Macatawa Bank (MCBC) 10-K 18 Feb 16 2015 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($)	12 Months Ended
	Dec. 31, 2015	Feb. 17, 2016	Jun. 30, 2015
Document and Entity Information [Abstract]
Entity Registrant Name	MACATAWA BANK CORP
Entity Central Index Key	1,053,584
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Accelerated Filer
Entity Public Float			$ 187,274,528
Entity Common Stock, Shares Outstanding		33,925,113
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	FY
Document Type	10-K
Amendment Flag	false
Document Period End Date	Dec. 31, 2015

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
ASSETS
Cash and due from banks	$ 29,104	$ 31,503
Federal funds sold and other short -term investments	152,372	97,952
Cash and cash equivalents	181,476	129,455
Interest-bearing time deposits in other financial institutions	20,000	20,000
Securities available for sale, at fair value	166,815	161,874
Securities held to maturity (fair value 2015 - $52,837 and 2014 - $31,428)	51,856	31,585
Federal Home Loan Bank (FHLB) stock	11,558	11,238
Loans held for sale, at fair value	2,776	2,347
Total loans	1,197,932	1,118,483
Allowance for loan losses	(17,081)	(18,962)
Net loans	1,180,851	1,099,521
Premises and equipment - net	51,456	52,894
Accrued interest receivable	3,622	3,399
Bank-owned life insurance	28,858	28,195
Other real estate owned - net	17,572	28,242
Net deferred tax asset	8,819	12,265
Other assets	3,984	2,831
Total assets	1,729,643	1,583,846
Deposits
Noninterest-bearing	477,032	404,143
Interest-bearing	958,480	902,182
Total deposits	1,435,512	1,306,325
Other borrowed funds	96,169	88,107
Long-term debt	41,238	41,238
Accrued expenses and other liabilities	4,747	5,657
Total liabilities	$ 1,577,666	$ 1,441,327
Commitments and contingent liabilities
Shareholders' equity
Common stock, no par value, 200,000,000 shares authorized; 33,925,113 and 33,866,789 shares issued and outstanding at December 31, 2015 and December 31, 2014, respectively	$ 216,540	$ 216,460
Retained deficit	(64,910)	(74,002)
Accumulated other comprehensive income	347	61
Total shareholders' equity	151,977	142,519
Total liabilities and shareholders' equity	$ 1,729,643	$ 1,583,846

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
ASSETS
Securities held to maturity fair value	$ 52,837	$ 31,428
Shareholders' equity
Common stock, par value (in dollars per share)	$ 0	$ 0
Common stock, shares authorized (in shares)	200,000,000	200,000,000
Common stock, shares issued (in shares)	33,925,113	33,866,789
Common stock, shares outstanding (in shares)	33,925,113	33,866,789

CONSOLIDATED STATEMENTS OF INCO

CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Interest income
Loans, including fees	$ 44,857	$ 42,911	$ 45,201
Securities
Taxable	2,065	2,006	1,798
Tax-exempt	1,557	1,161	742
FHLB Stock	472	471	393
Federal funds sold and other short-term investments	435	439	486
Total interest income	49,386	46,988	48,620
Interest expense
Deposits	2,210	2,576	3,993
Other borrowings	1,765	1,709	1,781
Subordinated and long-term debt	1,331	1,311	1,563
Total interest expense	5,306	5,596	7,337
Net interest income	44,080	41,392	41,283
Provision for loan losses	(3,500)	(3,350)	(4,250)
Net interest income after provision for loan losses	47,580	44,742	45,533
Noninterest income
Service charges and fees	4,377	4,334	4,129
Net gains on mortgage loans	2,925	1,939	2,554
Trust fees	2,927	2,701	2,413
ATM and debit card fees	4,750	4,654	4,325
Gain on sale of securities	129	75	120
Other	2,685	2,511	2,600
Total noninterest income	17,793	16,214	16,141
Noninterest expense
Salaries and benefits	24,668	23,137	23,012
Occupancy of premises	3,714	3,840	3,756
Furniture and equipment	3,237	3,190	3,224
Legal and professional	833	846	680
Marketing and promotion	951	1,056	990
Data processing	2,483	2,423	2,306
FDIC assessment	1,137	1,218	1,458
Interchange and other card expense	1,151	1,109	1,300
Bond and D&O Insurance	584	659	740
Net losses on repossessed and foreclosed properties	1,651	999	1,825
Administration and disposition of problem assets	1,381	2,072	3,699
Other	5,163	5,361	4,865
Total noninterest expenses	46,953	45,910	47,855
Income before income tax	18,420	15,046	13,819
Income tax expense	5,626	4,573	4,270
Net income	12,794	10,473	9,549
Effect of induced exchange of preferred stock	0	0	17,575
Net income available to common shares	$ 12,794	$ 10,473	$ (8,026)
Basic earnings per common share (in dollars per share)	$ 0.38	$ 0.31	$ (0.29)
Diluted earnings per common share (in dollars per share)	0.38	0.31	(0.29)
Cash dividends per common share (in dollars per share)	$ 0.11	$ 0.08	$ 0

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME [Abstract]
Net income	$ 12,794	$ 10,473	$ 9,549
Unrealized gains:
Net change in unrealized gains (losses) on securities available for sale	569	3,177	(4,365)
Tax effect	(199)	(1,112)	1,528
Net change in unrealized gains (losses) on securities available for sale, net of tax	370	2,065	(2,837)
Less: reclassification adjustments:
Reclassification for gains included in net income	129	75	120
Tax effect	(45)	(26)	(42)
Reclassification for gains included in net income, net of tax	84	49	78
Other comprehensive income (loss), net of tax	286	2,016	(2,915)
Comprehensive income	$ 13,080	$ 12,489	$ 6,634

CONSOLIDATED STATEMENTS OF CHAN

CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY - USD ($) $ in Thousands	Preferred Stock [Member]Series A [Member]	Preferred Stock [Member]Series B [Member]	Common Stock [Member]	Retained Deficit [Member]	Accumulated Other Comprehensive Income (Loss) [Member]	Total
Balance at Dec. 31, 2012	$ 30,604	$ 2,560	$ 187,718	$ (91,335)	$ 960	$ 130,507
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income				9,549		9,549
Conversion of 300 shares of Preferred Stock Series B to 50,000 shares of common stock		(300)	300			0
Net change in unrealized gain (loss) on securities available for sale, net of tax					(2,915)	(2,915)
Preferred stock exchange [Abstract]
Exchange of 31,290 shares of Preferred Stock Series A for 5,973,519 shares of common stock	(30,604)		30,604			0
Exchange of 2,300 shares of Preferred Stock Series B for 457,159 shares of common stock		(2,260)	2,260			0
Cash portion of exchange consideration, including exchange-related expenses			(4,734)			(4,734)
Common stock issuance costs						0
Repurchase of shares for taxes withheld on vested restricted stock			(45)			(45)
Stock compensation expense			160			160
Balance at Dec. 31, 2013	0	0	216,263	(81,786)	(1,955)	132,522
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income				10,473		10,473
Net change in unrealized gain (loss) on securities available for sale, net of tax					2,016	2,016
Preferred stock exchange [Abstract]
Common stock issuance costs			(102)			(102)
Issuance of 392 shares of Common Stock on exercise of stock purchase warrants			4			4
Cash dividends				(2,689)		(2,689)
Repurchase of shares for taxes withheld on vested restricted stock			(106)			(106)
Tax effect of vested stock awards			63			63
Stock compensation expense			338			338
Balance at Dec. 31, 2014	0	0	216,460	(74,002)	61	142,519
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income				12,794		12,794
Net change in unrealized gain (loss) on securities available for sale, net of tax					286	286
Preferred stock exchange [Abstract]
Common stock issuance costs						0
Cash dividends				(3,702)		(3,702)
Repurchase of shares for taxes withheld on vested restricted stock			(171)			(171)
Tax effect of vested stock awards			53			53
Tax effect of expired common stock warrants			(280)			(280)
Stock compensation expense			478			478
Balance at Dec. 31, 2015	$ 0	$ 0	$ 216,540	$ (64,910)	$ 347	$ 151,977

CONSOLIDATED STATEMENTS OF CHA7

CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (Parenthetical) - $ / shares	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of Common Stock on exercise of stock purchase warrants (in shares)		392
Cash dividend (in dollars per share)	$ 0.11	$ 0.08	$ 0
Common Stock [Member]
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Number of shares repurchased for taxes withheld on vested restricted stock (in shares)	29,676	20,534	8,906
Conversion of Preferred Stock Series B to Common Stock [Member] | Common Stock [Member]
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Number of shares issued in conversion of Preferred Stock to Common Stock (in shares)			50,000
Conversion of Preferred Stock Series B to Common Stock [Member] | Preferred Stock [Member] | Series B [Member]
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Number of shares converted in conversion of Preferred Stock to Common Stock (in shares)			300
Exchange of Preferred Stock Series A to Common Stock [Member] | Common Stock [Member]
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Number of shares issued in exchange of Preferred Stock to Common Stock (in shares)			5,973,519
Exchange of Preferred Stock Series A to Common Stock [Member] | Preferred Stock [Member] | Series A [Member]
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Number of shares exchanged in exchange of Preferred Stock to Common Stock (in shares)			31,290
Exchange of Preferred Stock Series B to Common Stock [Member] | Common Stock [Member]
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Number of shares issued in exchange of Preferred Stock to Common Stock (in shares)			457,159
Exchange of Preferred Stock Series B to Common Stock [Member] | Preferred Stock [Member] | Series B [Member]
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Number of shares exchanged in exchange of Preferred Stock to Common Stock (in shares)			2,300

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Cash flows from operating activities
Net income	$ 12,794	$ 10,473	$ 9,549
Adjustments to reconcile net income to net cash from operating activities:
Depreciation and amortization	2,969	3,139	3,067
Stock compensation expense	478	338	160
Tax effect of vested stock awards	53	63	0
Tax effect of expired common stock warrants	(280)	0	0
Provision for loan losses	(3,500)	(3,350)	(4,250)
Origination of loans for sale	(99,998)	(73,516)	(107,988)
Proceeds from sales of loans originated for sale	102,494	75,023	116,757
Net gains on mortgage loans	(2,925)	(1,939)	(2,554)
Gain on sales of securities	(129)	(75)	(120)
Write-down of other real estate	724	1,623	2,922
Net (gain) loss on sales of other real estate	926	(624)	(1,098)
Change in net deferred tax asset	3,291	2,849	4,150
Change in accrued interest receivable and other assets	(1,323)	1,555	124
Earnings in bank-owned life insurance	(663)	(678)	(713)
Change in accrued expenses and other liabilities	(910)	1,737	(3,694)
Net cash from operating activities	14,001	16,618	16,312
Cash flows from investing activities
Loan originations and payments, net	(80,350)	(79,524)	7,741
Change in interest-bearing deposits in other financial institutions	0	5,000	(25,000)
Purchases of securities available for sale	(59,807)	(43,882)	(42,594)
Purchases of securities held to maturity	(36,547)	(25,225)	(19,732)
Purchase FHLB stock	(320)	(2,519)	0
Proceeds from:
Maturities and calls of securities	47,056	22,528	13,159
Sales of securities available for sale	20,625	10,936	5,241
Principal paydowns on securities	3,670	3,642	6,100
Sales of other real estate	11,540	12,487	16,501
Sale of FHLB stock	0	2,517	0
Additions to premises and equipment	(1,170)	(1,766)	(2,407)
Net cash from investing activities	(95,303)	(95,806)	(40,991)
Cash flows from financing activities
Change in deposits	129,187	56,591	(36,527)
Repayments of other borrowed funds	(1,938)	(1,884)	(3,481)
Proceeds from other borrowed funds	10,000	0	0
Proceeds from issuance of common stock	0	4	0
Cash retained (paid) related to tax impact of vested stock awards	(53)	(63)	0
Cash dividends paid	(3,702)	(2,689)	0
Common stock issuance costs	0	(102)	0
Repurchase shares for taxes withheld on vested restricted stock	(171)	(106)	(45)
Cash paid in preferred stock exchange	0	0	(4,734)
Net cash from financing activities	133,323	51,751	(44,787)
Net change in cash and cash equivalents	52,021	(27,437)	(69,466)
Cash and cash equivalents at beginning of period	129,455	156,892	226,358
Cash and cash equivalents at end of period	181,476	129,455	156,892
Supplemental cash flow information
Interest paid	5,322	5,615	11,886
Income taxes paid	4,300	90	120
Supplemental noncash disclosures:
Transfers from loans to other real estate	2,520	4,932	3,539
Security settlement	0	0	1,626
Conversion of 300 shares of Preferred Series B to 50,000 shares of common stock	0	0	300
Exchange of 31,290 shares of Preferred Series A for 5,973,519 shares of common stock	0	0	30,604
Exchange of 2,300 shares of Preferred Series B for 457,159 shares of common stock	$ 0	$ 0	$ 2,260

CONSOLIDATED STATEMENTS OF CAS9

CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical)	12 Months Ended
	Dec. 31, 2013shares
Conversion of Preferred Stock Series B to Common Stock [Member] | Common Stock [Member]
Supplemental noncash disclosures:
Number of shares issued in conversion of Preferred Stock to Common Stock (in shares)	50,000
Conversion of Preferred Stock Series B to Common Stock [Member] | Preferred Stock [Member] | Series B Preferred Stock [Member]
Supplemental noncash disclosures:
Number of shares converted in conversion of Preferred Stock to Common Stock (in shares)	300
Exchange of Preferred Stock Series A to Common Stock [Member] | Common Stock [Member]
Supplemental noncash disclosures:
Number of shares issued in exchange of Preferred Stock to Common Stock (in shares)	5,973,519
Exchange of Preferred Stock Series A to Common Stock [Member] | Preferred Stock [Member] | Series A Preferred Stock [Member]
Supplemental noncash disclosures:
Number of shares exchanged in exchange of Preferred Stock to Common Stock (in shares)	31,290
Exchange of Preferred Stock Series B to Common Stock [Member] | Common Stock [Member]
Supplemental noncash disclosures:
Number of shares issued in exchange of Preferred Stock to Common Stock (in shares)	457,159
Exchange of Preferred Stock Series B to Common Stock [Member] | Preferred Stock [Member] | Series B Preferred Stock [Member]
Supplemental noncash disclosures:
Number of shares exchanged in exchange of Preferred Stock to Common Stock (in shares)	2,300

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	12 Months Ended
	Dec. 31, 2015
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract]
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Nature of Operations and Principles of Consolidation Macatawa Bank is a Michigan chartered bank with depository accounts insured by the Federal Deposit Insurance Corporation. The Bank operates 26 full service branch offices providing a full range of commercial and consumer banking and trust services in Kent County, Ottawa County, and northern Allegan County, Michigan. The Company owns all of the common securities of Macatawa Statutory Trust I and Macatawa Statutory Trust II. These are grantor trusts that issued trust preferred securities and are discussed in a separate note. Under generally accepted accounting principles, these trusts are not consolidated into the financial statements of the Company. Use of Estimates Concentration of Credit Risk Cash Flow Reporting Securities Interest income includes amortization of purchase premium or discount. Premiums and discounts on securities are amortized on the level yield method without anticipating prepayments. Gains and losses on sales are based on the amortized cost of the security sold. Management evaluates securities for other-than-temporary impairment ("OTTI") at least on a quarterly basis, and more frequently when economic or market conditions warrant such an evaluation. Investment securities classified as available for sale or held-to-maturity are generally evaluated for OTTI under ASC Topic 320, Investments — Debt and Equity Instruments In determining OTTI, management considers many factors, including: (1) the length of time and the extent to which the fair value has been less than cost, (2) the financial condition and near-term prospects of the issuer, (3) whether the market decline was affected by macroeconomic conditions, and (4) whether the entity has the intent to sell the debt security or more likely than not will be required to sell the debt security before its anticipated recovery. The assessment of whether an other-than-temporary decline exists involves a high degree of subjectivity and judgment and is based on the information available to management at a point in time. Management has determined that no OTTI charges were necessary during 2015, 2014 and 2013. Federal Home Loan Bank (FHLB) Stock Loans Held for Sale Loans Interest income is accrued on the unpaid principal balance. Loan origination fees, net of certain direct origination costs, are deferred and recognized in interest income over the respective term of the loan using the level‑yield method without anticipating prepayments. Interest income on mortgage and commercial loans is discontinued at the time the loan is 90 days delinquent unless the loan is well-secured and in process of collection. Consumer loans are typically charged off no later than 120 days past due. Past due status is based on the contractual terms of the loan. In all cases, loans are placed on nonaccrual or charged-off at an earlier date if collection of principal or interest is considered doubtful. Nonaccrual loans and loans past due 90 days still on accrual include both smaller balance homogeneous loans that are collectively evaluated for impairment and individually classified impaired loans. All interest accrued but not received for loans placed on nonaccrual is reversed against interest income. Interest received on such loans is accounted for on the cash-basis or cost‑recovery method, until qualifying for return to accrual. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. Allowance for Loan Losses The allowance consists of specific and general components. The specific component relates to loans that are individually classified as impaired. The general component covers non-classified loans and is based on historical loss experience adjusted for current qualitative environmental factors. The Company maintains a loss migration analysis that tracks loan losses and recoveries based on loan class as well as the loan risk grade assignment for commercial loans. At December 31, 2015, an 18 month (six quarter) annualized historical loss experience was used for commercial loans and a 12 month (four quarter) historical loss experience period was applied to residential mortgage and consumer loan portfolios. These historical loss percentages are adjusted (both upwards and downwards) for certain qualitative environmental factors, including economic trends, credit quality trends, valuation trends, concentration risk, quality of loan review, changes in personnel, external factors and other considerations. A loan is impaired when, based on current information and events, it is believed to be probable that the Company will be unable to collect all amounts due according to the contractual terms of the loan agreement. Loans for which the terms have been modified and for which the borrower is experiencing financial difficulties, are considered troubled debt restructurings and classified as impaired. Commercial and commercial real estate loans with relationship balances exceeding $500,000 and an internal risk grading of 6 or worse are evaluated for impairment. If a loan is impaired, a portion of the allowance is allocated so that the loan is reported, net, at the present value of estimated future cash flows using the loan’s existing interest rate or at the fair value of collateral, less estimated costs to sell, if repayment is expected solely from the collateral. Large groups of smaller balance homogeneous loans, such as consumer and residential real estate loans are collectively evaluated for impairment and, accordingly, they are not separately identified for impairment disclosures. Troubled debt restructurings are also considered impaired with impairment generally measured at the present value of estimated future cash flows using the loan’s effective rate at inception or using the fair value of collateral, less estimated costs to sell, if repayment is expected solely from the collateral. Transfers of Financial Assets Foreclosed Assets Premises and Equipment Bank-Owned Life Insurance (BOLI): Goodwill and Acquired Intangible Assets Acquired intangible assets consist of core deposit and customer relationship intangible assets arising from acquisitions. They are initially measured at fair value and then are amortized on an accelerated method over their estimated useful lives, which range from ten to sixteen years. The Company had no acquired intangible assets at December 31, 2015 and 2014. Long-term Assets Loan Commitments and Related Financial Instruments Mortgage Banking Derivatives Changes in the fair values of these interest rate lock and forward commitment derivatives are included in net gains on mortgage loans. The net fair value of mortgage banking derivatives was approximately $38,000 and $(2,000) at December 31, 2015 and 2014, respectively. Derivatives Income Taxes The Company recognizes a tax position as a benefit only if it is "more likely than not" that the tax position would be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the largest amount of tax benefit that is greater than 50% likely of being realized on examination. For tax positions not meeting the "more likely than not" test, no tax benefit is recorded. The Company recognizes interest and/or penalties related to income tax matters in income tax expense. Earnings Per Common Share Comprehensive Income (Loss) Loss Contingencies Restrictions on Cash Stock Splits and Dividends Dividend Restriction Fair Values of Financial Instruments Segment Reporting Reclassifications Adoption of New Accounting Standards Receivables - Troubled Debt Restructurings by Creditors (Subtopic 310-40) - Reclassification of Residential Real Estate Collateralized Consumer Mortgage Loans upon Foreclosure a b FASB issued ASU 2014-08, Presentation of Financial Statements (Topic 205) and Property, Plant, and Equipment (Topic 360): Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity. FASB issued ASU 2014-14, Classification of Certain Government-Guaranteed Mortgage Loans upon Foreclosure. Newly Issued Not Yet Effective Standards FASB issued ASU 2014-09, Revenue from Contracts with Customers (Topic 606). Other Assets and Deferred Costs: Contracts with Customers Revenue from Contracts with Customers (Topic 606) – Deferral of the Effective Date FASB issued ASU 2015-03, Simplifying the Presentation of Debt Issuance Costs FASB issued ASU 2015-05, Customer’s Accounting for Fees Paid in a Cloud Computing Arrangement FASB issued ASU 2015-12, Plan Accounting: Defined Benefit Pension Plans (Topic 960), Defined Contribution Pension Plans (Topic 962), Health and Welfare Benefit Plans (Topic 965)—(Part I) Fully Benefit-Responsive Investment Contracts, (Part II) Plan Investment Disclosures, (Part III) Measurement Date Practical Expedient (consensuses of the Emerging Issues Task Force)

SECURITIES

SECURITIES	12 Months Ended
	Dec. 31, 2015
SECURITIES [Abstract]
SECURITIES	NOTE 2 – SECURITIES The amortized cost and fair value of securities were as follows (dollars in thousands): Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value December 31, 2015 Available for Sale: U.S. Treasury and federal agency securities $ 74,618 48 (274 ) $ 74,392 U.S. Agency MBS and CMOs 13,828 35 (108 ) 13,755 Tax-exempt state and municipal bonds 32,943 692 (37 ) 33,598 Taxable state and municipal bonds 28,554 246 (37 ) 28,763 Corporate bonds and other debt securities 14,838 19 (44 ) 14,813 Other equity securities 1,500 --- (6 ) 1,494 $ 166,281 $ 1,040 $ (506 ) $ 166,815 Held to Maturity Tax-exempt state and municipal bonds $ 51,856 $ 986 $ (5 ) $ 52,837 December 31, 2014 Available for Sale: U.S. Treasury and federal agency securities $ 67,612 $ 53 $ (501 ) $ 67,164 U. S. Agency MBS and CMOs 16,692 67 (71 ) 16,688 Tax-exempt state and municipal bonds 37,203 419 (161 ) 37,461 Taxable state and municipal bonds 25,012 351 (70 ) 25,293 Corporate bonds and other debt securities 13,762 34 (30 ) 13,766 Other equity securities 1,500 2 --- 1,502 $ 161,781 $ 926 $ (833 ) $ 161,874 Held to Maturity: Tax-exempt state and municipal bonds $ 31,585 $ 64 $ (221 ) $ 31,428 Proceeds from the sale of securities available for sale were $20.6 million, $10.9 million and $5.2 million, respectively, for the years ended December 31, 2015, 2014 and 2013, resulting in net gains on sale of $129,000, $75,000 and $120,000, respectively, as reported in the consolidated statements of income. This resulted in reclassifications of $129,000 ($84,000 net of tax), $75,000 ($49,000 net of tax) and $120,000 ($78,000 net of tax) respectively, from accumulated other comprehensive income to gain on sale of securities in the consolidated statements of income in years ended December 31, 2015, 2014 and 2013. Contractual maturities of debt securities at December 31, 2015 were as follows (dollars in thousands): Held–to-Maturity Securities Available-for-Sale Securities Amortized Cost Fair Value Amortized Cost Fair ValWue Due in one year or less $ 14,980 $ 15,017 $ 9,650 $ 9,669 Due from one to five years 9,808 9,939 101,770 101,772 Due from five to ten years 14,868 15,532 39,512 40,075 Due after ten years 12,200 12,349 13,849 13,805 $ 51,856 $ 52,837 $ 164,781 $ 165,321 Securities with unrealized losses at December 31, 2015 and 2014, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, are as follows (dollars in thousands): Less than 12 Months 12 Months or More Total December 31, 2015 Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss U.S. Treasury and federal agency securities $ 35,090 $ (187 ) $ 7,036 $ (82 ) $ 42,126 $ (269 ) U.S. Agency MBS and CMOs 8,842 (108 ) --- --- 8,842 (108 ) Tax-exempt state and municipal bonds 3,487 (9 ) 2,022 (33 ) 5,509 (42 ) Taxable state and municipal bonds 8,158 (29 ) 640 (8 ) 8,798 (37 ) Corporate bonds and other debt securities 9,330 (47 ) 499 (2 ) 9,829 (49 ) Other equity securities 1,494 (6 ) --- 1,494 (6 ) Total temporarily impaired $ 66,401 $ (386 ) $ 10,197 $ (125 ) $ 76,598 $ (511 ) Less than 12 Months 12 Months or More Total December 31, 2014 Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss U.S. Treasury and federal agency securities $ 16,426 $ (45 ) $ 35,350 $ (456 ) $ 51,776 $ (501 ) U.S. Agency MBS and CMOs --- --- 9,732 (71 ) 9,732 (71 ) Tax-exempt state and municipal bonds 26,820 (264 ) 4,545 (118 ) 31,365 (382 ) Taxable state and municipal bonds 3,982 (19 ) 3,240 (51 ) 7,222 (70 ) Corporate bonds and other debt securities 4,187 (13 ) 1,988 (17 ) 6,175 (30 ) Other equity securities --- --- --- --- --- --- Total temporarily impaired $ 51,415 $ (341 ) $ 54,855 $ (713 ) $ 106,270 $ (1,054 ) Other-Than-Temporary-Impairment Management evaluates securities for other-than-temporary impairment ("OTTI") at least on a quarterly basis, and more frequently when economic or market conditions warrant such an evaluation. Management determined that the unrealized losses for each period were attributable to changes in interest rates and not due to credit quality. As such, no OTTI charges were necessary during 2015, 2014 and 2013. Securities with a carrying value of approximately $2.0 million were pledged as security for public deposits, letters of credit and for other purposes required or permitted by law at December 31, 2015 and 2014.

