Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Mar. 04, 2014 | Jun. 30, 2013 | |
Document Information [Line Items] | ' | ' | ' |
Document Type | '10-K | ' | ' |
Amendment Flag | 'false | ' | ' |
Document Period End Date | 31-Dec-13 | ' | ' |
Document Fiscal Year Focus | '2013 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Trading Symbol | 'FCAP | ' | ' |
Entity Registrant Name | 'FIRST CAPITAL INC | ' | ' |
Entity Central Index Key | '0001070296 | ' | ' |
Current Fiscal Year End Date | '--12-31 | ' | ' |
Entity Well-known Seasoned Issuer | 'No | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Filer Category | 'Smaller Reporting Company | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 2,784,088 | ' |
Entity Public Float | ' | ' | $53,200,000 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
ASSETS | ' | ' |
Cash and due from banks | $10,058 | $11,277 |
Interest bearing deposits with banks | 467 | 575 |
Federal funds sold | 611 | 9,959 |
Total cash and cash equivalents | 11,136 | 21,811 |
Interest-bearing time deposits | 4,425 | 1,400 |
Securities available for sale, at fair value | 108,762 | 122,973 |
Securities-held to maturity | 9 | 12 |
Loans, net | 288,506 | 280,407 |
Loans held for sale | 1,611 | 3,609 |
Federal Home Loan Bank stock, at cost | 2,820 | 2,820 |
Foreclosed real estate | 466 | 295 |
Premises and equipment | 10,347 | 10,757 |
Accrued interest receivable | 1,716 | 1,757 |
Cash value of life insurance | 6,332 | 6,172 |
Goodwill | 5,386 | 5,386 |
Other assets | 2,868 | 1,733 |
Total Assets | 444,384 | 459,132 |
Deposits: | ' | ' |
Noninterest-bearing | 56,436 | 56,715 |
Interest-bearing | 317,394 | 327,628 |
Total deposits | 373,830 | 384,343 |
Retail repurchase agreements | 9,310 | 14,092 |
Advances from Federal Home Loan Bank | 5,500 | 5,100 |
Accrued interest payable | 192 | 290 |
Accrued expenses and other liabilities | 2,213 | 2,371 |
Total liabilities | 391,045 | 406,196 |
Commitments and Contingencies | ' | ' |
EQUITY | ' | ' |
Preferred stock of $.01 par value per share Authorized 1,000,000 shares; none issued | 0 | 0 |
Common stock of $.01 par value per share Authorized 5,000,000 shares; issued 3,164,416 shares; outstanding 2,784,088 and 2,784,997 shares in 2013 and 2012, respectively | 32 | 32 |
Additional paid-in capital | 24,313 | 24,313 |
Retained earnings-substantially restricted | 36,947 | 34,101 |
Accumulated other comprehensive income (loss) | -720 | 1,704 |
Less treasury stock, at cost-380,328 shares (379,419 shares in 2012) | -7,345 | -7,326 |
Total First Capital, Inc. stockholders' equity | 53,227 | 52,824 |
Noncontrolling interest in subsidiary | 112 | 112 |
Total equity | 53,339 | 52,936 |
Total Liabilities and Equity | $444,384 | $459,132 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Preferred stock, par value | $0.01 | $0.01 |
Preferred stock, Authorized | 1,000,000 | 1,000,000 |
Preferred stock, issued | ' | ' |
Common stock, par value | $0.01 | $0.01 |
Common stock, Authorized | 5,000,000 | 5,000,000 |
Common stock, issued | 3,164,416 | 3,164,416 |
Common stock, outstanding | 2,784,088 | 2,784,997 |
Treasury stock, shares | 380,328 | 379,419 |
Consolidated_Statements_of_Inc
Consolidated Statements of Income (USD $) | 12 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
INTEREST INCOME | ' | ' |
Loans, including fees | $15,833 | $16,005 |
Securities: | ' | ' |
Taxable | 1,294 | 1,677 |
Tax-exempt | 1,113 | 966 |
Federal Home Loan Bank dividends | 99 | 94 |
Federal funds sold and interest-bearing deposits in banks | 72 | 58 |
Total interest income | 18,411 | 18,800 |
INTEREST EXPENSE | ' | ' |
Deposits | 1,474 | 2,041 |
Retail repurchase agreements | 28 | 38 |
Advances from Federal Home Loan Bank | 151 | 386 |
Total interest expense | 1,653 | 2,465 |
Net interest income | 16,758 | 16,335 |
Provision for loan losses | 725 | 1,525 |
Net interest income after provision for loan losses | 16,033 | 14,810 |
NONINTEREST INCOME | ' | ' |
Service charges on deposit accounts | 3,112 | 2,954 |
Commission and fee income | 355 | 220 |
Gain on sale of securities | 29 | 11 |
Gain on sale of mortgage loans | 842 | 1,045 |
Mortgage brokerage fee income | 48 | 33 |
Increase in cash value of life insurance | 160 | 181 |
Other income | 94 | 93 |
Total noninterest income | 4,640 | 4,537 |
NONINTEREST EXPENSE | ' | ' |
Compensation and benefits | 7,143 | 7,907 |
Occupancy and equipment | 1,166 | 1,249 |
Data processing | 1,458 | 1,324 |
Professional fees | 686 | 614 |
Advertising | 262 | 256 |
Other expenses | 2,616 | 2,503 |
Total noninterest expense | 13,331 | 13,853 |
Income before income taxes | 7,342 | 5,494 |
Income tax expense | 2,255 | 1,559 |
Net Income | 5,087 | 3,935 |
Less net income attributable to the noncontrolling interest in subsidiary | 13 | 13 |
Net income | $5,074 | $3,922 |
Earnings per common share attributable to First Capital, Inc. | ' | ' |
Basic | $1.82 | $1.41 |
Diluted | $1.82 | $1.41 |
Dividends per share on common shares | $0.80 | $0.76 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Net income | $5,087 | $3,935 |
Unrealized gains (losses) on securities available for sale: | ' | ' |
Unrealized holding gains (losses) arising during the period | -3,797 | 156 |
Income tax (expense) benefit | 1,392 | -57 |
Net of tax amount | -2,405 | 99 |
Less: reclassification adjustment for realized gains included in net income | -29 | -11 |
Income tax expense (benefit) | 10 | 4 |
Net of tax amount | -19 | -7 |
Other Comprehensive Income (Loss), net of tax | -2,424 | 92 |
Total Comprehensive Income | 2,663 | 4,027 |
Less: comprehensive income attributable to the noncontrolling interest in subsidiary | 13 | 13 |
Comprehensive Income Attributable to First Capital, Inc. | $2,650 | $4,014 |
Consolidated_Statements_of_Cha
Consolidated Statements of Changes in Stockholders' Equity (USD $) | Total | Common Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Treasury Stock | Noncontrolling Interest |
In Thousands | |||||||
Beginning Balance at Dec. 31, 2011 | $51,053 | $32 | $24,313 | $32,297 | $1,612 | ($7,312) | $111 |
Net income | 3,935 | 0 | 0 | 3,922 | 0 | 0 | 13 |
Other comprehensive income (loss) | 92 | 0 | 0 | 0 | 92 | 0 | 0 |
Cash dividends | -2,130 | 0 | 0 | -2,118 | 0 | 0 | -12 |
Purchase of treasury shares | -14 | 0 | 0 | 0 | 0 | -14 | 0 |
Ending Balance at Dec. 31, 2012 | 52,936 | 32 | 24,313 | 34,101 | 1,704 | -7,326 | 112 |
Net income | 5,087 | 0 | 0 | 5,074 | 0 | 0 | 13 |
Other comprehensive income (loss) | -2,424 | 0 | 0 | 0 | -2,424 | 0 | 0 |
Cash dividends | -2,241 | 0 | 0 | -2,228 | 0 | 0 | -13 |
Purchase of treasury shares | -19 | 0 | 0 | 0 | 0 | -19 | 0 |
Ending Balance at Dec. 31, 2013 | $53,339 | $32 | $24,313 | $36,947 | ($720) | ($7,345) | $112 |
Consolidated_Statements_of_Cha1
Consolidated Statements of Changes in Stockholders' Equity (Parenthetical) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Purchase of treasury shares, shares | 909 | 692 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
CASH FLOWS FROM OPERATING ACTIVITIES | ' | ' |
Net income | $5,087 | $3,935 |
Adjustments to reconcile net income to net cash and cash equivalents provided by operating activities: | ' | ' |
Amortization of premium and accretion of discount on securities, net | 903 | 956 |
Depreciation and amortization expense | 707 | 758 |
Deferred income taxes | 200 | -478 |
Increase in cash value of life insurance | -160 | -181 |
Provision for loan losses | 725 | 1,525 |
Gain on sale of securities | -29 | -11 |
Proceeds from sale of mortgage loans | 39,572 | 43,051 |
Mortgage loans originated for sale | -36,732 | -42,706 |
Gain on sale of mortgage loans | -842 | -1,045 |
Decrease in accrued interest receivable | 41 | 44 |
Decrease in accrued interest payable | -98 | -123 |
Net change in other assets/liabilities | 449 | 1,633 |
Net Cash Provided By Operating Activities | 9,823 | 7,358 |
CASH FLOWS FROM INVESTING ACTIVITIES | ' | ' |
Investment in interest-bearing time deposits | -3,025 | -1,400 |
Purchase of securities available for sale | -25,884 | -64,341 |
Proceeds from maturities of securities available for sale | 22,190 | 33,496 |
Proceeds from sales of securities available for sale | 517 | 3,536 |
Principal collected on mortgage-backed obligations | 12,691 | 14,978 |
Net increase in loans receivable | -9,346 | -6,560 |
Proceeds from sale of foreclosed real estate | 351 | 1,041 |
Purchase of premises and equipment | -297 | -762 |
Cost method equity investment | -540 | 0 |
Net Cash Used In Investing Activities | -3,343 | -20,012 |
CASH FLOWS FROM FINANCING ACTIVITIES | ' | ' |
Net increase (decrease) in deposits | -10,513 | 19,969 |
Net increase (decrease) in retail repurchase agreements | -4,782 | 4,967 |
Advances from Federal Home Loan Bank | 5,500 | 0 |
Repayment of advances from Federal Home Loan Bank | -5,100 | -7,250 |
Purchase of treasury stock | -19 | -14 |
Dividends paid | -2,241 | -2,130 |
Net Cash Provided By (Used In) Financing Activities | -17,155 | 15,542 |
Net Increase (Decrease) in Cash and Cash Equivalents | -10,675 | 2,888 |
Cash and cash equivalents at beginning of year | 21,811 | 18,923 |
Cash and Cash Equivalents at End of Year | $11,136 | $21,811 |
SUMMARY_OF_SIGNIFICANT_ACCOUNT
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended | |
Dec. 31, 2013 | ||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' | |
-1 | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Nature of Operations | ||
First Capital, Inc. (the Company) is the savings and loan holding company of First Harrison Bank (the Bank), a wholly-owned subsidiary. The Bank is a federally-chartered savings bank which provides a variety of banking services to individuals and business customers through thirteen locations in southern Indiana. The Bank’s primary source of revenue is real estate mortgage loans. The Bank originates mortgage loans for sale in the secondary market and also sells non-deposit investment products through a financial services division. First Harrison Investments, Inc. and First Harrison Holdings, Inc. are wholly-owned Nevada corporate subsidiaries of the Bank that jointly own First Harrison, LLC, a Nevada limited liability company that holds and manages an investment securities portfolio. First Harrison REIT, Inc. is a wholly-owned subsidiary of First Harrison Holdings, Inc. which holds a portion of the Bank’s real estate mortgage loan portfolio. | ||
The Company has evaluated subsequent events for potential recognition and disclosure through the date the consolidated financial statements were issued. | ||
Basis of Consolidation and Reclassifications | ||
The consolidated financial statements include the accounts of the Company and its subsidiaries and have been prepared in accordance with generally accepted accounting principles in the United States of America and conform to general practices in the banking industry. Intercompany balances and transactions have been eliminated. Certain prior year amounts have been reclassified to conform to the current year presentation. | ||
Statements of Cash Flows | ||
For purposes of the statements of cash flows, the Company has defined cash and cash equivalents as cash on hand, amounts due from banks (including cash items in process of clearing), interest-bearing deposits with other banks with an original maturity of 90 days or less, and federal funds sold. | ||
Use of Estimates | ||
The preparation of financial statements in conformity with generally accepted accounting principles in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. | ||
Material estimates that are particularly susceptible to significant change relate to the determination of the allowance for loan losses and the valuation of real estate acquired in connection with foreclosures or in satisfaction of loans. In connection with the determination of the allowance for loan losses and foreclosed real estate, management obtains independent appraisals for significant properties. | ||
A majority of the Bank’s loan portfolio consists of single-family residential and commercial real estate loans in the southern Indiana area. Accordingly, the ultimate collectability of a substantial portion of the Bank’s loan portfolio and the recovery of the carrying amount of foreclosed real estate are susceptible to changes in local market conditions. | ||
While management uses available information to recognize losses on loans, further reductions in the carrying amounts of loans may be necessary based on changes in local economic conditions. In addition, regulatory agencies, as an integral part of their examination process, periodically review the estimated losses on loans. Such agencies may require the Bank to recognize additional losses based on their judgments about information available to them at the time of their examination. Because of these factors, it is reasonably possible that the estimated losses on loans may change materially in the near term. However, the amount of the change that is reasonably possible cannot be estimated. | ||
Securities Lending and Financing Arrangements | ||
Securities purchased under agreements to resell (reverse repurchase agreements) and securities sold under agreements to repurchase (repurchase agreements) are treated as collateralized lending and borrowing transactions, respectively, and are carried at the amounts at which the securities were initially acquired or sold. | ||
Investment Securities | ||
Securities Available for Sale: Securities available for sale consist primarily of mortgage-backed and other debt securities and are stated at fair value. The Company holds mortgage-backed securities and other debt securities issued by the Government National Mortgage Association (GNMA), a U.S. government agency, and the Federal National Mortgage Association (FNMA), the Federal Home Loan Mortgage Corporation (FHLMC), and the Federal Home Loan Bank (FHLB), government-sponsored enterprises (collectively referred to as government agencies), as well as privately-issued collateralized mortgage obligations (CMOs) and other mortgage-backed securities. Mortgage-backed securities represent participating interests in pools of long-term first mortgage loans originated and serviced by issuers of the securities. CMOs are complex mortgage-backed securities that restructure the cash flows and risks of the underlying mortgage collateral. The Company also holds debt securities issued by municipalities and political subdivisions of state and local governments. Amortization of premiums and accretion of discounts are recognized in interest income using methods approximating the interest method over the period to maturity, adjusted for anticipated prepayments. Unrealized gains and losses, net of tax, on securities available for sale are included in other comprehensive income and the accumulated unrealized holding gains and losses are reported as a separate component of equity until realized. Realized gains and losses on the sale of securities available for sale are determined using the specific identification method and are included in other noninterest income and, when applicable, are reported as a reclassification adjustment, net of tax, in other comprehensive income. | ||
Securities Held to Maturity: Debt securities for which the Company has the positive intent and ability to hold to maturity are reported at cost, adjusted for amortization of premiums and accretion of discounts that are recognized in interest income using methods approximating the interest method over the period to maturity, adjusted for anticipated prepayments. The Company classifies certain mortgage-backed securities as held to maturity. | ||
Declines in the fair value of individual available for sale and held to maturity securities below their amortized cost that are other than temporary result in write-downs of the individual securities to their fair value. The related write-downs are included in earnings as realized losses. In estimating other-than-temporary impairment losses, management considers (1) the length of time and the extent to which the fair value has been less than amortized cost, (2) the financial condition and near-term prospects of the issuer, and (3) the intent and ability of the Bank to retain its investment for a period of time sufficient to allow for any anticipated recovery in fair value. | ||
Investments in non-marketable equity securities such as FHLB stock and companies in which the Company has less than a 20% interest are carried at cost. Dividends received from these investments are included in dividend income, and dividends received in excess of the Company’s proportionate share of accumulated earnings are applied as a reduction of the cost of the investment. Impairment testing on these investments is based on applicable accounting guidance and the cost basis is reduced when impairment is deemed to be other-than-temporary. | ||
Loans and Allowance for Loan Losses | ||
Loans Held for Investment | ||
Loans are stated at unpaid principal balances, less net deferred loan fees and the allowance for loan losses. The Bank grants real estate mortgage, commercial business and consumer loans. A substantial portion of the loan portfolio is represented by mortgage loans to customers in southern Indiana. The ability of the Bank’s customers to honor their contracts is dependent upon the real estate and general economic conditions in this area. | ||
Loan origination and commitment fees, as well as certain direct costs of underwriting and closing loans, are deferred and amortized as a yield adjustment to interest income over the lives of the related loans using the interest method. Amortization of net deferred loan fees is discontinued when a loan is placed on nonaccrual status. | ||
Nonaccrual Loans | ||
The recognition of income on a loan is discontinued and previously accrued interest is reversed, when interest or principal payments become 90 days past due unless, in the opinion of management, the outstanding interest remains collectible. Past due status is determined based on contractual terms. Generally, by applying the cash receipts method, interest income is subsequently recognized only as received until the loan is returned to accrual status. The cash receipts method is used when the likelihood of further loss on the loan is remote. Otherwise, the Company applies the cost recovery method and applies all payments as a reduction of the unpaid principal balance until the loan qualifies for return to accrual status. Interest income on impaired loans is recognized using the cost recovery method, unless the likelihood of further loss on the loan is remote. | ||
A loan is restored to accrual status when all principal and interest payments are brought current and the borrower has demonstrated the ability to make future payments of principal and interest as scheduled, which generally requires that the borrower demonstrate a period of performance of at least six consecutive months. | ||
Impaired Loans | ||
A loan is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record, and the amount of the shortfall in relation to the principal and interest owed. Impairment is measured on a loan-by-loan basis by either the present value of expected future cash flows discounted at the loan’s effective interest rate, the loan’s obtainable market price, or the fair value of the collateral if the loan is collateral dependent. | ||
Values for collateral dependent loans are generally based on appraisals obtained from independent licensed real estate appraisers, with adjustments applied for estimated costs to sell the property, costs to complete unfinished or repair damaged property and other factors. New appraisals are generally obtained for all significant properties when a loan is identified as impaired, and a property is considered significant if the value of the property is estimated to exceed $200,000. Subsequent appraisals are obtained as needed or if management believes there has been a significant change in the market value of the property. In instances where it is not deemed necessary to obtain a new appraisal, management bases its impairment and allowance for loan loss analysis on the original appraisal with adjustments for current conditions based on management’s assessment of market factors and management’s inspection of the property. | ||
Troubled Debt Restructurings | ||
Modification of a loan is considered to be a troubled debt restructuring (TDR) if the debtor is experiencing financial difficulties and the Company grants a concession to the debtor that it would not otherwise consider. By granting the concession, the Company expects to obtain more cash or other value from the debtor, or to increase the probability of receipt, than would be expected by not granting the concession. The concession may include, but is not limited to, reduction of the stated interest rate of the loan, reduction of accrued interest, extension of the maturity date or reduction of the face amount of the debt. A concession will be granted when, as a result of the restructuring, the Company does not expect to collect all amounts due, including interest at the original stated rate. A concession may also be granted if the debtor is not able to access funds elsewhere at a market rate for debt with similar risk characteristics as the restructured debt. The Company’s determination of whether a loan modification is a TDR considers the individual facts and circumstances surrounding each modification. | ||
A TDR can involve loans remaining on nonaccrual, moving to nonaccrual, or continuing on accrual status, depending on the individual facts and circumstances of the borrower. A TDR on nonaccrual status is restored to accrual status when the borrower has demonstrated the ability to make future payments in accordance with the restructured terms, which generally requires that the borrower demonstrate a period of performance of at least six consecutive months in accordance with the restructured terms including consistent and timely payments. | ||
Allowance for Loan Losses | ||
The allowance for loan losses reflects management’s judgment of probable loan losses inherent in the loan portfolio at the balance sheet date. Additions to the allowance for loan losses are made by the provision for loan losses charged to earnings. Loan losses are charged against the allowance when management believes the uncollectibility of a loan balance is confirmed. Subsequent recoveries, if any, are credited to the allowance. | ||
The Company uses a disciplined process and methodology to evaluate the allowance for loan losses on at least a quarterly basis that is based upon management’s periodic review of the collectibility of the loans in light of historical experience, the nature and volume of the loan portfolio, adverse situations that may affect the borrower’s ability to repay, estimated value of any underlying collateral, and prevailing economic conditions. This evaluation is inherently subjective as it requires estimates that are susceptible to significant revision as more information becomes available. | ||
The allowance consists of specific and general components. The specific component relates to loans that are individually evaluated for impairment or loans otherwise classified as doubtful, substandard, or special mention. For such loans that are classified as impaired, an allowance is established when the discounted cash flows (or collateral value or observable market price) of the impaired loan is lower than the carrying value of that loan. | ||
The general component covers non-classified loans and classified loans that are found, upon individual evaluation, to not be impaired. Such loans are pooled by segment and losses are modeled using annualized historical loss experience adjusted for qualitative factors. The historical loss experience is determined by portfolio segment and is based on the actual loss history experienced by the Company over the most recent twelve calendar quarters unless the historical loss experience is not considered indicative of the level of risk in the remaining balance of a particular portfolio segment, in which case an adjustment is determined by management. The Company’s historical loss experience is then adjusted by an overall loss factor weighting adjustment based on a qualitative analysis prepared by management and reviewed on a quarterly basis. The overall loss factor considers changes in underwriting standards, economic conditions, changes and trends in past due and classified loans and other internal and external factors. | ||
Management also applies additional loss factor multiples to loans classified as watch, special mention and substandard that are not individually evaluated for impairment. The loss factor multiples for classified loans are based on management’s assessment of historical trends regarding losses experienced on classified loans in prior periods. See Note 4 for additional discussion of the qualitative factors utilized in management’s allowance for loan losses methodology at December 31, 2013 and 2012. | ||
Management exercises significant judgment in evaluating the relevant historical loss experience and the qualitative factors. Management also monitors the differences between estimated and actual incurred loan losses for loans considered impaired in order to evaluate the effectiveness of the estimation process and make any changes in the methodology as necessary. | ||
The following portfolio segments are considered in the allowance for loan loss analysis: residential real estate, land, construction, commercial real estate, commercial business, home equity and second mortgage, and other consumer loans. | ||
Residential real estate loans primarily consist of loans to individuals for the purchase or refinance of their primary residence, with a smaller portion of the segment secured by non-owner-occupied residential investment properties and multi-family residential investment properties. The risks associated with residential real estate loans are closely correlated to the local housing market and general economic conditions, as repayment of the loans is primarily dependent on the borrowers’ or tenants’ personal cash flow and employment status. | ||
Land loans primarily consist of loans secured by farmland and vacant land held for investment purposes. The risks associated with land loans are related to the market value of the property taken as collateral and the underlying cash flows for loans secured by farmland, and general economic conditions. | ||
The Company’s construction loan portfolio consists of single-family residential properties, multi-family properties and commercial projects, and includes both owner-occupied and speculative investment properties. Risks inherent in construction lending are related to the market value of the property held as collateral, the cost and timing of constructing or improving a property, the borrower’s ability to use funds generated by a project to service a loan until a project is completed, movements in interest rates and the real estate market during the construction phase, and the ability of the borrower to obtain permanent financing. | ||
Commercial real estate loans are comprised of loans secured by various types of collateral including office buildings, warehouses, retail space and mixed use buildings located in the Company’s primary lending area. Risks related to commercial real estate lending are related to the market value of the property taken as collateral, the underlying cash flows and general economic condition of the local real estate market. Repayment of these loans is generally dependent on the ability of the borrower to attract tenants at lease rates that provide for adequate debt service and can be impacted by local economic conditions which impact vacancy rates. The Company generally obtains loan guarantees from financially capable parties for commercial real estate loans. | ||
Commercial business loans includes lines of credit to businesses, term loans and letters of credit secured by business assets such as equipment, accounts receivable, inventory, or other assets excluding real estate and are generally made to finance capital expenditures or fund operations. Commercial loans contain risks related to the value of the collateral securing the loan and the repayment is primarily dependent upon the financial success and viability of the borrower. As with commercial real estate loans, the Company generally obtains loan guarantees from financially capable parties for commercial business loans. | ||
Home equity and second mortgage loans and other consumer loans consist primarily of home equity lines of credit and other loans secured by junior liens on the borrower’s personal residence, home improvement loans, automobile and truck loans, boat loans, mobile home loans, loans secured by savings deposits, credit cards and other personal loans. The risk associated with these loans is related to the local housing market and local economic conditions including the unemployment level. | ||
Loan Charge-Offs | ||
For portfolio segments other than consumer loans, the Company’s practice is to charge-off any loan or portion of a loan when the loan is determined by management to be uncollectible due to the borrower’s failure to meet repayment terms, the borrower’s deteriorating or deteriorated financial condition, the depreciation of the underlying collateral, the loan’s classification as a loss by regulatory examiners, or for other reasons. A partial charge-off is recorded on a loan when the uncollectibility of a portion of the loan has been confirmed, such as when a loan is discharged in bankruptcy, the collateral is liquidated, a loan is restructured at a reduced principal balance, or other identifiable events that lead management to determine the full principal balance of the loan will not be repaid. A specific reserve is recognized as a component of the allowance for estimated losses on loans individually evaluated for impairment. Partial charge-offs on nonperforming and impaired loans are included in the Company’s historical loss experience used to estimate the general component of the allowance for loan losses as discussed above. Specific reserves are not considered charge-offs in management’s evaluation of the general component of the allowance for loan losses because they are estimates and the outcome of the loan relationship is undetermined. | ||
During 2013 and 2012, the Company recognized partial charge-offs totaling $68,000 and $366,000, respectively. At December 31, 2013, the Company had 11 loans with an aggregate recorded investment of $1.4 million on which partial charge-offs of $446,000 had been recorded. | ||
Consumer loans not secured by real estate are typically charged off at 90 days past due, or earlier if deemed uncollectible, unless the loans are in the process of collection. Overdrafts are charged off after 45 days past due. Charge-offs are typically recorded on loans secured by real estate when the property is foreclosed upon. | ||
Foreclosed Real Estate | ||
Foreclosed real estate includes both formally foreclosed property and in-substance foreclosed property held for sale. In-substance foreclosed properties are those properties for which the institution has taken physical possession, regardless of whether formal foreclosure proceedings have taken place. | ||
At the time of foreclosure, foreclosed real estate is recorded at fair value less estimated costs to sell, which becomes the property’s new basis. Any write-downs based on the property’s fair value at the date of acquisition are charged to the allowance for loan losses. After foreclosure, valuations are periodically performed by management and property held for sale is carried at the lower of the new cost basis or fair value less cost to sell. Costs incurred in maintaining foreclosed real estate and subsequent impairment adjustments to the carrying amount of a property, if any, are included in other noninterest expense. | ||
Premises and Equipment | ||
Premises and equipment are stated at cost less accumulated depreciation. The Company uses the straight line method of computing depreciation at rates adequate to amortize the cost of the applicable assets over their estimated useful lives. Maintenance and repairs are expensed as incurred. The cost and related accumulated depreciation of assets sold, or otherwise disposed of, are removed from the related accounts and any gain or loss is included in earnings. | ||
Goodwill and Other Intangibles | ||
Goodwill recognized in a business combination represents the excess of the cost of the acquired entity over the net of the amounts assigned to assets acquired and liabilities assumed. Goodwill is carried at its implied fair value and is evaluated for possible impairment at least annually or more frequently upon the occurrence of an event or change in circumstances that would more likely than not reduce the fair value of the reporting unit below its carrying amount. Such circumstances could include, but are not limited to: (1) a significant adverse change in legal factors or in business climate, (2) unanticipated competition, or (3) an adverse action or assessment by a regulator. If the carrying amount of the goodwill exceeds its implied fair value, an impairment loss is recognized in earnings equal to that excess amount. The loss recognized cannot exceed the carrying amount of goodwill. After a goodwill impairment loss is recognized, the adjusted carrying amount of goodwill is its new accounting basis. | ||
Other intangible assets consist of acquired core deposit intangibles. Core deposit intangibles are amortized over the estimated economic lives of the acquired core deposits. The carrying amount of core deposit intangibles and the remaining estimated economic life are evaluated annually or whenever events or circumstances indicate the carrying amount may not be recoverable or the remaining period of amortization requires revision. After an impairment loss is recognized, the adjusted carrying amount of the intangible asset is its new accounting basis. All core deposit intangibles had been fully amortized as of December 31, 2012. | ||
Mortgage Banking Activities | ||
Mortgage loans originated and intended for sale in the secondary market are carried at the lower of aggregate cost or market value. Aggregate market value is determined based on the quoted prices under a “best efforts” sales agreement with a third party. Net unrealized losses are recognized through a valuation allowance by charges to income. Realized gains on sales of mortgage loans are included in noninterest income. Mortgage loans are sold with servicing released. | ||
Commitments to originate mortgage loans held for sale are considered derivative financial instruments to be accounted for at fair value. The Bank’s mortgage loan commitments subject to derivative accounting are fixed-rate mortgage loan commitments at market rates when initiated. At December 31, 2013, the Bank had commitments to originate $280,000 in fixed-rate mortgage loans intended for sale in the secondary market after the loans are closed. Fair value is estimated based on fees that would be charged on commitments with similar terms. | ||
Cash Surrender Value of Life Insurance | ||
The Bank has purchased life insurance policies on certain directors, officers and key employees to offset costs associated with the Bank’s compensation and benefit programs. Bank-owned life insurance is recorded at the amount that can be realized under the insurance contracts at the balance sheet date, which is the cash surrender value adjusted for other charges or other amounts due that are probable at settlement. | ||
Stock-Based Compensation | ||
The Company has adopted the fair value based method of accounting for stock-based compensation prescribed in Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) Topic 718 for its stock plans. | ||
Advertising Costs | ||
Advertising costs are charged to operations when incurred. | ||
Income Taxes | ||
When income tax returns are filed, it is highly certain that some positions taken would be sustained upon examination by the taxing authorities, while other positions are subject to some degree of uncertainty regarding the merits of the position taken or the amount of the position that would be sustained. The Company recognizes the benefits of a tax position in the consolidated financial statements of the period during which, based on all available evidence, management believes it is more-likely-than-not (more than 50 percent probable) that the tax position would be sustained upon examination. Income tax positions that meet the more-likely-than-not threshold are measured as the largest amount of income tax benefit that is more than 50 percent likely of being realized upon settlement with the applicable taxing authority. The portion of the benefits associated with the income tax positions claimed on income tax returns that exceeds the amount measured as described above is reflected as a liability for unrecognized income tax benefits in the consolidated balance sheet, along with any associated interest and penalties that would be payable to the taxing authorities, if there were an examination. Interest and penalties associated with unrecognized income tax benefits are classified as additional income taxes in the statement of income. | ||
