Jacksonville Bancorp (JAXB) 10-Q 10 Aug 15 2015 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2015	Jul. 31, 2015
Document Information [Line Items]
Entity Registrant Name	JACKSONVILLE BANCORP INC /FL/
Entity Central Index Key	1,071,264
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Smaller Reporting Company
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	Q2
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2015
Common Stock [Member]
Document Information [Line Items]
Entity Common Stock, Shares Outstanding		3,214,461
Nonvoting Common Stock [Member]
Document Information [Line Items]
Entity Common Stock, Shares Outstanding		2,581,821

CONSOLIDATED BALANCE SHEETS (Un

CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
ASSETS
Cash and due from financial institutions	$ 27,583	$ 23,778
Federal funds sold and other	1,972	594
Cash and cash equivalents	29,555	24,372
Securities available-for-sale	73,235	77,633
Loans, net of allowance for loan losses of $12,861 and $14,377 as of June 30, 2015 and December 31, 2014, respectively	372,838	360,279
Premises and equipment, net	4,936	5,147
Assets held for sale	711	786
Bank-owned life insurance	11,938	11,857
Federal Home Loan Bank stock, at cost	1,140	1,243
Other real estate owned, net	4,047	4,061
Accrued interest receivable	1,340	1,464
Other intangible assets, net	455	570
Other assets	1,661	1,172
Total assets	501,856	488,584
Deposits
Noninterest-bearing demand deposits	116,013	107,840
Money market, NOW and savings deposits	187,142	174,693
Time deposits	123,033	133,223
Total deposits	426,188	415,756
Federal Home Loan Bank short-term borrowings	5,000	6,000
Federal Home Loan Bank and other long-term borrowings	11,617	11,629
Subordinated debentures	16,250	16,218
Accrued expenses and other liabilities	1,730	1,869
Total liabilities	460,785	451,472
SHAREHOLDERS' EQUITY
Preferred stock	0	0
Additional paid-in capital	138,121	138,096
Retained deficit	(96,736)	(100,759)
Accumulated other comprehensive loss	(372)	(283)
Total shareholders' equity	41,071	37,112
Total liabilities and shareholders' equity	501,856	488,584
Common Stock [Member]
SHAREHOLDERS' EQUITY
Common stock	32	32
Nonvoting Common Stock [Member]
SHAREHOLDERS' EQUITY
Common stock	$ 26	$ 26

CONSOLIDATED BALANCE SHEETS (U3

CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Allowance for loan losses	$ 12,861	$ 14,377
Common Stock [Member]
Common stock, par value (dollars per share)	$ 0.01	$ 0.01
Common stock, shares issued (in shares)	3,214,461	3,180,300
Common stock, shares outstanding (in shares)	3,214,461	3,180,300
Nonvoting Common Stock [Member]
Common stock, par value (dollars per share)	$ 0.01	$ 0.01
Common stock, shares issued (in shares)	2,581,821	2,614,821
Common stock, shares outstanding (in shares)	2,581,821	2,614,821

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Interest and dividend income:
Loans, including fees	$ 4,820	$ 5,099	$ 9,497	$ 9,759
Taxable securities	278	302	568	622
Tax-exempt securities	73	91	147	191
Federal funds sold and other	35	41	68	79
Total interest income	5,206	5,533	10,280	10,651
Interest expense:
Deposits	470	541	952	1,105
Federal Reserve and other borrowings	8	11	15	22
Federal Home Loan Bank advances	49	75	100	149
Subordinated debentures	206	205	408	408
Total interest expense	733	832	1,475	1,684
Net interest income	4,473	4,701	8,805	8,967
Provision for loan losses	(2,011)	287	(2,011)	287
Net interest income after provision for loan losses	6,484	4,414	10,816	8,680
Noninterest income:
Service charges on deposit accounts	179	190	365	364
Other income	193	189	380	392
Total noninterest income	372	379	745	756
Noninterest expense:
Salaries and employee benefits	1,569	2,177	3,159	4,336
Occupancy and equipment	552	616	1,109	1,265
Regulatory assessments	181	169	367	361
Data processing	513	490	1,057	1,030
Advertising and business development	68	83	127	141
Professional fees	271	256	528	494
Telephone expense	88	96	179	189
Other real estate owned expense	75	41	160	110
Other	398	358	806	977
Total noninterest expense	3,715	4,286	7,492	8,903
Net income before income taxes	3,141	507	4,069	533
Income tax expense	32	0	46	0
Net income	$ 3,109	$ 507	$ 4,023	$ 533
Weighted average common shares outstanding:
Basic shares (in shares)	5,796,260	5,795,095	5,795,874	5,795,095
Dilutive stock options (in shares)	11,661	544	8,460	3,923
Diluted shares (in shares)	5,807,921	5,795,639	5,804,334	5,799,018
Earnings per common share:
Basic (in dollars per share)	$ 0.54	$ 0.09	$ 0.69	$ 0.09
Diluted (in dollars per share)	$ 0.54	$ 0.09	$ 0.69	$ 0.09

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Unaudited) [Abstract]
Net income	$ 3,109	$ 507	$ 4,023	$ 533
Other comprehensive (loss) income:
Change in unrealized holding (losses) gains on available-for-sale securities	(433)	531	(121)	1,054
Net unrealized derivative loss (gain) on cash flow hedge	82	(39)	32	(33)
Other comprehensive (loss) income	(351)	492	(89)	1,021
Tax effect	0	0	0	0
Other comprehensive (loss) income, net of tax effect	(351)	492	(89)	1,021
Total comprehensive income	$ 2,758	$ 999	$ 3,934	$ 1,554

CONSOLIDATED STATEMENTS OF CHAN

CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS EQUITY (Unaudited) - USD ($) $ in Thousands	Common Stock [Member]	Nonvoting Common Stock [Member]	Preferred Stock [Member]	Additional Paid-In Capital [Member]	Retained Deficit [Member]	Accumulated Other Comprehensive Loss [Member]	Total
Beginning Balance at Dec. 31, 2013	$ 32	$ 26	$ 0	$ 138,050	$ (102,688)	$ (1,488)	$ 33,932
Beginning Balance (in shares) at Dec. 31, 2013	3,177,090	2,618,005	0
Net income					533		533
Other comprehensive income (loss)						1,021	1,021
Total comprehensive income							1,554
Permitted transfer of nonvoting common stock to common stock							0
Permitted transfer of nonvoting common stock to common stock (in shares)	3,184	(3,184)
Share-based compensation expense				34			34
Ending Balance at Jun. 30, 2014	$ 32	$ 26	$ 0	138,084	(102,155)	(467)	35,520
Ending Balance (in shares) at Jun. 30, 2014	3,180,274	2,614,821	0
Beginning Balance at Dec. 31, 2014	$ 32	$ 26	$ 0	138,096	(100,759)	(283)	37,112
Beginning Balance (in shares) at Dec. 31, 2014	3,180,300	2,614,821	0
Net income					4,023		4,023
Other comprehensive income (loss)						(89)	(89)
Total comprehensive income							3,934
Permitted transfer of nonvoting common stock to common stock							0
Permitted transfer of nonvoting common stock to common stock (in shares)	33,000	(33,000)
Exercise of common stock options, including tax benefit				11			11
Exercise of common stock options, including tax benefit (In shares)	1,125
Vesting of restricted stock							0
Vesting of restricted stock (in shares)	36
Share-based compensation expense				14			14
Ending Balance at Jun. 30, 2015	$ 32	$ 26	$ 0	$ 138,121	$ (96,736)	$ (372)	$ 41,071
Ending Balance (in shares) at Jun. 30, 2015	3,214,461	2,581,821	0

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Cash flows from operating activities:
Net income	$ 4,023	$ 533
Adjustments to reconcile net income to net cash from operating activities:
Depreciation and amortization	260	353
Net amortization of deferred loan fees	86	81
Provision for loan losses	(2,011)	287
Premium amortization for securities, net of accretion	397	441
Net accretion of purchase accounting adjustments	(232)	(572)
Net loss on sale of other real estate owned	2	1
Write-downs of other real estate owned	91	36
Write-down of assets held for sale	75	0
Earnings on bank-owned life insurance	(81)	(97)
Loss on disposal of premises and equipment	0	7
Share-based compensation	14	34
Net change in:
Accrued interest receivable and other assets	(365)	(301)
Accrued expenses and other liabilities	(105)	(196)
Net cash from operating activities	2,154	607
Available-for-sale securities:
Maturities, prepayments and calls	9,945	8,344
Purchases	(6,066)	(5,127)
Loan (originations) payments, net	(10,440)	46
Proceeds from sale of other real estate owned	89	7
Additions to premises and equipment, net	(49)	(203)
Proceeds from Federal Home Loan Bank stock, net	103	224
Net cash (used for) from investing activities	(6,418)	3,291
Cash flows from (used for) financing activities:
Net change in deposits	10,436	(14,093)
Proceeds from Federal Home Loan Bank advances	5,000	0
Repayment of Federal Home Loan Bank advances	(6,000)	0
Proceeds from exercise of common stock options	11	0
Net cash from (used for) financing activities	9,447	(14,093)
Net change in cash and cash equivalents	5,183	(10,195)
Cash and cash equivalents at beginning of period	24,372	40,325
Cash and cash equivalents at end of period	29,555	30,130
Cash paid during the period for
Interest	1,493	1,699
Income taxes	14	0
Supplemental schedule of noncash investing activities:
Acquisition of other real estate owned	167	965
Transfer of assets to held for sale	$ 0	$ 944

BASIS OF PRESENTATION

BASIS OF PRESENTATION	6 Months Ended
	Jun. 30, 2015
BASIS OF PRESENTATION [Abstract]
BASIS OF PRESENTATION	NOTE 1 – BASIS OF PRESENTATION Principles of Consolidation The accounting and reporting policies of the Company reflect banking industry practice and conform to U.S. generally accepted accounting principles (“U.S. GAAP”). The Consolidated Financial Statements include the accounts of Jacksonville Bancorp, Inc. (“Bancorp”), its wholly owned, primary operating subsidiary The Jacksonville Bank, and The Jacksonville Bank’s wholly owned subsidiary, Fountain Financial, Inc. The consolidated entity is referred to as the “Company” and The Jacksonville Bank and Fountain Financial, Inc. are collectively referred to as the “Bank.” The Company’s financial condition and operating results principally reflect those of the Bank. All intercompany transactions and balances have been eliminated in consolidation. In preparing the Consolidated Financial Statements, management makes estimates and assumptions that affect the reported asset and liability balances and revenue and expense amounts, and the disclosure of contingent assets and liabilities. Actual results could differ significantly from those estimates and assumptions. The accompanying unaudited consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial statements and with the instructions to Form 10-Q. Accordingly, they do not include all of the information and footnotes required by accounting principles generally accepted in the United States of America for complete financial statements. These statements should be read in conjunction with the consolidated financial statements included in the Annual Report on Form 10-K for the year ended December 31, 2014. In the Company’s opinion, all adjustments, consisting primarily of normal recurring adjustments, necessary for a fair presentation of the results for the interim periods have been made. Nature of Operations Bancorp is a financial holding company headquartered in Jacksonville, Florida. The Bank currently provides financial services through eight full-service branches in Jacksonville and Jacksonville Beach, Duval County, Florida, as well as its virtual branch. The Company’s primary business segment is community banking and consists of attracting deposits from the general public and using such deposits and other sources of funds to originate commercial business loans, commercial real estate loans, residential mortgage loans and a variety of consumer loans. Substantially all loans are secured by specific items of collateral, including business assets, consumer assets, and commercial and residential real estate. Commercial loans are expected to be repaid from cash flow from operations of businesses. There are no significant concentrations of loans to any one industry or customer. However, the customers’ ability to repay their loans is dependent on the local real estate market and general economic conditions in the area. For further information, please refer to the Consolidated Financial Statements and notes thereto included in the Company's Annual Report on Form 10-K for the year ended December 31, 2014, as filed with the SEC on March 16, 2015. Investment Securities Debt securities are classified as held to maturity and carried at amortized cost when management has the positive intent and ability to hold them to maturity. Debt securities are classified as available-for-sale when they might be sold before maturity. Equity securities with readily determinable fair values are classified as available-for-sale. Available-for-sale securities are carried at fair value, with unrealized holding gains and losses reported in other comprehensive income, net of tax. Other securities, such as Federal Home Loan Bank (“FHLB”) stock, are carried at cost. Interest income includes amortization of purchase premiums and accretion of purchase discounts. Premiums and discounts on securities are amortized on the level yield without anticipating prepayments, except for mortgage-backed securities where prepayments are anticipated. Gains and losses are recorded on the trade date and determined using the specific identification method. Declines in the fair value of securities below their cost that are other-than-temporary are reflected as realized losses. Other-Than-Temporary Impairment Management evaluates securities for other-than-temporary impairment (“OTTI”) at least on a quarterly basis and more frequently when economic or market conditions warrant such an evaluation. In determining OTTI for debt securities, management considers many factors, including: (1) the length of time and the extent to which the fair value has been less than cost, (2) the financial conditions and near-term prospects of the issuer, (3) whether the market decline was affected by macroeconomic conditions, and (4) whether the entity has the intent to sell the debt security or more-likely-than-not will be required to sell the debt security before its anticipated recovery. The assessment of whether an OTTI decline exists involves a high degree of subjectivity and judgment and is based on the information available to management at a point in time. In order to determine OTTI for purchased beneficial interests that, on the purchase date, were rated below AA, the Company compares the present value of the remaining cash flows as estimated at the preceding evaluation date to the current expected remaining cash flows. OTTI is deemed to have occurred if there has been an adverse change in the remaining expected future cash flows. It is not the Bank’s policy to purchase securities rated below AA. When OTTI occurs for either debt securities or purchased beneficial interests that, on the purchase date, were rated below AA, the amount of the OTTI recognized in earnings depends on whether an entity intends to sell the security or it is more-likely-than-not it will be required to sell the security before recovery of its amortized cost basis, less any current-period credit loss. If an entity intends to sell or it is more-likely-than-not it will be required to sell the security before recovery of its amortized cost basis, less any current-period credit loss, the OTTI must be recognized in earnings equal to the entire difference between the investment’s amortized cost basis and its fair value at the balance sheet date. If an entity does not intend to sell the security and it is not more-likely-than-not that the entity will be required to sell the security before recovery of its amortized cost basis less any current-period loss, the OTTI must be separated into the amount representing the credit loss and the amount related to all other factors. The amount of the total OTTI related to the credit loss is determined based on the present value of cash flows expected to be collected and is recognized in earnings. The amount of the total OTTI related to other factors is recognized in other comprehensive income, net of applicable taxes. The previous amortized cost basis less the OTTI recognized in earnings becomes the new amortized cost basis of the investment. Loans Loans that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are reported at the principal balance outstanding, net of deferred loan fees and costs, and allowance for loan losses. Interest income is accrued on the unpaid principal balance of the loans. Loan origination fees, net of certain direct origination costs, are deferred and recognized in interest income using the level‑yield method without anticipating prepayments. Interest income on a loan in any of our portfolio segments is discontinued at the time the loan is 90 days delinquent unless the loan is well secured and in process of collection. Past due status is based on the contractual terms of the loan. In all cases, loans are placed on nonaccrual or charged off at an earlier date if collection of principal or interest is considered doubtful. All unsecured loans in our consumer and other portfolio segment are charged off once they reach 90 days delinquent. This is the only portfolio segment in which the Company charges off loans solely based on the number of days of delinquency. For real estate mortgage, commercial loan, secured consumer and other portfolio segments, the charge-off policy is that a loan is fully or partially charged off when, based on management’s assessment, it has been determined that it is highly probable that the Company would not collect all principal and interest payments according to the contractual terms of the loan agreement. This assessment is determined based on a detailed review of all substandard and doubtful loans each month. This review considers such criteria as the value of the underlying collateral, financial condition and reputation of the borrower and guarantors and the amount of the borrower’s equity in the loan. The Company’s charge-off policy has remained materially unchanged for all periods presented. All interest accrued but not received for loans placed on nonaccrual is reversed against interest income. Interest received on such loans is accounted for on the cash-basis or cost-recovery method, until qualifying for return to accrual. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. Overdrawn customer checking accounts are reclassified as commercial loans and are evaluated on an individual basis for collectability. These balances are included in the estimate of allowance for loan losses and are charged off when collectability is considered doubtful. As of June 30, 2015 and December 31, 2014, overdrawn customer deposit accounts reclassified as commercial loans were $61,000 and $78,000, respectively. Certain Purchased Loans The Company has purchased individual loans and groups of loans, some of which have shown evidence of credit deterioration since origination. These purchased loans were recorded at fair value, such that there was no carryover of the seller’s allowance for loan losses. Fair values were preliminary and subject to refinement for up to one year after the closing as new information relative to the closing date fair value became available. After acquisition, losses were recognized by an increase in the allowance for loan losses if the reason for the loss was due to events and circumstances that did not exist as of the acquisition date. The Company has purchased loans for which there was, at acquisition, evidence of deterioration of credit quality since origination and it was probable, at acquisition, that all contractually required payments would not be collected. Such purchased loans are accounted for individually. The Company estimates the amount and timing of expected cash flows for each purchased loan, and the expected cash flows in excess of the amount paid are recorded as interest income over the remaining life of the loan (accretable yield). The excess of the loan’s contractual principal and interest over expected cash flows is not recorded (non-accretable difference). Over the life of the loan, expected cash flows continue to be estimated. If the present value of expected cash flows is less than the carrying amount, a loss is recorded. If the present value of expected cash flows is greater than the carrying amount, it is recognized as part of future interest income as earned. Allowance for Loan Losses The allowance for loan losses is a valuation allowance for probable incurred credit losses. Management estimates the allowance balance required using past loan loss experience, the nature and volume of the portfolio, information about specific borrower situations and estimated collateral values, economic conditions and other factors. Allocations of the allowance may be made for specific loans, but the entire allowance is available for any loan that, in management’s judgment, should be charged off. Loan losses are charged against the allowance when management believes the uncollectability of a loan balance is likely. Subsequent recoveries, if any, are credited to the allowance. The allowance consists of specific and general components. The specific components relate to loans that are individually classified as impaired. The general components relate to all loans not specifically identified as impaired and are modeled on loss by portfolio, weighted by recent historic data and economic factors. The Company’s policy for assessing loans for impairment is the same for all classes of loans and is included in our allowance for loan losses policy. The Company classifies a loan as impaired when it is probable that the Company will be unable to collect all amounts due, including both principal and interest, according to the contractual terms of the loan agreement. An impairment determination is performed utilizing the following general factors: (i) a risk rating of substandard or doubtful, (ii) a loan amount greater than $100, and/or (iii) a past due aging of 90 days or more. In addition, the Company also considers the following: the financial condition of the borrower, the Company’s best estimate of the direction and magnitude of any future changes in the borrower’s financial condition, the fair value of collateral if the loan is collateral dependent, the loan’s observable market price, expected future cash flow and, if a purchased loan, the amount of the remaining unaccreted carrying discount. For loans acquired in the acquisition of Atlantic BancGroup, Inc. (“ABI”), if the loss was attributed to events and circumstances that existed as of the acquisition date as a result of new information obtained during the measurement period ( i.e. If a loan is deemed to be impaired, a portion of the allowance for loan losses may be allocated so that the loan is reported, net, at the present value of estimated expected future cash flows, using the loan’s existing rate, or at the fair value of collateral if repayment is expected solely from the sale or operation of the underlying collateral. If an impaired loan is on nonaccrual, then recognition of interest income would follow our nonaccrual policy, which is to no longer accrue interest and account for any interest received on the cash-basis or cost-recovery method until qualifying again for interest accrual. If an impaired loan is not on nonaccrual, then recognition of interest income would accrue on the unpaid principal balance based on the contractual terms of the loan. All impaired loans are reviewed on at least a quarterly basis for changes in the measurement of impairment. For impaired loans measured using the present-value-of-expected-cash-flows method, any change to the previously-recognized impairment loss is recognized as a change in the allowance for loan loss account and recorded in the Consolidated Statement of Operations as a component of the provision for loan losses. Loans, for which the terms have been modified, and for which the borrower is experiencing financial difficulties, are considered troubled debt restructurings (“TDRs”) and classified as impaired. TDRs are measured at the present value of estimated expected future cash flows using the loan’s effective rate at inception unless they are collateral dependent. Key factors that the Company considers at the time a loan is restructured to determine whether the loan should accrue interest include if the loan is less than 90 days past due and if the loan is in compliance with the modified terms of the loan. The Company determines that the loan has been restructured to be reasonably assured of repayment and of performance according to the modified terms by performing an analysis that documents exactly how the loan is expected to perform under the modified terms. Once loans become TDRs, they remain TDRs until they mature or are paid off in the normal course of business. The general component covers all other loans not identified as impaired and is based on historical losses with consideration given to current environmental factors. The historical loss component of the allowance is determined by losses recognized by each portfolio segment over the preceding five years with the most recent years carrying more weight. This is supplemented by the risks for each portfolio segment. In calculating the historical component of Fair Value of Financial Instruments Fair values of financial instruments are estimated using relevant market information and other assumptions, as more fully disclosed in Note 7—Fair Value Assets Held-for-Sale The Company reclassifies long-lived assets to assets held-for-sale when all required criteria for such reclassification are met. The assets held for sale are recorded at the lower of the carrying value or fair value less costs to sell. An asset held-for-sale must meet the following conditions: (i) management, having authority to approve the action, commits to a plan to sell the asset, (ii) the asset is available for immediate sale in its present condition, (iii) an active program to locate a buyer and other actions required to complete the plan to sell the asset have been initiated, (iv) the sale of the asset is probable, and transfer of the asset is expected to qualify for recognition as a completed sale, within one year, (v) the asset is being actively marketed for sale at a price that is reasonable in relation to its current fair value, and (vi) actions required to complete the plan indicate that it is unlikely that significant changes to the plan will be made or that the plan will be withdrawn. In the second quarter of 2014, a determination was made that certain assets met the criteria to be classified as held-for-sale. In the third quarter of 2014, the fair value for the related assets was less than their carrying value. Therefore, a loss of $140,000 was recorded to noninterest expense during 2014. As of June 30, 2015, the assets were under contract to be sold. Based on the sales contract price, the fair value was determined to be less than the carrying value and a charge was recorded to noninterest expense in the amount of $75,000 during the second quarter of 2015. Reclassifications Certain amounts in the prior year’s financial statements were reclassified to conform to the current year’s presentation. These reclassifications had no impact on the prior periods’ net income or shareholders’ equity. Recently Issued Accounting and Reporting Standards In May 2014, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) Revenue Recognition In August 2014, the FASB issued ASU No. 2014-15, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern In April 2015, the FASB issued ASU No. 2015-05, Intangibles - Goodwill and Other - Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Fees Paid in a Cloud Computing Arrangement Other accounting standards that have been issued by the FASB or other standards-setting bodies are not expected to have a material impact on the Company’s financial position, results of operations or cash flows.