LOANS

LOANS	12 Months Ended
	Dec. 31, 2015
LOANS [Abstract]
LOANS	NOTE 3 – LOANS Portfolio loans were as follows (dollars in thousands): December 31, 2015 December 31, 2014 Commercial and industrial $ 377,298 $ 327,674 Commercial real estate: Residential developed 10,448 12,771 Unsecured to residential developers 7,372 7,496 Vacant and unimproved 42,881 50,372 Commercial development 559 4,082 Residential improved 67,922 69,612 Commercial improved 289,651 269,757 Manufacturing and industrial 89,839 76,441 Total commercial real estate 508,672 490,531 Consumer Residential mortgage 209,972 190,249 Unsecured 637 948 Home equity 92,716 98,887 Other secured 8,637 10,194 Total consumer 311,962 300,278 Total loans 1,197,932 1,118,483 Allowance for loan losses (17,081 ) (18,962 ) $ 1,180,851 $ 1,099,521 The following tables present the activity in the allowance for loan losses by portfolio segment for the years ended December 31, 2015, 2014 and 2013 (dollars in thousands): 2015 Commercial and Industrial Commercial Real Estate Consumer Unallocated Total Beginning balance $ 6,173 8,690 $ 4,046 $ 53 $ 18,962 Charge-offs (172 ) (218 ) (312 ) (702 ) Recoveries 406 1,264 651 2,321 Provision for loan losses (1,581 ) (1,279 ) (624 ) (16 ) (3,500 ) Ending Balance $ 4,826 $ 8,457 $ 3,761 $ 37 $ 17,081 2014 Commercial and Industrial Commercial Real Estate Consumer Unallocated Total Beginning balance $ 6,174 $ 10,868 $ 3,703 $ 53 $ 20,798 Charge-offs (43 ) (134 ) (499 ) --- (676 ) Recoveries 522 1,481 187 --- 2,190 Provision for loan losses (480 ) (3,525 ) 655 --- (3,350 ) Ending Balance $ 6,173 $ 8,690 $ 4,046 $ 53 $ 18,962 2013 Commercial and Industrial Commercial Real Estate Consumer Unallocated Total Beginning balance $ 6,459 $ 13,457 $ 3,787 $ 36 $ 23,739 Charge-offs (317 ) (1,065 ) (822 ) --- (2,204 ) Recoveries 1,134 2,141 238 --- 3,513 Provision for loan losses (1,102 ) (3,665 ) 500 17 (4,250 ) Ending Balance $ 6,174 $ 10,868 $ 3,703 $ 53 $ 20,798 The following tables present the balance in the allowance for loan losses and the recorded investment in loans by portfolio segment and based on impairment method (dollars in thousands): December 31, 2015 Commercial and Industrial Commercial Real Estate Consumer Unallocated Total Allowance for loan losses: Ending allowance attributable to loans: Individually reviewed for impairment $ 673 $ 436 $ 829 $ --- $ 1,938 Collectively evaluated for impairment 4,153 8,021 2,932 37 15,143 Total ending allowance balance $ 4,826 $ 8,457 $ 3,761 $ 37 $ 17,081 Loans: Individually reviewed for impairment $ 7,718 $ 17,569 $ 13,463 $ --- $ 38,750 Collectively evaluated for impairment 369,580 491,103 298,499 --- 1,159,182 Total ending loans balance $ 377,298 $ 508,672 $ 311,962 $ --- $ 1,197,932 December 31, 2014 Commercial and Industrial Commercial Real Estate Consumer Unallocated Total Allowance for loan losses: Ending allowance attributable to loans: Individually reviewed for impairment $ 2,429 $ 743 $ 893 $ --- $ 4,065 Collectively evaluated for impairment 3,744 7,947 3,153 53 14,897 Total ending allowance balance $ 6,173 $ 8,690 $ 4,046 $ 53 $ 18,962 Loans: Individually reviewed for impairment $ 9,084 $ 29,818 $ 14,495 $ --- $ 53,397 Collectively evaluated for impairment 318,590 460,713 285,783 --- 1,065,086 Total ending loans balance $ 327,674 $ 490,531 $ 300,278 $ --- $ 1,118,483 The following table presents loans individually evaluated for impairment by class of loans as of December 31, 2015 (dollars in thousands): December 31, 2015 Unpaid Principal Balance Recorded Investment Allowance Allocated With no related allowance recorded: Commercial and industrial $ 2,736 $ 2,736 $ --- Commercial real estate: Residential developed --- --- --- Unsecured to residential developers --- --- --- Vacant and unimproved 206 206 --- Commercial development --- --- --- Residential improved 5 5 --- Commercial improved --- --- --- Manufacturing and industrial --- --- --- 211 211 --- Consumer: Residential mortgage --- --- --- Unsecured --- --- --- Home equity --- --- --- Other secured --- --- --- --- --- --- $ 2,947 $ 2,947 $ --- With an allowance recorded: Commercial and industrial $ 4,982 $ 4,982 $ 673 Commercial real estate: Residential developed --- --- --- Unsecured to residential developers --- --- --- Vacant and unimproved 247 247 7 Commercial development 192 192 6 Residential improved 5,254 5,254 140 Commercial improved 11,425 11,425 274 Manufacturing and industrial 240 240 9 17,358 17,358 436 Consumer: Residential mortgage 8,655 8,655 533 Unsecured --- --- --- Home equity 4,808 4,808 296 Other secured --- --- --- 13,463 13,463 829 $ 35,803 $ 35,803 $ 1,938 Total $ 38,750 $ 38,750 $ 1,938 The following table presents loans individually evaluated for impairment by class of loans as of December 31, 2014 (dollars in thousands): December 31, 2014 Unpaid Principal Balance Recorded Investment Allowance Allocated With no related allowance recorded: Commercial and industrial $ 3,019 $ 3,019 $ --- Commercial real estate: Residential developed 531 531 --- Unsecured to residential developers --- --- --- Vacant and unimproved --- --- --- Commercial development --- --- --- Residential improved 547 547 --- Commercial improved 331 331 --- Manufacturing and industrial 206 206 --- 1,615 1,615 --- Consumer: Residential mortgage --- --- --- Unsecured --- --- --- Home equity --- --- --- Other secured --- --- --- --- --- --- $ 4,634 $ 4,634 $ --- With an allowance recorded: Commercial and industrial $ 6,065 $ 6,065 $ 2,429 Commercial real estate: Residential developed 550 550 35 Unsecured to residential developers --- --- --- Vacant and unimproved 1,499 1,499 43 Commercial development 199 199 5 Residential improved 7,323 7,323 240 Commercial improved 16,113 16,113 389 Manufacturing and industrial 2,519 2,519 31 28,203 28,203 743 Consumer: Residential mortgage 9,492 9,484 584 Unsecured --- --- --- Home equity 5,182 5,011 309 Other secured --- --- --- 14,674 14,495 893 $ 48,942 $ 48,763 $ 4,065 Total $ 53,576 $ 53,397 $ 4,065 The following table presents information regarding average balances of impaired loans and interest recognized on impaired loans for the years ended December 31, 2015, 2014 and 2013 (dollars in thousands): 2015 2014 2013 Average of impaired loans during the period: Commercial and industrial $ 7,296 $ 11,818 $ 14,333 Commercial real estate: Residential developed 577 3,628 6,357 Unsecured to residential developers --- --- --- Vacant and unimproved 1,231 1,646 2,804 Commercial development 195 451 398 Residential improved 6,425 9,309 11,549 Commercial improved 15,106 17,853 20,191 Manufacturing and industrial 1,944 5,630 6,305 Consumer 14,259 14,476 14,532 Interest income recognized during impairment: Commercial and industrial 1,110 1,108 1,278 Commercial real estate 967 1,527 1,974 Consumer 497 541 537 Cash-basis interest income recognized Commercial and industrial 1,066 1,107 1,273 Commercial real estate 970 1,547 1,971 Consumer 502 541 532 Nonaccrual loans include both smaller balance homogeneous loans that are collectively evaluated for impairment and individually classified impaired loans. The following tables present the recorded investment in nonaccrual and loans past due over 90 days still on accrual by class of loans as of December 31, 2015 and 2014: December 31, 2015 Nonaccrual Over 90 days Accruing Commercial and industrial $ 174 $ --- Commercial real estate: Residential developed 195 --- Unsecured to residential developers --- --- Vacant and unimproved --- --- Commercial development 49 --- Residential improved 124 --- Commercial improved 157 --- Manufacturing and industrial --- --- 525 --- Consumer: Residential mortgage 2 --- Unsecured 28 --- Home equity 10 17 Other secured --- --- 40 17 Total $ 739 $ 17 December 31, 2014 Nonaccrual Over 90 days Accruing Commercial and industrial $ 5,605 $ --- Commercial real estate: Residential developed 245 --- Unsecured to residential developers --- --- Vacant and unimproved --- --- Commercial development 29 --- Residential improved 766 --- Commercial improved 866 117 Manufacturing and industrial --- --- 1,906 117 Consumer: Residential mortgage 305 --- Unsecured 40 --- Home equity 436 17 Other secured --- --- 781 17 Total $ 8,292 $ 134 The following table presents the aging of the recorded investment in past due loans as of December 31, 2015 by class of loans (dollars in thousands): December 31, 2015 30-90 Days Greater Than 90 Days Total Past Due Loans Not Past Due Total Commercial and industrial $ 719 $ 100 $ 819 $ 376,479 $ 377,298 Commercial real estate: Residential developed --- --- --- 10,448 10,448 Unsecured to residential developers --- --- --- 7,372 7,372 Vacant and unimproved --- --- --- 42,881 42,881 Commercial development --- 49 49 510 559 Residential improved 73 6 79 67,843 67,922 Commercial improved 375 --- 375 289,276 289,651 Manufacturing and industrial --- --- --- 89,839 89,839 448 55 503 508,169 508,672 Consumer: Residential mortgage --- --- --- 209,972 209,972 Unsecured --- --- --- 637 637 Home equity 32 17 49 92,667 92,716 Other secured --- --- --- 8,637 8,637 32 17 49 311,913 311,962 Total $ 1,199 $ 172 $ 1,371 $ 1,196,561 $ 1,197,932 The following table presents the aging of the recorded investment in past due loans as of December 31, 2014 by class of loans (dollars in thousands): December 31, 2014 30-90 Days Greater Than 90 Days Total Past Due Loans Not Past Due Total Commercial and industrial $ 54 $ --- $ 54 $ 327,620 $ 327,674 Commercial real estate: Residential developed --- --- --- 12,771 12,771 Unsecured to residential developers --- --- --- 7,496 7,496 Vacant and unimproved 100 --- 100 50,272 50,372 Commercial development --- 29 29 4,053 4,082 Residential improved 100 440 540 69,072 69,612 Commercial improved --- 958 958 268,799 269,757 Manufacturing and industrial --- --- --- 76,441 76,441 200 1,427 1,627 488,904 490,531 Consumer: Residential mortgage 338 303 641 189,608 190,249 Unsecured --- 18 18 930 948 Home equity 79 422 501 98,386 98,887 Other secured --- --- --- 10,194 10,194 417 743 1,160 299,118 300,278 Total $ 671 $ 2,170 $ 2,841 $ 1,115,642 $ 1,118,483 The Company had allocated $1,938,000 and $4,065,000 of specific reserves to customers whose loan terms have been modified in troubled debt restructurings (“TDRs”) as of December 31, 2015 and December 31, 2014, respectively. These loans may have involved the restructuring of terms to allow customers to mitigate the risk of foreclosure by meeting a lower loan payment requirement based upon their current cash flow. These may also include loans that renewed at existing contractual rates, but below market rates for comparable credit. The Company has been active at utilizing these programs and working with its customers to reduce the risk of foreclosure. For commercial loans, these modifications typically include an interest only period and, in some cases, a lowering of the interest rate on the loan. In some cases, the modification will include separating the note into two notes with the first note structured to be supported by current cash flows and collateral, and the second note made for the remaining unsecured debt. The second note is charged off immediately and collected only after the first note is paid in full. This modification type is commonly referred to as an A-B note structure. For consumer mortgage loans, the restructuring typically includes a lowering of the interest rate to provide payment and cash flow relief. For each restructuring, a comprehensive credit underwriting analysis of the borrower’s financial condition and prospects of repayment under the revised terms is performed to assess whether the structure can be successful and that cash flows will be sufficient to support the restructured debt. An analysis is also performed to determine whether the restructured loan should be on accrual status. Generally, if the loan is on accrual at the time of restructure, it will remain on accrual after the restructuring. In some cases, a nonaccrual loan may be placed on accrual at restructuring if the loan’s actual payment history demonstrates it would have cash flowed under the restructured terms. After six consecutive payments under the restructured terms, a nonaccrual restructured loan is reviewed for possible upgrade to accruing status. Based upon regulatory guidance issued in 2014, the Company has determined that in situations where there is a subsequent modification or renewal and the loan is brought to market terms, including a contractual interest rate not less than a market interest rate for new debt with similar credit risk characteristics, the TDR and impaired loan designations may be removed. This guidance was first applied to loans outstanding at September 30, 2014 resulting in a reduction of $5.9 million in loans designated as TDR and impaired. In addition, the TDR designation may also be removed from loans modified under an A-B note structure. If the remaining “A” note is at a market rate at the time of restructuring (taking into account the borrower’s credit risk and prevailing market conditions), the loan can be removed from TDR designation in a subsequent calendar year after six months of performance in accordance with the new terms. The market rate relative to the borrower’s credit risk is determined through analysis of market pricing information gathered from peers and use of a loan pricing model. The general objective of the model is to achieve a consistent return on equity from one credit to the next, taking into consideration differences in credit risk. In the model, credits with higher risk receive a higher potential loss allocation, and therefore require a higher interest rate to achieve the target return on equity. As with other impaired loans, an allowance for loan loss is estimated for each TDR based on the most likely source of repayment for each loan. For impaired commercial real estate loans that are collateral dependent, the allowance is computed based on the fair value of the underlying collateral, less estimated costs to sell. For impaired commercial loans where repayment is expected from cash flows from business operations, the allowance is computed based on a discounted cash flow computation. Certain groups of TDRs, such as residential mortgages, have common characteristics and for them the allowance is computed based on a discounted cash flow computation on the change in weighted rate for the pool. The allowance allocations for commercial TDRs where we have reduced the contractual interest rate are computed by measuring cash flows using the new payment terms discounted at the original contractual rate. The following table presents information regarding troubled debt restructurings as of December 31, 2015 and 2014 (dollars in thousands): 2015 2014 Number of Loans Outstanding Recorded Balance Number of Loans Outstanding Recorded Balance Commercial and industrial 33 $ 7,611 36 $ 9,085 Commercial real estate 56 17,871 84 29,817 Consumer 124 13,570 106 14,495 213 $ 39,052 226 $ 53,397 The following table presents information related to accruing troubled debt restructurings as of December 31, 2015, 2014, 2013 and 2012. The table presents the amount of accruing troubled debt restructurings that were on nonaccrual status prior to the restructuring, accruing at the time of restructuring and those that were upgraded to accruing status after receiving six consecutive monthly payments in accordance with the restructured terms as of December 31, 2015, 2014, 2013 and 2012 (dollars in thousands): 2015 2014 2013 2012 Accruing TDR - nonaccrual at restructuring $ --- $ --- $ --- $ 1,135 Accruing TDR - accruing at restructuring 33,691 46,197 57,790 61,545 Accruing TDR - upgraded to accruing after six consecutive payments 4,784 --- --- 2,344 $ 38,475 $ 46,197 $ 57,790 $ 65,024 The following tables present information regarding troubled debt restructurings executed during the years ended December 31, 2015, 2014 and 2013 (dollars in thousands): 2015 Number of Loans Pre-Modification Outstanding Recorded Balance Principal Writedown upon Modification Commercial and industrial 6 $ 745 $ --- Commercial real estate 3 301 --- Consumer 34 1,000 --- 43 $ 2,046 $ --- 2014 Number of Loans Pre-Modification Outstanding Recorded Balance Principal Writedown upon Modification Commercial and industrial 1 $ 61 $ --- Commercial real estate 11 4,345 --- Consumer 39 1,422 --- 51 $ 5,828 $ --- 2013 Number of Loans Pre-Modification Outstanding Recorded Balance Principal Writedown upon Modification Commercial and industrial 5 $ 1,085 $ --- Commercial real estate 13 4,298 --- Consumer 36 5,833 --- 54 $ 11,216 $ --- According to the accounting standards, not all loan modifications are TDRs. TDRs are modifications or renewals where the Company has granted a concession to a borrower in financial distress. The Company reviews all modifications and renewals for determination of TDR status. In some situations a borrower may be experiencing financial distress, but the Company does not provide a concession. These modifications are not considered TDRs. In other cases, the Company might provide a concession, such as a reduction in interest rate, but the borrower is not experiencing financial distress. This could be the case if the Company is matching a competitor’s interest rate. These modifications would also not be considered TDRs. Finally, any renewals at existing terms for borrowers not experiencing financial distress would not be considered TDRs. As with other loans not considered TDR or impaired, allowance allocations are based on the historical based allocation for the applicable loan grade and loan class. The table below presents, by class, information regarding troubled debt restructurings which had payment defaults during the twelve months ended December 31, 2015, 2014 and 2013 (dollars in thousands). Included are loans that became delinquent more than 90 days past due or transferred to nonaccrual within 12 months of restructuring. 2015 2014 2013 Number of Loans Outstanding Recorded Balance Number of Loans Outstanding Recorded Balance Number of Loans Outstanding Recorded Balance Commercial and industrial --- $ --- --- $ --- --- $ --- Commercial real estate --- --- 1 131 1 1,350 Consumer 2 28 --- --- --- --- Credit Quality Indicators: 1. Excellent 2. Above Average 3. Good Quality 4. Acceptable Risk 5. Marginally Acceptable 6. Substandard 7. Doubtful 8. Loss At year end, the risk grade category of commercial loans by class of loans was as follows (dollars in thousands): December 31, 2015 1 2 3 4 5 6 7 8 Total Commercial and industrial $ 196 8,774 114,451 242,253 5,235 6,215 174 $ --- $ 377,298 Commercial real estate: Residential developed --- --- 2,226 5,191 2,836 --- 195 --- 10,448 Unsecured to residential developers --- --- --- 7,372 --- --- --- --- 7,372 Vacant and unimproved --- --- 17,768 20,588 4,525 --- --- --- 42,881 Commercial development --- --- --- 318 --- 192 49 --- 559 Residential improved --- --- 7,191 54,376 4,722 1,509 124 --- 67,922 Commercial improved --- 3,094 60,475 208,127 15,645 2,153 157 --- 289,651 Manufacturing & industrial --- 1,478 34,857 50,023 3,481 --- --- --- 89,839 $ 196 $ 13,346 $ 236,968 $ 588,248 $ 36,444 $ 10,069 $ 699 $ --- $ 885,970 December 31, 2014 1 2 3 4 5 6 7 8 Total Commercial and industrial $ 343 $ 11,177 $ 118,382 $ 182,651 $ 8,448 $ 1,068 $ 5,605 $ --- $ 327,674 Commercial real estate: Residential developed --- --- 2,491 4,702 4,491 842 245 --- 12,771 Unsecured to residential developers --- --- --- 7,496 --- --- --- --- 7,496 Vacant and unimproved --- --- 12,105 30,997 7,241 29 --- --- 50,372 Commercial development --- --- --- 3,643 211 199 29 --- 4,082 Residential improved --- 103 16,291 43,928 6,428 2,096 766 --- 69,612 Commercial improved --- 4,392 61,543 178,169 20,558 4,229 866 --- 269,757 Manufacturing & industrial --- 1,508 27,396 42,494 4,713 330 --- --- 76,441 $ 343 $ 17,180 $ 238,208 $ 494,080 $ 52,090 $ 8,793 $ 7,511 $ --- $ 818,205 Commercial loans rated a 6 or worse per the Company’s internal risk rating system are considered substandard, doubtful or loss. Commercial loans classified as substandard or worse were as follows at year-end (dollars in thousands): 2015 2014 Not classified as impaired $ 1,986 $ 4,220 Classified as impaired 8,782 12,084 Total commercial loans classified substandard or worse $ 10,768 $ 16,304 The Company considers the performance of the loan portfolio and its impact on the allowance for loan losses. For consumer loan classes, the Company also evaluates credit quality based on the aging status of the loan, which was previously presented, and by payment activity. The following tables present the recorded investment in consumer loans based on payment activity as of December 31, 2015 and 2014 (dollars in thousands): December 31, 2015 Residential Mortgage Consumer Unsecured Home Equity Consumer Other Performing $ 209,972 $ 637 $ 92,699 $ 8,637 Nonperforming --- --- 17 --- Total $ 209,972 $ 637 $ 92,716 $ 8,637 December 31, 2014 Residential Mortgage Consumer Unsecured Home Equity Consumer Other Performing $ 189,946 $ 930 $ 98,465 $ 10,194 Nonperforming 303 18 422 --- Total $ 190,249 $ 948 $ 98,887 $ 10,194

OTHER REAL ESTATE OWNED

OTHER REAL ESTATE OWNED	12 Months Ended
	Dec. 31, 2015
OTHER REAL ESTATE OWNED [Abstract]
OTHER REAL ESTATE OWNED	NOTE 4 – OTHER REAL ESTATE OWNED Other real estate owned was as follows (dollars in thousands): 2015 2014 2013 Beginning balance $ 43,071 $ 53,501 $ 69,743 Additions, transfers from loans 2,520 4,932 3,539 Proceeds from sales of other real estate owned (11,540 ) (12,487 ) (16,501 ) Valuation allowance reversal upon sale (4,748 ) (3,499 ) (4,378 ) Gain (loss) on sale of other real estate owned (926 ) 624 1,098 28,377 43,071 53,501 Less: valuation allowance (10,805 ) (14,829 ) (16,705 ) Ending balance $ 17,572 $ 28,242 $ 36,796 Activity in the valuation allowance was as follows (dollars in thousands): 2015 2014 2013 Beginning balance $ 14,829 $ 16,705 $ 18,161 Additions charged to expense 724 1,623 2,922 Reversals upon sale (4,748 ) (3,499 ) (4,378 ) Ending balance $ 10,805 $ 14,829 $ 16,705 At December 31, 2015, the balance of other real estate owned includes $736,000 of foreclosed residential real estate properties recorded as a result of obtaining physical possession of the property. At December 31, 2015, the recorded investment of consumer mortgage loans secured by residential real estate properties for which formal foreclosure proceedings are in process is $0.

FAIR VALUE

FAIR VALUE	12 Months Ended
	Dec. 31, 2015
FAIR VALUE [Abstract]
FAIR VALUE	NOTE 5 – FAIR VALUE ASC Topic 820, Fair Value Measurements and Disclosures Level 1 : Quoted prices (unadjusted) for identical assets or liabilities in active markets that the entity has the ability to access as of the measurement date. Level 2 : Significant other observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data. Level 3 : Significant unobservable inputs that reflect a reporting entity's own assumptions about the assumptions that market participants would use in pricing an asset or liability. Investment Securities: Loans Held for Sale: Impaired Loans Other Real Estate Owned Interest Rate Swaps: Assets measured at fair value on a recurring basis are summarized below (in thousands): Fair Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs December 31, 2015 U.S. Treasury and federal agency securities $ 74,392 $ --- $ 74,392 $ --- U.S. Agency MBS and CMOs 13,755 --- 13,755 --- Tax-exempt state and municipal bonds 33,598 --- 33,598 --- Taxable state and municipal bonds 28,763 --- 28,763 --- Corporate bonds and other debt securities 14,813 --- 14,813 --- Other equity securities 1,494 --- 1,494 --- Loans held for sale 2,776 --- 2,776 --- Interest rate swaps 790 --- --- 790 Interest rate swaps (790 ) --- --- (790 ) December 31, 2014 U.S. Treasury and federal agency securities $ 67,164 $ --- $ 67,164 $ --- U.S. Agency MBS and CMOs 16,688 --- 16,688 --- Tax-exempt state and municipal bonds 37,461 --- 37,461 --- Taxable state and municipal bonds 25,293 --- 25,293 --- Corporate bonds and other debt securities 13,766 --- 13,766 --- Other equity securities 1,502 --- 1,502 --- Loans held for sale 2,347 --- 2,347 --- Interest rate swaps 140 --- --- 140 Interest rate swaps (140 ) --- --- (140 ) Assets measured at fair value on a non-recurring basis are summarized below (in thousands): Fair Quoted Prices in Active Markets for Identical Assets Significant Other Observable Significant Unobservable Inputs December 31, 2015 Impaired loans $ 6,573 $ --- $ --- $ 6,573 Other real estate owned 13,602 --- --- 13,602 December 31, 2014 Impaired loans $ 12,649 $ --- $ --- $ 12,649 Other real estate owned 22,472 --- --- 22,472 Quantitative information about Level 3 fair value measurements measured on a non-recurring basis were as follows at year end (dollars in thousands). Asset (Liability) Fair Value Valuation Technique Unobservable Inputs Range (%) December 31, 2015 Impaired Loans $ 6,573 Sales comparison approach Adjustment for differences between comparable sales 1.0 to 19.0 Income approach Capitalization rate 9.5 to 11.0 Other real estate owned 13,602 Sales comparison approach Adjustment for differences between comparable sales 4.5 to 32.5 Income approach Capitalization rate 9.5 to 11.0 Asset (Liability) Fair Value Valuation Technique Unobservable Inputs Range (%) December 31, 2014 Impaired Loans $ 12,649 Sales comparison approach Adjustment for differences between comparable sales 1.0 to 20.0 Income approach Capitalization rate 9.5 to 12.0 Other real estate owned 22,472 Sales comparison approach Adjustment for differences between comparable sales 3.0 to 22.7 Income approach Capitalization rate 9.5 to 12.0 The carrying amounts and estimated fair values of financial instruments, not previously presented, were as follows at year end (dollars in thousands). 2015 2014 Level in Fair Value Hierarchy Carrying Amount Fair Value Carrying Amount Fair Value Financial assets Cash and due from banks Level 1 $ 29,104 29,104 $ 31,503 $ 31,503 Cash equivalents Level 2 152,372 152,372 97,952 97,952 Interest-bearing time deposits in other financial institutions Level 2 20,000 20,008 20,000 20,062 Securities held to maturity Level 3 51,856 52,837 31,585 31,428 FHLB stock 11,558 NA 11,238 NA Loans, net Level 2 1,187,423 1,177,527 1,086,872 1,082,675 Bank owned life insurance Level 3 28,858 28,858 28,195 28,195 Accrued interest receivable Level 2 3,622 3,622 3,399 3,399 Financial liabilities Deposits Level 2 (1,435,512 ) (1,435,473 ) (1,306,325 ) (1,306,671 ) Other borrowed funds Level 2 (96,169 ) (96,465 ) (88,107 ) (89,066 ) Long-term debt Level 2 (41,238 ) (35,757 ) (41,238 ) (35,396 ) Accrued interest payable Level 2 (273 ) (273 ) (289 ) (289 ) Off-balance sheet credit-related items Loan commitments --- --- --- --- The methods and assumptions used to estimate fair value are described as follows. Carrying amount is the estimated fair value for cash and cash equivalents, bank owned life insurance, accrued interest receivable and payable, demand deposits, short-term borrowings and variable rate loans or deposits that reprice frequently and fully. Security fair values are determined by matrix pricing, which is a mathematical technique widely used in the industry to value debt securities as discussed above. For fixed rate loans, interest-bearing time deposits in other financial institutions and deposits, and for variable rate loans or deposits with infrequent repricing or repricing limits, fair value is based on discounted cash flows using current market rates applied to the estimated life and credit risk (including consideration of widening credit spreads). Fair value of debt is based on current rates for similar financing. It was not practicable to determine the fair value of FHLB stock due to restrictions placed on its transferability. The fair value of off-balance sheet credit-related items is not significant.

PREMISES AND EQUIPMENT - NET

PREMISES AND EQUIPMENT - NET	12 Months Ended
	Dec. 31, 2015
PREMISES AND EQUIPMENT - NET [Abstract]
PREMISES AND EQUIPMENT - NET	NOTE 6 – PREMISES AND EQUIPMENT – NET Year-end premises and equipment were as follows (dollars in thousands): 2015 2014 Land $ 18,227 $ 18,227 Building 43,449 43,426 Leasehold improvements 779 779 Furniture and equipment 19,353 18,368 Construction in progress 575 413 82,383 81,213 Less accumulated depreciation (30,927 ) (28,319 ) $ 51,456 $ 52,894 Depreciation expense was $2,608,000, $2,513,000 and $2,342,000 for 2015, 2014 and 2013, respectively. The Bank leases certain office and branch premises and equipment under operating lease agreements. Total rental expense for all operating leases aggregated to $417,000, $436,000 and $354,000 for 2015, 2014 and 2013, respectively. Future minimum rental expense under noncancelable operating leases as of December 31, 2015 is as follows (dollars in thousands): 2016 $ 233 2017 230 2018 230 2019 230 2020 127 Thereafter --- $ 1,050

DEPOSITS

DEPOSITS	12 Months Ended
	Dec. 31, 2015
DEPOSITS [Abstract]
DEPOSITS	NOTE 7 – DEPOSITS Deposits at year-end were as follows (dollars in thousands): 2015 2014 Noninterest-bearing demand $ 477,032 $ 404,143 Interest bearing demand 358,306 340,053 Savings and money market accounts 512,980 442,246 Certificates of deposit 87,194 119,883 $ 1,435,512 $ 1,306,325 The following table depicts the maturity distribution of certificates of deposit at December 31, 2015 (dollars in thousands): 2016 $ 59,436 2017 14,157 2018 9,828 2019 2,639 2020 1,134 Thereafter --- $ 87,194 Approximately $32.8 million and $50.1 million in certificates of deposit were in denominations of $100,000 or more at December 31, 2015 and 2014, respectively.