Income taxes are provided for the tax effects of the transactions reported in the financial statements and consist of taxes currently due plus deferred income taxes. Income tax reporting and financial statement reporting rules differ in many respects. As a result, there will often be a difference between the carrying amount of an asset or liability as presented in the accompanying consolidated balance sheets and the amount that would be recognized as the tax basis of the same asset or liability computed based on the effects of tax positions recognized, as described in the preceding paragraph. These differences are referred to as temporary differences because they are expected to reverse in future years. Deferred income tax assets are recognized for temporary differences where their future reversal will result in future tax benefits. Deferred income tax assets are also recognized for the future tax benefits expected to be realized from net operating loss or tax credit carryforwards. Deferred income tax liabilities are recognized for temporary differences where their future reversal will result in the payment of future income taxes. Deferred income tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred income tax assets will not be realized. Deferred tax assets and liabilities are reflected at income tax rates applicable to the period in which the deferred tax assets or liabilities are expected to be realized or settled. As changes in tax laws or rates are enacted, deferred tax assets and liabilities are adjusted through the provision for income taxes. | ||
Earnings per Common Share | ||
Basic earnings per common share is computed by dividing net income available to common shareholders by the weighted average number of shares of common stock outstanding during the periods presented. Diluted earnings per common share include the dilutive effect of additional potential common shares issuable under stock options, restricted stock and other potentially dilutive securities outstanding. Earnings and dividends per share are restated for stock splits and dividends through the date of issuance of the financial statements. | ||
Comprehensive Income | ||
Comprehensive income consists of reported net income and other comprehensive income. Other comprehensive income refers to revenue, expenses, gains and losses that are recorded as an element of equity but are excluded from reported net income. Other comprehensive income includes changes in the unrealized gains and losses on securities available for sale. | ||
Loss Contingencies | ||
Loss contingencies, including claims and legal actions arising in the ordinary course of business, are recorded as liabilities when the likelihood of loss is probable and an amount or range of loss can be reasonably estimated. | ||
Recent Accounting Pronouncements | ||
The following are summaries of recently issued or adopted accounting pronouncements that impact the accounting and reporting practices of the Company: | ||
In December 2011, the FASB issued Accounting Standards Update (ASU) No. 2011-11, Balance Sheet (Topic 210). The update requires an entity to disclose information about offsetting and related arrangements to enable users of the financial statements to understand the effect of netting arrangements on the entity’s financial position. In January 2013, the FASB issued ASU No. 2013-01 to clarify that the scope of ASU No. 2011-11 applies to derivatives accounted for in accordance with Topic 815, including bifurcated embedded derivatives, repurchase agreements and reverse repurchase agreements, and securities borrowing and securities lending transactions that are either offset or subject to an enforceable master netting agreement or similar agreement. The amendments in the updates are effective for annual reporting periods beginning on or after January 1, 2013, and interim periods within those annual periods, with disclosures required by the amendments provided retrospectively for all comparative periods presented. The adoption of these updates did not have a material impact on the Company’s consolidated financial position or results of operations. | ||
In February 2013, the FASB issued ASU No. 2013-02, Comprehensive Income (Topic 220): Reporting of Amounts Reclassified out of Accumulated Other Comprehensive Income. The update does not change the current requirements for reporting net income or other comprehensive income in financial statements. The amendments require an entity to provide information about the amounts reclassified out of accumulated other comprehensive income by component. In addition, an entity is required to present, either on the face of the statement where net income is presented or in the notes, significant amounts reclassified out of accumulated other comprehensive income by the respective line items of net income but only if the amount reclassified is required under U.S. generally accepted accounting principles (U.S. GAAP) to be reclassified to net income in its entirety in the same reporting period. For other amounts that are not required under U.S. GAAP to be reclassified in their entirety to net income, an entity is required to cross-reference to other disclosures required under U.S. GAAP that provide additional detail about those amounts. For public entities, the amendments in the update are effective prospectively for reporting periods beginning after December 15, 2012. Early adoption is permitted. The adoption of this update did not have a material impact on the Company’s financial position or results of operations. | ||
In January 2014, the FASB issued ASU No. 2014-04, Receivables – Troubled Debt Restructurings by Creditors (Subtopic 310-40), Reclassification of Residential Real Estate Collateralized Consumer Mortgage Loans upon Foreclosure. The objective of the amendments in this update is to reduce diversity in practice by clarifying when an in-substance repossession or foreclosure occurs, that is, when a creditor should be considered to have received physical possession of residential real estate property collateralizing a consumer mortgage loan such that the loan receivable should be derecognized and the real estate property recognized. The amendments in the update clarify that an in-substance repossession or foreclosure occurs, and a creditor is considered to have received physical possession of residential real estate property collateralizing a consumer mortgage loan, upon either (1) the creditor obtaining legal title to the residential real estate property upon completion of a foreclosure, or (2) the borrower conveying all interest in the residential real estate property to the creditor to satisfy that loan through completion of a deed in lieu of foreclosure or through a similar legal agreement. Additionally, the amendments require interim and annual disclosure of both (1) the amount of foreclosed residential real estate property held by the creditor, and (2) the recorded investment in consumer mortgage loans collateralized by residential real estate property that are in the process of foreclosure according to local requirements of the applicable jurisdiction. The amendments in the update are effective for public business entities for annual periods, and interim periods within those annual periods, beginning after December 15, 2014. The adoption of this update is not expected to have a material impact on the Bank’s financial position or results of operations. |
RESTRICTION_ON_CASH_AND_DUE_FR
RESTRICTION ON CASH AND DUE FROM BANKS | 12 Months Ended | |
Dec. 31, 2013 | ||
RESTRICTION ON CASH AND DUE FROM BANKS | ' | |
-2 | RESTRICTION ON CASH AND DUE FROM BANKS | |
The Bank is required to maintain reserve balances on hand and with the Federal Reserve Bank which are noninterest bearing and unavailable for investment. The average amount of those reserve balances for the years ended December 31, 2013 and 2012 was approximately $731,000 and $1.1 million, respectively. |
INVESTMENT_SECURITIES
INVESTMENT SECURITIES | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
INVESTMENT SECURITIES | ' | ||||||||||||||||
-3 | INVESTMENT SECURITIES | ||||||||||||||||
Debt and equity securities have been classified in the consolidated balance sheets according to management’s intent. Investment securities at December 31, 2013 and 2012 are summarized as follows: | |||||||||||||||||
(In thousands) | Amortized | Gross | Gross | Fair | |||||||||||||
Cost | Unrealized | Unrealized | Value | ||||||||||||||
Gains | Losses | ||||||||||||||||
December 31, 2013: | |||||||||||||||||
Securities available for sale: | |||||||||||||||||
Agency mortgage-backed securities | $ | 18,408 | $ | 205 | $ | 244 | $ | 18,369 | |||||||||
Agency CMO | 20,486 | 96 | 341 | 20,241 | |||||||||||||
Other debt securities: | |||||||||||||||||
Agency notes and bonds | 31,594 | 49 | 729 | 30,914 | |||||||||||||
Municipal obligations | 36,200 | 778 | 938 | 36,040 | |||||||||||||
Subtotal – debt securities | 106,688 | 1,128 | 2,252 | 105,564 | |||||||||||||
Mutual funds | 3,238 | 0 | 40 | 3,198 | |||||||||||||
Total securities available for sale | $ | 109,926 | $ | 1,128 | $ | 2,292 | $ | 108,762 | |||||||||
Securities held to maturity: | |||||||||||||||||
Agency mortgage-backed securities | $ | 9 | $ | 0 | $ | 0 | $ | 9 | |||||||||
Total securities held to maturity | $ | 9 | $ | 0 | $ | 0 | $ | 9 | |||||||||
December 31, 2012: | |||||||||||||||||
Securities available for sale: | |||||||||||||||||
Agency mortgage-backed securities | $ | 22,762 | $ | 456 | $ | 12 | $ | 23,206 | |||||||||
Agency CMO | 22,458 | 225 | 23 | 22,660 | |||||||||||||
Other debt securities: | |||||||||||||||||
Agency notes and bonds | 38,273 | 290 | 10 | 38,553 | |||||||||||||
Municipal obligations | 32,605 | 1,800 | 88 | 34,317 | |||||||||||||
Subtotal – debt securities | 116,098 | 2,771 | 133 | 118,736 | |||||||||||||
Mutual funds | 4,213 | 40 | 16 | 4,237 | |||||||||||||
Total securities available for sale | $ | 120,311 | $ | 2,811 | $ | 149 | $ | 122,973 | |||||||||
Securities held to maturity: | |||||||||||||||||
Agency mortgage-backed securities | $ | 12 | $ | 0 | $ | 0 | $ | 12 | |||||||||
Total securities held to maturity | $ | 12 | $ | 0 | $ | 0 | $ | 12 | |||||||||
The amortized cost and fair value of debt securities as of December 31, 2013, by contractual maturity, are shown below. Expected maturities of mortgage-backed securities and CMO may differ from contractual maturities because the mortgages underlying the obligations may be prepaid without penalty. | |||||||||||||||||
Securities Available for Sale | Securities Held to Maturity | ||||||||||||||||
Amortized | Fair | Amortized | Fair | ||||||||||||||
Cost | Value | Cost | Value | ||||||||||||||
(In thousands) | |||||||||||||||||
Due in one year or less | $ | 0 | $ | 0 | $ | 0 | $ | 0 | |||||||||
Due after one year through five years | 9,006 | 9,024 | 0 | 0 | |||||||||||||
Due after five years through ten years | 30,698 | 30,525 | 0 | 0 | |||||||||||||
Due after ten years | 28,090 | 27,405 | 0 | 0 | |||||||||||||
67,794 | 66,954 | 0 | 0 | ||||||||||||||
Mortgage-backed securities and CMO | 38,894 | 38,610 | 9 | 9 | |||||||||||||
$ | 106,688 | $ | 105,564 | $ | 9 | $ | 9 | ||||||||||
At December 31, 2013, certain investment securities were pledged under retail repurchase agreements and to secure FHLB advances. (See Notes 9 and 10) | |||||||||||||||||
Information pertaining to investment securities available for sale with gross unrealized losses at December 31, 2013, aggregated by investment category and the length of time that individual investment securities have been in a continuous loss position, follows. At December 31, 2013, the Company did not have any securities held to maturity with an unrealized loss. | |||||||||||||||||
(Dollars in thousands) | Number of | Fair | Gross | ||||||||||||||
Investment | Value | Unrealized | |||||||||||||||
Positions | Losses | ||||||||||||||||
Continuous loss position less than twelve months: | |||||||||||||||||
Agency mortgage-backed securities | 15 | $ | 12,975 | $ | 161 | ||||||||||||
Agency CMO | 14 | 12,577 | 307 | ||||||||||||||
Agency notes and bonds | 21 | 21,952 | 729 | ||||||||||||||
Municipal obligations | 30 | 12,487 | 746 | ||||||||||||||
Mutual fund | 1 | 1,537 | 27 | ||||||||||||||
Total less than twelve months | 81 | 61,528 | 1,970 | ||||||||||||||
Continuous loss position more than twelve months: | |||||||||||||||||
Agency mortgage-backed securities | 2 | 1,788 | 83 | ||||||||||||||
Agency CMO | 1 | 720 | 34 | ||||||||||||||
Municipal obligations | 5 | 2,353 | 192 | ||||||||||||||
Mutual fund | 1 | 400 | 13 | ||||||||||||||
Total more than twelve months | 9 | 5,261 | 322 | ||||||||||||||
Total securities available for sale | 90 | $ | 66,789 | $ | 2,292 | ||||||||||||
Management evaluates securities for other-than-temporary impairment at least quarterly, and more frequently when economic or market concerns warrant such evaluation. Consideration is given to (1) the length of time and the extent to which the fair value has been less than cost, (2) the financial condition and near-term prospects of the issuer, and (3) the intent and ability of the Company to retain its investment in the issuer for a period of time sufficient to allow for any anticipated recovery in fair value. | |||||||||||||||||
At December 31, 2013, the municipal obligations and U.S. government agency debt securities, including agency mortgage-backed securities, agency CMOs, and agency notes and bonds, in a loss position had depreciated approximately 3.5% from the amortized cost basis. All of the U.S. government agency securities and municipal securities are issued by U.S. government agencies, government-sponsored enterprises, or municipal governments, and are secured by first mortgage loans and municipal project revenues. These unrealized losses related principally to current interest rates for similar types of securities. In analyzing an issuer’s financial condition, management considers whether the securities are issued by the federal government, its agencies or other governments, whether downgrades by bond rating agencies have occurred, and the results of reviews of the issuer’s financial condition. As the Company has the ability to hold the U.S. government agency debt securities and municipal securities in an unrealized loss position until maturity, no declines are deemed to be other-than-temporary. | |||||||||||||||||
While management does not anticipate further credit-related impairment losses at December 31, 2013, additional deterioration in market and economic conditions may have an adverse impact on the credit quality in the future. | |||||||||||||||||
During the year ended December 31, 2013, the Company realized gross gains on sales of available for sale municipal obligations and U.S. government agency mortgage-backed securities of $22,000 and $7,000, respectively. During the year ended December 31, 2012, the Company realized gross gains on sales of available for sale U.S. government agency mortgage-backed securities and agency bonds of $35,000 and $2,000, respectively, and gross losses on sales of available for sale privately-issued CMOs and agency CMOs of $18,000 and $8,000, respectively. | |||||||||||||||||
In December 2013, the Company acquired 100,000 shares of common stock in another financial institution, representing approximately 7% of the outstanding common stock of the entity, for a total investment of $540,000. The investment is accounted for using the cost method of accounting and is included in other assets in the consolidated balance sheet. |
LOANS_AND_ALLOWANCE_FOR_LOAN_L
LOANS AND ALLOWANCE FOR LOAN LOSSES | 12 Months Ended | ||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||
LOANS AND ALLOWANCE FOR LOAN LOSSES | ' | ||||||||||||||||||||||||||||||||
-4 | LOANS AND ALLOWANCE FOR LOAN LOSSES | ||||||||||||||||||||||||||||||||
Loans at December 31, 2013 and 2012 consisted of the following: | |||||||||||||||||||||||||||||||||
(In thousands) | 2012 | 2011 | |||||||||||||||||||||||||||||||
Real estate mortgage loans: | |||||||||||||||||||||||||||||||||
Residential | $ | 107,029 | $ | 108,097 | |||||||||||||||||||||||||||||
Land | 10,309 | 9,607 | |||||||||||||||||||||||||||||||
Residential construction | 14,423 | 12,753 | |||||||||||||||||||||||||||||||
Commercial real estate | 76,496 | 68,731 | |||||||||||||||||||||||||||||||
Commercial real estate construction | 1,715 | 3,299 | |||||||||||||||||||||||||||||||
Commercial business loans | 21,956 | 18,612 | |||||||||||||||||||||||||||||||
Consumer loans: | |||||||||||||||||||||||||||||||||
Home equity and second mortgage loans | 34,815 | 36,962 | |||||||||||||||||||||||||||||||
Automobile loans | 23,983 | 21,922 | |||||||||||||||||||||||||||||||
Loans secured by savings accounts | 1,138 | 770 | |||||||||||||||||||||||||||||||
Unsecured loans | 3,541 | 3,191 | |||||||||||||||||||||||||||||||
Other consumer loans | 4,824 | 5,303 | |||||||||||||||||||||||||||||||
Gross loans | 300,229 | 289,247 | |||||||||||||||||||||||||||||||
Less undisbursed portion of loans in process | (7,142 | ) | (4,306 | ) | |||||||||||||||||||||||||||||
Principal loan balance | 293,087 | 284,941 | |||||||||||||||||||||||||||||||
Deferred loan origination fees, net | 341 | 202 | |||||||||||||||||||||||||||||||
Allowance for loan losses | (4,922 | ) | (4,736 | ) | |||||||||||||||||||||||||||||
Loans, net | $ | 288,506 | $ | 280,407 | |||||||||||||||||||||||||||||
At December 31, 2013, residential mortgage loans secured by residential properties without private mortgage insurance or government guarantee and with loan-to-value ratios exceeding 90% amounted to approximately $3.1 million. | |||||||||||||||||||||||||||||||||
Mortgage loans serviced for the benefit of others amounted to $200,000 and $210,000 at December 31, 2013 and 2012, respectively. | |||||||||||||||||||||||||||||||||
The Bank has entered into loan transactions with certain directors, officers and their affiliates (i.e., related parties). In the opinion of management, such indebtedness was incurred in the ordinary course of business on substantially the same terms, including interest rate and collateral, as those prevailing at the time for comparable transactions with unrelated persons. | |||||||||||||||||||||||||||||||||
The following table represents the aggregate activity for related party loans during the year ended December 31, 2013. The beginning balance has been adjusted to reflect new directors and officers, as well as directors and officers that are no longer with the Company. | |||||||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||||||
Beginning balance, as adjusted | $ | 6,084 | |||||||||||||||||||||||||||||||
New loans | 7,427 | ||||||||||||||||||||||||||||||||
Payments | (6,962 | ) | |||||||||||||||||||||||||||||||
Ending balance | $ | 6,549 | |||||||||||||||||||||||||||||||
A director of the Bank is a shareholder of a farm implement dealership that contracts with the Bank to provide sales financing to the dealership’s customers. In the opinion of management, these transactions were made in the ordinary course of business on substantially the same terms, including interest rate and collateral, as those prevailing at the time for comparable transactions with unrelated parties. During the year ended December 31, 2013, the Bank purchased $574,000 of loans to customers of the corporation and the aggregate outstanding balance of all loans purchased from the corporation was approximately $951,000 and $1.0 million at December 31, 2013 and 2012, respectively. | |||||||||||||||||||||||||||||||||
The following table provides the components of the Company’s recorded investment in loans at December 31, 2013 and 2012: | |||||||||||||||||||||||||||||||||
Residential | Land | Construction | Commercial | Commercial | Home | Other | Total | ||||||||||||||||||||||||||
Real Estate | Real Estate | Business | Equity and | Consumer | |||||||||||||||||||||||||||||
Second | |||||||||||||||||||||||||||||||||
Mortgage | |||||||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||||||
December 31, 2013: | |||||||||||||||||||||||||||||||||
Principal loan balance | $ | 107,029 | $ | 10,309 | $ | 8,996 | $ | 76,496 | $ | 21,956 | $ | 34,815 | $ | 33,486 | $ | 293,087 | |||||||||||||||||
Accrued interest receivable | 427 | 49 | 22 | 202 | 56 | 126 | 168 | 1,050 | |||||||||||||||||||||||||
Net deferred loan origination fees and costs | 52 | 2 | 0 | (32 | ) | (9 | ) | 328 | 0 | 341 | |||||||||||||||||||||||
Recorded investment in loans | $ | 107,508 | $ | 10,360 | $ | 9,018 | $ | 76,666 | $ | 22,003 | $ | 35,269 | $ | 33,654 | $ | 294,478 | |||||||||||||||||
December 31, 2012: | |||||||||||||||||||||||||||||||||
Principal loan balance | $ | 108,097 | $ | 9,607 | $ | 11,746 | $ | 68,731 | $ | 18,612 | $ | 36,962 | $ | 31,186 | $ | 284,941 | |||||||||||||||||
Accrued interest receivable | 444 | 48 | 29 | 188 | 53 | 147 | 184 | 1,093 | |||||||||||||||||||||||||
Net deferred loan origination fees and costs | 62 | 2 | (12 | ) | (17 | ) | (10 | ) | 177 | 0 | 202 | ||||||||||||||||||||||
Recorded investment in loans | $ | 108,603 | $ | 9,657 | $ | 11,763 | $ | 68,902 | $ | 18,655 | $ | 37,286 | $ | 31,370 | $ | 286,236 | |||||||||||||||||
An analysis of the allowance for loan losses and recorded investment in loans as of and for the year ended December 31, 2013 is as follows: | |||||||||||||||||||||||||||||||||
Residential | Land | Construction | Commercial | Commercial | Home | Other | Total | ||||||||||||||||||||||||||
Real Estate | Real Estate | Business | Equity and | Consumer | |||||||||||||||||||||||||||||
Second | |||||||||||||||||||||||||||||||||
Mortgage | |||||||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||||||
Allowance for Loan Losses: | |||||||||||||||||||||||||||||||||
Beginning balance | $ | 922 | $ | 71 | $ | 0 | $ | 1,310 | $ | 1,223 | $ | 919 | $ | 291 | $ | 4,736 | |||||||||||||||||
Provisions | 182 | 83 | 63 | 47 | 169 | 4 | 177 | 725 | |||||||||||||||||||||||||
Charge-offs | (353 | ) | (2 | ) | 0 | (90 | ) | (20 | ) | (90 | ) | (337 | ) | (892 | ) | ||||||||||||||||||
Recoveries | 60 | 0 | 0 | 17 | 74 | 44 | 158 | 353 | |||||||||||||||||||||||||
Ending balance | $ | 811 | $ | 152 | $ | 63 | $ | 1,284 | $ | 1,446 | $ | 877 | $ | 289 | $ | 4,922 | |||||||||||||||||
Ending allowance balance attributable to loans: | |||||||||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 112 | $ | 0 | $ | 0 | $ | 145 | $ | 1,259 | $ | 13 | $ | 0 | $ | 1,529 | |||||||||||||||||
Collectively evaluated for impairment | 699 | 152 | 63 | 1,139 | 187 | 864 | 289 | 3,393 | |||||||||||||||||||||||||
Ending balance | $ | 811 | $ | 152 | $ | 63 | $ | 1,284 | $ | 1,446 | $ | 877 | $ | 289 | $ | 4,922 | |||||||||||||||||
Recorded Investment in Loans: | |||||||||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 2,040 | $ | 120 | $ | 0 | $ | 2,586 | $ | 1,898 | $ | 276 | $ | 0 | $ | 6,920 | |||||||||||||||||
Collectively evaluated for impairment | 105,468 | 10,240 | 9,018 | 74,080 | 20,105 | 34,993 | 33,654 | 287,558 | |||||||||||||||||||||||||
Ending balance | $ | 107,508 | $ | 10,360 | $ | 9,018 | $ | 76,666 | $ | 22,003 | $ | 35,269 | $ | 33,654 | $ | 294,478 | |||||||||||||||||
An analysis of the allowance for loan losses and recorded investment in loans as of and for the year ended December 31, 2012 is as follows: | |||||||||||||||||||||||||||||||||
Residential | Land | Construction | Commercial | Commercial | Home | Other | Total | ||||||||||||||||||||||||||
Real Estate | Real Estate | Business | Equity and | Consumer | |||||||||||||||||||||||||||||
Second | |||||||||||||||||||||||||||||||||
Mortgage | |||||||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||||||
Allowance for Loan Losses: | |||||||||||||||||||||||||||||||||
Beginning balance | $ | 828 | $ | 93 | $ | 33 | $ | 1,269 | $ | 1,160 | $ | 400 | $ | 399 | $ | 4,182 | |||||||||||||||||
Provisions | 496 | (19 | ) | (33 | ) | 145 | 70 | 834 | 32 | 1,525 | |||||||||||||||||||||||
Charge-offs | (418 | ) | (4 | ) | 0 | (104 | ) | (17 | ) | (342 | ) | (313 | ) | (1,198 | ) | ||||||||||||||||||
Recoveries | 16 | 1 | 0 | 0 | 10 | 27 | 173 | 227 | |||||||||||||||||||||||||
Ending balance | $ | 922 | $ | 71 | $ | 0 | $ | 1,310 | $ | 1,223 | $ | 919 | $ | 291 | $ | 4,736 | |||||||||||||||||
Ending allowance balance attributable to loans: | |||||||||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 213 | $ | 0 | $ | 0 | $ | 275 | $ | 1,098 | $ | 66 | $ | 0 | $ | 1,652 | |||||||||||||||||
Collectively evaluated for impairment | 709 | 71 | 0 | 1,035 | 125 | 853 | 291 | 3,084 | |||||||||||||||||||||||||
Ending balance | $ | 922 | $ | 71 | $ | 0 | $ | 1,310 | $ | 1,223 | $ | 919 | $ | 291 | $ | 4,736 | |||||||||||||||||
Recorded Investment in Loans: | |||||||||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 2,591 | $ | 125 | $ | 403 | $ | 2,836 | $ | 1,776 | $ | 73 | $ | 0 | $ | 7,804 | |||||||||||||||||
Collectively evaluated for impairment | 106,012 | 9,532 | 11,360 | 66,066 | 16,879 | 37,213 | 31,370 | 278,432 | |||||||||||||||||||||||||
Ending balance | $ | 108,603 | $ | 9,657 | $ | 11,763 | $ | 68,902 | $ | 18,655 | $ | 37,286 | $ | 31,370 | $ | 286,236 | |||||||||||||||||
At December 31, 2013, management adjusted the qualitative factors for the commercial real estate, commercial business, vacant land, and home equity and second mortgage portfolio segments which increased the estimated allowance for loan losses related to those portfolio segments by approximately $1.1 million. These changes were made to better reflect management’s analysis of inherent losses in these portfolio segments at December 31, 2013. | |||||||||||||||||||||||||||||||||
At December 31, 2013 and 2012, for each loan portfolio segment management applied an overall qualitative factor of 1.18 and 1.15, respectively, to the Company’s historical loss factors. The overall qualitative factor is derived from management’s analysis of changes and trends in the following qualitative factors: | |||||||||||||||||||||||||||||||||
• | Underwriting Standards – Management reviews the findings of periodic internal audit loan reviews, independent outsourced loan reviews and loan reviews performed by the banking regulators to evaluate the risk associated with changes in underwriting standards. At December 31, 2013 and 2012, management assessed the risk associated with this component as neutral, requiring no adjustment to the historical loss factors. | ||||||||||||||||||||||||||||||||
• | Economic Conditions – Management analyzes trends in housing and unemployment data in the Harrison, Floyd and Clark counties of Indiana, the Company’s primary market area, to evaluate the risk associated with economic conditions. Due to a decrease in new home construction and an increase in unemployment in the Company’s primary market area, management assigned a risk factor of 1.20 for this component at December 31, 2013 and 2012. | ||||||||||||||||||||||||||||||||
• | Past Due Loans – Management analyzes trends in past due loans for the Company to evaluate the risk associated with delinquent loans. In general, past due loan ratios have remained at elevated levels compared to historical amounts since 2007, and management assigned a risk factor of 1.20 for this component at December 31, 2013 and 2012. | ||||||||||||||||||||||||||||||||
• | Other Internal and External Factors – This component includes management’s consideration of other qualitative factors such as loan portfolio composition. The Company has focused on the origination of commercial business and real estate loans in an effort to convert the Company’s balance sheet from that of a traditional thrift institution to a commercial bank. In addition, the Company has increased its investment in mortgage loans in which it does not hold a first lien position. Commercial loans and second mortgage loans generally entail greater credit risk than residential mortgage loans secured by a first lien. As a result of changes in the loan portfolio composition and other factors, management assigned a risk factor of 1.30 and 1.20 for this component at December 31, 2013 and 2012, respectively. | ||||||||||||||||||||||||||||||||
Each of the four factors above was assigned an equal weight to arrive at an average for the overall qualitative factor of 1.18 at December 31, 2013 and 1.15 at December 31, 2012. The effect of the overall qualitative factor was to increase the estimated allowance for loan losses by $471,000 and $419,000 at December 31, 2013 and 2012, respectively. | |||||||||||||||||||||||||||||||||
Management also adjusts the historical loss factors for loans classified as watch, special mention and substandard that are not individually evaluated for impairment. The adjustments consider the increased likelihood of loss on classified loans based on the Company’s separate historical experience for classified loans. The effect of the adjustments for classified loans was to increase the estimated allowance for loan losses by $521,000 and $664,000 at December 31, 2013 and 2012, respectively. | |||||||||||||||||||||||||||||||||
The following table summarizes the Company’s impaired loans as of and for the year ended December 31, 2013: | |||||||||||||||||||||||||||||||||
Unpaid | Average | Interest | Interest | ||||||||||||||||||||||||||||||
Recorded | Principal | Related | Recorded | Income | Recognized – | ||||||||||||||||||||||||||||
Investment | Balance | Allowance | Investment | Recognized | Cash Method | ||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||||||
Loans with no related allowance recorded: | |||||||||||||||||||||||||||||||||
Residential real estate | $ | 1,591 | $ | 1,869 | $ | 0 | $ | 1,508 | $ | 32 | $ | 22 | |||||||||||||||||||||
Land | 120 | 131 | 0 | 124 | 0 | 0 | |||||||||||||||||||||||||||
Construction | 0 | 0 | 0 | 173 | 0 | 0 | |||||||||||||||||||||||||||
Commercial real estate | 1,637 | 1,643 | 0 | 1,410 | 63 | 47 | |||||||||||||||||||||||||||
Commercial business | 189 | 209 | 0 | 38 | 4 | 3 | |||||||||||||||||||||||||||
Home equity and second mortgage | 254 | 268 | 0 | 164 | 5 | 4 | |||||||||||||||||||||||||||
Other consumer | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||||||||||||
3,791 | 4,120 | 0 | 3,417 | 104 | 76 | ||||||||||||||||||||||||||||
Loans with an allowance recorded: | |||||||||||||||||||||||||||||||||
Residential real estate | 449 | 487 | 112 | 624 | 2 | 1 | |||||||||||||||||||||||||||
Land | 0 | 0 | 0 | 1 | 0 | 0 | |||||||||||||||||||||||||||
Construction | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||||||||||||
Commercial real estate | 949 | 1,048 | 145 | 1,108 | 0 | 0 | |||||||||||||||||||||||||||
Commercial business | 1,709 | 1,909 | 1,259 | 1,801 | 0 | 0 | |||||||||||||||||||||||||||
Home equity and second mortgage | 22 | 22 | 13 | 47 | 0 | 0 | |||||||||||||||||||||||||||
Other consumer | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||||||||||||
3,129 | 3,466 | 1,529 | 3,581 | 2 | 1 | ||||||||||||||||||||||||||||
Total: | |||||||||||||||||||||||||||||||||
Residential real estate | 2,040 | 2,356 | 112 | 2,132 | 34 | 23 | |||||||||||||||||||||||||||
Land | 120 | 131 | 0 | 125 | 0 | 0 | |||||||||||||||||||||||||||
Construction | 0 | 0 | 0 | 173 | 0 | 0 | |||||||||||||||||||||||||||
Commercial real estate | 2,586 | 2,691 | 145 | 2,518 | 63 | 47 | |||||||||||||||||||||||||||
Commercial business | 1,898 | 2,118 | 1,259 | 1,839 | 4 | 3 | |||||||||||||||||||||||||||
Home equity and second mortgage | 276 | 290 | 13 | 211 | 5 | 4 | |||||||||||||||||||||||||||
Other consumer | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||||||||||||
$ | 6,920 | $ | 7,586 | $ | 1,529 | $ | 6,998 | $ | 106 | $ | 77 | ||||||||||||||||||||||
The following table summarizes the Company’s impaired loans as of and for the year ended December 31, 2012: | |||||||||||||||||||||||||||||||||
Unpaid | Average | Interest | Interest | ||||||||||||||||||||||||||||||
Recorded | Principal | Related | Recorded | Income | Recognized – | ||||||||||||||||||||||||||||
Investment | Balance | Allowance | Investment | Recognized | Cash Method | ||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||||||
Loans with no related allowance recorded: | |||||||||||||||||||||||||||||||||
Residential real estate | $ | 1,648 | $ | 1,981 | $ | 0 | $ | 1,450 | $ | 21 | $ | 10 | |||||||||||||||||||||
Land | 125 | 126 | 0 | 125 | 6 | 9 | |||||||||||||||||||||||||||
Construction | 403 | 413 | 0 | 315 | 0 | 0 | |||||||||||||||||||||||||||
Commercial real estate | 1,535 | 1,944 | 0 | 1,292 | 0 | 1 | |||||||||||||||||||||||||||
Commercial business | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||||||||||||
Home equity and second mortgage | 0 | 0 | 0 | 53 | 2 | 2 | |||||||||||||||||||||||||||
Other consumer | 0 | 0 | 0 | 0 | 1 | 0 | |||||||||||||||||||||||||||
3,711 | 4,464 | 0 | 3,235 | 30 | 22 | ||||||||||||||||||||||||||||
Loans with an allowance recorded: | |||||||||||||||||||||||||||||||||
Residential real estate | 943 | 1,020 | 213 | 1,110 | 7 | 6 | |||||||||||||||||||||||||||
Land | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||||||||||||
Construction | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||||||||||||
Commercial real estate | 1,301 | 1,394 | 275 | 1,542 | 0 | 0 | |||||||||||||||||||||||||||
Commercial business | 1,776 | 1,909 | 1,098 | 1,857 | 0 | 0 | |||||||||||||||||||||||||||
Home equity and second mortgage | 73 | 73 | 66 | 103 | 0 | 0 | |||||||||||||||||||||||||||
Other consumer | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||||||||||||
4,093 | 4,396 | 1,652 | 4,612 | 7 | 6 | ||||||||||||||||||||||||||||
Total: | |||||||||||||||||||||||||||||||||
Residential real estate | 2,591 | 3,001 | 213 | 2,560 | 28 | 16 | |||||||||||||||||||||||||||
Land | 125 | 126 | 0 | 125 | 6 | 9 | |||||||||||||||||||||||||||
Construction | 403 | 413 | 0 | 315 | 0 | 0 | |||||||||||||||||||||||||||
Commercial real estate | 2,836 | 3,338 | 275 | 2,834 | 0 | 1 | |||||||||||||||||||||||||||
Commercial business | 1,776 | 1,909 | 1,098 | 1,857 | 0 | 0 | |||||||||||||||||||||||||||
Home equity and second mortgage | 73 | 73 | 66 | 156 | 2 | 2 | |||||||||||||||||||||||||||
Other consumer | 0 | 0 | 0 | 0 | 1 | 0 | |||||||||||||||||||||||||||
$ | 7,804 | $ | 8,860 | $ | 1,652 | $ | 7,847 | $ | 37 | $ | 28 | ||||||||||||||||||||||
Nonperforming loans consists of nonaccrual loans and loans over 90 days past due and still accruing interest. The following table presents the recorded investment in nonperforming loans at December 31, 2013 and 2012: | |||||||||||||||||||||||||||||||||
December 31, 2013 | December 31, 2012 | ||||||||||||||||||||||||||||||||
Nonaccrual | Loans 90+ | Total | Nonaccrual | Loans 90+ | Total | ||||||||||||||||||||||||||||
Loans | Days | Nonperforming | Loans | Days | Nonperforming | ||||||||||||||||||||||||||||
Past Due | Loans | Past Due | Loans | ||||||||||||||||||||||||||||||
Still Accruing | Still Accruing | ||||||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||||||
Residential real estate | $ | 1,533 | $ | 180 | $ | 1,713 | $ | 2,370 | $ | 215 | $ | 2,585 | |||||||||||||||||||||
Land | 120 | 0 | 120 | 125 | 0 | 125 | |||||||||||||||||||||||||||
Construction | 0 | 0 | 0 | 403 | 0 | 403 | |||||||||||||||||||||||||||
Commercial real estate | 1,456 | 0 | 1,456 | 2,836 | 0 | 2,836 | |||||||||||||||||||||||||||
Commercial business | 1,898 | 0 | 1,898 | 1,776 | 0 | 1,776 | |||||||||||||||||||||||||||
Home equity and second mortgage | 252 | 39 | 291 | 73 | 56 | 129 | |||||||||||||||||||||||||||
Other consumer | 0 | 8 | 8 | 0 | 18 | 18 | |||||||||||||||||||||||||||
Total | $ | 5,259 | $ | 227 | $ | 5,486 | $ | 7,583 | $ | 289 | $ | 7,872 | |||||||||||||||||||||
The following table presents the aging of the recorded investment in loans at December 31, 2013: | |||||||||||||||||||||||||||||||||
30-59 | 60-89 | Over 90 | Total | Current | Total | ||||||||||||||||||||||||||||
Days | Days | Days | Past Due | Loans | |||||||||||||||||||||||||||||
Past Due | Past Due | Past Due | |||||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||||||
Residential real estate | $ | 3,160 | $ | 830 | $ | 701 | $ | 4,691 | $ | 102,817 | $ | 107,508 | |||||||||||||||||||||
Land | 162 | 109 | 12 | 283 | 10,077 | 10,360 | |||||||||||||||||||||||||||
Construction | 0 | 0 | 0 | 0 | 9,018 | 9,018 | |||||||||||||||||||||||||||
Commercial real estate | 231 | 500 | 49 | 780 | 75,886 | 76,666 | |||||||||||||||||||||||||||
Commercial business | 0 | 0 | 189 | 189 | 21,814 | 22,003 | |||||||||||||||||||||||||||
Home equity and second mortgage | 411 | 24 | 132 | 567 | 34,702 | 35,269 | |||||||||||||||||||||||||||