INVESTMENT SECURITIES

INVESTMENT SECURITIES	6 Months Ended
	Jun. 30, 2015
INVESTMENT SECURITIES [Abstract]
INVESTMENT SECURITIES	NOTE 2 - SECURITIES The following table summarizes the amortized cost and fair value of the available-for-sale investment securities portfolio as of June 30, 2015 and December 31, 2014 and the corresponding amounts of unrealized gains and losses recognized in accumulated other comprehensive income (loss): (Dollars in thousands) Amortized Cost Unrealized Gains Unrealized Losses Fair Value June 30, 2015 Available-for-sale: U.S. government-sponsored entities and agencies $ 7,179 $ 169 $ (30 ) $ 7,318 State and political subdivisions 6,241 447 - 6,688 Mortgage-backed securities - residential 28,205 834 (65 ) 28,974 Collateralized mortgage obligations 27,918 94 (340 ) 27,672 Corporate bonds 2,519 64 - 2,583 Total $ 72,062 $ 1,608 $ (435 ) $ 73,235 Amortized Cost Unrealized Gains Unrealized Losses Fair Value December 31, 2014 Available-for-sale: U.S. government-sponsored entities and agencies $ 7,019 $ 161 $ (23 ) $ 7,157 State and political subdivisions 6,535 525 - 7,060 Mortgage-backed securities - residential 30,454 928 (22 ) 31,360 Collateralized mortgage obligations 29,306 94 (438 ) 28,962 Corporate bonds 3,025 69 - 3,094 Total $ 76,339 $ 1,777 $ (483 ) $ 77,633 As of June 30, 2015 and December 31, 2014, the Company’s investment securities portfolio did not include any held-to-maturity securities. The amortized cost and fair value of the investment securities portfolio are presented below in order of contractual maturity. Expected maturities may differ from contractual maturities if borrowers have the right to call or prepay obligations with or without call or prepayment penalties. Securities not due at a single maturity date, primarily mortgage-backed securities – residential and collateralized mortgage obligations, are shown separately. (Dollars in thousands) June 30, 2015 Amortized Cost Fair Value Available-for-sale: Within one year $ - $ - One to five years 2,494 2,540 Five to ten years 4,350 4,430 Beyond ten years 9,095 9,619 Mortgage-backed securities – residential 28,205 28,974 Collateralized mortgage obligations 27,918 27,672 Total $ 72,062 $ 73,235 The following table summarizes the investment securities with unrealized losses as of June 30, 2015 and December 31, 2014 listed by aggregated major security type and length of time in a continuous unrealized loss position: Less Than 12 Months 12 Months or Longer Total (Dollars in thousands) June 30, 2015 Fair Value Unrealized losses Fair Value Unrealized losses Fair Value Unrealized losses Available-for-sale: U.S. government-sponsored entities and agencies $ 588 $ (12 ) $ 982 $ (18 ) $ 1,570 $ (30 ) State and political subdivisions - - - - - - Mortgage backed securities – residential 2,576 (38 ) 1,167 (27 ) 3,743 (65 ) Collateralized mortgage obligations 5,938 (38 ) 9,251 (302 ) 15,189 (340 ) Corporate bonds - - - - - - Total available-for-sale securities $ 9,102 $ (88 ) $ 11,400 $ (347 ) $ 20,502 $ (435 ) Less Than 12 Months 12 Months or Longer Total December 31, 2014 Fair Value Unrealized losses Fair Value Unrealized losses Fair Value Unrealized losses Available-for-sale: U.S. government-sponsored entities and agencies $ - $ - $ 977 $ (23 ) $ 977 $ (23 ) State and political subdivisions - - - - - - Mortgage backed securities – residential 1,849 (1 ) 1,192 (21 ) 3,041 (22 ) Collateralized mortgage obligations 6,599 (40 ) 11,258 (398 ) 17,857 (438 ) Corporate bonds - - - - - - Total available-for-sale securities $ 8,448 $ (41 ) $ 13,427 $ (442 ) $ 21,875 $ (483 ) As of June 30, 2015 and December 31, 2014, the Company’s security portfolio consisted of $73.2 million and $77.6 million, respectively, in available-for-sale securities, of which $20.5 million and $21.9 million were in an unrealized loss position for the related periods. The unrealized losses as of June 30, 2015 and December 31, 2014 were related to all securities types held by the Company, as discussed below. U.S. Government-Sponsored Entities and Agency Securities: All of the U.S. Agency securities held by the Company were issued by U.S. government-sponsored entities and agencies. As of June 30, 2015 and December 31, 2014, the number of U.S. Agency securities with unrealized losses was two and one, respectively. As of June 30, 2015 and December 31, 2014, these securities had depreciated 1.88% and 2.30%, respectively, from the Company’s amortized cost basis. Mortgage-backed Securities – Residential All of the mortgage-backed securities held by the Company were issued by U.S. government-sponsored entities and agencies, primarily Ginnie Mae and Fannie Mae, institutions which have the full faith and credit of the U.S. government. As of June 30, 2015 and December 31, 2014, mortgage-backed securities with unrealized losses were sixteen and three, respectively. As of June 30, 2015 and December 31, 2014, these securities had depreciated 1.71% and 0.71%, respectively, from the Company’s amortized cost basis. Collateralized Mortgage Obligations All of the collateralized mortgage obligation securities held by the Company were issued by U.S. government-sponsored entities and agencies, primarily Ginnie Mae, an institution which has the full faith and credit of the U.S. government. As of June 30, 2015 and December 31, 2014, collateralized mortgage obligations with unrealized losses were four and eighteen, respectively. As of June 30, 2015 and December 31, 2014, these securities had depreciated 2.19% and 2.40%, respectively, from the Company’s amortized cost basis. For the securities with unrealized losses at June 30, 2015 and December 31, 2014, the unrealized losses resulted from market interest rate changes, as opposed to credit losses. The Company does not intend to sell these securities, and it is likely that it will not be required to sell the securities before their anticipated recovery. The Company expects to recover the entire amortized cost basis of the securities. Having reviewed these securities for OTTI, the Company does not consider them to be other-than-temporarily impaired and no impairment loss has been recognized in the Consolidated Statements of Operations.

LOANS AND ALLOWANCE FOR LOAN LO

LOANS AND ALLOWANCE FOR LOAN LOSSES	6 Months Ended
	Jun. 30, 2015
LOANS AND ALLOWANCE FOR LOAN LOSSES [Abstract]
LOANS AND ALLOWANCE FOR LOAN LOSSES	NOTE 3 – LOANS AND ALLOWANCE FOR LOAN LOSSES Loans as of June 30, 2015 and December 31, 2014 were as follows: (Dollars in thousands) June 30, 2015 December 31, 2014 Commercial loans $ 61,537 $ 57,876 Real estate mortgage loans: Residential 70,384 71,002 Commercial 224,865 222,468 Construction and land 27,729 22,319 Consumer and other loans 1,720 1,489 Loans, gross 386,235 375,154 Less: Net deferred loan fees (536 ) (498 ) Allowance for loan losses (12,861 ) (14,377 ) Loans, net $ 372,838 $ 360,279 Loans acquired as a result of the merger with ABI were recorded at fair value on the date of acquisition. The amounts reported in the table above are net of the fair value adjustments. The table below reflects the contractual amount of purchased loans less the discount to principal balances remaining from these fair value adjustments by class of loan as of June 30, 2015 and December 31, 2014. This discount will be accreted into interest income as deemed appropriate over the remaining term of the related loans or to support unidentified losses. (Dollars in thousands) Gross Contractual Discount Carrying Amount Commercial loans $ 1,686 $ 127 $ 1,559 Real estate mortgage loans: Residential 12,952 647 12,305 Commercial 35,247 1,993 33,254 Construction and land 3,085 259 2,826 Consumer and other loans 373 3 370 Total $ 53,343 $ 3,029 $ 50,314 December 31, 2014 Gross Contractual Discount Carrying Amount Commercial loans $ 1,758 $ 144 $ 1,614 Real estate mortgage loans: Residential 15,748 761 14,987 Commercial 37,481 2,167 35,314 Construction and land 3,452 334 3,118 Consumer and other loans 400 3 397 Total $ 58,839 $ 3,409 $ 55,430 The Company has divided the loan portfolio into three portfolio segments, each with different risk characteristics and methodologies for assessing risk. The three portfolio segments identified by the Company are described below. Commercial Loans Commercial loans are primarily underwritten on the basis of the borrowers’ ability to service such debt from operating cash flows. The cash flows of borrowers, however, may not be as expected and the collateral securing these loans may fluctuate in value. As a general practice, loans are secured by a security interest in any available real estate, equipment, or other chattel, although loans may also be made on an unsecured basis. Collateralized working capital loans typically are secured with short-term assets whereas long-term loans are primarily secured with long-term assets. Credit risk is mitigated by the diversity and number of borrowers as well as loan type within the commercial portfolio. Real Estate Mortgage Loans Real estate mortgage loans are typically segmented into three classes: commercial real estate, residential real estate and construction and land development. Commercial real estate loans are secured by the subject property and are underwritten based upon standards set forth in the underwriting guidelines authorized by the Bank’s Board of Directors. Such standards include, among other factors, loan-to-value limits, debt service coverage and general creditworthiness of the obligors. Residential real estate loans are underwritten in accordance with policies set forth and approved by the Bank’s Board, including repayment capacity and source, value of the underlying property, credit history, stability and purchaser guidelines. Construction loans to borrowers are to finance the construction of owner occupied and lease properties. These loans are categorized as construction loans during the construction period, later converting to commercial or residential real estate loans after the construction is complete and amortization of the loan begins. Real estate development and construction loans are approved based on an analysis of the borrower and guarantor, the viability of the project and on an acceptable percentage of the appraised value of the property securing the loan. Real estate development and construction loan funds are disbursed periodically based on the percentage of construction completed. The Bank carefully monitors these loans with on-site inspections and requires the receipt of invoices and lien waivers prior to advancing funds. Development and construction loans are typically secured by the properties under development or construction, and personal guarantees are typically obtained. Further, to assure that reliance is not placed solely on the value of the underlying property, the Bank considers the market conditions and feasibility of proposed projects, the financial condition and reputation of the borrower and guarantors, the amount of the borrower’s equity in the project, independent appraisals, cost estimates and pre-construction sale information. The Bank also makes loans on occasion for the purchase of land for future development by the borrower. Land loans are extended for the future development of either commercial or residential use by the borrower. The Bank carefully analyzes the intended use of the property and the viability thereof. Repayment of real estate loans is primarily dependent upon the personal income or business income generated by the secured property of the borrowers, which can be impacted by the economic conditions in their market area. Risk is mitigated by the fact that the properties securing the Company’s real estate loan portfolio are diverse in type and spread over a large number of borrowers. Consumer and Other Loans Consumer and other loans are extended for various purposes, including purchases of automobiles, recreational vehicles, and boats. The Company also offers home improvement loans, lines of credit, personal loans, and deposit account collateralized loans. Repayment of these loans is primarily dependent on the personal income of the borrowers, which can be impacted by economic conditions in their market areas, such as unemployment levels. Loans to consumers are extended after a credit evaluation, including the creditworthiness of the borrower(s), the purpose of the credit, and the secondary source of repayment. Consumer loans are made at fixed and variable interest rates and may be made on terms of up to ten years. Risk is mitigated by the fact that the loans are of smaller individual amounts and spread over a large number of borrowers. Activity in the allowance for loan losses by portfolio segment for the three and six months ended June 30, 2015 and 2014 was as follows: Three Months Ended Six Months Ended (Dollars in thousands) 2015 2014 2015 2014 Allowance at beginning of period $ 14,371 $ 15,104 $ 14,377 $ 15,760 Charge-offs: Commercial loans (166 ) - (166 ) (203 ) Real estate mortgage loans (179 ) (825 ) (390 ) (1,489 ) Consumer and other loans - (3 ) (4 ) (15 ) Total charge-offs (345 ) (828 ) (560 ) (1,707 ) Recoveries: Commercial loans 15 11 39 28 Real estate mortgage loans 813 37 979 237 Consumer and other loans 18 5 37 11 Total recoveries 846 53 1,055 276 Net recoveries (charge-offs) 501 (775 ) 495 (1,431 ) Provision for loan losses charged to operating expenses: Commercial loans 24 (126 ) 125 128 Real estate mortgage loans (1,569 ) 563 (1,780 ) 241 Consumer and other loans (466 ) (150 ) (356 ) (82 ) Total provision (2,011 ) 287 (2,011 ) 287 Allowance at end of period $ 12,861 $ 14,616 $ 12,861 $ 14,616 The following table presents the balance in the allowance for loan losses and the recorded investment in loans by portfolio segment and based on the impairment method as of June 30, 2015 and December 31, 2014: (Dollars in thousands) Commercial Real Estate Consumer and Total Allowance for loan losses: Ending allowance balance attributable to loans: Individually evaluated for impairment $ 62 $ 1,916 $ - $ 1,978 Collectively evaluated for impairment 1,227 9,055 601 10,883 Loans acquired with deteriorated credit quality - - - - Total ending allowance balance $ 1,289 $ 10,971 $ 601 $ 12,861 Loans: Loans individually evaluated for impairment $ 62 $ 13,124 $ 25 $ 13,211 Loans collectively evaluated for impairment 61,363 297,664 1,695 360,722 Loans acquired with deteriorated credit quality 112 12,190 - 12,302 Total ending loans balance $ 61,537 $ 322,978 $ 1,720 $ 386,235 December 31, 2014 Commercial Real Estate Consumer and Total Allowance for loan losses: Ending allowance balance attributable to loans: Individually evaluated for impairment $ 21 $ 539 $ - $ 560 Collectively evaluated for impairment 1,270 11,622 925 13,817 Loans acquired with deteriorated credit quality - - - - Total ending allowance balance $ 1,291 $ 12,161 $ 925 $ 14,377 Loans: Loans individually evaluated for impairment $ 21 $ 16,033 $ 28 $ 16,082 Loans collectively evaluated for impairment 57,749 285,371 1,461 344,581 Loans acquired with deteriorated credit quality 106 14,385 - 14,491 Total ending loans balance $ 57,876 $ 315,789 $ 1,489 $ 375,154 The following table presents loans individually evaluated for impairment, by class of loans as of June 30, 2015 and December 31, 2014: June 30, 2015 December 31, 2014 (Dollars in thousands) Unpaid Principal Balance Recorded Investment Allowance for Loan Losses Allocated Unpaid Principal Balance Recorded Investment Allowance for Loan Losses Allocated With no related allowance recorded: Commercial loans $ - $ - $ - $ - $ - $ - Real estate mortgage loans: Residential 461 409 - 2,288 2,211 - Commercial 9,225 8,739 - 14,012 11,104 - Construction and land 1,119 1,090 - 1,174 1,126 - Consumer and other loans 28 25 - 31 28 - Subtotal 10,833 10,263 - 17,505 14,469 - With an allowance recorded: Commercial loans $ 62 $ 62 $ 62 $ 21 $ 21 $ 21 Real estate mortgage loans: Residential 2,170 2,121 1,549 692 629 103 Commercial 476 476 202 489 489 214 Construction and land 323 289 165 493 474 222 Consumer and other loans - - - - - - Subtotal 3,031 2,948 1,978 1,695 1,613 560 Total $ 13,864 $ 13,211 $ 1,978 $ 19,200 $ 16,082 $ 560 The following table presents the average recorded investment in impaired loans and the related interest income recognized during impairment for the three and six months ended June 30, 2015 and 2014. Three Months Ended Six Months Ended (Dollars in thousands) Average Impaired Loans Interest Income Cash-Basis Average Impaired Interest Income Cash Basis Commercial loans $ 118 $ - $ - $ 147 $ - $ - Real estate mortgage loans: Residential 1,273 14 14 1,436 21 21 Commercial 9,636 240 240 10,239 289 289 Construction and land 1,508 9 9 1,546 18 19 Consumer and other loans 25 - - 26 - - Total $ 12,560 $ 263 $ 263 $ 13,394 $ 328 $ 329 Three Months Ended Six Months Ended (Dollars in thousands) Average Impaired Loans Interest Income Cash-Basis Average Impaired Interest Income Cash Basis Commercial loans $ 155 $ - $ - $ 272 $ - $ - Real estate mortgage loans: Residential 2,948 15 29 3,504 34 42 Commercial 16,473 54 57 14,357 109 113 Construction and land 5,372 10 11 5,448 21 14 Consumer and other loans 348 - - 353 - - Total $ 25,296 $ 79 $ 97 $ 23,934 $ 164 $ 169 The following table presents the recorded investment in nonaccrual loans by class of loans as of June 30, 2015 and December 31, 2014: (Dollars in thousands) June 30, 2015 December 31, 2014 Commercial loans $ 62 $ 21 Real estate mortgage loans: Residential 2,374 1,151 Commercial 3,027 7,408 Construction and land 389 574 Consumer and other loans 25 28 Total $ 5,877 $ 9,182 There were no loans past due 90 days or greater and still accruing at June 30, 2015 and December 31, 2014. The following table presents the aging of the recorded investment in past due loans by class of loans as of June 30, 2015 and December 31, 2014: Past Due Loans (Dollars in thousands) June 30, 2015 30-59 Days 60-89 Days 90 Days and Greater Total Loans Not Past Due Total Commercial loans $ 50 $ 41 $ 21 $ 112 $ 61,425 $ 61,537 Real estate mortgage loans: Residential 716 169 671 1,556 68,828 70,384 Commercial 74 - 1,006 1,080 223,785 224,865 Construction and land - - 289 289 27,440 27,729 Consumer and other loans - - - - 1,720 1,720 Total $ 840 $ 210 $ 1,987 $ 3,037 $ 383,198 $ 386,235 Past Due Loans December 31, 2014 30-59 Days 60-89 Days 90 Days and Greater Total Loans Not Past Due Total Commercial loans $ 218 $ - $ - $ 218 $ 57,658 $ 57,876 Real estate mortgage loans: Residential 874 579 681 2,134 68,868 71,002 Commercial 5,032 1,701 4,784 11,517 210,951 222,468 Construction and land - - 350 350 21,969 22,319 Consumer and other loans 269 - - 269 1,220 1,489 Total $ 6,393 $ 2,280 $ 5,815 $ 14,488 $ 360,666 $ 375,154 The delinquency status of purchased credit impaired loans that resulted from our acquisition of ABI is based on the contractual terms of the loan. In effect, past due status of an acquired loan is determined in the same manner as loans originated by the Bank. Troubled Debt Restructurings During the normal course of business, the Company may restructure or modify the terms of a loan for various reasons. The restructuring of a loan is considered a TDR if both (i) the borrower is experiencing financial difficulties and (ii) a concession is granted that otherwise would not have occurred under normal circumstances. The following table presents the recorded investment and specific reserves allocated to loans modified as TDRs as of June 30, 2015 and December 31, 2014. (Dollars in thousands) June 30, 2015 December 31, 2014 Recorded investment (1) $ 10,563 $ 10,794 Specific reserves allocated (2) 331 372 (1) Of the total recorded investment in loans modified as TDRs, $1,105 and $1,285, respectively, were for customers whose loans were collateral dependent with collateral shortfalls. (2) Of the specific reserves allocated to customers whose loan terms were modified as TDRs, $331 and $372, respectively, were allocated to customers whose loans were collateral dependent with collateral shortfalls. The following table represents loans by class modified as TDRs that occurred during the three and six months ended June 30, 2015 and 2014: Three Months Ended Six Months Ended (Dollars in thousands) Number of loans Pre- Modification Outstanding Recorded Investment Post- Modification Outstanding Recorded Investment Number of loans Pre- Modification Outstanding Recorded Investment Post- Modification Outstanding Recorded Investment Commercial loans - $ - $ - - $ - $ - Real estate mortgage loans: Residential - - - - - - Commercial 1 1,496 1,689 1 1,496 1,689 Construction and land - - - - - - Consumer and other loans - - - - - - Total 1 $ 1,496 $ 1,689 1 $ 1,496 $ 1,689 Three Months Ended Six Months Ended (Dollars in thousands) Number of loans Pre- Modification Outstanding Recorded Investment Post- Modification Outstanding Recorded Investment Number of loans Pre- Modification Outstanding Recorded Investment Post- Modification Outstanding Recorded Investment Commercial loans 1 $ 62 $ 62 1 $ 62 $ 62 Real estate mortgage loans: Residential 1 147 121 2 171 151 Commercial 1 664 904 6 3,579 3,629 Construction and land 2 281 219 2 281 219 Consumer and other loans - - - 1 239 239 Total 5 $ 1,154 $ 1,306 12 $ 4,332 $ 4,300 During the three and six months ended June 30, 2015, there was 1 collateral-impaired loan modified as a TDR. During the three and six months ended June 30, 2014, there were five and twelve loans, respectively, modified as TDRs. For the three and six months ended June 30, 2014, there were three and eight collateral-impaired loans modified as TDRs, respectively. The terms of these loans were modified as TDRs because the borrower was experiencing financial difficulties. The loan modifications allowed the borrowers to make reduced payments, such as (i) reduced fixed interest rate through maturity and an advance to cover a deficiency from sale of a separate foreclosed property, (ii) change from principal and interest payments to interest only payments for a limited period of time, (iii) reduced principal and interest payments through maturity, (iv) change from variable rate interest only payments through maturity to fixed rate interest only payments for a limited period of time and reduced principal and interest payments through maturity, (v) change from variable rate interest only payments through maturity to fixed rate and reduced principal and interest payments through maturity, or (vi) proposed forgiveness of principal contingent upon the satisfaction of the modified terms. The TDR described above did not increase the allowance for loan losses as of June 30, 2015 and there were no related charge-offs for the three and six months ended June 30, 2015. For the three and six months ended June 30, 2014, the TDRs described above did not increase the allowance for loan losses as of June 30, 2014 and resulted in charge-offs of $61,000 and $256,000, respectively. As of June 30, 2015 and December 31, 2014, the Company had no commitments to lend additional amounts to customers with outstanding loans whose terms were modified as TDRs. There were no TDRs for which there was a payment default within twelve months following the modification during the three and six months ended June 30, 2015 and 2014. A loan is considered to be in payment default once it is 90 days contractually past due under the modified terms. Loans modified that did not meet the definition of a TDR had a total recorded investment of $7.2 million for the three and six months ended June 30, 2015 and $6.9 million and $10.1 million for the three and six months ended June 30, 2014, respectively. These modifications involved loans to borrowers who were not experiencing financial difficulties and included (i) allowing the borrowers to make interest-only payments for a limited period of time, (ii) adjusting the interest rate to a market interest rate through maturity, (iii) extension of interest-only payments for a limited period of time, or (iv) extension of maturity date. In order to determine whether a borrower is experiencing financial difficulty, an evaluation is performed of the probability that the borrower will be in payment default on any of its debt in the foreseeable future without the modification. This evaluation is performed under the Company’s internal underwriting policy. Credit Quality Indicators 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, historical payment experience, credit documentation, public information, and current economic trends, among other factors. The Company analyzes loans individually by classifying the loans as to credit risk. All loans are graded upon initial issuance. Loans classified as substandard or special mention are reviewed at least quarterly by the Company for further deterioration or improvement to determine if they are appropriately classified and whether there is any impairment. Further, commercial loans are typically reviewed at least annually to determine the appropriate loan grading. In addition, during the renewal process of any loan, as well as if a loan becomes past due, the Company determines the appropriate loan grade. Loans excluded from the review process above are generally classified as pass credits until: (i) they become past due; (ii) management becomes aware of a deterioration in the credit worthiness of the borrower; or (iii) the customer contacts the Company for a modification. In these circumstances, the loan is specifically evaluated for potential classification as to special mention, substandard or doubtful. The Company uses the following 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 institution’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 institution 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. Loans not meeting the criteria above that are analyzed individually as part of the above-described process are considered to be pass-rated loans. As of June 30, 2015 , and based on the most recent analysis performed, the risk category of loans by class of loans was as follows: (Dollars in thousands) Pass Special Substandard Doubtful Total Commercial loans $ 61,135 $ 77 $ 106 $ - $ 61,537 Real estate mortgage loans: Residential 61,674 4,860 3,850 - 70,384 Commercial 210,100 4,959 9,806 - 224,865 Construction and land 25,261 1,358 1,110 - 27,729 Consumer and other loans 1,679 16 25 - 1,720 Total $ 360,068 $ 11,270 $ 14,897 $ - $ 386,235 December 31, 2014 Pass Special Substandard Doubtful Total Commercial loans $ 56,704 $ 1,103 $ 69 $ - $ 57,876 Real estate mortgage loans: Residential 61,666 4,717 4,619 - 71,002 Commercial 202,225 5,278 14,965 - 222,468 Construction and land 20,799 62 1,458 - 22,319 Consumer and other loans 1,437 24 28 - 1,489 Total $ 342,831 $ 11,184 $ 21,139 $ - $ 375,154 Purchased Loans The Company has purchased loans for which there was, at acquisition, evidence of deterioration of credit quality since origination and it was probable, at acquisition, that all contractually required payments would not be collected. The unpaid principal balance and carrying amounts of these loans were as follows as of June 30, 2015 and December 31, 2014: (Dollars in thousands) June 30, 2015 December 31, 2014 Commercial loans $ 147 $ 150 Real estate mortgage loans: Residential 2,152 3,625 Commercial 11,129 11,937 Construction and land 234 240 Consumer and other loans - - Unpaid principal balance $ 13,662 $ 15,952 Carrying amount $ 12,302 $ 14,491 Accretable yield, or income collected, from these loans was as follows: (Dollars in thousands) Balance as of December 31, 2013 $ 8,993 New loans purchased, including loans classified as held-for-sale - Accretion of income (548 ) Reduction for loans sold, paid off and other (1,619 ) Loans charged off (28 ) Reclassifications from nonaccretable difference - Disposals - Balance as of June 30, 2014 $ 6,798 Balance as of December 31, 2014 $ 6,329 New loans purchased, including loans classified as held-for-sale - Accretion of income (423 ) Reduction for loans sold, paid off and other (28 ) Loans charged off - Reclassifications from nonaccretable difference 4 Disposals - Balance as of June 30, 2015 $ 5,882 For those purchased loans disclosed above, the Company did not increase the allowance for loan losses as of June 30, 2015 or December 31, 2014, respectively.