OTHER BORROWED FUNDS

OTHER BORROWED FUNDS	12 Months Ended
	Dec. 31, 2015
OTHER BORROWED FUNDS [Abstract]
OTHER BORROWED FUNDS	NOTE 8 - OTHER BORROWED FUNDS Other borrowed funds include advances from the Federal Home Loan Bank and borrowings from the Federal Reserve Bank. Federal Home Loan Bank Advances At year-end, advances from the Federal Home Loan Bank were as follows (dollars in thousands): Principal Terms Advance Amount Range of Maturities Weighted Average Interest Rate December 31, 2015 Single maturity fixed rate advances $ 90,000 August 2016 to March 2020 1.69 % Amortizable mortgage advances 6,169 March 2018 to July 2018 3.78 % $ 96,169 Principal Terms Advance Amount Range of Maturities Weighted Average Interest Rate December 31, 2014 Single maturity fixed rate advances $ 80,000 August 2016 to February 2019 1.69 % Amortizable mortgage advances 8,107 March 2018 to July 2018 3.78 % $ 88,107 Each advance is subject to a prepayment fee if paid prior to its maturity date. Fixed rate advances are payable at maturity. Amortizable mortgage advances are fixed rate advances with scheduled repayments based upon amortization to maturity. These advances were collateralized by residential and commercial real estate loans totaling $440,660,000 and $441,252,000 under a blanket lien arrangement at December 31, 2015 and 2014. Scheduled repayments of FHLB advances as of December 31, 2015 were as follows (in thousands): 2016 $ 21,996 2017 2,055 2018 52,118 2019 10,000 2020 10,000 Thereafter --- $ 96,169 Federal Reserve Bank Borrowings The Company has a financing arrangement with the Federal Reserve Bank. There were no borrowings outstanding at December 31, 2015 and 2014, and the Company had approximately $18.5 million and $22.8 million in unused borrowing capacity based on commercial and mortgage loans pledged to the Federal Reserve Bank totaling $21.6 million and $25.9 million at December 31, 2015 and 2014, respectively.

LONG TERM DEBT

LONG TERM DEBT	12 Months Ended
	Dec. 31, 2015
LONG TERM DEBT [Abstract]
LONG TERM DEBT	NOTE 9 – LONG TERM DEBT The Company has outstanding $40.0 million aggregate liquidation amount of pooled trust preferred securities ("TRUPs") issued through its wholly-owned subsidiary grantor trusts. Macatawa Statutory Trust I issued $619,000 of common securities to the Company and $20.0 million aggregate liquidation amount of Preferred Securities with a floating interest rate of three-month LIBOR plus 3.05%, maturing on July 15, 2033. Macatawa Statutory Trust II issued $619,000 of common securities and $20.0 million aggregate liquidation amount of Preferred Securities with a floating interest rate of three-month LIBOR plus 2.75%, maturing on March 18, 2034. The Company issued subordinated debentures (“Debentures”) to each trust in exchange for ownership of all of the common securities of each trust and the $41,238,000 in proceeds of the offerings, which Debentures represent the sole asset of each trust. The Preferred Securities represent an interest in the Company’s Debentures, which have terms that are similar to the Preferred Securities. The Company is not considered the primary beneficiary of each trust (variable interest entity), therefore each trust is not consolidated in the Company’s financial statements, rather the Debentures are shown as a liability. The Company has the option to defer interest payments on the Debentures from time to time for up to twenty consecutive quarterly payments, although interest continues to accrue on the outstanding balance. During any deferral period, the Company may not declare or pay any dividends on the Company’s common stock or preferred stock or make any payment on any outstanding debt obligations that rank equally with or junior to the Debentures. The Company also has the option to redeem and prepay both the TRUPs and the Debentures. At December 31, 2015, the Company does not have any intention to redeem or prepay either of the TRUPs or Debentures. At December 31, 2015 and 2014, Debentures totaling $41,238,000 are reported in liabilities as long-term debt, and the common securities of $1,238,000 and unamortized debt issuance costs are included in other assets. The Preferred Securities may be included in Tier 1 capital (with certain limitations applicable) under current regulatory guidelines and interpretations. At December 31, 2015 and 2014, approximately $40.0 million of the Preferred Securities issued qualified as Tier 1 capital for regulatory capital purposes.

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	12 Months Ended
	Dec. 31, 2015
RELATED PARTY TRANSACTIONS [Abstract]
RELATED PARTY TRANSACTIONS	NOTE 10 – RELATED PARTY TRANSACTIONS Loans to principal officers, directors, and their affiliates were as follows (dollars in thousands). 2015 2014 Beginning balance $ 10,077 $ 3,462 New loans and renewals 22,550 21,594 Repayments and renewals (15,114 ) (14,979 ) Effect of changes in related parties (162 ) --- Ending Balance $ 17,351 $ 10,077 Deposits from principal officers, directors, and their affiliates at December 31, 2015 and 2014 were $72.9 million and $80.3 million, respectively. The majority of the deposit balances for each year are associated with institutional accounts of affiliated organizations of one of the Company’s directors. During 2015, the Bank entered into a back-to-back swap agreement (see Note 1 – Derivatives) with a company affiliated with one of the Company’s directors. Terms were at market rates and the total notional amount of the agreement was $17.7 million at December 31, 2015.

STOCK-BASED COMPENSATION

STOCK-BASED COMPENSATION	12 Months Ended
	Dec. 31, 2015
STOCK-BASED COMPENSATION [Abstract]
STOCK-BASED COMPENSATION	NOTE 11 – STOCK-BASED COMPENSATION The Company has stock-based compensation plans for its employees (the Employees’ Plans) and directors (the Directors’ Plans). The Employees’ Plans permit the grant of stock options or the issuance of restricted stock for up to 1,917,210 shares of common stock. The Directors’ Plans permit the grant of stock options or the issuance of restricted stock for up to 473,278 shares of common stock. Issuance from these plans was curtailed in 2015. On May 5, 2015, the Company’s shareholders approved the Macatawa Bank Corporation Stock Incentive Plan of 2015 (the 2015 Plan). The 2015 Plan provides for grant of up to 1,500,000 shares of Macatawa common stock in the form of stock options or restricted stock awards to employees and directors. There were 1,412,000 shares under the “2015 Plan” available for future issuance as of December 31, 2015. The Company issues new shares under its stock-based compensation plans from its authorized but unissued shares. Stock Options Option awards are granted with an exercise price equal to the market price at the date of grant. Option awards have vesting periods ranging from one to three years and have ten year contractual terms. The fair value of each option award is estimated on the date of grant using a closed form option valuation (Black-Scholes) model. Expected volatilities are based on historical volatilities of the Company’s common stock. The Company uses historical data to estimate option exercise and post-vesting termination behavior. The expected term of options granted is based on historical data and represents the period of time that options granted are expected to be outstanding, which takes into account that the options are not transferable. The Company expects that all options granted will vest and become exercisable. The risk-free interest rate for the expected term of the option is based on the U.S. Treasury yield curve in effect at the time of the grant. There were no options granted during 2015, 2014 and 2013. A summary of option activity in the plans is as follows (dollars in thousands, except per option data): Options Number Outstanding Weighted- Average Exercise Price Weighted- Average Remaining Contractual Life in Years Aggregate Intrinsic Value Outstanding at January 1, 2015 260,261 $ 18.57 --- --- Forfeited --- --- --- --- Expired (157,962 ) 22.16 --- --- Outstanding at December 31, 2015 102,299 $ 13.04 1.60 $ --- Exerciseable at December 31, 2015 102,299 $ 13.04 1.60 $ --- Information related to stock options during each year follows (dollars in thousands): 2015 2014 2013 Intrinsic value of options exercised $ --- $ --- $ --- Cash received from option exercises --- --- --- Tax benefit realized from option exercises --- --- --- There was no compensation cost for stock options in 2015, 2014 and 2013. As of December 31, 2015, there was no unrecognized cost related to nonvested stock options granted under the Company’s stock-based compensation plans. Restricted Stock Awards Restricted stock awards have vesting periods of up to three years. A summary of changes in the Company’s nonvested restricted stock awards for the year follows: Nonvested Stock Awards Shares Weighted- Average Grant-Date Fair Value Aggregate Intrinsic Value Outstanding at January 1, 2015 217,679 $ 4.77 $ 1,184,174 Granted 88,000 5.55 532,400 Vested (107,833 ) 4.37 652,390 Forfeited --- --- --- Outstanding at December 31, 2015 197,846 $ 5.34 $ 1,196,968 Compensation cost related to restricted stock awards totaled $478,000, $338,000, and $160,000 for 2015, 2014 and 2013, respectively. As of December 31, 2015, there was $1.1 million of total remaining unrecognized compensation cost related to nonvested restricted stock awards granted under the Company’s stock-based compensation plans. The cost is expected to be recognized over a weighted-average period of 1.46 years. The total grant date fair value of restricted stock awards vested during 2015 was $471,000. The total grant date fair value of restricted stock awards vested during 2014 was $299,000. The total grant date fair value of restricted stock awards vested during 2013 was $117,000.

EMPLOYEE BENEFITS

EMPLOYEE BENEFITS	12 Months Ended
	Dec. 31, 2015
EMPLOYEE BENEFITS [Abstract]
EMPLOYEE BENEFITS	NOTE 12 – EMPLOYEE BENEFITS The Company sponsors a 401(k) plan which covers substantially all employees. Employees may elect to contribute to the plan up to the maximum percentage of compensation and dollar amount subject to statutory limitations. Beginning January 1, 2013, the Company’s contribution was set using a matching formula of 100% of the first 3% of employee contributions and 50% of employee contributions in excess of 3%, up to 5%. The Company’s contributions were approximately $665,000, $630,000 and $584,000 for 2015, 2014 and 2013, respectively. The Company sponsors an Employee Stock Purchase Plan which covers substantially all employees. Employees are allowed to direct the Company to withhold payroll dollars and purchase Company stock at market price on a payroll by payroll basis. The Company has reserved 210,000 shares of common stock to be issued under the plan. The plan allows for shares to be issued directly from the Company or purchased on the open market.

EARNINGS PER COMMON SHARE

EARNINGS PER COMMON SHARE	12 Months Ended
	Dec. 31, 2015
EARNINGS PER COMMON SHARE [Abstract]
EARNINGS PER COMMON SHARE	NOTE 13 - EARNINGS PER COMMON SHARE A reconciliation of the numerators and denominators of basic and diluted earnings per common share are as follows (dollars in thousands, except per share data): 2015 2014 2013 Net income available to common shares $ 12,794 $ 10,473 $ 9,549 Effect of induced exchange of preferred stock --- --- (17,575 ) Net income available to common shares $ 12,794 $ 10,473 $ (8,026 ) Weighted average shares outstanding, including participating stock awards - 33,872,814 33,803,030 27,161,888 Dilutive potential common shares: Stock options --- --- --- Stock warrants --- --- --- Weighted average shares outstanding - 33,872,814 33,803,030 27,161,888 Basic earnings per common share $ 0.38 $ 0.31 $ (0.29 ) Diluted earnings per common share $ 0.38 $ 0.31 $ (0.29 ) The 2013 Exchange (See Note 17) by holders of convertible preferred stock for common stock and a cash premium was accounted for as an induced conversion. Common stock was increased by the carrying (liquidation) value of the amount of convertible preferred stock exchanged. The fair value of common stock and the cash premium issued in excess of the fair value of securities issuable pursuant to the original conversion terms was treated as a reduction to net income available to common shareholders for earnings per share purposes. Stock options for 102,299, 260,261 and 355,328 shares of common stock were not considered in computing diluted earnings per share for 2015, 2014 and 2013, respectively, because they were antidilutive. Unvested restricted awards of 206,167 were not considered in computing earnings per share for 2013 as they were antidilutive due to the net loss available to common shares created by the preferred stock exchange.

FEDERAL INCOME TAXES

FEDERAL INCOME TAXES	12 Months Ended
	Dec. 31, 2015
FEDERAL INCOME TAXES [Abstract]
FEDERAL INCOME TAXES	NOTE 14 - FEDERAL INCOME TAXES Income tax expense was as follows (dollars in thousands): 2015 2014 2013 Current $ 2,335 $ 1,724 $ 120 Deferred 3,291 2,849 4,150 $ 5,626 $ 4,573 $ 4,270 The difference between the financial statement tax expense and amount computed by applying the statutory federal tax rate to pretax income was reconciled as follows (dollars in thousands): 2015 2014 2013 Statutory rate 35 % 35 % 35 % Statutory rate applied to income before taxes $ 6,447 $ 5,266 $ 4,837 Add (deduct) Tax-exempt interest income (529 ) (391 ) (244 ) Bank-owned life insurance (232 ) (237 ) (250 ) Other, net (60 ) (65 ) (73 ) $ 5,626 $ 4,573 $ 4,270 The realization of deferred tax assets (net of a recorded valuation allowance) is largely dependent upon future taxable income, future reversals of existing taxable temporary differences and the ability to carryback losses to available tax years. In assessing the need for a valuation allowance, we consider positive and negative evidence, including taxable income in carry-back years, scheduled reversals of deferred tax liabilities, expected future taxable income and tax planning strategies. No valuation allowance was necessary at December 31, 2015, 2014 or 2013. The net deferred tax asset recorded included the following amounts of deferred tax assets and liabilities (dollars in thousands): 2015 2014 Deferred tax assets Allowance for loan losses $ 5,978 $ 6,637 Nonaccrual loan interest 850 935 Valuation allowance on other real estate owned 3,782 5,190 Unrealized loss on securities available for sale --- --- Other 647 1,896 Gross deferred tax assets 11,257 14,658 Valuation allowance --- --- Total net deferred tax assets 11,257 14,658 Deferred tax liabilities Depreciation (1,739 ) (1,908 ) Prepaid expenses (191 ) (21 ) Unrealized gain on securities available for sale (187 ) (33 ) Other (321 ) (431 ) Gross deferred tax liabilities (2,438 ) (2,393 ) Net deferred tax asset $ 8,819 $ 12,265 There were no unrecognized tax benefits at December 31, 2015 or 2014 and the Company does not expect the total amount of unrecognized tax benefits to significantly increase or decrease in the next twelve months. The Company is no longer subject to examination by the Internal Revenue Service for years before 2012.

COMMITMENTS AND OFF BALANCE-SHE

COMMITMENTS AND OFF BALANCE-SHEET RISK	12 Months Ended
	Dec. 31, 2015
COMMITMENTS AND OFF BALANCE-SHEET RISK [Abstract]
COMMITMENTS AND OFF-BALANCE-SHEET RISK	NOTE 15 – COMMITMENTS AND OFF BALANCE-SHEET RISK Some financial instruments are used to meet customer financing needs and to reduce exposure to interest rate changes. These financial instruments include commitments to extend credit and standby letters of credit. These involve, to varying degrees, credit and interest rate risk in excess of the amount reported in the financial statements. Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the commitment, and generally have fixed expiration dates. Standby letters of credit are conditional commitments to guarantee a customer’s performance to a third party. Exposure to credit loss if the other party does not perform is represented by the contractual amount for commitments to extend credit and standby letters of credit. Collateral or other security is normally not obtained for these financial instruments prior to their use and many of the commitments are expected to expire without being used. A summary of the contractual amounts of financial instruments with off‑balance‑sheet risk was as follows at year-end (dollars in thousands): 2015 2014 Commitments to make loans $ 97,991 $ 81,274 Letters of credit 12,976 11,862 Unused lines of credit 426,080 389,099 The notional amount of commitments to fund mortgage loans to be sold into the secondary market was approximately $19.8 million and $14.2 million at December 31, 2015 and 2014, respectively. At year-end 2015, approximately 35% of the Bank’s commitments to make loans were at fixed rates, offered at current market rates. The remainder of the commitments to make loans were at variable rates tied to the prime rate and generally expire within 30 days. The majority of the unused lines of credit were at variable rates tied to the prime rate.

CONTINGENCIES

CONTINGENCIES	12 Months Ended
	Dec. 31, 2015
CONTINGENCIES [Abstract]
CONTINGENCIES	NOTE 16 – CONTINGENCIES The Company and its subsidiaries periodically become defendants in certain claims and legal actions arising in the ordinary course of business. On January 27, 2014, the Company’s former Chairman and Chief Executive Officer, Mr. Benj. A. Smith III, commenced legal action against the Company claiming that the Company breached an alleged employment agreement pursuant to which he claimed entitlement to $20,833 monthly for a period of six years from the date of his resignation in February 2009. On February 10, 2015, the Company entered into a settlement agreement with Mr. Smith related to this litigation. A liability of $516,000, net of insurance proceeds, was accrued and the related expense was included in other noninterest expense at December 31, 2014 and was paid in the first quarter of 2015. As of December 31, 2015, there were no material pending legal proceedings to which we or any of our subsidiaries are a party or which any of our properties are the subject.

SHAREHOLDERS' EQUITY

SHAREHOLDERS' EQUITY	12 Months Ended
	Dec. 31, 2015
SHAREHOLDERS' EQUITY [Abstract]
SHAREHOLDERS' EQUITY	NOTE 17 – SHAREHOLDERS' EQUITY Regulatory Capital The Company and the Bank are subject to regulatory capital requirements administered by federal banking agencies. Capital adequacy guidelines and prompt corrective action regulations involve quantitative measures of assets, liabilities, and certain off-balance-sheet items calculated under regulatory accounting practices. Capital amounts and classifications are also subject to qualitative judgments by regulators about components, risk weightings, and other factors and the regulators can lower classifications in certain cases. Failure to meet various capital requirements can initiate regulatory action that could have a direct material effect on the financial statements. The prompt corrective action regulations provide five categories, including well capitalized, adequately capitalized, undercapitalized, significantly undercapitalized, and critically undercapitalized, although these terms are not used to represent overall financial condition. If a bank is only adequately capitalized, regulatory approval is required to, among other things, accept, renew or roll-over brokered deposits. If a bank is undercapitalized, capital distributions and growth and expansion are limited, and plans for capital restoration are required. In July 2013, the Board of Governors of the Federal Reserve Board and the FDIC approved the final rules implementing the Basel Committee on Banking Supervision's capital guidelines for U.S. banks (commonly known as Basel III). Under the final rules, which began for the Company and the Bank on January 1, 2015 and are subject to a phase-in period through January 1, 2019, minimum requirements will increase for both the quantity and quality of capital held by the Company and the Bank. The rules include a new minimum common equity Tier 1 capital to risk-weighted assets ratio (CET1 ratio) of 4.5% and a capital conservation buffer of 2.5% of risk-weighted assets, which when fully phased-in, effectively results in a minimum CET1 ratio of 7.0%. Basel III raises the minimum ratio of Tier 1 capital to risk-weighted assets from 4.0% to 6.0% (which, with the capital conservation buffer, effectively results in a minimum Tier 1 capital ratio of 8.5% when fully phased-in), which effectively results in a minimum total capital to risk-weighted assets ratio of 10.5% (with the capital conservation buffer fully phased-in), and requires a minimum leverage ratio of 4.0%. Basel III also makes changes to risk weights for certain assets and off-balance-sheet exposures. Actual capital levels (dollars in thousands) and minimum required levels were as follows at year-end: Actual Minimum Required For Capital Adequacy Purposes To Be Well Capitalized Under Prompt Corrective Action Regulations Amount Ratio Amount Ratio Amount Ratio December 31, 2015 CET1 capital (to risk weighted assets) Consolidated $ 151,630 10.8 % $ 63,479 4.5 % N/A N/A Bank 186,930 13.2 63,463 4.5 $ 91,668 6.5 % Tier 1 capital (to risk weighted assets) Consolidated 191,630 13.6 84,638 6.0 N/A N/A Bank 186,930 13.2 84,617 6.0 112,822 8.0 Total capital (to risk weighted assets) Consolidated 208,711 14.8 112,851 8.0 N/A N/A Bank 203,471 14.4 112,822 8.0 141,028 10.0 Tier 1 capital (to average assets) Consolidated 191,630 11.5 66,400 4.0 N/A N/A Bank 186,930 11.2 66,332 4.0 82,915 5.0 December 31, 2014 Tier 1 capital (to risk weighted assets) Consolidated $ 174,084 14.3 % $ 48,706 4.0 % N/A N/A Bank 170,983 14.0 48,788 4.0 $ 73,182 6.0 % Total capital (to risk weighted assets) Consolidated 189,353 15.6 97,420 8.0 N/A N/A Bank 186,276 15.3 97,575 8.0 121,969 10.0 Tier 1 capital (to average assets) Consolidated 174,084 11.6 59,998 4.0 N/A N/A Bank 170,983 11.4 59,923 4.0 74,904 5.0 Approximately $40.0 million of trust preferred securities outstanding at December 31, 2015 and 2014, respectively, qualified as Tier 1 capital. The Bank was categorized as "well capitalized" at December 31, 2015 and 2014. Issuance of Capital A summary of the capital instruments issued during recent years is as follows: Convertible Preferred Stock In 2008, the Company completed a private offering of 31,290 shares of 12.0% Series A Noncumulative Convertible Perpetual Preferred Stock (Series A Preferred Stock) with a liquidation preference of $1,000 per share, resulting in an aggregate liquidation preference of $31.3 million. Proceeds of $30.6 million from issuance were net of $686,000 of costs. In 2009, the Company issued 2,600 shares of 9.0% Series B Noncumulative Convertible Perpetual Preferred Stock (Series B Preferred Stock) with a liquidation preference of $1,000 per share, resulting in an aggregate liquidation preference of $2.6 million. Proceeds of $2.6 million from issuance were net of $40,000 of costs. On December 30, 2013, the Company completed the cancellation and exchange (the “Exchange”) of each share of issued and outstanding Series A and Series B Preferred Stock for shares of Company stock and cash, at the election of the holder. Pursuant to the Exchange, the Company canceled and exchanged each share of Preferred Stock for shares of Company common stock, no par value, in an amount equal to $1,000, the preferred stocks’ liquidation preference amount, divided by $5.25 plus, at the election of the holder, an amount of cash equal to $142.00, in the case of Series A Preferred Stock, or $182.00, in the case of Series B Preferred Stock, or a number of shares of Company common stock equal to this cash amount divided by $5.25. The one-time cash payments approximated a 5.0% and 4.5% dividend rate for the Series A and Series B, respectively, after considering previous dividends paid and is considered an inducement payment. The Exchange resulted in cash payments of $4.4 million for the Series A Preferred Stock and $319,000 for Series B Preferred Stock. Under the accounting guidance for induced conversions of convertible preferred stock, the cash inducement payments were recorded as a reduction to common stock, rather than retained earnings, as the Company had a retained deficit at December 30, 2013. In addition to the cash payment discussed above, the Exchange resulted in the issuance of 5,973,519 shares of Company common stock in exchange for the Series A Preferred Stock and 457,159 shares in exchange for the Series B Preferred Stock. The total of the fair value of the new common shares issued and the $4.7 million inducement payment exceeded the fair value of the Preferred shares issuable according to the original conversion terms by $17.6 million, which amount is reflected as a reduction of net income available to common shares in the computation of earnings per share for the year ended December 31, 2013. Common Stock In order to temporarily replenish the Company’s liquidity pending the Company’s planned public offering of common stock, on April 21, 2011, the Company issued and sold a 2% Subordinated Note due in 2018 in the aggregate principal amount of $1,000,000 to a director of the Company. On June 29, 2011, the director executed his right to convert the 2% Subordinated Note into 491,830 shares of common stock. On June 7, 2011, the Company closed on a rights offering to existing shareholders, issuing 4,456,186 shares of common stock for $2.30 per share. On June 29, 2011, the Company closed on its public offering, issuing 4,456,186 shares of common stock for $2.30 per share. The net proceeds from the offerings and subordinated note conversion were $20.3 million. The Company contributed $10.0 million to the Bank on June 30, 2011 and held the remaining proceeds at the holding company. Warrants In 2009 the Company and Macatawa Bank entered into a Settlement and Release and Stock and Warrant Issuance Agreement in connection with legal proceedings related to Trade Partners, Inc. In connection with the Settlement, the Company issued warrants to purchase a total of 1,478,811 shares of common stock at an exercise price of $9.00 per share. The fair value of the warrants issued was $806,000 and was recorded in Common Stock based upon $0.54 per warrant as determined using a Black-Scholes model. The warrants were issued in two issuances. 1,361,753 warrants were issued on June 18, 2009 and these warrants expired on June 17, 2015 (five years after commencement of exercise period), with 392 warrants having been executed during the exercise period. The remaining warrants expired unused. 117,058 warrants were issued on July 28, 2009 and these warrants expired on July 27, 2015 (five years after commencement of exercise period).