Other consumer | 296 | 34 | 8 | 338 | 33,316 | 33,654 | |||||||||||||||||||||||||||
Total | $ | 4,260 | $ | 1,497 | $ | 1,091 | $ | 6,848 | $ | 287,630 | $ | 294,478 | |||||||||||||||||||||
The following table presents the aging of the recorded investment in loans at December 31, 2012: | |||||||||||||||||||||||||||||||||
30-59 | 60-89 | Over 90 | Total | Current | Total | ||||||||||||||||||||||||||||
Days | Days | Days | Past Due | Loans | |||||||||||||||||||||||||||||
Past Due | Past Due | Past Due | |||||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||||||
Residential real estate | $ | 4,085 | $ | 871 | $ | 1,644 | $ | 6,600 | $ | 102,003 | $ | 108,603 | |||||||||||||||||||||
Land | 343 | 0 | 119 | 462 | 9,195 | 9,657 | |||||||||||||||||||||||||||
Construction | 171 | 0 | 113 | 284 | 11,479 | 11,763 | |||||||||||||||||||||||||||
Commercial real estate | 360 | 0 | 335 | 695 | 68,207 | 68,902 | |||||||||||||||||||||||||||
Commercial business | 36 | 0 | 0 | 36 | 18,619 | 18,655 | |||||||||||||||||||||||||||
Home equity and second mortgage | 1,206 | 102 | 97 | 1,405 | 35,881 | 37,286 | |||||||||||||||||||||||||||
Other consumer | 510 | 30 | 18 | 558 | 30,812 | 31,370 | |||||||||||||||||||||||||||
Total | $ | 6,711 | $ | 1,003 | $ | 2,326 | $ | 10,040 | $ | 276,196 | $ | 286,236 | |||||||||||||||||||||
The Company categorizes loans into risk categories based on relevant information about the ability of borrowers to service their debt such as: current financial information, public information, historical payment experience, credit documentation, and current economic trends, among other factors. The Company classifies loans based on credit risk at least quarterly. The Company uses the following regulatory definitions for risk ratings: | |||||||||||||||||||||||||||||||||
Special Mention: Loans classified as special mention have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the Company’s credit position at some future date. | |||||||||||||||||||||||||||||||||
Substandard: Loans classified as substandard are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans so classified have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the Company will sustain some loss if the deficiencies are not corrected. | |||||||||||||||||||||||||||||||||
Doubtful: Loans classified as doubtful have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. | |||||||||||||||||||||||||||||||||
Loss: Loans classified as loss are considered uncollectible and of such little value that their continuance on the Company’s books as an asset, without establishment of a specific valuation allowance or charge-off, is not warranted. | |||||||||||||||||||||||||||||||||
Loans not meeting the criteria above that are analyzed individually as part of the above described process are considered to be pass rated loans. | |||||||||||||||||||||||||||||||||
The following table presents the recorded investment in loans by risk category as of the date indicated: | |||||||||||||||||||||||||||||||||
Residential | Land | Construction | Commercial | Commercial | Home | Other | Total | ||||||||||||||||||||||||||
Real Estate | Real Estate | Business | Equity and | Consumer | |||||||||||||||||||||||||||||
Second | |||||||||||||||||||||||||||||||||
Mortgage | |||||||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||||||
December 31, 2013: | |||||||||||||||||||||||||||||||||
Pass | $ | 103,594 | $ | 7,096 | $ | 9,018 | $ | 71,893 | $ | 19,328 | $ | 34,693 | $ | 33,627 | $ | 279,249 | |||||||||||||||||
Special mention | 756 | 0 | 0 | 2,627 | 458 | 198 | 27 | 4,066 | |||||||||||||||||||||||||
Substandard | 1,625 | 3,144 | 0 | 690 | 319 | 126 | 0 | 5,904 | |||||||||||||||||||||||||
Doubtful | 1,533 | 120 | 0 | 1,456 | 1,898 | 252 | 0 | 5,259 | |||||||||||||||||||||||||
Loss | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||||||||||
Total | $ | 107,508 | $ | 10,360 | $ | 9,018 | $ | 76,666 | $ | 22,003 | $ | 35,269 | $ | 33,654 | $ | 294,478 | |||||||||||||||||
December 31, 2012: | |||||||||||||||||||||||||||||||||
Pass | $ | 102,618 | $ | 7,220 | $ | 11,244 | $ | 63,095 | $ | 15,026 | $ | 36,035 | $ | 31,302 | $ | 266,540 | |||||||||||||||||
Special mention | 958 | 17 | 116 | 1,018 | 1,354 | 553 | 25 | 4,041 | |||||||||||||||||||||||||
Substandard | 2,657 | 2,295 | 0 | 1,953 | 499 | 625 | 43 | 8,072 | |||||||||||||||||||||||||
Doubtful | 2,370 | 125 | 403 | 2,836 | 1,776 | 73 | 0 | 7,583 | |||||||||||||||||||||||||
Loss | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||||||||||
Total | $ | 108,603 | $ | 9,657 | $ | 11,763 | $ | 68,902 | $ | 18,655 | $ | 37,286 | $ | 31,370 | $ | 286,236 | |||||||||||||||||
The following table summarizes the Company’s TDRs by accrual status as of December 31, 2013 and 2012: | |||||||||||||||||||||||||||||||||
December 31, 2013 | December 31, 2012 | ||||||||||||||||||||||||||||||||
Accruing | Nonaccrual | Total | Related | Accruing | Nonaccrual | Total | Related | ||||||||||||||||||||||||||
Allowance | Allowance | ||||||||||||||||||||||||||||||||
for Loan | for Loan | ||||||||||||||||||||||||||||||||
Losses | Losses | ||||||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||||||
Residential real estate | $ | 508 | $ | 226 | $ | 734 | $ | 45 | $ | 180 | $ | 588 | $ | 768 | $ | 87 | |||||||||||||||||
Construction | 0 | 0 | 0 | 0 | 0 | 170 | 170 | 0 | |||||||||||||||||||||||||
Commercial real estate | 1,130 | 0 | 1,130 | 0 | 0 | 1,534 | 1,534 | 83 | |||||||||||||||||||||||||
Commercial business | 0 | 1,709 | 1,709 | 1,259 | 0 | 1,776 | 1,776 | 1,098 | |||||||||||||||||||||||||
Home equity and second mortgage | 24 | 0 | 24 | 0 | 41 | 31 | 72 | 25 | |||||||||||||||||||||||||
Total | $ | 1,662 | $ | 1,935 | $ | 3,597 | $ | 1,304 | $ | 221 | $ | 4,099 | $ | 4,320 | $ | 1,293 | |||||||||||||||||
At December 31, 2013 and 2012, there were no commitments to lend additional funds to debtors whose loan terms have been modified in a TDR. | |||||||||||||||||||||||||||||||||
The following table summarizes information in regard to TDRs that were restructured during the year ended December 31, 2013: | |||||||||||||||||||||||||||||||||
Number of | Pre- | Post- | |||||||||||||||||||||||||||||||
Contracts | Modification | Modification | |||||||||||||||||||||||||||||||
Outstanding | Outstanding | ||||||||||||||||||||||||||||||||
Balance | Balance | ||||||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||||||
Residential real estate | 5 | $ | 310 | $ | 310 | ||||||||||||||||||||||||||||
Total | 5 | $ | 310 | $ | 310 | ||||||||||||||||||||||||||||
For the TDRs listed above, the terms of modification included reduction of the stated interest rate and the extension of the maturity date. There were no principal charge-offs recorded as a result of TDRs during 2013 and there was no specific allowance for loan losses related to TDRs modified during 2013 at December 31, 2013. | |||||||||||||||||||||||||||||||||
The following table summarizes information in regard to TDRs that were restructured during the year ended December 31, 2012: | |||||||||||||||||||||||||||||||||
Number of | Pre- | Post- | |||||||||||||||||||||||||||||||
Contracts | Modification | Modification | |||||||||||||||||||||||||||||||
Outstanding | Outstanding | ||||||||||||||||||||||||||||||||
Balance | Balance | ||||||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||||||
Residential real estate | 3 | $ | 270 | $ | 270 | ||||||||||||||||||||||||||||
Home equity and second mortgage | 2 | 65 | 65 | ||||||||||||||||||||||||||||||
Total | 5 | $ | 335 | $ | 335 | ||||||||||||||||||||||||||||
For the TDRs listed above, the terms of modification included reduction of the stated interest rate, a decrease in the monthly payment amount and the extension of the maturity date. There were no principal charge-offs recorded as a result of TDRs during 2012 and the specific allowance for loan losses related to TDRs modified during 2012 was $73,000 at December 31, 2012. | |||||||||||||||||||||||||||||||||
There were no TDRs modified within the previous 12 months for which there was a subsequent payment default (defined as the loan becoming more than 90 days past due, being moved to nonaccrual status, or the collateral being foreclosed upon) during the years ended December 31, 2013 and 2012. In the event that a TDR subsequently defaults, the Company evaluates the restructuring for possible impairment. As a result, the related allowance for loan losses may be increased or charge-offs may be taken to reduce the carrying amount of the loan. |
PREMISES_AND_EQUIPMENT
PREMISES AND EQUIPMENT | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
PREMISES AND EQUIPMENT | ' | ||||||||
-5 | PREMISES AND EQUIPMENT | ||||||||
Premises and equipment as of December 31 consisted of the following: | |||||||||
(In thousands) | 2013 | 2012 | |||||||
Land and land improvements | $ | 3,256 | $ | 3,256 | |||||
Leasehold improvements | 56 | 56 | |||||||
Office buildings | 10,391 | 10,324 | |||||||
Furniture, fixtures and equipment | 4,620 | 4,550 | |||||||
18,323 | 18,186 | ||||||||
Less accumulated depreciation | 7,976 | 7,429 | |||||||
Totals | $ | 10,347 | $ | 10,757 | |||||
Depreciation expense was $707,000 and $726,000 for the years ended December 31, 2013 and 2012, respectively. |
FORECLOSED_REAL_ESTATE
FORECLOSED REAL ESTATE | 12 Months Ended | |
Dec. 31, 2013 | ||
FORECLOSED REAL ESTATE | ' | |
-6 | FORECLOSED REAL ESTATE | |
At December 31, 2013 and 2012, the Bank had foreclosed real estate held for sale of $466,000 and $295,000, respectively. During the years ended December 31, 2013 and 2012, foreclosure losses in the amount of $354,000 and $506,000, respectively, were charged off to the allowance for loan losses. Losses on subsequent write-downs of foreclosed real estate were $20,000 for 2013. There were no losses on subsequent write-downs of foreclosed real estate for 2012. Net realized losses from the sale of foreclosed real estate amounted to $31,000 and $68,000 for the years ended December 31, 2013 and 2012, respectively. The net gain or loss on foreclosed real estate is reported in other noninterest expense. Real estate taxes and other expenses of holding foreclosed real estate are included in other noninterest expenses and amounted to $84,000 and $104,000 in 2013 and 2012, respectively. Realized gains from the sale of foreclosed real estate are deferred when the sales are financed by the Bank and do not qualify for recognition under U.S. GAAP. There were no realized gains from the sale of foreclosed real estate deferred for 2013 or 2012. At December 31, 2013 and 2012, deferred gains on the sale of foreclosed real estate financed by the Bank amounted to $42,000 and $43,000, respectively. |
GOODWILL_AND_OTHER_INTANGIBLES
GOODWILL AND OTHER INTANGIBLES | 12 Months Ended | |
Dec. 31, 2013 | ||
GOODWILL AND OTHER INTANGIBLES | ' | |
-7 | GOODWILL AND OTHER INTANGIBLES | |
The Company acquired goodwill of $5.4 million in the acquisition of Hometown Bancshares, Inc. (Hometown) during 2003. Goodwill is evaluated for impairment at least annually or more frequently upon the occurrence of an event or when circumstances indicate that the carrying amount is greater than its fair value. No impairment of goodwill was recognized during 2013 or 2012. | ||
The Company acquired core deposit intangibles totaling $747,000 in a branch acquisition in 1996 and the acquisition of Hometown in 2003. The core deposit intangibles were fully amortized at December 31, 2012. Amortization expense on core deposit intangibles was $32,000 for 2012. No amortization expense was recognized for 2013. |
DEPOSITS
DEPOSITS | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
DEPOSITS | ' | ||||
-8 | DEPOSITS | ||||
The aggregate amount of time deposit accounts with balances of $100,000 or more was approximately $25.4 million and $29.7 million at December 31, 2013 and 2012, respectively. | |||||
At December 31, 2013, scheduled maturities of time deposits were as follows: | |||||
(In thousands) | |||||
Year ending December 31: | |||||
2014 | $ | 42,181 | |||
2015 | 23,527 | ||||
2016 | 10,415 | ||||
2017 | 9,149 | ||||
2018 and thereafter | 1,962 | ||||
Total | $ | 87,234 | |||
The Bank held deposits of approximately $9.8 million and $8.8 million for related parties at December 31, 2013 and 2012, respectively. |
RETAIL_REPURCHASE_AGREEMENTS
RETAIL REPURCHASE AGREEMENTS | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
RETAIL REPURCHASE AGREEMENTS | ' | ||||||||
-9 | RETAIL REPURCHASE AGREEMENTS | ||||||||
Retail repurchase agreements represent overnight borrowings from deposit customers and the debt securities sold under the repurchase agreements are under the control of the Bank. Information concerning borrowings under repurchase agreements is summarized as follows: | |||||||||
(Dollars in thousands) | 2013 | 2012 | |||||||
Outstanding balance at year end | $ | 9,310 | $ | 14,092 | |||||
Weighted average interest rate at year end | 0.26 | % | 0.25 | % | |||||
Weighted average interest rate during the year | 0.25 | % | 0.38 | % | |||||
Average daily balance | $ | 11,015 | $ | 10,074 | |||||
Maximum month-end balance during the year | $ | 13,041 | $ | 14,092 | |||||
Debt securities underlying the agreements at December 31: | |||||||||
Amortized cost | $ | 13,322 | $ | 15,284 | |||||
Fair value | $ | 12,920 | $ | 15,328 |
ADVANCES_FROM_FEDERAL_HOME_LOA
ADVANCES FROM FEDERAL HOME LOAN BANK | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
ADVANCES FROM FEDERAL HOME LOAN BANK | ' | ||||||||||||||||
-10 | ADVANCES FROM FEDERAL HOME LOAN BANK | ||||||||||||||||
At December 31, 2013 and 2012, advances from the FHLB were as follows: | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
Weighted | Weighted | ||||||||||||||||
Average | Average | ||||||||||||||||
(Dollars in thousands) | Rate | Amount | Rate | Amount | |||||||||||||
FHLB advances | 0.5 | % | $ | 5,500 | 3.63 | % | $ | 5,100 | |||||||||
At December 31, 2013, advances from the FHLB totaling $5.5 million were variable rate advances, adjusting daily, with maturity dates in June 2014. | |||||||||||||||||
The advances are secured under a blanket collateral agreement. At December 31, 2013, the carrying value of residential mortgage loans and a mutual fund investment pledged as security for the advances was $74.4 million and $1.6 million, respectively. |
LEASE_COMMITMENTS
LEASE COMMITMENTS | 12 Months Ended | |
Dec. 31, 2013 | ||
LEASE COMMITMENTS | ' | |
-11 | LEASE COMMITMENTS | |
During 2010, the Bank extended a noncancelable lease agreement for branch office space which expires in 2015. | ||
The Bank’s subsidiary companies headquartered in Nevada lease office space under sublease agreements that automatically renew for one year periods each October. | ||
The future minimum rental payments under noncancelable operating leases having remaining terms in excess of one year as of December 31, 2013 were $15,000 for 2014 and $4,000 for 2015. | ||
Total rental expense for all operating leases for each of the years ended December 31, 2013 and 2012 was $27,000 and $25,000, respectively. |
INCOME_TAXES
INCOME TAXES | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
INCOME TAXES | ' | ||||||||
-12 | INCOME TAXES | ||||||||
The components of income tax expense for the years ended December 31, 2013 and 2012 were as follows: | |||||||||
(In thousands) | 2013 | 2012 | |||||||
Current | $ | 2,055 | $ | 2,037 | |||||
Deferred | 200 | (478 | ) | ||||||
Totals | $ | 2,255 | $ | 1,559 | |||||
The reconciliation of income tax expense for the years ended December 31, 2013 and 2012, with the amount which would have been provided at the federal statutory rate of 34% follows: | |||||||||
(In thousands) | 2013 | 2012 | |||||||
Provision at federal statutory tax rate | $ | 2,496 | $ | 1,868 | |||||
State income tax-net of federal tax benefit | 214 | 102 | |||||||
Tax-exempt interest income | (402 | ) | (353 | ) | |||||
Increase in cash value of life insurance | (54 | ) | (62 | ) | |||||
Other | 1 | 4 | |||||||
Totals | $ | 2,255 | $ | 1,559 | |||||
Effective tax rate | 30.7 | % | 28.4 | % | |||||
Significant components of the deferred tax assets and liabilities as of December 31, 2013 and 2012 were as follows: | |||||||||
(In thousands) | 2013 | 2012 | |||||||
Deferred tax assets (liabilities): | |||||||||
Deferred compensation plans | $ | 102 | $ | 112 | |||||
Allowance for loan losses | 1,661 | 1,645 | |||||||
Accrued early retirement | 32 | 189 | |||||||
Other | 157 | 92 | |||||||
Unrealized loss on securities available for sale | 443 | 0 | |||||||
Deferred tax assets | 2,395 | 2,038 | |||||||
Depreciation | (664 | ) | (580 | ) | |||||
Deferred loan fees and costs | (86 | ) | (54 | ) | |||||
FHLB stock dividends | (99 | ) | (101 | ) | |||||
Unrealized gain on securities available for sale | 0 | (959 | ) | ||||||
Deferred tax liabilities | (849 | ) | (1,694 | ) | |||||
Net deferred tax asset | $ | 1,546 | $ | 344 | |||||
At December 31, 2013 and 2012, the Company had no liability for unrecognized income tax benefits related to uncertain tax positions and does not anticipate any increase in the liability for unrecognized tax benefits during the next twelve months. The Company believes that its income tax positions would be sustained upon examination and does not anticipate any adjustments that would result in a material change to its financial position or results of operations. The Company files consolidated U.S. federal income tax returns and Indiana state income tax returns. Returns filed in these jurisdictions for tax years ended on or after December 31, 2010 are subject to examination by the relevant taxing authorities. Each entity included in the consolidated federal and Indiana state income tax returns filed by the Company are charged or given credit for the applicable tax as though separate returns were filed. | |||||||||
Prior to July 1, 1996, the Bank was permitted by the Internal Revenue Code to deduct from taxable income an annual addition to a statutory bad debt reserve subject to certain limitations. Retained earnings at December 31, 2013 and 2012 include approximately $1.0 million of cumulative deductions for which no deferred federal income tax liability has been recorded. Reduction of these reserves for purposes other than tax bad debt losses or adjustments arising from carryback of net operating losses would create income for tax purposes subject to the then current corporate income tax rate. The unrecorded deferred liability on these amounts was approximately $354,000 at December 31, 2013 and 2012. | |||||||||
Federal legislation enacted in 1996 repealed the use of the qualified thrift reserve method of accounting for bad debts for tax years beginning after December 31, 1995. As a result, the Bank discontinued the calculation of the annual addition to the statutory bad debt reserve using the percentage-of-taxable-income method and adopted the experience reserve method for banks. Under this method, the Bank computes its federal tax bad debt deduction based on actual loss experience over a period of years. The legislation also provided that the Bank will not be required to recapture its pre-1988 statutory bad debt reserves if it ceases to meet the qualifying thrift definitional tests as provided under prior law and if the Bank continues to qualify as a “bank” under existing provisions of the Internal Revenue Code. |
EMPLOYEE_BENEFIT_PLANS
EMPLOYEE BENEFIT PLANS | 12 Months Ended | |
Dec. 31, 2013 | ||
EMPLOYEE BENEFIT PLANS | ' | |
-13 | EMPLOYEE BENEFIT PLANS | |
Defined Contribution Plan: | ||
The Bank has a qualified contributory defined contribution plan available to all eligible employees. The plan allows participating employees to make tax-deferred contributions under Internal Revenue Code Section 401(k). The Bank contributed $319,000 and $332,000 to the plan for the years ended December 31, 2013 and 2012, respectively. | ||
Employee Stock Ownership Plan: | ||
On December 31, 1998, the Bank established a leveraged employee stock ownership plan (ESOP) covering substantially all employees. The Bank accounts for the ESOP in accordance with FASB ASC 718-40, Employee Stock Ownership Plans. The ESOP trust acquired 61,501 shares of Company common stock financed by a loan with the Company with a ten year term. The employer loan and the related interest income are not recognized in the consolidated financial statements as the debt is serviced from Bank contributions. Dividends payable on allocated shares are charged to retained earnings and are satisfied by the allocation of cash dividends to participant accounts. Dividends payable on unallocated shares are not considered dividends for financial reporting purposes. Shares held by the ESOP trust are allocated to participant accounts based on the ratio of the current year principal and interest payments to the total of the current year and future year’s principal and interest to be paid on the employer loan. The employer loan was fully paid in 2008 and all shares of the Company common stock have been allocated to participant accounts. | ||
Compensation expense is recognized based on the average fair value of shares released for allocation to participant accounts during the year with a corresponding credit to stockholders’ equity. No compensation expense was recognized for the years ended December 31, 2013 and 2012 as all shares were allocated during 2008. | ||
At December 31, 2013, the ESOP trust holds 55,964 shares of Company stock, including shares acquired on the open market, all of which have been allocated to participant accounts. |
DEFERRED_COMPENSATION_PLANS
DEFERRED COMPENSATION PLANS | 12 Months Ended | |
Dec. 31, 2013 | ||
DEFERRED COMPENSATION PLANS | ' | |
-14 | DEFERRED COMPENSATION PLANS | |
The Bank has a deferred compensation plan whereby certain officers will be provided specific amounts of income for a period of fifteen years following normal retirement. The benefits under the agreements become fully vested after four years of service beginning with the effective date of the agreements. The Bank accrues the present value of the benefits so the amounts required will be provided at the normal retirement dates and thereafter. | ||
Assuming normal retirement, the benefits under the plan are paid in varying amounts between 1999 and 2022. The Bank is the owner and beneficiary of insurance policies on the lives of these officers which may provide funds for a portion of the required payments. The agreements also provide for payment of benefits in the event of disability, early retirement, termination of employment or death. Deferred compensation expense for this plan was $11,000 and $13,000 for the years ended December 31, 2013 and 2012, respectively. | ||
The Bank also has a directors’ deferred compensation plan whereby a director defers into a retirement account a portion of his monthly director fees for a specified period to provide a specified amount of income for a period of fifteen years following normal retirement. The Bank also accrues the interest cost on the deferred obligation so the amounts required will be provided at the normal retirement dates and thereafter. | ||
Assuming normal retirement, the benefits under the plan are paid in varying amounts between 1995 and 2036. The agreements also provide for payment of benefits in the event of disability, early retirement, termination of service or death. Deferred compensation expense for this plan was $19,000 and $18,000 for the years ended December 31, 2013 and 2012, respectively. |
STOCKBASED_COMPENSATION_PLAN
STOCK-BASED COMPENSATION PLAN | 12 Months Ended | |
Dec. 31, 2013 | ||
STOCK-BASED COMPENSATION PLAN | ' | |
-15 | STOCK-BASED COMPENSATION PLAN | |
On May 20, 2009, the Company adopted the 2009 Equity Incentive Plan (the Plan). The Plan provides for the award of stock options, restricted stock, performance shares and stock appreciation rights. The aggregate number of shares of the Company’s common stock available for issuance under the Plan may not exceed 223,000 shares. The Company may grant both non-statutory and statutory stock options which may not have a term exceeding ten years. In the case of incentive stock options, the aggregate fair value of the stock (determined at the time the incentive stock option is granted) for which any optionee may be granted incentive options which are first exercisable during any calendar year shall not exceed $100,000. Option prices may not be less than the fair market value of the underlying stock at the date of the grant. An award of a performance share is a grant of a right to receive shares of the Company’s common stock which is contingent upon the achievement of specific performance criteria or other objectives set at the grant date. Stock appreciation rights are equity or cash settled share-based compensation arrangements whereby the number of shares that will ultimately be issued or the cash payment is based upon the appreciation of the Company’s common stock. Awards granted under the Plan may be granted either alone or in addition to or, in tandem with, any other award granted under the Plan. As of December 31, 2013, no awards had been granted under the Plan. | ||
The fair market value of stock options granted is estimated at the date of grant using an option pricing model. Expected volatilities are based on historical volatility of the Company’s stock. The expected term of options granted represents the period of time that options are expected to be outstanding and is based on historical trends. The risk free rate for the expected life of the options is based on the U.S. Treasury yield curve in effect at the time of grant. | ||
No options were granted during the years ended December 31, 2013 and 2012. There were no stock options outstanding at December 31, 2013 or 2012 and no stock options were exercised or forfeited during 2013 and 2012. | ||
No compensation expense was recognized for the years ended December 31, 2013 and 2012 related to the Plan, and no income tax benefit was realized in 2013 or 2012 for stock options exercised. At December 31, 2013, there was no remaining unrecognized compensation expense related to nonvested stock options. |
COMMITMENTS_AND_CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
COMMITMENTS AND CONTINGENCIES | ' | ||||||||
-16 | COMMITMENTS AND CONTINGENCIES | ||||||||
In the normal course of business, there are outstanding various commitments and contingent liabilities, such as commitments to extend credit and legal claims, which are not reflected in the consolidated financial statements. | |||||||||
Commitments under outstanding standby letters of credit totaled $1.2 million and $781,000 at December 31, 2013 and 2012, respectively. | |||||||||
The following is a summary of the commitments to extend credit at December 31, 2013 and 2012: | |||||||||
(In thousands) | 2013 | 2012 | |||||||
Loan commitments: | |||||||||
Fixed rate | $ | 865 | $ | 1,554 | |||||
Adjustable rate | 5,453 | 11,640 | |||||||
Unused lines of credit on credit cards | 3,821 | 2,981 | |||||||
Undisbursed commercial and personal lines of credit | 19,484 | 17,413 | |||||||
Undisbursed portion of construction loans in process | 7,142 | 4,306 | |||||||
Undisbursed portion of home equity lines of credit | 20,980 | 18,086 | |||||||
Total commitments to extend credit | $ | 57,745 | $ | 55,980 | |||||
FINANCIAL_INSTRUMENTS_WITH_OFF
FINANCIAL INSTRUMENTS WITH OFF-BALANCE-SHEET RISK | 12 Months Ended | |
Dec. 31, 2013 | ||
FINANCIAL INSTRUMENTS WITH OFF-BALANCE-SHEET RISK | ' | |
-17 | FINANCIAL INSTRUMENTS WITH OFF-BALANCE-SHEET RISK | |
The Bank is a party to financial instruments with off-balance-sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments include commitments to extend credit and standby letters of credit. These instruments involve, to varying degrees, elements of credit and interest rate risk in excess of the amounts recognized in the balance sheet. | ||
The Bank’s exposure to credit loss in the event of nonperformance by the other party to the financial instruments for commitments to extend credit and standby letters of credit is represented by the contractual notional amount of those instruments (see Note 16). The Bank uses the same credit policies in making commitments and conditional obligations as it does for on-balance-sheet instruments. | ||
Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Since many of the commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. The Bank evaluates each customer’s creditworthiness on a case-by-case basis. The amount and type of collateral obtained, if deemed necessary by the Bank upon extension of credit, varies and is based on management’s credit evaluation of the counterparty. | ||
Standby letters of credit are conditional commitments issued by the Bank to guarantee the performance of a customer to a third party. Standby letters of credit generally have fixed expiration dates or other termination clauses and may require payment of a fee. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loan facilities to customers. The Bank’s policy for obtaining collateral, and the nature of such collateral, is essentially the same as that involved in making commitments to extend credit. | ||
The Bank has not been required to perform on any financial guarantees and did not incur any losses on its commitments in 2013 or 2012. |
DIVIDEND_RESTRICTION
DIVIDEND RESTRICTION | 12 Months Ended | |
Dec. 31, 2013 | ||
DIVIDEND RESTRICTION | ' | |
-18 | DIVIDEND RESTRICTION | |
As an Indiana corporation, the Company is subject to Indiana law with respect to the payment of dividends. Under Indiana law, the Company may pay dividends so long as it is able to pay its debts as they become due in the usual course of business and its assets exceed the sum of its total liabilities, plus the amount that would be needed, if the Company were to be dissolved at the time of the dividend, to satisfy any rights that are preferential to the rights of the persons receiving the dividend. The ability of the Company to pay dividends depends primarily on the ability of the Bank to pay dividends to the Company. | ||
The payment of dividends by the Bank is subject to regulation by the Office of the Comptroller of the Currency (OCC). The Bank may not declare or pay a cash dividend or repurchase any of its capital stock if the effect thereof would cause the regulatory capital of the Bank to be reduced below regulatory capital requirements imposed by the OCC or below the amount of the liquidation account established upon completion of the conversion of the Bank’s former mutual holding company (First Capital, Inc., MHC) from mutual to stock form on December 31, 1998. |
REGULATORY_MATTERS
REGULATORY MATTERS | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
REGULATORY MATTERS | ' | ||||||||||||||||||||||||
-19 | REGULATORY MATTERS | ||||||||||||||||||||||||
The Bank is subject to various regulatory capital requirements administered by the OCC. Failure to meet minimum capital requirements can initiate certain mandatory, and possibly additional discretionary, actions by regulators that, if undertaken, could have a direct material effect on the Bank and the consolidated financial statements. Under the regulatory capital adequacy guidelines and the regulatory framework for prompt corrective action, the Bank must meet specific capital guidelines involving quantitative measures of the Bank’s assets, liabilities and certain off-balance-sheet items as calculated under regulatory accounting practices. The Bank’s capital amounts and classification under the prompt corrective action guidelines are also subject to qualitative judgments by the regulators about components, risk weightings and other factors. | |||||||||||||||||||||||||
Quantitative measures established by regulation to ensure capital adequacy require the Bank to maintain minimum amounts and ratios (set forth in the table below) of total risk-based capital and Tier I capital to risk-weighted assets (as defined in the regulations), Tier I capital to adjusted total assets (as defined) and tangible capital to adjusted total assets (as defined). Management believes, as of December 31, 2013, that the Bank meets all capital adequacy requirements to which it is subject. | |||||||||||||||||||||||||
As of December 31, 2013, the most recent notification from the OCC categorized the Bank as well capitalized under the regulatory framework for prompt corrective action. To be categorized as well capitalized, the Bank must maintain minimum total risk-based, Tier I risk-based, and Tier I leverage ratios as set forth in the table below. There are no conditions or events since that notification that management believes have changed the institution’s category. | |||||||||||||||||||||||||
The actual capital amounts and ratios are also presented in the following table. No amounts were deducted from capital for interest-rate risk in either year. | |||||||||||||||||||||||||
Minimum | |||||||||||||||||||||||||
To Be Well | |||||||||||||||||||||||||
Minimum | Capitalized Under | ||||||||||||||||||||||||
For Capital | Prompt Corrective | ||||||||||||||||||||||||
Actual | Adequacy Purposes: | Action Provisions: | |||||||||||||||||||||||
(Dollars in thousands) | Amount | Ratio | Amount | Ratio | Amount | Ratio | |||||||||||||||||||
As of December 31, 2013: | |||||||||||||||||||||||||
Total capital (to risk weighted assets) | $ | 51,780 | 16.11 | % | $ | 25,713 | 8 | % | $ | 32,141 | 10 | % | |||||||||||||
Tier I capital (to risk weighted assets) | $ | 47,751 | 14.86 | % | N/A | $ | 19,285 | 6 | % | ||||||||||||||||
Tier I capital (to adjusted total assets) | $ | 47,751 | 10.89 | % | $ | 17,534 | 4 | % | $ | 21,917 | 5 | % | |||||||||||||
Tangible capital (to adjusted total assets) | $ | 47,751 | 10.89 | % | $ | 6,575 | 1.5 | % | N/A | ||||||||||||||||
As of December 31, 2012: | |||||||||||||||||||||||||
Total capital (to risk weighted assets) | $ | 49,347 | 15.6 | % | $ | 25,307 | 8 | % | $ | 31,634 | 10 | % | |||||||||||||
Tier I capital (to risk weighted assets) | $ | 45,383 | 14.35 | % | N/A | $ | 18,980 | 6 | % | ||||||||||||||||
Tier I capital (to adjusted total assets) | $ | 45,383 | 10 | % | $ | 18,149 | 4 | % | $ | 22,686 | 5 | % | |||||||||||||
Tangible capital (to adjusted total assets) | $ | 45,383 | 10 | % | $ | 6,806 | 1.5 | % | N/A |
DISCLOSURES_ABOUT_FAIR_VALUE_O
DISCLOSURES ABOUT FAIR VALUE OF FINANCIAL INSTRUMENTS | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
DISCLOSURES ABOUT FAIR VALUE OF FINANCIAL INSTRUMENTS | ' | ||||||||||||||||||||
-20 | DISCLOSURES ABOUT FAIR VALUE OF FINANCIAL INSTRUMENTS | ||||||||||||||||||||
The following table summarizes the carrying value and estimated fair value of financial instruments and the level within the fair value hierarchy (see Note 21) in which the fair value measurements fall at December 31, 2013 and 2012: | |||||||||||||||||||||
Fair Value Measurements Using | |||||||||||||||||||||
Carrying | Fair | ||||||||||||||||||||
(In thousands) | Value | Value | Level 1 | Level 2 | Level 3 | ||||||||||||||||
December 31, 2013: | |||||||||||||||||||||
Financial assets: | |||||||||||||||||||||
Cash and cash equivalents | $ | 11,136 | $ | 11,136 | $ | 11,136 | $ | 0 | $ | 0 | |||||||||||
Interest-bearing time deposits | 4,425 | 4,458 | 0 | 4,458 | 0 | ||||||||||||||||
Securities available for sale | 108,762 | 108,762 | 3,198 | 105,564 | 0 | ||||||||||||||||
Securities held to maturity | 9 | 9 | 0 | 9 | 0 | ||||||||||||||||
Loans held for sale | 1,611 | 1,644 | 0 | 1,644 | 0 | ||||||||||||||||
Loans, net | 288,506 | 287,753 | 0 | 0 | 287,753 | ||||||||||||||||
FHLB stock | 2,820 | 2,820 | 0 | 2,820 | 0 | ||||||||||||||||
Accrued interest receivable | 1,716 | 1,716 | 0 | 1,716 | 0 | ||||||||||||||||
Cost method investment (included in other assets) | 540 | 540 | 0 | 540 | 0 | ||||||||||||||||
Financial liabilities: | |||||||||||||||||||||
Deposits | 373,830 | 373,883 | 0 | 0 | 373,883 | ||||||||||||||||
Retail repurchase agreements | 9,310 | 9,310 | 0 | 9,310 | 0 | ||||||||||||||||
Advances from FHLB | 5,500 | 5,500 | 0 | 5,500 | 0 | ||||||||||||||||
Accrued interest payable | 192 | 192 | 0 | 192 | 0 | ||||||||||||||||
December 31, 2012: | |||||||||||||||||||||
Financial assets: | |||||||||||||||||||||
Cash and cash equivalents | $ | 21,811 | $ | 21,811 | $ | 21,811 | $ | 0 | $ | 0 | |||||||||||
Interest-bearing time deposits | 1,400 | 1,401 | 0 | 1,401 | 0 | ||||||||||||||||
Securities available for sale | 122,973 | 122,973 | 4,237 | 118,736 | 0 | ||||||||||||||||
Securities held to maturity | 12 | 12 | 0 | 12 | 0 | ||||||||||||||||
Loans held for sale | 3,609 | 3,705 | 0 | 3,705 | 0 | ||||||||||||||||
Loans, net | 280,407 | 287,609 | 0 | 0 | 287,609 | ||||||||||||||||
FHLB stock | 2,820 | 2,820 | 0 | 2,820 | 0 | ||||||||||||||||
Accrued interest receivable | 1,757 | 1,757 | 0 | 1,757 | 0 | ||||||||||||||||
Financial liabilities: | |||||||||||||||||||||
Deposits | 384,343 | 385,212 | 0 | 0 | 385,212 | ||||||||||||||||
