Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2017 | Oct. 31, 2017 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | FARMERS & MERCHANTS BANCORP | |
Entity Central Index Key | 1,085,913 | |
Current Fiscal Year End Date | --12-31 | |
Entity Well-known Seasoned Issuer | No | |
Entity Voluntary Filers | No | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 812,304 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q3 | |
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2017 |
Consolidated Balance Sheets (Un
Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 | Sep. 30, 2016 |
Cash and Cash Equivalents: | |||
Cash and Due from Banks | $ 44,166 | $ 54,896 | $ 56,376 |
Interest Bearing Deposits with Banks | 149,104 | 43,964 | 42,927 |
Total Cash and Cash Equivalents | 193,270 | 98,860 | 99,303 |
Investment Securities: | |||
Available-for-Sale | 456,323 | 448,263 | 358,857 |
Held-to-Maturity | 55,542 | 58,109 | 58,905 |
Total Investment Securities | 511,865 | 506,372 | 417,762 |
Loans & Leases: | 2,216,779 | 2,177,601 | 2,079,670 |
Less: Allowance for Credit Losses | 50,744 | 47,919 | 44,446 |
Loans & Leases, Net | 2,166,035 | 2,129,682 | 2,035,224 |
Premises and Equipment, Net | 28,734 | 29,229 | 26,058 |
Bank Owned Life Insurance | 59,128 | 57,761 | 57,320 |
Interest Receivable and Other Assets | 112,743 | 100,217 | 91,899 |
Total Assets | 3,071,775 | 2,922,121 | 2,727,566 |
Deposits: | |||
Demand | 767,162 | 756,236 | 672,351 |
Interest Bearing Transaction | 564,904 | 495,063 | 433,220 |
Savings and Money Market | 827,588 | 760,119 | 702,441 |
Time | 549,773 | 570,293 | 547,625 |
Total Deposits | 2,709,427 | 2,581,711 | 2,355,637 |
Subordinated Debentures | 10,310 | 10,310 | 10,310 |
Interest Payable and Other Liabilities | 49,409 | 50,119 | 89,221 |
Total Liabilities | 2,769,146 | 2,642,140 | 2,455,168 |
Shareholders' Equity | |||
Preferred Stock: No Par Value, 1,000,000 Shares Authorized, None Issued or Outstanding | 0 | 0 | 0 |
Common Stock: Par Value $0.01, 7,500,000 Shares Authorized, 812,304, 807,329 and 792,387 Shares Issued and Outstanding at September 30, 2017, December 31, 2016 and September 30, 2016, Respectively | 8 | 8 | 8 |
Additional Paid-In Capital | 93,624 | 90,671 | 82,004 |
Retained Earnings | 208,443 | 189,313 | 186,920 |
Accumulated Other Comprehensive (Loss) Income | 554 | (11) | 3,466 |
Total Shareholders' Equity | 302,629 | 279,981 | 272,398 |
Total Liabilities and Shareholders' Equity | $ 3,071,775 | $ 2,922,121 | $ 2,727,566 |
Consolidated Balance Sheets (U3
Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares | Sep. 30, 2017 | Dec. 31, 2016 | Sep. 30, 2016 |
Shareholders' Equity | |||
Preferred Stock, par value (in dollars per share) | $ 0 | $ 0 | $ 0 |
Preferred Stock, shares authorized (in shares) | 1,000,000 | 1,000,000 | 1,000,000 |
Preferred Stock, shares issued (in shares) | 0 | 0 | 0 |
Preferred Stock, shares outstanding (in shares) | 0 | 0 | 0 |
Common Stock, par value (in dollars per share) | $ 0.01 | $ 0.01 | $ 0.01 |
Common Stock, shares authorized (in shares) | 7,500,000 | 7,500,000 | 7,500,000 |
Common Stock, shares issued (in shares) | 812,304 | 807,329 | 792,387 |
Common Stock, shares outstanding (in shares) | 812,304 | 807,329 | 792,387 |
Consolidated Statements of Inco
Consolidated Statements of Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Interest Income | ||||
Interest and Fees on Loans & Leases | $ 26,491 | $ 23,523 | $ 76,270 | $ 67,909 |
Interest on Deposits with Banks | 648 | 51 | 1,155 | 133 |
Interest on Investment Securities: | ||||
Taxable | 2,038 | 1,210 | 6,174 | 4,113 |
Exempt from Federal Tax | 432 | 478 | 1,321 | 1,447 |
Total Interest Income | 29,609 | 25,262 | 84,920 | 73,602 |
Interest Expense | ||||
Deposits | 1,644 | 1,004 | 4,353 | 2,691 |
Borrowed Funds | 0 | 14 | 0 | 18 |
Subordinated Debentures | 115 | 92 | 320 | 272 |
Total Interest Expense | 1,759 | 1,110 | 4,673 | 2,981 |
Net Interest Income | 27,850 | 24,152 | 80,247 | 70,621 |
Provision for Credit Losses | 1,600 | 250 | 2,850 | 2,850 |
Net Interest Income After Provision for Credit Losses | 26,250 | 23,902 | 77,397 | 67,771 |
Non-Interest Income | ||||
Service Charges on Deposit Accounts | 897 | 877 | 2,591 | 2,517 |
Net Gain (Loss) on Sale of Investment Securities | 0 | 3 | 131 | (286) |
Increase in Cash Surrender Value of Life Insurance | 458 | 474 | 1,367 | 1,422 |
Debit Card and ATM Fees | 990 | 847 | 2,877 | 2,540 |
Net Gain on Deferred Compensation Investments | 510 | 1,630 | 1,703 | 1,969 |
Other | 783 | 722 | 3,914 | 1,987 |
Total Non-Interest Income | 3,638 | 4,553 | 12,583 | 10,149 |
Non-Interest Expense | ||||
Salaries and Employee Benefits | 10,809 | 10,272 | 34,751 | 32,061 |
Net Gain on Deferred Compensation Investments | 510 | 1,630 | 1,703 | 1,969 |
Occupancy | 864 | 786 | 2,580 | 2,240 |
Equipment | 957 | 853 | 2,970 | 2,552 |
Marketing | 329 | 267 | 867 | 929 |
FDIC | 233 | 320 | 694 | 960 |
Gain on Sale of ORE | 0 | 0 | (414) | (5,941) |
Other | 2,605 | 2,286 | 8,103 | 8,400 |
Total Non-Interest Expense | 16,307 | 16,414 | 51,254 | 43,170 |
Income Before Income Taxes | 13,581 | 12,041 | 38,726 | 34,750 |
Provision for Income Taxes | 5,000 | 4,503 | 14,137 | 12,708 |
Net Income | $ 8,581 | $ 7,538 | $ 24,589 | $ 22,042 |
Basic Earnings Per Common Share (in dollars per share) | $ 10.59 | $ 9.51 | $ 30.39 | $ 27.82 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Consolidated Statements of Comprehensive Income (Unaudited) [Abstract] | ||||