CONDENSED FINANCIAL STATEMENTS

CONDENSED FINANCIAL STATEMENTS (PARENT COMPANY ONLY)	12 Months Ended
	Dec. 31, 2015
CONDENSED FINANCIAL STATEMENTS (PARENT COMPANY ONLY) [Abstract]
CONDENSED FINANCIAL STATEMENTS (PARENT COMPANY ONLY)	NOTE 18 – CONDENSED FINANCIAL STATEMENTS (PARENT COMPANY ONLY) Following are condensed parent company only financial statements (dollars in thousands): CONDENSED BALANCE SHEETS 2015 2014 ASSETS Cash and cash equivalents $ 4,818 $ 2,544 Investment in Bank subsidiary 186,737 177,312 Investment in other subsidiaries 1,478 1,491 Other assets 362 2,599 Total assets $ 193,395 $ 183,946 LIABILITIES AND SHAREHOLDERS' EQUITY Long-term debt 41,238 41,238 Other liabilities 180 189 Total liabilities 41,418 41,427 Total shareholders' equity 151,977 142,519 Total liabilities and shareholders' equity $ 193,395 $ 183,946 CONDENSED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME 2015 2014 2013 INCOME Dividends from subsidiaries $ 5,160 $ 4,139 $ 5,179 Other --- --- --- Total income 5,160 4,139 5,179 EXPENSE Interest expense 1,331 1,311 1,563 Other expense 592 611 575 Total expense 1,923 1,922 2,138 Income before income tax and equity in undistributed earnings of subsidiaries 3,237 2,217 3,041 Equity in undistributed earnings of subsidiaries 8,893 7,592 5,770 Income before income tax 12,130 9,809 8,811 Income tax benefit (664 ) (664 ) (738 ) Net income $ 12,794 $ 10,473 $ 9,549 Net income (loss) available to common shares $ 12,794 $ 10,473 $ (8,026 ) Comprehensive income $ 13,080 $ 12,489 $ 6,634 CONDENSED STATEMENTS OF CASH FLOWS 2015 2014 2013 Cash flows from operating activities Net income $ 12,794 $ 10,473 $ 9,549 Adjustments to reconcile net income to net cash from operating activities: Equity in undistributed earnings of subsidiaries (8,893 ) (7,592 ) (5,770 ) Stock compensation expense 18 2 --- Change in other assets 2,237 673 (740 ) Change in other liabilities (9 ) (29 ) (4,487 ) Net cash from operating activities 6,147 3,527 (1,448 ) Cash flows from investing activities Investment in subsidiaries --- --- --- Net cash from investing activities --- --- --- Cash flows from financing activities Proceeds from issuance of common stock --- 4 --- Cash dividends paid (3,702 ) (2,689 ) --- Common stock issuance costs --- (102 ) --- Redemption of subordinated debt --- --- (1,650 ) Repurchases of shares (171 ) (106 ) (45 ) Cash paid in preferred stock exchange --- --- (4,734 ) Net cash from financing activities (3,873 ) (2,893 ) (6,429 ) Net change in cash and cash equivalents 2,274 634 (7,877 ) Cash and cash equivalents at beginning of year 2,544 1,910 9,787 Cash and cash equivalents at end of year $ 4,818 $ 2,544 $ 1,910 Supplemental noncash disclosures: Conversion of 300 shares of Preferred Series B to 50,000 shares of common stock $ --- $ --- $ 300 Exchange of 31,290 shares of Preferred Series A to 5,973,519 shares of common stock --- --- 30,604 Exchange of 2,300 shares of Preferred Series B to 457,159 shares of common stock --- --- 2,260

QUARTERLY FINANCIAL DATA (Unaud

QUARTERLY FINANCIAL DATA (Unaudited)	12 Months Ended
	Dec. 31, 2015
QUARTERLY FINANCIAL DATA (Unaudited) [Abstract]
QUARTERLY FINANCIAL DATA (Unaudited)	NOTE 19 – QUARTERLY FINANCIAL DATA (Dollars in thousands except per share data) Earnings Per Common Share Interest Income Net Interest Income Provision for Loan Losses Net Income Basic Diluted 2015 First quarter $ 12,011 $ 10,652 $ (1,000 ) $ 2,840 $ 0.08 $ 0.08 Second quarter 12,238 10,845 (500 ) 3,215 0.09 0.09 Third quarter 12,427 11,121 (250 ) 3,201 0.09 0.09 Fourth quarter 12,709 11,461 (1,750 ) 3,538 0.10 0.10 2014 First quarter $ 11,970 $ 10,475 $ (1,000 ) $ 2,639 $ 0.08 $ 0.08 Second quarter 11,528 10,156 (1,000 ) 2,755 0.08 0.08 Third quarter 11,674 10,304 (750 ) 2,762 0.08 0.08 Fourth quarter 11,816 10,457 (600 ) 2,317 0.07 0.07 Net income and provision for loan losses for the fourth quarter of 2015 are positively impacted by the reduction in the specific reserve on an impaired loan which was upgraded in the fourth quarter of 2015. Net income for the fourth quarter of 2014 includes $516,000 expense associated with a legal settlement discussed in Note 16.

SUMMARY OF SIGNIFICANT ACCOUN29

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	12 Months Ended
	Dec. 31, 2015
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract]
Nature of Operations and Principles of Consolidation	Nature of Operations and Principles of Consolidation Macatawa Bank is a Michigan chartered bank with depository accounts insured by the Federal Deposit Insurance Corporation. The Bank operates 26 full service branch offices providing a full range of commercial and consumer banking and trust services in Kent County, Ottawa County, and northern Allegan County, Michigan. The Company owns all of the common securities of Macatawa Statutory Trust I and Macatawa Statutory Trust II. These are grantor trusts that issued trust preferred securities and are discussed in a separate note. Under generally accepted accounting principles, these trusts are not consolidated into the financial statements of the Company.
Use of Estimates	Use of Estimates
Concentration of Credit Risk	Concentration of Credit Risk
Cash Flow Reporting	Cash Flow Reporting
Securities	Securities Interest income includes amortization of purchase premium or discount. Premiums and discounts on securities are amortized on the level yield method without anticipating prepayments. Gains and losses on sales are based on the amortized cost of the security sold. Management evaluates securities for other-than-temporary impairment ("OTTI") at least on a quarterly basis, and more frequently when economic or market conditions warrant such an evaluation. Investment securities classified as available for sale or held-to-maturity are generally evaluated for OTTI under ASC Topic 320, Investments — Debt and Equity Instruments In determining OTTI, management considers many factors, including: (1) the length of time and the extent to which the fair value has been less than cost, (2) the financial condition and near-term prospects of the issuer, (3) whether the market decline was affected by macroeconomic conditions, and (4) whether the entity has the intent to sell the debt security or more likely than not will be required to sell the debt security before its anticipated recovery. The assessment of whether an other-than-temporary decline exists involves a high degree of subjectivity and judgment and is based on the information available to management at a point in time. Management has determined that no OTTI charges were necessary during 2015, 2014 and 2013.
Federal Home Loan Bank (FHLB) Stock	Federal Home Loan Bank (FHLB) Stock
Loans Held for Sale	Loans Held for Sale
Loans	Loans Interest income is accrued on the unpaid principal balance. Loan origination fees, net of certain direct origination costs, are deferred and recognized in interest income over the respective term of the loan using the level‑yield method without anticipating prepayments. Interest income on mortgage and commercial loans is discontinued at the time the loan is 90 days delinquent unless the loan is well-secured and in process of collection. Consumer loans are typically charged off no later than 120 days past due. Past due status is based on the contractual terms of the loan. In all cases, loans are placed on nonaccrual or charged-off at an earlier date if collection of principal or interest is considered doubtful. Nonaccrual loans and loans past due 90 days still on accrual include both smaller balance homogeneous loans that are collectively evaluated for impairment and individually classified impaired loans. All interest accrued but not received for loans placed on nonaccrual is reversed against interest income. Interest received on such loans is accounted for on the cash-basis or cost‑recovery method, until qualifying for return to accrual. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured.
Allowance for Loan Losses	Allowance for Loan Losses The allowance consists of specific and general components. The specific component relates to loans that are individually classified as impaired. The general component covers non-classified loans and is based on historical loss experience adjusted for current qualitative environmental factors. The Company maintains a loss migration analysis that tracks loan losses and recoveries based on loan class as well as the loan risk grade assignment for commercial loans. At December 31, 2015, an 18 month (six quarter) annualized historical loss experience was used for commercial loans and a 12 month (four quarter) historical loss experience period was applied to residential mortgage and consumer loan portfolios. These historical loss percentages are adjusted (both upwards and downwards) for certain qualitative environmental factors, including economic trends, credit quality trends, valuation trends, concentration risk, quality of loan review, changes in personnel, external factors and other considerations. A loan is impaired when, based on current information and events, it is believed to be probable that the Company will be unable to collect all amounts due according to the contractual terms of the loan agreement. Loans for which the terms have been modified and for which the borrower is experiencing financial difficulties, are considered troubled debt restructurings and classified as impaired. Commercial and commercial real estate loans with relationship balances exceeding $500,000 and an internal risk grading of 6 or worse are evaluated for impairment. If a loan is impaired, a portion of the allowance is allocated so that the loan is reported, net, at the present value of estimated future cash flows using the loan’s existing interest rate or at the fair value of collateral, less estimated costs to sell, if repayment is expected solely from the collateral. Large groups of smaller balance homogeneous loans, such as consumer and residential real estate loans are collectively evaluated for impairment and, accordingly, they are not separately identified for impairment disclosures. Troubled debt restructurings are also considered impaired with impairment generally measured at the present value of estimated future cash flows using the loan’s effective rate at inception or using the fair value of collateral, less estimated costs to sell, if repayment is expected solely from the collateral.
Transfers of Financial Assets	Transfers of Financial Assets
Foreclosed Assets	Foreclosed Assets
Premises and Equipment	Premises and Equipment
Bank-Owned Life Insurance (BOLI)	Bank-Owned Life Insurance (BOLI):
Goodwill and Acquired Intangible Assets	Goodwill and Acquired Intangible Assets Acquired intangible assets consist of core deposit and customer relationship intangible assets arising from acquisitions. They are initially measured at fair value and then are amortized on an accelerated method over their estimated useful lives, which range from ten to sixteen years. The Company had no acquired intangible assets at December 31, 2015 and 2014.
Long-term Assets	Long-term Assets
Loan Commitments and Related Financial Instruments	Loan Commitments and Related Financial Instruments
Mortgage Banking Derivatives	Mortgage Banking Derivatives Changes in the fair values of these interest rate lock and forward commitment derivatives are included in net gains on mortgage loans. The net fair value of mortgage banking derivatives was approximately $38,000 and $(2,000) at December 31, 2015 and 2014, respectively.
Derivatives	Derivatives
Income Taxes	Income Taxes The Company recognizes a tax position as a benefit only if it is "more likely than not" that the tax position would be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the largest amount of tax benefit that is greater than 50% likely of being realized on examination. For tax positions not meeting the "more likely than not" test, no tax benefit is recorded. The Company recognizes interest and/or penalties related to income tax matters in income tax expense.
Earnings Per Common Share	Earnings Per Common Share
Comprehensive Income (Loss)	Comprehensive Income (Loss)
Loss Contingencies	Loss Contingencies
Restrictions on Cash	Restrictions on Cash
Stock Splits and Dividends	Stock Splits and Dividends
Dividend Restriction	Dividend Restriction
Fair Values of Financial Instruments	Fair Values of Financial Instruments
Segment Reporting	Segment Reporting
Reclassifications	Reclassifications
Adoption of New Accounting Standards	Adoption of New Accounting Standards Receivables - Troubled Debt Restructurings by Creditors (Subtopic 310-40) - Reclassification of Residential Real Estate Collateralized Consumer Mortgage Loans upon Foreclosure a b FASB issued ASU 2014-08, Presentation of Financial Statements (Topic 205) and Property, Plant, and Equipment (Topic 360): Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity. FASB issued ASU 2014-14, Classification of Certain Government-Guaranteed Mortgage Loans upon Foreclosure. Newly Issued Not Yet Effective Standards FASB issued ASU 2014-09, Revenue from Contracts with Customers (Topic 606). Other Assets and Deferred Costs: Contracts with Customers Revenue from Contracts with Customers (Topic 606) – Deferral of the Effective Date FASB issued ASU 2015-03, Simplifying the Presentation of Debt Issuance Costs FASB issued ASU 2015-05, Customer’s Accounting for Fees Paid in a Cloud Computing Arrangement FASB issued ASU 2015-12, Plan Accounting: Defined Benefit Pension Plans (Topic 960), Defined Contribution Pension Plans (Topic 962), Health and Welfare Benefit Plans (Topic 965)—(Part I) Fully Benefit-Responsive Investment Contracts, (Part II) Plan Investment Disclosures, (Part III) Measurement Date Practical Expedient (consensuses of the Emerging Issues Task Force)

SECURITIES (Tables)

SECURITIES (Tables)	12 Months Ended
	Dec. 31, 2015
SECURITIES [Abstract]
Amortized Cost and Fair Value of Securities	The amortized cost and fair value of securities were as follows (dollars in thousands): Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value December 31, 2015 Available for Sale: U.S. Treasury and federal agency securities $ 74,618 48 (274 ) $ 74,392 U.S. Agency MBS and CMOs 13,828 35 (108 ) 13,755 Tax-exempt state and municipal bonds 32,943 692 (37 ) 33,598 Taxable state and municipal bonds 28,554 246 (37 ) 28,763 Corporate bonds and other debt securities 14,838 19 (44 ) 14,813 Other equity securities 1,500 --- (6 ) 1,494 $ 166,281 $ 1,040 $ (506 ) $ 166,815 Held to Maturity Tax-exempt state and municipal bonds $ 51,856 $ 986 $ (5 ) $ 52,837 December 31, 2014 Available for Sale: U.S. Treasury and federal agency securities $ 67,612 $ 53 $ (501 ) $ 67,164 U. S. Agency MBS and CMOs 16,692 67 (71 ) 16,688 Tax-exempt state and municipal bonds 37,203 419 (161 ) 37,461 Taxable state and municipal bonds 25,012 351 (70 ) 25,293 Corporate bonds and other debt securities 13,762 34 (30 ) 13,766 Other equity securities 1,500 2 --- 1,502 $ 161,781 $ 926 $ (833 ) $ 161,874 Held to Maturity: Tax-exempt state and municipal bonds $ 31,585 $ 64 $ (221 ) $ 31,428
Contractual Maturities of Debt Securities	Contractual maturities of debt securities at December 31, 2015 were as follows (dollars in thousands): Held–to-Maturity Securities Available-for-Sale Securities Amortized Cost Fair Value Amortized Cost Fair ValWue Due in one year or less $ 14,980 $ 15,017 $ 9,650 $ 9,669 Due from one to five years 9,808 9,939 101,770 101,772 Due from five to ten years 14,868 15,532 39,512 40,075 Due after ten years 12,200 12,349 13,849 13,805 $ 51,856 $ 52,837 $ 164,781 $ 165,321
Securities in Continuous Unrealized Loss Position	Securities with unrealized losses at December 31, 2015 and 2014, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, are as follows (dollars in thousands): Less than 12 Months 12 Months or More Total December 31, 2015 Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss U.S. Treasury and federal agency securities $ 35,090 $ (187 ) $ 7,036 $ (82 ) $ 42,126 $ (269 ) U.S. Agency MBS and CMOs 8,842 (108 ) --- --- 8,842 (108 ) Tax-exempt state and municipal bonds 3,487 (9 ) 2,022 (33 ) 5,509 (42 ) Taxable state and municipal bonds 8,158 (29 ) 640 (8 ) 8,798 (37 ) Corporate bonds and other debt securities 9,330 (47 ) 499 (2 ) 9,829 (49 ) Other equity securities 1,494 (6 ) --- 1,494 (6 ) Total temporarily impaired $ 66,401 $ (386 ) $ 10,197 $ (125 ) $ 76,598 $ (511 ) Less than 12 Months 12 Months or More Total December 31, 2014 Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss U.S. Treasury and federal agency securities $ 16,426 $ (45 ) $ 35,350 $ (456 ) $ 51,776 $ (501 ) U.S. Agency MBS and CMOs --- --- 9,732 (71 ) 9,732 (71 ) Tax-exempt state and municipal bonds 26,820 (264 ) 4,545 (118 ) 31,365 (382 ) Taxable state and municipal bonds 3,982 (19 ) 3,240 (51 ) 7,222 (70 ) Corporate bonds and other debt securities 4,187 (13 ) 1,988 (17 ) 6,175 (30 ) Other equity securities --- --- --- --- --- --- Total temporarily impaired $ 51,415 $ (341 ) $ 54,855 $ (713 ) $ 106,270 $ (1,054 )

LOANS (Tables)

LOANS (Tables)	12 Months Ended
	Dec. 31, 2015
LOANS [Abstract]
Portfolio Loans	Portfolio loans were as follows (dollars in thousands): December 31, 2015 December 31, 2014 Commercial and industrial $ 377,298 $ 327,674 Commercial real estate: Residential developed 10,448 12,771 Unsecured to residential developers 7,372 7,496 Vacant and unimproved 42,881 50,372 Commercial development 559 4,082 Residential improved 67,922 69,612 Commercial improved 289,651 269,757 Manufacturing and industrial 89,839 76,441 Total commercial real estate 508,672 490,531 Consumer Residential mortgage 209,972 190,249 Unsecured 637 948 Home equity 92,716 98,887 Other secured 8,637 10,194 Total consumer 311,962 300,278 Total loans 1,197,932 1,118,483 Allowance for loan losses (17,081 ) (18,962 ) $ 1,180,851 $ 1,099,521
Activity in Allowance for Loan Losses by Portfolio Segment	The following tables present the activity in the allowance for loan losses by portfolio segment for the years ended December 31, 2015, 2014 and 2013 (dollars in thousands): 2015 Commercial and Industrial Commercial Real Estate Consumer Unallocated Total Beginning balance $ 6,173 8,690 $ 4,046 $ 53 $ 18,962 Charge-offs (172 ) (218 ) (312 ) (702 ) Recoveries 406 1,264 651 2,321 Provision for loan losses (1,581 ) (1,279 ) (624 ) (16 ) (3,500 ) Ending Balance $ 4,826 $ 8,457 $ 3,761 $ 37 $ 17,081 2014 Commercial and Industrial Commercial Real Estate Consumer Unallocated Total Beginning balance $ 6,174 $ 10,868 $ 3,703 $ 53 $ 20,798 Charge-offs (43 ) (134 ) (499 ) --- (676 ) Recoveries 522 1,481 187 --- 2,190 Provision for loan losses (480 ) (3,525 ) 655 --- (3,350 ) Ending Balance $ 6,173 $ 8,690 $ 4,046 $ 53 $ 18,962 2013 Commercial and Industrial Commercial Real Estate Consumer Unallocated Total Beginning balance $ 6,459 $ 13,457 $ 3,787 $ 36 $ 23,739 Charge-offs (317 ) (1,065 ) (822 ) --- (2,204 ) Recoveries 1,134 2,141 238 --- 3,513 Provision for loan losses (1,102 ) (3,665 ) 500 17 (4,250 ) Ending Balance $ 6,174 $ 10,868 $ 3,703 $ 53 $ 20,798
Allowance for Loan Losses and Recorded Investment in Loans by Portfolio Segment Based on Impairment Method	The following tables present the balance in the allowance for loan losses and the recorded investment in loans by portfolio segment and based on impairment method (dollars in thousands): December 31, 2015 Commercial and Industrial Commercial Real Estate Consumer Unallocated Total Allowance for loan losses: Ending allowance attributable to loans: Individually reviewed for impairment $ 673 $ 436 $ 829 $ --- $ 1,938 Collectively evaluated for impairment 4,153 8,021 2,932 37 15,143 Total ending allowance balance $ 4,826 $ 8,457 $ 3,761 $ 37 $ 17,081 Loans: Individually reviewed for impairment $ 7,718 $ 17,569 $ 13,463 $ --- $ 38,750 Collectively evaluated for impairment 369,580 491,103 298,499 --- 1,159,182 Total ending loans balance $ 377,298 $ 508,672 $ 311,962 $ --- $ 1,197,932 December 31, 2014 Commercial and Industrial Commercial Real Estate Consumer Unallocated Total Allowance for loan losses: Ending allowance attributable to loans: Individually reviewed for impairment $ 2,429 $ 743 $ 893 $ --- $ 4,065 Collectively evaluated for impairment 3,744 7,947 3,153 53 14,897 Total ending allowance balance $ 6,173 $ 8,690 $ 4,046 $ 53 $ 18,962 Loans: Individually reviewed for impairment $ 9,084 $ 29,818 $ 14,495 $ --- $ 53,397 Collectively evaluated for impairment 318,590 460,713 285,783 --- 1,065,086 Total ending loans balance $ 327,674 $ 490,531 $ 300,278 $ --- $ 1,118,483
Loans Individually Evaluated for Impairment by Class of Loans	The following table presents loans individually evaluated for impairment by class of loans as of December 31, 2015 (dollars in thousands): December 31, 2015 Unpaid Principal Balance Recorded Investment Allowance Allocated With no related allowance recorded: Commercial and industrial $ 2,736 $ 2,736 $ --- Commercial real estate: Residential developed --- --- --- Unsecured to residential developers --- --- --- Vacant and unimproved 206 206 --- Commercial development --- --- --- Residential improved 5 5 --- Commercial improved --- --- --- Manufacturing and industrial --- --- --- 211 211 --- Consumer: Residential mortgage --- --- --- Unsecured --- --- --- Home equity --- --- --- Other secured --- --- --- --- --- --- $ 2,947 $ 2,947 $ --- With an allowance recorded: Commercial and industrial $ 4,982 $ 4,982 $ 673 Commercial real estate: Residential developed --- --- --- Unsecured to residential developers --- --- --- Vacant and unimproved 247 247 7 Commercial development 192 192 6 Residential improved 5,254 5,254 140 Commercial improved 11,425 11,425 274 Manufacturing and industrial 240 240 9 17,358 17,358 436 Consumer: Residential mortgage 8,655 8,655 533 Unsecured --- --- --- Home equity 4,808 4,808 296 Other secured --- --- --- 13,463 13,463 829 $ 35,803 $ 35,803 $ 1,938 Total $ 38,750 $ 38,750 $ 1,938 The following table presents loans individually evaluated for impairment by class of loans as of December 31, 2014 (dollars in thousands): December 31, 2014 Unpaid Principal Balance Recorded Investment Allowance Allocated With no related allowance recorded: Commercial and industrial $ 3,019 $ 3,019 $ --- Commercial real estate: Residential developed 531 531 --- Unsecured to residential developers --- --- --- Vacant and unimproved --- --- --- Commercial development --- --- --- Residential improved 547 547 --- Commercial improved 331 331 --- Manufacturing and industrial 206 206 --- 1,615 1,615 --- Consumer: Residential mortgage --- --- --- Unsecured --- --- --- Home equity --- --- --- Other secured --- --- --- --- --- --- $ 4,634 $ 4,634 $ --- With an allowance recorded: Commercial and industrial $ 6,065 $ 6,065 $ 2,429 Commercial real estate: Residential developed 550 550 35 Unsecured to residential developers --- --- --- Vacant and unimproved 1,499 1,499 43 Commercial development 199 199 5 Residential improved 7,323 7,323 240 Commercial improved 16,113 16,113 389 Manufacturing and industrial 2,519 2,519 31 28,203 28,203 743 Consumer: Residential mortgage 9,492 9,484 584 Unsecured --- --- --- Home equity 5,182 5,011 309 Other secured --- --- --- 14,674 14,495 893 $ 48,942 $ 48,763 $ 4,065 Total $ 53,576 $ 53,397 $ 4,065
Average Balances of Impaired Loans and Interest Recognized on Impaired Loans	The following table presents information regarding average balances of impaired loans and interest recognized on impaired loans for the years ended December 31, 2015, 2014 and 2013 (dollars in thousands): 2015 2014 2013 Average of impaired loans during the period: Commercial and industrial $ 7,296 $ 11,818 $ 14,333 Commercial real estate: Residential developed 577 3,628 6,357 Unsecured to residential developers --- --- --- Vacant and unimproved 1,231 1,646 2,804 Commercial development 195 451 398 Residential improved 6,425 9,309 11,549 Commercial improved 15,106 17,853 20,191 Manufacturing and industrial 1,944 5,630 6,305 Consumer 14,259 14,476 14,532 Interest income recognized during impairment: Commercial and industrial 1,110 1,108 1,278 Commercial real estate 967 1,527 1,974 Consumer 497 541 537 Cash-basis interest income recognized Commercial and industrial 1,066 1,107 1,273 Commercial real estate 970 1,547 1,971 Consumer 502 541 532
Recorded Investment in Nonaccrual and Loans Past Due Over 90 Days Still on Accrual by Class of Loans	The following tables present the recorded investment in nonaccrual and loans past due over 90 days still on accrual by class of loans as of December 31, 2015 and 2014: December 31, 2015 Nonaccrual Over 90 days Accruing Commercial and industrial $ 174 $ --- Commercial real estate: Residential developed 195 --- Unsecured to residential developers --- --- Vacant and unimproved --- --- Commercial development 49 --- Residential improved 124 --- Commercial improved 157 --- Manufacturing and industrial --- --- 525 --- Consumer: Residential mortgage 2 --- Unsecured 28 --- Home equity 10 17 Other secured --- --- 40 17 Total $ 739 $ 17 December 31, 2014 Nonaccrual Over 90 days Accruing Commercial and industrial $ 5,605 $ --- Commercial real estate: Residential developed 245 --- Unsecured to residential developers --- --- Vacant and unimproved --- --- Commercial development 29 --- Residential improved 766 --- Commercial improved 866 117 Manufacturing and industrial --- --- 1,906 117 Consumer: Residential mortgage 305 --- Unsecured 40 --- Home equity 436 17 Other secured --- --- 781 17 Total $ 8,292 $ 134
Aging of Recorded Investment in Past Due Loans by Class of Loans	The following table presents the aging of the recorded investment in past due loans as of December 31, 2015 by class of loans (dollars in thousands): December 31, 2015 30-90 Days Greater Than 90 Days Total Past Due Loans Not Past Due Total Commercial and industrial $ 719 $ 100 $ 819 $ 376,479 $ 377,298 Commercial real estate: Residential developed --- --- --- 10,448 10,448 Unsecured to residential developers --- --- --- 7,372 7,372 Vacant and unimproved --- --- --- 42,881 42,881 Commercial development --- 49 49 510 559 Residential improved 73 6 79 67,843 67,922 Commercial improved 375 --- 375 289,276 289,651 Manufacturing and industrial --- --- --- 89,839 89,839 448 55 503 508,169 508,672 Consumer: Residential mortgage --- --- --- 209,972 209,972 Unsecured --- --- --- 637 637 Home equity 32 17 49 92,667 92,716 Other secured --- --- --- 8,637 8,637 32 17 49 311,913 311,962 Total $ 1,199 $ 172 $ 1,371 $ 1,196,561 $ 1,197,932 The following table presents the aging of the recorded investment in past due loans as of December 31, 2014 by class of loans (dollars in thousands): December 31, 2014 30-90 Days Greater Than 90 Days Total Past Due Loans Not Past Due Total Commercial and industrial $ 54 $ --- $ 54 $ 327,620 $ 327,674 Commercial real estate: Residential developed --- --- --- 12,771 12,771 Unsecured to residential developers --- --- --- 7,496 7,496 Vacant and unimproved 100 --- 100 50,272 50,372 Commercial development --- 29 29 4,053 4,082 Residential improved 100 440 540 69,072 69,612 Commercial improved --- 958 958 268,799 269,757 Manufacturing and industrial --- --- --- 76,441 76,441 200 1,427 1,627 488,904 490,531 Consumer: Residential mortgage 338 303 641 189,608 190,249 Unsecured --- 18 18 930 948 Home equity 79 422 501 98,386 98,887 Other secured --- --- --- 10,194 10,194 417 743 1,160 299,118 300,278 Total $ 671 $ 2,170 $ 2,841 $ 1,115,642 $ 1,118,483
Troubled Debt Restructurings	The following table presents information regarding troubled debt restructurings as of December 31, 2015 and 2014 (dollars in thousands): 2015 2014 Number of Loans Outstanding Recorded Balance Number of Loans Outstanding Recorded Balance Commercial and industrial 33 $ 7,611 36 $ 9,085 Commercial real estate 56 17,871 84 29,817 Consumer 124 13,570 106 14,495 213 $ 39,052 226 $ 53,397 The following table presents information related to accruing troubled debt restructurings as of December 31, 2015, 2014, 2013 and 2012. The table presents the amount of accruing troubled debt restructurings that were on nonaccrual status prior to the restructuring, accruing at the time of restructuring and those that were upgraded to accruing status after receiving six consecutive monthly payments in accordance with the restructured terms as of December 31, 2015, 2014, 2013 and 2012 (dollars in thousands): 2015 2014 2013 2012 Accruing TDR - nonaccrual at restructuring $ --- $ --- $ --- $ 1,135 Accruing TDR - accruing at restructuring 33,691 46,197 57,790 61,545 Accruing TDR - upgraded to accruing after six consecutive payments 4,784 --- --- 2,344 $ 38,475 $ 46,197 $ 57,790 $ 65,024 The following tables present information regarding troubled debt restructurings executed during the years ended December 31, 2015, 2014 and 2013 (dollars in thousands): 2015 Number of Loans Pre-Modification Outstanding Recorded Balance Principal Writedown upon Modification Commercial and industrial 6 $ 745 $ --- Commercial real estate 3 301 --- Consumer 34 1,000 --- 43 $ 2,046 $ --- 2014 Number of Loans Pre-Modification Outstanding Recorded Balance Principal Writedown upon Modification Commercial and industrial 1 $ 61 $ --- Commercial real estate 11 4,345 --- Consumer 39 1,422 --- 51 $ 5,828 $ --- 2013 Number of Loans Pre-Modification Outstanding Recorded Balance Principal Writedown upon Modification Commercial and industrial 5 $ 1,085 $ --- Commercial real estate 13 4,298 --- Consumer 36 5,833 --- 54 $ 11,216 $ ---
Troubled Debt Restructured Loans That Defaulted During the Period	The table below presents, by class, information regarding troubled debt restructurings which had payment defaults during the twelve months ended December 31, 2015, 2014 and 2013 (dollars in thousands). Included are loans that became delinquent more than 90 days past due or transferred to nonaccrual within 12 months of restructuring. 2015 2014 2013 Number of Loans Outstanding Recorded Balance Number of Loans Outstanding Recorded Balance Number of Loans Outstanding Recorded Balance Commercial and industrial --- $ --- --- $ --- --- $ --- Commercial real estate --- --- 1 131 1 1,350 Consumer 2 28 --- --- --- ---
Risk Grade Category of Loans by Class of Loans	At year end, the risk grade category of commercial loans by class of loans was as follows (dollars in thousands): December 31, 2015 1 2 3 4 5 6 7 8 Total Commercial and industrial $ 196 8,774 114,451 242,253 5,235 6,215 174 $ --- $ 377,298 Commercial real estate: Residential developed --- --- 2,226 5,191 2,836 --- 195 --- 10,448 Unsecured to residential developers --- --- --- 7,372 --- --- --- --- 7,372 Vacant and unimproved --- --- 17,768 20,588 4,525 --- --- --- 42,881 Commercial development --- --- --- 318 --- 192 49 --- 559 Residential improved --- --- 7,191 54,376 4,722 1,509 124 --- 67,922 Commercial improved --- 3,094 60,475 208,127 15,645 2,153 157 --- 289,651 Manufacturing & industrial --- 1,478 34,857 50,023 3,481 --- --- --- 89,839 $ 196 $ 13,346 $ 236,968 $ 588,248 $ 36,444 $ 10,069 $ 699 $ --- $ 885,970 December 31, 2014 1 2 3 4 5 6 7 8 Total Commercial and industrial $ 343 $ 11,177 $ 118,382 $ 182,651 $ 8,448 $ 1,068 $ 5,605 $ --- $ 327,674 Commercial real estate: Residential developed --- --- 2,491 4,702 4,491 842 245 --- 12,771 Unsecured to residential developers --- --- --- 7,496 --- --- --- --- 7,496 Vacant and unimproved --- --- 12,105 30,997 7,241 29 --- --- 50,372 Commercial development --- --- --- 3,643 211 199 29 --- 4,082 Residential improved --- 103 16,291 43,928 6,428 2,096 766 --- 69,612 Commercial improved --- 4,392 61,543 178,169 20,558 4,229 866 --- 269,757 Manufacturing & industrial --- 1,508 27,396 42,494 4,713 330 --- --- 76,441 $ 343 $ 17,180 $ 238,208 $ 494,080 $ 52,090 $ 8,793 $ 7,511 $ --- $ 818,205
Commercial Loans Classified as Substandard or Worse	Commercial loans classified as substandard or worse were as follows at year-end (dollars in thousands): 2015 2014 Not classified as impaired $ 1,986 $ 4,220 Classified as impaired 8,782 12,084 Total commercial loans classified substandard or worse $ 10,768 $ 16,304
Recorded Investment in Consumer Loans Based on Payment Activity	The following tables present the recorded investment in consumer loans based on payment activity as of December 31, 2015 and 2014 (dollars in thousands): December 31, 2015 Residential Mortgage Consumer Unsecured Home Equity Consumer Other Performing $ 209,972 $ 637 $ 92,699 $ 8,637 Nonperforming --- --- 17 --- Total $ 209,972 $ 637 $ 92,716 $ 8,637 December 31, 2014 Residential Mortgage Consumer Unsecured Home Equity Consumer Other Performing $ 189,946 $ 930 $ 98,465 $ 10,194 Nonperforming 303 18 422 --- Total $ 190,249 $ 948 $ 98,887 $ 10,194