Retail repurchase agreements | 14,092 | 14,092 | 0 | 14,092 | 0 | ||||||||||||||||
Advances from FHLB | 5,100 | 5,100 | 0 | 5,100 | 0 | ||||||||||||||||
Accrued interest payable | 290 | 290 | 0 | 290 | 0 | ||||||||||||||||
The carrying amounts in the preceding table are included in the consolidated balance sheets under the applicable captions. The contractual or notional amounts of financial instruments with off-balance-sheet risk are disclosed in Note 16, and the fair value of these instruments is considered immaterial. | |||||||||||||||||||||
The following methods and assumptions were used to estimate the fair value of each class of financial instrument for which it is practicable to estimate that value: | |||||||||||||||||||||
Cash and Cash Equivalents and Interest-Bearing Time Deposits | |||||||||||||||||||||
For cash and short-term instruments, including cash and due from banks, interest-bearing deposits with banks, federal funds sold, and interest-bearing time deposits with other financial institutions, the carrying amount is a reasonable estimate of fair value. | |||||||||||||||||||||
Investment Securities | |||||||||||||||||||||
For marketable equity securities, the fair values are based on quoted market prices. For debt securities, the Company obtains fair value measurements from an independent pricing service and the fair value measurements consider observable data that may include dealer quotes, market spreads, cash flows, U.S. government and agency yield curves, live trading levels, trade execution data, market consensus prepayment speeds, credit information, and the security’s terms and conditions, among other factors. For FHLB stock, a restricted equity security, the carrying amount is a reasonable estimate of fair value because it is not marketable. For other cost method equity investments where a quoted market value is not available, the carrying amount is a reasonable estimate of fair value. | |||||||||||||||||||||
Loans | |||||||||||||||||||||
The fair value of loans is estimated by discounting future cash flows using the current rates at which similar loans would be made to borrowers with similar credit ratings and for the same remaining maturities. The carrying amount of accrued interest receivable approximates its fair value. The fair value of loans held for sale is based on specific prices of underlying contracts for sales to investors. | |||||||||||||||||||||
Deposits | |||||||||||||||||||||
The fair value of demand deposits, savings accounts, money market deposit accounts and other transaction accounts is the amount payable on demand at the balance sheet date. The fair value of fixed-maturity certificates of deposit is estimated by discounting the future cash flows using the rates currently offered for deposits of similar remaining maturities. The carrying amount of accrued interest payable approximates its fair value. | |||||||||||||||||||||
Borrowed Funds | |||||||||||||||||||||
The carrying amount of retail repurchase agreements approximates its fair value. The fair value of advances from FHLB is estimated by discounting the future cash flows using the current rates at which similar loans with the same remaining maturities could be obtained. |
FAIR_VALUE_MEASUREMENTS
FAIR VALUE MEASUREMENTS | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
FAIR VALUE MEASUREMENTS | ' | ||||||||||||||||
-21 | FAIR VALUE MEASUREMENTS | ||||||||||||||||
FASB ASC Topic 820 , Fair Value Measurements, provides the framework for measuring fair value. That framework provides a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy under FASB ASC Topic 820 are described as follows: | |||||||||||||||||
Level 1: | Inputs to the valuation methodology are quoted prices, unadjusted, for identical assets or liabilities in active markets. A quoted market price in an active market provides the most reliable evidence of fair value and shall be used to measure fair value whenever available. | ||||||||||||||||
Level 2: | Inputs to the valuation methodology include quoted market prices for similar assets or liabilities in active markets; quoted market prices for identical or similar assets or liabilities in markets that are not active; or inputs that are derived principally from or can be corroborated by observable market data by correlation or other means. | ||||||||||||||||
Level 3: | Inputs to the valuation methodology are unobservable and significant to the fair value measurement. Level 3 assets and liabilities include financial instruments whose value is determined using discounted cash flow methodologies, as well as instruments for which the determination of fair value requires significant management judgment or estimation. | ||||||||||||||||
Fair value is based upon quoted market prices, where available. If quoted market prices are not available, fair value is based on internally developed models or obtained from third parties that primarily use, as inputs, observable market-based parameters or a matrix pricing model that employs the Bond Market Association’s standard calculations for cash flow and price/yield analysis and observable market-based parameters. Valuation adjustments may be made to ensure that financial instruments are recorded at fair value, or the lower of cost or fair value. These adjustments may include unobservable parameters. Any such valuation adjustments have been applied consistently over time. The Company’s valuation methodologies may produce a fair value calculation that may not be indicative of net realizable value or reflective of future fair values. While management believes the Company’s valuation methodologies are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different estimate of fair value at the reporting date. | |||||||||||||||||
A description of the valuation methodologies used for instruments measured at fair value, as well as the general classification of such instruments pursuant to the valuation hierarchy, is set forth below. These valuation methodologies were applied to all of the Company’s financial and nonfinancial assets carried at fair value or the lower of cost or fair value. | |||||||||||||||||
The table below presents the balances of assets measured at fair value on a recurring and nonrecurring basis as of December 31, 2013. The Company had no liabilities measured at fair value as of December 31, 2013. | |||||||||||||||||
Carrying Value | |||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||
(In thousands) | |||||||||||||||||
December 31, 2013: | |||||||||||||||||
Assets Measured on a Recurring Basis | |||||||||||||||||
Securities available for sale: | |||||||||||||||||
Agency mortgage-backed securities | $ | 0 | $ | 18,369 | $ | 0 | $ | 18,369 | |||||||||
Agency CMO | 0 | 20,241 | 0 | 20,241 | |||||||||||||
Agency notes and bonds | 0 | 30,914 | 0 | 30,914 | |||||||||||||
Municipal obligations | 0 | 36,040 | 0 | 36,040 | |||||||||||||
Mutual funds | 3,198 | 0 | 0 | 3,198 | |||||||||||||
Total securities available for sale | $ | 3,198 | $ | 105,564 | $ | 0 | $ | 108,762 | |||||||||
Assets Measured on a Nonrecurring Basis | |||||||||||||||||
Impaired loans: | |||||||||||||||||
Residential real estate | $ | 0 | $ | 0 | $ | 1,928 | $ | 1,928 | |||||||||
Land | 0 | 0 | 120 | 120 | |||||||||||||
Construction | 0 | 0 | 0 | 0 | |||||||||||||
Commercial real estate | 0 | 0 | 2,441 | 2,441 | |||||||||||||
Commercial business | 0 | 0 | 639 | 639 | |||||||||||||
Home equity and second mortgage | 0 | 0 | 263 | 263 | |||||||||||||
Total impaired loans | $ | 0 | $ | 0 | $ | 5,391 | $ | 5,391 | |||||||||
Loans held for sale | $ | 0 | $ | 1,611 | $ | 0 | $ | 1,611 | |||||||||
Foreclosed real estate: | |||||||||||||||||
Residential real estate | $ | 0 | $ | 0 | $ | 466 | $ | 466 | |||||||||
Total foreclosed real estate | $ | 0 | $ | 0 | $ | 466 | $ | 466 | |||||||||
The table below presents the balances of assets measured at fair value on a recurring and nonrecurring basis as of December 31, 2012. The Company had no liabilities measured at fair value as of December 31, 2012. | |||||||||||||||||
Carrying Value | |||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||
(In thousands) | |||||||||||||||||
December 31, 2012: | |||||||||||||||||
Assets Measured on a Recurring Basis | |||||||||||||||||
Securities available for sale: | |||||||||||||||||
Agency mortgage-backed securities | $ | 0 | $ | 23,206 | $ | 0 | $ | 23,206 | |||||||||
Agency CMO | 0 | 22,660 | 0 | 22,660 | |||||||||||||
Agency notes and bonds | 0 | 38,553 | 0 | 38,553 | |||||||||||||
Municipal obligations | 0 | 34,317 | 0 | 34,317 | |||||||||||||
Mutual funds | 4,237 | 0 | 0 | 4,237 | |||||||||||||
Total securities available for sale | $ | 4,237 | $ | 118,736 | $ | 0 | $ | 122,973 | |||||||||
Assets Measured on a Nonrecurring Basis | |||||||||||||||||
Impaired loans: | |||||||||||||||||
Residential real estate | $ | 0 | $ | 0 | $ | 2,378 | $ | 2,378 | |||||||||
Land | 0 | 0 | 125 | 125 | |||||||||||||
Construction | 0 | 0 | 403 | 403 | |||||||||||||
Commercial real estate | 0 | 0 | 2,561 | 2,561 | |||||||||||||
Commercial business | 0 | 0 | 678 | 678 | |||||||||||||
Home equity and second mortgage | 0 | 0 | 7 | 7 | |||||||||||||
Total impaired loans | $ | 0 | $ | 0 | $ | 6,152 | $ | 6,152 | |||||||||
Loans held for sale | $ | 0 | $ | 3,609 | $ | 0 | $ | 3,609 | |||||||||
Foreclosed real estate: | |||||||||||||||||
Residential real estate | $ | 0 | $ | 0 | $ | 258 | $ | 258 | |||||||||
Land | 0 | 0 | 37 | 37 | |||||||||||||
Total foreclosed real estate | $ | 0 | $ | 0 | $ | 295 | $ | 295 | |||||||||
Securities Available for Sale. Securities classified as available for sale are reported at fair value on a recurring basis. These securities are classified as Level 1 of the valuation hierarchy where quoted market prices from reputable third-party brokers are available in an active market. If quoted market prices are not available, the Company obtains fair value measurements from an independent pricing service. These securities are reported using Level 2 inputs and the fair value measurements consider observable data that may include dealer quotes, market spreads, cash flows, U.S. government and agency yield curves, live trading levels, trade execution data, market consensus prepayment speeds, credit information, and the security’s terms and conditions, among other factors. Changes in fair value of securities available for sale are recorded in other comprehensive income, net of income tax effect. | |||||||||||||||||
Impaired Loans. Impaired loans are reviewed and evaluated on at least a quarterly basis for additional impairment and adjusted accordingly. The fair value of impaired loans is classified as Level 3 in the fair value hierarchy. | |||||||||||||||||
Impaired loans are carried at the present value of estimated future cash flows using the loan’s effective interest rate or the fair value of collateral less estimated costs to sell if the loan is collateral dependent. At December 31, 2013 and 2012, all impaired loans were considered to be collateral dependent for the purpose of determining fair value. Collateral may be real estate and/or business assets, including equipment, inventory and/or accounts receivable. The fair value of the collateral is generally determined based on real estate appraisals or other independent evaluations by qualified professionals, adjusted for estimated costs to sell the property, costs to complete or repair the property and other factors to reflect management’s estimate of the fair value of the collateral given the current market conditions and the condition of the collateral. | |||||||||||||||||
At December 31, 2013, the significant unobservable inputs used in the fair value measurement of impaired loans included a discount from appraised value for estimates of changes in market conditions, the condition of the collateral, and estimated costs to sell the collateral ranging from 10% to 48%. At December 31, 2012, the significant unobservable inputs used in the fair value measurement of impaired loans included a discount from appraised value for estimates of changes in market conditions, the condition of the collateral, and estimated costs to sell the collateral ranging from 10% to 30%. | |||||||||||||||||
The Company recognized provisions for loan losses of $150,000 and $185,000 for the years ended December 31, 2013 and 2012, respectively, for impaired loans. | |||||||||||||||||
Loans Held for Sale. Loans held for sale are carried at the lower of cost or market value. The portfolio comprised of residential real estate loans and fair value is based on specific prices of underlying contracts for sales to investors. These measurements are carried at Level 2 in the fair value hierarchy. | |||||||||||||||||
Foreclosed Real Estate. Foreclosed real estate is reviewed and evaluated on at least a quarterly basis for additional impairment and adjusted accordingly. The fair value of foreclosed real estate is classified as Level 3 in the fair value hierarchy | |||||||||||||||||
Foreclosed real estate is reported at fair value less estimated costs to dispose of the property. The fair values are determined by real estate appraisals which are then discounted to reflect management’s estimate of the fair value of the property given current market conditions and the condition of the collateral. | |||||||||||||||||
At December 31, 2013, the significant unobservable inputs used in the fair value measurement of foreclosed real estate included a discount from appraised value for estimates of changes in market conditions, the condition of the collateral, and estimated costs to sell the property ranging from 10% to 38%. At December 31, 2012, the significant unobservable inputs used in the fair value measurement of foreclosed real estate included a discount from appraised value for estimates of changes in market conditions, the condition of the collateral, and estimated costs to sell the property ranging from 15% to 55%. | |||||||||||||||||
The Company recognized charges of $20,000 to write down foreclosed real estate to fair value for the year ended December 31, 2013. The Company did not recognize any charges to write down foreclosed real estate to fair value for the year ended December 31, 2012. | |||||||||||||||||
Transfers Between Categories. There have been no changes in the valuation techniques and related inputs used for assets measured at fair value on a recurring and nonrecurring basis during the years ended December 31, 2013 and 2012. There were no transfers in or out of the Company’s Level 3 financial assets for the years ended December 31, 2013 and 2012. In addition, there were no transfers into or out of Levels 1 and 2 of the fair value hierarchy during the years ended December 31, 2013 and 2012. |
PARENT_COMPANY_CONDENSED_FINAN
PARENT COMPANY CONDENSED FINANCIAL INFORMATION | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
PARENT COMPANY CONDENSED FINANCIAL INFORMATION | ' | ||||||||
-22 | PARENT COMPANY CONDENSED FINANCIAL INFORMATION (In thousands) | ||||||||
Condensed financial information for the Company (parent company only) follows: | |||||||||
Balance Sheets | |||||||||
As of December 31, | |||||||||
2013 | 2012 | ||||||||
Assets: | |||||||||
Cash and cash equivalents | $ | 132 | $ | 236 | |||||
Other assets | 670 | 120 | |||||||
Investment in subsidiaries | 52,430 | 52,473 | |||||||
$ | 53,232 | $ | 52,829 | ||||||
Liabilities and Equity: | |||||||||
Accrued expenses | $ | 5 | $ | 5 | |||||
Stockholders’ equity | 53,227 | 52,824 | |||||||
$ | 53,232 | $ | 52,829 | ||||||
Statements of Income | |||||||||
Years Ended December 31, | |||||||||
2013 | 2012 | ||||||||
Dividend income | $ | 2,847 | $ | 2,206 | |||||
Other operating expenses | (253 | ) | (228 | ) | |||||
Income before income taxes and equity in undistributed net income of subsidiaries | 2,594 | 1,978 | |||||||
Income tax benefit | 98 | 87 | |||||||
Income before equity in undistributed net income of subsidiaries | 2,692 | 2,065 | |||||||
Equity in undistributed net income of subsidiaries | 2,382 | 1,857 | |||||||
Net income | $ | 5,074 | $ | 3,922 | |||||
Statements of Cash Flows | |||||||||
Years Ended December 31, | |||||||||
2013 | 2012 | ||||||||
Operating Activities: | |||||||||
Net income | $ | 5,074 | $ | 3,922 | |||||
Adjustments to reconcile net income to cash and cash equivalents provided by operating activities: | |||||||||
Equity in undistributed net income of subsidiaries | (2,382 | ) | (1,857 | ) | |||||
Net change in other assets and liabilities | (9 | ) | 24 | ||||||
Net cash provided by operating activities | 2,683 | 2,089 | |||||||
Investing Activity: | |||||||||
Cost method equity investment | (540 | ) | 0 | ||||||
Net cash used in investing activity | (540 | ) | 0 | ||||||
Financing Activities: | |||||||||
Exercise of stock options | 0 | 0 | |||||||
Purchase of treasury stock | (19 | ) | (14 | ) | |||||
Cash dividends paid | (2,228 | ) | (2,117 | ) | |||||
Net cash used in financing activities | (2,247 | ) | (2,131 | ) | |||||
Net decrease in cash and cash equivalents | (104 | ) | (42 | ) | |||||
Cash and cash equivalents at beginning of year | 236 | 278 | |||||||
Cash and cash equivalents at end of year | $ | 132 | $ | 236 | |||||
SUPPLEMENTAL_DISCLOSURE_FOR_EA
SUPPLEMENTAL DISCLOSURE FOR EARNINGS PER SHARE | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
SUPPLEMENTAL DISCLOSURE FOR EARNINGS PER SHARE | ' | ||||||||
-23 | SUPPLEMENTAL DISCLOSURE FOR EARNINGS PER SHARE | ||||||||
Years Ended December 31, | |||||||||
2013 | 2012 | ||||||||
(In thousands, except for share and per share data) | |||||||||
Basic and Diluted: | |||||||||
Earnings: | |||||||||
Net income attributable to First Capital, Inc. | $ | 5,074 | $ | 3,922 | |||||
Shares: | |||||||||
Weighted average common shares outstanding | 2,784,690 | 2,785,286 | |||||||
Net income per common share attributable to First Capital, Inc., basic and diluted | $ | 1.82 | $ | 1.41 | |||||
SUPPLEMENTAL_DISCLOSURE_OF_CAS
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION | ' | ||||||||
-24 | SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION | ||||||||
Years Ended December 31, | |||||||||
(In thousands) | 2013 | 2012 | |||||||
Cash payments for: | |||||||||
Interest | $ | 1,751 | $ | 2,587 | |||||
Income taxes | 2,357 | 1,531 | |||||||
Noncash investing activities: | |||||||||
Transfers from loans to real estate acquired through foreclosure | $ | 1,149 | $ | 841 | |||||
Proceeds from sales of foreclosed real estate financed through loans | 526 | 181 |
SELECTED_QUARTERLY_FINANCIAL_I
SELECTED QUARTERLY FINANCIAL INFORMATION (UNAUDITED) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
SELECTED QUARTERLY FINANCIAL INFORMATION (UNAUDITED) | ' | ||||||||||||||||
-25 | SELECTED QUARTERLY FINANCIAL INFORMATION (UNAUDITED) | ||||||||||||||||
First | Second | Third | Fourth | ||||||||||||||
Quarter | Quarter | Quarter | Quarter | ||||||||||||||
(In thousands, except per share data) | |||||||||||||||||
2013 | |||||||||||||||||
Interest income | $ | 4,576 | $ | 4,554 | $ | 4,649 | $ | 4,632 | |||||||||
Interest expense | 458 | 440 | 408 | 347 | |||||||||||||
Net interest income | 4,118 | 4,114 | 4,241 | 4,285 | |||||||||||||
Provision for loan losses | 250 | 225 | 100 | 150 | |||||||||||||
Net interest income after provision for loan losses | 3,868 | 3,889 | 4,141 | 4,135 | |||||||||||||
Noninterest income | 1,162 | 1,188 | 1,211 | 1,079 | |||||||||||||
Noninterest expenses | 3,322 | 3,306 | 3,270 | 3,433 | |||||||||||||
Income before income taxes | 1,708 | 1,771 | 2,082 | 1,781 | |||||||||||||
Income tax expense | 511 | 557 | 653 | 534 | |||||||||||||
Net income | 1,197 | 1,214 | 1,429 | 1,247 | |||||||||||||
Less: net income attributable to noncontrolling interest in subsidiary | 3 | 4 | 3 | 3 | |||||||||||||
Net income attributable to First Capital, Inc. | $ | 1,194 | $ | 1,210 | $ | 1,426 | $ | 1,244 | |||||||||
Earnings per common share attributable to First Capital, Inc.: | |||||||||||||||||
Basic | $ | 0.43 | $ | 0.43 | $ | 0.51 | $ | 0.45 | |||||||||
Diluted | $ | 0.43 | $ | 0.43 | $ | 0.51 | $ | 0.45 | |||||||||
2012 | |||||||||||||||||
Interest income | $ | 4,721 | $ | 4,676 | $ | 4,722 | $ | 4,681 | |||||||||
Interest expense | 703 | 650 | 575 | 537 | |||||||||||||
Net interest income | 4,018 | 4,026 | 4,147 | 4,144 | |||||||||||||
Provision for loan losses | 475 | 300 | 350 | 400 | |||||||||||||
Net interest income after provision for loan losses | 3,543 | 3,726 | 3,797 | 3,744 | |||||||||||||
Noninterest income | 1,075 | 1,100 | 1,126 | 1,236 | |||||||||||||
Noninterest expenses | 3,333 | 3,360 | 3,983 | 3,177 | |||||||||||||
Income before income taxes | 1,285 | 1,466 | 940 | 1,803 | |||||||||||||
Income tax expense | 363 | 427 | 218 | 551 | |||||||||||||
Net income | 922 | 1,039 | 722 | 1,252 | |||||||||||||
Less: net income attributable to noncontrolling interest in subsidiary | 3 | 4 | 3 | 3 | |||||||||||||
Net income attributable to First Capital, Inc. | $ | 919 | $ | 1,035 | $ | 719 | $ | 1,249 | |||||||||
Earnings per common share attributable to First Capital, Inc.: | |||||||||||||||||
Basic | $ | 0.33 | $ | 0.37 | $ | 0.26 | $ | 0.45 | |||||||||
Diluted | $ | 0.33 | $ | 0.37 | $ | 0.26 | $ | 0.45 | |||||||||
SUMMARY_OF_SIGNIFICANT_ACCOUNT1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2013 | |
Nature of Operations | ' |
Nature of Operations | |
First Capital, Inc. (the Company) is the savings and loan holding company of First Harrison Bank (the Bank), a wholly-owned subsidiary. The Bank is a federally-chartered savings bank which provides a variety of banking services to individuals and business customers through thirteen locations in southern Indiana. The Bank’s primary source of revenue is real estate mortgage loans. The Bank originates mortgage loans for sale in the secondary market and also sells non-deposit investment products through a financial services division. First Harrison Investments, Inc. and First Harrison Holdings, Inc. are wholly-owned Nevada corporate subsidiaries of the Bank that jointly own First Harrison, LLC, a Nevada limited liability company that holds and manages an investment securities portfolio. First Harrison REIT, Inc. is a wholly-owned subsidiary of First Harrison Holdings, Inc. which holds a portion of the Bank’s real estate mortgage loan portfolio. | |
The Company has evaluated subsequent events for potential recognition and disclosure through the date the consolidated financial statements were issued. | |
Basis of Consolidation and Reclassifications | ' |
Basis of Consolidation and Reclassifications | |
The consolidated financial statements include the accounts of the Company and its subsidiaries and have been prepared in accordance with generally accepted accounting principles in the United States of America and conform to general practices in the banking industry. Intercompany balances and transactions have been eliminated. Certain prior year amounts have been reclassified to conform to the current year presentation. | |
Statements of Cash Flows | ' |
Statements of Cash Flows | |
For purposes of the statements of cash flows, the Company has defined cash and cash equivalents as cash on hand, amounts due from banks (including cash items in process of clearing), interest-bearing deposits with other banks with an original maturity of 90 days or less, and federal funds sold. | |
Use of Estimates | ' |
Use of Estimates | |
The preparation of financial statements in conformity with generally accepted accounting principles in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. | |
Material estimates that are particularly susceptible to significant change relate to the determination of the allowance for loan losses and the valuation of real estate acquired in connection with foreclosures or in satisfaction of loans. In connection with the determination of the allowance for loan losses and foreclosed real estate, management obtains independent appraisals for significant properties. | |
A majority of the Bank’s loan portfolio consists of single-family residential and commercial real estate loans in the southern Indiana area. Accordingly, the ultimate collectability of a substantial portion of the Bank’s loan portfolio and the recovery of the carrying amount of foreclosed real estate are susceptible to changes in local market conditions. | |
While management uses available information to recognize losses on loans, further reductions in the carrying amounts of loans may be necessary based on changes in local economic conditions. In addition, regulatory agencies, as an integral part of their examination process, periodically review the estimated losses on loans. Such agencies may require the Bank to recognize additional losses based on their judgments about information available to them at the time of their examination. Because of these factors, it is reasonably possible that the estimated losses on loans may change materially in the near term. However, the amount of the change that is reasonably possible cannot be estimated. | |
Securities Lending and Financing Arrangements | ' |
Securities Lending and Financing Arrangements | |
Securities purchased under agreements to resell (reverse repurchase agreements) and securities sold under agreements to repurchase (repurchase agreements) are treated as collateralized lending and borrowing transactions, respectively, and are carried at the amounts at which the securities were initially acquired or sold. | |
Investment Securities | ' |
Investment Securities | |
Securities Available for Sale: Securities available for sale consist primarily of mortgage-backed and other debt securities and are stated at fair value. The Company holds mortgage-backed securities and other debt securities issued by the Government National Mortgage Association (GNMA), a U.S. government agency, and the Federal National Mortgage Association (FNMA), the Federal Home Loan Mortgage Corporation (FHLMC), and the Federal Home Loan Bank (FHLB), government-sponsored enterprises (collectively referred to as government agencies), as well as privately-issued collateralized mortgage obligations (CMOs) and other mortgage-backed securities. Mortgage-backed securities represent participating interests in pools of long-term first mortgage loans originated and serviced by issuers of the securities. CMOs are complex mortgage-backed securities that restructure the cash flows and risks of the underlying mortgage collateral. The Company also holds debt securities issued by municipalities and political subdivisions of state and local governments. Amortization of premiums and accretion of discounts are recognized in interest income using methods approximating the interest method over the period to maturity, adjusted for anticipated prepayments. Unrealized gains and losses, net of tax, on securities available for sale are included in other comprehensive income and the accumulated unrealized holding gains and losses are reported as a separate component of equity until realized. Realized gains and losses on the sale of securities available for sale are determined using the specific identification method and are included in other noninterest income and, when applicable, are reported as a reclassification adjustment, net of tax, in other comprehensive income. | |
Securities Held to Maturity: Debt securities for which the Company has the positive intent and ability to hold to maturity are reported at cost, adjusted for amortization of premiums and accretion of discounts that are recognized in interest income using methods approximating the interest method over the period to maturity, adjusted for anticipated prepayments. The Company classifies certain mortgage-backed securities as held to maturity. | |
Declines in the fair value of individual available for sale and held to maturity securities below their amortized cost that are other than temporary result in write-downs of the individual securities to their fair value. The related write-downs are included in earnings as realized losses. In estimating other-than-temporary impairment losses, management considers (1) the length of time and the extent to which the fair value has been less than amortized cost, (2) the financial condition and near-term prospects of the issuer, and (3) the intent and ability of the Bank to retain its investment for a period of time sufficient to allow for any anticipated recovery in fair value. | |
Investments in non-marketable equity securities such as FHLB stock and companies in which the Company has less than a 20% interest are carried at cost. Dividends received from these investments are included in dividend income, and dividends received in excess of the Company’s proportionate share of accumulated earnings are applied as a reduction of the cost of the investment. Impairment testing on these investments is based on applicable accounting guidance and the cost basis is reduced when impairment is deemed to be other-than-temporary. | |
Loans and Allowance for Loan Losses | ' |
Loans and Allowance for Loan Losses | |
Loans Held for Investment | |
Loans are stated at unpaid principal balances, less net deferred loan fees and the allowance for loan losses. The Bank grants real estate mortgage, commercial business and consumer loans. A substantial portion of the loan portfolio is represented by mortgage loans to customers in southern Indiana. The ability of the Bank’s customers to honor their contracts is dependent upon the real estate and general economic conditions in this area. | |
Loan origination and commitment fees, as well as certain direct costs of underwriting and closing loans, are deferred and amortized as a yield adjustment to interest income over the lives of the related loans using the interest method. Amortization of net deferred loan fees is discontinued when a loan is placed on nonaccrual status. | |
Nonaccrual Loans | |
The recognition of income on a loan is discontinued and previously accrued interest is reversed, when interest or principal payments become 90 days past due unless, in the opinion of management, the outstanding interest remains collectible. Past due status is determined based on contractual terms. Generally, by applying the cash receipts method, interest income is subsequently recognized only as received until the loan is returned to accrual status. The cash receipts method is used when the likelihood of further loss on the loan is remote. Otherwise, the Company applies the cost recovery method and applies all payments as a reduction of the unpaid principal balance until the loan qualifies for return to accrual status. Interest income on impaired loans is recognized using the cost recovery method, unless the likelihood of further loss on the loan is remote. | |
A loan is restored to accrual status when all principal and interest payments are brought current and the borrower has demonstrated the ability to make future payments of principal and interest as scheduled, which generally requires that the borrower demonstrate a period of performance of at least six consecutive months. | |
Impaired Loans | |
A loan is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record, and the amount of the shortfall in relation to the principal and interest owed. Impairment is measured on a loan-by-loan basis by either the present value of expected future cash flows discounted at the loan’s effective interest rate, the loan’s obtainable market price, or the fair value of the collateral if the loan is collateral dependent. | |
Values for collateral dependent loans are generally based on appraisals obtained from independent licensed real estate appraisers, with adjustments applied for estimated costs to sell the property, costs to complete unfinished or repair damaged property and other factors. New appraisals are generally obtained for all significant properties when a loan is identified as impaired, and a property is considered significant if the value of the property is estimated to exceed $200,000. Subsequent appraisals are obtained as needed or if management believes there has been a significant change in the market value of the property. In instances where it is not deemed necessary to obtain a new appraisal, management bases its impairment and allowance for loan loss analysis on the original appraisal with adjustments for current conditions based on management’s assessment of market factors and management’s inspection of the property. | |
Troubled Debt Restructurings | |
Modification of a loan is considered to be a troubled debt restructuring (TDR) if the debtor is experiencing financial difficulties and the Company grants a concession to the debtor that it would not otherwise consider. By granting the concession, the Company expects to obtain more cash or other value from the debtor, or to increase the probability of receipt, than would be expected by not granting the concession. The concession may include, but is not limited to, reduction of the stated interest rate of the loan, reduction of accrued interest, extension of the maturity date or reduction of the face amount of the debt. A concession will be granted when, as a result of the restructuring, the Company does not expect to collect all amounts due, including interest at the original stated rate. A concession may also be granted if the debtor is not able to access funds elsewhere at a market rate for debt with similar risk characteristics as the restructured debt. The Company’s determination of whether a loan modification is a TDR considers the individual facts and circumstances surrounding each modification. | |
A TDR can involve loans remaining on nonaccrual, moving to nonaccrual, or continuing on accrual status, depending on the individual facts and circumstances of the borrower. A TDR on nonaccrual status is restored to accrual status when the borrower has demonstrated the ability to make future payments in accordance with the restructured terms, which generally requires that the borrower demonstrate a period of performance of at least six consecutive months in accordance with the restructured terms including consistent and timely payments. | |
Allowance for Loan Losses | |
The allowance for loan losses reflects management’s judgment of probable loan losses inherent in the loan portfolio at the balance sheet date. Additions to the allowance for loan losses are made by the provision for loan losses charged to earnings. Loan losses are charged against the allowance when management believes the uncollectibility of a loan balance is confirmed. Subsequent recoveries, if any, are credited to the allowance. | |
The Company uses a disciplined process and methodology to evaluate the allowance for loan losses on at least a quarterly basis that is based upon management’s periodic review of the collectibility of the loans in light of historical experience, the nature and volume of the loan portfolio, adverse situations that may affect the borrower’s ability to repay, estimated value of any underlying collateral, and prevailing economic conditions. This evaluation is inherently subjective as it requires estimates that are susceptible to significant revision as more information becomes available. | |
The allowance consists of specific and general components. The specific component relates to loans that are individually evaluated for impairment or loans otherwise classified as doubtful, substandard, or special mention. For such loans that are classified as impaired, an allowance is established when the discounted cash flows (or collateral value or observable market price) of the impaired loan is lower than the carrying value of that loan. | |
The general component covers non-classified loans and classified loans that are found, upon individual evaluation, to not be impaired. Such loans are pooled by segment and losses are modeled using annualized historical loss experience adjusted for qualitative factors. The historical loss experience is determined by portfolio segment and is based on the actual loss history experienced by the Company over the most recent twelve calendar quarters unless the historical loss experience is not considered indicative of the level of risk in the remaining balance of a particular portfolio segment, in which case an adjustment is determined by management. The Company’s historical loss experience is then adjusted by an overall loss factor weighting adjustment based on a qualitative analysis prepared by management and reviewed on a quarterly basis. The overall loss factor considers changes in underwriting standards, economic conditions, changes and trends in past due and classified loans and other internal and external factors. | |
Management also applies additional loss factor multiples to loans classified as watch, special mention and substandard that are not individually evaluated for impairment. The loss factor multiples for classified loans are based on management’s assessment of historical trends regarding losses experienced on classified loans in prior periods. See Note 4 for additional discussion of the qualitative factors utilized in management’s allowance for loan losses methodology at December 31, 2013 and 2012. | |