Net Income | $ 8,581 | $ 7,538 | $ 24,589 | $ 22,042 |
Other Comprehensive Income | ||||
Change in Net Unrealized Gains (Loss) on Available-for-Sale Securities | 322 | (709) | 1,106 | 4,667 |
Deferred Tax (Benefit) Expense Related to Unrealized Gains | (135) | 299 | (465) | (1,962) |
Reclassification Adjustment for Realized (Gain) Loss on Available-for-Sale Securities Included in Net Income | 0 | (3) | (131) | 286 |
Deferred Tax (Benefit) Expense Related to Reclassification Adjustment | 0 | (409) | 55 | (120) |
Change in Net Unrealized Gains on Available-for-Sale Securities, Net of Tax | 187 | (822) | 565 | 2,871 |
Total Other Comprehensive Income (Loss) | 187 | (822) | 565 | 2,871 |
Comprehensive Income | $ 8,768 | $ 6,716 | $ 25,154 | $ 24,913 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders' Equity (Unaudited) - USD ($) $ in Thousands | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income, Net [Member] | Total |
Balance at Dec. 31, 2015 | $ 8 | $ 81,164 | $ 170,068 | $ 595 | $ 251,835 |
Balance (in shares) at Dec. 31, 2015 | 790,787 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net Income | $ 0 | 0 | 22,042 | 0 | 22,042 |
Cash Dividends Declared on Common Stock | 0 | 0 | (5,190) | 0 | (5,190) |
Issuance of Common Stock | $ 0 | 840 | 0 | 0 | 840 |
Issuance of Common Stock (in shares) | 1,600 | ||||
Change in Net Unrealized Gain on Securities Available-for-Sale, Net of Tax | $ 0 | 0 | 0 | 2,871 | 2,871 |
Balance at Sep. 30, 2016 | $ 8 | 82,004 | 186,920 | 3,466 | $ 272,398 |
Balance (in shares) at Sep. 30, 2016 | 792,387 | 792,387 | |||
Balance at Dec. 31, 2016 | $ 8 | 90,671 | 189,313 | (11) | $ 279,981 |
Balance (in shares) at Dec. 31, 2016 | 807,329 | 807,329 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net Income | 0 | 24,589 | 0 | $ 24,589 | |
Cash Dividends Declared on Common Stock | $ 0 | 0 | (5,459) | 0 | (5,459) |
Issuance of Common Stock | $ 0 | 2,953 | 0 | 0 | 2,953 |
Issuance of Common Stock (in shares) | 4,975 | ||||
Change in Net Unrealized Gain on Securities Available-for-Sale, Net of Tax | $ 0 | 0 | 0 | 565 | 565 |
Balance at Sep. 30, 2017 | $ 8 | $ 93,624 | $ 208,443 | $ 554 | $ 302,629 |
Balance (in shares) at Sep. 30, 2017 | 812,304 | 812,304 |
Consolidated Statements of Cha7
Consolidated Statements of Changes in Shareholders' Equity (Unaudited) (Parenthetical) - $ / shares | 9 Months Ended | |
Sep. 30, 2017 | Sep. 30, 2016 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Cash Dividends Declared per Share of Common Stock (in dollars per share) | $ 6.75 | $ 6.55 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2017 | Sep. 30, 2016 | |
Operating Activities: | ||
Net Income | $ 24,589 | $ 22,042 |
Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities: | ||
Provision for Credit Losses | 2,850 | 2,850 |
Depreciation and Amortization | 1,595 | 1,425 |
Net Amortization of Investment Security Premiums & Discounts | 1,097 | 1,104 |
Amortization of Core Deposit Intangible | 82 | 0 |
Accretion of Discount on Acquired Loans | (163) | 0 |
Net (Gain) Loss on Sale of Investment Securities | (131) | 286 |
Net (Gain) Loss on Sale of Property & Equipment | (1,189) | 4 |
Net Gain on Sale of Other Real Estate | (414) | (5,941) |
Net Change in Operating Assets & Liabilities: | ||
Net Increase in Interest Receivable and Other Assets | (2,315) | (3,821) |
Net (Decrease) Increase in Interest Payable and Other Liabilities | 107 | 2,890 |
Net Cash Used in Operating Activities | 26,108 | 20,839 |
Investing Activities: | ||
Purchase of Investment Securities Available-for-Sale | (208,985) | (288,874) |
Proceeds from Sold, Matured or Called Securities Available-for-Sale | 201,001 | 314,726 |
Purchase of Investment Securities Held-to-Maturity | (1,070) | (1,807) |
Proceeds from Matured or Called Securities Held-to-Maturity | 3,592 | 4,260 |
Net Loans & Leases Paid, Originated or Acquired | (39,245) | (83,440) |
Principal Collected on Loans & Leases Previously Charged Off | 205 | 202 |
Additions to Premises and Equipment | (3,215) | (912) |
Purchase of Other Investments | (12,728) | (6,334) |
Proceeds from Sale of Property & Equipment | 3,304 | 0 |
Proceeds from Sale of Other Real Estate | 3,186 | 8,282 |
Net Cash Used in Investing Activities | (53,955) | (53,897) |
Financing Activities: | ||
Net Increase in Deposits | 127,716 | 78,105 |
Cash Dividends | (5,459) | (5,190) |
Net Cash Provided by Financing Activities | 122,257 | 72,915 |
Increase in Cash and Cash Equivalents | 94,410 | 39,857 |
Cash and Cash Equivalents at Beginning of Period | 98,860 | 59,446 |
Cash and Cash Equivalents at End of Period | 193,270 | 99,303 |
Supplementary Data | ||
Loans Transferred to Foreclosed Assets (ORE) | 0 | 538 |
Cash Payments Made for Income Taxes | 13,142 | 9,591 |
Issuance of Common Stock to the Bank's Non-Qualified Retirement Plans | 2,953 | 840 |
Interest Paid | $ 4,586 | $ 2,813 |
Significant Accounting Policies
Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2017 | |
Significant Accounting Policies [Abstract] | |