REVOLVING LOAN AGREEMENTS

REVOLVING LOAN AGREEMENTS	6 Months Ended
	Jun. 30, 2015
REVOLVING LOAN AGREEMENTS [Abstract]
REVOLVING LOAN AGREEMENTS	NOTE 4 – REVOLVING LOAN AGREEMENTS During the year ended December 31, 2011, Bancorp entered into revolving loan agreements (collectively, the “Revolvers”) with several of its directors and other related parties. There was no amount outstanding under the Revolvers as of December 31, 2014 with $2.2 million remaining funds available as of the same date. Each Revolver paid an annual rate of interest equal to 8% on a quarterly basis of the Revolver amount outstanding. To the extent that any Revolver was not fully drawn, an unused revolver fee was calculated and paid quarterly at an annual rate of 2% on the revolving loan commitment less the daily average principal amount outstanding. The Revolvers matured on January 1, 2015. On January 8, 2015, Bancorp entered into a loan agreement with Castle Creek SSF-D Investors, LP (“Castle Creek”) under which Castle Creek agreed to make revolving loans to the Company not to exceed $1.5 million outstanding at any time (the “Castle Creek Revolver”). In connection with the Castle Creek Revolver, the Company executed a revolving loan note in favor of Castle Creek. The principal amount of the Castle Creek Revolver outstanding from time to time will accrue interest at 8% per annum, payable quarterly in arrears. All amounts borrowed under the Castle Creek Revolver will be due and payable by the Company on January 7, 2017, unless payable sooner pursuant to the provisions of the related loan agreement. To the extent that the Castle Creek Revolver is not fully drawn, an unused revolver fee will be calculated and paid quarterly at an annual rate of 2% on the revolving loan commitment less the daily average principal amount outstanding. There was no amount outstanding under the Castle Creek Revolver as of June 30, 2015.

SHORT-TERM BORROWINGS AND FEDER

SHORT-TERM BORROWINGS AND FEDERAL HOME LOAN BANK ADVANCES	6 Months Ended
	Jun. 30, 2015
SHORT-TERM BORROWINGS AND FEDERAL HOME LOAN BANK ADVANCES [Abstract]
SHORT-TERM BORROWINGS AND FEDERAL HOME LOAN BANK ADVANCES	NOTE 5 – SHORT-TERM BORROWINGS AND FEDERAL HOME LOAN BANK ADVANCES As of June 30, 2015 (Dollars in thousands) June 30, 2015 December 31, 2014 Overnight advances maturing daily at a daily variable interest rate of _0.35% on June 30, 2015 $ 5,000 $ - Advance maturing January 9, 2015 at a fixed rate of 0.88% - 4,000 Advances maturing March 2, 2015 at a fixed rate of 0.76% - 2,000 Advances maturing July 15, 2016 at a fixed rate of 2.81% 2,500 2,500 Advances maturing January 9, 2017 at a fixed rate of 1.40% 4,000 4,000 Advances maturing May 30, 2017 at a fixed rate of 1.23% 5,000 5,000 Total advances from the FHLB $ 16,500 $ 17,500 Each advance is payable at its maturity date, with a prepayment penalty for early termination. The advances are collateralized by a blanket lien arrangement on the Company’s first mortgage loans, second mortgage loans and commercial real estate loans. Based upon this collateral and the Company’s holdings of FHLB stock, the Company was eligible to borrow up to a total of $55.3 million as of June 30, 2015 and had borrowed leaving available The Company also has a “Borrower in Custody” line of credit with the Federal Reserve by pledging collateral. The amount of this line as of June 30, 2015 and December 31, 2014

DERIVATIVE FINANCIAL INSTRUMENT

DERIVATIVE FINANCIAL INSTRUMENTS	6 Months Ended
	Jun. 30, 2015
DERIVATIVE FINANCIAL INSTRUMENTS [Abstract]
DERIVATIVE FINANCIAL INSTRUMENTS	NOTE 6 – DERIVATIVE FINANCIAL INSTRUMENTS On July 7, 2009, the Company entered into an interest rate swap transaction with SunTrust Bank to mitigate interest rate risk exposure. Under the terms of the agreement, which relates to the subordinated debt issued to Jacksonville Bancorp, Inc. Statutory Trust III in the amount of $7.6 million, the Company agreed to pay a fixed rate of 7.53% for a period of ten years in exchange for the original floating-rate contract (90-day LIBOR plus 375 basis points). The fair value of this derivative instrument was $693,000 and $725,000 as of June 30, 2015 and December 31, 2014, respectively The hedge was designated as a cash flow hedge and was determined to be fully effective during all periods presented. As such, no amount of ineffectiveness has been included in net income and the aggregate fair value of the swap was recorded in Accrued expenses and other liabilitiess Credit risk may result from the inability of the counterparties to meet the terms of their contracts. The Company’s exposure is limited to the replacement value of the contracts rather than the notional amount.

FAIR VALUE

FAIR VALUE	6 Months Ended
	Jun. 30, 2015
FAIR VALUE [Abstract]
FAIR VALUE	NOTE 7 – FAIR VALUE Accounting Standards Codification (“ASC”) 820, Fair Value Measurements and Disclosures Level I, II and III Valuation Techniques Level I: Quoted prices (unadjusted) in active markets for identical assets or liabilities that the reporting entity can access at the measurement date. Level II: Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. Level III: Unobservable inputs for the asset or liability. The following table presents information about the Company’s assets and liabilities measured at fair value on a recurring basis as of June 30, 2015 and December 31, 2014 by level within the hierarchy: (Dollars in thousands) Total Level I Level II Level III Assets: Securities available-for-sale: U.S. government-sponsored entities and agencies $ 7,318 $ - $ 7,318 $ - State and political subdivisions 6,688 - 6,688 - Mortgage-backed securities - residential 28,974 - 28,974 - Collateralized mortgage obligations 27,672 - 27,672 - Corporate bonds 2,583 - 2,583 - Liabilities: Derivative liability 693 - 693 - December 31, 2014 Total Level I Level II Level III Assets: Securities available-for-sale: U.S. government-sponsored entities and agencies $ 7,157 $ - $ 7,157 $ - State and political subdivisions 7,060 - 7,060 - Mortgage-backed securities - residential 31,360 - 31,360 - Collateralized mortgage obligations 28,962 - 28,962 - Corporate bonds 3,094 - 3,094 - Liabilities: Derivative liability 725 - 725 - There were no transfers between Level 1 and Level 2 during the three and six months ended June 30, 2015 and the year ended December 31, 2014. The Company used the following methods and significant assumptions to estimate the fair value of each type of recurring financial instrument: Securities Available-for-Sale The fair value of securities available-for-sale is determined by obtaining quoted prices on nationally-recognized securities exchanges (Level I inputs) or matrix pricing, which is a mathematical technique widely used in the industry to value debt securities without relying exclusively on quoted prices for the specific securities, but rather by relying on the securities’ relationship to other benchmark quoted securities (Level II inputs). Derivatives The fair value of derivatives is based on valuation models using observable market data as of the measurement date resulting in a Level II classification. The following table presents information about our assets measured at fair value on a non-recurring basis as of June 30, 2015 and December 31, 2014, by level within the fair value hierarchy. The amounts in the tables represent only assets for which the carrying amount has been adjusted for impairment during the period; therefore, these amounts will differ from the total amounts outstanding. (Dollars in thousands) Total Level I Level II Level III Impaired Loans (Collateral Dependent): Real estate mortgage loans: Residential $ 548 $ - $ 548 $ - Commercial 202 - - 202 Construction and land 216 - 109 107 Other real estate owned: Real estate mortgage loans: Residential - - - - Commercial - - - - Construction and land 3,699 - 3,699 - Assets held for sale 711 - 711 - December 31, 2014 Total Level I Level II Level III Impaired Loans (Collateral Dependent): Real estate mortgage loans: Residential $ 495 $ - $ - $ 495 Commercial 275 - - 275 Construction and land 252 - - 252 Other real estate owned: Real estate mortgage loans: Residential - - - - Commercial - - - - Construction and land 3,773 - - 3,773 Assets held for sale 786 - 786 - The Company used the following methods and significant assumptions to estimate the fair value of each type of non-recurring financial instrument: Impaired Loans (Collateral Dependent) Management determined fair value measurements on impaired loans primarily through evaluations of appraisals performed. The Company considered the appraisal as the starting point for determining fair value and then considered other factors and events in the environment that affected the fair value. Appraisals for impaired loans are obtained by the Chief Credit Officer and performed by certified general appraisers whose qualifications and licenses have been reviewed and verified by the Company. Once reviewed, a third-party specialist reviews the assumptions and approaches utilized in the appraisal as well as the overall resulting fair value in comparison to independent data sources such as recent market data or industry-wide statistics. On at least an annual basis, the Company compares the actual selling price of collateral that has been sold to the most recent appraised value to determine what additional adjustments, if any, should be made to the appraised value of existing collateral to arrive at fair value. Adjustments may be made to reflect the age of the appraisal and the type of underlying property. Certain current appraised values were discounted to estimated fair value based on current market data such as recent sales of similar properties, discussions with potential buyers and negotiations with existing customers. The Company’s ongoing strategy is to accelerate the disposition of substandard assets through such arrangements. Other Real Estate Owned (“OREO”) Assets acquired as a result of, or in lieu of, loan foreclosure are initially recorded at fair value (based on the lower of the current appraised value or listing price) at the date of foreclosure, establishing a new cost basis. Subsequent to foreclosure, valuations are periodically performed by management and the assets are carried at the lower of the carrying amount or fair value less cost to sell. Management has determined fair value measurements on OREO primarily through evaluations of appraisals performed and current and past offers for the OREO under evaluation. Appraisals of OREO are obtained subsequent to acquisition as deemed necessary by the Chief Credit Officer. Appraisals are reviewed for accuracy and consistency by a third-party specialist. Third-party specialists are selected from the approved appraisers list, which is maintained by management, and supervised by the Chief Credit Officer. Certain current appraised values were discounted to estimated fair value based on factors such as sales prices for comparable properties in similar geographic areas and/or assessment through observation of such properties. Assets Held-for-Sale The Company reclassifies long-lived assets to assets held-for-sale when all criteria for such reclassification are met. The assets held-for-sale are recorded at the lower of carrying value or fair value less costs to sell. Management determined the fair value of the assets held-for-sale using an offer made to the Company for the property. Transfers of assets and liabilities between levels within the fair value hierarchy are recognized when an event or change in circumstances occurs. During the six months ended June 30, 2015, there were transfers from Level III to Level II in impaired loans and OREO as the fair value is based on current appraised values that were not further discounted or contracted offers to purchase certain properties. There were no transfers between fair value levels during the three months ended June 30, 2015 and 2014 or during the six months ended June 30, 2014. Quantitative Information about Level III Fair Value Measurements The following table presents quantitative information about unobservable inputs for assets measured on a non-recurring basis using Level III measurements as of June 30, 2015 and December 31, 2014. This quantitative information is the same for each class of loans. (Dollars in thousands) June 30, 2015 Fair Value Valuation Technique Unobservable Inputs Range of Inputs Weighted Average Impaired loans (collateral dependent) $ 309 Market comparable properties Marketability discount 10.0%-75.0 % 20.8 % December 31, 2014 Fair Value Valuation Technique Unobservable Inputs Range of Inputs Weighted Average Impaired loans (collateral dependent) $ 1,022 Market comparable properties Marketability discount 0% – 20.0 % 6.2 % Other real estate owned 3,773 Market comparable properties Comparability adjustments 0% – 8.1 % 2.8 % The table below summarizes the outstanding balance, valuation allowance and net carrying amount related to Level III non-recurring instruments for the six months ended June 30, 2015 and 2014: (Dollars in thousands) June 30, 2015 Outstanding Balance Valuation Allowance Net Carrying Amount Impaired loans (collateral dependent) $ 599 $ 290 $ 309 June 30, 2014 Outstanding Balance Valuation Allowance Net Carrying Amount Impaired loans (collateral dependent) $ 6,259 $ 2,648 $ 3,611 Other real estate owned 3,880 994 2,886 For the three and six months ended June 30, 2015, expense related to Level III impaired loans was $101,000 and $227,000, respectively, compared to $1.6 million and $1.7 million for the same periods last year. For the three and six months ended June 30, 2014, expense related to Level III OREO was $13,000 and $36,000, respectively. There was no expense for Level III OREO for the three and six months ended June 30, 2015. Fair Value of Financial Instruments The carrying amount and estimated fair values of financial instruments as of June 30, 2015 and December 31, 2014 were as follows: June 30, 2015 December 31, 2014 (Dollars in thousands) Carrying Amount Fair Value Carrying Amount Fair Value Financial assets: Cash and cash equivalents $ 29,555 $ 29,555 $ 24,372 $ 24,372 Securities available-for-sale 73,235 73,235 77,633 77,633 Loans, net 372,838 377,940 360,279 366,686 Federal Home Loan Bank stock 1,140 N/ A 1,243 N/ A Accrued interest receivable 1,340 1,340 1,464 1,464 Financial liabilities: Deposits $ 426,188 $ 426,814 $ 415,756 $ 416,432 Federal Home Loan Bank advances and other borrowings 16,617 16,732 17,629 17,743 Subordinated debentures 16,250 8,434 16,218 8,552 Accrued interest payable 110 110 130 130 Interest rate swap 693 693 725 725 The methods and assumptions not previously presented, used to estimate fair value are described as follows: Cash and cash equivalents The carrying amounts of cash and cash equivalents approximate the fair value and are classified as either Level I or Level II in the fair value hierarchy, with Level II comprised solely of national certificates of deposit held by the Bank. As of June 30, 2015 and December 31, 2014, respectively, the breakdown of cash and cash equivalents between Level I and Level II were as follows: June 30, 2015 December 31, 2014 (Dollars in thousands) Level I Level II Level I Level II Cash and cash equivalents $ 25,868 $ 3,687 $ 20,186 $ 4,186 Loans, net The fair value of variable-rate loans that re-price frequently and with no significant change in credit risk is based on the carrying value and results in a classification of Level III within the fair value hierarchy, excluding impaired loans as previously discussed. Fair value for other loans is estimated using discounted cash flow analysis using interest rates currently being offered for loans with similar terms to borrowers of similar credit quality resulting in a Level III classification in the fair value hierarchy, excluding impaired loans as previously discussed. The methods used to estimate the fair value of loans do not necessarily represent an exit price. Nonmarketable equity securities Nonmarketable equity securities include FHLB stock and other nonmarketable equity securities. It is not practicable to determine the fair value of nonmarketable equity securities due to restrictions placed on their transferability. Deposits The fair value of demand deposits ( e.g. i.e. Federal Home Loan Bank advances The fair value of FHLB advances is estimated using a discounted cash flow analysis based on the current borrowing rates for similar types of borrowings and is classified as a Level II in the fair value hierarchy. Accrued interest receivable/payable The carrying amounts of accrued interest receivable approximate fair value resulting in a Level III classification. The carrying amounts of accrued interest payable approximate fair value resulting in a Level II classification. Subordinated debt The fair value of subordinated debt, where a market quote is not available, is based on discounted cash flows, using a rate appropriate to the instrument and the term of the issue resulting in a Level II classification. Off-balance sheet instruments The fair value of off-balance sheet instruments is based on the current fees that would be charged to enter into or terminate such arrangements, taking into account the remaining terms of the agreements and the counterparties’ credit standing. The fair value of these commitments as of June 30, 2015 was not material.