Management exercises significant judgment in evaluating the relevant historical loss experience and the qualitative factors. Management also monitors the differences between estimated and actual incurred loan losses for loans considered impaired in order to evaluate the effectiveness of the estimation process and make any changes in the methodology as necessary. | |
The following portfolio segments are considered in the allowance for loan loss analysis: residential real estate, land, construction, commercial real estate, commercial business, home equity and second mortgage, and other consumer loans. | |
Residential real estate loans primarily consist of loans to individuals for the purchase or refinance of their primary residence, with a smaller portion of the segment secured by non-owner-occupied residential investment properties and multi-family residential investment properties. The risks associated with residential real estate loans are closely correlated to the local housing market and general economic conditions, as repayment of the loans is primarily dependent on the borrowers’ or tenants’ personal cash flow and employment status. | |
Land loans primarily consist of loans secured by farmland and vacant land held for investment purposes. The risks associated with land loans are related to the market value of the property taken as collateral and the underlying cash flows for loans secured by farmland, and general economic conditions. | |
The Company’s construction loan portfolio consists of single-family residential properties, multi-family properties and commercial projects, and includes both owner-occupied and speculative investment properties. Risks inherent in construction lending are related to the market value of the property held as collateral, the cost and timing of constructing or improving a property, the borrower’s ability to use funds generated by a project to service a loan until a project is completed, movements in interest rates and the real estate market during the construction phase, and the ability of the borrower to obtain permanent financing. | |
Commercial real estate loans are comprised of loans secured by various types of collateral including office buildings, warehouses, retail space and mixed use buildings located in the Company’s primary lending area. Risks related to commercial real estate lending are related to the market value of the property taken as collateral, the underlying cash flows and general economic condition of the local real estate market. Repayment of these loans is generally dependent on the ability of the borrower to attract tenants at lease rates that provide for adequate debt service and can be impacted by local economic conditions which impact vacancy rates. The Company generally obtains loan guarantees from financially capable parties for commercial real estate loans. | |
Commercial business loans includes lines of credit to businesses, term loans and letters of credit secured by business assets such as equipment, accounts receivable, inventory, or other assets excluding real estate and are generally made to finance capital expenditures or fund operations. Commercial loans contain risks related to the value of the collateral securing the loan and the repayment is primarily dependent upon the financial success and viability of the borrower. As with commercial real estate loans, the Company generally obtains loan guarantees from financially capable parties for commercial business loans. | |
Home equity and second mortgage loans and other consumer loans consist primarily of home equity lines of credit and other loans secured by junior liens on the borrower’s personal residence, home improvement loans, automobile and truck loans, boat loans, mobile home loans, loans secured by savings deposits, credit cards and other personal loans. The risk associated with these loans is related to the local housing market and local economic conditions including the unemployment level. | |
Loan Charge-Offs | |
For portfolio segments other than consumer loans, the Company’s practice is to charge-off any loan or portion of a loan when the loan is determined by management to be uncollectible due to the borrower’s failure to meet repayment terms, the borrower’s deteriorating or deteriorated financial condition, the depreciation of the underlying collateral, the loan’s classification as a loss by regulatory examiners, or for other reasons. A partial charge-off is recorded on a loan when the uncollectibility of a portion of the loan has been confirmed, such as when a loan is discharged in bankruptcy, the collateral is liquidated, a loan is restructured at a reduced principal balance, or other identifiable events that lead management to determine the full principal balance of the loan will not be repaid. A specific reserve is recognized as a component of the allowance for estimated losses on loans individually evaluated for impairment. Partial charge-offs on nonperforming and impaired loans are included in the Company’s historical loss experience used to estimate the general component of the allowance for loan losses as discussed above. Specific reserves are not considered charge-offs in management’s evaluation of the general component of the allowance for loan losses because they are estimates and the outcome of the loan relationship is undetermined. | |
During 2013 and 2012, the Company recognized partial charge-offs totaling $68,000 and $366,000, respectively. At December 31, 2013, the Company had 11 loans with an aggregate recorded investment of $1.4 million on which partial charge-offs of $446,000 had been recorded. | |
Consumer loans not secured by real estate are typically charged off at 90 days past due, or earlier if deemed uncollectible, unless the loans are in the process of collection. Overdrafts are charged off after 45 days past due. Charge-offs are typically recorded on loans secured by real estate when the property is foreclosed upon. | |
Foreclosed Real Estate | ' |
Foreclosed Real Estate | |
Foreclosed real estate includes both formally foreclosed property and in-substance foreclosed property held for sale. In-substance foreclosed properties are those properties for which the institution has taken physical possession, regardless of whether formal foreclosure proceedings have taken place. | |
At the time of foreclosure, foreclosed real estate is recorded at fair value less estimated costs to sell, which becomes the property’s new basis. Any write-downs based on the property’s fair value at the date of acquisition are charged to the allowance for loan losses. After foreclosure, valuations are periodically performed by management and property held for sale is carried at the lower of the new cost basis or fair value less cost to sell. Costs incurred in maintaining foreclosed real estate and subsequent impairment adjustments to the carrying amount of a property, if any, are included in other noninterest expense. | |
Premises and Equipment | ' |
Premises and Equipment | |
Premises and equipment are stated at cost less accumulated depreciation. The Company uses the straight line method of computing depreciation at rates adequate to amortize the cost of the applicable assets over their estimated useful lives. Maintenance and repairs are expensed as incurred. The cost and related accumulated depreciation of assets sold, or otherwise disposed of, are removed from the related accounts and any gain or loss is included in earnings. | |
Goodwill and Other Intangibles | ' |
Goodwill and Other Intangibles | |
Goodwill recognized in a business combination represents the excess of the cost of the acquired entity over the net of the amounts assigned to assets acquired and liabilities assumed. Goodwill is carried at its implied fair value and is evaluated for possible impairment at least annually or more frequently upon the occurrence of an event or change in circumstances that would more likely than not reduce the fair value of the reporting unit below its carrying amount. Such circumstances could include, but are not limited to: (1) a significant adverse change in legal factors or in business climate, (2) unanticipated competition, or (3) an adverse action or assessment by a regulator. If the carrying amount of the goodwill exceeds its implied fair value, an impairment loss is recognized in earnings equal to that excess amount. The loss recognized cannot exceed the carrying amount of goodwill. After a goodwill impairment loss is recognized, the adjusted carrying amount of goodwill is its new accounting basis. | |
Other intangible assets consist of acquired core deposit intangibles. Core deposit intangibles are amortized over the estimated economic lives of the acquired core deposits. The carrying amount of core deposit intangibles and the remaining estimated economic life are evaluated annually or whenever events or circumstances indicate the carrying amount may not be recoverable or the remaining period of amortization requires revision. After an impairment loss is recognized, the adjusted carrying amount of the intangible asset is its new accounting basis. All core deposit intangibles had been fully amortized as of December 31, 2012. | |
Mortgage Banking Activities | ' |
Mortgage Banking Activities | |
Mortgage loans originated and intended for sale in the secondary market are carried at the lower of aggregate cost or market value. Aggregate market value is determined based on the quoted prices under a “best efforts” sales agreement with a third party. Net unrealized losses are recognized through a valuation allowance by charges to income. Realized gains on sales of mortgage loans are included in noninterest income. Mortgage loans are sold with servicing released. | |
Commitments to originate mortgage loans held for sale are considered derivative financial instruments to be accounted for at fair value. The Bank’s mortgage loan commitments subject to derivative accounting are fixed-rate mortgage loan commitments at market rates when initiated. At December 31, 2013, the Bank had commitments to originate $280,000 in fixed-rate mortgage loans intended for sale in the secondary market after the loans are closed. Fair value is estimated based on fees that would be charged on commitments with similar terms. | |
Cash Surrender Value of Life Insurance | ' |
Cash Surrender Value of Life Insurance | |
The Bank has purchased life insurance policies on certain directors, officers and key employees to offset costs associated with the Bank’s compensation and benefit programs. Bank-owned life insurance is recorded at the amount that can be realized under the insurance contracts at the balance sheet date, which is the cash surrender value adjusted for other charges or other amounts due that are probable at settlement. | |
Stock-Based Compensation | ' |
Stock-Based Compensation | |
The Company has adopted the fair value based method of accounting for stock-based compensation prescribed in Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) Topic 718 for its stock plans. | |
Advertising Costs | ' |
Advertising Costs | |
Advertising costs are charged to operations when incurred. | |
Income Taxes | ' |
Income Taxes | |
When income tax returns are filed, it is highly certain that some positions taken would be sustained upon examination by the taxing authorities, while other positions are subject to some degree of uncertainty regarding the merits of the position taken or the amount of the position that would be sustained. The Company recognizes the benefits of a tax position in the consolidated financial statements of the period during which, based on all available evidence, management believes it is more-likely-than-not (more than 50 percent probable) that the tax position would be sustained upon examination. Income tax positions that meet the more-likely-than-not threshold are measured as the largest amount of income tax benefit that is more than 50 percent likely of being realized upon settlement with the applicable taxing authority. The portion of the benefits associated with the income tax positions claimed on income tax returns that exceeds the amount measured as described above is reflected as a liability for unrecognized income tax benefits in the consolidated balance sheet, along with any associated interest and penalties that would be payable to the taxing authorities, if there were an examination. Interest and penalties associated with unrecognized income tax benefits are classified as additional income taxes in the statement of income. | |
Income taxes are provided for the tax effects of the transactions reported in the financial statements and consist of taxes currently due plus deferred income taxes. Income tax reporting and financial statement reporting rules differ in many respects. As a result, there will often be a difference between the carrying amount of an asset or liability as presented in the accompanying consolidated balance sheets and the amount that would be recognized as the tax basis of the same asset or liability computed based on the effects of tax positions recognized, as described in the preceding paragraph. These differences are referred to as temporary differences because they are expected to reverse in future years. Deferred income tax assets are recognized for temporary differences where their future reversal will result in future tax benefits. Deferred income tax assets are also recognized for the future tax benefits expected to be realized from net operating loss or tax credit carryforwards. Deferred income tax liabilities are recognized for temporary differences where their future reversal will result in the payment of future income taxes. Deferred income tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred income tax assets will not be realized. Deferred tax assets and liabilities are reflected at income tax rates applicable to the period in which the deferred tax assets or liabilities are expected to be realized or settled. As changes in tax laws or rates are enacted, deferred tax assets and liabilities are adjusted through the provision for income taxes. | |
Earnings per Common Share | ' |
Earnings per Common Share | |
Basic earnings per common share is computed by dividing net income available to common shareholders by the weighted average number of shares of common stock outstanding during the periods presented. Diluted earnings per common share include the dilutive effect of additional potential common shares issuable under stock options, restricted stock and other potentially dilutive securities outstanding. Earnings and dividends per share are restated for stock splits and dividends through the date of issuance of the financial statements. | |
Comprehensive Income | ' |
Comprehensive Income | |
Comprehensive income consists of reported net income and other comprehensive income. Other comprehensive income refers to revenue, expenses, gains and losses that are recorded as an element of equity but are excluded from reported net income. Other comprehensive income includes changes in the unrealized gains and losses on securities available for sale. | |
Loss Contingencies | ' |
Loss Contingencies | |
Loss contingencies, including claims and legal actions arising in the ordinary course of business, are recorded as liabilities when the likelihood of loss is probable and an amount or range of loss can be reasonably estimated. | |
Recent Accounting Pronouncements | ' |
Recent Accounting Pronouncements | |
The following are summaries of recently issued or adopted accounting pronouncements that impact the accounting and reporting practices of the Company: | |
In December 2011, the FASB issued Accounting Standards Update (ASU) No. 2011-11, Balance Sheet (Topic 210). The update requires an entity to disclose information about offsetting and related arrangements to enable users of the financial statements to understand the effect of netting arrangements on the entity’s financial position. In January 2013, the FASB issued ASU No. 2013-01 to clarify that the scope of ASU No. 2011-11 applies to derivatives accounted for in accordance with Topic 815, including bifurcated embedded derivatives, repurchase agreements and reverse repurchase agreements, and securities borrowing and securities lending transactions that are either offset or subject to an enforceable master netting agreement or similar agreement. The amendments in the updates are effective for annual reporting periods beginning on or after January 1, 2013, and interim periods within those annual periods, with disclosures required by the amendments provided retrospectively for all comparative periods presented. The adoption of these updates did not have a material impact on the Company’s consolidated financial position or results of operations. | |
In February 2013, the FASB issued ASU No. 2013-02, Comprehensive Income (Topic 220): Reporting of Amounts Reclassified out of Accumulated Other Comprehensive Income. The update does not change the current requirements for reporting net income or other comprehensive income in financial statements. The amendments require an entity to provide information about the amounts reclassified out of accumulated other comprehensive income by component. In addition, an entity is required to present, either on the face of the statement where net income is presented or in the notes, significant amounts reclassified out of accumulated other comprehensive income by the respective line items of net income but only if the amount reclassified is required under U.S. generally accepted accounting principles (U.S. GAAP) to be reclassified to net income in its entirety in the same reporting period. For other amounts that are not required under U.S. GAAP to be reclassified in their entirety to net income, an entity is required to cross-reference to other disclosures required under U.S. GAAP that provide additional detail about those amounts. For public entities, the amendments in the update are effective prospectively for reporting periods beginning after December 15, 2012. Early adoption is permitted. The adoption of this update did not have a material impact on the Company’s financial position or results of operations. | |
In January 2014, the FASB issued ASU No. 2014-04, Receivables – Troubled Debt Restructurings by Creditors (Subtopic 310-40), Reclassification of Residential Real Estate Collateralized Consumer Mortgage Loans upon Foreclosure. The objective of the amendments in this update is to reduce diversity in practice by clarifying when an in-substance repossession or foreclosure occurs, that is, when a creditor should be considered to have received physical possession of residential real estate property collateralizing a consumer mortgage loan such that the loan receivable should be derecognized and the real estate property recognized. The amendments in the update clarify that an in-substance repossession or foreclosure occurs, and a creditor is considered to have received physical possession of residential real estate property collateralizing a consumer mortgage loan, upon either (1) the creditor obtaining legal title to the residential real estate property upon completion of a foreclosure, or (2) the borrower conveying all interest in the residential real estate property to the creditor to satisfy that loan through completion of a deed in lieu of foreclosure or through a similar legal agreement. Additionally, the amendments require interim and annual disclosure of both (1) the amount of foreclosed residential real estate property held by the creditor, and (2) the recorded investment in consumer mortgage loans collateralized by residential real estate property that are in the process of foreclosure according to local requirements of the applicable jurisdiction. The amendments in the update are effective for public business entities for annual periods, and interim periods within those annual periods, beginning after December 15, 2014. The adoption of this update is not expected to have a material impact on the Bank’s financial position or results of operations. |
INVESTMENT_SECURITIES_Tables
INVESTMENT SECURITIES (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Investment Securities | ' | ||||||||||||||||
Debt and equity securities have been classified in the consolidated balance sheets according to management’s intent. Investment securities at December 31, 2013 and 2012 are summarized as follows: | |||||||||||||||||
(In thousands) | Amortized | Gross | Gross | Fair | |||||||||||||
Cost | Unrealized | Unrealized | Value | ||||||||||||||
Gains | Losses | ||||||||||||||||
December 31, 2013: | |||||||||||||||||
Securities available for sale: | |||||||||||||||||
Agency mortgage-backed securities | $ | 18,408 | $ | 205 | $ | 244 | $ | 18,369 | |||||||||
Agency CMO | 20,486 | 96 | 341 | 20,241 | |||||||||||||
Other debt securities: | |||||||||||||||||
Agency notes and bonds | 31,594 | 49 | 729 | 30,914 | |||||||||||||
Municipal obligations | 36,200 | 778 | 938 | 36,040 | |||||||||||||
Subtotal – debt securities | 106,688 | 1,128 | 2,252 | 105,564 | |||||||||||||
Mutual funds | 3,238 | 0 | 40 | 3,198 | |||||||||||||
Total securities available for sale | $ | 109,926 | $ | 1,128 | $ | 2,292 | $ | 108,762 | |||||||||
Securities held to maturity: | |||||||||||||||||
Agency mortgage-backed securities | $ | 9 | $ | 0 | $ | 0 | $ | 9 | |||||||||
Total securities held to maturity | $ | 9 | $ | 0 | $ | 0 | $ | 9 | |||||||||
December 31, 2012: | |||||||||||||||||
Securities available for sale: | |||||||||||||||||
Agency mortgage-backed securities | $ | 22,762 | $ | 456 | $ | 12 | $ | 23,206 | |||||||||
Agency CMO | 22,458 | 225 | 23 | 22,660 | |||||||||||||
Other debt securities: | |||||||||||||||||
Agency notes and bonds | 38,273 | 290 | 10 | 38,553 | |||||||||||||
Municipal obligations | 32,605 | 1,800 | 88 | 34,317 | |||||||||||||
Subtotal – debt securities | 116,098 | 2,771 | 133 | 118,736 | |||||||||||||
Mutual funds | 4,213 | 40 | 16 | 4,237 | |||||||||||||
Total securities available for sale | $ | 120,311 | $ | 2,811 | $ | 149 | $ | 122,973 | |||||||||
Securities held to maturity: | |||||||||||||||||
Agency mortgage-backed securities | $ | 12 | $ | 0 | $ | 0 | $ | 12 | |||||||||
Total securities held to maturity | $ | 12 | $ | 0 | $ | 0 | $ | 12 | |||||||||
Amortized Cost and Fair Value of Debt Securities by Contractual Maturity | ' | ||||||||||||||||
The amortized cost and fair value of debt securities as of December 31, 2013, by contractual maturity, are shown below. Expected maturities of mortgage-backed securities and CMO may differ from contractual maturities because the mortgages underlying the obligations may be prepaid without penalty. | |||||||||||||||||
Securities Available for Sale | Securities Held to Maturity | ||||||||||||||||
Amortized | Fair | Amortized | Fair | ||||||||||||||
Cost | Value | Cost | Value | ||||||||||||||
(In thousands) | |||||||||||||||||
Due in one year or less | $ | 0 | $ | 0 | $ | 0 | $ | 0 | |||||||||
Due after one year through five years | 9,006 | 9,024 | 0 | 0 | |||||||||||||
Due after five years through ten years | 30,698 | 30,525 | 0 | 0 | |||||||||||||
Due after ten years | 28,090 | 27,405 | 0 | 0 | |||||||||||||
67,794 | 66,954 | 0 | 0 | ||||||||||||||
Mortgage-backed securities and CMO | 38,894 | 38,610 | 9 | 9 | |||||||||||||
$ | 106,688 | $ | 105,564 | $ | 9 | $ | 9 | ||||||||||
Investment Securities Available for Sale with Gross Unrealized Losses Aggregated by Investment Category and Length of Time Individual Investment Securities | ' | ||||||||||||||||
Information pertaining to investment securities available for sale with gross unrealized losses at December 31, 2013, aggregated by investment category and the length of time that individual investment securities have been in a continuous loss position, follows. At December 31, 2013, the Company did not have any securities held to maturity with an unrealized loss. | |||||||||||||||||
(Dollars in thousands) | Number of | Fair | Gross | ||||||||||||||
Investment | Value | Unrealized | |||||||||||||||
Positions | Losses | ||||||||||||||||
Continuous loss position less than twelve months: | |||||||||||||||||
Agency mortgage-backed securities | 15 | $ | 12,975 | $ | 161 | ||||||||||||
Agency CMO | 14 | 12,577 | 307 | ||||||||||||||
Agency notes and bonds | 21 | 21,952 | 729 | ||||||||||||||
Municipal obligations | 30 | 12,487 | 746 | ||||||||||||||
Mutual fund | 1 | 1,537 | 27 | ||||||||||||||
Total less than twelve months | 81 | 61,528 | 1,970 | ||||||||||||||
Continuous loss position more than twelve months: | |||||||||||||||||
Agency mortgage-backed securities | 2 | 1,788 | 83 | ||||||||||||||
Agency CMO | 1 | 720 | 34 | ||||||||||||||
Municipal obligations | 5 | 2,353 | 192 | ||||||||||||||
Mutual fund | 1 | 400 | 13 | ||||||||||||||
Total more than twelve months | 9 | 5,261 | 322 | ||||||||||||||
Total securities available for sale | 90 | $ | 66,789 | $ | 2,292 | ||||||||||||
LOANS_AND_ALLOWANCE_FOR_LOAN_L1
LOANS AND ALLOWANCE FOR LOAN LOSSES (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||
Loans | ' | ||||||||||||||||||||||||||||||||
The following table provides the components of the Company’s recorded investment in loans at December 31, 2013 and 2012: | |||||||||||||||||||||||||||||||||
Residential | Land | Construction | Commercial | Commercial | Home | Other | Total | ||||||||||||||||||||||||||
Real Estate | Real Estate | Business | Equity and | Consumer | |||||||||||||||||||||||||||||
Second | |||||||||||||||||||||||||||||||||
Mortgage | |||||||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||||||
December 31, 2013: | |||||||||||||||||||||||||||||||||
Principal loan balance | $ | 107,029 | $ | 10,309 | $ | 8,996 | $ | 76,496 | $ | 21,956 | $ | 34,815 | $ | 33,486 | $ | 293,087 | |||||||||||||||||
Accrued interest receivable | 427 | 49 | 22 | 202 | 56 | 126 | 168 | 1,050 | |||||||||||||||||||||||||
Net deferred loan origination fees and costs | 52 | 2 | 0 | (32 | ) | (9 | ) | 328 | 0 | 341 | |||||||||||||||||||||||
Recorded investment in loans | $ | 107,508 | $ | 10,360 | $ | 9,018 | $ | 76,666 | $ | 22,003 | $ | 35,269 | $ | 33,654 | $ | 294,478 | |||||||||||||||||
December 31, 2012: | |||||||||||||||||||||||||||||||||
Principal loan balance | $ | 108,097 | $ | 9,607 | $ | 11,746 | $ | 68,731 | $ | 18,612 | $ | 36,962 | $ | 31,186 | $ | 284,941 | |||||||||||||||||
Accrued interest receivable | 444 | 48 | 29 | 188 | 53 | 147 | 184 | 1,093 | |||||||||||||||||||||||||
Net deferred loan origination fees and costs | 62 | 2 | (12 | ) | (17 | ) | (10 | ) | 177 | 0 | 202 | ||||||||||||||||||||||
Recorded investment in loans | $ | 108,603 | $ | 9,657 | $ | 11,763 | $ | 68,902 | $ | 18,655 | $ | 37,286 | $ | 31,370 | $ | 286,236 | |||||||||||||||||
Activity for Related Party Loans | ' | ||||||||||||||||||||||||||||||||
The following table represents the aggregate activity for related party loans during the year ended December 31, 2013. The beginning balance has been adjusted to reflect new directors and officers, as well as directors and officers that are no longer with the Company. | |||||||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||||||
Beginning balance, as adjusted | $ | 6,084 | |||||||||||||||||||||||||||||||
New loans | 7,427 | ||||||||||||||||||||||||||||||||
Payments | (6,962 | ) | |||||||||||||||||||||||||||||||
Ending balance | $ | 6,549 | |||||||||||||||||||||||||||||||
Allowance for Loan Losses | ' | ||||||||||||||||||||||||||||||||
An analysis of the allowance for loan losses and recorded investment in loans as of and for the year ended December 31, 2013 is as follows: | |||||||||||||||||||||||||||||||||
Residential | Land | Construction | Commercial | Commercial | Home | Other | Total | ||||||||||||||||||||||||||
Real Estate | Real Estate | Business | Equity and | Consumer | |||||||||||||||||||||||||||||
Second | |||||||||||||||||||||||||||||||||
Mortgage | |||||||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||||||
Allowance for Loan Losses: | |||||||||||||||||||||||||||||||||
Beginning balance | $ | 922 | $ | 71 | $ | 0 | $ | 1,310 | $ | 1,223 | $ | 919 | $ | 291 | $ | 4,736 | |||||||||||||||||
Provisions | 182 | 83 | 63 | 47 | 169 | 4 | 177 | 725 | |||||||||||||||||||||||||
Charge-offs | (353 | ) | (2 | ) | 0 | (90 | ) | (20 | ) | (90 | ) | (337 | ) | (892 | ) | ||||||||||||||||||
Recoveries | 60 | 0 | 0 | 17 | 74 | 44 | 158 | 353 | |||||||||||||||||||||||||
Ending balance | $ | 811 | $ | 152 | $ | 63 | $ | 1,284 | $ | 1,446 | $ | 877 | $ | 289 | $ | 4,922 | |||||||||||||||||
Ending allowance balance attributable to loans: | |||||||||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 112 | $ | 0 | $ | 0 | $ | 145 | $ | 1,259 | $ | 13 | $ | 0 | $ | 1,529 | |||||||||||||||||
Collectively evaluated for impairment | 699 | 152 | 63 | 1,139 | 187 | 864 | 289 | 3,393 | |||||||||||||||||||||||||
Ending balance | $ | 811 | $ | 152 | $ | 63 | $ | 1,284 | $ | 1,446 | $ | 877 | $ | 289 | $ | 4,922 | |||||||||||||||||
Recorded Investment in Loans: | |||||||||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 2,040 | $ | 120 | $ | 0 | $ | 2,586 | $ | 1,898 | $ | 276 | $ | 0 | $ | 6,920 | |||||||||||||||||
Collectively evaluated for impairment | 105,468 | 10,240 | 9,018 | 74,080 | 20,105 | 34,993 | 33,654 | 287,558 | |||||||||||||||||||||||||
Ending balance | $ | 107,508 | $ | 10,360 | $ | 9,018 | $ | 76,666 | $ | 22,003 | $ | 35,269 | $ | 33,654 | $ | 294,478 | |||||||||||||||||
An analysis of the allowance for loan losses and recorded investment in loans as of and for the year ended December 31, 2012 is as follows: | |||||||||||||||||||||||||||||||||
Residential | Land | Construction | Commercial | Commercial | Home | Other | Total | ||||||||||||||||||||||||||
Real Estate | Real Estate | Business | Equity and | Consumer | |||||||||||||||||||||||||||||
Second | |||||||||||||||||||||||||||||||||
Mortgage | |||||||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||||||
Allowance for Loan Losses: | |||||||||||||||||||||||||||||||||
Beginning balance | $ | 828 | $ | 93 | $ | 33 | $ | 1,269 | $ | 1,160 | $ | 400 | $ | 399 | $ | 4,182 | |||||||||||||||||
Provisions | 496 | (19 | ) | (33 | ) | 145 | 70 | 834 | 32 | 1,525 | |||||||||||||||||||||||
Charge-offs | (418 | ) | (4 | ) | 0 | (104 | ) | (17 | ) | (342 | ) | (313 | ) | (1,198 | ) | ||||||||||||||||||
Recoveries | 16 | 1 | 0 | 0 | 10 | 27 | 173 | 227 | |||||||||||||||||||||||||
Ending balance | $ | 922 | $ | 71 | $ | 0 | $ | 1,310 | $ | 1,223 | $ | 919 | $ | 291 | $ | 4,736 | |||||||||||||||||
Ending allowance balance attributable to loans: | |||||||||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 213 | $ | 0 | $ | 0 | $ | 275 | $ | 1,098 | $ | 66 | $ | 0 | $ | 1,652 | |||||||||||||||||
Collectively evaluated for impairment | 709 | 71 | 0 | 1,035 | 125 | 853 | 291 | 3,084 | |||||||||||||||||||||||||
Ending balance | $ | 922 | $ | 71 | $ | 0 | $ | 1,310 | $ | 1,223 | $ | 919 | $ | 291 | $ | 4,736 | |||||||||||||||||
Recorded Investment in Loans: | |||||||||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 2,591 | $ | 125 | $ | 403 | $ | 2,836 | $ | 1,776 | $ | 73 | $ | 0 | $ | 7,804 | |||||||||||||||||
Collectively evaluated for impairment | 106,012 | 9,532 | 11,360 | 66,066 | 16,879 | 37,213 | 31,370 | 278,432 | |||||||||||||||||||||||||
Ending balance | $ | 108,603 | $ | 9,657 | $ | 11,763 | $ | 68,902 | $ | 18,655 | $ | 37,286 | $ | 31,370 | $ | 286,236 | |||||||||||||||||
Impaired Loans | ' | ||||||||||||||||||||||||||||||||
The following table summarizes the Company’s impaired loans as of and for the year ended December 31, 2013: | |||||||||||||||||||||||||||||||||
Unpaid | Average | Interest | Interest | ||||||||||||||||||||||||||||||
Recorded | Principal | Related | Recorded | Income | Recognized – | ||||||||||||||||||||||||||||
Investment | Balance | Allowance | Investment | Recognized | Cash Method | ||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||||||
Loans with no related allowance recorded: | |||||||||||||||||||||||||||||||||
Residential real estate | $ | 1,591 | $ | 1,869 | $ | 0 | $ | 1,508 | $ | 32 | $ | 22 | |||||||||||||||||||||
Land | 120 | 131 | 0 | 124 | 0 | 0 | |||||||||||||||||||||||||||
Construction | 0 | 0 | 0 | 173 | 0 | 0 | |||||||||||||||||||||||||||
Commercial real estate | 1,637 | 1,643 | 0 | 1,410 | 63 | 47 | |||||||||||||||||||||||||||
Commercial business | 189 | 209 | 0 | 38 | 4 | 3 | |||||||||||||||||||||||||||
Home equity and second mortgage | 254 | 268 | 0 | 164 | 5 | 4 | |||||||||||||||||||||||||||
Other consumer | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||||||||||||
3,791 | 4,120 | 0 | 3,417 | 104 | 76 | ||||||||||||||||||||||||||||
Loans with an allowance recorded: | |||||||||||||||||||||||||||||||||
Residential real estate | 449 | 487 | 112 | 624 | 2 | 1 | |||||||||||||||||||||||||||
Land | 0 | 0 | 0 | 1 | 0 | 0 | |||||||||||||||||||||||||||
Construction | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||||||||||||
Commercial real estate | 949 | 1,048 | 145 | 1,108 | 0 | 0 | |||||||||||||||||||||||||||
Commercial business | 1,709 | 1,909 | 1,259 | 1,801 | 0 | 0 | |||||||||||||||||||||||||||
Home equity and second mortgage | 22 | 22 | 13 | 47 | 0 | 0 | |||||||||||||||||||||||||||
Other consumer | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||||||||||||
3,129 | 3,466 | 1,529 | 3,581 | 2 | 1 | ||||||||||||||||||||||||||||
Total: | |||||||||||||||||||||||||||||||||
Residential real estate | 2,040 | 2,356 | 112 | 2,132 | 34 | 23 | |||||||||||||||||||||||||||
Land | 120 | 131 | 0 | 125 | 0 | 0 | |||||||||||||||||||||||||||
Construction | 0 | 0 | 0 | 173 | 0 | 0 | |||||||||||||||||||||||||||
Commercial real estate | 2,586 | 2,691 | 145 | 2,518 | 63 | 47 | |||||||||||||||||||||||||||
Commercial business | 1,898 | 2,118 | 1,259 | 1,839 | 4 | 3 | |||||||||||||||||||||||||||
Home equity and second mortgage | 276 | 290 | 13 | 211 | 5 | 4 | |||||||||||||||||||||||||||
Other consumer | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||||||||||||
$ | 6,920 | $ | 7,586 | $ | 1,529 | $ | 6,998 | $ | 106 | $ | 77 | ||||||||||||||||||||||
The following table summarizes the Company’s impaired loans as of and for the year ended December 31, 2012: | |||||||||||||||||||||||||||||||||
Unpaid | Average | Interest | Interest | ||||||||||||||||||||||||||||||
Recorded | Principal | Related | Recorded | Income | Recognized – | ||||||||||||||||||||||||||||
Investment | Balance | Allowance | Investment | Recognized | Cash Method | ||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||||||
Loans with no related allowance recorded: | |||||||||||||||||||||||||||||||||
Residential real estate | $ | 1,648 | $ | 1,981 | $ | 0 | $ | 1,450 | $ | 21 | $ | 10 | |||||||||||||||||||||
Land | 125 | 126 | 0 | 125 | 6 | 9 | |||||||||||||||||||||||||||
Construction | 403 | 413 | 0 | 315 | 0 | 0 | |||||||||||||||||||||||||||
Commercial real estate | 1,535 | 1,944 | 0 | 1,292 | 0 | 1 | |||||||||||||||||||||||||||
Commercial business | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||||||||||||
Home equity and second mortgage | 0 | 0 | 0 | 53 | 2 | 2 | |||||||||||||||||||||||||||
Other consumer | 0 | 0 | 0 | 0 | 1 | 0 | |||||||||||||||||||||||||||
3,711 | 4,464 | 0 | 3,235 | 30 | 22 | ||||||||||||||||||||||||||||
Loans with an allowance recorded: | |||||||||||||||||||||||||||||||||
Residential real estate | 943 | 1,020 | 213 | 1,110 | 7 | 6 | |||||||||||||||||||||||||||
Land | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||||||||||||
Construction | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||||||||||||
Commercial real estate | 1,301 | 1,394 | 275 | 1,542 | 0 | 0 | |||||||||||||||||||||||||||
Commercial business | 1,776 | 1,909 | 1,098 | 1,857 | 0 | 0 | |||||||||||||||||||||||||||
Home equity and second mortgage | 73 | 73 | 66 | 103 | 0 | 0 | |||||||||||||||||||||||||||
Other consumer | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||||||||||||
4,093 | 4,396 | 1,652 | 4,612 | 7 | 6 | ||||||||||||||||||||||||||||
Total: | |||||||||||||||||||||||||||||||||
Residential real estate | 2,591 | 3,001 | 213 | 2,560 | 28 | 16 | |||||||||||||||||||||||||||
Land | 125 | 126 | 0 | 125 | 6 | 9 | |||||||||||||||||||||||||||
Construction | 403 | 413 | 0 | 315 | 0 | 0 | |||||||||||||||||||||||||||
Commercial real estate | 2,836 | 3,338 | 275 | 2,834 | 0 | 1 | |||||||||||||||||||||||||||
Commercial business | 1,776 | 1,909 | 1,098 | 1,857 | 0 | 0 | |||||||||||||||||||||||||||
Home equity and second mortgage | 73 | 73 | 66 | 156 | 2 | 2 | |||||||||||||||||||||||||||
Other consumer | 0 | 0 | 0 | 0 | 1 | 0 | |||||||||||||||||||||||||||
$ | 7,804 | $ | 8,860 | $ | 1,652 | $ | 7,847 | $ | 37 | $ | 28 | ||||||||||||||||||||||
Recorded Investment in Nonperforming Loans | ' | ||||||||||||||||||||||||||||||||