OTHER REAL ESTATE OWNED (Tables

OTHER REAL ESTATE OWNED (Tables)	12 Months Ended
	Dec. 31, 2015
OTHER REAL ESTATE OWNED [Abstract]
Period-End Other Real Estate Owned	Other real estate owned was as follows (dollars in thousands): 2015 2014 2013 Beginning balance $ 43,071 $ 53,501 $ 69,743 Additions, transfers from loans 2,520 4,932 3,539 Proceeds from sales of other real estate owned (11,540 ) (12,487 ) (16,501 ) Valuation allowance reversal upon sale (4,748 ) (3,499 ) (4,378 ) Gain (loss) on sale of other real estate owned (926 ) 624 1,098 28,377 43,071 53,501 Less: valuation allowance (10,805 ) (14,829 ) (16,705 ) Ending balance $ 17,572 $ 28,242 $ 36,796
Activity in Valuation Allowance	Activity in the valuation allowance was as follows (dollars in thousands): 2015 2014 2013 Beginning balance $ 14,829 $ 16,705 $ 18,161 Additions charged to expense 724 1,623 2,922 Reversals upon sale (4,748 ) (3,499 ) (4,378 ) Ending balance $ 10,805 $ 14,829 $ 16,705

FAIR VALUE (Tables)

FAIR VALUE (Tables)	12 Months Ended
	Dec. 31, 2015
FAIR VALUE [Abstract]
Assets Measured at Fair Value on a Recurring Basis	Assets measured at fair value on a recurring basis are summarized below (in thousands): Fair Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs December 31, 2015 U.S. Treasury and federal agency securities $ 74,392 $ --- $ 74,392 $ --- U.S. Agency MBS and CMOs 13,755 --- 13,755 --- Tax-exempt state and municipal bonds 33,598 --- 33,598 --- Taxable state and municipal bonds 28,763 --- 28,763 --- Corporate bonds and other debt securities 14,813 --- 14,813 --- Other equity securities 1,494 --- 1,494 --- Loans held for sale 2,776 --- 2,776 --- Interest rate swaps 790 --- --- 790 Interest rate swaps (790 ) --- --- (790 ) December 31, 2014 U.S. Treasury and federal agency securities $ 67,164 $ --- $ 67,164 $ --- U.S. Agency MBS and CMOs 16,688 --- 16,688 --- Tax-exempt state and municipal bonds 37,461 --- 37,461 --- Taxable state and municipal bonds 25,293 --- 25,293 --- Corporate bonds and other debt securities 13,766 --- 13,766 --- Other equity securities 1,502 --- 1,502 --- Loans held for sale 2,347 --- 2,347 --- Interest rate swaps 140 --- --- 140 Interest rate swaps (140 ) --- --- (140 )
Assets Measured at Fair Value on a Non-Recurring Basis	Assets measured at fair value on a non-recurring basis are summarized below (in thousands): Fair Quoted Prices in Active Markets for Identical Assets Significant Other Observable Significant Unobservable Inputs December 31, 2015 Impaired loans $ 6,573 $ --- $ --- $ 6,573 Other real estate owned 13,602 --- --- 13,602 December 31, 2014 Impaired loans $ 12,649 $ --- $ --- $ 12,649 Other real estate owned 22,472 --- --- 22,472
Quantitative Information about Level 3 Fair Value Measurements Measured on a Non-Recurring Basis	Quantitative information about Level 3 fair value measurements measured on a non-recurring basis were as follows at year end (dollars in thousands). Asset (Liability) Fair Value Valuation Technique Unobservable Inputs Range (%) December 31, 2015 Impaired Loans $ 6,573 Sales comparison approach Adjustment for differences between comparable sales 1.0 to 19.0 Income approach Capitalization rate 9.5 to 11.0 Other real estate owned 13,602 Sales comparison approach Adjustment for differences between comparable sales 4.5 to 32.5 Income approach Capitalization rate 9.5 to 11.0 Asset (Liability) Fair Value Valuation Technique Unobservable Inputs Range (%) December 31, 2014 Impaired Loans $ 12,649 Sales comparison approach Adjustment for differences between comparable sales 1.0 to 20.0 Income approach Capitalization rate 9.5 to 12.0 Other real estate owned 22,472 Sales comparison approach Adjustment for differences between comparable sales 3.0 to 22.7 Income approach Capitalization rate 9.5 to 12.0
Carrying Amounts and Estimated Fair Values of Financial Instruments, Not Previously Presented	The carrying amounts and estimated fair values of financial instruments, not previously presented, were as follows at year end (dollars in thousands). 2015 2014 Level in Fair Value Hierarchy Carrying Amount Fair Value Carrying Amount Fair Value Financial assets Cash and due from banks Level 1 $ 29,104 29,104 $ 31,503 $ 31,503 Cash equivalents Level 2 152,372 152,372 97,952 97,952 Interest-bearing time deposits in other financial institutions Level 2 20,000 20,008 20,000 20,062 Securities held to maturity Level 3 51,856 52,837 31,585 31,428 FHLB stock 11,558 NA 11,238 NA Loans, net Level 2 1,187,423 1,177,527 1,086,872 1,082,675 Bank owned life insurance Level 3 28,858 28,858 28,195 28,195 Accrued interest receivable Level 2 3,622 3,622 3,399 3,399 Financial liabilities Deposits Level 2 (1,435,512 ) (1,435,473 ) (1,306,325 ) (1,306,671 ) Other borrowed funds Level 2 (96,169 ) (96,465 ) (88,107 ) (89,066 ) Long-term debt Level 2 (41,238 ) (35,757 ) (41,238 ) (35,396 ) Accrued interest payable Level 2 (273 ) (273 ) (289 ) (289 ) Off-balance sheet credit-related items Loan commitments --- --- --- ---

PREMISES AND EQUIPMENT - NET (T

PREMISES AND EQUIPMENT - NET (Tables)	12 Months Ended
	Dec. 31, 2015
PREMISES AND EQUIPMENT - NET [Abstract]
Year-End Premises and Equipment	Year-end premises and equipment were as follows (dollars in thousands): 2015 2014 Land $ 18,227 $ 18,227 Building 43,449 43,426 Leasehold improvements 779 779 Furniture and equipment 19,353 18,368 Construction in progress 575 413 82,383 81,213 Less accumulated depreciation (30,927 ) (28,319 ) $ 51,456 $ 52,894
Future Minimum Rental Expense under Noncancelable Operating Leases	Future minimum rental expense under noncancelable operating leases as of December 31, 2015 is as follows (dollars in thousands): 2016 $ 233 2017 230 2018 230 2019 230 2020 127 Thereafter --- $ 1,050

DEPOSITS (Tables)

DEPOSITS (Tables)	12 Months Ended
	Dec. 31, 2015
DEPOSITS [Abstract]
Deposits at Period-End	Deposits at year-end were as follows (dollars in thousands): 2015 2014 Noninterest-bearing demand $ 477,032 $ 404,143 Interest bearing demand 358,306 340,053 Savings and money market accounts 512,980 442,246 Certificates of deposit 87,194 119,883 $ 1,435,512 $ 1,306,325
Maturity Distribution of Certificates of Deposit	The following table depicts the maturity distribution of certificates of deposit at December 31, 2015 (dollars in thousands): 2016 $ 59,436 2017 14,157 2018 9,828 2019 2,639 2020 1,134 Thereafter --- $ 87,194

OTHER BORROWED FUNDS (Tables)

OTHER BORROWED FUNDS (Tables)	12 Months Ended
	Dec. 31, 2015
OTHER BORROWED FUNDS [Abstract]
Advances from Federal Home Loan Bank	At year-end, advances from the Federal Home Loan Bank were as follows (dollars in thousands): Principal Terms Advance Amount Range of Maturities Weighted Average Interest Rate December 31, 2015 Single maturity fixed rate advances $ 90,000 August 2016 to March 2020 1.69 % Amortizable mortgage advances 6,169 March 2018 to July 2018 3.78 % $ 96,169 Principal Terms Advance Amount Range of Maturities Weighted Average Interest Rate December 31, 2014 Single maturity fixed rate advances $ 80,000 August 2016 to February 2019 1.69 % Amortizable mortgage advances 8,107 March 2018 to July 2018 3.78 % $ 88,107
Scheduled Repayments of FHLB Advances	Scheduled repayments of FHLB advances as of December 31, 2015 were as follows (in thousands): 2016 $ 21,996 2017 2,055 2018 52,118 2019 10,000 2020 10,000 Thereafter --- $ 96,169

RELATED PARTY TRANSACTIONS (Tab

RELATED PARTY TRANSACTIONS (Tables)	12 Months Ended
	Dec. 31, 2015
RELATED PARTY TRANSACTIONS [Abstract]
Loans to Principal Officers, Directors, and Their Affiliates	Loans to principal officers, directors, and their affiliates were as follows (dollars in thousands). 2015 2014 Beginning balance $ 10,077 $ 3,462 New loans and renewals 22,550 21,594 Repayments and renewals (15,114 ) (14,979 ) Effect of changes in related parties (162 ) --- Ending Balance $ 17,351 $ 10,077

STOCK-BASED COMPENSATION (Table

STOCK-BASED COMPENSATION (Tables)	12 Months Ended
	Dec. 31, 2015
STOCK-BASED COMPENSATION [Abstract]
Summary of Option Activity in the Plans	A summary of option activity in the plans is as follows (dollars in thousands, except per option data): Options Number Outstanding Weighted- Average Exercise Price Weighted- Average Remaining Contractual Life in Years Aggregate Intrinsic Value Outstanding at January 1, 2015 260,261 $ 18.57 --- --- Forfeited --- --- --- --- Expired (157,962 ) 22.16 --- --- Outstanding at December 31, 2015 102,299 $ 13.04 1.60 $ --- Exerciseable at December 31, 2015 102,299 $ 13.04 1.60 $ --- Information related to stock options during each year follows (dollars in thousands): 2015 2014 2013 Intrinsic value of options exercised $ --- $ --- $ --- Cash received from option exercises --- --- --- Tax benefit realized from option exercises --- --- ---
Changes in Nonvested Stock Awards	A summary of changes in the Company’s nonvested restricted stock awards for the year follows: Nonvested Stock Awards Shares Weighted- Average Grant-Date Fair Value Aggregate Intrinsic Value Outstanding at January 1, 2015 217,679 $ 4.77 $ 1,184,174 Granted 88,000 5.55 532,400 Vested (107,833 ) 4.37 652,390 Forfeited --- --- --- Outstanding at December 31, 2015 197,846 $ 5.34 $ 1,196,968

EARNINGS PER COMMON SHARE (Tabl

EARNINGS PER COMMON SHARE (Tables)	12 Months Ended
	Dec. 31, 2015
EARNINGS PER COMMON SHARE [Abstract]
Reconciliation of Numerators and Denominators of Basic and Diluted Earnings per Common Share	A reconciliation of the numerators and denominators of basic and diluted earnings per common share are as follows (dollars in thousands, except per share data): 2015 2014 2013 Net income available to common shares $ 12,794 $ 10,473 $ 9,549 Effect of induced exchange of preferred stock --- --- (17,575 ) Net income available to common shares $ 12,794 $ 10,473 $ (8,026 ) Weighted average shares outstanding, including participating stock awards - 33,872,814 33,803,030 27,161,888 Dilutive potential common shares: Stock options --- --- --- Stock warrants --- --- --- Weighted average shares outstanding - 33,872,814 33,803,030 27,161,888 Basic earnings per common share $ 0.38 $ 0.31 $ (0.29 ) Diluted earnings per common share $ 0.38 $ 0.31 $ (0.29 )

FEDERAL INCOME TAXES (Tables)

FEDERAL INCOME TAXES (Tables)	12 Months Ended
	Dec. 31, 2015
FEDERAL INCOME TAXES [Abstract]
Income Tax Expense (Benefit)	Income tax expense was as follows (dollars in thousands): 2015 2014 2013 Current $ 2,335 $ 1,724 $ 120 Deferred 3,291 2,849 4,150 $ 5,626 $ 4,573 $ 4,270
Difference between Financial Statement Tax Expense (Benefit) and Amount Computed by Applying Statutory Federal Tax Rate to Pretax Income	The difference between the financial statement tax expense and amount computed by applying the statutory federal tax rate to pretax income was reconciled as follows (dollars in thousands): 2015 2014 2013 Statutory rate 35 % 35 % 35 % Statutory rate applied to income before taxes $ 6,447 $ 5,266 $ 4,837 Add (deduct) Tax-exempt interest income (529 ) (391 ) (244 ) Bank-owned life insurance (232 ) (237 ) (250 ) Other, net (60 ) (65 ) (73 ) $ 5,626 $ 4,573 $ 4,270
Deferred Tax Assets and Liabilities	The net deferred tax asset recorded included the following amounts of deferred tax assets and liabilities (dollars in thousands): 2015 2014 Deferred tax assets Allowance for loan losses $ 5,978 $ 6,637 Nonaccrual loan interest 850 935 Valuation allowance on other real estate owned 3,782 5,190 Unrealized loss on securities available for sale --- --- Other 647 1,896 Gross deferred tax assets 11,257 14,658 Valuation allowance --- --- Total net deferred tax assets 11,257 14,658 Deferred tax liabilities Depreciation (1,739 ) (1,908 ) Prepaid expenses (191 ) (21 ) Unrealized gain on securities available for sale (187 ) (33 ) Other (321 ) (431 ) Gross deferred tax liabilities (2,438 ) (2,393 ) Net deferred tax asset $ 8,819 $ 12,265

COMMITMENTS AND OFF BALANCE-S41

COMMITMENTS AND OFF BALANCE-SHEET RISK (Tables)	12 Months Ended
	Dec. 31, 2015
COMMITMENTS AND OFF BALANCE-SHEET RISK [Abstract]
Summary of Contractual Amounts of Financial Instruments with Off-Balance-Sheet Risk	A summary of the contractual amounts of financial instruments with off‑balance‑sheet risk was as follows at year-end (dollars in thousands): 2015 2014 Commitments to make loans $ 97,991 $ 81,274 Letters of credit 12,976 11,862 Unused lines of credit 426,080 389,099

SHAREHOLDERS' EQUITY (Tables)

SHAREHOLDERS' EQUITY (Tables)	12 Months Ended
	Dec. 31, 2015
SHAREHOLDERS' EQUITY [Abstract]
Actual Capital Levels and Minimum Required Levels	Actual capital levels (dollars in thousands) and minimum required levels were as follows at year-end: Actual Minimum Required For Capital Adequacy Purposes To Be Well Capitalized Under Prompt Corrective Action Regulations Amount Ratio Amount Ratio Amount Ratio December 31, 2015 CET1 capital (to risk weighted assets) Consolidated $ 151,630 10.8 % $ 63,479 4.5 % N/A N/A Bank 186,930 13.2 63,463 4.5 $ 91,668 6.5 % Tier 1 capital (to risk weighted assets) Consolidated 191,630 13.6 84,638 6.0 N/A N/A Bank 186,930 13.2 84,617 6.0 112,822 8.0 Total capital (to risk weighted assets) Consolidated 208,711 14.8 112,851 8.0 N/A N/A Bank 203,471 14.4 112,822 8.0 141,028 10.0 Tier 1 capital (to average assets) Consolidated 191,630 11.5 66,400 4.0 N/A N/A Bank 186,930 11.2 66,332 4.0 82,915 5.0 December 31, 2014 Tier 1 capital (to risk weighted assets) Consolidated $ 174,084 14.3 % $ 48,706 4.0 % N/A N/A Bank 170,983 14.0 48,788 4.0 $ 73,182 6.0 % Total capital (to risk weighted assets) Consolidated 189,353 15.6 97,420 8.0 N/A N/A Bank 186,276 15.3 97,575 8.0 121,969 10.0 Tier 1 capital (to average assets) Consolidated 174,084 11.6 59,998 4.0 N/A N/A Bank 170,983 11.4 59,923 4.0 74,904 5.0

CONDENSED FINANCIAL STATEMENT43

CONDENSED FINANCIAL STATEMENTS (PARENT COMPANY ONLY) (Tables)	12 Months Ended
	Dec. 31, 2015
CONDENSED FINANCIAL STATEMENTS (PARENT COMPANY ONLY) [Abstract]
Condensed Balance Sheets	CONDENSED BALANCE SHEETS 2015 2014 ASSETS Cash and cash equivalents $ 4,818 $ 2,544 Investment in Bank subsidiary 186,737 177,312 Investment in other subsidiaries 1,478 1,491 Other assets 362 2,599 Total assets $ 193,395 $ 183,946 LIABILITIES AND SHAREHOLDERS' EQUITY Long-term debt 41,238 41,238 Other liabilities 180 189 Total liabilities 41,418 41,427 Total shareholders' equity 151,977 142,519 Total liabilities and shareholders' equity $ 193,395 $ 183,946
Condensed Statements of Income and Comprehensive Income	CONDENSED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME 2015 2014 2013 INCOME Dividends from subsidiaries $ 5,160 $ 4,139 $ 5,179 Other --- --- --- Total income 5,160 4,139 5,179 EXPENSE Interest expense 1,331 1,311 1,563 Other expense 592 611 575 Total expense 1,923 1,922 2,138 Income before income tax and equity in undistributed earnings of subsidiaries 3,237 2,217 3,041 Equity in undistributed earnings of subsidiaries 8,893 7,592 5,770 Income before income tax 12,130 9,809 8,811 Income tax benefit (664 ) (664 ) (738 ) Net income $ 12,794 $ 10,473 $ 9,549 Net income (loss) available to common shares $ 12,794 $ 10,473 $ (8,026 ) Comprehensive income $ 13,080 $ 12,489 $ 6,634
Condensed Statements of Cash Flows	CONDENSED STATEMENTS OF CASH FLOWS 2015 2014 2013 Cash flows from operating activities Net income $ 12,794 $ 10,473 $ 9,549 Adjustments to reconcile net income to net cash from operating activities: Equity in undistributed earnings of subsidiaries (8,893 ) (7,592 ) (5,770 ) Stock compensation expense 18 2 --- Change in other assets 2,237 673 (740 ) Change in other liabilities (9 ) (29 ) (4,487 ) Net cash from operating activities 6,147 3,527 (1,448 ) Cash flows from investing activities Investment in subsidiaries --- --- --- Net cash from investing activities --- --- --- Cash flows from financing activities Proceeds from issuance of common stock --- 4 --- Cash dividends paid (3,702 ) (2,689 ) --- Common stock issuance costs --- (102 ) --- Redemption of subordinated debt --- --- (1,650 ) Repurchases of shares (171 ) (106 ) (45 ) Cash paid in preferred stock exchange --- --- (4,734 ) Net cash from financing activities (3,873 ) (2,893 ) (6,429 ) Net change in cash and cash equivalents 2,274 634 (7,877 ) Cash and cash equivalents at beginning of year 2,544 1,910 9,787 Cash and cash equivalents at end of year $ 4,818 $ 2,544 $ 1,910 Supplemental noncash disclosures: Conversion of 300 shares of Preferred Series B to 50,000 shares of common stock $ --- $ --- $ 300 Exchange of 31,290 shares of Preferred Series A to 5,973,519 shares of common stock --- --- 30,604 Exchange of 2,300 shares of Preferred Series B to 457,159 shares of common stock --- --- 2,260

QUARTERLY FINANCIAL DATA (Una44

QUARTERLY FINANCIAL DATA (Unaudited) (Tables)	12 Months Ended
	Dec. 31, 2015
QUARTERLY FINANCIAL DATA (Unaudited) [Abstract]
Quarterly Financial Data	(Dollars in thousands except per share data) Earnings Per Common Share Interest Income Net Interest Income Provision for Loan Losses Net Income Basic Diluted 2015 First quarter $ 12,011 $ 10,652 $ (1,000 ) $ 2,840 $ 0.08 $ 0.08 Second quarter 12,238 10,845 (500 ) 3,215 0.09 0.09 Third quarter 12,427 11,121 (250 ) 3,201 0.09 0.09 Fourth quarter 12,709 11,461 (1,750 ) 3,538 0.10 0.10 2014 First quarter $ 11,970 $ 10,475 $ (1,000 ) $ 2,639 $ 0.08 $ 0.08 Second quarter 11,528 10,156 (1,000 ) 2,755 0.08 0.08 Third quarter 11,674 10,304 (750 ) 2,762 0.08 0.08 Fourth quarter 11,816 10,457 (600 ) 2,317 0.07 0.07

SUMMARY OF SIGNIFICANT ACCOUN45

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details)	12 Months Ended
	Dec. 31, 2015USD ($)BranchLoanInterestRateSwapSegmentProperty	Dec. 31, 2014USD ($)	Dec. 31, 2013USD ($)
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract]
Number of full service branch offices | Branch	26
Cash Flow Reporting [Abstract]
Maturity days of short term securities included in cash and cash equivalent	90 days
Securities [Abstract]
OTTI charges	$ 0	$ 0	$ 0
Federal Home Loan Bank (FHLB) Stock [Abstract]
FHLB stock impaired	0	0	0
Loans Held-for-sale [Abstract]
Net unrealized gain on loans held for sale	$ 65,000	62,000
Loans [Abstract]
Delinquent period after which interest income is discontinued on mortgage and commercial loans	90 days
Past due period to charge off consumer loans	120 days
Allowance for Loan Losses [Abstract]
Period for annualized historical loss experience used for commercial loans	18 months
Period of historical loss experience applied to residential mortgage and consumer loan portfolios	12 months
Threshold for commercial and commercial real estate loans evaluated for impairment	$ 500,000
Minimum internal risk grading of commercial and commercial real estate loans evaluated for impairment | Loan	6
Goodwill and Acquired Intangible Assets [Abstract]
Goodwill	$ 0	0
Finite-Lived Intangible Assets [Line Items]
Acquired intangible	0	0
Mortgage Banking Derivatives [Abstract]
Net fair value of mortgage banking derivatives	$ 38,000	(2,000)
Derivatives [Abstract]
Number of freestanding interest rate swaps | InterestRateSwap	2
Notional amount of agreements	$ 48,500,000	20,000,000
Derivative asset fair value	790,000	140,000
Trading liability fair value	790,000	140,000
Restrictions on Cash [Abstract]
Cash on hand or on deposit with the Federal Reserve Bank	$ 5,181,000	5,016,000
Stock Splits and Dividends [Abstract]
Stock dividends, excess of threshold	20.00%
Stock dividend threshold or less	20.00%
Segment Reporting [Abstract]
Number of operating segments | Segment	1
Real Estate Properties [Line Items]
Real estate properties classified as other real estate owned	$ 2,520,000	$ 4,932,000	$ 3,539,000
Minimum [Member]
Finite-Lived Intangible Assets [Line Items]
Estimated useful life of intangible assets	10 years
Maximum [Member]
Finite-Lived Intangible Assets [Line Items]
Estimated useful life of intangible assets	16 years
Residential Real Estate [Member]
Real Estate Properties [Line Items]
Number of real estate properties classified as other real estate owned | Property	5
Real estate properties classified as other real estate owned	$ 657,000
Building and Related Components [Member] | Minimum [Member]
Property, Plant and Equipment [Line Items]
Useful lives	5 years
Building and Related Components [Member] | Maximum [Member]
Property, Plant and Equipment [Line Items]
Useful lives	40 years
Furniture Fixture and Equipment [Member] | Minimum [Member]
Property, Plant and Equipment [Line Items]
Useful lives	3 years
Furniture Fixture and Equipment [Member] | Maximum [Member]
Property, Plant and Equipment [Line Items]
Useful lives	15 years
Commercial Real Estate [Member]
Concentration Risk [Line Items]
Concentration of credit risk	42.00%
Commercial and Industrial [Member]
Concentration Risk [Line Items]
Concentration of credit risk	32.00%
Residential Real Estate and Consumer Loans [Member]
Concentration Risk [Line Items]
Concentration of credit risk	26.00%