Significant Accounting Policies | 1. Significant Accounting Policies Farmers & Merchants Bancorp (the “Company”) was organized March 10, 1999. Primary operations are related to traditional banking activities through its subsidiary Farmers & Merchants Bank of Central California (the “Bank”) which was established in 1916. The Bank’s wholly owned subsidiaries include Farmers & Merchants Investment Corporation and Farmers/Merchants Corp. Farmers & Merchants Investment Corporation has been dormant since 1991. Farmers/Merchants Corp. acts as trustee on deeds of trust originated by the Bank. The Company’s other subsidiaries include F & M Bancorp, Inc. and FMCB Statutory Trust I. F & M Bancorp, Inc. was created in March 2002 to protect the name F & M Bank. During 2002, the Company completed a fictitious name filing in California to begin using the streamlined name “F & M Bank” as part of a larger effort to enhance the Company’s image and build brand name recognition. In December 2003, the Company formed a wholly owned subsidiary, FMCB Statutory Trust I, for the sole purpose of issuing Trust Preferred Securities and related subordinated debentures, in accordance with generally accepted accounting principles in the United States (“U.S. GAAP”). FMCB Statutory Trust I is a non-consolidated subsidiary. On November 18, 2016, Farmers & Merchants Bancorp completed the acquisition of Delta National Bancorp, headquartered in Manteca, California, and the parent holding company for Delta Bank N.A., a locally owned and operated community bank established in 1973. As of the acquisition date, Delta National Bancorp had approximately $112 million in assets and four branch locations in the communities of Manteca, Riverbank, Modesto and Turlock. At the effective time of the acquisition, Delta National Bancorp was merged into Farmers & Merchants Bancorp and Delta Bank, N.A. was merged into Farmers & Merchants Bank of Central California. The accounting and reporting policies of the Company conform to U.S. GAAP and prevailing practice within the banking industry. The following is a summary of the significant accounting and reporting policies used in preparing the consolidated financial statements. Basis of Presentation The accompanying consolidated financial statements and notes thereto have been prepared in accordance with accounting principles generally accepted in the United States of America for financial information. These statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) for interim reporting on Form 10-Q. Accordingly, certain disclosures normally presented in the notes to the annual consolidated financial statements prepared in accordance with U.S. GAAP have been omitted. These interim financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2016. The results of operations for the three-month and nine-month periods ended September 30, 2017 may not necessarily be indicative of future operating results. The accompanying consolidated financial statements include the accounts of the Company and the Company’s wholly owned subsidiaries, F & M Bancorp, Inc. and the Bank, along with the Bank’s wholly owned subsidiaries, Farmers & Merchants Investment Corporation and Farmers/Merchants Corp. Significant inter-company transactions have been eliminated in consolidation. The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions. These estimates and assumptions affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from these estimates. Certain amounts in the prior years' financial statements and related footnote disclosures have been reclassified to conform to the current-year presentation. These reclassifications had no effect on previously reported net income or total shareholders’ equity. Cash and Cash Equivalents For purposes of the Consolidated Statements of Cash Flows, the Company has defined cash and cash equivalents as those amounts included in the balance sheet captions Cash and Due from Banks, Interest Bearing Deposits with Banks, Federal Funds Sold and Securities Purchased Under Agreements to Resell. For these instruments, the carrying amount is a reasonable estimate of fair value. Investment Securities Investment securities are classified at the time of purchase as held-to-maturity (“HTM”) if it is management’s intent and the Company has the ability to hold the securities until maturity. These securities are carried at cost, adjusted for amortization of premium and accretion of discount using a level yield of interest over the estimated remaining period until maturity. Losses, reflecting a decline in value judged by the Company to be other than temporary, are recognized in the period in which they occur. Securities are classified as available-for-sale (“AFS”) if it is management’s intent, at the time of purchase, to hold the securities for an indefinite period of time and/or to use the securities as part of the Company’s asset/liability management strategy. These securities are reported at fair value with aggregate unrealized gains or losses excluded from income and included as a separate component of shareholders’ equity, net of related income taxes. Fair values are based on quoted market prices or broker/dealer price quotations on a specific identification basis. Gains or losses on the sale of these securities are computed using the specific identification method. Trading securities, if any, are acquired for short-term appreciation and are recorded in a trading portfolio and are carried at fair value, with unrealized gains and losses recorded in non-interest income. Management evaluates securities for other-than-temporary impairment (“OTTI”) on at least a quarterly basis, and more frequently when economic or market conditions warrant such an evaluation. For