The following table presents the recorded investment in nonperforming loans at December 31, 2013 and 2012: | |||||||||||||||||||||||||||||||||
December 31, 2013 | December 31, 2012 | ||||||||||||||||||||||||||||||||
Nonaccrual | Loans 90+ | Total | Nonaccrual | Loans 90+ | Total | ||||||||||||||||||||||||||||
Loans | Days | Nonperforming | Loans | Days | Nonperforming | ||||||||||||||||||||||||||||
Past Due | Loans | Past Due | Loans | ||||||||||||||||||||||||||||||
Still Accruing | Still Accruing | ||||||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||||||
Residential real estate | $ | 1,533 | $ | 180 | $ | 1,713 | $ | 2,370 | $ | 215 | $ | 2,585 | |||||||||||||||||||||
Land | 120 | 0 | 120 | 125 | 0 | 125 | |||||||||||||||||||||||||||
Construction | 0 | 0 | 0 | 403 | 0 | 403 | |||||||||||||||||||||||||||
Commercial real estate | 1,456 | 0 | 1,456 | 2,836 | 0 | 2,836 | |||||||||||||||||||||||||||
Commercial business | 1,898 | 0 | 1,898 | 1,776 | 0 | 1,776 | |||||||||||||||||||||||||||
Home equity and second mortgage | 252 | 39 | 291 | 73 | 56 | 129 | |||||||||||||||||||||||||||
Other consumer | 0 | 8 | 8 | 0 | 18 | 18 | |||||||||||||||||||||||||||
Total | $ | 5,259 | $ | 227 | $ | 5,486 | $ | 7,583 | $ | 289 | $ | 7,872 | |||||||||||||||||||||
Recorded Investment in Loans by Risk Category | ' | ||||||||||||||||||||||||||||||||
The following table presents the recorded investment in loans by risk category as of the date indicated: | |||||||||||||||||||||||||||||||||
Residential | Land | Construction | Commercial | Commercial | Home | Other | Total | ||||||||||||||||||||||||||
Real Estate | Real Estate | Business | Equity and | Consumer | |||||||||||||||||||||||||||||
Second | |||||||||||||||||||||||||||||||||
Mortgage | |||||||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||||||
December 31, 2013: | |||||||||||||||||||||||||||||||||
Pass | $ | 103,594 | $ | 7,096 | $ | 9,018 | $ | 71,893 | $ | 19,328 | $ | 34,693 | $ | 33,627 | $ | 279,249 | |||||||||||||||||
Special mention | 756 | 0 | 0 | 2,627 | 458 | 198 | 27 | 4,066 | |||||||||||||||||||||||||
Substandard | 1,625 | 3,144 | 0 | 690 | 319 | 126 | 0 | 5,904 | |||||||||||||||||||||||||
Doubtful | 1,533 | 120 | 0 | 1,456 | 1,898 | 252 | 0 | 5,259 | |||||||||||||||||||||||||
Loss | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||||||||||
Total | $ | 107,508 | $ | 10,360 | $ | 9,018 | $ | 76,666 | $ | 22,003 | $ | 35,269 | $ | 33,654 | $ | 294,478 | |||||||||||||||||
December 31, 2012: | |||||||||||||||||||||||||||||||||
Pass | $ | 102,618 | $ | 7,220 | $ | 11,244 | $ | 63,095 | $ | 15,026 | $ | 36,035 | $ | 31,302 | $ | 266,540 | |||||||||||||||||
Special mention | 958 | 17 | 116 | 1,018 | 1,354 | 553 | 25 | 4,041 | |||||||||||||||||||||||||
Substandard | 2,657 | 2,295 | 0 | 1,953 | 499 | 625 | 43 | 8,072 | |||||||||||||||||||||||||
Doubtful | 2,370 | 125 | 403 | 2,836 | 1,776 | 73 | 0 | 7,583 | |||||||||||||||||||||||||
Loss | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||||||||||
Total | $ | 108,603 | $ | 9,657 | $ | 11,763 | $ | 68,902 | $ | 18,655 | $ | 37,286 | $ | 31,370 | $ | 286,236 | |||||||||||||||||
Tdrs by Accrual Status | ' | ||||||||||||||||||||||||||||||||
The following table summarizes the Company’s TDRs by accrual status as of December 31, 2013 and 2012: | |||||||||||||||||||||||||||||||||
December 31, 2013 | December 31, 2012 | ||||||||||||||||||||||||||||||||
Accruing | Nonaccrual | Total | Related | Accruing | Nonaccrual | Total | Related | ||||||||||||||||||||||||||
Allowance | Allowance | ||||||||||||||||||||||||||||||||
for Loan | for Loan | ||||||||||||||||||||||||||||||||
Losses | Losses | ||||||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||||||
Residential real estate | $ | 508 | $ | 226 | $ | 734 | $ | 45 | $ | 180 | $ | 588 | $ | 768 | $ | 87 | |||||||||||||||||
Construction | 0 | 0 | 0 | 0 | 0 | 170 | 170 | 0 | |||||||||||||||||||||||||
Commercial real estate | 1,130 | 0 | 1,130 | 0 | 0 | 1,534 | 1,534 | 83 | |||||||||||||||||||||||||
Commercial business | 0 | 1,709 | 1,709 | 1,259 | 0 | 1,776 | 1,776 | 1,098 | |||||||||||||||||||||||||
Home equity and second mortgage | 24 | 0 | 24 | 0 | 41 | 31 | 72 | 25 | |||||||||||||||||||||||||
Total | $ | 1,662 | $ | 1,935 | $ | 3,597 | $ | 1,304 | $ | 221 | $ | 4,099 | $ | 4,320 | $ | 1,293 | |||||||||||||||||
Information in Regard to Tdrs that Occurred During Period | ' | ||||||||||||||||||||||||||||||||
The following table summarizes information in regard to TDRs that were restructured during the year ended December 31, 2013: | |||||||||||||||||||||||||||||||||
Number of | Pre- | Post- | |||||||||||||||||||||||||||||||
Contracts | Modification | Modification | |||||||||||||||||||||||||||||||
Outstanding | Outstanding | ||||||||||||||||||||||||||||||||
Balance | Balance | ||||||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||||||
Residential real estate | 5 | $ | 310 | $ | 310 | ||||||||||||||||||||||||||||
Total | 5 | $ | 310 | $ | 310 | ||||||||||||||||||||||||||||
The following table summarizes information in regard to TDRs that were restructured during the year ended December 31, 2012: | |||||||||||||||||||||||||||||||||
Number of | Pre- | Post- | |||||||||||||||||||||||||||||||
Contracts | Modification | Modification | |||||||||||||||||||||||||||||||
Outstanding | Outstanding | ||||||||||||||||||||||||||||||||
Balance | Balance | ||||||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||||||
Residential real estate | 3 | $ | 270 | $ | 270 | ||||||||||||||||||||||||||||
Home equity and second mortgage | 2 | 65 | 65 | ||||||||||||||||||||||||||||||
Total | 5 | $ | 335 | $ | 335 | ||||||||||||||||||||||||||||
Loans | ' | ||||||||||||||||||||||||||||||||
Loans | ' | ||||||||||||||||||||||||||||||||
Loans at December 31, 2013 and 2012 consisted of the following: | |||||||||||||||||||||||||||||||||
(In thousands) | 2012 | 2011 | |||||||||||||||||||||||||||||||
Real estate mortgage loans: | |||||||||||||||||||||||||||||||||
Residential | $ | 107,029 | $ | 108,097 | |||||||||||||||||||||||||||||
Land | 10,309 | 9,607 | |||||||||||||||||||||||||||||||
Residential construction | 14,423 | 12,753 | |||||||||||||||||||||||||||||||
Commercial real estate | 76,496 | 68,731 | |||||||||||||||||||||||||||||||
Commercial real estate construction | 1,715 | 3,299 | |||||||||||||||||||||||||||||||
Commercial business loans | 21,956 | 18,612 | |||||||||||||||||||||||||||||||
Consumer loans: | |||||||||||||||||||||||||||||||||
Home equity and second mortgage loans | 34,815 | 36,962 | |||||||||||||||||||||||||||||||
Automobile loans | 23,983 | 21,922 | |||||||||||||||||||||||||||||||
Loans secured by savings accounts | 1,138 | 770 | |||||||||||||||||||||||||||||||
Unsecured loans | 3,541 | 3,191 | |||||||||||||||||||||||||||||||
Other consumer loans | 4,824 | 5,303 | |||||||||||||||||||||||||||||||
Gross loans | 300,229 | 289,247 | |||||||||||||||||||||||||||||||
Less undisbursed portion of loans in process | (7,142 | ) | (4,306 | ) | |||||||||||||||||||||||||||||
Principal loan balance | 293,087 | 284,941 | |||||||||||||||||||||||||||||||
Deferred loan origination fees, net | 341 | 202 | |||||||||||||||||||||||||||||||
Allowance for loan losses | (4,922 | ) | (4,736 | ) | |||||||||||||||||||||||||||||
Loans, net | $ | 288,506 | $ | 280,407 | |||||||||||||||||||||||||||||
Financing Receivable Recorded Investment Current Past Due | ' | ||||||||||||||||||||||||||||||||
Loans | ' | ||||||||||||||||||||||||||||||||
The following table presents the aging of the recorded investment in loans at December 31, 2013: | |||||||||||||||||||||||||||||||||
30-59 | 60-89 | Over 90 | Total | Current | Total | ||||||||||||||||||||||||||||
Days | Days | Days | Past Due | Loans | |||||||||||||||||||||||||||||
Past Due | Past Due | Past Due | |||||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||||||
Residential real estate | $ | 3,160 | $ | 830 | $ | 701 | $ | 4,691 | $ | 102,817 | $ | 107,508 | |||||||||||||||||||||
Land | 162 | 109 | 12 | 283 | 10,077 | 10,360 | |||||||||||||||||||||||||||
Construction | 0 | 0 | 0 | 0 | 9,018 | 9,018 | |||||||||||||||||||||||||||
Commercial real estate | 231 | 500 | 49 | 780 | 75,886 | 76,666 | |||||||||||||||||||||||||||
Commercial business | 0 | 0 | 189 | 189 | 21,814 | 22,003 | |||||||||||||||||||||||||||
Home equity and second mortgage | 411 | 24 | 132 | 567 | 34,702 | 35,269 | |||||||||||||||||||||||||||
Other consumer | 296 | 34 | 8 | 338 | 33,316 | 33,654 | |||||||||||||||||||||||||||
Total | $ | 4,260 | $ | 1,497 | $ | 1,091 | $ | 6,848 | $ | 287,630 | $ | 294,478 | |||||||||||||||||||||
The following table presents the aging of the recorded investment in loans at December 31, 2012: | |||||||||||||||||||||||||||||||||
30-59 | 60-89 | Over 90 | Total | Current | Total | ||||||||||||||||||||||||||||
Days | Days | Days | Past Due | Loans | |||||||||||||||||||||||||||||
Past Due | Past Due | Past Due | |||||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||||||
Residential real estate | $ | 4,085 | $ | 871 | $ | 1,644 | $ | 6,600 | $ | 102,003 | $ | 108,603 | |||||||||||||||||||||
Land | 343 | 0 | 119 | 462 | 9,195 | 9,657 | |||||||||||||||||||||||||||
Construction | 171 | 0 | 113 | 284 | 11,479 | 11,763 | |||||||||||||||||||||||||||
Commercial real estate | 360 | 0 | 335 | 695 | 68,207 | 68,902 | |||||||||||||||||||||||||||
Commercial business | 36 | 0 | 0 | 36 | 18,619 | 18,655 | |||||||||||||||||||||||||||
Home equity and second mortgage | 1,206 | 102 | 97 | 1,405 | 35,881 | 37,286 | |||||||||||||||||||||||||||
Other consumer | 510 | 30 | 18 | 558 | 30,812 | 31,370 | |||||||||||||||||||||||||||
Total | $ | 6,711 | $ | 1,003 | $ | 2,326 | $ | 10,040 | $ | 276,196 | $ | 286,236 | |||||||||||||||||||||
PREMISES_AND_EQUIPMENT_Tables
PREMISES AND EQUIPMENT (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Premises and Equipment | ' | ||||||||
Premises and equipment as of December 31 consisted of the following: | |||||||||
(In thousands) | 2013 | 2012 | |||||||
Land and land improvements | $ | 3,256 | $ | 3,256 | |||||
Leasehold improvements | 56 | 56 | |||||||
Office buildings | 10,391 | 10,324 | |||||||
Furniture, fixtures and equipment | 4,620 | 4,550 | |||||||
18,323 | 18,186 | ||||||||
Less accumulated depreciation | 7,976 | 7,429 | |||||||
Totals | $ | 10,347 | $ | 10,757 | |||||
DEPOSITS_Tables
DEPOSITS (Tables) | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Scheduled Maturities of Time Deposits | ' | ||||
At December 31, 2013, scheduled maturities of time deposits were as follows: | |||||
(In thousands) | |||||
Year ending December 31: | |||||
2014 | $ | 42,181 | |||
2015 | 23,527 | ||||
2016 | 10,415 | ||||
2017 | 9,149 | ||||
2018 and thereafter | 1,962 | ||||
Total | $ | 87,234 | |||
RETAIL_REPURCHASE_AGREEMENTS_T
RETAIL REPURCHASE AGREEMENTS (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Borrowings Under Repurchase Agreements | ' | ||||||||
Information concerning borrowings under repurchase agreements is summarized as follows: | |||||||||
(Dollars in thousands) | 2013 | 2012 | |||||||
Outstanding balance at year end | $ | 9,310 | $ | 14,092 | |||||
Weighted average interest rate at year end | 0.26 | % | 0.25 | % | |||||
Weighted average interest rate during the year | 0.25 | % | 0.38 | % | |||||
Average daily balance | $ | 11,015 | $ | 10,074 | |||||
Maximum month-end balance during the year | $ | 13,041 | $ | 14,092 | |||||
Debt securities underlying the agreements at December 31: | |||||||||
Amortized cost | $ | 13,322 | $ | 15,284 | |||||
Fair value | $ | 12,920 | $ | 15,328 |
ADVANCES_FROM_FEDERAL_HOME_LOA1
ADVANCES FROM FEDERAL HOME LOAN BANK (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Advances from Federal Home Loan Bank | ' | ||||||||||||||||
At December 31, 2013 and 2012, advances from the FHLB were as follows: | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
Weighted | Weighted | ||||||||||||||||
Average | Average | ||||||||||||||||
(Dollars in thousands) | Rate | Amount | Rate | Amount | |||||||||||||
FHLB advances | 0.5 | % | $ | 5,500 | 3.63 | % | $ | 5,100 | |||||||||
INCOME_TAXES_Tables
INCOME TAXES (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Components of Income Tax Expense | ' | ||||||||
The components of income tax expense for the years ended December 31, 2013 and 2012 were as follows: | |||||||||
(In thousands) | 2013 | 2012 | |||||||
Current | $ | 2,055 | $ | 2,037 | |||||
Deferred | 200 | (478 | ) | ||||||
Totals | $ | 2,255 | $ | 1,559 | |||||
Reconciliation of Income Tax Expense | ' | ||||||||
The reconciliation of income tax expense for the years ended December 31, 2013 and 2012, with the amount which would have been provided at the federal statutory rate of 34% follows: | |||||||||
(In thousands) | 2013 | 2012 | |||||||
Provision at federal statutory tax rate | $ | 2,496 | $ | 1,868 | |||||
State income tax-net of federal tax benefit | 214 | 102 | |||||||
Tax-exempt interest income | (402 | ) | (353 | ) | |||||
Increase in cash value of life insurance | (54 | ) | (62 | ) | |||||
Other | 1 | 4 | |||||||
Totals | $ | 2,255 | $ | 1,559 | |||||
Effective tax rate | 30.7 | % | 28.4 | % | |||||
Significant Components of Deferred Tax Assets and Liabilities | ' | ||||||||
Significant components of the deferred tax assets and liabilities as of December 31, 2013 and 2012 were as follows: | |||||||||
(In thousands) | 2013 | 2012 | |||||||
Deferred tax assets (liabilities): | |||||||||
Deferred compensation plans | $ | 102 | $ | 112 | |||||
Allowance for loan losses | 1,661 | 1,645 | |||||||
Accrued early retirement | 32 | 189 | |||||||
Other | 157 | 92 | |||||||
Unrealized loss on securities available for sale | 443 | 0 | |||||||
Deferred tax assets | 2,395 | 2,038 | |||||||
Depreciation | (664 | ) | (580 | ) | |||||
Deferred loan fees and costs | (86 | ) | (54 | ) | |||||
FHLB stock dividends | (99 | ) | (101 | ) | |||||
Unrealized gain on securities available for sale | 0 | (959 | ) | ||||||
Deferred tax liabilities | (849 | ) | (1,694 | ) | |||||
Net deferred tax asset | $ | 1,546 | $ | 344 | |||||
COMMITMENTS_AND_CONTINGENCIES_
COMMITMENTS AND CONTINGENCIES (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Summary of Commitments to Extend Credit | ' | ||||||||
The following is a summary of the commitments to extend credit at December 31, 2013 and 2012: | |||||||||
(In thousands) | 2013 | 2012 | |||||||
Loan commitments: | |||||||||
Fixed rate | $ | 865 | $ | 1,554 | |||||
Adjustable rate | 5,453 | 11,640 | |||||||
Unused lines of credit on credit cards | 3,821 | 2,981 | |||||||
Undisbursed commercial and personal lines of credit | 19,484 | 17,413 | |||||||
Undisbursed portion of construction loans in process | 7,142 | 4,306 | |||||||
Undisbursed portion of home equity lines of credit | 20,980 | 18,086 | |||||||
Total commitments to extend credit | $ | 57,745 | $ | 55,980 | |||||
REGULATORY_MATTERS_Tables
REGULATORY MATTERS (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Actual Capital Amounts and Ratios | ' | ||||||||||||||||||||||||
The actual capital amounts and ratios are also presented in the following table. No amounts were deducted from capital for interest-rate risk in either year. | |||||||||||||||||||||||||
Minimum | |||||||||||||||||||||||||
To Be Well | |||||||||||||||||||||||||
Minimum | Capitalized Under | ||||||||||||||||||||||||
For Capital | Prompt Corrective | ||||||||||||||||||||||||
Actual | Adequacy Purposes: | Action Provisions: | |||||||||||||||||||||||
(Dollars in thousands) | Amount | Ratio | Amount | Ratio | Amount | Ratio | |||||||||||||||||||
As of December 31, 2013: | |||||||||||||||||||||||||
Total capital (to risk weighted assets) | $ | 51,780 | 16.11 | % | $ | 25,713 | 8 | % | $ | 32,141 | 10 | % | |||||||||||||
Tier I capital (to risk weighted assets) | $ | 47,751 | 14.86 | % | N/A | $ | 19,285 | 6 | % | ||||||||||||||||
Tier I capital (to adjusted total assets) | $ | 47,751 | 10.89 | % | $ | 17,534 | 4 | % | $ | 21,917 | 5 | % | |||||||||||||
Tangible capital (to adjusted total assets) | $ | 47,751 | 10.89 | % | $ | 6,575 | 1.5 | % | N/A | ||||||||||||||||
As of December 31, 2012: | |||||||||||||||||||||||||
Total capital (to risk weighted assets) | $ | 49,347 | 15.6 | % | $ | 25,307 | 8 | % | $ | 31,634 | 10 | % | |||||||||||||
Tier I capital (to risk weighted assets) | $ | 45,383 | 14.35 | % | N/A | $ | 18,980 | 6 | % | ||||||||||||||||
Tier I capital (to adjusted total assets) | $ | 45,383 | 10 | % | $ | 18,149 | 4 | % | $ | 22,686 | 5 | % | |||||||||||||
Tangible capital (to adjusted total assets) | $ | 45,383 | 10 | % | $ | 6,806 | 1.5 | % | N/A |
DISCLOSURES_ABOUT_FAIR_VALUE_O1
DISCLOSURES ABOUT FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Carrying Value and Estimated Fair Value of Financial Instruments and Lvel within Fair Value Hierarchy | ' | ||||||||||||||||||||
The following table summarizes the carrying value and estimated fair value of financial instruments and the level within the fair value hierarchy (see Note 21) in which the fair value measurements fall at December 31, 2013 and 2012: | |||||||||||||||||||||
Fair Value Measurements Using | |||||||||||||||||||||
Carrying | Fair | ||||||||||||||||||||
(In thousands) | Value | Value | Level 1 | Level 2 | Level 3 | ||||||||||||||||
December 31, 2013: | |||||||||||||||||||||
Financial assets: | |||||||||||||||||||||
Cash and cash equivalents | $ | 11,136 | $ | 11,136 | $ | 11,136 | $ | 0 | $ | 0 | |||||||||||
Interest-bearing time deposits | 4,425 | 4,458 | 0 | 4,458 | 0 | ||||||||||||||||
Securities available for sale | 108,762 | 108,762 | 3,198 | 105,564 | 0 | ||||||||||||||||
Securities held to maturity | 9 | 9 | 0 | 9 | 0 | ||||||||||||||||
Loans held for sale | 1,611 | 1,644 | 0 | 1,644 | 0 | ||||||||||||||||
Loans, net | 288,506 | 287,753 | 0 | 0 | 287,753 | ||||||||||||||||
FHLB stock | 2,820 | 2,820 | 0 | 2,820 | 0 | ||||||||||||||||
Accrued interest receivable | 1,716 | 1,716 | 0 | 1,716 | 0 | ||||||||||||||||
Cost method investment (included in other assets) | 540 | 540 | 0 | 540 | 0 | ||||||||||||||||
Financial liabilities: | |||||||||||||||||||||
Deposits | 373,830 | 373,883 | 0 | 0 | 373,883 | ||||||||||||||||
Retail repurchase agreements | 9,310 | 9,310 | 0 | 9,310 | 0 | ||||||||||||||||
Advances from FHLB | 5,500 | 5,500 | 0 | 5,500 | 0 | ||||||||||||||||
Accrued interest payable | 192 | 192 | 0 | 192 | 0 | ||||||||||||||||
December 31, 2012: | |||||||||||||||||||||
Financial assets: | |||||||||||||||||||||
Cash and cash equivalents | $ | 21,811 | $ | 21,811 | $ | 21,811 | $ | 0 | $ | 0 | |||||||||||
Interest-bearing time deposits | 1,400 | 1,401 | 0 | 1,401 | 0 | ||||||||||||||||
Securities available for sale | 122,973 | 122,973 | 4,237 | 118,736 | 0 | ||||||||||||||||
Securities held to maturity | 12 | 12 | 0 | 12 | 0 | ||||||||||||||||
Loans held for sale | 3,609 | 3,705 | 0 | 3,705 | 0 | ||||||||||||||||
Loans, net | 280,407 | 287,609 | 0 | 0 | 287,609 | ||||||||||||||||
FHLB stock | 2,820 | 2,820 | 0 | 2,820 | 0 | ||||||||||||||||
Accrued interest receivable | 1,757 | 1,757 | 0 | 1,757 | 0 | ||||||||||||||||
Financial liabilities: | |||||||||||||||||||||
Deposits | 384,343 | 385,212 | 0 | 0 | 385,212 | ||||||||||||||||
Retail repurchase agreements | 14,092 | 14,092 | 0 | 14,092 | 0 | ||||||||||||||||
Advances from FHLB | 5,100 | 5,100 | 0 | 5,100 | 0 | ||||||||||||||||
Accrued interest payable | 290 | 290 | 0 | 290 | 0 |
FAIR_VALUE_MEASUREMENTS_Tables
FAIR VALUE MEASUREMENTS (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Assets Measured at Fair Value on Recurring and Nonrecurring Basis | ' | ||||||||||||||||
The table below presents the balances of assets measured at fair value on a recurring and nonrecurring basis as of December 31, 2013. The Company had no liabilities measured at fair value as of December 31, 2013. | |||||||||||||||||
Carrying Value | |||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||
(In thousands) | |||||||||||||||||
December 31, 2013: | |||||||||||||||||
Assets Measured on a Recurring Basis | |||||||||||||||||
Securities available for sale: | |||||||||||||||||
Agency mortgage-backed securities | $ | 0 | $ | 18,369 | $ | 0 | $ | 18,369 | |||||||||
Agency CMO | 0 | 20,241 | 0 | 20,241 | |||||||||||||
Agency notes and bonds | 0 | 30,914 | 0 | 30,914 | |||||||||||||
Municipal obligations | 0 | 36,040 | 0 | 36,040 | |||||||||||||
Mutual funds | 3,198 | 0 | 0 | 3,198 | |||||||||||||
Total securities available for sale | $ | 3,198 | $ | 105,564 | $ | 0 | $ | 108,762 | |||||||||
Assets Measured on a Nonrecurring Basis | |||||||||||||||||
Impaired loans: | |||||||||||||||||
Residential real estate | $ | 0 | $ | 0 | $ | 1,928 | $ | 1,928 | |||||||||
Land | 0 | 0 | 120 | 120 | |||||||||||||
Construction | 0 | 0 | 0 | 0 | |||||||||||||
Commercial real estate | 0 | 0 | 2,441 | 2,441 | |||||||||||||
Commercial business | 0 | 0 | 639 | 639 | |||||||||||||
Home equity and second mortgage | 0 | 0 | 263 | 263 | |||||||||||||
Total impaired loans | $ | 0 | $ | 0 | $ | 5,391 | $ | 5,391 | |||||||||
Loans held for sale | $ | 0 | $ | 1,611 | $ | 0 | $ | 1,611 | |||||||||
Foreclosed real estate: | |||||||||||||||||
Residential real estate | $ | 0 | $ | 0 | $ | 466 | $ | 466 | |||||||||
Total foreclosed real estate | $ | 0 | $ | 0 | $ | 466 | $ | 466 | |||||||||
The table below presents the balances of assets measured at fair value on a recurring and nonrecurring basis as of December 31, 2012. The Company had no liabilities measured at fair value as of December 31, 2012. | |||||||||||||||||
Carrying Value | |||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||
(In thousands) | |||||||||||||||||
December 31, 2012: | |||||||||||||||||
Assets Measured on a Recurring Basis | |||||||||||||||||
Securities available for sale: | |||||||||||||||||
Agency mortgage-backed securities | $ | 0 | $ | 23,206 | $ | 0 | $ | 23,206 | |||||||||
Agency CMO | 0 | 22,660 | 0 | 22,660 | |||||||||||||
Agency notes and bonds | 0 | 38,553 | 0 | 38,553 | |||||||||||||
Municipal obligations | 0 | 34,317 | 0 | 34,317 | |||||||||||||
Mutual funds | 4,237 | 0 | 0 | 4,237 | |||||||||||||
Total securities available for sale | $ | 4,237 | $ | 118,736 | $ | 0 | $ | 122,973 | |||||||||
Assets Measured on a Nonrecurring Basis | |||||||||||||||||
Impaired loans: | |||||||||||||||||
Residential real estate | $ | 0 | $ | 0 | $ | 2,378 | $ | 2,378 | |||||||||
Land | 0 | 0 | 125 | 125 | |||||||||||||
Construction | 0 | 0 | 403 | 403 | |||||||||||||
Commercial real estate | 0 | 0 | 2,561 | 2,561 | |||||||||||||
Commercial business | 0 | 0 | 678 | 678 | |||||||||||||
Home equity and second mortgage | 0 | 0 | 7 | 7 | |||||||||||||
Total impaired loans | $ | 0 | $ | 0 | $ | 6,152 | $ | 6,152 | |||||||||
Loans held for sale | $ | 0 | $ | 3,609 | $ | 0 | $ | 3,609 | |||||||||
Foreclosed real estate: | |||||||||||||||||
Residential real estate | $ | 0 | $ | 0 | $ | 258 | $ | 258 | |||||||||
Land | 0 | 0 | 37 | 37 | |||||||||||||
Total foreclosed real estate | $ | 0 | $ | 0 | $ | 295 | $ | 295 | |||||||||
PARENT_COMPANY_CONDENSED_FINAN1
PARENT COMPANY CONDENSED FINANCIAL INFORMATION (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Balance Sheets | ' | ||||||||
Condensed financial information for the Company (parent company only) follows: | |||||||||
Balance Sheets | |||||||||
As of December 31, | |||||||||
2013 | 2012 | ||||||||
Assets: | |||||||||
Cash and cash equivalents | $ | 132 | $ | 236 | |||||
Other assets | 670 | 120 | |||||||
Investment in subsidiaries | 52,430 | 52,473 | |||||||
$ | 53,232 | $ | 52,829 | ||||||
Liabilities and Equity: | |||||||||
Accrued expenses | $ | 5 | $ | 5 | |||||
Stockholders’ equity | 53,227 | 52,824 | |||||||
$ | 53,232 | $ | 52,829 | ||||||
Statements of Income | ' | ||||||||
Statements of Income | |||||||||
Years Ended December 31, | |||||||||
2013 | 2012 | ||||||||
Dividend income | $ | 2,847 | $ | 2,206 | |||||
Other operating expenses | (253 | ) | (228 | ) | |||||
Income before income taxes and equity in undistributed net income of subsidiaries | 2,594 | 1,978 | |||||||
Income tax benefit | 98 | 87 | |||||||
Income before equity in undistributed net income of subsidiaries | 2,692 | 2,065 | |||||||
Equity in undistributed net income of subsidiaries | 2,382 | 1,857 | |||||||
Net income | $ | 5,074 | $ | 3,922 | |||||
Statements of Cash Flows | ' | ||||||||
Statements of Cash Flows | |||||||||
Years Ended December 31, | |||||||||
2013 | 2012 | ||||||||
Operating Activities: | |||||||||
Net income | $ | 5,074 | $ | 3,922 | |||||
Adjustments to reconcile net income to cash and cash equivalents provided by operating activities: | |||||||||
Equity in undistributed net income of subsidiaries | (2,382 | ) | (1,857 | ) | |||||
Net change in other assets and liabilities | (9 | ) | 24 | ||||||
Net cash provided by operating activities | 2,683 | 2,089 | |||||||
Investing Activity: | |||||||||
Cost method equity investment | (540 | ) | 0 | ||||||
Net cash used in investing activity | (540 | ) | 0 | ||||||
Financing Activities: | |||||||||
Exercise of stock options | 0 | 0 | |||||||
Purchase of treasury stock | (19 | ) | (14 | ) | |||||
Cash dividends paid | (2,228 | ) | (2,117 | ) | |||||
Net cash used in financing activities | (2,247 | ) | (2,131 | ) | |||||
Net decrease in cash and cash equivalents | (104 | ) | (42 | ) | |||||
Cash and cash equivalents at beginning of year | 236 | 278 | |||||||
Cash and cash equivalents at end of year | $ | 132 | $ | 236 | |||||
SUPPLEMENTAL_DISCLOSURE_FOR_EA1
SUPPLEMENTAL DISCLOSURE FOR EARNINGS PER SHARE (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Supplemental Disclosure for Earnings Per Share | ' | ||||||||
Years Ended December 31, | |||||||||
2013 | 2012 | ||||||||
(In thousands, except for share and per share data) | |||||||||
Basic and Diluted: | |||||||||
Earnings: | |||||||||
Net income attributable to First Capital, Inc. | $ | 5,074 | $ | 3,922 | |||||
Shares: | |||||||||
Weighted average common shares outstanding | 2,784,690 | 2,785,286 | |||||||
Net income per common share attributable to First Capital, Inc., basic and diluted | $ | 1.82 | $ | 1.41 | |||||
SUPPLEMENTAL_DISCLOSURE_OF_CAS1
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Supplemental Disclosures of Cash Flow Information | ' | ||||||||
Years Ended December 31, | |||||||||
(In thousands) | 2013 | 2012 | |||||||
Cash payments for: | |||||||||
Interest | $ | 1,751 | $ | 2,587 | |||||
Income taxes | 2,357 | 1,531 | |||||||
Noncash investing activities: | |||||||||
Transfers from loans to real estate acquired through foreclosure | $ | 1,149 | $ | 841 | |||||
Proceeds from sales of foreclosed real estate financed through loans | 526 | 181 |
SELECTED_QUARTERLY_FINANCIAL_I1
SELECTED QUARTERLY FINANCIAL INFORMATION (UNAUDITED) (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Schedule of Quarterly Financial Information | ' | ||||||||||||||||
First | Second | Third | Fourth | ||||||||||||||
Quarter | Quarter | Quarter | Quarter | ||||||||||||||
(In thousands, except per share data) | |||||||||||||||||
2013 | |||||||||||||||||
Interest income | $ | 4,576 | $ | 4,554 | $ | 4,649 | $ | 4,632 | |||||||||
Interest expense | 458 | 440 | 408 | 347 | |||||||||||||
Net interest income | 4,118 | 4,114 | 4,241 | 4,285 | |||||||||||||
Provision for loan losses | 250 | 225 | 100 | 150 | |||||||||||||
Net interest income after provision for loan losses | 3,868 | 3,889 | 4,141 | 4,135 | |||||||||||||
Noninterest income | 1,162 | 1,188 | 1,211 | 1,079 | |||||||||||||
Noninterest expenses | 3,322 | 3,306 | 3,270 | 3,433 | |||||||||||||
Income before income taxes | 1,708 | 1,771 | 2,082 | 1,781 | |||||||||||||
Income tax expense | 511 | 557 | 653 | 534 | |||||||||||||
Net income | 1,197 | 1,214 | 1,429 | 1,247 | |||||||||||||
Less: net income attributable to noncontrolling interest in subsidiary | 3 | 4 | 3 | 3 | |||||||||||||
Net income attributable to First Capital, Inc. | $ | 1,194 | $ | 1,210 | $ | 1,426 | $ | 1,244 | |||||||||
Earnings per common share attributable to First Capital, Inc.: | |||||||||||||||||
Basic | $ | 0.43 | $ | 0.43 | $ | 0.51 | $ | 0.45 | |||||||||
Diluted | $ | 0.43 | $ | 0.43 | $ | 0.51 | $ | 0.45 | |||||||||
2012 | |||||||||||||||||
Interest income | $ | 4,721 | $ | 4,676 | $ | 4,722 | $ | 4,681 | |||||||||
Interest expense | 703 | 650 | 575 | 537 | |||||||||||||
Net interest income | 4,018 | 4,026 | 4,147 | 4,144 | |||||||||||||
Provision for loan losses | 475 | 300 | 350 | 400 | |||||||||||||
Net interest income after provision for loan losses | 3,543 | 3,726 | 3,797 | 3,744 | |||||||||||||
Noninterest income | 1,075 | 1,100 | 1,126 | 1,236 | |||||||||||||
Noninterest expenses | 3,333 | 3,360 | 3,983 | 3,177 | |||||||||||||
Income before income taxes | 1,285 | 1,466 | 940 | 1,803 | |||||||||||||
Income tax expense | 363 | 427 | 218 | 551 | |||||||||||||
Net income | 922 | 1,039 | 722 | 1,252 | |||||||||||||
Less: net income attributable to noncontrolling interest in subsidiary | 3 | 4 | 3 | 3 | |||||||||||||
Net income attributable to First Capital, Inc. | $ | 919 | $ | 1,035 | $ | 719 | $ | 1,249 | |||||||||
Earnings per common share attributable to First Capital, Inc.: | |||||||||||||||||
Basic | $ | 0.33 | $ | 0.37 | $ | 0.26 | $ | 0.45 | |||||||||
Diluted | $ | 0.33 | $ | 0.37 | $ | 0.26 | $ | 0.45 | |||||||||
Recovered_Sheet1
Summary of Significant Accounting Policies - Additional Information (Detail) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Summary Of Significant Accounting Policies [Line Items] | ' | ' |
Days principal payments should be past due for recognition of income on a loan be discontinued and previously accrued interest is reversed | '90 days | ' |
Loan charge-off, amount | $892,000 | $1,198,000 |
Loan charge-off, recorded investment | 287,630,000 | 276,196,000 |
Loan commitments, Fixed rate | 280,000 | ' |
Percentages of income tax more likely threshold positions | 50.00% | ' |
Other Consumer | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' |
Loan charge-off, amount | 337,000 | 313,000 |
Loan charge-off, recorded investment | 33,316,000 | 30,812,000 |
Loan charge-off period | '90 days | ' |
Bank Overdrafts | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' |
Loan charge-off period | '45 days | ' |
Impaired Loans Partially Charged Off | Partial charge-off loan | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' |
Loan charge-off, amount | 446,000 | ' |
Number of loan | 11 | ' |
Loan charge-off, recorded investment | 1,400,000 | ' |
Impaired Loans Partially Charged Off | Charge Off Treatment | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' |
Loan charge-off, amount | 68,000 | 366,000 |
Minimum | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' |
Period of performance borrower need to demonstrate for a loan be restored to accrual status | '6 months | ' |
Value of significant property | $200,000 | ' |
Maximum | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' |
Maturity of interest bearing deposits | '90 days | ' |
Recovered_Sheet2
Restriction on Cash and Due from Banks - Additional Information (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Restricted Cash and Cash Equivalents Items [Line Items] | ' | ' |
Average amount reserve with the Federal Reserve Bank | $731,000 | $1,100,000 |
Investment_Securities_Detail
Investment Securities (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Investment [Line Items] | ' | ' |
Securities available for sale, Amortized Cost | $109,926 | $120,311 |
Securities available for sale, Gross Unrealized Gains | 1,128 | 2,811 |
Securities available for sale, Gross Unrealized Losses | 2,292 | 149 |
Securities available for sale, Fair Value | 108,762 | 122,973 |
Securities held to maturity, Amortized Cost | 9 | 12 |
Securities held to maturity, Gross Unrealized Gains | 0 | 0 |
Securities held to maturity, Gross Unrealized Losses | 0 | 0 |
Securities held to maturity, Fair Value | 9 | 12 |
Agency mortgage-backed securities | ' | ' |
Investment [Line Items] | ' | ' |
Securities available for sale, Amortized Cost | 18,408 | 22,762 |
Securities available for sale, Gross Unrealized Gains | 205 | 456 |
Securities available for sale, Gross Unrealized Losses | 244 | 12 |
Securities available for sale, Fair Value | 18,369 | 23,206 |
Securities held to maturity, Amortized Cost | 9 | 12 |
Securities held to maturity, Gross Unrealized Gains | 0 | 0 |
Securities held to maturity, Gross Unrealized Losses | 0 | 0 |
Securities held to maturity, Fair Value | 9 | 12 |
Agency CMO | ' | ' |
Investment [Line Items] | ' | ' |
Securities available for sale, Amortized Cost | 20,486 | 22,458 |
Securities available for sale, Gross Unrealized Gains | 96 | 225 |
Securities available for sale, Gross Unrealized Losses | 341 | 23 |
Securities available for sale, Fair Value | 20,241 | 22,660 |
Agency notes and bonds | ' | ' |
Investment [Line Items] | ' | ' |
Securities available for sale, Amortized Cost | 31,594 | 38,273 |
Securities available for sale, Gross Unrealized Gains | 49 | 290 |
Securities available for sale, Gross Unrealized Losses | 729 | 10 |
Securities available for sale, Fair Value | 30,914 | 38,553 |
Municipal obligations | ' | ' |
Investment [Line Items] | ' | ' |
Securities available for sale, Amortized Cost | 36,200 | 32,605 |
Securities available for sale, Gross Unrealized Gains | 778 | 1,800 |
Securities available for sale, Gross Unrealized Losses | 938 | 88 |
Securities available for sale, Fair Value | 36,040 | 34,317 |
Debt Securities | ' | ' |
Investment [Line Items] | ' | ' |
Securities available for sale, Amortized Cost | 106,688 | 116,098 |
Securities available for sale, Gross Unrealized Gains | 1,128 | 2,771 |
Securities available for sale, Gross Unrealized Losses | 2,252 | 133 |
Securities available for sale, Fair Value | 105,564 | 118,736 |
Mutual fund investment | ' | ' |
Investment [Line Items] | ' | ' |
Securities available for sale, Amortized Cost | 3,238 | 4,213 |
Securities available for sale, Gross Unrealized Gains | 0 | 40 |
Securities available for sale, Gross Unrealized Losses | 40 | 16 |
Securities available for sale, Fair Value | $3,198 | $4,237 |
Amortized_Cost_and_Fair_Value_
Amortized Cost and Fair Value of Debt Securities by Contractual Maturity (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Amortized cost | ' | ' |
Due in one year or less | $0 | ' |
Due after one year through five years | 9,006 | ' |
Due after five years through ten years | 30,698 | ' |
Due after ten years | 28,090 | ' |
Available-for-sale Securities, Debt Maturities, Single Maturity Date, Amortized Cost Basis, Total | 67,794 | ' |
Mortgage-backed securities and CMO | 38,894 | ' |
Available-for-sale Securities, Debt Maturities, Amortized Cost Basis, Total | 106,688 | ' |
Fair Value | ' | ' |
Due in one year or less | 0 | ' |
Due after one year through five years | 9,024 | ' |
Due after five years through ten years | 30,525 | ' |
Due after ten years | 27,405 | ' |
Available-for-sale Securities, Debt Maturities, Single Maturity Date, Total | 66,954 | ' |
Mortgage-backed securities and CMO | 38,610 | ' |
Available-for-sale Securities, Debt Securities, Total | 105,564 | ' |
Amortized cost | ' | ' |
Due in one year or less | 0 | ' |
Due after one year through five years | 0 | ' |
Due after five years through ten years | 0 | ' |
Due after ten years | 0 | ' |
Held-to-maturity Securities, Debt Maturities, Single Maturity Date, Amortized Cost Basis, Total | 0 | ' |
Mortgage-backed securities and CMO | 9 | ' |
Securities held to maturity, Amortized Cost | 9 | 12 |
Fair Value | ' | ' |
Due in one year or less | 0 | ' |
Due after one year through five years | 0 | ' |
Due after five years through ten years | 0 | ' |
Due after ten years | 0 | ' |
Held-to-maturity Securities, Debt Maturities, Single Maturity Date, Fair Value, Total | 0 | ' |
Mortgage-backed securities and CMO | 9 | ' |
Securities held to maturity, Fair Value | $9 | $12 |
Investment_Securities_Availabl
Investment Securities Available for Sale with Gross Unrealized Losses Aggregated by Investment Category and Length of Time Individual Investment Securities Have Been in Continuous Position (Detail) (USD $) | 12 Months Ended |
In Thousands, unless otherwise specified | Dec. 31, 2013 |
Investment | |
Investments, Unrealized Loss Position [Line Items] | ' |
Number of investment positions in continuous loss position less than twelve months | 81 |
Number of investment positions in continuous loss position more than twelve months | 9 |
Number of investment positions in continuous loss position | 90 |
Fair value of securities in continuous loss position less than twelve months | $61,528 |
Fair value of securities in continuous loss position more than twelve months | 5,261 |
Fair value of securities in continuous loss position | 66,789 |
Gross unrealized losses of securities in continuous loss position less than twelve months | 1,970 |
Gross unrealized losses of securities in continuous loss position more than twelve months | 322 |
Gross unrealized losses of securities in continuous loss position | 2,292 |
Agency mortgage-backed securities | ' |