CAPITAL ADEQUACY

CAPITAL ADEQUACY	6 Months Ended
	Jun. 30, 2015
CAPITAL ADEQUACY [Abstract]
CAPITAL ADEQUACY	NOTE 8 – CAPITAL ADEQUACY Banks and bank holding companies are subject to regulatory capital requirements administered by federal banking agencies. Capital adequacy guidelines and, additionally for banks, prompt corrective action regulations involve quantitative measures of assets, liabilities and certain off-balance sheet items calculated under regulatory accounting practices. Capital amounts and classifications are also subject to qualitative judgments by regulators. Failure to meet capital requirements can initiate regulatory action. Effective July 2, 2013, the Federal Reserve approved final rules known as the “Basel III Capital Rules” substantially revising the risk-based capital and leverage capital requirements applicable to bank holding companies and depository institutions, including the Company and the Bank. The Basel III Capital Rules address the components of capital and other issues affecting the numerator in banking institutions’ regulatory capital ratios. Basel III Capital Rules also implement the requirements of Section 939A of the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 to remove references to credit ratings from the federal banking agencies’ rules. Certain of the Basel III Capital Rules came into effect for the Company and the Bank on January 1, 2015; these rules are subject to a phase-in period which began on January 1, 2015. The Basel III Capital Rules introduced a new capital measure “Common Equity Tier 1” (“CET1”). The rules specify that Tier 1 capital consists of CET1 and “Additional Tier 1 capital” instruments meeting specified requirements. CET1 capital consists of common stock instruments that meet the eligibility criteria in the final rules, retained earnings, accumulated other comprehensive income and common equity Tier 1 minority interest. The rules also define CET1 narrowly by requiring that most adjustments to regulatory capital measures be made to CET1, and not to the other components of capital. They also expand the scope of the adjustments as compared to existing regulations. When fully phased-in on January 1, 2019, the Basel III Capital Rules will require banking organizations to maintain: • a minimum ratio of CET1 to risk-weighted assets of at least 4.5%, plus a 2.5% “capital conservation buffer” (which is added to the 4.5% CET1 ratio as that buffer is phased-in, effectively resulting in a minimum ratio of CET1 to risk-weighted assets of at least 7.0% upon full implementation); • a minimum ratio of Tier 1 capital to risk-weighted assets of at least 6.0%, plus the 2.5% capital conservation buffer (which is added to the 6.0% Tier 1 capital ratio as that buffer is phased-in, effectively resulting in a minimum Tier 1 capital ratio of 8.5% upon full implementation); • a minimum ratio of total capital (that is, Tier 1 plus Tier 2 capital) to risk-weighted assets of at least 8.0%, plus the 2.5% capital conservation buffer (which is added to the 8.0% total capital ratio as that buffer is phased-in, effectively resulting in a minimum total capital ratio of 10.5% upon full implementation); and • a minimum leverage ratio of 4.0%, calculated as the ratio of Tier 1 capital to adjusted average consolidated assets. The aforementioned capital conservation buffer is designed to absorb losses during periods of economic stress. Banking institutions with a ratio of CET1 to risk-weighted assets above the minimum but below the conservation buffer will face limitations on the payment of dividends, common stock repurchases and discretionary cash payments to executive officers based on the amount of the shortfall. Bank The Federal Deposit Insurance Corporation Improvement Act of 1991 (“FDICIA”), among other things, requires the federal banking agencies to take “prompt corrective action” regarding depository institutions that do not meet minimum capital requirements. FDICIA establishes five capital tiers: “well capitalized,” “adequately capitalized,” “undercapitalized,” “significantly undercapitalized” and “critically undercapitalized.” A depository institution’s capital tier will depend upon how its capital levels compare to various relevant capital measures and certain other factors, as established by regulation. Under Basel I, the “prompt corrective action” rules provide that a bank will be: (i) “well capitalized” if it has a total risk-based capital ratio of 10% or greater, a Tier 1 risk-based capital ratio of 6% or greater, a leverage capital ratio of 5% or greater and is not subject to certain written agreements, orders, capital directives or prompt corrective action directives by a federal bank regulatory agency to maintain a specific capital level for any capital measure; (ii) “adequately capitalized” if it has a total risk-based capital ratio of 8% or greater, a Tier 1 risk-based capital ratio of 4% or greater, and generally has a leverage capital ratio of 4% or greater; (iii) “undercapitalized” if it has a total risk-based capital ratio of less than 8%, a Tier 1 risk-based capital ratio of less than 4% or generally has a leverage capital ratio of less than 4%; (iv) “significantly undercapitalized” if it has a total risk-based capital ratio of less than 6%, a Tier 1 risk-based capital ratio of less than 3% or a leverage capital ratio of less than 3%; or (v) “critically undercapitalized” if its ratio of tangible equity to total assets is equal to or less than 2%. The federal bank regulatory agencies have authority to require additional capital. The Basel III Capital Rules revised the “prompt corrective action” regulations pursuant to Section 38 of the FDICIA, by: • introducing a CET1 ratio requirement at each level (other than critically undercapitalized), with the required CET1 ratio being 6.5% for well-capitalized status; • increasing the minimum Tier 1 capital ratio requirement for each category, with the minimum Tier 1 risk-based capital ratio for well-capitalized status being 8.0% (as compared to the current 6.0%); and • eliminating the current provision that provides that a bank with a composite supervisory rating of 1 may have a 3.0% leverage ratio and still be well-capitalized. Under the applicable rules, the Bank was well capitalized as of June 30, 2015 and December 31, 2014. Depository institutions that are no longer “well capitalized” for bank regulatory purposes must receive a waiver from the Federal Deposit Insurance Corporation (“FDIC”) prior to accepting or renewing brokered deposits. FDICIA generally prohibits a depository institution from making any capital distribution (including paying dividends) or paying any management fee to its holding company, if the depository institution would thereafter be undercapitalized. The Bank had a Memorandum of Understanding (“MoU”) with the FDIC and the Florida Office of Financial Regulation (“OFR”) that was entered into in 2008 (the “2008 MoU”), which required the Bank to have a total risk-based capital of at least 10% and a Tier 1 leverage capital ratio of at least 8%. On July 13, 2012, the 2008 MoU was replaced by a new MoU (the “2012 MoU”), which, among other things, required the Bank to have a total risk-based capital of at least 12% and a Tier 1 leverage capital ratio of at least 8%. The Bank received notification from the FDIC and the OFR on June 11, 2015 and June 15, 2015, respectively, stating that the Bank is now considered to be in substantial compliance with the 2012 MoU and that the FDIC and the OFR terminated their interests in the 2012 MoU as of the dates mentioned above. Bancorp The Federal Reserve requires bank holding companies, including Bancorp, to act as a source of financial strength for their depository institution subsidiaries. The Federal Reserve has a minimum guideline for bank holding companies of Tier 1 capital to adjusted average quarterly assets (“leverage ratio”) equal to at least 4.00%, and total capital to risk-weighted assets of at least 8.00%, at least half of which must be Tier 1 capital. As of June 30, 2015 and December 31, 2014, the Company met these requirements. The following table presents the capital ratios and related information for the Company and the Bank in accordance with Basel III as of June 30, 2015 and Basel I as of December 31, 2014: (Dollars in thousands) Actual For Capital Adequacy Purposes Minimum To Be Well Capitalized Under Prompt Corrective Action Provisions June 30, 2015 Amount Ratio Amount Ratio Amount Ratio Total capital to risk-weighted assets: Consolidated $ 62,594 15.69 % $ 31,910 8.00 % $ N/A N/A % Bank 61,772 15.50 31,891 8.00 39,864 10.00 Tier 1 (Core) capital to risk-weighted assets: Consolidated 55,075 13.81 23,933 6.00 N/A N/A Bank 56,691 14.22 23,918 6.00 31,891 8.00 Common equity Tier I capital (CET1): Consolidated 55,075 13.81 17,950 4.50 N/A N/A Bank 56,691 14.22 17,939 4.50 25,912 6.50 Tier I (Core) capital to average assets: Consolidated 55,075 11.17 19,716 4.00 N/A N/A Bank 56,691 11.52 19,688 4.00 24,611 5.00 Actual For Capital Adequacy Purposes Minimum To Be Well Capitalized Under Prompt Corrective Action Provisions December 31, 2014 Amount Ratio Amount Ratio Amount Ratio Total capital to risk-weighted assets: Consolidated $ 57,949 15.13 % $ 30,643 8.00 % $ N/A N/A % Bank 56,400 14.74 30,619 8.00 38,274 10.00 Tier 1 (Core) capital to risk-weighted assets: Consolidated 49,290 12.87 15,322 4.00 N/A N/A Bank 51,497 13.45 15,310 4.00 22,964 6.00 Tier 1 (Core) capital to average assets: Consolidated 49,290 9.85 20,014 4.00 N/A N/A Bank 51,497 10.31 19,980 4.00 24,975 5.00 Dividends and Distributions Prior to October 2009, dividends received from the Bank were Bancorp’s principal source of funds to pay its expenses and interest on and principal of Bancorp’s debt. Banking regulations require the maintenance of certain capital levels and restrict the payment of dividends by the Bank to Bancorp or by Bancorp to its shareholders. Commercial banks generally may only pay dividends without prior regulatory approval out of the total of current net profits plus retained net profits of the preceding two years, and banks and bank holding companies are generally expected to pay dividends from current earnings. Banks may not pay a dividend if the dividend would result in the bank being “undercapitalized” for prompt corrective action purposes, or would violate any minimum capital requirement specified by law or the banks’ regulators. The Bank has not paid dividends since October 2009 and cannot currently pay dividends. Bancorp cannot currently pay dividends on its capital stock under applicable Federal Reserve policies. Bancorp has relied upon revolving loan agreements to pay its expenses during such time. As of June 30, 2015 and December 31, 2014, remaining funds available under the revolving loan agreements were $1.5 million and $2.2 million, respectively.

BASIS OF PRESENTATION (Policies

BASIS OF PRESENTATION (Policies)	6 Months Ended
	Jun. 30, 2015
BASIS OF PRESENTATION [Abstract]
Principles of Consolidation	Principles of Consolidation The accounting and reporting policies of the Company reflect banking industry practice and conform to U.S. generally accepted accounting principles (“U.S. GAAP”). The Consolidated Financial Statements include the accounts of Jacksonville Bancorp, Inc. (“Bancorp”), its wholly owned, primary operating subsidiary The Jacksonville Bank, and The Jacksonville Bank’s wholly owned subsidiary, Fountain Financial, Inc. The consolidated entity is referred to as the “Company” and The Jacksonville Bank and Fountain Financial, Inc. are collectively referred to as the “Bank.” The Company’s financial condition and operating results principally reflect those of the Bank. All intercompany transactions and balances have been eliminated in consolidation. In preparing the Consolidated Financial Statements, management makes estimates and assumptions that affect the reported asset and liability balances and revenue and expense amounts, and the disclosure of contingent assets and liabilities. Actual results could differ significantly from those estimates and assumptions. The accompanying unaudited consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial statements and with the instructions to Form 10-Q. Accordingly, they do not include all of the information and footnotes required by accounting principles generally accepted in the United States of America for complete financial statements. These statements should be read in conjunction with the consolidated financial statements included in the Annual Report on Form 10-K for the year ended December 31, 2014. In the Company’s opinion, all adjustments, consisting primarily of normal recurring adjustments, necessary for a fair presentation of the results for the interim periods have been made.
Nature of Operations	Nature of Operations Bancorp is a financial holding company headquartered in Jacksonville, Florida. The Bank currently provides financial services through eight full-service branches in Jacksonville and Jacksonville Beach, Duval County, Florida, as well as its virtual branch. The Company’s primary business segment is community banking and consists of attracting deposits from the general public and using such deposits and other sources of funds to originate commercial business loans, commercial real estate loans, residential mortgage loans and a variety of consumer loans. Substantially all loans are secured by specific items of collateral, including business assets, consumer assets, and commercial and residential real estate. Commercial loans are expected to be repaid from cash flow from operations of businesses. There are no significant concentrations of loans to any one industry or customer. However, the customers’ ability to repay their loans is dependent on the local real estate market and general economic conditions in the area. For further information, please refer to the Consolidated Financial Statements and notes thereto included in the Company's Annual Report on Form 10-K for the year ended December 31, 2014, as filed with the SEC on March 16, 2015.
Investment Securities	Investment Securities Debt securities are classified as held to maturity and carried at amortized cost when management has the positive intent and ability to hold them to maturity. Debt securities are classified as available-for-sale when they might be sold before maturity. Equity securities with readily determinable fair values are classified as available-for-sale. Available-for-sale securities are carried at fair value, with unrealized holding gains and losses reported in other comprehensive income, net of tax. Other securities, such as Federal Home Loan Bank (“FHLB”) stock, are carried at cost. Interest income includes amortization of purchase premiums and accretion of purchase discounts. Premiums and discounts on securities are amortized on the level yield without anticipating prepayments, except for mortgage-backed securities where prepayments are anticipated. Gains and losses are recorded on the trade date and determined using the specific identification method. Declines in the fair value of securities below their cost that are other-than-temporary are reflected as realized losses.
Other-Than-Temporary Impairment	Other-Than-Temporary Impairment Management evaluates securities for other-than-temporary impairment (“OTTI”) at least on a quarterly basis and more frequently when economic or market conditions warrant such an evaluation. In determining OTTI for debt securities, management considers many factors, including: (1) the length of time and the extent to which the fair value has been less than cost, (2) the financial conditions and near-term prospects of the issuer, (3) whether the market decline was affected by macroeconomic conditions, and (4) whether the entity has the intent to sell the debt security or more-likely-than-not will be required to sell the debt security before its anticipated recovery. The assessment of whether an OTTI decline exists involves a high degree of subjectivity and judgment and is based on the information available to management at a point in time. In order to determine OTTI for purchased beneficial interests that, on the purchase date, were rated below AA, the Company compares the present value of the remaining cash flows as estimated at the preceding evaluation date to the current expected remaining cash flows. OTTI is deemed to have occurred if there has been an adverse change in the remaining expected future cash flows. It is not the Bank’s policy to purchase securities rated below AA. When OTTI occurs for either debt securities or purchased beneficial interests that, on the purchase date, were rated below AA, the amount of the OTTI recognized in earnings depends on whether an entity intends to sell the security or it is more-likely-than-not it will be required to sell the security before recovery of its amortized cost basis, less any current-period credit loss. If an entity intends to sell or it is more-likely-than-not it will be required to sell the security before recovery of its amortized cost basis, less any current-period credit loss, the OTTI must be recognized in earnings equal to the entire difference between the investment’s amortized cost basis and its fair value at the balance sheet date. If an entity does not intend to sell the security and it is not more-likely-than-not that the entity will be required to sell the security before recovery of its amortized cost basis less any current-period loss, the OTTI must be separated into the amount representing the credit loss and the amount related to all other factors. The amount of the total OTTI related to the credit loss is determined based on the present value of cash flows expected to be collected and is recognized in earnings. The amount of the total OTTI related to other factors is recognized in other comprehensive income, net of applicable taxes. The previous amortized cost basis less the OTTI recognized in earnings becomes the new amortized cost basis of the investment.
Loans	Loans Loans that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are reported at the principal balance outstanding, net of deferred loan fees and costs, and allowance for loan losses. Interest income is accrued on the unpaid principal balance of the loans. Loan origination fees, net of certain direct origination costs, are deferred and recognized in interest income using the level‑yield method without anticipating prepayments. Interest income on a loan in any of our portfolio segments is discontinued at the time the loan is 90 days delinquent unless the loan is well secured and in process of collection. Past due status is based on the contractual terms of the loan. In all cases, loans are placed on nonaccrual or charged off at an earlier date if collection of principal or interest is considered doubtful. All unsecured loans in our consumer and other portfolio segment are charged off once they reach 90 days delinquent. This is the only portfolio segment in which the Company charges off loans solely based on the number of days of delinquency. For real estate mortgage, commercial loan, secured consumer and other portfolio segments, the charge-off policy is that a loan is fully or partially charged off when, based on management’s assessment, it has been determined that it is highly probable that the Company would not collect all principal and interest payments according to the contractual terms of the loan agreement. This assessment is determined based on a detailed review of all substandard and doubtful loans each month. This review considers such criteria as the value of the underlying collateral, financial condition and reputation of the borrower and guarantors and the amount of the borrower’s equity in the loan. The Company’s charge-off policy has remained materially unchanged for all periods presented. All interest accrued but not received for loans placed on nonaccrual is reversed against interest income. Interest received on such loans is accounted for on the cash-basis or cost-recovery method, until qualifying for return to accrual. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. Overdrawn customer checking accounts are reclassified as commercial loans and are evaluated on an individual basis for collectability. These balances are included in the estimate of allowance for loan losses and are charged off when collectability is considered doubtful. As of June 30, 2015 and December 31, 2014, overdrawn customer deposit accounts reclassified as commercial loans were $61,000 and $78,000, respectively.
Certain Purchased Loans	Certain Purchased Loans The Company has purchased individual loans and groups of loans, some of which have shown evidence of credit deterioration since origination. These purchased loans were recorded at fair value, such that there was no carryover of the seller’s allowance for loan losses. Fair values were preliminary and subject to refinement for up to one year after the closing as new information relative to the closing date fair value became available. After acquisition, losses were recognized by an increase in the allowance for loan losses if the reason for the loss was due to events and circumstances that did not exist as of the acquisition date. The Company has purchased loans for which there was, at acquisition, evidence of deterioration of credit quality since origination and it was probable, at acquisition, that all contractually required payments would not be collected. Such purchased loans are accounted for individually. The Company estimates the amount and timing of expected cash flows for each purchased loan, and the expected cash flows in excess of the amount paid are recorded as interest income over the remaining life of the loan (accretable yield). The excess of the loan’s contractual principal and interest over expected cash flows is not recorded (non-accretable difference). Over the life of the loan, expected cash flows continue to be estimated. If the present value of expected cash flows is less than the carrying amount, a loss is recorded. If the present value of expected cash flows is greater than the carrying amount, it is recognized as part of future interest income as earned.
Allowance for Loan Losses	Allowance for Loan Losses The allowance for loan losses is a valuation allowance for probable incurred credit losses. Management estimates the allowance balance required using past loan loss experience, the nature and volume of the portfolio, information about specific borrower situations and estimated collateral values, economic conditions and other factors. Allocations of the allowance may be made for specific loans, but the entire allowance is available for any loan that, in management’s judgment, should be charged off. Loan losses are charged against the allowance when management believes the uncollectability of a loan balance is likely. Subsequent recoveries, if any, are credited to the allowance. The allowance consists of specific and general components. The specific components relate to loans that are individually classified as impaired. The general components relate to all loans not specifically identified as impaired and are modeled on loss by portfolio, weighted by recent historic data and economic factors. The Company’s policy for assessing loans for impairment is the same for all classes of loans and is included in our allowance for loan losses policy. The Company classifies a loan as impaired when it is probable that the Company will be unable to collect all amounts due, including both principal and interest, according to the contractual terms of the loan agreement. An impairment determination is performed utilizing the following general factors: (i) a risk rating of substandard or doubtful, (ii) a loan amount greater than $100, and/or (iii) a past due aging of 90 days or more. In addition, the Company also considers the following: the financial condition of the borrower, the Company’s best estimate of the direction and magnitude of any future changes in the borrower’s financial condition, the fair value of collateral if the loan is collateral dependent, the loan’s observable market price, expected future cash flow and, if a purchased loan, the amount of the remaining unaccreted carrying discount. For loans acquired in the acquisition of Atlantic BancGroup, Inc. (“ABI”), if the loss was attributed to events and circumstances that existed as of the acquisition date as a result of new information obtained during the measurement period ( i.e. If a loan is deemed to be impaired, a portion of the allowance for loan losses may be allocated so that the loan is reported, net, at the present value of estimated expected future cash flows, using the loan’s existing rate, or at the fair value of collateral if repayment is expected solely from the sale or operation of the underlying collateral. If an impaired loan is on nonaccrual, then recognition of interest income would follow our nonaccrual policy, which is to no longer accrue interest and account for any interest received on the cash-basis or cost-recovery method until qualifying again for interest accrual. If an impaired loan is not on nonaccrual, then recognition of interest income would accrue on the unpaid principal balance based on the contractual terms of the loan. All impaired loans are reviewed on at least a quarterly basis for changes in the measurement of impairment. For impaired loans measured using the present-value-of-expected-cash-flows method, any change to the previously-recognized impairment loss is recognized as a change in the allowance for loan loss account and recorded in the Consolidated Statement of Operations as a component of the provision for loan losses. Loans, for which the terms have been modified, and for which the borrower is experiencing financial difficulties, are considered troubled debt restructurings (“TDRs”) and classified as impaired. TDRs are measured at the present value of estimated expected future cash flows using the loan’s effective rate at inception unless they are collateral dependent. Key factors that the Company considers at the time a loan is restructured to determine whether the loan should accrue interest include if the loan is less than 90 days past due and if the loan is in compliance with the modified terms of the loan. The Company determines that the loan has been restructured to be reasonably assured of repayment and of performance according to the modified terms by performing an analysis that documents exactly how the loan is expected to perform under the modified terms. Once loans become TDRs, they remain TDRs until they mature or are paid off in the normal course of business. The general component covers all other loans not identified as impaired and is based on historical losses with consideration given to current environmental factors. The historical loss component of the allowance is determined by losses recognized by each portfolio segment over the preceding five years with the most recent years carrying more weight. This is supplemented by the risks for each portfolio segment. In calculating the historical component of
Fair Value of Financial Instruments	Fair Value of Financial Instruments Fair values of financial instruments are estimated using relevant market information and other assumptions, as more fully disclosed in Note 7—Fair Value
Assets Held for Sale	Assets Held-for-Sale The Company reclassifies long-lived assets to assets held-for-sale when all required criteria for such reclassification are met. The assets held for sale are recorded at the lower of the carrying value or fair value less costs to sell. An asset held-for-sale must meet the following conditions: (i) management, having authority to approve the action, commits to a plan to sell the asset, (ii) the asset is available for immediate sale in its present condition, (iii) an active program to locate a buyer and other actions required to complete the plan to sell the asset have been initiated, (iv) the sale of the asset is probable, and transfer of the asset is expected to qualify for recognition as a completed sale, within one year, (v) the asset is being actively marketed for sale at a price that is reasonable in relation to its current fair value, and (vi) actions required to complete the plan indicate that it is unlikely that significant changes to the plan will be made or that the plan will be withdrawn. In the second quarter of 2014, a determination was made that certain assets met the criteria to be classified as held-for-sale. In the third quarter of 2014, the fair value for the related assets was less than their carrying value. Therefore, a loss of $140,000 was recorded to noninterest expense during 2014. As of June 30, 2015, the assets were under contract to be sold. Based on the sales contract price, the fair value was determined to be less than the carrying value and a charge was recorded to noninterest expense in the amount of $75,000 during the second quarter of 2015.
Reclassifications	Reclassifications Certain amounts in the prior year’s financial statements were reclassified to conform to the current year’s presentation. These reclassifications had no impact on the prior periods’ net income or shareholders’ equity.
Recently Issued Accounting and Reporting Standards	Recently Issued Accounting and Reporting Standards In May 2014, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) Revenue Recognition In August 2014, the FASB issued ASU No. 2014-15, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern In April 2015, the FASB issued ASU No. 2015-05, Intangibles - Goodwill and Other - Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Fees Paid in a Cloud Computing Arrangement Other accounting standards that have been issued by the FASB or other standards-setting bodies are not expected to have a material impact on the Company’s financial position, results of operations or cash flows.