SECURITIES (Details)

SECURITIES (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Available for Sale [Abstract]
Amortized cost	$ 166,281	$ 161,781
Gross unrealized gains	1,040	926
Gross unrealized losses	(506)	(833)
Fair value	166,815	161,874
Proceeds from sale of available-for-sale securities	20,625	10,936	$ 5,241
Gain on sales of securities	129	75	120
Reclassifications of net gains (net of tax)	84	49	$ 78
Held to Maturity [Abstract]
Amortized cost	51,856	31,585
Fair value	52,837	31,428
U.S. Treasury and Federal Agency Securities [Member]
Available for Sale [Abstract]
Amortized cost	74,618	67,612
Gross unrealized gains	48	53
Gross unrealized losses	(274)	(501)
Fair value	74,392	67,164
U.S. Agency MBS and CMOs [Member]
Available for Sale [Abstract]
Amortized cost	13,828	16,692
Gross unrealized gains	35	67
Gross unrealized losses	(108)	(71)
Fair value	13,755	16,688
Tax-Exempt State and Municipal Bonds [Member]
Available for Sale [Abstract]
Amortized cost	32,943	37,203
Gross unrealized gains	692	419
Gross unrealized losses	(37)	(161)
Fair value	33,598	37,461
Taxable State and Municipal Bonds [Member]
Available for Sale [Abstract]
Amortized cost	28,554	25,012
Gross unrealized gains	246	351
Gross unrealized losses	(37)	(70)
Fair value	28,763	25,293
Corporate Bonds and Other Debt Securities [Member]
Available for Sale [Abstract]
Amortized cost	14,838	13,762
Gross unrealized gains	19	34
Gross unrealized losses	(44)	(30)
Fair value	14,813	13,766
Other Equity Securities [Member]
Available for Sale [Abstract]
Amortized cost	1,500	1,500
Gross unrealized gains	0	2
Gross unrealized losses	(6)	0
Fair value	1,494	1,502
Tax-Exempt State and Municipal Bonds [Member]
Held to Maturity [Abstract]
Amortized cost	51,856	31,585
Gross unrealized gains	986	64
Gross unrealized losses	(5)	(221)
Fair value	$ 52,837	$ 31,428

SECURITIES, Contractual Maturit

SECURITIES, Contractual Maturities of Debt Securities (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Held-to-Maturity Securities, Amortized Cost [Abstract]
Due in one year or less	$ 14,980
Due from one to five years	9,808
Due from five to ten years	14,868
Due after ten years	12,200
Amortized cost	51,856	$ 31,585
Held-to-Maturity Securities, Fair Value [Abstract]
Due in one year or less	15,017
Due from one to five years	9,939
Due from five to ten years	15,532
Due after ten years	12,349
Fair value	52,837	$ 31,428
Available-for-Sale Securities, Amortized Cost [Abstract]
Due in one year or less	9,650
Due from one to five years	101,770
Due from five to ten years	39,512
Due after ten years	13,849
Amortized cost	164,781
Available-for-Sale Securities, Fair Value [Abstract]
Due in one year or less	9,669
Due from one to five years	101,772
Due from five to ten years	40,075
Due after ten years	13,805
Fair value	$ 165,321

SECURITIES, Continuous Unrealiz

SECURITIES, Continuous Unrealized Loss Position (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Securities in continuous unrealized losses position, fair value [Abstract]
Less than 12 months, fair value	$ 66,401	$ 51,415
12 months or more, fair value	10,197	54,855
Total, fair value	76,598	106,270
Securities in continuous unrealized loss position, aggregate losses [Abstract]
Less than 12 months, unrealized loss	(386)	(341)
12 months or more, unrealized loss	(125)	(713)
Total, unrealized loss	(511)	(1,054)
U.S. Treasury and Federal Agency Securities [Member]
Securities in continuous unrealized losses position, fair value [Abstract]
Less than 12 months, fair value	35,090	16,426
12 months or more, fair value	7,036	35,350
Total, fair value	42,126	51,776
Securities in continuous unrealized loss position, aggregate losses [Abstract]
Less than 12 months, unrealized loss	(187)	(45)
12 months or more, unrealized loss	(82)	(456)
Total, unrealized loss	(269)	(501)
U.S. Agency MBS and CMOs [Member]
Securities in continuous unrealized losses position, fair value [Abstract]
Less than 12 months, fair value	8,842	0
12 months or more, fair value	0	9,732
Total, fair value	8,842	9,732
Securities in continuous unrealized loss position, aggregate losses [Abstract]
Less than 12 months, unrealized loss	(108)	0
12 months or more, unrealized loss	0	(71)
Total, unrealized loss	(108)	(71)
Tax-Exempt State and Municipal Bonds [Member]
Securities in continuous unrealized losses position, fair value [Abstract]
Less than 12 months, fair value	3,487	26,820
12 months or more, fair value	2,022	4,545
Total, fair value	5,509	31,365
Securities in continuous unrealized loss position, aggregate losses [Abstract]
Less than 12 months, unrealized loss	(9)	(264)
12 months or more, unrealized loss	(33)	(118)
Total, unrealized loss	(42)	(382)
Taxable State and Municipal Bonds [Member]
Securities in continuous unrealized losses position, fair value [Abstract]
Less than 12 months, fair value	8,158	3,982
12 months or more, fair value	640	3,240
Total, fair value	8,798	7,222
Securities in continuous unrealized loss position, aggregate losses [Abstract]
Less than 12 months, unrealized loss	(29)	(19)
12 months or more, unrealized loss	(8)	(51)
Total, unrealized loss	(37)	(70)
Corporate Bonds and Other Debt Securities [Member]
Securities in continuous unrealized losses position, fair value [Abstract]
Less than 12 months, fair value	9,330	4,187
12 months or more, fair value	499	1,988
Total, fair value	9,829	6,175
Securities in continuous unrealized loss position, aggregate losses [Abstract]
Less than 12 months, unrealized loss	(47)	(13)
12 months or more, unrealized loss	(2)	(17)
Total, unrealized loss	(49)	(30)
Other Equity Securities [Member]
Securities in continuous unrealized losses position, fair value [Abstract]
Less than 12 months, fair value	1,494	0
12 months or more, fair value	0	0
Total, fair value	1,494	0
Securities in continuous unrealized loss position, aggregate losses [Abstract]
Less than 12 months, unrealized loss	(6)	0
12 months or more, unrealized loss		0
Total, unrealized loss	$ (6)	$ 0

SECURITIES, Pledged Securities

SECURITIES, Pledged Securities (Details) - USD ($) $ in Millions	Dec. 31, 2015	Dec. 31, 2014
SECURITIES [Abstract]
Securities pledged as security for public deposits, letters of credit and for other purposes required or permitted by law	$ 2	$ 2

LOANS (Details)

LOANS (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Portfolio loans [Abstract]
Total loans	$ 1,197,932	$ 1,118,483
Allowance for loan losses	(17,081)	(18,962)
Net loans	1,180,851	1,099,521
Commercial and Industrial [Member]
Portfolio loans [Abstract]
Total loans	377,298	327,674
Commercial Real Estate [Member]
Portfolio loans [Abstract]
Total loans	508,672	490,531
Commercial Real Estate [Member] | Residential Developed [Member]
Portfolio loans [Abstract]
Total loans	10,448	12,771
Commercial Real Estate [Member] | Unsecured to Residential Developers [Member]
Portfolio loans [Abstract]
Total loans	7,372	7,496
Commercial Real Estate [Member] | Vacant and Unimproved [Member]
Portfolio loans [Abstract]
Total loans	42,881	50,372
Commercial Real Estate [Member] | Commercial Development [Member]
Portfolio loans [Abstract]
Total loans	559	4,082
Commercial Real Estate [Member] | Residential Improved [Member]
Portfolio loans [Abstract]
Total loans	67,922	69,612
Commercial Real Estate [Member] | Commercial Improved [Member]
Portfolio loans [Abstract]
Total loans	289,651	269,757
Commercial Real Estate [Member] | Manufacturing and Industrial [Member]
Portfolio loans [Abstract]
Total loans	89,839	76,441
Consumer [Member]
Portfolio loans [Abstract]
Total loans	311,962	300,278
Consumer [Member] | Residential Mortgage [Member]
Portfolio loans [Abstract]
Total loans	209,972	190,249
Consumer [Member] | Unsecured [Member]
Portfolio loans [Abstract]
Total loans	637	948
Consumer [Member] | Home Equity [Member]
Portfolio loans [Abstract]
Total loans	92,716	98,887
Consumer [Member] | Other Secured [Member]
Portfolio loans [Abstract]
Total loans	$ 8,637	$ 10,194

LOANS, Allowance for Loans Loss

LOANS, Allowance for Loans Losses by Portfolio (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Allowance for loan losses by portfolio [Roll Forward]
Beginning balance	$ 18,962	$ 20,798	$ 23,739
Charge-offs	(702)	(676)	(2,204)
Recoveries	2,321	2,190	3,513
Provision for loan losses	(3,500)	(3,350)	(4,250)
Ending balance	17,081	18,962	20,798
Commercial and Industrial [Member]
Allowance for loan losses by portfolio [Roll Forward]
Beginning balance	6,173	6,174	6,459
Charge-offs	(172)	(43)	(317)
Recoveries	406	522	1,134
Provision for loan losses	(1,581)	(480)	(1,102)
Ending balance	4,826	6,173	6,174
Commercial Real Estate [Member]
Allowance for loan losses by portfolio [Roll Forward]
Beginning balance	8,690	10,868	13,457
Charge-offs	(218)	(134)	(1,065)
Recoveries	1,264	1,481	2,141
Provision for loan losses	(1,279)	(3,525)	(3,665)
Ending balance	8,457	8,690	10,868
Consumer [Member]
Allowance for loan losses by portfolio [Roll Forward]
Beginning balance	4,046	3,703	3,787
Charge-offs	(312)	(499)	(822)
Recoveries	651	187	238
Provision for loan losses	(624)	655	500
Ending balance	3,761	4,046	3,703
Unallocated [Member]
Allowance for loan losses by portfolio [Roll Forward]
Beginning balance	53	53	36
Charge-offs		0	0
Recoveries		0	0
Provision for loan losses	(16)	0	17
Ending balance	$ 37	$ 53	$ 53

LOANS, Allowance for Loans Lo52

LOANS, Allowance for Loans Losses (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Ending allowance attributable to loans [Abstract]
Individually reviewed for impairment	$ 1,938	$ 4,065
Collectively evaluated for impairment	15,143	14,897
Total ending allowance balance	17,081	18,962	$ 20,798	$ 23,739
Loans [Abstract]
Individually reviewed for impairment	38,750	53,397
Collectively evaluated for impairment	1,159,182	1,065,086
Total ending loans balance	1,197,932	1,118,483
Commercial and Industrial [Member]
Ending allowance attributable to loans [Abstract]
Individually reviewed for impairment	673	2,429
Collectively evaluated for impairment	4,153	3,744
Total ending allowance balance	4,826	6,173	6,174	6,459
Loans [Abstract]
Individually reviewed for impairment	7,718	9,084
Collectively evaluated for impairment	369,580	318,590
Total ending loans balance	377,298	327,674
Commercial Real Estate [Member]
Ending allowance attributable to loans [Abstract]
Individually reviewed for impairment	436	743
Collectively evaluated for impairment	8,021	7,947
Total ending allowance balance	8,457	8,690	10,868	13,457
Loans [Abstract]
Individually reviewed for impairment	17,569	29,818
Collectively evaluated for impairment	491,103	460,713
Total ending loans balance	508,672	490,531
Consumer [Member]
Ending allowance attributable to loans [Abstract]
Individually reviewed for impairment	829	893
Collectively evaluated for impairment	2,932	3,153
Total ending allowance balance	3,761	4,046	3,703	3,787
Loans [Abstract]
Individually reviewed for impairment	13,463	14,495
Collectively evaluated for impairment	298,499	285,783
Total ending loans balance	311,962	300,278
Unallocated [Member]
Ending allowance attributable to loans [Abstract]
Individually reviewed for impairment	0	0
Collectively evaluated for impairment	37	53
Total ending allowance balance	37	53	$ 53	$ 36
Loans [Abstract]
Individually reviewed for impairment	0	0
Collectively evaluated for impairment	0	0
Total ending loans balance	$ 0	$ 0

LOANS, Impaired Loans (Details)

LOANS, Impaired Loans (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
With no related allowance recorded [Abstract]
With no allowance, unpaid principal balance	$ 2,947	$ 4,634
With no allowance, recorded investment	2,947	4,634
With related allowance recorded [Abstract]
With related allowance, unpaid principal balance	35,803	48,942
With related allowance, recorded investment	35,803	48,763
Allowance allocated	1,938	4,065
Total impaired, unpaid principal balance	38,750	53,576
Total impaired, recorded investment, Total	38,750	53,397
Commercial and Industrial [Member]
With no related allowance recorded [Abstract]
With no allowance, unpaid principal balance	2,736	3,019
With no allowance, recorded investment	2,736	3,019
With related allowance recorded [Abstract]
With related allowance, unpaid principal balance	4,982	6,065
With related allowance, recorded investment	4,982	6,065
Allowance allocated	673	2,429
Impaired loans [Abstract]
Average of impaired loans	7,296	11,818	$ 14,333
Interest income recognized during impairment	1,110	1,108	1,278
Cash-basis interest income recognized	1,066	1,107	1,273
Commercial Real Estate [Member]
With no related allowance recorded [Abstract]
With no allowance, unpaid principal balance	211	1,615
With no allowance, recorded investment	211	1,615
With related allowance recorded [Abstract]
With related allowance, unpaid principal balance	17,358	28,203
With related allowance, recorded investment	17,358	28,203
Allowance allocated	436	743
Impaired loans [Abstract]
Interest income recognized during impairment	967	1,527	1,974
Cash-basis interest income recognized	970	1,547	1,971
Commercial Real Estate [Member] | Residential Developed [Member]
With no related allowance recorded [Abstract]
With no allowance, unpaid principal balance	0	531
With no allowance, recorded investment	0	531
With related allowance recorded [Abstract]
With related allowance, unpaid principal balance	0	550
With related allowance, recorded investment	0	550
Allowance allocated	0	35
Impaired loans [Abstract]
Average of impaired loans	577	3,628	6,357
Commercial Real Estate [Member] | Unsecured to Residential Developers [Member]
With no related allowance recorded [Abstract]
With no allowance, unpaid principal balance	0	0
With no allowance, recorded investment	0	0
With related allowance recorded [Abstract]
With related allowance, unpaid principal balance	0	0
With related allowance, recorded investment	0	0
Allowance allocated	0	0
Impaired loans [Abstract]
Average of impaired loans	0	0	0
Commercial Real Estate [Member] | Vacant and Unimproved [Member]
With no related allowance recorded [Abstract]
With no allowance, unpaid principal balance	206	0
With no allowance, recorded investment	206	0
With related allowance recorded [Abstract]
With related allowance, unpaid principal balance	247	1,499
With related allowance, recorded investment	247	1,499
Allowance allocated	7	43
Impaired loans [Abstract]
Average of impaired loans	1,231	1,646	2,804
Commercial Real Estate [Member] | Commercial Development [Member]
With no related allowance recorded [Abstract]
With no allowance, unpaid principal balance	0	0
With no allowance, recorded investment	0	0
With related allowance recorded [Abstract]
With related allowance, unpaid principal balance	192	199
With related allowance, recorded investment	192	199
Allowance allocated	6	5
Impaired loans [Abstract]
Average of impaired loans	195	451	398
Commercial Real Estate [Member] | Residential Improved [Member]
With no related allowance recorded [Abstract]
With no allowance, unpaid principal balance	5	547
With no allowance, recorded investment	5	547
With related allowance recorded [Abstract]
With related allowance, unpaid principal balance	5,254	7,323
With related allowance, recorded investment	5,254	7,323
Allowance allocated	140	240
Impaired loans [Abstract]
Average of impaired loans	6,425	9,309	11,549
Commercial Real Estate [Member] | Commercial Improved [Member]
With no related allowance recorded [Abstract]
With no allowance, unpaid principal balance	0	331
With no allowance, recorded investment	0	331
With related allowance recorded [Abstract]
With related allowance, unpaid principal balance	11,425	16,113
With related allowance, recorded investment	11,425	16,113
Allowance allocated	274	389
Impaired loans [Abstract]
Average of impaired loans	15,106	17,853	20,191
Commercial Real Estate [Member] | Manufacturing and Industrial [Member]
With no related allowance recorded [Abstract]
With no allowance, unpaid principal balance	0	206
With no allowance, recorded investment	0	206
With related allowance recorded [Abstract]
With related allowance, unpaid principal balance	240	2,519
With related allowance, recorded investment	240	2,519
Allowance allocated	9	31
Impaired loans [Abstract]
Average of impaired loans	1,944	5,630	6,305
Consumer [Member]
With no related allowance recorded [Abstract]
With no allowance, unpaid principal balance	0	0
With no allowance, recorded investment	0	0
With related allowance recorded [Abstract]
With related allowance, unpaid principal balance	13,463	14,674
With related allowance, recorded investment	13,463	14,495
Allowance allocated	829	893
Impaired loans [Abstract]
Average of impaired loans	14,259	14,476	14,532
Interest income recognized during impairment	497	541	537
Cash-basis interest income recognized	502	541	$ 532
Consumer [Member] | Residential Mortgage [Member]
With no related allowance recorded [Abstract]
With no allowance, unpaid principal balance	0	0
With no allowance, recorded investment	0	0
With related allowance recorded [Abstract]
With related allowance, unpaid principal balance	8,655	9,492
With related allowance, recorded investment	8,655	9,484
Allowance allocated	533	584
Consumer [Member] | Unsecured [Member]
With no related allowance recorded [Abstract]
With no allowance, unpaid principal balance	0	0
With no allowance, recorded investment	0	0
With related allowance recorded [Abstract]
With related allowance, unpaid principal balance	0	0
With related allowance, recorded investment	0	0
Allowance allocated	0	0
Consumer [Member] | Home Equity [Member]
With no related allowance recorded [Abstract]
With no allowance, unpaid principal balance	0	0
With no allowance, recorded investment	0	0
With related allowance recorded [Abstract]
With related allowance, unpaid principal balance	4,808	5,182
With related allowance, recorded investment	4,808	5,011
Allowance allocated	296	309
Consumer [Member] | Other Secured [Member]
With no related allowance recorded [Abstract]
With no allowance, unpaid principal balance	0	0
With no allowance, recorded investment	0	0
With related allowance recorded [Abstract]
With related allowance, unpaid principal balance	0	0
With related allowance, recorded investment	0	0
Allowance allocated	$ 0	$ 0

LOANS, Past Due Loans (Details)

LOANS, Past Due Loans (Details)	9 Months Ended	12 Months Ended
	Sep. 30, 2014USD ($)	Dec. 31, 2015USD ($)Payment	Dec. 31, 2014USD ($)
Recorded investment in nonaccrual and loans past due over 90 days still on accrual by class of loans [Abstract]
Nonaccrual		$ 739,000	$ 8,292,000
Over 90 days accruing		17,000	134,000
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		1,371,000	2,841,000
Loans not past due		1,196,561,000	1,115,642,000
Total ending loans balance		1,197,932,000	1,118,483,000
Specific reserves allocated to customers with modified term loans in troubled debt restructurings		$ 1,938,000	4,065,000
Number of consecutive payment before nonaccrual restructured loan is upgraded | Payment		6
Reduction in loans designated as TDR and impaired	$ 5,900,000
Number of months of performance before a loan is removed from TDR		6 months
30-90 Days [Member]
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		$ 1,199,000	671,000
Greater Than 90 Days [Member]
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		172,000	2,170,000
Commercial and Industrial [Member]
Recorded investment in nonaccrual and loans past due over 90 days still on accrual by class of loans [Abstract]
Nonaccrual		174,000	5,605,000
Over 90 days accruing		0	0
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		819,000	54,000
Loans not past due		376,479,000	327,620,000
Total ending loans balance		377,298,000	327,674,000
Commercial and Industrial [Member] | 30-90 Days [Member]
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		719,000	54,000
Commercial and Industrial [Member] | Greater Than 90 Days [Member]
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		100,000	0
Commercial Real Estate [Member]
Recorded investment in nonaccrual and loans past due over 90 days still on accrual by class of loans [Abstract]
Nonaccrual		525,000	1,906,000
Over 90 days accruing		0	117,000
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		503,000	1,627,000
Loans not past due		508,169,000	488,904,000
Total ending loans balance		508,672,000	490,531,000
Commercial Real Estate [Member] | 30-90 Days [Member]
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		448,000	200,000
Commercial Real Estate [Member] | Greater Than 90 Days [Member]
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		55,000	1,427,000
Commercial Real Estate [Member] | Residential Developed [Member]
Recorded investment in nonaccrual and loans past due over 90 days still on accrual by class of loans [Abstract]
Nonaccrual		195,000	245,000
Over 90 days accruing		0	0
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		0	0
Loans not past due		10,448,000	12,771,000
Total ending loans balance		10,448,000	12,771,000
Commercial Real Estate [Member] | Residential Developed [Member] | 30-90 Days [Member]
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		0	0
Commercial Real Estate [Member] | Residential Developed [Member] | Greater Than 90 Days [Member]
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		0	0
Commercial Real Estate [Member] | Unsecured to Residential Developers [Member]
Recorded investment in nonaccrual and loans past due over 90 days still on accrual by class of loans [Abstract]
Nonaccrual		0	0
Over 90 days accruing		0	0
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		0	0
Loans not past due		7,372,000	7,496,000
Total ending loans balance		7,372,000	7,496,000
Commercial Real Estate [Member] | Unsecured to Residential Developers [Member] | 30-90 Days [Member]
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		0	0
Commercial Real Estate [Member] | Unsecured to Residential Developers [Member] | Greater Than 90 Days [Member]
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		0	0
Commercial Real Estate [Member] | Vacant and Unimproved [Member]
Recorded investment in nonaccrual and loans past due over 90 days still on accrual by class of loans [Abstract]
Nonaccrual		0	0
Over 90 days accruing		0	0
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		0	100,000
Loans not past due		42,881,000	50,272,000
Total ending loans balance		42,881,000	50,372,000
Commercial Real Estate [Member] | Vacant and Unimproved [Member] | 30-90 Days [Member]
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		0	100,000
Commercial Real Estate [Member] | Vacant and Unimproved [Member] | Greater Than 90 Days [Member]
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		0	0
Commercial Real Estate [Member] | Commercial Development [Member]
Recorded investment in nonaccrual and loans past due over 90 days still on accrual by class of loans [Abstract]
Nonaccrual		49,000	29,000
Over 90 days accruing		0	0
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		49,000	29,000
Loans not past due		510,000	4,053,000
Total ending loans balance		559,000	4,082,000
Commercial Real Estate [Member] | Commercial Development [Member] | 30-90 Days [Member]
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		0	0
Commercial Real Estate [Member] | Commercial Development [Member] | Greater Than 90 Days [Member]
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		49,000	29,000
Commercial Real Estate [Member] | Residential Improved [Member]
Recorded investment in nonaccrual and loans past due over 90 days still on accrual by class of loans [Abstract]
Nonaccrual		124,000	766,000
Over 90 days accruing		0	0
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		79,000	540,000
Loans not past due		67,843,000	69,072,000
Total ending loans balance		67,922,000	69,612,000
Commercial Real Estate [Member] | Residential Improved [Member] | 30-90 Days [Member]
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		73,000	100,000
Commercial Real Estate [Member] | Residential Improved [Member] | Greater Than 90 Days [Member]
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		6,000	440,000
Commercial Real Estate [Member] | Commercial Improved [Member]
Recorded investment in nonaccrual and loans past due over 90 days still on accrual by class of loans [Abstract]
Nonaccrual		157,000	866,000
Over 90 days accruing		0	117,000
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		375,000	958,000
Loans not past due		289,276,000	268,799,000
Total ending loans balance		289,651,000	269,757,000
Commercial Real Estate [Member] | Commercial Improved [Member] | 30-90 Days [Member]
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		375,000	0
Commercial Real Estate [Member] | Commercial Improved [Member] | Greater Than 90 Days [Member]
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		0	958,000
Commercial Real Estate [Member] | Manufacturing and Industrial [Member]
Recorded investment in nonaccrual and loans past due over 90 days still on accrual by class of loans [Abstract]
Nonaccrual		0	0
Over 90 days accruing		0	0
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		0	0
Loans not past due		89,839,000	76,441,000
Total ending loans balance		89,839,000	76,441,000
Commercial Real Estate [Member] | Manufacturing and Industrial [Member] | 30-90 Days [Member]
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		0	0
Commercial Real Estate [Member] | Manufacturing and Industrial [Member] | Greater Than 90 Days [Member]
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		0	0
Consumer [Member]
Recorded investment in nonaccrual and loans past due over 90 days still on accrual by class of loans [Abstract]
Nonaccrual		40,000	781,000
Over 90 days accruing		17,000	17,000
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		49,000	1,160,000
Loans not past due		311,913,000	299,118,000
Total ending loans balance		311,962,000	300,278,000
Consumer [Member] | 30-90 Days [Member]
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		32,000	417,000
Consumer [Member] | Greater Than 90 Days [Member]
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		17,000	743,000
Consumer [Member] | Residential Mortgage [Member]
Recorded investment in nonaccrual and loans past due over 90 days still on accrual by class of loans [Abstract]
Nonaccrual		2,000	305,000
Over 90 days accruing		0	0
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		0	641,000
Loans not past due		209,972,000	189,608,000
Total ending loans balance		209,972,000	190,249,000
Consumer [Member] | Residential Mortgage [Member] | 30-90 Days [Member]
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		0	338,000
Consumer [Member] | Residential Mortgage [Member] | Greater Than 90 Days [Member]
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		0	303,000
Consumer [Member] | Unsecured [Member]
Recorded investment in nonaccrual and loans past due over 90 days still on accrual by class of loans [Abstract]
Nonaccrual		28,000	40,000
Over 90 days accruing		0	0
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		0	18,000
Loans not past due		637,000	930,000
Total ending loans balance		637,000	948,000
Consumer [Member] | Unsecured [Member] | 30-90 Days [Member]
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		0	0
Consumer [Member] | Unsecured [Member] | Greater Than 90 Days [Member]
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		0	18,000
Consumer [Member] | Home Equity [Member]
Recorded investment in nonaccrual and loans past due over 90 days still on accrual by class of loans [Abstract]
Nonaccrual		10,000	436,000
Over 90 days accruing		17,000	17,000
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		49,000	501,000
Loans not past due		92,667,000	98,386,000
Total ending loans balance		92,716,000	98,887,000
Consumer [Member] | Home Equity [Member] | 30-90 Days [Member]
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		32,000	79,000
Consumer [Member] | Home Equity [Member] | Greater Than 90 Days [Member]
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		17,000	422,000
Consumer [Member] | Other Secured [Member]
Recorded investment in nonaccrual and loans past due over 90 days still on accrual by class of loans [Abstract]
Nonaccrual		0	0
Over 90 days accruing		0	0
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		0	0
Loans not past due		8,637,000	10,194,000
Total ending loans balance		8,637,000	10,194,000
Consumer [Member] | Other Secured [Member] | 30-90 Days [Member]
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		0	0
Consumer [Member] | Other Secured [Member] | Greater Than 90 Days [Member]
Aging of recorded investment in past due loans by class of loans [Abstract]
Total past due		$ 0	$ 0

