2)	(3)
Recoveries		1	1	15	78
(Recovery of) provision for loan losses	(201)	(27)	(58)	93	(153)
Ending Balance	383	624	383	624	440
Ending balance: collectively evaluated for impairment	383	624	383	624	440
Total loans, gross	79,276		79,276		61,536
Ending balance: collectively evaluated for impairment	79,276	58,955	79,276	58,955	61,536
Loans, net		58,955		58,955
Loans to individuals for household, family and other consumer expenditures [Member]
Loans And Leases Receivable Disclosure [Line Items]
Beginning balance	1,048	1,001	937	834	834
Charge-offs	(37)	(109)	(393)	(391)	(538)
Recoveries	89	84	252	232	303
(Recovery of) provision for loan losses	(120)	(101)	184	200	338
Ending Balance	980	875	980	875	937
Ending balance: collectively evaluated for impairment	980	875	980	875	937
Total loans, gross	107,021		107,021		99,318
Ending balance: individually evaluated for impairment		57		57	124
Ending balance: collectively evaluated for impairment	107,021	100,011	107,021	100,011	99,194
Loans, net		100,068		100,068
Commercial Real Estate
Loans And Leases Receivable Disclosure [Line Items]
Beginning balance	806	909	1,087	1,035	1,035
Recoveries				81	1
(Recovery of) provision for loan losses	275	117	(6)	(90)	51
Ending Balance	1,081	1,026	1,081	1,026	1,087
Ending balance: collectively evaluated for impairment	1,081	1,026	1,081	1,026	1,087
Total loans, gross	116,797		116,797		110,277
Ending balance: individually evaluated for impairment	611		611		149
Ending balance: collectively evaluated for impairment	116,186	113,354	116,186	113,354	110,128
Loans, net		113,354		113,354
Residential Mortgage
Loans And Leases Receivable Disclosure [Line Items]
Beginning balance	1,056	796	1,008	985	985
Charge-offs	(48)		(49)	(58)	(68)
Recoveries	1	3	8	89	170
(Recovery of) provision for loan losses	75	165	117	(52)	(79)
Ending Balance	1,084	964	1,084	964	1,008
Ending balance: collectively evaluated for impairment	1,084	964	1,084	964	1,008
Total loans, gross	117,626		117,626		122,389
Ending balance: individually evaluated for impairment	948	1,256	948	1,256	985
Ending balance: collectively evaluated for impairment	$ 116,678	117,970	$ 116,678	117,970	$ 121,404
Loans, net		$ 119,226		$ 119,226

Loans and Allowance for Loan _4

Loans and Allowance for Loan Losses and Credit Quality (Details 2) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Loans And Leases Receivable Disclosure [Line Items]
Credit quality indicators	$ 420,720	$ 393,520
Pass [Member]
Loans And Leases Receivable Disclosure [Line Items]
Credit quality indicators	416,434	390,514
Special Mention [Member]
Loans And Leases Receivable Disclosure [Line Items]
Credit quality indicators	1,922	698
Substandard [Member]
Loans And Leases Receivable Disclosure [Line Items]
Credit quality indicators	2,364	2,308
Commercial [Member]
Loans And Leases Receivable Disclosure [Line Items]
Credit quality indicators	79,276	61,536
Commercial [Member] | Pass [Member]
Loans And Leases Receivable Disclosure [Line Items]
Credit quality indicators	78,736	61,308
Commercial [Member] | Special Mention [Member]
Loans And Leases Receivable Disclosure [Line Items]
Credit quality indicators	416	72
Commercial [Member] | Substandard [Member]
Loans And Leases Receivable Disclosure [Line Items]
Credit quality indicators	124	156
Commercial Real Estate
Loans And Leases Receivable Disclosure [Line Items]
Credit quality indicators	116,797	110,277
Commercial Real Estate | Pass [Member]
Loans And Leases Receivable Disclosure [Line Items]
Credit quality indicators	114,939	109,249
Commercial Real Estate | Special Mention [Member]
Loans And Leases Receivable Disclosure [Line Items]
Credit quality indicators	1,032	147
Commercial Real Estate | Substandard [Member]
Loans And Leases Receivable Disclosure [Line Items]
Credit quality indicators	826	881
Loans to individuals for household, family and other consumer expenditures [Member]
Loans And Leases Receivable Disclosure [Line Items]
Credit quality indicators	107,021	99,318
Loans to individuals for household, family and other consumer expenditures [Member] | Pass [Member]
Loans And Leases Receivable Disclosure [Line Items]
Credit quality indicators	106,974	99,226
Loans to individuals for household, family and other consumer expenditures [Member] | Substandard [Member]
Loans And Leases Receivable Disclosure [Line Items]
Credit quality indicators	47	92
Residential Mortgage
Loans And Leases Receivable Disclosure [Line Items]
Credit quality indicators	117,626	122,389
Residential Mortgage | Pass [Member]
Loans And Leases Receivable Disclosure [Line Items]
Credit quality indicators	115,785	120,731
Residential Mortgage | Special Mention [Member]
Loans And Leases Receivable Disclosure [Line Items]
Credit quality indicators	474	479
Residential Mortgage | Substandard [Member]
Loans And Leases Receivable Disclosure [Line Items]
Credit quality indicators	$ 1,367	$ 1,179