Investments, Unrealized Loss Position [Line Items] | ' |
Number of investment positions in continuous loss position less than twelve months | 15 |
Number of investment positions in continuous loss position more than twelve months | 2 |
Fair value of securities in continuous loss position less than twelve months | 12,975 |
Fair value of securities in continuous loss position less than twelve months | 1,788 |
Gross unrealized losses of securities in continuous loss position less than twelve months | 161 |
Gross unrealized losses of securities in continuous loss position more than twelve months | 83 |
Agency CMO | ' |
Investments, Unrealized Loss Position [Line Items] | ' |
Number of investment positions in continuous loss position less than twelve months | 14 |
Number of investment positions in continuous loss position more than twelve months | 1 |
Fair value of securities in continuous loss position less than twelve months | 12,577 |
Fair value of securities in continuous loss position more than twelve months | 720 |
Gross unrealized losses of securities in continuous loss position less than twelve months | 307 |
Gross unrealized losses of securities in continuous loss position more than twelve months | 34 |
Agency notes and bonds | ' |
Investments, Unrealized Loss Position [Line Items] | ' |
Number of investment positions in continuous loss position less than twelve months | 21 |
Fair value of securities in continuous loss position less than twelve months | 21,952 |
Gross unrealized losses of securities in continuous loss position less than twelve months | 729 |
Municipal obligations | ' |
Investments, Unrealized Loss Position [Line Items] | ' |
Number of investment positions in continuous loss position less than twelve months | 30 |
Number of investment positions in continuous loss position more than twelve months | 5 |
Fair value of securities in continuous loss position less than twelve months | 12,487 |
Fair value of securities in continuous loss position more than twelve months | 2,353 |
Gross unrealized losses of securities in continuous loss position less than twelve months | 746 |
Gross unrealized losses of securities in continuous loss position more than twelve months | 192 |
Mutual fund investment | ' |
Investments, Unrealized Loss Position [Line Items] | ' |
Number of investment positions in continuous loss position less than twelve months | 1 |
Number of investment positions in continuous loss position more than twelve months | 1 |
Fair value of securities in continuous loss position less than twelve months | 1,537 |
Fair value of securities in continuous loss position more than twelve months | 400 |
Gross unrealized losses of securities in continuous loss position less than twelve months | 27 |
Gross unrealized losses of securities in continuous loss position more than twelve months | $13 |
Investment_Securities_Addition
Investment Securities - Additional Information (Detail) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Government and agencies debt securities | ' | ' |
Investment [Line Items] | ' | ' |
Percentage amount by which investment positions in continuous loss position had depreciated from amortized cost basis | 3.50% | ' |
Municipal obligations | ' | ' |
Investment [Line Items] | ' | ' |
Gross gains on sales of available for sale securities | $22,000 | ' |
Agency mortgage-backed securities | ' | ' |
Investment [Line Items] | ' | ' |
Gross gains on sales of available for sale securities | 7,000 | 35,000 |
Agency notes and bonds | ' | ' |
Investment [Line Items] | ' | ' |
Gross gains on sales of available for sale securities | ' | 2,000 |
Collateralized Mortgage Obligations Issued By Private Enterprise | ' | ' |
Investment [Line Items] | ' | ' |
Gross losses on sales of available for sale securities | ' | 18,000 |
Agency CMO | ' | ' |
Investment [Line Items] | ' | ' |
Gross losses on sales of available for sale securities | ' | 8,000 |
Another Financial Institution | ' | ' |
Investment [Line Items] | ' | ' |
Cost method investments,shares acquired | 100,000 | ' |
Cost method investments | $540,000 | ' |
Cost method investments, ownership percentage | 7.00% | ' |
Loans_Detail
Loans (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ' |
Loans, gross | $300,229 | $289,247 | ' |
Less undisbursed portion of loans in process | -7,142 | -4,306 | ' |
Principal loan balance | 293,087 | 284,941 | ' |
Deferred loan origination fees, net | 341 | 202 | ' |
Allowance for loan losses | -4,922 | -4,736 | -4,182 |
Loans, net | 288,506 | 280,407 | ' |
Real Estate Portfolio Segment | Residential | ' | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ' |
Loans, gross | 107,029 | 108,097 | ' |
Real Estate Portfolio Segment | Land | ' | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ' |
Loans, gross | 10,309 | 9,607 | ' |
Real Estate Portfolio Segment | Residential Construction | ' | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ' |
Loans, gross | 14,423 | 12,753 | ' |
Real Estate Portfolio Segment | Commercial Real Estate | ' | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ' |
Loans, gross | 76,496 | 68,731 | ' |
Real Estate Portfolio Segment | Real Estate Construction | ' | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ' |
Loans, gross | 1,715 | 3,299 | ' |
Commercial Business | ' | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ' |
Loans, gross | 21,956 | 18,612 | ' |
Principal loan balance | 21,956 | 18,612 | ' |
Deferred loan origination fees, net | -9 | -10 | ' |
Allowance for loan losses | -1,446 | -1,223 | -1,160 |
Other Consumer | ' | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ' |
Principal loan balance | 33,486 | 31,186 | ' |
Deferred loan origination fees, net | 0 | 0 | ' |
Allowance for loan losses | -289 | -291 | -399 |
Other Consumer | Home Equity and Second Mortgage | ' | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ' |
Loans, gross | 34,815 | 36,962 | ' |
Other Consumer | Automobile Loan | ' | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ' |
Loans, gross | 23,983 | 21,922 | ' |
Other Consumer | Loans Secured by Savings Accounts | ' | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ' |
Loans, gross | 1,138 | 770 | ' |
Other Consumer | Unsecured Loan | ' | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ' |
Loans, gross | 3,541 | 3,191 | ' |
Other Consumer | Other Consumer Loan | ' | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ' |
Loans, gross | $4,824 | $5,303 | ' |
Recovered_Sheet3
Loans and Allowance for Loan Losses - Additional Information (Detail) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Recorded investment in loans | $294,478,000 | $286,236,000 |
Loans purchased for related party | 7,427,000 | ' |
Loans, related party | 6,549,000 | 6,084,000 |
Loan portfolio risk factor | 1.18 | 1.15 |
Days loans are past due to be nonperforming loans | '90 days | ' |
Allowance for loan losses related to TDRs modified | 0 | 73,000 |
Charge Off Treatment | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Principal charge-offs | 0 | 0 |
Qualitative Factor Economic Condition | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loan portfolio risk factor | 1.2 | 1.2 |
Qualitative Factor Past Due Loans | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loan portfolio risk factor | 1.2 | 1.2 |
Qualitative Factor Other Internal and External Factors | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loan portfolio risk factor | 1.3 | 1.2 |
Overall Qualitative Factor | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Increase in estimated allowance for loan losses | 471,000 | 419,000 |
Director of the Bank | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans purchased for related party | 574,000 | ' |
Loans, related party | 951,000 | 1,000,000 |
Residential | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans secured by residential properties, loan-to-value ratios | 90.00% | ' |
Recorded investment in loans | 3,100,000 | ' |
Loans serviced for the benefit of others | 200,000 | 210,000 |
Home Equity and Second Mortgage | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Increase in allowance for loan losses due to change in estimating method | 1,100,000 | ' |
Classified Loans | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Increase in estimated allowance for loan losses | $521,000 | $664,000 |
Activity_for_Related_Party_Loa
Activity for Related Party Loans (Detail) (USD $) | 12 Months Ended |
In Thousands, unless otherwise specified | Dec. 31, 2013 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' |
Beginning balance, as adjusted | $6,084 |
New loans | 7,427 |
Payments | -6,962 |
Ending balance | $6,549 |
Recorded_Investment_in_Loans_D
Recorded Investment in Loans (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Principal loan balance | $293,087 | $284,941 |
Accrued interest receivable | 1,050 | 1,093 |
Net deferred loan origination fees and costs | 341 | 202 |
Recorded investment in loans | 294,478 | 286,236 |
Residential | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Principal loan balance | 107,029 | 108,097 |
Accrued interest receivable | 427 | 444 |
Net deferred loan origination fees and costs | 52 | 62 |
Recorded investment in loans | 107,508 | 108,603 |
Land | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Principal loan balance | 10,309 | 9,607 |
Accrued interest receivable | 49 | 48 |
Net deferred loan origination fees and costs | 2 | 2 |
Recorded investment in loans | 10,360 | 9,657 |
Construction | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Principal loan balance | 8,996 | 11,746 |
Accrued interest receivable | 22 | 29 |
Net deferred loan origination fees and costs | 0 | -12 |
Recorded investment in loans | 9,018 | 11,763 |
Commercial Real Estate | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Principal loan balance | 76,496 | 68,731 |
Accrued interest receivable | 202 | 188 |
Net deferred loan origination fees and costs | -32 | -17 |
Recorded investment in loans | 76,666 | 68,902 |
Commercial Business | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Principal loan balance | 21,956 | 18,612 |
Accrued interest receivable | 56 | 53 |
Net deferred loan origination fees and costs | -9 | -10 |
Recorded investment in loans | 22,003 | 18,655 |
Home Equity and Second Mortgage | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Principal loan balance | 34,815 | 36,962 |
Accrued interest receivable | 126 | 147 |
Net deferred loan origination fees and costs | 328 | 177 |
Recorded investment in loans | 35,269 | 37,286 |
Other Consumer | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Principal loan balance | 33,486 | 31,186 |
Accrued interest receivable | 168 | 184 |
Net deferred loan origination fees and costs | 0 | 0 |
Recorded investment in loans | $33,654 | $31,370 |
Allowance_for_Loan_Losses_Deta
Allowance for Loan Losses (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||
Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | |
Allowance for Loan Losses: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Beginning balance | ' | ' | ' | $4,736,000 | ' | ' | ' | $4,182,000 | $4,736,000 | $4,182,000 |
Provisions | 150,000 | 100,000 | 225,000 | 250,000 | 400,000 | 350,000 | 300,000 | 475,000 | 725,000 | 1,525,000 |
Charge-offs | ' | ' | ' | ' | ' | ' | ' | ' | -892,000 | -1,198,000 |
Recoveries | ' | ' | ' | ' | ' | ' | ' | ' | 353,000 | 227,000 |
Ending balance | 4,922,000 | ' | ' | ' | 4,736,000 | ' | ' | ' | 4,922,000 | 4,736,000 |
Ending allowance balance attributable to loans: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Individually evaluated for impairment | 1,529,000 | ' | ' | ' | 1,652,000 | ' | ' | ' | 1,529,000 | 1,652,000 |
Collectively evaluated for impairment | 3,393,000 | ' | ' | ' | 3,084,000 | ' | ' | ' | 3,393,000 | 3,084,000 |
Ending balance | 4,922,000 | ' | ' | ' | 4,736,000 | ' | ' | ' | 4,922,000 | 4,736,000 |
Recorded Investment in Loans: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Individually evaluated for impairment | 6,920,000 | ' | ' | ' | 7,804,000 | ' | ' | ' | 6,920,000 | 7,804,000 |
Collectively evaluated for impairment | 287,558,000 | ' | ' | ' | 278,432,000 | ' | ' | ' | 287,558,000 | 278,432,000 |
Recorded investment in loans | 294,478,000 | ' | ' | ' | 286,236,000 | ' | ' | ' | 294,478,000 | 286,236,000 |
Residential | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Allowance for Loan Losses: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Beginning balance | ' | ' | ' | 922,000 | ' | ' | ' | 828,000 | 922,000 | 828,000 |
Provisions | ' | ' | ' | ' | ' | ' | ' | ' | 182,000 | 496,000 |
Charge-offs | ' | ' | ' | ' | ' | ' | ' | ' | -353,000 | -418,000 |
Recoveries | ' | ' | ' | ' | ' | ' | ' | ' | 60,000 | 16,000 |
Ending balance | 811,000 | ' | ' | ' | 922,000 | ' | ' | ' | 811,000 | 922,000 |
Ending allowance balance attributable to loans: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Individually evaluated for impairment | 112,000 | ' | ' | ' | 213,000 | ' | ' | ' | 112,000 | 213,000 |
Collectively evaluated for impairment | 699,000 | ' | ' | ' | 709,000 | ' | ' | ' | 699,000 | 709,000 |
Ending balance | 811,000 | ' | ' | ' | 922,000 | ' | ' | ' | 811,000 | 922,000 |
Recorded Investment in Loans: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Individually evaluated for impairment | 2,040,000 | ' | ' | ' | 2,591,000 | ' | ' | ' | 2,040,000 | 2,591,000 |
Collectively evaluated for impairment | 105,468,000 | ' | ' | ' | 106,012,000 | ' | ' | ' | 105,468,000 | 106,012,000 |
Recorded investment in loans | 107,508,000 | ' | ' | ' | 108,603,000 | ' | ' | ' | 107,508,000 | 108,603,000 |
Land | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Allowance for Loan Losses: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Beginning balance | ' | ' | ' | 71,000 | ' | ' | ' | 93,000 | 71,000 | 93,000 |
Provisions | ' | ' | ' | ' | ' | ' | ' | ' | 83,000 | -19,000 |
Charge-offs | ' | ' | ' | ' | ' | ' | ' | ' | -2,000 | -4,000 |
Recoveries | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 1,000 |
Ending balance | 152,000 | ' | ' | ' | 71,000 | ' | ' | ' | 152,000 | 71,000 |
Ending allowance balance attributable to loans: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Individually evaluated for impairment | 0 | ' | ' | ' | 0 | ' | ' | ' | 0 | 0 |
Collectively evaluated for impairment | 152,000 | ' | ' | ' | 71,000 | ' | ' | ' | 152,000 | 71,000 |
Ending balance | 152,000 | ' | ' | ' | 71,000 | ' | ' | ' | 152,000 | 71,000 |
Recorded Investment in Loans: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Individually evaluated for impairment | 120,000 | ' | ' | ' | 125,000 | ' | ' | ' | 120,000 | 125,000 |
Collectively evaluated for impairment | 10,240,000 | ' | ' | ' | 9,532,000 | ' | ' | ' | 10,240,000 | 9,532,000 |
Recorded investment in loans | 10,360,000 | ' | ' | ' | 9,657,000 | ' | ' | ' | 10,360,000 | 9,657,000 |
Construction | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Allowance for Loan Losses: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Beginning balance | ' | ' | ' | 0 | ' | ' | ' | 33,000 | 0 | 33,000 |
Provisions | ' | ' | ' | ' | ' | ' | ' | ' | 63,000 | -33,000 |
Charge-offs | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 |
Recoveries | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 |
Ending balance | 63,000 | ' | ' | ' | 0 | ' | ' | ' | 63,000 | 0 |
Ending allowance balance attributable to loans: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Individually evaluated for impairment | 0 | ' | ' | ' | 0 | ' | ' | ' | 0 | 0 |
Collectively evaluated for impairment | 63,000 | ' | ' | ' | 0 | ' | ' | ' | 63,000 | 0 |
Ending balance | 63,000 | ' | ' | ' | 0 | ' | ' | ' | 63,000 | 0 |
Recorded Investment in Loans: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Individually evaluated for impairment | 0 | ' | ' | ' | 403,000 | ' | ' | ' | 0 | 403,000 |
Collectively evaluated for impairment | 9,018,000 | ' | ' | ' | 11,360,000 | ' | ' | ' | 9,018,000 | 11,360,000 |
Recorded investment in loans | 9,018,000 | ' | ' | ' | 11,763,000 | ' | ' | ' | 9,018,000 | 11,763,000 |
Commercial Real Estate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Allowance for Loan Losses: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Beginning balance | ' | ' | ' | 1,310,000 | ' | ' | ' | 1,269,000 | 1,310,000 | 1,269,000 |
Provisions | ' | ' | ' | ' | ' | ' | ' | ' | 47,000 | 145,000 |
Charge-offs | ' | ' | ' | ' | ' | ' | ' | ' | -90,000 | -104,000 |
Recoveries | ' | ' | ' | ' | ' | ' | ' | ' | 17,000 | 0 |
Ending balance | 1,284,000 | ' | ' | ' | 1,310,000 | ' | ' | ' | 1,284,000 | 1,310,000 |
Ending allowance balance attributable to loans: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Individually evaluated for impairment | 145,000 | ' | ' | ' | 275,000 | ' | ' | ' | 145,000 | 275,000 |
Collectively evaluated for impairment | 1,139,000 | ' | ' | ' | 1,035,000 | ' | ' | ' | 1,139,000 | 1,035,000 |
Ending balance | 1,284,000 | ' | ' | ' | 1,310,000 | ' | ' | ' | 1,284,000 | 1,310,000 |
Recorded Investment in Loans: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Individually evaluated for impairment | 2,586,000 | ' | ' | ' | 2,836,000 | ' | ' | ' | 2,586,000 | 2,836,000 |
Collectively evaluated for impairment | 74,080,000 | ' | ' | ' | 66,066,000 | ' | ' | ' | 74,080,000 | 66,066,000 |
Recorded investment in loans | 76,666,000 | ' | ' | ' | 68,902,000 | ' | ' | ' | 76,666,000 | 68,902,000 |
Commercial Business | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Allowance for Loan Losses: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Beginning balance | ' | ' | ' | 1,223,000 | ' | ' | ' | 1,160,000 | 1,223,000 | 1,160,000 |
Provisions | ' | ' | ' | ' | ' | ' | ' | ' | 169,000 | 70,000 |
Charge-offs | ' | ' | ' | ' | ' | ' | ' | ' | -20,000 | -17,000 |
Recoveries | ' | ' | ' | ' | ' | ' | ' | ' | 74,000 | 10,000 |
Ending balance | 1,446,000 | ' | ' | ' | 1,223,000 | ' | ' | ' | 1,446,000 | 1,223,000 |
Ending allowance balance attributable to loans: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Individually evaluated for impairment | 1,259,000 | ' | ' | ' | 1,098,000 | ' | ' | ' | 1,259,000 | 1,098,000 |
Collectively evaluated for impairment | 187,000 | ' | ' | ' | 125,000 | ' | ' | ' | 187,000 | 125,000 |
Ending balance | 1,446,000 | ' | ' | ' | 1,223,000 | ' | ' | ' | 1,446,000 | 1,223,000 |
Recorded Investment in Loans: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Individually evaluated for impairment | 1,898,000 | ' | ' | ' | 1,776,000 | ' | ' | ' | 1,898,000 | 1,776,000 |
Collectively evaluated for impairment | 20,105,000 | ' | ' | ' | 16,879,000 | ' | ' | ' | 20,105,000 | 16,879,000 |
Recorded investment in loans | 22,003,000 | ' | ' | ' | 18,655,000 | ' | ' | ' | 22,003,000 | 18,655,000 |
Home Equity and Second Mortgage | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Allowance for Loan Losses: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Beginning balance | ' | ' | ' | 919,000 | ' | ' | ' | 400,000 | 919,000 | 400,000 |
Provisions | ' | ' | ' | ' | ' | ' | ' | ' | 4,000 | 834,000 |
Charge-offs | ' | ' | ' | ' | ' | ' | ' | ' | -90,000 | -342,000 |
Recoveries | ' | ' | ' | ' | ' | ' | ' | ' | 44,000 | 27,000 |
Ending balance | 877,000 | ' | ' | ' | 919,000 | ' | ' | ' | 877,000 | 919,000 |
Ending allowance balance attributable to loans: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Individually evaluated for impairment | 13,000 | ' | ' | ' | 66,000 | ' | ' | ' | 13,000 | 66,000 |
Collectively evaluated for impairment | 864,000 | ' | ' | ' | 853,000 | ' | ' | ' | 864,000 | 853,000 |
Ending balance | 877,000 | ' | ' | ' | 919,000 | ' | ' | ' | 877,000 | 919,000 |
Recorded Investment in Loans: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Individually evaluated for impairment | 276,000 | ' | ' | ' | 73,000 | ' | ' | ' | 276,000 | 73,000 |
Collectively evaluated for impairment | 34,993,000 | ' | ' | ' | 37,213,000 | ' | ' | ' | 34,993,000 | 37,213,000 |
Recorded investment in loans | 35,269,000 | ' | ' | ' | 37,286,000 | ' | ' | ' | 35,269,000 | 37,286,000 |
Other Consumer | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Allowance for Loan Losses: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Beginning balance | ' | ' | ' | 291,000 | ' | ' | ' | 399,000 | 291,000 | 399,000 |
Provisions | ' | ' | ' | ' | ' | ' | ' | ' | 177,000 | 32,000 |
Charge-offs | ' | ' | ' | ' | ' | ' | ' | ' | -337,000 | -313,000 |
Recoveries | ' | ' | ' | ' | ' | ' | ' | ' | 158,000 | 173,000 |
Ending balance | 289,000 | ' | ' | ' | 291,000 | ' | ' | ' | 289,000 | 291,000 |
Ending allowance balance attributable to loans: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Individually evaluated for impairment | 0 | ' | ' | ' | 0 | ' | ' | ' | 0 | 0 |
Collectively evaluated for impairment | 289,000 | ' | ' | ' | 291,000 | ' | ' | ' | 289,000 | 291,000 |
Ending balance | 289,000 | ' | ' | ' | 291,000 | ' | ' | ' | 289,000 | 291,000 |
Recorded Investment in Loans: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Individually evaluated for impairment | 0 | ' | ' | ' | 0 | ' | ' | ' | 0 | 0 |
Collectively evaluated for impairment | 33,654,000 | ' | ' | ' | 31,370,000 | ' | ' | ' | 33,654,000 | 31,370,000 |
Recorded investment in loans | $33,654,000 | ' | ' | ' | $31,370,000 | ' | ' | ' | $33,654,000 | $31,370,000 |
Impaired_Loans_Detail
Impaired Loans (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Financing Receivable, Impaired [Line Items] | ' | ' |
Recorded Investment | $3,791 | $3,711 |
Unpaid Principal Balance | 4,120 | 4,464 |
Average Recorded Investment | 3,417 | 3,235 |
Interest Income Recognized | 104 | 30 |
Interest Recognized-Cash Method | 76 | 22 |
Recorded Investment | 3,129 | 4,093 |
Unpaid Principal Balance | 3,466 | 4,396 |
Related Allowance | 1,529 | 1,652 |
Average Recorded Investment | 3,581 | 4,612 |
Interest Income Recognized | 2 | 7 |
Interest Recognized-Cash Method | 1 | 6 |
Recorded Investment | 6,920 | 7,804 |
Unpaid Principal Balance | 7,586 | 8,860 |
Related Allowance | 1,529 | 1,652 |
Average Recorded Investment | 6,998 | 7,847 |
Interest Income Recognized | 106 | 37 |
Interest Recognized-Cash Method | 77 | 28 |
Residential | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Recorded Investment | 1,591 | 1,648 |
Unpaid Principal Balance | 1,869 | 1,981 |
Average Recorded Investment | 1,508 | 1,450 |
Interest Income Recognized | 32 | 21 |
Interest Recognized-Cash Method | 22 | 10 |
Recorded Investment | 449 | 943 |
Unpaid Principal Balance | 487 | 1,020 |
Related Allowance | 112 | 213 |
Average Recorded Investment | 624 | 1,110 |
Interest Income Recognized | 2 | 7 |
Interest Recognized-Cash Method | 1 | 6 |
Recorded Investment | 2,040 | 2,591 |
Unpaid Principal Balance | 2,356 | 3,001 |
Related Allowance | 112 | 213 |
Average Recorded Investment | 2,132 | 2,560 |
Interest Income Recognized | 34 | 28 |
Interest Recognized-Cash Method | 23 | 16 |
Land | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Recorded Investment | 120 | 125 |
Unpaid Principal Balance | 131 | 126 |
Average Recorded Investment | 124 | 125 |
Interest Income Recognized | 0 | 6 |
Interest Recognized-Cash Method | 0 | 9 |
Recorded Investment | 0 | 0 |
Unpaid Principal Balance | 0 | 0 |
Related Allowance | 0 | 0 |
Average Recorded Investment | 1 | 0 |
Interest Income Recognized | 0 | 0 |
Interest Recognized-Cash Method | 0 | 0 |
Recorded Investment | 120 | 125 |
Unpaid Principal Balance | 131 | 126 |
Related Allowance | 0 | 0 |
Average Recorded Investment | 125 | 125 |
Interest Income Recognized | 0 | 6 |
Interest Recognized-Cash Method | 0 | 9 |
Construction | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Recorded Investment | 0 | 403 |
Unpaid Principal Balance | 0 | 413 |
Average Recorded Investment | 173 | 315 |
Interest Income Recognized | 0 | 0 |
Interest Recognized-Cash Method | 0 | 0 |
Recorded Investment | 0 | 0 |
Unpaid Principal Balance | 0 | 0 |
Related Allowance | 0 | 0 |
Average Recorded Investment | 0 | 0 |
Interest Income Recognized | 0 | 0 |
Interest Recognized-Cash Method | 0 | 0 |
Recorded Investment | 0 | 403 |
Unpaid Principal Balance | 0 | 413 |
Related Allowance | 0 | 0 |
Average Recorded Investment | 173 | 315 |
Interest Income Recognized | 0 | 0 |
Interest Recognized-Cash Method | 0 | 0 |
Commercial Real Estate | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Recorded Investment | 1,637 | 1,535 |
Unpaid Principal Balance | 1,643 | 1,944 |
Average Recorded Investment | 1,410 | 1,292 |
Interest Income Recognized | 63 | 0 |
Interest Recognized-Cash Method | 47 | 1 |
Recorded Investment | 949 | 1,301 |
Unpaid Principal Balance | 1,048 | 1,394 |
Related Allowance | 145 | 275 |
Average Recorded Investment | 1,108 | 1,542 |
Interest Income Recognized | 0 | 0 |
Interest Recognized-Cash Method | 0 | 0 |
Recorded Investment | 2,586 | 2,836 |
Unpaid Principal Balance | 2,691 | 3,338 |
Related Allowance | 145 | 275 |
Average Recorded Investment | 2,518 | 2,834 |
Interest Income Recognized | 63 | 0 |
Interest Recognized-Cash Method | 47 | 1 |
Commercial Business | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Recorded Investment | 189 | 0 |
Unpaid Principal Balance | 209 | 0 |
Average Recorded Investment | 38 | 0 |
Interest Income Recognized | 4 | 0 |
Interest Recognized-Cash Method | 3 | 0 |
Recorded Investment | 1,709 | 1,776 |
Unpaid Principal Balance | 1,909 | 1,909 |
Related Allowance | 1,259 | 1,098 |
Average Recorded Investment | 1,801 | 1,857 |
Interest Income Recognized | 0 | 0 |
Interest Recognized-Cash Method | 0 | 0 |
Recorded Investment | 1,898 | 1,776 |
Unpaid Principal Balance | 2,118 | 1,909 |
Related Allowance | 1,259 | 1,098 |
Average Recorded Investment | 1,839 | 1,857 |
Interest Income Recognized | 4 | 0 |
Interest Recognized-Cash Method | 3 | 0 |
Home Equity and Second Mortgage | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Recorded Investment | 254 | 0 |
Unpaid Principal Balance | 268 | 0 |
Average Recorded Investment | 164 | 53 |
Interest Income Recognized | 5 | 2 |
Interest Recognized-Cash Method | 4 | 2 |
Recorded Investment | 22 | 73 |
Unpaid Principal Balance | 22 | 73 |
Related Allowance | 13 | 66 |
Average Recorded Investment | 47 | 103 |
Interest Income Recognized | 0 | 0 |
Interest Recognized-Cash Method | 0 | 0 |
Recorded Investment | 276 | 73 |
Unpaid Principal Balance | 290 | 73 |
Related Allowance | 13 | 66 |
Average Recorded Investment | 211 | 156 |
Interest Income Recognized | 5 | 2 |
Interest Recognized-Cash Method | 4 | 2 |
Other Consumer | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Recorded Investment | 0 | 0 |
Unpaid Principal Balance | 0 | 0 |
Average Recorded Investment | 0 | 0 |
Interest Income Recognized | 0 | 1 |
Interest Recognized-Cash Method | 0 | 0 |
Recorded Investment | 0 | 0 |
Unpaid Principal Balance | 0 | 0 |
Related Allowance | 0 | 0 |
Average Recorded Investment | 0 | 0 |
Interest Income Recognized | 0 | 0 |
Interest Recognized-Cash Method | 0 | 0 |
Recorded Investment | 0 | 0 |
Unpaid Principal Balance | 0 | 0 |
Related Allowance | 0 | 0 |
Average Recorded Investment | 0 | 0 |
Interest Income Recognized | 0 | 1 |
Interest Recognized-Cash Method | $0 | $0 |
Recorded_Investment_in_Nonperf
Recorded Investment in Nonperforming Loans (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Nonaccrual Loans | $5,259 | $7,583 |
Loans 90+ Days Past Due Still Accruing | 227 | 289 |
Total Nonperforming Loans | 6,848 | 10,040 |
Residential | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Nonaccrual Loans | 1,533 | 2,370 |
Loans 90+ Days Past Due Still Accruing | 180 | 215 |
Total Nonperforming Loans | 4,691 | 6,600 |
Land | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Nonaccrual Loans | 120 | 125 |
Loans 90+ Days Past Due Still Accruing | 0 | 0 |
Total Nonperforming Loans | 283 | 462 |
Construction | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Nonaccrual Loans | 0 | 403 |
Loans 90+ Days Past Due Still Accruing | 0 | 0 |
Total Nonperforming Loans | 0 | 284 |
Commercial Real Estate | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Nonaccrual Loans | 1,456 | 2,836 |
Loans 90+ Days Past Due Still Accruing | 0 | 0 |
Total Nonperforming Loans | 780 | 695 |
Commercial Business | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Nonaccrual Loans | 1,898 | 1,776 |
Loans 90+ Days Past Due Still Accruing | 0 | 0 |
Total Nonperforming Loans | 189 | 36 |
Home Equity and Second Mortgage | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Nonaccrual Loans | 252 | 73 |
Loans 90+ Days Past Due Still Accruing | 39 | 56 |
Total Nonperforming Loans | 567 | 1,405 |
Other Consumer | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Nonaccrual Loans | 0 | 0 |
Loans 90+ Days Past Due Still Accruing | 8 | 18 |
Total Nonperforming Loans | 338 | 558 |
Nonperforming Financing Receivable | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Total Nonperforming Loans | 5,486 | 7,872 |
Nonperforming Financing Receivable | Residential | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Total Nonperforming Loans | 1,713 | 2,585 |
Nonperforming Financing Receivable | Land | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Total Nonperforming Loans | 120 | 125 |
Nonperforming Financing Receivable | Construction | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Total Nonperforming Loans | 0 | 403 |
Nonperforming Financing Receivable | Commercial Real Estate | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Total Nonperforming Loans | 1,456 | 2,836 |
Nonperforming Financing Receivable | Commercial Business | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Total Nonperforming Loans | 1,898 | 1,776 |
Nonperforming Financing Receivable | Home Equity and Second Mortgage | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Total Nonperforming Loans | 291 | 129 |
Nonperforming Financing Receivable | Other Consumer | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Total Nonperforming Loans | $8 | $18 |
Aging_of_Recorded_Investment_i
Aging of Recorded Investment in Loans (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
30-59 Days Past Due | $4,260 | $6,711 |
60-89 Days Past Due | 1,497 | 1,003 |
Over 90 Days Past Due | 1,091 | 2,326 |
Total Past Due | 6,848 | 10,040 |
Current | 287,630 | 276,196 |
Recorded investment in loans | 294,478 | 286,236 |
Residential | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
30-59 Days Past Due | 3,160 | 4,085 |
60-89 Days Past Due | 830 | 871 |
Over 90 Days Past Due | 701 | 1,644 |
Total Past Due | 4,691 | 6,600 |
Current | 102,817 | 102,003 |
Recorded investment in loans | 107,508 | 108,603 |
Land | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
30-59 Days Past Due | 162 | 343 |
60-89 Days Past Due | 109 | 0 |
Over 90 Days Past Due | 12 | 119 |
Total Past Due | 283 | 462 |
Current | 10,077 | 9,195 |
Recorded investment in loans | 10,360 | 9,657 |
Construction | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
30-59 Days Past Due | 0 | 171 |
60-89 Days Past Due | 0 | 0 |
Over 90 Days Past Due | 0 | 113 |
Total Past Due | 0 | 284 |
Current | 9,018 | 11,479 |
Recorded investment in loans | 9,018 | 11,763 |
Commercial Real Estate | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
30-59 Days Past Due | 231 | 360 |
60-89 Days Past Due | 500 | 0 |
Over 90 Days Past Due | 49 | 335 |
Total Past Due | 780 | 695 |
Current | 75,886 | 68,207 |
Recorded investment in loans | 76,666 | 68,902 |
Commercial Business | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
30-59 Days Past Due | 0 | 36 |
60-89 Days Past Due | 0 | 0 |
Over 90 Days Past Due | 189 | 0 |
Total Past Due | 189 | 36 |
Current | 21,814 | 18,619 |
Recorded investment in loans | 22,003 | 18,655 |
Home Equity and Second Mortgage | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
30-59 Days Past Due | 411 | 1,206 |
60-89 Days Past Due | 24 | 102 |
Over 90 Days Past Due | 132 | 97 |
Total Past Due | 567 | 1,405 |
Current | 34,702 | 35,881 |
Recorded investment in loans | 35,269 | 37,286 |
Other Consumer | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
30-59 Days Past Due | 296 | 510 |
60-89 Days Past Due | 34 | 30 |
Over 90 Days Past Due | 8 | 18 |
Total Past Due | 338 | 558 |
Current | 33,316 | 30,812 |
Recorded investment in loans | $33,654 | $31,370 |
Recorded_Investment_in_Loans_b
Recorded Investment in Loans by Risk Category (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | $294,478 | $286,236 |
Pass | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 279,249 | 266,540 |
Special Mention | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 4,066 | 4,041 |
Substandard | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 5,904 | 8,072 |
Doubtful | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 5,259 | 7,583 |
Unlikely to be Collected Financing Receivable | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 0 | 0 |
Residential | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 107,508 | 108,603 |
Residential | Pass | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 103,594 | 102,618 |
Residential | Special Mention | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 756 | 958 |
Residential | Substandard | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 1,625 | 2,657 |
Residential | Doubtful | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 1,533 | 2,370 |
Residential | Unlikely to be Collected Financing Receivable | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 0 | 0 |
Land | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 10,360 | 9,657 |
Land | Pass | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 7,096 | 7,220 |
Land | Special Mention | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 0 | 17 |
Land | Substandard | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 3,144 | 2,295 |
Land | Doubtful | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 120 | 125 |
Land | Unlikely to be Collected Financing Receivable | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 0 | 0 |
Construction | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 9,018 | 11,763 |
Construction | Pass | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 9,018 | 11,244 |
Construction | Special Mention | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 0 | 116 |
Construction | Substandard | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 0 | 0 |
Construction | Doubtful | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 0 | 403 |
Construction | Unlikely to be Collected Financing Receivable | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 0 | 0 |
Commercial Real Estate | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 76,666 | 68,902 |
Commercial Real Estate | Pass | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 71,893 | 63,095 |
Commercial Real Estate | Special Mention | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 2,627 | 1,018 |
Commercial Real Estate | Substandard | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 690 | 1,953 |
Commercial Real Estate | Doubtful | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 1,456 | 2,836 |
Commercial Real Estate | Unlikely to be Collected Financing Receivable | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 0 | 0 |
Commercial Business | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 22,003 | 18,655 |
Commercial Business | Pass | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 19,328 | 15,026 |
Commercial Business | Special Mention | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 458 | 1,354 |
Commercial Business | Substandard | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 319 | 499 |
Commercial Business | Doubtful | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 1,898 | 1,776 |
Commercial Business | Unlikely to be Collected Financing Receivable | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 0 | 0 |
Home Equity and Second Mortgage | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 35,269 | 37,286 |
Home Equity and Second Mortgage | Pass | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 34,693 | 36,035 |
Home Equity and Second Mortgage | Special Mention | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 198 | 553 |
Home Equity and Second Mortgage | Substandard | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 126 | 625 |
Home Equity and Second Mortgage | Doubtful | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 252 | 73 |
Home Equity and Second Mortgage | Unlikely to be Collected Financing Receivable | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 0 | 0 |
Other Consumer | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 33,654 | 31,370 |
Other Consumer | Pass | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 33,627 | 31,302 |
Other Consumer | Special Mention | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 27 | 25 |
Other Consumer | Substandard | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 0 | 43 |
Other Consumer | Doubtful | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | 0 | 0 |