LOANS, Troubled Debt Restructur

LOANS, Troubled Debt Restructuring (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2015USD ($)Loan	Dec. 31, 2014USD ($)Loan	Dec. 31, 2013USD ($)Loan	Dec. 31, 2012USD ($)
Troubled debt restructurings [Abstract]
Number of Loans | Loan	213	226
Outstanding Recorded Balance	$ 39,052	$ 53,397
Accruing troubled debt restructurings [Abstract]
Accruing TDR - nonaccrual at restructuring	0	0	$ 0	$ 1,135
Accruing TDR - accruing at restructuring	33,691	46,197	57,790	61,545
Accruing TDR - upgraded to accruing after six consecutive payments	4,784	0	0	2,344
Total	$ 38,475	$ 46,197	$ 57,790	$ 65,024
Troubled debt restructurings executed during current period [Abstract]
Number of loans | Loan	43	51	54
Pre-Modification Outstanding Recorded Balance	$ 2,046	$ 5,828	$ 11,216
Principal Write-down Upon Modification	$ 0	$ 0	$ 0
Commercial and Industrial [Member]
Troubled debt restructurings [Abstract]
Number of Loans | Loan	33	36
Outstanding Recorded Balance	$ 7,611	$ 9,085
Troubled debt restructurings executed during current period [Abstract]
Number of loans | Loan	6	1	5
Pre-Modification Outstanding Recorded Balance	$ 745	$ 61	$ 1,085
Principal Write-down Upon Modification	$ 0	$ 0	$ 0
Loans that became delinquent more than 90 days past due or transferred to nonaccrual within 12 months of restructuring [Abstract]
Number of Loans | Loan	0	0	0
Outstanding Recorded Balance	$ 0	$ 0	$ 0
Commercial Real Estate [Member]
Troubled debt restructurings [Abstract]
Number of Loans | Loan	56	84
Outstanding Recorded Balance	$ 17,871	$ 29,817
Troubled debt restructurings executed during current period [Abstract]
Number of loans | Loan	3	11	13
Pre-Modification Outstanding Recorded Balance	$ 301	$ 4,345	$ 4,298
Principal Write-down Upon Modification	$ 0	$ 0	$ 0
Loans that became delinquent more than 90 days past due or transferred to nonaccrual within 12 months of restructuring [Abstract]
Number of Loans | Loan	0	1	1
Outstanding Recorded Balance	$ 0	$ 131	$ 1,350
Consumer [Member]
Troubled debt restructurings [Abstract]
Number of Loans | Loan	124	106
Outstanding Recorded Balance	$ 13,570	$ 14,495
Troubled debt restructurings executed during current period [Abstract]
Number of loans | Loan	34	39	36
Pre-Modification Outstanding Recorded Balance	$ 1,000	$ 1,422	$ 5,833
Principal Write-down Upon Modification	$ 0	$ 0	$ 0
Loans that became delinquent more than 90 days past due or transferred to nonaccrual within 12 months of restructuring [Abstract]
Number of Loans | Loan	2	0	0
Outstanding Recorded Balance	$ 28	$ 0	$ 0

LOANS, Credit Quality Indicator

LOANS, Credit Quality Indicators (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2015USD ($)Grade	Dec. 31, 2014USD ($)
Risk grade category of commercial loans by class of loans [Abstract]
Number point grading system used for loan quality | Grade	8
Minimal internal risk grade category of loans considered substandard, doubtful or loss | Grade	6
Commercial Loans [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	$ 885,970	$ 818,205
Commercial Loans [Member] | Excellent [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	196	343
Commercial Loans [Member] | Above Average [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	13,346	17,180
Commercial Loans [Member] | Good Quality [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	236,968	238,208
Commercial Loans [Member] | Acceptable Risk [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	588,248	494,080
Commercial Loans [Member] | Marginally Acceptable [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	36,444	52,090
Commercial Loans [Member] | Substandard [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	10,069	8,793
Commercial Loans [Member] | Doubtful [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	699	7,511
Commercial Loans [Member] | Loss [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	0	0
Commercial and Industrial [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	377,298	327,674
Commercial and Industrial [Member] | Excellent [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	196	343
Commercial and Industrial [Member] | Above Average [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	8,774	11,177
Commercial and Industrial [Member] | Good Quality [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	114,451	118,382
Commercial and Industrial [Member] | Acceptable Risk [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	242,253	182,651
Commercial and Industrial [Member] | Marginally Acceptable [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	5,235	8,448
Commercial and Industrial [Member] | Substandard [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	6,215	1,068
Commercial and Industrial [Member] | Doubtful [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	174	5,605
Commercial and Industrial [Member] | Loss [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	0	0
Commercial Real Estate [Member] | Residential Developed [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	10,448	12,771
Commercial Real Estate [Member] | Residential Developed [Member] | Excellent [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	0	0
Commercial Real Estate [Member] | Residential Developed [Member] | Above Average [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	0	0
Commercial Real Estate [Member] | Residential Developed [Member] | Good Quality [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	2,226	2,491
Commercial Real Estate [Member] | Residential Developed [Member] | Acceptable Risk [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	5,191	4,702
Commercial Real Estate [Member] | Residential Developed [Member] | Marginally Acceptable [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	2,836	4,491
Commercial Real Estate [Member] | Residential Developed [Member] | Substandard [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	0	842
Commercial Real Estate [Member] | Residential Developed [Member] | Doubtful [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	195	245
Commercial Real Estate [Member] | Residential Developed [Member] | Loss [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	0	0
Commercial Real Estate [Member] | Unsecured to Residential Developers [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	7,372	7,496
Commercial Real Estate [Member] | Unsecured to Residential Developers [Member] | Excellent [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	0	0
Commercial Real Estate [Member] | Unsecured to Residential Developers [Member] | Above Average [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	0	0
Commercial Real Estate [Member] | Unsecured to Residential Developers [Member] | Good Quality [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	0	0
Commercial Real Estate [Member] | Unsecured to Residential Developers [Member] | Acceptable Risk [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	7,372	7,496
Commercial Real Estate [Member] | Unsecured to Residential Developers [Member] | Marginally Acceptable [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	0	0
Commercial Real Estate [Member] | Unsecured to Residential Developers [Member] | Substandard [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	0	0
Commercial Real Estate [Member] | Unsecured to Residential Developers [Member] | Doubtful [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	0	0
Commercial Real Estate [Member] | Unsecured to Residential Developers [Member] | Loss [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	0	0
Commercial Real Estate [Member] | Vacant and Unimproved [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	42,881	50,372
Commercial Real Estate [Member] | Vacant and Unimproved [Member] | Excellent [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	0	0
Commercial Real Estate [Member] | Vacant and Unimproved [Member] | Above Average [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	0	0
Commercial Real Estate [Member] | Vacant and Unimproved [Member] | Good Quality [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	17,768	12,105
Commercial Real Estate [Member] | Vacant and Unimproved [Member] | Acceptable Risk [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	20,588	30,997
Commercial Real Estate [Member] | Vacant and Unimproved [Member] | Marginally Acceptable [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	4,525	7,241
Commercial Real Estate [Member] | Vacant and Unimproved [Member] | Substandard [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	0	29
Commercial Real Estate [Member] | Vacant and Unimproved [Member] | Doubtful [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	0	0
Commercial Real Estate [Member] | Vacant and Unimproved [Member] | Loss [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	0	0
Commercial Real Estate [Member] | Commercial Development [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	559	4,082
Commercial Real Estate [Member] | Commercial Development [Member] | Excellent [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	0	0
Commercial Real Estate [Member] | Commercial Development [Member] | Above Average [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	0	0
Commercial Real Estate [Member] | Commercial Development [Member] | Good Quality [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	0	0
Commercial Real Estate [Member] | Commercial Development [Member] | Acceptable Risk [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	318	3,643
Commercial Real Estate [Member] | Commercial Development [Member] | Marginally Acceptable [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	0	211
Commercial Real Estate [Member] | Commercial Development [Member] | Substandard [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	192	199
Commercial Real Estate [Member] | Commercial Development [Member] | Doubtful [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	49	29
Commercial Real Estate [Member] | Commercial Development [Member] | Loss [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	0	0
Commercial Real Estate [Member] | Residential Improved [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	67,922	69,612
Commercial Real Estate [Member] | Residential Improved [Member] | Excellent [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	0	0
Commercial Real Estate [Member] | Residential Improved [Member] | Above Average [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	0	103
Commercial Real Estate [Member] | Residential Improved [Member] | Good Quality [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	7,191	16,291
Commercial Real Estate [Member] | Residential Improved [Member] | Acceptable Risk [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	54,376	43,928
Commercial Real Estate [Member] | Residential Improved [Member] | Marginally Acceptable [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	4,722	6,428
Commercial Real Estate [Member] | Residential Improved [Member] | Substandard [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	1,509	2,096
Commercial Real Estate [Member] | Residential Improved [Member] | Doubtful [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	124	766
Commercial Real Estate [Member] | Residential Improved [Member] | Loss [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	0	0
Commercial Real Estate [Member] | Commercial Improved [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	289,651	269,757
Commercial Real Estate [Member] | Commercial Improved [Member] | Excellent [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	0	0
Commercial Real Estate [Member] | Commercial Improved [Member] | Above Average [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	3,094	4,392
Commercial Real Estate [Member] | Commercial Improved [Member] | Good Quality [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	60,475	61,543
Commercial Real Estate [Member] | Commercial Improved [Member] | Acceptable Risk [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	208,127	178,169
Commercial Real Estate [Member] | Commercial Improved [Member] | Marginally Acceptable [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	15,645	20,558
Commercial Real Estate [Member] | Commercial Improved [Member] | Substandard [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	2,153	4,229
Commercial Real Estate [Member] | Commercial Improved [Member] | Doubtful [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	157	866
Commercial Real Estate [Member] | Commercial Improved [Member] | Loss [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	0	0
Commercial Real Estate [Member] | Manufacturing and Industrial [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	89,839	76,441
Commercial Real Estate [Member] | Manufacturing and Industrial [Member] | Excellent [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	0	0
Commercial Real Estate [Member] | Manufacturing and Industrial [Member] | Above Average [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	1,478	1,508
Commercial Real Estate [Member] | Manufacturing and Industrial [Member] | Good Quality [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	34,857	27,396
Commercial Real Estate [Member] | Manufacturing and Industrial [Member] | Acceptable Risk [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	50,023	42,494
Commercial Real Estate [Member] | Manufacturing and Industrial [Member] | Marginally Acceptable [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	3,481	4,713
Commercial Real Estate [Member] | Manufacturing and Industrial [Member] | Substandard [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	0	330
Commercial Real Estate [Member] | Manufacturing and Industrial [Member] | Doubtful [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	0	0
Commercial Real Estate [Member] | Manufacturing and Industrial [Member] | Loss [Member]
Risk grade category of commercial loans by class of loans [Abstract]
Total loans	$ 0	$ 0

LOANS, Commercial Loans Classif

LOANS, Commercial Loans Classified as Substandard or Worse (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Financing Receivable, Recorded Investment [Line Items]
Classified as impaired	$ 38,750	$ 53,397
Commercial Loans [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans	885,970	818,205
Commercial Loans [Member] | Substandard or Worse [Member]
Financing Receivable, Recorded Investment [Line Items]
Not classified as impaired	1,986	4,220
Classified as impaired	8,782	12,084
Total loans	$ 10,768	$ 16,304

LOANS, Recorded Investment in C

LOANS, Recorded Investment in Consumer Loans Based on Payment Activity (Details) - Consumer Loan [Member] - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Residential Mortgage [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans	$ 209,972	$ 190,249
Residential Mortgage [Member] | Performing [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans	209,972	189,946
Residential Mortgage [Member] | Nonperforming [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans	0	303
Consumer Unsecured [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans	637	948
Consumer Unsecured [Member] | Performing [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans	637	930
Consumer Unsecured [Member] | Nonperforming [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans	0	18
Home Equity [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans	92,716	98,887
Home Equity [Member] | Performing [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans	92,699	98,465
Home Equity [Member] | Nonperforming [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans	17	422
Consumer Other [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans	8,637	10,194
Consumer Other [Member] | Performing [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans	8,637	10,194
Consumer Other [Member] | Nonperforming [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans	$ 0	$ 0

OTHER REAL ESTATE OWNED (Detail

OTHER REAL ESTATE OWNED (Details) - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Other real estate owned [Roll Forward]
Beginning balance	$ 43,071,000	$ 53,501,000	$ 69,743,000
Additions, transfers from loans	2,520,000	4,932,000	3,539,000
Proceeds from sales of other real estate owned	(11,540,000)	(12,487,000)	(16,501,000)
Valuation allowance reversal upon sale	(4,748,000)	(3,499,000)	(4,378,000)
Gain (loss) on sale of other real estate owned	(926,000)	624,000	1,098,000
Ending balance	28,377,000	43,071,000	53,501,000
Less: valuation allowance	(10,805,000)	(14,829,000)	(16,705,000)
Ending balance	17,572,000	28,242,000	36,796,000
Activity in valuation allowance [Roll Forward]
Foreclosed residential real estate properties included in other real estate owned	736,000
Consumer mortgage loans in process of foreclosure	0
Valuation Allowance, Real Estate Owned [Member]
Activity in valuation allowance [Roll Forward]
Beginning balance	14,829,000	16,705,000	18,161,000
Additions charged to expense	724,000	1,623,000	2,922,000
Reversals upon sale	(4,748,000)	(3,499,000)	(4,378,000)
Ending balance	$ 10,805,000	$ 14,829,000	$ 16,705,000

FAIR VALUE, Assets Measured at

FAIR VALUE, Assets Measured at Fair Value on Recurring and Nonrecurring Basis (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Recurring Basis [Member]
Asset measured at fair value on recurring basis [Abstract]
U.S. Treasury and federal agency securities	$ 74,392	$ 67,164
U.S. Agency MBS and CMOs	13,755	16,688
Tax-exempt state and municipal bonds	33,598	37,461
Taxable state and municipal bonds	28,763	25,293
Corporate bonds and other debt securities	14,813	13,766
Other equity securities	1,494	1,502
Loans held for sale	2,776	2,347
Interest rate swaps	790	140
Interest rate swaps	(790)	(140)
Recurring Basis [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Asset measured at fair value on recurring basis [Abstract]
U.S. Treasury and federal agency securities	0	0
U.S. Agency MBS and CMOs	0	0
Tax-exempt state and municipal bonds	0	0
Taxable state and municipal bonds	0	0
Corporate bonds and other debt securities	0	0
Other equity securities	0	0
Loans held for sale	0	0
Interest rate swaps	0	0
Interest rate swaps	0	0
Recurring Basis [Member] | Significant Other Observable Inputs (Level 2) [Member]
Asset measured at fair value on recurring basis [Abstract]
U.S. Treasury and federal agency securities	74,392	67,164
U.S. Agency MBS and CMOs	13,755	16,688
Tax-exempt state and municipal bonds	33,598	37,461
Taxable state and municipal bonds	28,763	25,293
Corporate bonds and other debt securities	14,813	13,766
Other equity securities	1,494	1,502
Loans held for sale	2,776	2,347
Interest rate swaps	0	0
Interest rate swaps	0	0
Recurring Basis [Member] | Significant Unobservable Inputs (Level 3) [Member]
Asset measured at fair value on recurring basis [Abstract]
U.S. Treasury and federal agency securities	0	0
U.S. Agency MBS and CMOs	0	0
Tax-exempt state and municipal bonds	0	0
Taxable state and municipal bonds	0	0
Corporate bonds and other debt securities	0	0
Other equity securities	0	0
Loans held for sale	0	0
Interest rate swaps	790	140
Interest rate swaps	(790)	(140)
Nonrecurring Basis [Member]
Asset measured at fair value on non-recurring basis [Abstract]
Impaired loans	6,573	12,649
Other real estate owned	13,602	22,472
Nonrecurring Basis [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Asset measured at fair value on non-recurring basis [Abstract]
Impaired loans	0	0
Other real estate owned	0	0
Nonrecurring Basis [Member] | Significant Other Observable Inputs (Level 2) [Member]
Asset measured at fair value on non-recurring basis [Abstract]
Impaired loans	0	0
Other real estate owned	0	0
Nonrecurring Basis [Member] | Significant Unobservable Inputs (Level 3) [Member]
Asset measured at fair value on non-recurring basis [Abstract]
Impaired loans	6,573	12,649
Other real estate owned	$ 13,602	$ 22,472

FAIR VALUE, Quantitative Inform

FAIR VALUE, Quantitative Information about Level 3 Fair Value Measurements (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Impaired Loans [Member] | Sales Comparison Approach [Member]
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Asset (liability) fair value	$ 6,573	$ 12,649
Impaired Loans [Member] | Sales Comparison Approach [Member] | Minimum [Member]
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Adjustment for differences between comparable sales	1.00%	1.00%
Impaired Loans [Member] | Sales Comparison Approach [Member] | Maximum [Member]
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Adjustment for differences between comparable sales	19.00%	20.00%
Impaired Loans [Member] | Income Approach [Member] | Minimum [Member]
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Capitalization rate	9.50%	9.50%
Impaired Loans [Member] | Income Approach [Member] | Maximum [Member]
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Capitalization rate	11.00%	12.00%
Other Real Estate Owned [Member] | Sales Comparison Approach [Member]
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Asset (liability) fair value	$ 13,602	$ 22,472
Other Real Estate Owned [Member] | Sales Comparison Approach [Member] | Minimum [Member]
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Adjustment for differences between comparable sales	4.50%	3.00%
Other Real Estate Owned [Member] | Sales Comparison Approach [Member] | Maximum [Member]
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Adjustment for differences between comparable sales	32.50%	22.70%
Other Real Estate Owned [Member] | Income Approach [Member] | Minimum [Member]
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Capitalization rate	9.50%	9.50%
Other Real Estate Owned [Member] | Income Approach [Member] | Maximum [Member]
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Capitalization rate	11.00%	12.00%

FAIR VALUE, Carrying Amounts an

FAIR VALUE, Carrying Amounts and Estimated Fair Values of Financial Instruments, Not Previously Presented (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Financial assets [Abstract]
Cash and due from banks	$ 29,104	$ 31,503
Securities held to maturity	52,837	31,428
Bank-owned life insurance	28,858	28,195
Carrying Amount [Member]
Financial assets [Abstract]
FHLB stock	11,558	11,238
Loan Commitments [Member] | Carrying Amount [Member]
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]
Off-balance sheet credit-related items	0	0
Loan Commitments [Member] | Fair Value [Member]
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]
Off-balance sheet credit-related items	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Carrying Amount [Member]
Financial assets [Abstract]
Cash and due from banks	29,104	31,503
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Fair Value [Member]
Financial assets [Abstract]
Cash and due from banks	29,104	31,503
Significant Other Observable Inputs (Level 2) [Member] | Carrying Amount [Member]
Financial assets [Abstract]
Cash equivalents	152,372	97,952
Interest-bearing time deposits in other financial institutions	20,000	20,000
Loans, net	1,187,423	1,086,872
Accrued interest receivable	3,622	3,399
Financial liabilities [Abstract]
Deposits	(1,435,512)	(1,306,325)
Other borrowed funds	(96,169)	(88,107)
Long-term debt	(41,238)	(41,238)
Accrued interest payable	(273)	(289)
Significant Other Observable Inputs (Level 2) [Member] | Fair Value [Member]
Financial assets [Abstract]
Cash equivalents	152,372	97,952
Interest-bearing time deposits in other financial institutions	20,008	20,062
Loans, net	1,177,527	1,082,675
Accrued interest receivable	3,622	3,399
Financial liabilities [Abstract]
Deposits	(1,435,473)	(1,306,671)
Other borrowed funds	(96,465)	(89,066)
Long-term debt	(35,757)	(35,396)
Accrued interest payable	(273)	(289)
Significant Unobservable Inputs (Level 3) [Member] | Carrying Amount [Member]
Financial assets [Abstract]
Securities held to maturity	51,856	31,585
Bank-owned life insurance	28,858	28,195
Significant Unobservable Inputs (Level 3) [Member] | Fair Value [Member]
Financial assets [Abstract]
Securities held to maturity	52,837	31,428
Bank-owned life insurance	$ 28,858	$ 28,195

PREMISES AND EQUIPMENT - NET (D

PREMISES AND EQUIPMENT - NET (Details) - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Property, Plant and Equipment, Net, by Type [Abstract]
Premises and equipment, Gross	$ 82,383,000	$ 81,213,000
Less accumulated depreciation	(30,927,000)	(28,319,000)
Premises and equipment, net, Total	51,456,000	52,894,000
Depreciation expense	2,608,000	2,513,000	$ 2,342,000
Total rental expense for all operating leases	417,000	436,000	$ 354,000
Future minimum rental expense under noncancelable leases [Abstract]
2,016	233,000
2,017	230,000
2,018	230,000
2,019	230,000
2,020	127,000
Thereafter	0
Total future payments	1,050,000
Land [Member]
Property, Plant and Equipment, Net, by Type [Abstract]
Premises and equipment, Gross	18,227,000	18,227,000
Building [Member]
Property, Plant and Equipment, Net, by Type [Abstract]
Premises and equipment, Gross	43,449,000	43,426,000
Leasehold Improvements [Member]
Property, Plant and Equipment, Net, by Type [Abstract]
Premises and equipment, Gross	779,000	779,000
Furniture and Equipment [Member]
Property, Plant and Equipment, Net, by Type [Abstract]
Premises and equipment, Gross	19,353,000	18,368,000
Construction in Progress [Member]
Property, Plant and Equipment, Net, by Type [Abstract]
Premises and equipment, Gross	$ 575,000	$ 413,000

DEPOSITS (Details)

DEPOSITS (Details) - USD ($)	Dec. 31, 2015	Dec. 31, 2014
Summary of deposit [Abstract]
Noninterest-bearing demand	$ 477,032,000	$ 404,143,000
Interest bearing demand	358,306,000	340,053,000
Savings and money market accounts	512,980,000	442,246,000
Certificates of deposit	87,194,000	119,883,000
Total deposits	1,435,512,000	1,306,325,000
Maturities distribution of time deposits [Abstract]
2,016	59,436,000
2,017	14,157,000
2,018	9,828,000
2,019	2,639,000
2,020	1,134,000
Thereafter	0
Total certificate of deposit	87,194,000
Certificate of deposits, $100,000 or more denominations	32,800,000	50,100,000
Denominations amount of certificates of deposit	$ 100,000	$ 100,000

OTHER BORROWED FUNDS, Federal H

OTHER BORROWED FUNDS, Federal Home Loan Bank Advances (Details) - USD ($)	Dec. 31, 2015	Dec. 31, 2014
Advances from Federal Home Loan Bank [Abstract]
Advance amount	$ 96,169,000	$ 88,107,000
Residential and commercial real estate loans pledged as collateral for Federal Home Loan Bank advances	440,660,000	441,252,000
Single Maturity Fixed Rate Advances [Member]
Advances from Federal Home Loan Bank [Abstract]
Advance amount	$ 90,000,000	$ 80,000,000
Range of maturities, earliest	2,016	2,016
Range of maturities, last	2,020	2,019
Weighted average interest rate	1.69%	1.69%
Amortizable Mortgage Advances [Member]
Advances from Federal Home Loan Bank [Abstract]
Advance amount	$ 6,169,000	$ 8,107,000
Range of maturities, earliest	2,018	2,018
Range of maturities, last	2,018	2,018
Weighted average interest rate	3.78%	3.78%

OTHER BORROWED FUNDS, Scheduled

OTHER BORROWED FUNDS, Scheduled Repayments of FHLB Advances (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Scheduled repayments of FHLB advances [Abstract]
2,016	$ 21,996
2,017	2,055
2,018	52,118
2,019	10,000
2,020	10,000
Thereafter	0
Total	$ 96,169	$ 88,107

OTHER BORROWED FUNDS, Federal R

OTHER BORROWED FUNDS, Federal Reserve Bank Borrowings (Details) - USD ($) $ in Millions	Dec. 31, 2015	Dec. 31, 2014
Federal Reserve Bank borrowings [Abstract]
Unused borrowing capacity to Federal Reserve Bank	$ 18.5	$ 22.8
Commercial and mortgage loans pledged to the Federal Reserve Bank	$ 21.6	$ 25.9

LONG TERM DEBT (Details)

LONG TERM DEBT (Details)	12 Months Ended
	Dec. 31, 2015USD ($)Payment	Dec. 31, 2014USD ($)
Debt Instrument [Line Items]
Aggregate liquidation amount of pooled trust preferred securities	$ 40,000,000
Proceeds from debenture issued	$ 41,238,000
Number of interest deferrals on consecutive quarterly payments | Payment	20
Long-term debt	$ 41,238,000	$ 41,238,000
Other assets	3,984,000	2,831,000
Preferred Securities issued qualified as Tier 1 capital for regulatory capital purposes	112,851,000	97,420,000
Preferred Securities [Member]
Debt Instrument [Line Items]
Preferred Securities issued qualified as Tier 1 capital for regulatory capital purposes	40,000,000	40,000,000
Common Securities [Member]
Debt Instrument [Line Items]
Other assets	$ 1,238,000	$ 1,238,000
Macatawa Statutory Trust I [Member]
Debt Instrument [Line Items]
Basis spread on three-month LIBOR	3.05%
Description of variable rate basis	LIBOR
Maturity date	Jul. 15, 2033
Macatawa Statutory Trust I [Member] | Preferred Securities [Member]
Debt Instrument [Line Items]
Aggregate liquidation amount of pooled trust preferred securities	$ 20,000,000
Macatawa Statutory Trust I [Member] | Common Securities [Member]
Debt Instrument [Line Items]
Aggregate liquidation amount of pooled trust preferred securities	$ 619,000
Macatawa Statutory Trust II [Member]
Debt Instrument [Line Items]
Basis spread on three-month LIBOR	2.75%
Description of variable rate basis	LIBOR
Maturity date	Mar. 18, 2034
Macatawa Statutory Trust II [Member] | Preferred Securities [Member]
Debt Instrument [Line Items]
Aggregate liquidation amount of pooled trust preferred securities	$ 20,000,000
Macatawa Statutory Trust II [Member] | Common Securities [Member]
Debt Instrument [Line Items]
Aggregate liquidation amount of pooled trust preferred securities	$ 619,000

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Loans to principal officers, directors, and their affiliates [Roll Forward]
Beginning balance	$ 10,077	$ 3,462
New loans and renewals	22,550	21,594
Repayments and renewals	(15,114)	(14,979)
Effect of changes in related parties	(162)	0
Ending balance	17,351	10,077
Notional amount of agreement	48,500	20,000
Principal Officers, Directors, and Affiliates [Member]
Loans to principal officers, directors, and their affiliates [Roll Forward]
Deposits from principal officers, directors, and their affiliates	72,900	$ 80,300
Director [Member] | Back-to-Back Swap Agreement [Member]
Loans to principal officers, directors, and their affiliates [Roll Forward]
Notional amount of agreement	$ 17,700