Loans and Allowance for Loan _5

Loans and Allowance for Loan Losses and Credit Quality (Details 3) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Loans And Leases Receivable Disclosure [Line Items]
Total Past Due	$ 1,741	$ 1,353
Current	418,979	392,167
Total Loans	420,720	393,520
30-59 Days Past Due [Member]
Loans And Leases Receivable Disclosure [Line Items]
Total Past Due	371	218
Greater Than 90 Days [member]
Loans And Leases Receivable Disclosure [Line Items]
Total Past Due	1,370	1,135
Commercial [Member]
Loans And Leases Receivable Disclosure [Line Items]
Current	79,276	61,536
Total Loans	79,276	61,536
Commercial Real Estate
Loans And Leases Receivable Disclosure [Line Items]
Total Past Due	611	149
Current	116,186	110,128
Total Loans	116,797	110,277
Commercial Real Estate | Greater Than 90 Days [member]
Loans And Leases Receivable Disclosure [Line Items]
Total Past Due	611	149
Loans to individuals for household, family and other consumer expenditures [Member]
Loans And Leases Receivable Disclosure [Line Items]
Total Past Due	89	281
Current	106,932	99,037
Total Loans	107,021	99,318
Loans to individuals for household, family and other consumer expenditures [Member] | 30-59 Days Past Due [Member]
Loans And Leases Receivable Disclosure [Line Items]
Total Past Due	89	157
Loans to individuals for household, family and other consumer expenditures [Member] | Greater Than 90 Days [member]
Loans And Leases Receivable Disclosure [Line Items]
Total Past Due		124
Residential Mortgage
Loans And Leases Receivable Disclosure [Line Items]
Total Past Due	1,041	923
Current	116,585	121,466
Total Loans	117,626	122,389
Residential Mortgage | 30-59 Days Past Due [Member]
Loans And Leases Receivable Disclosure [Line Items]
Total Past Due	282	61
Residential Mortgage | Greater Than 90 Days [member]
Loans And Leases Receivable Disclosure [Line Items]
Total Past Due	$ 759	$ 862