INVESTMENT SECURITIES (Tables)

INVESTMENT SECURITIES (Tables)	6 Months Ended
	Jun. 30, 2015
INVESTMENT SECURITIES [Abstract]
Available-For-Sale Securities	The following table summarizes the amortized cost and fair value of the available-for-sale investment securities portfolio as of June 30, 2015 and December 31, 2014 and the corresponding amounts of unrealized gains and losses recognized in accumulated other comprehensive income (loss): (Dollars in thousands) Amortized Cost Unrealized Gains Unrealized Losses Fair Value June 30, 2015 Available-for-sale: U.S. government-sponsored entities and agencies $ 7,179 $ 169 $ (30 ) $ 7,318 State and political subdivisions 6,241 447 - 6,688 Mortgage-backed securities - residential 28,205 834 (65 ) 28,974 Collateralized mortgage obligations 27,918 94 (340 ) 27,672 Corporate bonds 2,519 64 - 2,583 Total $ 72,062 $ 1,608 $ (435 ) $ 73,235 Amortized Cost Unrealized Gains Unrealized Losses Fair Value December 31, 2014 Available-for-sale: U.S. government-sponsored entities and agencies $ 7,019 $ 161 $ (23 ) $ 7,157 State and political subdivisions 6,535 525 - 7,060 Mortgage-backed securities - residential 30,454 928 (22 ) 31,360 Collateralized mortgage obligations 29,306 94 (438 ) 28,962 Corporate bonds 3,025 69 - 3,094 Total $ 76,339 $ 1,777 $ (483 ) $ 77,633
Schedule of Amortized Cost and Fair Value of Investment Securities by Contractual Maturity	The amortized cost and fair value of the investment securities portfolio are presented below in order of contractual maturity. Expected maturities may differ from contractual maturities if borrowers have the right to call or prepay obligations with or without call or prepayment penalties. Securities not due at a single maturity date, primarily mortgage-backed securities – residential and collateralized mortgage obligations, are shown separately. (Dollars in thousands) June 30, 2015 Amortized Cost Fair Value Available-for-sale: Within one year $ - $ - One to five years 2,494 2,540 Five to ten years 4,350 4,430 Beyond ten years 9,095 9,619 Mortgage-backed securities – residential 28,205 28,974 Collateralized mortgage obligations 27,918 27,672 Total $ 72,062 $ 73,235
Summary of Investment Securities with Unrealized Losses	The following table summarizes the investment securities with unrealized losses as of June 30, 2015 and December 31, 2014 listed by aggregated major security type and length of time in a continuous unrealized loss position: Less Than 12 Months 12 Months or Longer Total (Dollars in thousands) June 30, 2015 Fair Value Unrealized losses Fair Value Unrealized losses Fair Value Unrealized losses Available-for-sale: U.S. government-sponsored entities and agencies $ 588 $ (12 ) $ 982 $ (18 ) $ 1,570 $ (30 ) State and political subdivisions - - - - - - Mortgage backed securities – residential 2,576 (38 ) 1,167 (27 ) 3,743 (65 ) Collateralized mortgage obligations 5,938 (38 ) 9,251 (302 ) 15,189 (340 ) Corporate bonds - - - - - - Total available-for-sale securities $ 9,102 $ (88 ) $ 11,400 $ (347 ) $ 20,502 $ (435 ) Less Than 12 Months 12 Months or Longer Total December 31, 2014 Fair Value Unrealized losses Fair Value Unrealized losses Fair Value Unrealized losses Available-for-sale: U.S. government-sponsored entities and agencies $ - $ - $ 977 $ (23 ) $ 977 $ (23 ) State and political subdivisions - - - - - - Mortgage backed securities – residential 1,849 (1 ) 1,192 (21 ) 3,041 (22 ) Collateralized mortgage obligations 6,599 (40 ) 11,258 (398 ) 17,857 (438 ) Corporate bonds - - - - - - Total available-for-sale securities $ 8,448 $ (41 ) $ 13,427 $ (442 ) $ 21,875 $ (483 )

LOANS AND ALLOWANCE FOR LOAN 18

LOANS AND ALLOWANCE FOR LOAN LOSSES (Tables)	6 Months Ended
	Jun. 30, 2015
LOANS AND ALLOWANCE FOR LOAN LOSSES [Abstract]
Loans	Loans as of June 30, 2015 and December 31, 2014 were as follows: (Dollars in thousands) June 30, 2015 December 31, 2014 Commercial loans $ 61,537 $ 57,876 Real estate mortgage loans: Residential 70,384 71,002 Commercial 224,865 222,468 Construction and land 27,729 22,319 Consumer and other loans 1,720 1,489 Loans, gross 386,235 375,154 Less: Net deferred loan fees (536 ) (498 ) Allowance for loan losses (12,861 ) (14,377 ) Loans, net $ 372,838 $ 360,279
Summary of Loans Acquired, Contractual Amount Less Discount to Principal Balances	Loans acquired as a result of the merger with ABI were recorded at fair value on the date of acquisition. The amounts reported in the table above are net of the fair value adjustments. The table below reflects the contractual amount of purchased loans less the discount to principal balances remaining from these fair value adjustments by class of loan as of June 30, 2015 and December 31, 2014. This discount will be accreted into interest income as deemed appropriate over the remaining term of the related loans or to support unidentified losses. (Dollars in thousands) Gross Contractual Discount Carrying Amount Commercial loans $ 1,686 $ 127 $ 1,559 Real estate mortgage loans: Residential 12,952 647 12,305 Commercial 35,247 1,993 33,254 Construction and land 3,085 259 2,826 Consumer and other loans 373 3 370 Total $ 53,343 $ 3,029 $ 50,314 December 31, 2014 Gross Contractual Discount Carrying Amount Commercial loans $ 1,758 $ 144 $ 1,614 Real estate mortgage loans: Residential 15,748 761 14,987 Commercial 37,481 2,167 35,314 Construction and land 3,452 334 3,118 Consumer and other loans 400 3 397 Total $ 58,839 $ 3,409 $ 55,430
Activity in Allowance for Loan Losses by Portfolio Segment	Activity in the allowance for loan losses by portfolio segment for the three and six months ended June 30, 2015 and 2014 was as follows: Three Months Ended Six Months Ended (Dollars in thousands) 2015 2014 2015 2014 Allowance at beginning of period $ 14,371 $ 15,104 $ 14,377 $ 15,760 Charge-offs: Commercial loans (166 ) - (166 ) (203 ) Real estate mortgage loans (179 ) (825 ) (390 ) (1,489 ) Consumer and other loans - (3 ) (4 ) (15 ) Total charge-offs (345 ) (828 ) (560 ) (1,707 ) Recoveries: Commercial loans 15 11 39 28 Real estate mortgage loans 813 37 979 237 Consumer and other loans 18 5 37 11 Total recoveries 846 53 1,055 276 Net recoveries (charge-offs) 501 (775 ) 495 (1,431 ) Provision for loan losses charged to operating expenses: Commercial loans 24 (126 ) 125 128 Real estate mortgage loans (1,569 ) 563 (1,780 ) 241 Consumer and other loans (466 ) (150 ) (356 ) (82 ) Total provision (2,011 ) 287 (2,011 ) 287 Allowance at end of period $ 12,861 $ 14,616 $ 12,861 $ 14,616
Schedule of Allowance for Loan Losses and Recorded Investment in Loans by Portfolio Segment and Based on Impairment Method	The following table presents the balance in the allowance for loan losses and the recorded investment in loans by portfolio segment and based on the impairment method as of June 30, 2015 and December 31, 2014: (Dollars in thousands) Commercial Real Estate Consumer and Total Allowance for loan losses: Ending allowance balance attributable to loans: Individually evaluated for impairment $ 62 $ 1,916 $ - $ 1,978 Collectively evaluated for impairment 1,227 9,055 601 10,883 Loans acquired with deteriorated credit quality - - - - Total ending allowance balance $ 1,289 $ 10,971 $ 601 $ 12,861 Loans: Loans individually evaluated for impairment $ 62 $ 13,124 $ 25 $ 13,211 Loans collectively evaluated for impairment 61,363 297,664 1,695 360,722 Loans acquired with deteriorated credit quality 112 12,190 - 12,302 Total ending loans balance $ 61,537 $ 322,978 $ 1,720 $ 386,235 December 31, 2014 Commercial Real Estate Consumer and Total Allowance for loan losses: Ending allowance balance attributable to loans: Individually evaluated for impairment $ 21 $ 539 $ - $ 560 Collectively evaluated for impairment 1,270 11,622 925 13,817 Loans acquired with deteriorated credit quality - - - - Total ending allowance balance $ 1,291 $ 12,161 $ 925 $ 14,377 Loans: Loans individually evaluated for impairment $ 21 $ 16,033 $ 28 $ 16,082 Loans collectively evaluated for impairment 57,749 285,371 1,461 344,581 Loans acquired with deteriorated credit quality 106 14,385 - 14,491 Total ending loans balance $ 57,876 $ 315,789 $ 1,489 $ 375,154
Summary of Loans Individually Evaluated for Impairment, by Class of Loans	The following table presents loans individually evaluated for impairment, by class of loans as of June 30, 2015 and December 31, 2014: June 30, 2015 December 31, 2014 (Dollars in thousands) Unpaid Principal Balance Recorded Investment Allowance for Loan Losses Allocated Unpaid Principal Balance Recorded Investment Allowance for Loan Losses Allocated With no related allowance recorded: Commercial loans $ - $ - $ - $ - $ - $ - Real estate mortgage loans: Residential 461 409 - 2,288 2,211 - Commercial 9,225 8,739 - 14,012 11,104 - Construction and land 1,119 1,090 - 1,174 1,126 - Consumer and other loans 28 25 - 31 28 - Subtotal 10,833 10,263 - 17,505 14,469 - With an allowance recorded: Commercial loans $ 62 $ 62 $ 62 $ 21 $ 21 $ 21 Real estate mortgage loans: Residential 2,170 2,121 1,549 692 629 103 Commercial 476 476 202 489 489 214 Construction and land 323 289 165 493 474 222 Consumer and other loans - - - - - - Subtotal 3,031 2,948 1,978 1,695 1,613 560 Total $ 13,864 $ 13,211 $ 1,978 $ 19,200 $ 16,082 $ 560
Average of Impaired Loans and Related Interest Income and Cash-Basis Interest Income Recognized During Impairment	The following table presents the average recorded investment in impaired loans and the related interest income recognized during impairment for the three and six months ended June 30, 2015 and 2014. Three Months Ended Six Months Ended (Dollars in thousands) Average Impaired Loans Interest Income Cash-Basis Average Impaired Interest Income Cash Basis Commercial loans $ 118 $ - $ - $ 147 $ - $ - Real estate mortgage loans: Residential 1,273 14 14 1,436 21 21 Commercial 9,636 240 240 10,239 289 289 Construction and land 1,508 9 9 1,546 18 19 Consumer and other loans 25 - - 26 - - Total $ 12,560 $ 263 $ 263 $ 13,394 $ 328 $ 329 Three Months Ended Six Months Ended (Dollars in thousands) Average Impaired Loans Interest Income Cash-Basis Average Impaired Interest Income Cash Basis Commercial loans $ 155 $ - $ - $ 272 $ - $ - Real estate mortgage loans: Residential 2,948 15 29 3,504 34 42 Commercial 16,473 54 57 14,357 109 113 Construction and land 5,372 10 11 5,448 21 14 Consumer and other loans 348 - - 353 - - Total $ 25,296 $ 79 $ 97 $ 23,934 $ 164 $ 169
Summary of Recorded Investment in Nonaccrual Loans by Class of Loans	The following table presents the recorded investment in nonaccrual loans by class of loans as of June 30, 2015 and December 31, 2014: (Dollars in thousands) June 30, 2015 December 31, 2014 Commercial loans $ 62 $ 21 Real estate mortgage loans: Residential 2,374 1,151 Commercial 3,027 7,408 Construction and land 389 574 Consumer and other loans 25 28 Total $ 5,877 $ 9,182
Summary of Aging of Recorded Investment in Past Due Loans by Class of Loans	The following table presents the aging of the recorded investment in past due loans by class of loans as of June 30, 2015 and December 31, 2014: Past Due Loans (Dollars in thousands) June 30, 2015 30-59 Days 60-89 Days 90 Days and Greater Total Loans Not Past Due Total Commercial loans $ 50 $ 41 $ 21 $ 112 $ 61,425 $ 61,537 Real estate mortgage loans: Residential 716 169 671 1,556 68,828 70,384 Commercial 74 - 1,006 1,080 223,785 224,865 Construction and land - - 289 289 27,440 27,729 Consumer and other loans - - - - 1,720 1,720 Total $ 840 $ 210 $ 1,987 $ 3,037 $ 383,198 $ 386,235 Past Due Loans December 31, 2014 30-59 Days 60-89 Days 90 Days and Greater Total Loans Not Past Due Total Commercial loans $ 218 $ - $ - $ 218 $ 57,658 $ 57,876 Real estate mortgage loans: Residential 874 579 681 2,134 68,868 71,002 Commercial 5,032 1,701 4,784 11,517 210,951 222,468 Construction and land - - 350 350 21,969 22,319 Consumer and other loans 269 - - 269 1,220 1,489 Total $ 6,393 $ 2,280 $ 5,815 $ 14,488 $ 360,666 $ 375,154
Summary of Recorded Investment and Specific Reserves Allocated to Loans Modified as Troubled Debt Restructurings	The following table presents the recorded investment and specific reserves allocated to loans modified as TDRs as of June 30, 2015 and December 31, 2014. (Dollars in thousands) June 30, 2015 December 31, 2014 Recorded investment (1) $ 10,563 $ 10,794 Specific reserves allocated (2) 331 372 (1) Of the total recorded investment in loans modified as TDRs, $1,105 and $1,285, respectively, were for customers whose loans were collateral dependent with collateral shortfalls. (2) Of the specific reserves allocated to customers whose loan terms were modified as TDRs, $331 and $372, respectively, were allocated to customers whose loans were collateral dependent with collateral shortfalls.
Summary of Loans by Class Modified as Troubled Debt Restructuring	The following table represents loans by class modified as TDRs that occurred during the three and six months ended June 30, 2015 and 2014: Three Months Ended Six Months Ended (Dollars in thousands) Number of loans Pre- Modification Outstanding Recorded Investment Post- Modification Outstanding Recorded Investment Number of loans Pre- Modification Outstanding Recorded Investment Post- Modification Outstanding Recorded Investment Commercial loans - $ - $ - - $ - $ - Real estate mortgage loans: Residential - - - - - - Commercial 1 1,496 1,689 1 1,496 1,689 Construction and land - - - - - - Consumer and other loans - - - - - - Total 1 $ 1,496 $ 1,689 1 $ 1,496 $ 1,689 Three Months Ended Six Months Ended (Dollars in thousands) Number of loans Pre- Modification Outstanding Recorded Investment Post- Modification Outstanding Recorded Investment Number of loans Pre- Modification Outstanding Recorded Investment Post- Modification Outstanding Recorded Investment Commercial loans 1 $ 62 $ 62 1 $ 62 $ 62 Real estate mortgage loans: Residential 1 147 121 2 171 151 Commercial 1 664 904 6 3,579 3,629 Construction and land 2 281 219 2 281 219 Consumer and other loans - - - 1 239 239 Total 5 $ 1,154 $ 1,306 12 $ 4,332 $ 4,300
Summary of Risk Category of Loans by Class of Loans	Loans not meeting the criteria above that are analyzed individually as part of the above-described process are considered to be pass-rated loans. As of June 30, 2015 , and based on the most recent analysis performed, the risk category of loans by class of loans was as follows: (Dollars in thousands) Pass Special Substandard Doubtful Total Commercial loans $ 61,135 $ 77 $ 106 $ - $ 61,537 Real estate mortgage loans: Residential 61,674 4,860 3,850 - 70,384 Commercial 210,100 4,959 9,806 - 224,865 Construction and land 25,261 1,358 1,110 - 27,729 Consumer and other loans 1,679 16 25 - 1,720 Total $ 360,068 $ 11,270 $ 14,897 $ - $ 386,235 December 31, 2014 Pass Special Substandard Doubtful Total Commercial loans $ 56,704 $ 1,103 $ 69 $ - $ 57,876 Real estate mortgage loans: Residential 61,666 4,717 4,619 - 71,002 Commercial 202,225 5,278 14,965 - 222,468 Construction and land 20,799 62 1,458 - 22,319 Consumer and other loans 1,437 24 28 - 1,489 Total $ 342,831 $ 11,184 $ 21,139 $ - $ 375,154
Summary of Loans Acquired with Evidence of Deterioration of Credit Quality since Origination	The Company has purchased loans for which there was, at acquisition, evidence of deterioration of credit quality since origination and it was probable, at acquisition, that all contractually required payments would not be collected. The unpaid principal balance and carrying amounts of these loans were as follows as of June 30, 2015 and December 31, 2014: (Dollars in thousands) June 30, 2015 December 31, 2014 Commercial loans $ 147 $ 150 Real estate mortgage loans: Residential 2,152 3,625 Commercial 11,129 11,937 Construction and land 234 240 Consumer and other loans - - Unpaid principal balance $ 13,662 $ 15,952 Carrying amount $ 12,302 $ 14,491
Summary of Accretable Yield, or Income Expected to be Collected, on Loans Acquired	Accretable yield, or income collected, from these loans was as follows: (Dollars in thousands) Balance as of December 31, 2013 $ 8,993 New loans purchased, including loans classified as held-for-sale - Accretion of income (548 ) Reduction for loans sold, paid off and other (1,619 ) Loans charged off (28 ) Reclassifications from nonaccretable difference - Disposals - Balance as of June 30, 2014 $ 6,798 Balance as of December 31, 2014 $ 6,329 New loans purchased, including loans classified as held-for-sale - Accretion of income (423 ) Reduction for loans sold, paid off and other (28 ) Loans charged off - Reclassifications from nonaccretable difference 4 Disposals - Balance as of June 30, 2015 $ 5,882