securities in an unrealized loss position, management considers the extent and duration of the unrealized loss, and the financial condition and near-term prospects of the issuer. Management also assesses whether it intends to sell, or it is more likely than not that it will be required to sell, a security in an unrealized loss position before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the entire difference between amortized cost and fair value is recognized as impairment through earnings. For debt securities that do not meet the aforementioned criteria, the amount of impairment is split into two components as follows: (1) OTTI related to credit loss, which must be recognized in the income statement; and (2) OTTI related to other factors, which is recognized in other comprehensive income. The credit loss is defined as the difference between the present value of the cash flows expected to be collected and the amortized cost basis. For equity securities, the entire amount of impairment is recognized through earnings. Loans & Leases Loans & leases are reported at the principal amount outstanding net of unearned discounts and deferred loan & lease fees and costs. Interest income on loans & leases is accrued daily on the outstanding balances using the simple interest method. Loan & lease origination fees are deferred and recognized over the contractual life of the loan or lease as an adjustment to the yield. Loans & leases are placed on non-accrual status when the collection of principal or interest is in doubt or when they become past due for 90 days or more unless they are both well-secured and in the process of collection. For this purpose, a loan or lease is considered well secured if it is collateralized by property having a net realizable value in excess of the amount of the loan or lease or is guaranteed by a financially capable party. When a loan or lease is placed on non-accrual status, the accrued and unpaid interest receivable is reversed and charged against current income; thereafter, interest income is recognized only as it is collected in cash. Additionally, cash would be applied to principal if all principal was not expected to be collected. Loans & leases placed on non-accrual status are returned to accrual status when the loans or leases are paid current as to principal, interest, and future payments are expected to be made in accordance with the contractual terms of the loan or lease. A loan or lease is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect all amounts due, including principal and interest, according to the contractual terms of the original agreement. Impaired loans & leases are either: (1) non-accrual loans & leases; or (2) restructured loans & leases that are still accruing interest. Loans or leases determined to be impaired are individually evaluated for impairment. When a loan or lease is impaired, the Company measures impairment based on the present value of expected future cash flows discounted at the loan or lease's effective interest rate, except that as a practical expedient, it may measure impairment based on a loan or lease's observable market price, or the fair value of the collateral if the loan or lease is collateral dependent. A loan or lease is collateral dependent if the repayment of the loan or lease is expected to be provided solely by the underlying collateral. A restructuring of a loan or lease constitutes a troubled debt restructuring (TDR) if the Company for economic or legal reasons related to the borrower’s (the term “borrower” is used herein to describe a customer who has entered into either a loan or lease transaction) financial difficulties grants a concession to the borrower that it would not otherwise consider. Restructured loans & leases typically present an elevated level of credit risk, as the borrowers are not able to perform according to the original contractual terms. If the restructured loan or lease was current on all payments at the time of restructure and management reasonably expects the borrower will continue to perform after the restructure, management may keep the loan or lease on accrual. Loans & leases that are on nonaccrual status at the time they become TDR, remain on nonaccrual status until the borrower demonstrates a sustained period of performance, which the Company generally believes to be six consecutive months of payments, or equivalent. A loan or lease can be removed from TDR status if it was restructured at a market rate in a prior calendar year and is currently in compliance with its modified terms. However, these loans or leases continue to be classified as impaired and are individually evaluated for impairment as described above. Generally, the Company will not restructure loans or leases for borrowers unless: (1) the existing loan or lease is brought current as to principal and interest payments; and (2) the restructured loan or lease can be underwritten to reasonable underwriting standards. If these standards are not met other actions will be pursued (e.g., foreclosure) to collect outstanding loan or lease amounts. After restructure, a determination is made whether the loan or lease will be kept on accrual status based upon the underwriting and historical performance of the restructured credit. Allowance for Credit Losses The allowance for credit losses is an estimate of probable incurred credit losses inherent in the Company's loan & lease portfolio as of the balance sheet date. The allowance is established through a provision for credit losses, which is charged to expense. Additions to the allowance are expected to maintain the adequacy of the total allowance after credit losses and loan & lease growth. Credit exposures determined to be uncollectible are charged against the allowance. Cash received on previously charged off amounts is recorded as a recovery to the allowance. The overall allowance consists of three primary components: specific reserves related to impaired loans & leases; general reserves for inherent losses related to loans & leases that are not impaired; and an unallocated component that takes into account the imprecision in estimating and allocating allowance balances associated with macro factors. The determination of the general reserve for loans & leases that are collectively evaluated for impairment is based on estimates made by management, to include, but not limited to, consideration of historical losses by portfolio segment, internal asset classifications, qualitative factors that include economic trends in the Company's service areas, industry experience and trends, geographic concentrations, estimated collateral values, the Company's underwriting policies, the character of the loan & lease portfolio, and probable losses inherent in the portfolio taken as a whole. The Company maintains a separate allowance for each portfolio segment (loan & lease type). These portfolio segments include: (1) commercial real estate; (2) agricultural real estate; (3) real estate construction (including land and development loans); (4) residential 1 st The Company assigns a risk rating to all loans & leases and periodically performs detailed reviews of all such loans & leases over a certain threshold to identify credit risks and assess overall collectability. For smaller balance loans & leases, such as consumer and residential real estate, a credit grade is established at inception, and then updated only when the loan or lease becomes contractually delinquent or when the borrower requests a modification. For larger balance loans, management monitors and analyzes the financial condition of borrowers and guarantors, trends in the industries in which borrowers operate and the fair values of collateral securing these loans & leases. These credit quality indicators are used to assign a risk rating to each individual loan or lease. These risk ratings are also subject to examination by independent specialists engaged by the Company. The risk ratings can be grouped into five major categories, defined as follows: Pass – A pass loan or lease is a strong credit with no existing or known potential weaknesses deserving of management's close attention. Special Mention – A special mention loan or lease has potential weaknesses that deserve management's close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or lease or in the Company's credit position at some future date. Special mention loans & leases are not adversely classified and do not expose the Company to sufficient risk to warrant adverse classification. Substandard – A substandard loan or lease is not adequately protected by the current financial condition and paying capacity of the borrower or the value of the collateral pledged, if any. Loans or leases classified as substandard have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. Well-defined weaknesses include a project's lack of marketability, inadequate cash flow or collateral support, failure to complete construction on time or the project's failure to fulfill economic expectations. Doubtful – Loss – Loans or leases classified as loss are considered uncollectible. Once a loan or lease becomes delinquent and repayment becomes questionable, the Company will address collateral shortfalls with the borrower and attempt to obtain additional collateral. If this is not forthcoming and payment in full is unlikely, the Company will estimate its probable loss and immediately charge-off some or all of the balance. The general reserve component of the allowance for credit losses also consists of reserve factors that are based on management's assessment of the following for each portfolio segment: (1) inherent credit risk; (2) historical losses; and (3) other qualitative factors. These reserve factors are inherently subjective and are driven by the repayment risk associated with each portfolio segment described below: Commercial Real Estate – Commercial real estate mortgage loans are generally considered to possess a higher inherent risk of loss than the Company’s commercial, agricultural and consumer loan types. Adverse economic developments or an overbuilt market impact commercial real estate projects and may result in troubled loans. Trends in vacancy rates of commercial properties impact the credit quality of these loans. High vacancy rates reduce operating revenues and the ability for properties to produce sufficient cash flow to service debt obligations. Real Estate Construction – Real estate construction loans, including land loans, are generally considered to possess a higher inherent risk of loss than the Company’s commercial, agricultural and consumer loan types. A major risk arises from the necessity to complete projects within specified cost and time lines. Trends in the construction industry significantly impact the credit quality of these loans, as