Loans and Allowance for Loan _6

Loans and Allowance for Loan Losses and Credit Quality (Details 4) - USD ($) $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2020	Dec. 31, 2019
Loans And Leases Receivable Disclosure [Line Items]
Recorded Investment Total:	$ 1,559	$ 1,258
Unpaid Principal Balance Total:	1,559	1,258
Related Allowance Total:	33
Average Recorded Investment Total:	1,490	1,183
Interest Income Recognized Total:	2	7
Commercial [Member]
Loans And Leases Receivable Disclosure [Line Items]
Recorded Investment With no related allowance recorded:	611	149
Recorded Investment Total:	611	149
Unpaid Principal Balance With no related allowance recorded:	611	149
Unpaid Principal Balance Total:	611	149
Average Recorded Investment With no related allowance recorded:	380	75
Average Recorded Investment Total:	380	75
Loans to individuals for household, family and other consumer expenditures [Member]
Loans And Leases Receivable Disclosure [Line Items]
Recorded Investment With no related allowance recorded:		124
Recorded Investment Total:		124
Unpaid Principal Balance With no related allowance recorded:		124
Unpaid Principal Balance Total:		124
Average Recorded Investment With no related allowance recorded:	77	69
Average Recorded Investment Total:	77	69
Residential [Member]
Loans And Leases Receivable Disclosure [Line Items]
Recorded Investment With no related allowance recorded:	948	985
Recorded Investment Total:	948	985
Unpaid Principal Balance With no related allowance recorded:	948	985
Unpaid Principal Balance Total:	948	985
Related Allowance Total:	33
Average Recorded Investment With no related allowance recorded:	967	1,039
Average Recorded Investment With allowance recorded:	66
Average Recorded Investment Total:	1,033	1,039
Interest Income Recognized With no related allowance recorded:	2	7
Interest Income Recognized Total:	$ 2	$ 7

Loans and Allowance for Loan _7

Loans and Allowance for Loan Losses and Credit Quality (Details 5) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Loans And Leases Receivable Disclosure [Line Items]
Loans in Nonaccrual Status	$ 1,370	$ 1,135
Commercial [Member]
Loans And Leases Receivable Disclosure [Line Items]
Loans in Nonaccrual Status	611	149
Loans to individuals for household, family and other consumer expenditures [Member]
Loans And Leases Receivable Disclosure [Line Items]
Loans in Nonaccrual Status		124
Residential [Member]
Loans And Leases Receivable Disclosure [Line Items]
Loans in Nonaccrual Status	$ 759	$ 862

Loans and Allowance for Loan _8

Loans and Allowance for Loan Losses and Credit Quality (Details 6) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Loans And Leases Receivable Disclosure [Line Items]
Accrual Status	$ 189	$ 123
Non-Accrual Status		68
Total Troubled Debt Restructuring	189	191
Residential [Member]
Loans And Leases Receivable Disclosure [Line Items]
Accrual Status	189	123
Non-Accrual Status		68
Total Troubled Debt Restructuring	$ 189	$ 191

Deposits (Details)

Deposits (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Interest Expense Deposits [Abstract]
Noninterest-bearing demand deposits	$ 130,336	$ 110,419
Interest-bearing:
Savings and money market accounts	192,079	161,279
NOW accounts	95,971	83,662
Time deposits – under $250,000	88,429	87,278
Time deposits – $250,000 and over	6,642	7,645
Total interest-bearing deposits	383,121	339,864
Total deposits	$ 513,457	$ 450,283

Deposits (Details Textual)

Deposits (Details Textual) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Fair value of deposits	$ 492,882	$ 410,213
Executive Officer [Member]
Deposits from executive officers and directors	$ 16,375
Director [Member]
Deposits from executive officers and directors		$ 2,145

Employee Benefit Plans (Details

Employee Benefit Plans (Details textual) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Employees Pension Plans And Companys Contributions Textual [Abstract]
Pension expense	$ 190	$ 123	$ 568	$ 370
Amount expensed for the 401(K) plan	$ 48	$ 46	$ 96	$ 89

Employee Benefit Plans (Detai_2

Employee Benefit Plans (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Defined Benefit Plan Net Periodic Benefit Cost [Abstract]
Service cost	$ 201	$ 142	$ 603	$ 426
Interest cost	97	91	290	273
Expected return on plan assets	(152)	(132)	(456)	(396)
Recognized net actuarial loss	44	22	131	67
Net pension benefit cost	$ 190	$ 123	$ 568	$ 370