SHORT-TERM BORROWINGS AND FED19

SHORT-TERM BORROWINGS AND FEDERAL HOME LOAN BANK ADVANCES (Tables)	6 Months Ended
	Jun. 30, 2015
SHORT-TERM BORROWINGS AND FEDERAL HOME LOAN BANK ADVANCES [Abstract]
Advances from Federal Home Loan Bank (FHLB)	As of June 30, 2015 (Dollars in thousands) June 30, 2015 December 31, 2014 Overnight advances maturing daily at a daily variable interest rate of _0.35% on June 30, 2015 $ 5,000 $ - Advance maturing January 9, 2015 at a fixed rate of 0.88% - 4,000 Advances maturing March 2, 2015 at a fixed rate of 0.76% - 2,000 Advances maturing July 15, 2016 at a fixed rate of 2.81% 2,500 2,500 Advances maturing January 9, 2017 at a fixed rate of 1.40% 4,000 4,000 Advances maturing May 30, 2017 at a fixed rate of 1.23% 5,000 5,000 Total advances from the FHLB $ 16,500 $ 17,500

FAIR VALUE (Tables)

FAIR VALUE (Tables)	6 Months Ended
	Jun. 30, 2015
FAIR VALUE [Abstract]
Schedule of Assets and Liabilities Measured at Fair Value on Recurring Basis	The following table presents information about the Company’s assets and liabilities measured at fair value on a recurring basis as of June 30, 2015 and December 31, 2014 by level within the hierarchy: (Dollars in thousands) Total Level I Level II Level III Assets: Securities available-for-sale: U.S. government-sponsored entities and agencies $ 7,318 $ - $ 7,318 $ - State and political subdivisions 6,688 - 6,688 - Mortgage-backed securities - residential 28,974 - 28,974 - Collateralized mortgage obligations 27,672 - 27,672 - Corporate bonds 2,583 - 2,583 - Liabilities: Derivative liability 693 - 693 - December 31, 2014 Total Level I Level II Level III Assets: Securities available-for-sale: U.S. government-sponsored entities and agencies $ 7,157 $ - $ 7,157 $ - State and political subdivisions 7,060 - 7,060 - Mortgage-backed securities - residential 31,360 - 31,360 - Collateralized mortgage obligations 28,962 - 28,962 - Corporate bonds 3,094 - 3,094 - Liabilities: Derivative liability 725 - 725 -
Assets Measured at Fair Value on Non - Recurring Basis	The following table presents information about our assets measured at fair value on a non-recurring basis as of June 30, 2015 and December 31, 2014, by level within the fair value hierarchy. The amounts in the tables represent only assets for which the carrying amount has been adjusted for impairment during the period; therefore, these amounts will differ from the total amounts outstanding. (Dollars in thousands) Total Level I Level II Level III Impaired Loans (Collateral Dependent): Real estate mortgage loans: Residential $ 548 $ - $ 548 $ - Commercial 202 - - 202 Construction and land 216 - 109 107 Other real estate owned: Real estate mortgage loans: Residential - - - - Commercial - - - - Construction and land 3,699 - 3,699 - Assets held for sale 711 - 711 - December 31, 2014 Total Level I Level II Level III Impaired Loans (Collateral Dependent): Real estate mortgage loans: Residential $ 495 $ - $ - $ 495 Commercial 275 - - 275 Construction and land 252 - - 252 Other real estate owned: Real estate mortgage loans: Residential - - - - Commercial - - - - Construction and land 3,773 - - 3,773 Assets held for sale 786 - 786 -
Quantitative Information About Unobservable Inputs for Assets Measured on Non-Recurring Basis	The following table presents quantitative information about unobservable inputs for assets measured on a non-recurring basis using Level III measurements as of June 30, 2015 and December 31, 2014. This quantitative information is the same for each class of loans. (Dollars in thousands) June 30, 2015 Fair Value Valuation Technique Unobservable Inputs Range of Inputs Weighted Average Impaired loans (collateral dependent) $ 309 Market comparable properties Marketability discount 10.0%-75.0 % 20.8 % December 31, 2014 Fair Value Valuation Technique Unobservable Inputs Range of Inputs Weighted Average Impaired loans (collateral dependent) $ 1,022 Market comparable properties Marketability discount 0% – 20.0 % 6.2 % Other real estate owned 3,773 Market comparable properties Comparability adjustments 0% – 8.1 % 2.8 %
Summary of Outstanding Balance, Valuation Allowance, Net Carrying Amount and Period Expense Related to Level Three Non-Recurring Instruments	The table below summarizes the outstanding balance, valuation allowance and net carrying amount related to Level III non-recurring instruments for the six months ended June 30, 2015 and 2014: (Dollars in thousands) June 30, 2015 Outstanding Balance Valuation Allowance Net Carrying Amount Impaired loans (collateral dependent) $ 599 $ 290 $ 309 June 30, 2014 Outstanding Balance Valuation Allowance Net Carrying Amount Impaired loans (collateral dependent) $ 6,259 $ 2,648 $ 3,611 Other real estate owned 3,880 994 2,886
Carrying Amount and Estimated Fair Values of Financial Instruments	The carrying amount and estimated fair values of financial instruments as of June 30, 2015 and December 31, 2014 were as follows: June 30, 2015 December 31, 2014 (Dollars in thousands) Carrying Amount Fair Value Carrying Amount Fair Value Financial assets: Cash and cash equivalents $ 29,555 $ 29,555 $ 24,372 $ 24,372 Securities available-for-sale 73,235 73,235 77,633 77,633 Loans, net 372,838 377,940 360,279 366,686 Federal Home Loan Bank stock 1,140 N/ A 1,243 N/ A Accrued interest receivable 1,340 1,340 1,464 1,464 Financial liabilities: Deposits $ 426,188 $ 426,814 $ 415,756 $ 416,432 Federal Home Loan Bank advances and other borrowings 16,617 16,732 17,629 17,743 Subordinated debentures 16,250 8,434 16,218 8,552 Accrued interest payable 110 110 130 130 Interest rate swap 693 693 725 725
Breakdown of Cash and Cash Equivalents Between Level I and Level II	The carrying amounts of cash and cash equivalents approximate the fair value and are classified as either Level I or Level II in the fair value hierarchy, with Level II comprised solely of national certificates of deposit held by the Bank. As of June 30, 2015 and December 31, 2014, respectively, the breakdown of cash and cash equivalents between Level I and Level II were as follows: June 30, 2015 December 31, 2014 (Dollars in thousands) Level I Level II Level I Level II Cash and cash equivalents $ 25,868 $ 3,687 $ 20,186 $ 4,186

CAPITAL ADEQUACY (Tables)

CAPITAL ADEQUACY (Tables)	6 Months Ended
	Jun. 30, 2015
CAPITAL ADEQUACY [Abstract]
Capital Adequacy Standards Required to be Maintained by Banks and Bank Holding Companies	The following table presents the capital ratios and related information for the Company and the Bank in accordance with Basel III as of June 30, 2015 and Basel I as of December 31, 2014: (Dollars in thousands) Actual For Capital Adequacy Purposes Minimum To Be Well Capitalized Under Prompt Corrective Action Provisions June 30, 2015 Amount Ratio Amount Ratio Amount Ratio Total capital to risk-weighted assets: Consolidated $ 62,594 15.69 % $ 31,910 8.00 % $ N/A N/A % Bank 61,772 15.50 31,891 8.00 39,864 10.00 Tier 1 (Core) capital to risk-weighted assets: Consolidated 55,075 13.81 23,933 6.00 N/A N/A Bank 56,691 14.22 23,918 6.00 31,891 8.00 Common equity Tier I capital (CET1): Consolidated 55,075 13.81 17,950 4.50 N/A N/A Bank 56,691 14.22 17,939 4.50 25,912 6.50 Tier I (Core) capital to average assets: Consolidated 55,075 11.17 19,716 4.00 N/A N/A Bank 56,691 11.52 19,688 4.00 24,611 5.00 Actual For Capital Adequacy Purposes Minimum To Be Well Capitalized Under Prompt Corrective Action Provisions December 31, 2014 Amount Ratio Amount Ratio Amount Ratio Total capital to risk-weighted assets: Consolidated $ 57,949 15.13 % $ 30,643 8.00 % $ N/A N/A % Bank 56,400 14.74 30,619 8.00 38,274 10.00 Tier 1 (Core) capital to risk-weighted assets: Consolidated 49,290 12.87 15,322 4.00 N/A N/A Bank 51,497 13.45 15,310 4.00 22,964 6.00 Tier 1 (Core) capital to average assets: Consolidated 49,290 9.85 20,014 4.00 N/A N/A Bank 51,497 10.31 19,980 4.00 24,975 5.00

BASIS OF PRESENTATION (Details)

BASIS OF PRESENTATION (Details) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2015USD ($)Branch	Dec. 31, 2014USD ($)
BASIS OF PRESENTATION [Abstract]
Number of full-service branches | Branch	8
Significant concentrations of loans	$ 0
Period from which interest income on a loan is discontinued	90 days
Period after which unsecured loans are charged off	90 days
Overdrawn customer checking accounts reclassified as commercial loans	$ 61	$ 78
Measurement period for loans acquired	12 months
Impairment analysis factor, minimum loan amount	$ 100
Impairment analysis factor, past due period	90 days
Troubled debt restructurings, accrued interest determination factor, period	90 days
Number of years over which losses recognized by each portfolio segment are included in the determination of the historical loss component of the allowance	5 years
Loss recorded to non interest expense	$ 75	$ 140

INVESTMENT SECURITIES (Details)

INVESTMENT SECURITIES (Details) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2015USD ($)Security	Dec. 31, 2014USD ($)Security
Available for sale securities fair value to amortized cost basis [Abstract]
Amortized Cost	$ 72,062	$ 76,339
Unrealized Gains	1,608	1,777
Unrealized Losses	(435)	(483)
Fair Value	73,235	77,633
Available-for-sale securities, amortized cost, contractual maturity [Abstract]
Within one year	0
One to five years	2,494
Five to ten years	4,350
Beyond ten years	9,095
Mortgage-backed securities - residential	28,205
Collateralized mortgage obligations	27,918
Amortized Cost	72,062	76,339
Available-for-sale securities, fair value, contractual maturity [Abstract]
Within one year	0
One to five years	2,540
Five to ten years	4,430
Beyond ten years	9,619
Mortgage-backed securities - residential	28,974
Collateralized mortgage obligations	27,672
Fair Value	73,235	77,633
Available-for-sale securities, continuous unrealized loss position, fair value [Abstract]
Less than 12 months, fair value	9,102	8,448
12 months or longer, fair value	11,400	13,427
Total, fair value	20,502	21,875
Available-for-sale Securities, continuous unrealized loss position, unrealized losses [Abstract]
Less than 12 months, unrealized losses	(88)	(41)
12 months or longer, unrealized losses	(347)	(442)
Total, unrealized losses	(435)	(483)
Available-for-sale Securities, Other Disclosure Items [Abstract]
Credit losses recognized in earnings related to investment securities	0	0
U.S. government-sponsored entities and agencies [Member]
Available for sale securities fair value to amortized cost basis [Abstract]
Amortized Cost	7,179	7,019
Unrealized Gains	169	161
Unrealized Losses	(30)	(23)
Fair Value	7,318	7,157
Available-for-sale securities, amortized cost, contractual maturity [Abstract]
Amortized Cost	7,179	7,019
Available-for-sale securities, fair value, contractual maturity [Abstract]
Fair Value	7,318	7,157
Available-for-sale securities, continuous unrealized loss position, fair value [Abstract]
Less than 12 months, fair value	588	0
12 months or longer, fair value	982	977
Total, fair value	1,570	977
Available-for-sale Securities, continuous unrealized loss position, unrealized losses [Abstract]
Less than 12 months, unrealized losses	(12)	0
12 months or longer, unrealized losses	(18)	(23)
Total, unrealized losses	$ (30)	$ (23)
Available-for-sale Securities, Other Disclosure Items [Abstract]
Number of positions in unrealized loss position | Security	2	1
Securities depreciated from the amortized cost basis percentage (in hundredths)	1.88%	2.30%
State and political subdivisions [Member]
Available for sale securities fair value to amortized cost basis [Abstract]
Amortized Cost	$ 6,241	$ 6,535
Unrealized Gains	447	525
Unrealized Losses	0	0
Fair Value	6,688	7,060
Available-for-sale securities, amortized cost, contractual maturity [Abstract]
Amortized Cost	6,241	6,535
Available-for-sale securities, fair value, contractual maturity [Abstract]
Fair Value	6,688	7,060
Available-for-sale securities, continuous unrealized loss position, fair value [Abstract]
Less than 12 months, fair value	0	0
12 months or longer, fair value	0	0
Total, fair value	0	0
Available-for-sale Securities, continuous unrealized loss position, unrealized losses [Abstract]
Less than 12 months, unrealized losses	0	0
12 months or longer, unrealized losses	0	0
Total, unrealized losses	0	0
Mortgage-backed securities - residential [Member]
Available for sale securities fair value to amortized cost basis [Abstract]
Amortized Cost	28,205	30,454
Unrealized Gains	834	928
Unrealized Losses	(65)	(22)
Fair Value	28,974	31,360
Available-for-sale securities, amortized cost, contractual maturity [Abstract]
Amortized Cost	28,205	30,454
Available-for-sale securities, fair value, contractual maturity [Abstract]
Fair Value	28,974	31,360
Available-for-sale securities, continuous unrealized loss position, fair value [Abstract]
Less than 12 months, fair value	2,576	1,849
12 months or longer, fair value	1,167	1,192
Total, fair value	3,743	3,041
Available-for-sale Securities, continuous unrealized loss position, unrealized losses [Abstract]
Less than 12 months, unrealized losses	(38)	(1)
12 months or longer, unrealized losses	(27)	(21)
Total, unrealized losses	$ (65)	$ (22)
Available-for-sale Securities, Other Disclosure Items [Abstract]
Number of positions in unrealized loss position | Security	16	3
Securities depreciated from the amortized cost basis percentage (in hundredths)	1.71%	0.71%
Collateralized mortgage obligations [Member]
Available for sale securities fair value to amortized cost basis [Abstract]
Amortized Cost	$ 27,918	$ 29,306
Unrealized Gains	94	94
Unrealized Losses	(340)	(438)
Fair Value	27,672	28,962
Available-for-sale securities, amortized cost, contractual maturity [Abstract]
Amortized Cost	27,918	29,306
Available-for-sale securities, fair value, contractual maturity [Abstract]
Fair Value	27,672	28,962
Available-for-sale securities, continuous unrealized loss position, fair value [Abstract]
Less than 12 months, fair value	5,938	6,599
12 months or longer, fair value	9,251	11,258
Total, fair value	15,189	17,857
Available-for-sale Securities, continuous unrealized loss position, unrealized losses [Abstract]
Less than 12 months, unrealized losses	(38)	(40)
12 months or longer, unrealized losses	(302)	(398)
Total, unrealized losses	$ (340)	$ (438)
Available-for-sale Securities, Other Disclosure Items [Abstract]
Number of positions in unrealized loss position | Security	4	18
Securities depreciated from the amortized cost basis percentage (in hundredths)	2.19%	2.40%
Corporate bonds [Member]
Available for sale securities fair value to amortized cost basis [Abstract]
Amortized Cost	$ 2,519	$ 3,025
Unrealized Gains	64	69
Unrealized Losses	0	0
Fair Value	2,583	3,094
Available-for-sale securities, amortized cost, contractual maturity [Abstract]
Amortized Cost	2,519	3,025
Available-for-sale securities, fair value, contractual maturity [Abstract]
Fair Value	2,583	3,094
Available-for-sale securities, continuous unrealized loss position, fair value [Abstract]
Less than 12 months, fair value	0	0
12 months or longer, fair value	0	0
Total, fair value	0	0
Available-for-sale Securities, continuous unrealized loss position, unrealized losses [Abstract]
Less than 12 months, unrealized losses	0	0
12 months or longer, unrealized losses	0	0
Total, unrealized losses	$ 0	$ 0