demand drives construction activity. In addition, trends in real estate values significantly impact the credit quality of these loans, as property values determine the economic viability of construction projects. Commercial – These loans are generally considered to possess a moderate inherent risk of loss because they are shorter-term; typically made to relationship customers; generally underwritten to existing cash flows of operating businesses; and may be collateralized by fixed assets, inventory and/or accounts receivable. Debt coverage is provided by business cash flows and economic trends influenced by unemployment rates and other key economic indicators are closely correlated to the credit quality of these loans. Agricultural Real Estate and Agricultural – These loans are generally considered to possess a moderate inherent risk of loss since they are typically made to relationship customers and are secured by crop production, livestock and related real estate. These loans are vulnerable to two risk factors that are largely outside the control of Company and borrowers: commodity prices and weather conditions. Leases – Equipment leases are generally considered to possess a moderate inherent risk of loss. As lessor, the Company is subject to both the credit risk of the borrower and the residual value risk of the equipment. Credit risks are underwritten using the same credit criteria the Company would use when making an equipment term loan. Residual value risk is managed through the use of qualified, independent appraisers that establish the residual values the Company uses in structuring a lease. Residential 1st Mortgages and Home Equity Lines and Loans – These loans are generally considered to possess a low inherent risk of loss, although this is not always true as evidenced by the correction in residential real estate values that occurred between 2007 and 2012. The degree of risk in residential real estate lending depends primarily on the loan amount in relation to collateral value, the interest rate and the borrower's ability to repay in an orderly fashion. Economic trends determined by unemployment rates and other key economic indicators are closely correlated to the credit quality of these loans. Weak economic trends indicate that the borrowers' capacity to repay their obligations may be deteriorating. Consumer & Other – A consumer installment loan portfolio is usually comprised of a large number of small loans scheduled to be amortized over a specific period. Most installment loans are made for consumer purchases. Economic trends determined by unemployment rates and other key economic indicators are closely correlated to the credit quality of these loans. Weak economic trends indicate that the borrowers' capacity to repay their obligations may be deteriorating. At least quarterly, the Board of Directors reviews the adequacy of the allowance, including consideration of the relative risks in the portfolio, current economic conditions and other factors. If the Board of Directors and management determine that changes are warranted based on those reviews, the allowance is adjusted. In addition, the Company's and Bank's regulators, including the Federal Reserve Board (“FRB”), the California Department of Business Oversight (“DBO”) and the Federal Deposit Insurance Corporation (“FDIC”), as an integral part of their examination process, review the adequacy of the allowance. These regulatory agencies may require additions to the allowance based on their judgment about information available at the time of their examinations. Acquired Loans Loans acquired through purchase or through a business combination are recorded at their fair value at the acquisition date. Credit discounts, which reflect estimates of credit losses, expected to be incurred over the life of the loan, are included in the determination of fair value; therefore, an allowance for loan losses is not recorded at the acquisition date. Allowance for Credit Losses on Off-Balance-Sheet Credit Exposures The Company also maintains a separate allowance for off-balance-sheet commitments. Management estimates anticipated losses using historical data and utilization assumptions. The allowance for off-balance-sheet commitments is included in Interest Payable and Other Liabilities on the Company’s Consolidated Balance Sheet. Premises and Equipment Premises, equipment, and leasehold improvements are stated at cost, less accumulated depreciation and amortization. Depreciation is computed principally by the straight-line method over the estimated useful lives of the assets. Estimated useful lives of buildings range from 30 to 40 years, and for furniture and equipment from 3 to 7 years. Leasehold improvements are amortized over the lesser of the terms of the respective leases, or their useful lives, which are generally 5 to 10 years. Remodeling and capital improvements are capitalized while maintenance and repairs are charged directly to occupancy expense. Other Real Estate Other real estate, which is included in other assets, is expected to be sold and is comprised of properties no longer utilized for business operations and property acquired through foreclosure in satisfaction of indebtedness. These properties are recorded at fair value less estimated selling costs upon acquisition. Revised estimates to the fair value less cost to sell are reported as adjustments to the carrying amount of