STOCK-BASED COMPENSATION (Detai

STOCK-BASED COMPENSATION (Details) - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Stock Options [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Contractual term	10 years
Option granted (in shares)	0	0	0
Summary of option activity, number outstanding [Roll Forward]
Outstanding, beginning of period (in shares)	260,261
Forfeited (in shares)	0
Expired (in shares)	(157,962)
Outstanding, end of period (in shares)	102,299	260,261
Exercisable, end of period (in shares)	102,299
Weighted average exercise price [Roll Forward]
Outstanding beginning of period (in dollars per share)	$ 18.57
Forfeited (in dollars per share)	0
Expired (in dollars per share)	22.16
Outstanding end of period (in dollars per share)	13.04	$ 18.57
Exercisable, end of period (in dollars per share)	$ 13.04
Options, additional disclosures [Abstract]
Outstanding, weighted average remaining contractual term	1 year 7 months 6 days
Exercisable, weighted average remaining contractual term	1 year 7 months 6 days
Outstanding, aggregate intrinsic value	$ 0
Exercisable, aggregate intrinsic value	0
Information related to stock options during each year [Abstract]
Intrinsic value of options exercised	0	$ 0	$ 0
Cash received from option exercises	0	0	0
Tax benefit realized from option exercises	0	0	0
Share-based compensation cost	0	0	0
Unrecognized cost related to nonvested stock options granted	$ 0
Stock Options [Member] | Minimum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period	1 year
Stock Options [Member] | Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period	3 years
Restricted Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period	3 years
Information related to stock options during each year [Abstract]
Share-based compensation cost	$ 478,000	$ 338,000	160,000
Changes in nonvested restricted stock awards, shares [Roll Forward]
Outstanding, beginning of period (in shares)	217,679
Granted (in shares)	88,000
Vested (in shares)	(107,833)
Forfeited (in shares)	0
Outstanding, end of period (in shares)	197,846	217,679
Weighted-average grant-date fair value [Roll Forward]
Outstanding, beginning of period (in dollars per share)	$ 4.77
Granted (in dollars per share)	5.55
Vested (in dollars per share)	4.37
Forfeited (in dollars per share)	0
Outstanding, end of period (in dollars per share)	$ 5.34	$ 4.77
Aggregate intrinsic value [Roll Forward]
Outstanding, beginning of period	$ 1,184,174
Granted	532,400
Vested	652,390
Forfeited	0
Outstanding, end of period	1,196,968	$ 1,184,174
Total remaining unrecognized compensation cost related to nonvested shares	$ 1,100,000
Weighted-average period for recognition for unrecognized compensation cost	1 year 5 months 16 days
Total grant date fair value of shares vested	$ 471,000	$ 299,000	$ 117,000
Employees' Plans [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares permitted under the plan (in shares)	1,917,210
Directors' Plans [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares permitted under the plan (in shares)	473,278
2015 Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares permitted under the plan (in shares)	1,500,000
Shares available for issuance (in shares)	1,412,000

EMPLOYEE BENEFITS (Details)

EMPLOYEE BENEFITS (Details) - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
EMPLOYEE BENEFITS [Abstract]
Employer matching contribution, first	100.00%
Employee contribution, first	3.00%
Employer matching contribution, second	50.00%
Employee contribution, second	3.00%
Maximum employer matching contribution	5.00%
Employer contributions	$ 665,000	$ 630,000	$ 584,000
Number of shares of common stock reserved to be issued under Employee Stock Purchase Plan	210,000

EARNINGS PER COMMON SHARE (Deta

EARNINGS PER COMMON SHARE (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Reconciliation of numerators and denominators of basic and diluted earnings per common share [Abstract]
Net income available to common shares									$ 12,794	$ 10,473	$ 9,549
Effect of induced exchange of preferred stock									0	0	(17,575)
Net income available to common shares									$ 12,794	$ 10,473	$ (8,026)
Weighted average shares outstanding, including restricted stock awards - Basic (in shares)									33,872,814	33,803,030	27,161,888
Dilutive potential common shares [Abstract]
Stock options (in shares)									0	0	0
Stock warrants (in shares)									0	0	0
Weighted average shares outstanding - Diluted (in shares)									33,872,814	33,803,030	27,161,888
Basic earnings per common share (in dollars per share)	$ 0.10	$ 0.09	$ 0.09	$ 0.08	$ 0.07	$ 0.08	$ 0.08	$ 0.08	$ 0.38	$ 0.31	$ (0.29)
Diluted earnings per common share (in dollars per share)	$ 0.10	$ 0.09	$ 0.09	$ 0.08	$ 0.07	$ 0.08	$ 0.08	$ 0.08	$ 0.38	$ 0.31	$ (0.29)
Stock Options [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share amount (in shares)									102,299	260,261	355,328
Restricted Stock [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share amount (in shares)											206,167

FEDERAL INCOME TAXES (Details)

FEDERAL INCOME TAXES (Details) - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Income tax expense (benefit) [Abstract]
Current	$ 2,335,000	$ 1,724,000	$ 120,000
Deferred	3,291,000	2,849,000	4,150,000
Income tax expense	$ 5,626,000	$ 4,573,000	$ 4,270,000
Difference between financial statement tax expense (benefit) and amount computed by applying statutory federal tax rate to pretax income [Abstract]
Statutory rate	35.00%	35.00%	35.00%
Statutory rate applied to income before taxes	$ 6,447,000	$ 5,266,000	$ 4,837,000
Add (deduct) [Abstract]
Tax-exempt interest income	(529,000)	(391,000)	(244,000)
Bank-owned life insurance	(232,000)	(237,000)	(250,000)
Other, net	(60,000)	(65,000)	(73,000)
Income tax expense	5,626,000	4,573,000	4,270,000
Valuation allowance on deferred tax assets	0	0	0
Deferred tax assets [Abstract]
Allowance for loan losses	5,978,000	6,637,000
Nonaccrual loan interest	850,000	935,000
Valuation allowance on other real estate owned	3,782,000	5,190,000
Unrealized loss on securities available for sale	0	0
Other	647,000	1,896,000
Gross deferred tax assets	11,257,000	14,658,000
Valuation allowance	0	0	$ 0
Total net deferred tax assets	11,257,000	14,658,000
Deferred tax liabilities [Abstract]
Depreciation	(1,739,000)	(1,908,000)
Prepaid expenses	(191,000)	(21,000)
Unrealized gain on securities available for sale	(187,000)	(33,000)
Other	(321,000)	(431,000)
Gross deferred tax liabilities	(2,438,000)	(2,393,000)
Net deferred tax asset	8,819,000	12,265,000
Unrecognized tax benefits	$ 0	$ 0
Period when unrecognized tax benefits is not expected to significantly increase or decrease	12 months

COMMITMENTS AND OFF BALANCE-S74

COMMITMENTS AND OFF BALANCE-SHEET RISK (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Summary of the contractual amounts of financial instruments with off-balance-sheet risk [Abstract]
Notional amount of commitments to fund mortgage loans to be sold into the secondary market	$ 19,800	$ 14,200
Commitments to make loans at fixed rates	35.00%
Expiration period of commitment to make variable rate loan	30 days
Commitments to Make Loans [Member]
Summary of the contractual amounts of financial instruments with off-balance-sheet risk [Abstract]
Contractual amounts of financial instruments with off-balance-sheet risk	$ 97,991	81,274
Letters of Credit [Member]
Summary of the contractual amounts of financial instruments with off-balance-sheet risk [Abstract]
Contractual amounts of financial instruments with off-balance-sheet risk	12,976	11,862
Unused Lines of Credit [Member]
Summary of the contractual amounts of financial instruments with off-balance-sheet risk [Abstract]
Contractual amounts of financial instruments with off-balance-sheet risk	$ 426,080	$ 389,099

CONTINGENCIES (Details)

CONTINGENCIES (Details) - USD ($)	Jan. 27, 2014	Mar. 31, 2015	Dec. 31, 2014	Dec. 31, 2014
Contingencies [Line Items]
Litigation settlement expense			$ 516,000
Employment Agreement Litigation, Benj. A. Smith III [Member]
Contingencies [Line Items]
Monthly entitlement claimed by plaintiff	$ 20,833
Period of monthly damage claims sought for employment agreement	6 years
Settlement liability, net of insurance proceeds			$ 516,000	$ 516,000
Litigation settlement expense				$ 516,000
Payments for legal settlements		$ 516,000

SHAREHOLDERS' EQUITY, Regulator

SHAREHOLDERS' EQUITY, Regulatory Capital (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items]
CET1 capital (to risk weighted assets), actual amount	$ 151,630
CET1 capital (to risk weighted assets), actual ratio	10.80%
Tier 1 capital (to risk weighted assets), actual amount	$ 191,630	$ 174,084
Tier 1 capital (to risk weighted assets), actual ratio	13.60%	14.30%
Total capital (to risk weighted assets), actual amount	$ 208,711	$ 189,353
Total capital (to risk weighted assets), actual ratio	14.80%	15.60%
Tier 1 capital (to average assets), actual amount	$ 191,630	$ 174,084
Tier 1 capital (to average assets), actual ratio	11.50%	11.60%
CET1 capital (to risk weighted assets), minimum required for capital adequacy purposes, amount	$ 63,479
CET1 capital (to risk weighted assets), minimum required for capital adequacy purposes, ratio	4.50%
Tier 1 capital (to risk weighted assets), minimum required for capital adequacy purposes, amount	$ 84,638	$ 48,706
Tier 1 capital (to risk weighted assets), minimum required for capital adequacy purposes, ratio	6.00%	4.00%
Total capital (to risk weighted assets), minimum required for capital adequacy purposes, amount	$ 112,851	$ 97,420
Total capital (to risk weighted assets) minimum required for capital adequacy purposes, ratio	8.00%	8.00%
Tier 1 capital (to average assets), minimum required for capital adequacy purposes, amount	$ 66,400	$ 59,998
Tier 1 capital (to average assets), minimum required for capital adequacy purposes, ratio	4.00%	4.00%
Bank [Member]
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items]
CET1 capital (to risk weighted assets), actual amount	$ 186,930
CET1 capital (to risk weighted assets), actual ratio	13.20%
Tier 1 capital (to risk weighted assets), actual amount	$ 186,930	$ 170,893
Tier 1 capital (to risk weighted assets), actual ratio	13.20%	14.00%
Total capital (to risk weighted assets), actual amount	$ 203,471	$ 186,276
Total capital (to risk weighted assets), actual ratio	14.40%	15.30%
Tier 1 capital (to average assets), actual amount	$ 186,930	$ 170,983
Tier 1 capital (to average assets), actual ratio	11.20%	11.40%
CET1 capital (to risk weighted assets), minimum required for capital adequacy purposes, amount	$ 63,463
CET1 capital (to risk weighted assets), minimum required for capital adequacy purposes, ratio	4.50%
Tier 1 capital (to risk weighted assets), minimum required for capital adequacy purposes, amount	$ 84,617	$ 48,788
Tier 1 capital (to risk weighted assets), minimum required for capital adequacy purposes, ratio	6.00%	4.00%
Total capital (to risk weighted assets), minimum required for capital adequacy purposes, amount	$ 112,822	$ 97,575
Total capital (to risk weighted assets) minimum required for capital adequacy purposes, ratio	8.00%	8.00%
Tier 1 capital (to average assets), minimum required for capital adequacy purposes, amount	$ 66,332	$ 59,923
Tier 1 capital (to average assets), minimum required for capital adequacy purposes, ratio	4.00%	4.00%
CET1 capital (to risk weighted assets) to be well capitalized under prompt corrective action regulations, amount	$ 91,668
CET1 capital (to risk weighted assets) to be well capitalized under prompt corrective action regulations, ratio	6.50%
Tier 1 capital (to risk weighted assets) to be well capitalized under prompt corrective action regulations, amount	$ 112,822	$ 73,182
Tier 1 capital (to risk weighted assets) to be well capitalized under prompt corrective action regulations, ratio	8.00%	6.00%
Total capital (to risk weighted assets) to be well capitalized under prompt corrective action regulations, amount	$ 141,028	$ 121,969
Total capital (to risk weighted assets) to be well capitalized under prompt corrective action regulations, ratio	10.00%	10.00%
Tier 1 capital (to average assets) to be well capitalized under prompt corrective action regulations, amount	$ 82,915	$ 74,904
Tier 1 capital (to average assets) to be well capitalized under prompt corrective action regulations, ratio	5.00%	5.00%
Trust preferred securities that qualified as Tier one risk based capital	$ 40,000	$ 40,000

SHAREHOLDERS' EQUITY, Issuance

SHAREHOLDERS' EQUITY, Issuance of Capital (Details)

Dec. 30, 2013USD ($)$ / sharesshares

Jun. 29, 2011$ / sharesshares

Jun. 07, 2011$ / sharesshares

Jun. 29, 2011USD ($)$ / shares

Dec. 31, 2015USD ($)$ / shares

Dec. 31, 2014USD ($)$ / shares

Dec. 31, 2013USD ($)

Dec. 31, 2009USD ($)Issuance$ / sharesshares

Dec. 31, 2008USD ($)$ / sharesshares

Jun. 30, 2011USD ($)

Apr. 21, 2011USD ($)

Jul. 28, 2009shares

Jun. 18, 2009shares

Convertible Preferred Stock [Abstract]

Stock issuance costs

$ 0

$ 102,000

$ 0

Common stock, par value (in dollars per share) | $ / shares

$ 0

$ 0

Inducement payment

$ 4,700,000

Effect of induced exchange of preferred stock

$ 0

$ 0

$ 17,575,000

Common Stock [Abstract]

Number of shares issued from sale of stock (in shares) | shares

4,456,186

4,456,186

Average price of common stock shares issued (in dollars per share) | $ / shares

$ 2.30

$ 2.30

$ 2.30

Net proceeds from stock offerings and subordinated note conversion

$ 20,300,000

Amount contributed to bank

$ 10,000,000

Subordinated Debt [Member] | Subordinated Notes, Due 2018 [Member]

Common Stock [Abstract]

Debt Instrument, interest rate

2.00%

Debt instrument, due date

Dec. 31, 2018

Aggregate principal amount

$ 1,000,000

Subordinated Debt [Member] | Subordinated Notes, Due 2018 [Member] | Conversion of Subordinated Note to Common Stock [Member]

Common Stock [Abstract]

Shares issued in conversion of debt to common stock (in shares) | shares

491,830

Series A Preferred Stock [Member]

Convertible Preferred Stock [Abstract]

Stock issued in private offerings (in shares) | shares

31,290

Preferred stock coupon rate

12.00%

Preferred stock, liquidation value (in dollars per share) | $ / shares

$ 1,000

Aggregate liquidation preference

$ 31,300,000

Proceeds from issuance of Convertible Preferred Stock

30,600,000

Stock issuance costs

$ 686,000

Series B Preferred Stock [Member]

Convertible Preferred Stock [Abstract]

Stock issued in private offerings (in shares) | shares

2,600

Preferred stock coupon rate

9.00%

Preferred stock, liquidation value (in dollars per share) | $ / shares

$ 1,000

Aggregate liquidation preference

$ 2,600,000

Proceeds from issuance of Convertible Preferred Stock

2,600,000

Stock issuance costs

$ 40,000

Common Stock [Member]

Convertible Preferred Stock [Abstract]

Common stock, par value (in dollars per share) | $ / shares

$ 0

Exchange of Preferred Stock Series A to Common Stock [Member] | Series A Preferred Stock [Member]

Convertible Preferred Stock [Abstract]

Amount fixed as denominator for division by liquidation preference (in dollars per share) | $ / shares

5.25

Amount equivalent to cash for each series of preferred stock (in dollars per share) | $ / shares

$ 142

Dividend rate for one time cash payments

5.00%

Payments from exchange of preferred stock

$ 4,400,000

Exchange of Preferred Stock Series A to Common Stock [Member] | Common Stock [Member]

Convertible Preferred Stock [Abstract]

Amount specified by which common stock of shares are divided for cancellation and exchange (in dollars per share) | $ / shares

$ 5.25

Number of shares issued in exchange of Preferred Stock for Common Stock (in shares) | shares

5,973,519

Exchange of Preferred Stock Series B to Common Stock [Member] | Series B Preferred Stock [Member]

Convertible Preferred Stock [Abstract]

Amount fixed as denominator for division by liquidation preference (in dollars per share) | $ / shares

$ 5.25

Amount equivalent to cash for each series of preferred stock (in dollars per share) | $ / shares

$ 182

Dividend rate for one time cash payments

4.50%

Payments from exchange of preferred stock

$ 319,000

Exchange of Preferred Stock Series B to Common Stock [Member] | Common Stock [Member]

Convertible Preferred Stock [Abstract]

Amount specified by which common stock of shares are divided for cancellation and exchange (in dollars per share) | $ / shares

$ 5.25

Number of shares issued in exchange of Preferred Stock for Common Stock (in shares) | shares

457,519

Warrants [Member]

Class of Warrant or Right [Line Items]

Number of securities called by warrants (in shares) | shares

1,478,811

Exercise price of warrants (in dollars per share) | $ / shares

$ 9

Fair value of warrants issued

$ 806,000

Fair value per warrant (in dollars per share) | $ / shares

$ 0.54

Number of issuances | Issuance

2

Warrants executed (in shares) | shares

392

Warrants [Member] | Issuance on June 18, 2009 [Member]

Class of Warrant or Right [Line Items]

Number of securities called by warrants (in shares) | shares

1,361,753

Warrant expiration date

Jun. 17, 2015

Warrants exercise period

5 years

Warrants [Member] | Issuance on July 28, 2009 [Member]

Class of Warrant or Right [Line Items]

Number of securities called by warrants (in shares) | shares

117,058

Warrant expiration date

Jul. 27, 2015

Warrants exercise period

5 years

CONDENSED FINANCIAL STATEMENT78

CONDENSED FINANCIAL STATEMENTS (PARENT COMPANY ONLY), Condensed Balance Sheets (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
ASSETS
Cash and cash equivalents	$ 181,476	$ 129,455	$ 156,892	$ 226,358
Other assets	3,984	2,831
Total assets	1,729,643	1,583,846
LIABILITIES AND SHAREHOLDERS' EQUITY
Long-term debt	41,238	41,238
Total liabilities	1,577,666	1,441,327
Total shareholders' equity	151,977	142,519	132,522	130,507
Total liabilities and shareholders' equity	1,729,643	1,583,846
Parent Company [Member]
ASSETS
Cash and cash equivalents	4,818	2,544	$ 1,910	$ 9,787
Investments in Bank subsidiary	186,737	177,312
Investment in other subsidiaries	1,478	1,491
Other assets	362	2,599
Total assets	193,395	183,946
LIABILITIES AND SHAREHOLDERS' EQUITY
Long-term debt	41,238	41,238
Other liabilities	180	189
Total liabilities	41,418	41,427
Total shareholders' equity	151,977	142,519
Total liabilities and shareholders' equity	$ 193,395	$ 183,946

CONDENSED FINANCIAL STATEMENT79

CONDENSED FINANCIAL STATEMENTS (PARENT COMPANY ONLY), Condensed Statements of Income and Comprehensive Income (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
EXPENSE
Interest expense									$ 5,306	$ 5,596	$ 7,337
Income tax benefit									5,626	4,573	4,270
Net income	$ 3,538	$ 3,201	$ 3,215	$ 2,840	$ 2,317	$ 2,762	$ 2,755	$ 2,639	12,794	10,473	9,549
Net income (loss) available to common shares									12,794	10,473	(8,026)
Comprehensive income									13,080	12,489	6,634
Parent Company [Member]
INCOME
Dividends from subsidiaries									5,160	4,139	5,179
Other									0	0	0
Total income									5,160	4,139	5,179
EXPENSE
Interest expense									1,331	1,311	1,563
Other expense									592	611	575
Total expense									1,923	1,922	2,138
Income before income tax and equity in undistributed earnings of subsidiaries									3,237	2,217	3,041
Equity in undistributed earnings of subsidiaries									8,893	7,592	5,770
Income before income tax									12,130	9,809	8,811
Income tax benefit									(664)	(664)	(738)
Net income									12,794	10,473	9,549
Net income (loss) available to common shares									12,794	10,473	(8,026)
Comprehensive income									$ 13,080	$ 12,489	$ 6,634

CONDENSED FINANCIAL STATEMENT80

CONDENSED FINANCIAL STATEMENTS (PARENT COMPANY ONLY), Condensed Statements of Cash Flows (Details) - USD ($)	3 Months Ended								12 Months Ended
	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2009	Dec. 31, 2008
Cash flows from operating activities
Net income	$ 3,538,000	$ 3,201,000	$ 3,215,000	$ 2,840,000	$ 2,317,000	$ 2,762,000	$ 2,755,000	$ 2,639,000	$ 12,794,000	$ 10,473,000	$ 9,549,000
Adjustments to reconcile net income to net cash from operating activities:
Stock compensation expense									478,000	338,000	160,000
Net cash from operating activities									14,001,000	16,618,000	16,312,000
Cash flows from investing activities
Net cash from investing activities									(95,303,000)	(95,806,000)	(40,991,000)
Cash flows from financing activities
Proceeds from issuance of common stock									0	4,000	0
Cash dividends paid									(3,702,000)	(2,689,000)	0
Common stock issuance costs									0	(102,000)	0
Repurchases of shares									(171,000)	(106,000)	(45,000)
Cash paid in preferred stock exchange									0	0	(4,734,000)
Net cash from financing activities									133,323,000	51,751,000	(44,787,000)
Net change in cash and cash equivalents									52,021,000	(27,437,000)	(69,466,000)
Cash and cash equivalents at beginning of period				129,455,000				156,892,000	129,455,000	156,892,000	226,358,000
Cash and cash equivalents at end of period	181,476,000				129,455,000				181,476,000	129,455,000	156,892,000
Supplemental noncash disclosures:
Exchange of 31,290 shares of Preferred Series A for 5,973,519 shares of common stock									0	0	30,604,000
Exchange of 2,300 shares of Preferred Series B for 457,159 shares of common stock									0	0	$ 2,260,000
Series A [Member]
Cash flows from financing activities
Common stock issuance costs													$ (686,000)
Series B [Member]
Cash flows from financing activities
Common stock issuance costs												$ (40,000)
Common Stock [Member]
Cash flows from financing activities
Common stock issuance costs										(102,000)
Conversion of Preferred Stock Series B to Common Stock [Member] | Preferred Stock [Member] | Series B [Member]
Supplemental noncash disclosures:
Number of shares converted in conversion of Preferred Stock to Common Stock (in shares)											300
Conversion of Preferred Stock Series B to Common Stock [Member] | Common Stock [Member]
Supplemental noncash disclosures:
Number of shares issued in conversion of Preferred Stock to Common Stock (in shares)											50,000
Exchange of Preferred Stock Series A to Common Stock [Member] | Preferred Stock [Member] | Series A [Member]
Supplemental noncash disclosures:
Number of shares exchanged in exchange of Preferred Stock to Common Stock (in shares)											31,290
Exchange of Preferred Stock Series A to Common Stock [Member] | Common Stock [Member]
Supplemental noncash disclosures:
Number of shares issued in exchange of Preferred Stock to Common Stock (in shares)											5,973,519
Exchange of Preferred Stock Series B to Common Stock [Member] | Preferred Stock [Member] | Series B [Member]
Supplemental noncash disclosures:
Number of shares exchanged in exchange of Preferred Stock to Common Stock (in shares)											2,300
Exchange of Preferred Stock Series B to Common Stock [Member] | Common Stock [Member]
Supplemental noncash disclosures:
Number of shares issued in exchange of Preferred Stock to Common Stock (in shares)											457,159
Parent Company [Member]
Cash flows from operating activities
Net income									12,794,000	10,473,000	$ 9,549,000
Adjustments to reconcile net income to net cash from operating activities:
Equity in undistributed earnings of subsidiaries									(8,893,000)	(7,592,000)	(5,770,000)
Stock compensation expense									18,000	2,000	0
Change in other assets									2,237,000	673,000	(740,000)
Change in other liabilities									(9,000)	(29,000)	(4,487,000)
Net cash from operating activities									6,147,000	3,527,000	(1,448,000)
Cash flows from investing activities
Investment in subsidiaries									0	0	0
Net cash from investing activities									0	0	0
Cash flows from financing activities
Proceeds from issuance of common stock									0	4,000	0
Cash dividends paid									(3,702,000)	(2,689,000)	0
Common stock issuance costs									0	(102,000)	0
Redemption of subordinated debt									0	0	(1,650,000)
Repurchases of shares									(171,000)	(106,000)	(45,000)
Cash paid in preferred stock exchange									0	0	(4,734,000)
Net cash from financing activities									(3,873,000)	(2,893,000)	(6,429,000)
Net change in cash and cash equivalents									2,274,000	634,000	(7,877,000)
Cash and cash equivalents at beginning of period				$ 2,544,000				$ 1,910,000	2,544,000	1,910,000	9,787,000
Cash and cash equivalents at end of period	$ 4,818,000				$ 2,544,000				4,818,000	2,544,000	1,910,000
Supplemental noncash disclosures:
Conversion of 300 shares of Preferred Series B to 50,000 shares of common stock									0	0	300,000
Exchange of 31,290 shares of Preferred Series A for 5,973,519 shares of common stock									0	0	30,604,000
Exchange of 2,300 shares of Preferred Series B for 457,159 shares of common stock									$ 0	$ 0	$ 2,260,000
Parent Company [Member] | Conversion of Preferred Stock Series B to Common Stock [Member] | Preferred Stock [Member] | Series B [Member]
Supplemental noncash disclosures:
Number of shares converted in conversion of Preferred Stock to Common Stock (in shares)											300
Parent Company [Member] | Conversion of Preferred Stock Series B to Common Stock [Member] | Common Stock [Member]
Supplemental noncash disclosures:
Number of shares issued in conversion of Preferred Stock to Common Stock (in shares)											50,000
Parent Company [Member] | Exchange of Preferred Stock Series A to Common Stock [Member] | Preferred Stock [Member] | Series A [Member]
Supplemental noncash disclosures:
Number of shares exchanged in exchange of Preferred Stock to Common Stock (in shares)											31,290
Parent Company [Member] | Exchange of Preferred Stock Series A to Common Stock [Member] | Common Stock [Member]
Supplemental noncash disclosures:
Number of shares issued in exchange of Preferred Stock to Common Stock (in shares)											5,973,519
Parent Company [Member] | Exchange of Preferred Stock Series B to Common Stock [Member] | Preferred Stock [Member] | Series B [Member]
Supplemental noncash disclosures:
Number of shares exchanged in exchange of Preferred Stock to Common Stock (in shares)											2,300
Parent Company [Member] | Exchange of Preferred Stock Series B to Common Stock [Member] | Common Stock [Member]
Supplemental noncash disclosures:
Number of shares issued in exchange of Preferred Stock to Common Stock (in shares)											457,159

QUARTERLY FINANCIAL DATA (Una81

QUARTERLY FINANCIAL DATA (Unaudited) (Details) - USD ($)	3 Months Ended								12 Months Ended
	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
QUARTERLY FINANCIAL DATA (Unaudited) [Abstract]
Interest income	$ 12,709,000	$ 12,427,000	$ 12,238,000	$ 12,011,000	$ 11,816,000	$ 11,674,000	$ 11,528,000	$ 11,970,000	$ 49,386,000	$ 46,988,000	$ 48,620,000
Net interest income	11,461,000	11,121,000	10,845,000	10,652,000	10,457,000	10,304,000	10,156,000	10,475,000	44,080,000	41,392,000	41,283,000
Provision for loan losses	(1,750,000)	(250,000)	(500,000)	(1,000,000)	(600,000)	(750,000)	(1,000,000)	(1,000,000)	(3,500,000)	(3,350,000)	(4,250,000)
Net income	$ 3,538,000	$ 3,201,000	$ 3,215,000	$ 2,840,000	$ 2,317,000	$ 2,762,000	$ 2,755,000	$ 2,639,000	$ 12,794,000	$ 10,473,000	$ 9,549,000
Earnings per common share, basic (in dollars per share)	$ 0.10	$ 0.09	$ 0.09	$ 0.08	$ 0.07	$ 0.08	$ 0.08	$ 0.08	$ 0.38	$ 0.31	$ (0.29)
Earnings per common share, diluted (in dollars per share)	$ 0.10	$ 0.09	$ 0.09	$ 0.08	$ 0.07	$ 0.08	$ 0.08	$ 0.08	$ 0.38	$ 0.31	$ (0.29)
Expense associated with legal settlement					$ 516,000