LOANS AND ALLOWANCE FOR LOAN 24

LOANS AND ALLOWANCE FOR LOAN LOSSES (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2013
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, gross	$ 386,235		$ 375,154
Net deferred loan fees	(536)		(498)
Allowance for loan losses	(12,861)	$ (14,371)	(14,377)	$ (14,616)	$ (15,104)	$ (15,760)
Loans, net	372,838		360,279
Commercial Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, gross	61,537		57,876
Allowance for loan losses	(1,289)		(1,291)
Real Estate Mortgage Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, gross	322,978		315,789
Allowance for loan losses	(10,971)		(12,161)
Real Estate Mortgage Loans [Member] | Residential [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, gross	70,384		71,002
Real Estate Mortgage Loans [Member] | Commercial [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, gross	224,865		222,468
Real Estate Mortgage Loans [Member] | Construction and Land [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, gross	27,729		22,319
Consumer and Other Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, gross	1,720		1,489
Allowance for loan losses	$ (601)		$ (925)

LOANS AND ALLOWANCE FOR LOAN 25

LOANS AND ALLOWANCE FOR LOAN LOSSES, Loans Acquired in ABI Merger (Details) $ in Thousands	Jun. 30, 2015USD ($)Segment	Dec. 31, 2014USD ($)
LOANS AND ALLOWANCE FOR LOAN LOSSES [Abstract]
Number of loan portfolio segment | Segment	3
Acquired Accounts Notes And Loans Receivable [Line Items]
Gross Contractual Amount Receivable	$ 53,343	$ 58,839
Discount	3,029	3,409
Carrying Balance	50,314	55,430
Commercial Loans [Member]
Acquired Accounts Notes And Loans Receivable [Line Items]
Gross Contractual Amount Receivable	1,686	1,758
Discount	127	144
Carrying Balance	1,559	1,614
Real Estate Mortgage Loans [Member] | Residential [Member]
Acquired Accounts Notes And Loans Receivable [Line Items]
Gross Contractual Amount Receivable	12,952	15,748
Discount	647	761
Carrying Balance	12,305	14,987
Real Estate Mortgage Loans [Member] | Commercial [Member]
Acquired Accounts Notes And Loans Receivable [Line Items]
Gross Contractual Amount Receivable	35,247	37,481
Discount	1,993	2,167
Carrying Balance	33,254	35,314
Real Estate Mortgage Loans [Member] | Construction and Land [Member]
Acquired Accounts Notes And Loans Receivable [Line Items]
Gross Contractual Amount Receivable	3,085	3,452
Discount	259	334
Carrying Balance	2,826	3,118
Consumer and Other Loans [Member]
Acquired Accounts Notes And Loans Receivable [Line Items]
Gross Contractual Amount Receivable	373	400
Discount	3	3
Carrying Balance	$ 370	$ 397

LOANS AND ALLOWANCE FOR LOAN 26

LOANS AND ALLOWANCE FOR LOAN LOSSES, Summary of Allowance For Credit Losses (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Financing Receivable, Allowance for Credit Losses [Line Items]
Allowance at beginning of period	$ 14,371	$ 15,104	$ 14,377	$ 15,760
Total charge-offs	(345)	(828)	(560)	(1,707)
Total recoveries	846	53	1,055	276
Net recoveries (charge-offs)	501	(775)	495	(1,431)
Provision for loan losses charged to operating expenses:
Total provision	(2,011)	287	(2,011)	287
Allowance at end of period	12,861	14,616	12,861	14,616
Commercial Loans [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Allowance at beginning of period			1,291
Total charge-offs	(166)	0	(166)	(203)
Total recoveries	15	11	39	28
Provision for loan losses charged to operating expenses:
Total provision	24	(126)	125	128
Allowance at end of period	1,289		1,289
Real Estate Mortgage Loans [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Allowance at beginning of period			12,161
Total charge-offs	(179)	(825)	(390)	(1,489)
Total recoveries	813	37	979	237
Provision for loan losses charged to operating expenses:
Total provision	(1,569)	563	(1,780)	241
Allowance at end of period	10,971		10,971
Consumer and Other Loans [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Allowance at beginning of period			925
Total charge-offs	0	(3)	(4)	(15)
Total recoveries	18	5	37	11
Provision for loan losses charged to operating expenses:
Total provision	(466)	$ (150)	(356)	$ (82)
Allowance at end of period	$ 601		$ 601

LOANS AND ALLOWANCE FOR LOAN 27

LOANS AND ALLOWANCE FOR LOAN LOSSES, Summary of Allowance For Credit Losses By Impairment Method (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2013
Allowance for Credit Losses [Abstract]
Allowance for loan losses individually evaluated for impairment	$ 1,978		$ 560
Allowance for loan losses collectively evaluated for impairment	10,883		13,817
Allowance for loan losses, loans acquired with deteriorated credit quality	0		0
Total ending allowance balance	12,861	$ 14,371	14,377	$ 14,616	$ 15,104	$ 15,760
Loans [Abstract]
Loans individually evaluated for impairment	13,211		16,082
Loans collectively evaluated for impairment	360,722		344,581
Loans acquired with deteriorated credit quality	12,302		14,491
Total ending loans balance	386,235		375,154
Commercial Loans [Member]
Allowance for Credit Losses [Abstract]
Allowance for loan losses individually evaluated for impairment	62		21
Allowance for loan losses collectively evaluated for impairment	1,227		1,270
Allowance for loan losses, loans acquired with deteriorated credit quality	0		0
Total ending allowance balance	1,289		1,291
Loans [Abstract]
Loans individually evaluated for impairment	62		21
Loans collectively evaluated for impairment	61,363		57,749
Loans acquired with deteriorated credit quality	112		106
Total ending loans balance	61,537		57,876
Real Estate Mortgage Loans [Member]
Allowance for Credit Losses [Abstract]
Allowance for loan losses individually evaluated for impairment	1,916		539
Allowance for loan losses collectively evaluated for impairment	9,055		11,622
Allowance for loan losses, loans acquired with deteriorated credit quality	0		0
Total ending allowance balance	10,971		12,161
Loans [Abstract]
Loans individually evaluated for impairment	13,124		16,033
Loans collectively evaluated for impairment	297,664		285,371
Loans acquired with deteriorated credit quality	12,190		14,385
Total ending loans balance	322,978		315,789
Consumer and Other Loans [Member]
Allowance for Credit Losses [Abstract]
Allowance for loan losses individually evaluated for impairment	0		0
Allowance for loan losses collectively evaluated for impairment	601		925
Allowance for loan losses, loans acquired with deteriorated credit quality	0		0
Total ending allowance balance	601		925
Loans [Abstract]
Loans individually evaluated for impairment	25		28
Loans collectively evaluated for impairment	1,695		1,461
Loans acquired with deteriorated credit quality	0		0
Total ending loans balance	$ 1,720		$ 1,489

LOANS AND ALLOWANCE FOR LOAN 28

LOANS AND ALLOWANCE FOR LOAN LOSSES, Impaired Financing Receivables (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
With no related allowance recorded [Abstract]
Unpaid Principal Balance	$ 10,833	$ 17,505
Recorded Investment	10,263	14,469
With an allowance recorded [Abstract]
Unpaid Principal Balance	3,031	1,695
Recorded Investment	2,948	1,613
Allowance for Loan Losses Allocated	1,978	560
Total Unpaid Principal Balance	13,864	19,200
Total Recorded Investment	13,211	16,082
Commercial Loans [Member]
With no related allowance recorded [Abstract]
Unpaid Principal Balance	0	0
Recorded Investment	0	0
With an allowance recorded [Abstract]
Unpaid Principal Balance	62	21
Recorded Investment	62	21
Allowance for Loan Losses Allocated	62	21
Real Estate Mortgage Loans [Member] | Residential [Member]
With no related allowance recorded [Abstract]
Unpaid Principal Balance	461	2,288
Recorded Investment	409	2,211
With an allowance recorded [Abstract]
Unpaid Principal Balance	2,170	692
Recorded Investment	2,121	629
Allowance for Loan Losses Allocated	1,549	103
Real Estate Mortgage Loans [Member] | Commercial [Member]
With no related allowance recorded [Abstract]
Unpaid Principal Balance	9,225	14,012
Recorded Investment	8,739	11,104
With an allowance recorded [Abstract]
Unpaid Principal Balance	476	489
Recorded Investment	476	489
Allowance for Loan Losses Allocated	202	214
Real Estate Mortgage Loans [Member] | Construction and Land [Member]
With no related allowance recorded [Abstract]
Unpaid Principal Balance	1,119	1,174
Recorded Investment	1,090	1,126
With an allowance recorded [Abstract]
Unpaid Principal Balance	323	493
Recorded Investment	289	474
Allowance for Loan Losses Allocated	165	222
Consumer and Other Loans [Member]
With no related allowance recorded [Abstract]
Unpaid Principal Balance	28	31
Recorded Investment	25	28
With an allowance recorded [Abstract]
Unpaid Principal Balance	0	0
Recorded Investment	0	0
Allowance for Loan Losses Allocated	$ 0	$ 0

LOANS AND ALLOWANCE FOR LOAN 29

LOANS AND ALLOWANCE FOR LOAN LOSSES, Impaired Financing Receivable Interest Income Recognized (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Average Impaired Financing Receivable Interest Income Recognized [Line Items]
Average Impaired Loans	$ 12,560	$ 25,296	$ 13,394	$ 23,934
Interest Income	263	79	328	164
Cash-Basis	263	97	329	169
Commercial Loans [Member]
Average Impaired Financing Receivable Interest Income Recognized [Line Items]
Average Impaired Loans	118	155	147	272
Interest Income	0	0	0	0
Cash-Basis	0	0	0	0
Real Estate Mortgage Loans [Member] | Residential [Member]
Average Impaired Financing Receivable Interest Income Recognized [Line Items]
Average Impaired Loans	1,273	2,948	1,436	3,504
Interest Income	14	15	21	34
Cash-Basis	14	29	21	42
Real Estate Mortgage Loans [Member] | Commercial [Member]
Average Impaired Financing Receivable Interest Income Recognized [Line Items]
Average Impaired Loans	9,636	16,473	10,239	14,357
Interest Income	240	54	289	109
Cash-Basis	240	57	289	113
Real Estate Mortgage Loans [Member] | Construction and Land [Member]
Average Impaired Financing Receivable Interest Income Recognized [Line Items]
Average Impaired Loans	1,508	5,372	1,546	5,448
Interest Income	9	10	18	21
Cash-Basis	9	11	19	14
Consumer and Other Loans [Member]
Average Impaired Financing Receivable Interest Income Recognized [Line Items]
Average Impaired Loans	25	348	26	353
Interest Income	0	0	0	0
Cash-Basis	$ 0	$ 0	$ 0	$ 0

LOANS AND ALLOWANCE FOR LOAN 30

LOANS AND ALLOWANCE FOR LOAN LOSSES, Nonaccrual Financing Receivables (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Nonaccrual Financing Receivables [Line Items]
Recorded investment in nonaccrual loans	$ 5,877	$ 9,182
Commercial Loans [Member]
Nonaccrual Financing Receivables [Line Items]
Recorded investment in nonaccrual loans	62	21
Real Estate Mortgage Loans [Member] | Residential [Member]
Nonaccrual Financing Receivables [Line Items]
Recorded investment in nonaccrual loans	2,374	1,151
Real Estate Mortgage Loans [Member] | Commercial [Member]
Nonaccrual Financing Receivables [Line Items]
Recorded investment in nonaccrual loans	3,027	7,408
Real Estate Mortgage Loans [Member] | Construction and Land [Member]
Nonaccrual Financing Receivables [Line Items]
Recorded investment in nonaccrual loans	389	574
Consumer and Other Loans [Member]
Nonaccrual Financing Receivables [Line Items]
Recorded investment in nonaccrual loans	$ 25	$ 28

LOANS AND ALLOWANCE FOR LOAN 31

LOANS AND ALLOWANCE FOR LOAN LOSSES, Financing Receivables Past Due (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Past Due Loans	$ 3,037	$ 14,488
Loans Not Past Due	383,198	360,666
Total ending loans balance	386,235	375,154
30-59 Days [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Past Due Loans	840	6,393
60-89 Days [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Past Due Loans	210	2,280
90 Days and Greater [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Past Due Loans	1,987	5,815
Commercial Loans [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Past Due Loans	112	218
Loans Not Past Due	61,425	57,658
Total ending loans balance	61,537	57,876
Commercial Loans [Member] | 30-59 Days [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Past Due Loans	50	218
Commercial Loans [Member] | 60-89 Days [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Past Due Loans	41	0
Commercial Loans [Member] | 90 Days and Greater [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Past Due Loans	21	0
Real Estate Mortgage Loans [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total ending loans balance	322,978	315,789
Real Estate Mortgage Loans [Member] | Residential [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Past Due Loans	1,556	2,134
Loans Not Past Due	68,828	68,868
Total ending loans balance	70,384	71,002
Real Estate Mortgage Loans [Member] | Residential [Member] | 30-59 Days [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Past Due Loans	716	874
Real Estate Mortgage Loans [Member] | Residential [Member] | 60-89 Days [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Past Due Loans	169	579
Real Estate Mortgage Loans [Member] | Residential [Member] | 90 Days and Greater [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Past Due Loans	671	681
Real Estate Mortgage Loans [Member] | Commercial [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Past Due Loans	1,080	11,517
Loans Not Past Due	223,785	210,951
Total ending loans balance	224,865	222,468
Real Estate Mortgage Loans [Member] | Commercial [Member] | 30-59 Days [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Past Due Loans	74	5,032
Real Estate Mortgage Loans [Member] | Commercial [Member] | 60-89 Days [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Past Due Loans	0	1,701
Real Estate Mortgage Loans [Member] | Commercial [Member] | 90 Days and Greater [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Past Due Loans	1,006	4,784
Real Estate Mortgage Loans [Member] | Construction and Land [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Past Due Loans	289	350
Loans Not Past Due	27,440	21,969
Total ending loans balance	27,729	22,319
Real Estate Mortgage Loans [Member] | Construction and Land [Member] | 30-59 Days [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Past Due Loans	0	0
Real Estate Mortgage Loans [Member] | Construction and Land [Member] | 60-89 Days [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Past Due Loans	0	0
Real Estate Mortgage Loans [Member] | Construction and Land [Member] | 90 Days and Greater [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Past Due Loans	289	350
Consumer and Other Loans [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Past Due Loans	0	269
Loans Not Past Due	1,720	1,220
Total ending loans balance	1,720	1,489
Consumer and Other Loans [Member] | 30-59 Days [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Past Due Loans	0	269
Consumer and Other Loans [Member] | 60-89 Days [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Past Due Loans	0	0
Consumer and Other Loans [Member] | 90 Days and Greater [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Past Due Loans	$ 0	$ 0

LOANS AND ALLOWANCE FOR LOAN 32

LOANS AND ALLOWANCE FOR LOAN LOSSES, Troubled Debt Restructuring (Details) $ in Thousands		3 Months Ended		6 Months Ended
		Jun. 30, 2015USD ($)Loan	Jun. 30, 2014USD ($)Loan	Jun. 30, 2015USD ($)Loan	Jun. 30, 2014USD ($)Loan	Dec. 31, 2014USD ($)
Financing Receivable, Modifications [Line Items]
Recorded investment	[1]	$ 10,563		$ 10,563		$ 10,794
Specific reserves allocated	[2]	331		331		372
Total recorded investment in loans modified as TDRs with collateral shortfalls		1,105		1,105		1,285
Specific reserves on loans modified as TDRs with collateral shortfalls		$ 331		$ 331		372
Number of loans | Loan		1	5	1	12
Pre-Modification Outstanding Recorded Investment		$ 1,496	$ 1,154	$ 1,496	$ 4,332
Post-Modification Outstanding Recorded Investment		1,689	1,306	1,689	4,300
Additional outstanding loans modified as TDRs		0		0		$ 0
Charge-offs on loans modified as TDRs		0	61	0	256
Increase in allowance for loan and lease losses due to TDR modification			0		0
Recorded investment of loans that did not meet the definition of a troubled debt restructuring		7,200	6,900	7,200	10,100
Troubled debt restructuring related to payment default within 12 months		$ 0	$ 0	$ 0	$ 0
Collateral Impaired Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of loans | Loan		1	3	1	8
Commercial Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of loans | Loan		0	1	0	1
Pre-Modification Outstanding Recorded Investment		$ 0	$ 62	$ 0	$ 62
Post-Modification Outstanding Recorded Investment		$ 0	$ 62	$ 0	$ 62
Real Estate Mortgage Loans [Member] | Residential [Member]
Financing Receivable, Modifications [Line Items]
Number of loans | Loan		0	1	0	2
Pre-Modification Outstanding Recorded Investment		$ 0	$ 147	$ 0	$ 171
Post-Modification Outstanding Recorded Investment		$ 0	$ 121	$ 0	$ 151
Real Estate Mortgage Loans [Member] | Commercial [Member]
Financing Receivable, Modifications [Line Items]
Number of loans | Loan		1	1	1	6
Pre-Modification Outstanding Recorded Investment		$ 1,496	$ 664	$ 1,496	$ 3,579
Post-Modification Outstanding Recorded Investment		$ 1,689	$ 904	$ 1,689	$ 3,629
Real Estate Mortgage Loans [Member] | Construction and Land [Member]
Financing Receivable, Modifications [Line Items]
Number of loans | Loan		0	2	0	2
Pre-Modification Outstanding Recorded Investment		$ 0	$ 281	$ 0	$ 281
Post-Modification Outstanding Recorded Investment		$ 0	$ 219	$ 0	$ 219
Consumer and Other Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of loans | Loan		0	0	0	1
Pre-Modification Outstanding Recorded Investment		$ 0	$ 0	$ 0	$ 239
Post-Modification Outstanding Recorded Investment		$ 0	$ 0	$ 0	$ 239
[1]	Of the total recorded investment in loans modified as TDRs, $1,105 and $1,285, respectively, were for customers whose loans were collateral dependent with collateral shortfalls.
[2]	Of the specific reserves allocated to customers whose loan terms were modified as TDRs, $331 and $372, respectively, were allocated to customers whose loans were collateral dependent with collateral shortfalls.