Financial Instruments with Of_3

Financial Instruments with Off-Balance-Sheet Risk (Details) - USD ($) $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2020	Dec. 31, 2019
Standby Letters of Credit [Member]
Concentration Risk [Line Items]
Concentration risk, Financial instruments credit risk	$ 6,365	$ 5,074
Commitments to Extend Credit [Member]
Concentration Risk [Line Items]
Concentration risk, Financial instruments credit risk	$ 96,546	$ 79,001

Dividend Restrictions and Cap_3

Dividend Restrictions and Capital Requirements (Details Textual) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020USD ($)	Sep. 30, 2019USD ($)	Sep. 30, 2020USD ($)	Sep. 30, 2019USD ($)	Jun. 30, 2020	Jan. 01, 2019	Jan. 01, 2016
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items]
Dividends from the Bank	$ 794	$ 248	$ 1,921	$ 733
Capital conservation buffer						0.0250
Capital conservation buffer risk weighted assets							0.00625
CET 1 Risk Based Capital Ratio (to Risk Weighted Assets) Ratio	0.1195		0.1195			0.0450
Tier 1 Risk-Based Capital Ratio (to Risk Weighted Assets) Ratio	0.1195		0.1195			0.0600
Total Risk-Based Capital Ratio (to Risk Weighted Assets) Ratio	0.1281		0.1281			0.0800
Tier 1 Leverage Capital Ratio (to Average Assets) Ratio	0.0863		0.0863			0.0400
Tier 1 Leverage Capital Ratio (to Average Assets) Amount	$ 48,940		$ 48,940
Tier One Leverage Capital Ratio, Well Capitalized, Minimum	0.090		0.090
Tier One Leverage Capital Ratio, Undercapitalized, Minimum					0.08
Tier One Leverage Capital Ratio, Capital Adequacy, Minimum	0.085		0.085
First National Bank [Member]
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items]
CET 1 Risk Based Capital Ratio (to Risk Weighted Assets) Ratio	0.1165		0.1165
Tier 1 Risk-Based Capital Ratio (to Risk Weighted Assets) Ratio	0.1165		0.1165
Total Risk-Based Capital Ratio (to Risk Weighted Assets) Ratio	0.1251		0.1251
Tier 1 Leverage Capital Ratio (to Average Assets) Ratio	0.0840		0.0840
Tier 1 Leverage Capital Ratio (to Average Assets) Amount	$ 47,534		$ 47,534
Maximum [Member]
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items]
Tier 1 Leverage Capital Ratio (to Average Assets) Amount	$ 10,000,000		$ 10,000,000

Dividend Restrictions and Cap_4

Dividend Restrictions and Capital Requirements (Details) $ in Thousands	Sep. 30, 2020USD ($)	Jan. 01, 2019
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items]
Total Risk-Based Capital Ratio (to Risk Weighted Assets) Amount	$ 52,468
CET 1 Risk Based Capital Ratio (to Risk Weighted Assets) Amount	48,940
Tier 1 Risk-Based Capital Ratio (to Risk Weighted Assets) Amount	48,940
Tier 1 Leverage Capital Ratio (to Average Assets) Amount	$ 48,940
Total Risk-Based Capital Ratio (to Risk Weighted Assets) Ratio	0.1281	0.0800
CET 1 Risk Based Capital Ratio (to Risk Weighted Assets) Ratio	0.1195	0.0450
Tier 1 Risk-Based Capital Ratio (to Risk Weighted Assets) Ratio	0.1195	0.0600
Tier 1 Leverage Capital Ratio (to Average Assets) Ratio	0.0863	0.0400
First National Bank [Member]
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items]
Total Risk-Based Capital Ratio (to Risk Weighted Assets) Amount	$ 51,062
CET 1 Risk Based Capital Ratio (to Risk Weighted Assets) Amount	47,534
Tier 1 Risk-Based Capital Ratio (to Risk Weighted Assets) Amount	47,534
Tier 1 Leverage Capital Ratio (to Average Assets) Amount	$ 47,534
Total Risk-Based Capital Ratio (to Risk Weighted Assets) Ratio	0.1251
CET 1 Risk Based Capital Ratio (to Risk Weighted Assets) Ratio	0.1165
Tier 1 Risk-Based Capital Ratio (to Risk Weighted Assets) Ratio	0.1165
Tier 1 Leverage Capital Ratio (to Average Assets) Ratio	0.0840