the asset, provided that such adjusted value is not in excess of the carrying amount at acquisition. Initial losses on properties acquired through full or partial satisfaction of debt are treated as credit losses and charged to the allowance for credit losses at the time of acquisition. Subsequent declines in value from the recorded amounts, routine holding costs, and gains or losses upon disposition, if any, are included in non-interest expense as incurred. Income Taxes The Company uses the liability method of accounting for income taxes. This method results in the recognition of deferred tax assets and liabilities that are reflected at currently enacted income tax rates applicable to the period in which the deferred tax assets or liabilities are expected to be realized or settled. As changes in tax laws or rates are enacted, deferred tax assets and liabilities are adjusted through the provision for income taxes. The deferred provision for income taxes is the result of the net change in the deferred tax asset and deferred tax liability balances during the year. This amount combined with the current taxes payable or refundable results in the income tax expense for the current year. The Company follows the standards set forth in the “Income Taxes” topic of the Financial Accounting Standards Board (“FASB”) Accounting Standard Codification (“ASC”), which clarifies the accounting for uncertainty in income taxes recognized in an enterprise’s financial statements. This standard prescribes a recognition threshold and measurement standard for the financial statement recognition and measurement of an income tax position taken or expected to be taken in a tax return. It also provides guidance on derecognition, classification, interest and penalties, accounting in interim periods, disclosure, and transition. The Company accounts for leases with Investment Tax Credits (ITC) under the deferred method as established in ASC 740-10. ITC are viewed and accounted for as a reduction of the cost of the related assets and presented as deferred income on the Company’s financial statement. When tax returns are filed, it is certain that some positions taken would be sustained upon examination by the taxing authorities, while others are subject to uncertainty about the merits of the position taken or the amount of the position that would be ultimately sustained. The benefit of a tax position is recognized in the financial statements in the period during which, based on all available evidence, management believes it is more likely than not that the position will be sustained upon examination, including the resolution of appeals or litigation processes, if any. Tax positions taken are not offset or aggregated with other positions. Tax positions that meet the more-likely-than-not recognition threshold are measured as the largest amount of tax benefit that is more than 50 percent likely of being realized upon settlement with the applicable taxing authority. The portion of the benefits associated with tax positions taken that exceeds the amount measured as described above is reflected as a liability for unrecognized tax benefits in the accompanying consolidated balance sheet along with any associated interest and penalties that would be payable to the taxing authorities upon examination. Interest expense and penalties associated with unrecognized tax benefits, if any, are included in the provision for income taxes in the Consolidated Statements of Income. Basic Earnings Per Common Share The Company’s common stock is not traded on any exchange. The shares are primarily held by local residents and are not actively traded. Basic earnings per common share amounts are computed by dividing net income by the weighted average number of common shares outstanding for the period. There are no common stock equivalent shares. Therefore, there is no presentation of diluted basic earnings per common share. See Note 6 for additional information. Segment Reporting The “Segment Reporting” topic of the FASB ASC requires that public companies report certain information about operating segments. It also requires that public companies report certain information about their products and services, the geographic areas in which they operate, and their major customers. The Company is a holding company for a community bank, which offers a wide array of products and services to its customers. Pursuant to its banking strategy, emphasis is placed on building relationships with its customers, as opposed to building specific lines of business. As a result, the Company is not organized around discernible lines of business and prefers to work as an integrated unit to customize solutions for its customers, with business line emphasis and product offerings changing over time as needs and demands change. Therefore, the Company only reports one segment. Low Income Housing Tax Credit Investments (LIHTC) The Company accounts for its interest in LIHTC using the cost method as established in ASC 323-740. As an investor, the Company obtains income tax credits and deductions from the operating losses of these tax credit entities. The income tax credits and deductions are allocated to the investors based on their ownership percentages and are recorded as a reduction of income tax expense (or an increase to income tax benefit) and a reduction of federal income taxes payable. Comprehensive Income The “Comprehensive