LOANS AND ALLOWANCE FOR LOAN 33

LOANS AND ALLOWANCE FOR LOAN LOSSES, Credit Quality Indicator (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Financing Receivable, Recorded Investment [Line Items]
Loans, gross	$ 386,235	$ 375,154
Pass [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans, gross	360,068	342,831
Special Mention [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans, gross	11,270	11,184
Substandard [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans, gross	14,897	21,139
Doubtful [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans, gross	0	0
Commercial Loans [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans, gross	61,537	57,876
Commercial Loans [Member] | Pass [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans, gross	61,135	56,704
Commercial Loans [Member] | Special Mention [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans, gross	77	1,103
Commercial Loans [Member] | Substandard [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans, gross	106	69
Commercial Loans [Member] | Doubtful [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans, gross	0	0
Real Estate Mortgage Loans [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans, gross	322,978	315,789
Real Estate Mortgage Loans [Member] | Residential [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans, gross	70,384	71,002
Real Estate Mortgage Loans [Member] | Residential [Member] | Pass [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans, gross	61,674	61,666
Real Estate Mortgage Loans [Member] | Residential [Member] | Special Mention [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans, gross	4,860	4,717
Real Estate Mortgage Loans [Member] | Residential [Member] | Substandard [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans, gross	3,850	4,619
Real Estate Mortgage Loans [Member] | Residential [Member] | Doubtful [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans, gross	0	0
Real Estate Mortgage Loans [Member] | Commercial [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans, gross	224,865	222,468
Real Estate Mortgage Loans [Member] | Commercial [Member] | Pass [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans, gross	210,100	202,225
Real Estate Mortgage Loans [Member] | Commercial [Member] | Special Mention [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans, gross	4,959	5,278
Real Estate Mortgage Loans [Member] | Commercial [Member] | Substandard [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans, gross	9,806	14,965
Real Estate Mortgage Loans [Member] | Commercial [Member] | Doubtful [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans, gross	0	0
Real Estate Mortgage Loans [Member] | Construction and Land [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans, gross	27,729	22,319
Real Estate Mortgage Loans [Member] | Construction and Land [Member] | Pass [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans, gross	25,261	20,799
Real Estate Mortgage Loans [Member] | Construction and Land [Member] | Special Mention [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans, gross	1,358	62
Real Estate Mortgage Loans [Member] | Construction and Land [Member] | Substandard [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans, gross	1,110	1,458
Real Estate Mortgage Loans [Member] | Construction and Land [Member] | Doubtful [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans, gross	0	0
Consumer and Other Loans [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans, gross	1,720	1,489
Consumer and Other Loans [Member] | Pass [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans, gross	1,679	1,437
Consumer and Other Loans [Member] | Special Mention [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans, gross	16	24
Consumer and Other Loans [Member] | Substandard [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans, gross	25	28
Consumer and Other Loans [Member] | Doubtful [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans, gross	$ 0	$ 0

LOANS AND ALLOWANCE FOR LOAN 34

LOANS AND ALLOWANCE FOR LOAN LOSSES, Acquired With Deteriorated Credit Quality (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Acquired financing receivable recorded investment [Line Items]
Carrying amount	$ 12,302	$ 14,491
Commercial Loans [Member]
Acquired financing receivable recorded investment [Line Items]
Carrying amount	112	106
Real Estate Mortgage Loans [Member]
Acquired financing receivable recorded investment [Line Items]
Carrying amount	12,190	14,385
Consumer and Other Loans [Member]
Acquired financing receivable recorded investment [Line Items]
Carrying amount	0	0
Receivables Acquired with Deteriorated Credit Quality [Member]
Acquired financing receivable recorded investment [Line Items]
Unpaid principal balance	13,662	15,952
Carrying amount	12,302	14,491
Receivables Acquired with Deteriorated Credit Quality [Member] | Commercial Loans [Member]
Acquired financing receivable recorded investment [Line Items]
Unpaid principal balance	147	150
Receivables Acquired with Deteriorated Credit Quality [Member] | Real Estate Mortgage Loans [Member] | Residential [Member]
Acquired financing receivable recorded investment [Line Items]
Unpaid principal balance	2,152	3,625
Receivables Acquired with Deteriorated Credit Quality [Member] | Real Estate Mortgage Loans [Member] | Commercial [Member]
Acquired financing receivable recorded investment [Line Items]
Unpaid principal balance	11,129	11,937
Receivables Acquired with Deteriorated Credit Quality [Member] | Real Estate Mortgage Loans [Member] | Construction and Land [Member]
Acquired financing receivable recorded investment [Line Items]
Unpaid principal balance	234	240
Receivables Acquired with Deteriorated Credit Quality [Member] | Consumer and Other Loans [Member]
Acquired financing receivable recorded investment [Line Items]
Unpaid principal balance	$ 0	$ 0

LOANS AND ALLOWANCE FOR LOAN 35

LOANS AND ALLOWANCE FOR LOAN LOSSES, Accretable Yield Summary (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Summary of Accretable Yield [Roll Forward]
Beginning Balance	$ 6,329	$ 8,993
New loans purchased, including loans classified as held-for-sale	0	0
Accretion of income	(423)	(548)
Reduction for loans sold paid off and other	(28)	(1,619)
Loans charged off	0	(28)
Reclassifications from nonaccretable difference	4	0
Disposals	0	0
Ending Balance	$ 5,882	$ 6,798

REVOLVING LOAN AGREEMENTS (Deta

REVOLVING LOAN AGREEMENTS (Details) - USD ($) $ in Thousands	Jan. 08, 2015	Jun. 30, 2015	Dec. 31, 2014
Line of Credit Facility [Line Items]
Revolving loans, remaining funds available		$ 1,500	$ 2,200
Revolver [Member]
Line of Credit Facility [Line Items]
Revolving loans, remaining funds available			2,200
Revolving loans outstanding			$ 0
Interest rate (in hundredths)		8.00%
Unused evolver fee (in hundredths)		2.00%
Maturity date		Jan. 1, 2015
Castle Creek SSF-D Investors LP [Member]
Line of Credit Facility [Line Items]
Revolving loans outstanding		$ 0
Interest rate (in hundredths)	8.00%
Unused evolver fee (in hundredths)	2.00%
Maturity date	Jan. 7, 2017
Line of credit facility, maximum borrowing capacity	$ 1,500

SHORT-TERM BORROWINGS AND FED37

SHORT-TERM BORROWINGS AND FEDERAL HOME LOAN BANK ADVANCES (Details) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
Total advances from the FHLB and Federal Reserve [Line Items]
Total advances from the FHLB	$ 16,500	$ 17,500
Maximum amount available for advances	55,300	52,000
Amount available for advances at end of period	38,800	34,500
Overnight advances maturing June 30, 2015 [Member]
Total advances from the FHLB and Federal Reserve [Line Items]
Total advances from the FHLB	$ 5,000	0
Interest rate (in hundredths)	0.35%
Advances maturing January 9, 2015 [Member]
Total advances from the FHLB and Federal Reserve [Line Items]
Total advances from the FHLB	$ 0	$ 4,000
Interest rate (in hundredths)	0.88%	0.88%
Due date	January 9, 2015	January 9, 2015
Advances maturing March 2, 2015 [Member]
Total advances from the FHLB and Federal Reserve [Line Items]
Total advances from the FHLB	$ 0	$ 2,000
Interest rate (in hundredths)	0.76%	0.76%
Due date	March 2, 2015	March 2, 2015
Advances maturing July 15, 2016 [Member]
Total advances from the FHLB and Federal Reserve [Line Items]
Total advances from the FHLB	$ 2,500	$ 2,500
Interest rate (in hundredths)	2.81%	2.81%
Due date	July 15, 2016	July 15, 2016
Advances maturing January 9, 2017 [Member]
Total advances from the FHLB and Federal Reserve [Line Items]
Total advances from the FHLB	$ 4,000	$ 4,000
Interest rate (in hundredths)	1.40%	1.40%
Due date	January 9, 2017	January 9, 2017
Advances maturing May 30, 2017 [Member]
Total advances from the FHLB and Federal Reserve [Line Items]
Total advances from the FHLB	$ 5,000	$ 5,000
Interest rate (in hundredths)	1.23%	1.23%
Due date	May 30, 2017	May 30, 2017
Federal Reserve Bank Advances [Member]
Total advances from the FHLB and Federal Reserve [Line Items]
Borrower in custody line of credit with the federal reserve	$ 25,100	$ 24,400

DERIVATIVE FINANCIAL INSTRUME38

DERIVATIVE FINANCIAL INSTRUMENTS (Details) - USD ($) $ in Thousands	Jul. 07, 2009	Jun. 30, 2015	Dec. 31, 2014
Derivative Instruments And Hedging Activities [Line Items]
Subordinated debt issued to Jacksonville Bancorp, Inc. Statutory Trust III	$ 7,600
Interest rate swap transaction, fixed interest rate (in hundredths)	7.53%
Interest rate swap transaction, fixed interest rate, period	10 years
Description of variable rate on subordinated debentures issued to Jacksonville Bancorp, Inc Statutory Trust III	90-day LIBOR plus 375 basis points
Variable rate basis on subordinated debentures issued to Jacksonville Bancorp, Inc Statutory Trust III (in hundredths)	3.75%
Fair value of hedged subordinated debentures issued to Jacksonville Bancorp, Inc. Statutory Trust III		$ 4,900	$ 5,000
Interest Rate Swap [Member]
Derivative Instruments And Hedging Activities [Line Items]
Fair value of derivative instrument with Sun Trust Bank		$ 693,000	$ 725,000

FAIR VALUE (Details)

FAIR VALUE (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
Liabilities [Abstract]
Number of transfers from Level III to Level II in OREO	0
Recurring [Member]
Securities available-for-sale [Abstract]
U.S. government-sponsored entities and agencies	$ 7,318	$ 7,157
State and political subdivisions	6,688	7,060
Mortgage-backed securities - residential	28,974	31,360
Collateralized mortgage obligations	27,672	28,962
Corporate bonds	2,583	3,094
Liabilities [Abstract]
Derivative Liability	693	725
Fair value inter level transfers amount, assets	0	0
Fair value inter level transfers amount, liabilities	0	0
Recurring [Member] | Level I [Member]
Securities available-for-sale [Abstract]
U.S. government-sponsored entities and agencies	0	0
State and political subdivisions	0	0
Mortgage-backed securities - residential	0	0
Collateralized mortgage obligations	0	0
Corporate bonds	0	0
Liabilities [Abstract]
Derivative Liability	0	0
Recurring [Member] | Level II [Member]
Securities available-for-sale [Abstract]
U.S. government-sponsored entities and agencies	7,318	7,157
State and political subdivisions	6,688	7,060
Mortgage-backed securities - residential	28,974	31,360
Collateralized mortgage obligations	27,672	28,962
Corporate bonds	2,583	3,094
Liabilities [Abstract]
Derivative Liability	693	725
Recurring [Member] | Level III [Member]
Securities available-for-sale [Abstract]
U.S. government-sponsored entities and agencies	0	0
State and political subdivisions	0	0
Mortgage-backed securities - residential	0	0
Collateralized mortgage obligations	0	0
Corporate bonds	0	0
Liabilities [Abstract]
Derivative Liability	0	0
Nonrecurring [Member]
Liabilities [Abstract]
Fair Value assets between levels transfers amount non recurring	0	0
Fair value liabilities between levels transfers amount non recurring	0	0
Impaired Loans - (Collateral Dependent) [Abstract]
Residential real estate mortgage loans	548	495
Commercial real estate mortgage loans	202	275
Construction and land real estate mortgage loans	216	252
Other real estate owned [Abstract]
Residential real estate mortgage loans	0	0
Commercial real estate mortgage loans	0	0
Construction and land real estate mortgage loans	3,699	3,773
Assets held for sale	711	786
Nonrecurring [Member] | Level I [Member]
Impaired Loans - (Collateral Dependent) [Abstract]
Residential real estate mortgage loans	0	0
Commercial real estate mortgage loans	0	0
Construction and land real estate mortgage loans	0	0
Other real estate owned [Abstract]
Residential real estate mortgage loans	0	0
Commercial real estate mortgage loans	0	0
Construction and land real estate mortgage loans	0	0
Assets held for sale	0	0
Nonrecurring [Member] | Level II [Member]
Impaired Loans - (Collateral Dependent) [Abstract]
Residential real estate mortgage loans	548	0
Commercial real estate mortgage loans	0	0
Construction and land real estate mortgage loans	109	0
Other real estate owned [Abstract]
Residential real estate mortgage loans	0	0
Commercial real estate mortgage loans	0	0
Construction and land real estate mortgage loans	3,699	0
Assets held for sale	711	786
Nonrecurring [Member] | Level III [Member]
Impaired Loans - (Collateral Dependent) [Abstract]
Residential real estate mortgage loans	0	495
Commercial real estate mortgage loans	202	275
Construction and land real estate mortgage loans	107	252
Other real estate owned [Abstract]
Residential real estate mortgage loans	0	0
Commercial real estate mortgage loans	0	0
Construction and land real estate mortgage loans	0	3,773
Assets held for sale	$ 0	$ 0

FAIR VALUE, Assets Quantitative

FAIR VALUE, Assets Quantitative Information (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Impaired Loans (Collateral Dependent) [Member]
Level 3 assets other disclosures [Abstract]
Outstanding balance	$ 599	$ 6,259	$ 599	$ 6,259
Valuation allowance	290	2,648	290	2,648
Net carrying amount and Fair value	309	3,611	$ 309	3,611
Impaired Loans (Collateral Dependent) [Member] | Minimum [Member]
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Marketability discount (in hundredths)			10.00%		0.00%
Impaired Loans (Collateral Dependent) [Member] | Maximum [Member]
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Marketability discount (in hundredths)			75.00%		20.00%
Impaired Loans (Collateral Dependent) [Member] | Weighted Average [Member]
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Marketability discount (in hundredths)			20.80%		6.20%
Impaired Loans (Collateral Dependent) [Member] | Level III [Member]
Level 3 assets other disclosures [Abstract]
Period expense	101	1,600	$ 227	1,700
Other Real Estate Owned [Member]
Level 3 assets other disclosures [Abstract]
Outstanding balance		3,880		3,880
Valuation allowance		994		994
Net carrying amount and Fair value		2,886		2,886
Other Real Estate Owned [Member] | Minimum [Member]
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Comparability adjustments (in hundredths)					0.00%
Other Real Estate Owned [Member] | Maximum [Member]
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Comparability adjustments (in hundredths)					8.10%
Other Real Estate Owned [Member] | Weighted Average [Member]
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Comparability adjustments (in hundredths)					2.80%
Other Real Estate Owned [Member] | Level III [Member]
Level 3 assets other disclosures [Abstract]
Period expense	$ 0	$ 13	$ 0	$ 36

FAIR VALUE, Balance Sheet Group

FAIR VALUE, Balance Sheet Grouping (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Financial assets [Abstract]
Loans, net	$ 372,838	$ 360,279
Level I [Member]
Financial assets [Abstract]
Cash and cash equivalents	25,868	20,186
Level II [Member]
Financial assets [Abstract]
Cash and cash equivalents	3,687	4,186
Carrying Amount [Member]
Financial assets [Abstract]
Cash and cash equivalents	29,555	24,372
Securities available-for-sale	73,235	77,633
Loans, net	372,838	360,279
Federal Home Loan Bank Stock	1,140	1,243
Accrued interest receivable	1,340	1,464
Financial liabilities [Abstract]
Deposits	426,188	415,756
Federal Home Loan Bank advances and other borrowings	16,617	17,629
Subordinated debentures	16,250	16,218
Accrued interest payable	110	130
Interest rate swap	693	725
Fair Value [Member]
Financial assets [Abstract]
Cash and cash equivalents	29,555	24,372
Securities available-for-sale	73,235	77,633
Loans, net	$ 377,940	$ 366,686
Federal Home Loan Bank Stock
Accrued interest receivable	$ 1,340	$ 1,464
Financial liabilities [Abstract]
Deposits	426,814	416,432
Federal Home Loan Bank advances and other borrowings	16,732	17,743
Subordinated debentures	8,434	8,552
Accrued interest payable	110	130
Interest rate swap	$ 693	$ 725

CAPITAL ADEQUACY (Details)

CAPITAL ADEQUACY (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
CAPITAL ADEQUACY [Abstract]
CET1 capital (to risk weighted assets), required ratio (in hundredths)	4.50%
CET1 capital (to risk weighted assets), required capital conservation buffer ratio (in hundredths)	2.50%
CET1 capital (to risk weighted assets), required ratio upon full implementation (in hundredths)	7.00%
Minimum leverage capital ratio to be adequately capitalized (in hundredths)	8.00%
Minimum Tier 1 risk-based capital ratio to be adequately capitalized (in hundredths)	4.00%
Minimum total risk-based capital ratio to be adequately capitalized (in hundredths)	4.00%
Tier 1 capital (to risk weighted assets), required ratio (in hundredths)	6.00%
Tier 1 capital (to risk weighted assets), required capital conservation buffer ratio (in hundredths)	2.50%
Tier 1 capital (to risk weighted assets), required ratio upon full implementation (in hundredths)	8.50%
Tier 1 plus Tier 2 capital (to risk weighted assets), required ratio (in hundredths)	8.00%
Tier 1 plus Tier 2 capital (to risk weighted assets), required capital conservation buffer ratio (in hundredths)	2.50%
Tier 1 plus Tier 2 capital (to risk weighted assets), required ratio upon full implementation (in hundredths)	10.50%
Maximum leverage capital ratio of Tier 1 capital (in hundredths)	4.00%
Maximum total risk-based capital ratio to be undercapitalized (in hundredths)	8.00%
Maximum Tier 1 risk-based capital ratio to be undercapitalized (in hundredths)	4.00%
Maximum leverage capital ratio to be undercapitalized (in hundredths)	4.00%
Maximum Tier 1 risk-based capital ratio to be significantly undercapitalized (in hundredths)	3.00%
Maximum total risk-based capital ratio to be significantly undercapitalized (in hundredths)	6.00%
Maximum leverage capital ratio to be significantly undercapitalized (in hundredths)	3.00%
Maximum tangible equity to total assets to be critically undercapitalized (in hundredths)	2.00%
CET1 ratio for well-capitalized status (in hundredths)	6.50%
Tier 1 risk-based capital ratio for well-capitalized (in hundredths)	8.00%
Leverage ratio to be well-capitalized (in hundredths)	3.00%
Previous Memorandum of Understanding, Minimum total risk-based capital (in hundredths)	10.00%
Previous Memorandum of Understanding, Minimum Tier 1 leverage capital ratio (in hundredths)	8.00%
Current Memorandum of Understanding, Minimum total risk-based capital (in hundredths)	12.00%
Current Memorandum of Understanding, Minimum Tier 1 leverage capital ratio (in hundredths)	8.00%
To Be Well Capitalized Under Prompt Corrective Action Provision Ratio [Abstract]
Amount available to borrow under line of revolving loan agreements	$ 1,500	$ 2,200
Preceding period for retained net profits to be used to pay dividends by commercial banks	2 years
Consolidated [Member]
Capital Actual Amount Under Regulations [Abstract]
Total capital to risk-weighted assets, actual amount	$ 62,594	57,949
Tier 1 (Core) capital to risk-weighted assets, actual amount	55,075	49,290
Common equity Tier I capital, actual amount	55,075
Tier 1 (Core) capital to average assets, actual amount	$ 55,075	$ 49,290
Capital Actual Ratio [Abstract]
Total capital to risk-weighted assets, actual ratio (in hundredths)	15.69%	15.13%
Tier 1 (Core) capital to risk-weighted assets, actual ratio (in hundredths)	13.81%	12.87%
Common Equity Tier One Risk Based Capital To Risk Weighted Assets	13.81%
Tier 1 (Core) capital to average assets, actual ratio (in hundredths)	11.17%	9.85%
For Capital Adequacy Purposes Amount [Abstract]
Total capital to risk-weighted assets, amount	$ 31,910	$ 30,643
Tier 1 (Core) capital to risk-weighted assets, amount	23,933	15,322
Common Equity Tier 1 Capital assets, amount	17,950
Tier 1 (Core) capital to average assets, amount	$ 19,716	$ 20,014
For Capital Adequacy Purposes Ratio [Abstract]
Total capital to risk-weighted assets, ratio (in hundredths)	8.00%	8.00%
Tier 1 (Core) capital to risk-weighted assets, ratio (in hundredths)	6.00%	4.00%
Common Equity Tier 1 Capital assets, ratio (in hundredths)	4.50%
Tier 1 (Core) capital to average assets, ratio (in hundredths)	4.00%	4.00%
Bank [Member]
Capital Actual Amount Under Regulations [Abstract]
Total capital to risk-weighted assets, actual amount	$ 61,772	$ 56,400
Tier 1 (Core) capital to risk-weighted assets, actual amount	56,691	51,497
Common equity Tier I capital, actual amount	56,691
Tier 1 (Core) capital to average assets, actual amount	$ 56,691	$ 51,497
Capital Actual Ratio [Abstract]
Total capital to risk-weighted assets, actual ratio (in hundredths)	15.50%	14.74%
Tier 1 (Core) capital to risk-weighted assets, actual ratio (in hundredths)	14.22%	13.45%
Common Equity Tier One Risk Based Capital To Risk Weighted Assets	14.22%
Tier 1 (Core) capital to average assets, actual ratio (in hundredths)	11.52%	10.31%
For Capital Adequacy Purposes Amount [Abstract]
Total capital to risk-weighted assets, amount	$ 31,891	$ 30,619
Tier 1 (Core) capital to risk-weighted assets, amount	23,918	15,310
Common Equity Tier 1 Capital assets, amount	17,939
Tier 1 (Core) capital to average assets, amount	$ 19,688	$ 19,980
For Capital Adequacy Purposes Ratio [Abstract]
Total capital to risk-weighted assets, ratio (in hundredths)	8.00%	8.00%
Tier 1 (Core) capital to risk-weighted assets, ratio (in hundredths)	6.00%	4.00%
Common Equity Tier 1 Capital assets, ratio (in hundredths)	4.50%
Tier 1 (Core) capital to average assets, ratio (in hundredths)	4.00%	4.00%
To Be Well Capitalized Under Prompt Corrective Action Provision Amount [Abstract]
Total capital to risk-weighted assets, amount	$ 39,864	$ 38,274
Tier 1 (Core) capital to risk-weighted assets, amount	31,891	22,964
Common Equity Tier 1 risk based capital required to be well capitalized	25,912
Tier 1 (Core) capital to average assets, amount	$ 24,611	$ 24,975
To Be Well Capitalized Under Prompt Corrective Action Provision Ratio [Abstract]
Total capital to risk-weighted assets, ratio (in hundredths)	10.00%	10.00%
Tier 1 (Core) capital to risk-weighted assets, ratio (in hundredths)	8.00%	6.00%
Well capitalized ratios, Common Equity Tier 1 Capital (in hundredths)	6.50%
Tier 1 (Core) capital to average assets, ratio (in hundredths)	5.00%	5.00%