Disclosures About Fair Value _3

Disclosures About Fair Value of Financial Instruments - Additional Information (Details)	9 Months Ended
	Sep. 30, 2020USD ($)
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items]
Significant transfers between Level 1 and Level 2 investments	$ 0
Minimum [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items]
Percentage of collective rate	0.00%
Collateral rate percentage	0.00%
Maximum [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items]
Percentage of collective rate	25.00%
Collateral rate percentage	25.00%

Disclosures About Fair Value _4

Disclosures About Fair Value of Financial Instruments - Summary of Assets and Liabilities Measured at Fair Value (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Available-for-sale, at fair value	$ 44,328	$ 43,194
Recurring [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Available-for-sale, at fair value	44,328	43,194
Recurring [Member] | Fair Value Measurement [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Available-for-sale, at fair value	44,328
Recurring [Member] | Significant Other Observable Inputs (Level 2) [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Available-for-sale, at fair value	44,328	43,194
Nonrecurring [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Impaired loans (nonrecurring)	1,559	1,258
Other Real Estate Owned (nonrecurring)	18	666
Nonrecurring [Member] | Fair Value Measurement [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Impaired loans (nonrecurring)	1,559
Other Real Estate Owned (nonrecurring)	18
Nonrecurring [Member] | Significant Unobservable Inputs (Level 3) [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Impaired loans (nonrecurring)	1,559	1,258
Other Real Estate Owned (nonrecurring)	$ 18	$ 666

Disclosures About Fair Value _5

Disclosures About Fair Value of Financial Instruments - Summary of Changes in Fair Value of Nonrecurring Assets (Details) - Level 3 Assets [Member] - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2020	Jun. 30, 2020	Mar. 31, 2020	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019
Impaired Loans [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Balance, beginning period	$ 1,741	$ 1,851	$ 1,258	$ 1,122	$ 1,337	$ 1,186
Purchases, sales, issuances, and settlements (net)	(182)	(110)	593	245	(215)	151
Balance, ending period	1,559	1,741	1,851	1,367	1,122	1,337
Other Real Estate Owned [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Balance, beginning period		47	666	749	644	627
Purchases, sales, issuances, and settlements (net)	18	$ (47)	(619)	(104)	105	17
Balance, ending period	$ 18		$ 47	$ 645	$ 749	$ 644

Parent Company Financial Info_3

Parent Company Financial Information (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Jun. 30, 2020	Mar. 31, 2020	Dec. 31, 2019	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Dec. 31, 2018
Assets
Cash due from subsidiary	$ 78,306			$ 32,903
Other assets	3,679			3,630
Total assets	573,746			500,530
Liabilities and Stockholders' Equity
Subordinated notes payable	8,000
Other liabilities	4,695			4,597
Total liabilities	526,345			455,085
Stockholders' equity:
Common stock of $3 par value, authorized 3,000,000 shares; issued and outstanding 1,563,922 shares in 2020 and 1,551,339 in 2019	4,575			4,564
Capital surplus	1,581			1,461
Retained earnings	43,324			42,404
Accumulated other comprehensive loss, net	(2,079)			(2,984)
Total stockholders' equity	47,401	$ 47,022	$ 45,279	45,445	$ 46,301	$ 45,328	$ 43,813	$ 42,111
Total liabilities and stockholders' equity	573,746			500,530
Parent Company [Member]
Assets
Cash due from subsidiary	8,121			31
Investment in subsidiary, at equity	45,995			44,320
Other assets	1,428			1,141
Total assets	55,544			45,492
Liabilities and Stockholders' Equity
Subordinated notes payable	8,000
Other liabilities	143			47
Total liabilities	8,143			47
Stockholders' equity:
Common stock of $3 par value, authorized 3,000,000 shares; issued and outstanding 1,563,922 shares in 2020 and 1,551,339 in 2019	4,575			4,564
Capital surplus	1,581			1,461
Retained earnings	43,324			42,404
Accumulated other comprehensive loss, net	(2,079)			(2,984)
Total stockholders' equity	47,401			45,445
Total liabilities and stockholders' equity	$ 55,544			$ 45,492