Other Consumer | Unlikely to be Collected Financing Receivable | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Recorded investment in loans | $0 | $0 |
Troubled_Debt_Restructurings_b
Troubled Debt Restructurings by Accrual Status (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Financing Receivable, Modifications [Line Items] | ' | ' |
Recorded investment in loans | $294,478 | $286,236 |
Residential | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Recorded investment in loans | 107,508 | 108,603 |
Construction | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Recorded investment in loans | 9,018 | 11,763 |
Commercial Real Estate | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Recorded investment in loans | 76,666 | 68,902 |
Commercial Business | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Recorded investment in loans | 22,003 | 18,655 |
Home Equity and Second Mortgage | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Recorded investment in loans | 35,269 | 37,286 |
Troubled Debt Restructuring | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Accruing | 1,662 | 221 |
Nonaccrual | 1,935 | 4,099 |
Recorded investment in loans | 3,597 | 4,320 |
Related Allowance for Loan Losses | 1,304 | 1,293 |
Troubled Debt Restructuring | Residential | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Accruing | 508 | 180 |
Nonaccrual | 226 | 588 |
Recorded investment in loans | 734 | 768 |
Related Allowance for Loan Losses | 45 | 87 |
Troubled Debt Restructuring | Construction | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Accruing | 0 | 0 |
Nonaccrual | 0 | 170 |
Recorded investment in loans | 0 | 170 |
Related Allowance for Loan Losses | 0 | 0 |
Troubled Debt Restructuring | Commercial Real Estate | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Accruing | 1,130 | 0 |
Nonaccrual | 0 | 1,534 |
Recorded investment in loans | 1,130 | 1,534 |
Related Allowance for Loan Losses | 0 | 83 |
Troubled Debt Restructuring | Commercial Business | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Accruing | 0 | 0 |
Nonaccrual | 1,709 | 1,776 |
Recorded investment in loans | 1,709 | 1,776 |
Related Allowance for Loan Losses | 1,259 | 1,098 |
Troubled Debt Restructuring | Home Equity and Second Mortgage | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Accruing | 24 | 41 |
Nonaccrual | 0 | 31 |
Recorded investment in loans | 24 | 72 |
Related Allowance for Loan Losses | $0 | $25 |
Information_in_Regard_to_Troub
Information in Regard to Troubled Debt Restructurings that Occurred During Period (Detail) (Troubled Debt Restructuring, USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Contract | Contract | |
Financing Receivable, Modifications [Line Items] | ' | ' |
Number of Contracts | 5 | 5 |
Pre- Modification Outstanding Balance | $310 | $335 |
Post- Modification Outstanding Balance | 310 | 335 |
Residential | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Number of Contracts | 5 | 3 |
Pre- Modification Outstanding Balance | 310 | 270 |
Post- Modification Outstanding Balance | 310 | 270 |
Home Equity and Second Mortgage | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Number of Contracts | ' | 2 |
Pre- Modification Outstanding Balance | ' | 65 |
Post- Modification Outstanding Balance | ' | $65 |
Premises_and_Equipment_Detail
Premises and Equipment (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Property, Plant and Equipment [Line Items] | ' | ' |
Land and land improvements | $3,256 | $3,256 |
Leasehold improvements | 56 | 56 |
Office buildings | 10,391 | 10,324 |
Furniture, fixtures and equipment | 4,620 | 4,550 |
Property, Plant and Equipment, Gross, Total | 18,323 | 18,186 |
Less accumulated depreciation | 7,976 | 7,429 |
Totals | $10,347 | $10,757 |
Premises_and_Equipment_Additio
Premises and Equipment - Additional Information (Detail) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Property, Plant and Equipment [Line Items] | ' | ' |
Depreciation expense | $707,000 | $726,000 |
Foreclosed_Real_Estate_Additio
Foreclosed Real Estate - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||
Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | |
Real Estate Properties [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Foreclosed real estate | $466,000 | ' | ' | ' | $295,000 | ' | ' | ' | $466,000 | $295,000 |
Charge-offs | ' | ' | ' | ' | ' | ' | ' | ' | 892,000 | 1,198,000 |
Provisions for loan losses | 150,000 | 100,000 | 225,000 | 250,000 | 400,000 | 350,000 | 300,000 | 475,000 | 725,000 | 1,525,000 |
Gain (losses) realized from sale of foreclosed real estate | ' | ' | ' | ' | ' | ' | ' | ' | 31,000 | 68,000 |
Real estate taxes and other expenses of holding foreclosed real estate | ' | ' | ' | ' | ' | ' | ' | ' | 84,000 | 104,000 |
Foreclosed Real Estate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Real Estate Properties [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Charge-offs | ' | ' | ' | ' | ' | ' | ' | ' | 354,000 | 506,000 |
Provisions for loan losses | ' | ' | ' | ' | ' | ' | ' | ' | 20,000 | 0 |
Deferred gain from sale of real estate | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 |
Deferred gains on the sale of foreclosed real estate | $42,000 | ' | ' | ' | $43,000 | ' | ' | ' | $42,000 | $43,000 |
Recovered_Sheet4
Goodwill and Other Intangibles - Additional Information (Detail) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Goodwill And Other Intangible Assets [Line Items] | ' | ' |
Impairment of goodwill | $0 | $0 |
Amortization expense | 0 | 32,000 |
Intangible assets | 747,000 | ' |
Hometown Bancshares, Inc. | ' | ' |
Goodwill And Other Intangible Assets [Line Items] | ' | ' |
Goodwill acquired | $5,400,000 | ' |
Deposits_Additional_Informatio
Deposits - Additional Information (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Deposit Liabilities [Line Items] | ' | ' |
Aggregate amount of time deposit accounts | $25.40 | $29.70 |
Deposits for related parties | $9.80 | $8.80 |
Scheduled_Maturities_of_Time_D
Scheduled Maturities of Time Deposits (Detail) (USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Time Deposits [Line Items] | ' |
2014 | $42,181 |
2015 | 23,527 |
2016 | 10,415 |
2017 | 9,149 |
2018 and thereafter | 1,962 |
Total | $87,234 |
Borrowings_Under_Repurchase_Ag
Borrowings Under Repurchase Agreements (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Assets Sold under Agreements to Repurchase [Line Items] | ' | ' |
Outstanding balance at year end | $9,310 | $14,092 |
Weighted average interest rate at year end | 0.26% | 0.25% |
Weighted average interest rate during the year | 0.25% | 0.38% |
Average daily balance | 11,015 | 10,074 |
Maximum month-end balance during the year | 13,041 | 14,092 |
Amortized cost | 13,322 | 15,284 |
Fair value | $12,920 | $15,328 |
Recovered_Sheet5
Advances from Federal Home Loan Bank (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ' | ' |
Advances from Federal Home Loan Bank | $5,500 | $5,100 |
Fixed Rate Advance | ' | ' |
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ' | ' |
Weighted Average Rate | 0.50% | 3.63% |
Advances from Federal Home Loan Bank | $5,500 | $5,100 |
Advance_from_Federal_Home_Loan
Advance from Federal Home Loan Bank - Additional Information (Detail) (USD $) | Dec. 31, 2013 |
In Millions, unless otherwise specified | |
Variable rate advances adjusting daily | ' |
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ' |
Federal home loan bank advances mature in June 2014 | $5.50 |
Residential | ' |
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ' |
Blanket collateral agreement, carrying value of collateral pledged | 74.4 |
Mutual fund investment | ' |
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ' |
Blanket collateral agreement, carrying value of collateral pledged | $1.60 |
Lease_Commitments_Additional_I
Lease Commitments - Additional Information (Detail) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2010 | |
Leases Disclosure [Line Items] | ' | ' | ' |
Noncancelable lease agreement, expiration year | ' | ' | '2015 |
Lease office space under sublease agreements, renewal period | '1 year | ' | ' |
Future minimum rental payments under noncancelable operating lease in 2014 | $15,000 | ' | ' |
Future minimum rental payments under noncancelable operating lease in 2015 | 4,000 | ' | ' |
Rental expense | $27,000 | $25,000 | ' |
Components_of_Income_Tax_Expen
Components of Income Tax Expense (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 |
Income Taxes [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Current | ' | ' | ' | ' | ' | ' | ' | ' | $2,055 | $2,037 |
Deferred | ' | ' | ' | ' | ' | ' | ' | ' | 200 | -478 |
Totals | $534 | $653 | $557 | $511 | $551 | $218 | $427 | $363 | $2,255 | $1,559 |
Income_Taxes_Additional_Inform
Income Taxes - Additional Information (Detail) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Income Tax Disclosure [Line Items] | ' | ' |
Statutory federal income tax rate | 34.00% | 34.00% |
Retained earnings-substantially restricted | $1,000,000 | $1,000,000 |
Unrecorded deferred liability | $354,000 | $354,000 |
Reconciliation_of_Income_Tax_E
Reconciliation of Income Tax Expense (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 |
Reconciliation Of Income Taxes [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Provision at federal statutory tax rate | ' | ' | ' | ' | ' | ' | ' | ' | $2,496 | $1,868 |
State income tax-net of federal tax benefit | ' | ' | ' | ' | ' | ' | ' | ' | 214 | 102 |
Tax-exempt interest income | ' | ' | ' | ' | ' | ' | ' | ' | -402 | -353 |
Increase in cash value of life insurance | ' | ' | ' | ' | ' | ' | ' | ' | -54 | -62 |
Other | ' | ' | ' | ' | ' | ' | ' | ' | 1 | 4 |
Totals | $534 | $653 | $557 | $511 | $551 | $218 | $427 | $363 | $2,255 | $1,559 |
Effective tax rate | ' | ' | ' | ' | ' | ' | ' | ' | 30.70% | 28.40% |
Significant_Components_of_Defe
Significant Components of Deferred Tax Assets and Liabilities (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Deferred tax assets (liabilities): | ' | ' |
Deferred compensation plans | $102 | $112 |
Allowance for loan losses | 1,661 | 1,645 |
Accrued early retirement | 32 | 189 |
Other | 157 | 92 |
Unrealized loss on securities available for sale | 443 | 0 |
Deferred tax assets | 2,395 | 2,038 |
Depreciation | -664 | -580 |
Deferred loan fees and costs | -86 | -54 |
FHLB stock dividends | -99 | -101 |
Unrealized gain on securities available for sale | 0 | -959 |
Deferred tax liabilities | -849 | -1,694 |
Net deferred tax asset | $1,546 | $344 |
Employee_Benefit_Plans_Additio
Employee Benefit Plans - Additional Information (Detail) (USD $) | 1 Months Ended | 12 Months Ended | |
Dec. 31, 1998 | Dec. 31, 2013 | Dec. 31, 2012 | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' |
Defined contribution plan, employer contribution | ' | $319,000 | $332,000 |
Employee Stock Ownership Plans, shares acquired by the trust | 61,501 | ' | ' |
Employee stock ownership plan, loan term | '10 years | ' | ' |
Employee Stock Ownership Plans, shares allocated to participant accounts | ' | 55,964 | ' |
Deferred_Compensation_Plans_Ad
Deferred Compensation Plans - Additional Information (Detail) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Officer | ' | ' |
Deferred Compensation Arrangement with Individual, Excluding Share-based Payments and Postretirement Benefits [Line Items] | ' | ' |
Number of years where certain employee will be provided specific amounts of income following normal retirement | 'Fifteen years | ' |
Number of years of service beginning the effective date of the agreement to become fully vested | 'Four years | ' |
Deferred compensation expense | $11,000 | $13,000 |
Director | ' | ' |
Deferred Compensation Arrangement with Individual, Excluding Share-based Payments and Postretirement Benefits [Line Items] | ' | ' |
Number of years where certain employee will be provided specific amounts of income following normal retirement | 'Fifteen years | ' |
Deferred compensation expense | $19,000 | $18,000 |
StockBased_Compensation_Plans_
Stock-Based Compensation Plans - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2009 | Dec. 31, 2013 | |
Stock Options | Stock Options | Stock Options | 2009 Equity Incentive Plan | 2009 Equity Incentive Plan | |||||||||||
Maximum | |||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares authorized | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 223,000 | ' |
Options granted expiration period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '10 years | ' |
Options outstanding | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | ' | ' | 0 |
Aggregate fair value of stock for which any optionee may be granted incentive options which are first exercisable during any calendar year | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $100,000 | ' | ' |
Stock options exercised | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | ' | ' | ' |
Options granted during the period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | ' | ' | ' |
Compensation expense recognized | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | ' | ' | ' |
Unrecognized compensation expense related to nonvested stock options to be recognized over the remaining vesting period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | ' | ' | ' |
Income tax benefit | $534,000 | $653,000 | $557,000 | $511,000 | $551,000 | $218,000 | $427,000 | $363,000 | $2,255,000 | $1,559,000 | $0 | $0 | ' | ' | ' |
Recovered_Sheet6
Commitments and Contingencies - Additional Information (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Commitments and Contingencies Disclosure [Line Items] | ' | ' |
Commitments under outstanding standby letters of credit | $1,200,000 | $781,000 |
Summary_of_Commitments_to_Exte
Summary of Commitments to Extend Credit (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Unfunded Commitments To Extend Credit [Line Items] | ' | ' |
Fixed rate | $865 | $1,554 |
Adjustable rate | 5,453 | 11,640 |
Unfunded Commitments to Extend Credit | 57,745 | 55,980 |
Unused lines of credit on credit cards | ' | ' |
Unfunded Commitments To Extend Credit [Line Items] | ' | ' |
Unfunded Commitments to Extend Credit | 3,821 | 2,981 |
Undisbursed commercial and personal lines of credit | ' | ' |
Unfunded Commitments To Extend Credit [Line Items] | ' | ' |
Unfunded Commitments to Extend Credit | 19,484 | 17,413 |
Undisbursed portion of construction loans in process | ' | ' |
Unfunded Commitments To Extend Credit [Line Items] | ' | ' |
Unfunded Commitments to Extend Credit | 7,142 | 4,306 |
Undisbursed portion of home equity lines of credit | ' | ' |
Unfunded Commitments To Extend Credit [Line Items] | ' | ' |
Unfunded Commitments to Extend Credit | $20,980 | $18,086 |
Actual_Capital_Amounts_and_Rat
Actual Capital Amounts and Ratios (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ' | ' |
Total capital (to risk-weighted assets), actual amount | $51,780 | $49,347 |
Tier 1 capital (to risk-weighted assets), actual amount | 47,751 | 45,383 |
Tier I capital (to adjusted total assets), actual amount | 47,751 | 45,383 |
Tangible capital (to adjusted total assets), actual amount | 47,751 | 45,383 |
Total capital (to risk-weighted assets), actual ratio | 16.11% | 15.60% |
Tier 1 capital (to risk-weighted assets), actual ratio | 14.86% | 14.35% |
Tier I capital (to adjusted total assets), actual ratio | 10.89% | 10.00% |
Tangible capital (to adjusted total assets), actual ratio | 10.89% | 10.00% |
Total capital (to risk-weighted assets), minimum amount for capital adequacy purposes | 25,713 | 25,307 |
Tier 1 capital (to risk-weighted assets), minimum amount for capital adequacy purposes | ' | ' |
Tier I capital (to adjusted total assets), minimum amount for capital adequacy purposes | 17,534 | 18,149 |
Tangible capital (to adjusted total assets), minimum amount for capital adequacy purposes | 6,575 | 6,806 |
Total capital (to risk-weighted assets), minimum amount for capital adequacy purposes | 8.00% | 8.00% |
Tier 1 capital (to risk-weighted assets), minimum amount for capital adequacy purposes | ' | ' |
Tier I capital (to adjusted total assets), minimum amount for capital adequacy purposes | 4.00% | 4.00% |
Tangible capital (to adjusted total assets), minimum amount for capital adequacy purposes | 1.50% | 1.50% |
Total capital (to risk-weighted assets), minimum amount to be well capitalized under prompt corrective action provisions | 32,141 | 31,634 |
Tier 1 capital (to risk-weighted assets), minimum amount to be well capitalized under prompt corrective action provisions | 19,285 | 18,980 |
Tier I capital (to adjusted total assets), minimum amount to be well capitalized under prompt corrective action provisions | 21,917 | 22,686 |
Tangible capital (to adjusted total assets), minimum amount to be well capitalized under prompt corrective action provisions | ' | ' |
Total capital (to risk-weighted assets), minimum ratio to be well capitalized under prompt corrective action provisions | 10.00% | 10.00% |
Tier 1 capital (to risk-weighted assets), minimum ratio to be well capitalized under prompt corrective action provisions | 6.00% | 6.00% |
Tier I capital (to adjusted total assets), minimum ratio to be well capitalized under prompt corrective action provisions | 5.00% | 5.00% |
Tangible capital (to adjusted total assets), minimum ratio to be well capitalized under prompt corrective action provisions | ' | ' |
Carrying_Value_and_Estimated_F
Carrying Value and Estimated Fair Value of Financial Instruments and Level within Fair Value Hierarchy (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Financial assets: | ' | ' |
Interest-bearing time deposits | $467 | $575 |
Securities available for sale | 108,762 | 122,973 |
Securities held to maturity | 9 | 12 |
Financial liabilities: | ' | ' |
Retail repurchase agreements | 12,920 | 15,328 |
Carrying (Reported) Amount, Fair Value Disclosure | ' | ' |
Financial assets: | ' | ' |
Cash and cash equivalents | 11,136 | 21,811 |
Interest-bearing time deposits | 4,425 | 1,400 |
Securities available for sale | 108,762 | 122,973 |
Securities held to maturity | 9 | 12 |
Loans held for sale | 1,611 | 3,609 |
Loans, net | 288,506 | 280,407 |
FHLB stock | 2,820 | 2,820 |
Accrued interest receivable | 1,716 | 1,757 |
Cost method investment (included in other assets) | 540 | ' |
Financial liabilities: | ' | ' |
Deposits | 373,830 | 384,343 |
Retail repurchase agreements | 9,310 | 14,092 |
Advances from FHLB | 5,500 | 5,100 |
Accrued interest payable | 192 | 290 |
Estimate of Fair Value, Fair Value Disclosure | ' | ' |
Financial assets: | ' | ' |
Cash and cash equivalents | 11,136 | 21,811 |
Interest-bearing time deposits | 4,458 | 1,401 |
Securities available for sale | 108,762 | 122,973 |
Securities held to maturity | 9 | 12 |
Loans held for sale | 1,644 | 3,705 |
Loans, net | 287,753 | 287,609 |
FHLB stock | 2,820 | 2,820 |
Accrued interest receivable | 1,716 | 1,757 |
Cost method investment (included in other assets) | 540 | ' |
Financial liabilities: | ' | ' |
Deposits | 373,883 | 385,212 |
Retail repurchase agreements | 9,310 | 14,092 |
Advances from FHLB | 5,500 | 5,100 |
Accrued interest payable | 192 | 290 |
Level 1 | ' | ' |
Financial assets: | ' | ' |
Cash and cash equivalents | 11,136 | 21,811 |
Interest-bearing time deposits | 0 | 0 |
Securities available for sale | 3,198 | 4,237 |
Securities held to maturity | 0 | 0 |
Loans held for sale | 0 | 0 |
Loans, net | 0 | 0 |
FHLB stock | 0 | 0 |
Accrued interest receivable | 0 | 0 |
Cost method investment (included in other assets) | 0 | ' |
Financial liabilities: | ' | ' |
Deposits | 0 | 0 |
Retail repurchase agreements | 0 | 0 |
Advances from FHLB | 0 | 0 |
Accrued interest payable | 0 | 0 |
Level 2 | ' | ' |
Financial assets: | ' | ' |
Cash and cash equivalents | 0 | 0 |
Interest-bearing time deposits | 4,458 | 1,401 |
Securities available for sale | 105,564 | 118,736 |
Securities held to maturity | 9 | 12 |
Loans held for sale | 1,644 | 3,705 |
Loans, net | 0 | 0 |
FHLB stock | 2,820 | 2,820 |
Accrued interest receivable | 1,716 | 1,757 |
Cost method investment (included in other assets) | 540 | ' |
Financial liabilities: | ' | ' |
Deposits | 0 | 0 |
Retail repurchase agreements | 9,310 | 14,092 |
Advances from FHLB | 5,500 | 5,100 |
Accrued interest payable | 192 | 290 |
Level 3 | ' | ' |
Financial assets: | ' | ' |
Cash and cash equivalents | 0 | 0 |
Interest-bearing time deposits | 0 | 0 |
Securities available for sale | 0 | 0 |
Securities held to maturity | 0 | 0 |
Loans held for sale | 0 | 0 |
Loans, net | 287,753 | 287,609 |
FHLB stock | 0 | 0 |
Accrued interest receivable | 0 | 0 |
Cost method investment (included in other assets) | 0 | ' |
Financial liabilities: | ' | ' |
Deposits | 373,883 | 385,212 |
Retail repurchase agreements | 0 | 0 |
Advances from FHLB | 0 | 0 |
Accrued interest payable | $0 | $0 |
Assets_Measured_at_Fair_Value_
Assets Measured at Fair Value on Recurring and Nonrecurring Basis (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | $108,762 | $122,973 |
Fair Value, Measurements, Recurring | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 108,762 | 122,973 |
Fair Value, Measurements, Recurring | Agency mortgage-backed securities | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 18,369 | 23,206 |
Fair Value, Measurements, Recurring | Agency CMO | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 20,241 | 22,660 |
Fair Value, Measurements, Recurring | Agency notes and bonds | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 30,914 | 38,553 |
Fair Value, Measurements, Recurring | Municipal obligations | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 36,040 | 34,317 |
Fair Value, Measurements, Recurring | Mutual fund investment | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 3,198 | 4,237 |
Fair Value, Measurements, Nonrecurring | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Impaired loans | 5,391 | 6,152 |
Loans held for sale | 1,611 | 3,609 |
Foreclosed real estate | 466 | 295 |
Fair Value, Measurements, Nonrecurring | Residential | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Impaired loans | 1,928 | 2,378 |
Foreclosed real estate | 466 | 258 |
Fair Value, Measurements, Nonrecurring | Land | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Impaired loans | 120 | 125 |
Foreclosed real estate | ' | 37 |
Fair Value, Measurements, Nonrecurring | Construction | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Impaired loans | 0 | 403 |
Fair Value, Measurements, Nonrecurring | Commercial Real Estate | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Impaired loans | 2,441 | 2,561 |
Fair Value, Measurements, Nonrecurring | Real Estate Construction | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Impaired loans | 639 | 678 |
Fair Value, Measurements, Nonrecurring | Home Equity and Second Mortgage | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Impaired loans | 263 | 7 |
Level 1 | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 3,198 | 4,237 |
Loans held for sale | 0 | 0 |
Level 1 | Fair Value, Measurements, Recurring | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 3,198 | 4,237 |
Level 1 | Fair Value, Measurements, Recurring | Agency mortgage-backed securities | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 0 | 0 |
Level 1 | Fair Value, Measurements, Recurring | Agency CMO | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 0 | 0 |
Level 1 | Fair Value, Measurements, Recurring | Agency notes and bonds | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 0 | 0 |
Level 1 | Fair Value, Measurements, Recurring | Municipal obligations | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 0 | 0 |
Level 1 | Fair Value, Measurements, Recurring | Mutual fund investment | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 3,198 | 4,237 |
Level 1 | Fair Value, Measurements, Nonrecurring | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Impaired loans | 0 | 0 |
Loans held for sale | 0 | 0 |
Foreclosed real estate | 0 | 0 |
Level 1 | Fair Value, Measurements, Nonrecurring | Residential | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Impaired loans | 0 | 0 |
Foreclosed real estate | 0 | 0 |
Level 1 | Fair Value, Measurements, Nonrecurring | Land | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Impaired loans | 0 | 0 |
Foreclosed real estate | ' | 0 |
Level 1 | Fair Value, Measurements, Nonrecurring | Construction | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Impaired loans | 0 | 0 |
Level 1 | Fair Value, Measurements, Nonrecurring | Commercial Real Estate | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Impaired loans | 0 | 0 |
Level 1 | Fair Value, Measurements, Nonrecurring | Real Estate Construction | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Impaired loans | 0 | 0 |
Level 1 | Fair Value, Measurements, Nonrecurring | Home Equity and Second Mortgage | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Impaired loans | 0 | 0 |
Level 2 | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 105,564 | 118,736 |
Loans held for sale | 1,644 | 3,705 |
Level 2 | Fair Value, Measurements, Recurring | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 105,564 | 118,736 |
Level 2 | Fair Value, Measurements, Recurring | Agency mortgage-backed securities | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 18,369 | 23,206 |
Level 2 | Fair Value, Measurements, Recurring | Agency CMO | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 20,241 | 22,660 |
Level 2 | Fair Value, Measurements, Recurring | Agency notes and bonds | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 30,914 | 38,553 |
Level 2 | Fair Value, Measurements, Recurring | Municipal obligations | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 36,040 | 34,317 |
Level 2 | Fair Value, Measurements, Recurring | Mutual fund investment | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 0 | 0 |
Level 2 | Fair Value, Measurements, Nonrecurring | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Impaired loans | 0 | 0 |
Loans held for sale | 1,611 | 3,609 |
Foreclosed real estate | 0 | 0 |
Level 2 | Fair Value, Measurements, Nonrecurring | Residential | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Impaired loans | 0 | 0 |
Foreclosed real estate | 0 | 0 |
Level 2 | Fair Value, Measurements, Nonrecurring | Land | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Impaired loans | 0 | 0 |
Foreclosed real estate | ' | 0 |
Level 2 | Fair Value, Measurements, Nonrecurring | Construction | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Impaired loans | 0 | 0 |
Level 2 | Fair Value, Measurements, Nonrecurring | Commercial Real Estate | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Impaired loans | 0 | 0 |
Level 2 | Fair Value, Measurements, Nonrecurring | Real Estate Construction | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Impaired loans | 0 | 0 |
Level 2 | Fair Value, Measurements, Nonrecurring | Home Equity and Second Mortgage | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Impaired loans | 0 | 0 |
Level 3 | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 0 | 0 |
Loans held for sale | 0 | 0 |
Level 3 | Fair Value, Measurements, Recurring | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 0 | 0 |
Level 3 | Fair Value, Measurements, Recurring | Agency mortgage-backed securities | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 0 | 0 |
Level 3 | Fair Value, Measurements, Recurring | Agency CMO | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 0 | 0 |
Level 3 | Fair Value, Measurements, Recurring | Agency notes and bonds | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 0 | 0 |
Level 3 | Fair Value, Measurements, Recurring | Municipal obligations | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 0 | 0 |
Level 3 | Fair Value, Measurements, Recurring | Mutual fund investment | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Securities available for sale | 0 | 0 |
Level 3 | Fair Value, Measurements, Nonrecurring | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Impaired loans | 5,391 | 6,152 |
Loans held for sale | 0 | 0 |
Foreclosed real estate | 466 | 295 |
Level 3 | Fair Value, Measurements, Nonrecurring | Residential | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Impaired loans | 1,928 | 2,378 |
Foreclosed real estate | 466 | 258 |
Level 3 | Fair Value, Measurements, Nonrecurring | Land | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Impaired loans | 120 | 125 |
Foreclosed real estate | ' | 37 |
Level 3 | Fair Value, Measurements, Nonrecurring | Construction | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Impaired loans | 0 | 403 |
Level 3 | Fair Value, Measurements, Nonrecurring | Commercial Real Estate | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Impaired loans | 2,441 | 2,561 |
Level 3 | Fair Value, Measurements, Nonrecurring | Real Estate Construction | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Impaired loans | 639 | 678 |
Level 3 | Fair Value, Measurements, Nonrecurring | Home Equity and Second Mortgage | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Impaired loans | $263 | $7 |
Fair_Value_Measurements_Additi
Fair Value Measurements - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||
Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Provisions for loan losses | $150,000 | $100,000 | $225,000 | $250,000 | $400,000 | $350,000 | $300,000 | $475,000 | $725,000 | $1,525,000 |
Impaired Loans | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Provisions for loan losses | ' | ' | ' | ' | ' | ' | ' | ' | 150,000 | 185,000 |
Impaired Loans | Level 3 | Minimum | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair value measurement, discount rate | ' | ' | ' | ' | ' | ' | ' | ' | 10.00% | 10.00% |
Impaired Loans | Level 3 | Maximum | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair value measurement, discount rate | ' | ' | ' | ' | ' | ' | ' | ' | 48.00% | 30.00% |
Foreclosed Real Estate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Provisions for loan losses | ' | ' | ' | ' | ' | ' | ' | ' | $20,000 | $0 |
Foreclosed Real Estate | Level 3 | Minimum | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair value measurement, discount rate | ' | ' | ' | ' | ' | ' | ' | ' | 10.00% | 15.00% |
Foreclosed Real Estate | Level 3 | Maximum | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair value measurement, discount rate | ' | ' | ' | ' | ' | ' | ' | ' | 38.00% | 55.00% |
Condensed_Balance_Sheets_Detai
Condensed Balance Sheets (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | |||
Assets: | ' | ' | ' |
Other assets | $2,868 | $1,733 | ' |
Total Assets | 444,384 | 459,132 | ' |
Liabilities and Equity: | ' | ' | ' |
Stockholders' equity | 53,227 | 52,824 | ' |
Total Liabilities and Equity | 444,384 | 459,132 | ' |
Parent Company | ' | ' | ' |
Assets: | ' | ' | ' |
Cash and cash equivalents | 132 | 236 | 278 |
Other assets | 670 | 120 | ' |
Investment in subsidiaries | 52,430 | 52,473 | ' |
Total Assets | 53,232 | 52,829 | ' |
Liabilities and Equity: | ' | ' | ' |
Accrued expenses | 5 | 5 | ' |
Stockholders' equity | 53,227 | 52,824 | ' |
Total Liabilities and Equity | $53,232 | $52,829 | ' |
Condensed_Statements_of_Income
Condensed Statements of Income (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 |
Schedule of Condensed Consolidating Statement of Operations [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Dividend income | ' | ' | ' | ' | ' | ' | ' | ' | $99 | $94 |
Other operating expenses | ' | ' | ' | ' | ' | ' | ' | ' | -2,616 | -2,503 |
Income tax benefit | -534 | -653 | -557 | -511 | -551 | -218 | -427 | -363 | -2,255 | -1,559 |
Net income | 1,244 | 1,426 | 1,210 | 1,194 | 1,249 | 719 | 1,035 | 919 | 5,074 | 3,922 |
Parent Company | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Schedule of Condensed Consolidating Statement of Operations [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Dividend income | ' | ' | ' | ' | ' | ' | ' | ' | 2,847 | 2,206 |
Other operating expenses | ' | ' | ' | ' | ' | ' | ' | ' | -253 | -228 |
Income before income taxes and equity in undistributed net income of subsidiaries | ' | ' | ' | ' | ' | ' | ' | ' | 2,594 | 1,978 |
Income tax benefit | ' | ' | ' | ' | ' | ' | ' | ' | 98 | 87 |
Income before equity in undistributed net income of subsidiaries | ' | ' | ' | ' | ' | ' | ' | ' | 2,692 | 2,065 |
Equity in undistributed net income of subsidiaries | ' | ' | ' | ' | ' | ' | ' | ' | 2,382 | 1,857 |
Net income | ' | ' | ' | ' | ' | ' | ' | ' | $5,074 | $3,922 |
Condensed_Statements_of_Cash_F
Condensed Statements of Cash Flows (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Operating Activities: | ' | ' |
Net income | ($5,087) | ($3,935) |
Adjustments to reconcile net income to cash and cash equivalents provided by operating activities: | ' | ' |
Net change in other assets and liabilities | 449 | 1,633 |
Net Cash Provided By Operating Activities | 9,823 | 7,358 |
Investing Activity: | ' | ' |
Cost method equity investment | -540 | 0 |
Net Cash Used In Investing Activities | -3,343 | -20,012 |
Financing Activities: | ' | ' |
Purchase of treasury stock | -19 | -14 |
Cash dividends paid | -2,241 | -2,130 |
Net Cash Provided By (Used In) Financing Activities | -17,155 | 15,542 |
Net decrease in cash and cash equivalents | -10,675 | 2,888 |
Parent Company | ' | ' |
Operating Activities: | ' | ' |
Net income | 5,074 | 3,922 |
Adjustments to reconcile net income to cash and cash equivalents provided by operating activities: | ' | ' |
Equity in undistributed net income of subsidiaries | -2,382 | -1,857 |
Net change in other assets and liabilities | -9 | 24 |
Net Cash Provided By Operating Activities | 2,683 | 2,089 |
Investing Activity: | ' | ' |
Cost method equity investment | -540 | 0 |
Net Cash Used In Investing Activities | -540 | 0 |
Financing Activities: | ' | ' |
Exercise of stock options | 0 | 0 |
Purchase of treasury stock | -19 | -14 |
Cash dividends paid | -2,228 | -2,117 |
Net Cash Provided By (Used In) Financing Activities | -2,247 | -2,131 |
Net decrease in cash and cash equivalents | -104 | -42 |
Cash and cash equivalents at beginning of year | 236 | 278 |
Cash and cash equivalents at end of year | $132 | $236 |
Recovered_Sheet7
Supplemental Disclosure for Earnings Per Share (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 |
Earnings: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net income attributable to First Capital, Inc. | $1,244 | $1,426 | $1,210 | $1,194 | $1,249 | $719 | $1,035 | $919 | $5,074 | $3,922 |
Shares: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted average common shares outstanding | ' | ' | ' | ' | ' | ' | ' | ' | 2,784,690 | 2,785,286 |
Net income per common share attributable to First Capital, Inc., basic and diluted | ' | ' | ' | ' | ' | ' | ' | ' | $1.82 | $1.41 |
Supplemental_Disclosures_of_Ca
Supplemental Disclosures of Cash Flow Information (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Cash payments for: | ' | ' |
Interest | $1,751 | $2,587 |
Income taxes | 2,357 | 1,531 |
Noncash investing activities: | ' | ' |
Transfers from loans to real estate acquired through foreclosure | 1,149 | 841 |
Proceeds from sales of foreclosed real estate financed through loans | $526 | $181 |
Recovered_Sheet8
Selected Quarterly Financial Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 |
Quarterly Financial Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest income | $4,632 | $4,649 | $4,554 | $4,576 | $4,681 | $4,722 | $4,676 | $4,721 | $18,411 | $18,800 |
Interest expense | 347 | 408 | 440 | 458 | 537 | 575 | 650 | 703 | 1,653 | 2,465 |
Net interest income | 4,285 | 4,241 | 4,114 | 4,118 | 4,144 | 4,147 | 4,026 | 4,018 | 16,758 | 16,335 |
Provision for loan losses | 150 | 100 | 225 | 250 | 400 | 350 | 300 | 475 | 725 | 1,525 |
Net interest income after provision for loan losses | 4,135 | 4,141 | 3,889 | 3,868 | 3,744 | 3,797 | 3,726 | 3,543 | 16,033 | 14,810 |
Noninterest income | 1,079 | 1,211 | 1,188 | 1,162 | 1,236 | 1,126 | 1,100 | 1,075 | 4,640 | 4,537 |
Noninterest expenses | 3,433 | 3,270 | 3,306 | 3,322 | 3,177 | 3,983 | 3,360 | 3,333 | 13,331 | 13,853 |
Income before income taxes | 1,781 | 2,082 | 1,771 | 1,708 | 1,803 | 940 | 1,466 | 1,285 | 7,342 | 5,494 |
Income tax expense | 534 | 653 | 557 | 511 | 551 | 218 | 427 | 363 | 2,255 | 1,559 |
Net income | 1,247 | 1,429 | 1,214 | 1,197 | 1,252 | 722 | 1,039 | 922 | 5,087 | 3,935 |
Less: net income attributable to noncontrolling interest in subsidiary | 3 | 3 | 4 | 3 | 3 | 3 | 4 | 3 | 13 | 13 |
Net income attributable to First Capital, Inc. | $1,244 | $1,426 | $1,210 | $1,194 | $1,249 | $719 | $1,035 | $919 | $5,074 | $3,922 |
Earnings per common share attributable to First Capital, Inc.: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Basic | $0.45 | $0.51 | $0.43 | $0.43 | $0.45 | $0.26 | $0.37 | $0.33 | $1.82 | $1.41 |
Diluted | $0.45 | $0.51 | $0.43 | $0.43 | $0.45 | $0.26 | $0.37 | $0.33 | $1.82 | $1.41 |