Parent Company Financial Info_4

Parent Company Financial Information (Details Textual) - $ / shares	Sep. 30, 2020	Dec. 31, 2019
Common stock, par value	$ 3	$ 3
Common stock, shares authorized	3,000,000	3,000,000
Common stock, shares issued	1,563,922	1,551,339
Common stock, shares outstanding	1,563,922	1,551,339
Parent Company [Member]
Common stock, par value	$ 3	$ 3
Common stock, shares authorized	3,000,000	3,000,000
Common stock, shares issued	1,563,922	1,551,339
Common stock, shares outstanding	1,563,922	1,551,339

Parent Company Financial Info_5

Parent Company Financial Information (Details 1) - USD ($) $ in Thousands	3 Months Ended						9 Months Ended
	Sep. 30, 2020	Jun. 30, 2020	Mar. 31, 2020	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Sep. 30, 2020	Sep. 30, 2019
Income:
Total interest income	$ 4,853			$ 5,085			$ 14,480	$ 15,161
Expenses:
Income before income tax benefit	573			1,283			1,949	4,587
Income tax expense	113			240			374	875
Net income	460	$ 667	$ 448	1,043	$ 1,368	$ 1,301	1,575	3,712
Parent Company [Member]
Income:
Dividends from subsidiary	794			248			1,921	733
Equity in undistributed net income of subsidiary	13			827			641	3,105
Total interest income	807			1,075			2,562	3,838
Expenses:
Other expenses	439			26			1,249	104
Income before income tax benefit	368			1,049			1,313	3,734
Income tax expense	92			6			262	22
Net income	$ 460			$ 1,043			$ 1,575	$ 3,712

Parent Company Financial Info_6

Parent Company Financial Information (Details 2) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Cash flows from operating activities:
Net income			$ 1,575	$ 3,712
Adjustments to reconcile net income to net cash provided by operating activities:
Other assets			(290)	(339)
Net cash provided by operating activities			1,843	5,129
Cash flows from financing activities:
Net cash provided by financing activities			70,519	5,435
Net increase in cash and cash equivalents			45,403	(945)
Cash and cash equivalents, beginning of period			32,903	15,717
Cash and cash equivalents, end of period	$ 78,306	$ 14,772	78,306	14,772
Parent Company [Member]
Cash flows from operating activities:
Net income			1,575	3,712
Adjustments to reconcile net income to net cash provided by operating activities:
Equity in undistributed net income of subsidiary	(13)	(827)	(641)	(3,105)
Other assets			(286)	22
Net cash provided by operating activities			648	629
Cash flows from financing activities:
Cash dividends paid			(655)	(633)
Increase (decrease) in other liabilities			97	(6)
Proceeds from subordinated notes issued			8,000
Net cash provided by financing activities			7,442	(639)
Net increase in cash and cash equivalents			8,090	(10)
Cash and cash equivalents, beginning of period			31	30
Cash and cash equivalents, end of period	$ 8,121	$ 20	$ 8,121	$ 20

Subsequent Event - (Details Tex

Subsequent Event - (Details Textual) - USD ($)	Oct. 30, 2020	Sep. 30, 2020
Virginia Bank and Subsidiary [Member] | Subsequent Event [Member]
Subsequent Event [Line Items]
Business combination aggregate purchase price	$ 23,199,000
Business combination aggregate purchase price allocated as cash consideration	11,751,000
Business combination aggregate purchase price allocated as stock consideration	$ 11,448,000
Virginia Bank [Member]
Subsequent Event [Line Items]
Cash Consideration for each share		$ 16,000
Stock Consideration for each share		$ 0.5400
Merger agreement description		limitation that 60% of the shares will be exchanged for the Stock Consideration and 40% of the shares will be exchanged for the Cash Consideration