Income” topic of the FASB ASC establishes standards for the reporting and display of comprehensive income and its components in the financial statements. Other comprehensive income (loss) refers to revenues, expenses, gains, and losses that U.S. GAAP recognize as changes in value to an enterprise but are excluded from net income. For the Company, comprehensive income includes net income and changes in fair value of its available-for-sale investment securities. Loss Contingencies Loss contingencies, including claims and legal actions arising in the ordinary course of business, are recorded as liabilities when the likelihood of loss is probable and an amount or range of loss can be reasonably estimated. Management does not believe there now are such matters that will have a material effect on the financial statements. Business Combinations And Related Matters Business combinations are accounted for under the acquisition method of accounting in accordance with ASC 805, Business Combinations. Under the acquisition method, the acquiring entity in a business combination recognizes 100 percent of the acquired assets and assumed liabilities, regardless of the percentage owned, at their estimated fair values as of the date of acquisition. Any excess of the fair value over the purchase price of net assets and other identifiable intangible assets acquired is recorded as bargain purchase gain. Assets acquired and liabilities assumed from contingencies must also be recognized at fair value, if the fair value can be determined during the measurement period. Results of operations of an acquired business are included in the statement of operations from the date of acquisition. Acquisition-related costs, including conversion charges, are expensed as incurred. The Company applied this guidance to the acquisition of Delta National Bancorp, which was consummated on November 18, 2016. The Company's consolidated financial statements reflect the operations of Delta National Bancorp beginning November 19, 2016. Intangible Assets Intangible assets are comprised of core deposit intangibles acquired in the Delta National Bancorp acquisition and included in other assets. Intangible assets with definite useful lives are amortized over their respective estimated useful lives. If an event occurs that indicates the carrying amount of an intangible asset may not be recoverable, management reviews the asset for impairment. |
Investment Securities
Investment Securities | 9 Months Ended |
Sep. 30, 2017 | |
Investment Securities [Abstract] | |
Investment Securities | 2. Investment Securities The amortized cost, fair values, and unrealized gains and losses of the securities available-for-sale ( in thousands): Amortized Gross Unrealized Fair/Book September 30, 2017 Cost Gains Losses Value Government Agency & Government-Sponsored Entities $ 3,091 $ 78 $ - $ 3,169 US Treasury Notes 144,657 2 249 144,410 US Govt SBA 31,732 45 86 31,691 Mortgage Backed Securities (1) 274,877 1,985 819 276,043 Other 1,010 - - 1,010 Total $ 455,367 $ 2,110 $ 1,154 $ 456,323 Amortized Gross Unrealized Fair/Book December 31, 2016 Cost Gains Losses Value Government Agency & Government-Sponsored Entities $ 3,127 $ 114 $ - $ 3,241 US Treasury Notes 134,755 5 332 134,428 US Govt SBA 36,532 42 260 36,314 Mortgage Backed Securities (1) 272,858 1,725 1,313 273,270 Other 1,010 - - 1,010 Total $ 448,282 $ 1,886 $ 1,905 $ 448,263 Amortized Gross Unrealized Fair/Book September 30, 2016 Cost Gains Losses Value Government Agency & Government-Sponsored Entities $ 83,129 $ 165 $ 1 $ 83,293 US Treasury Notes 85,470 211 - 85,681 Mortgage Backed Securities (1) 183,268 5,605 - 188,873 Other 1,010 - - 1,010 Total $ 352,877 $ 5,981 $ 1 $ 358,857 (1) The book values, estimated fair values and unrealized gains and losses of investments classified as held-to-maturity (in thousands) Book Gross Unrealized Fair September 30, 2017 Value Gains Losses Value Obligations of States and Political Subdivisions $ 55,542 $ 749 $ - $ 56,291 Total $ 55,542 $ 749 $ - $ 56,291 Book Gross Unrealized Fair December 31, 2016 Value Gains Losses Value Obligations of States and Political Subdivisions $ 58,109 $ 339 $ 40 $ 58,408 Total $ 58,109 $ 339 $ 40 $ 58,408 Book Gross Unrealized Fair September 30, 2016 Value Gains Losses Value Obligations of States and Political Subdivisions $ 58,905 $ 1,549 $ - $ 60,454 Total $ 58,905 $ 1,549 $ - $ 60,454 Fair values are based on quoted market prices or dealer quotes. If a quoted market price or dealer quote is not available, fair value is estimated using quoted market prices for similar securities. The amortized cost and estimated fair values of investment securities at September 30, 2017 by contractual maturity are shown in the following table (in thousands): Available-for-Sale Held-to-Maturity September 30, 2017 Amortized Cost Fair/Book Value Book Value Fair Value Within one year $ 111,092 $ 111,024 $ 1,985 $ 1,989 After one year through five years 30,477 30,394 9,221 9,238 After five years through ten years 13,429 13,408 13,694 13,887 After ten years 25,492 25,454 30,642 31,177 180,490 180,280 55,542 56,291 Investment securities not due at a single maturity date: Mortgage-backed securities 274,877 276,043 - - Total $ 455,367 $ 456,323 $ 55,542 $ 56,291 Expected maturities of mortgage-backed securities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. The following tables show those investments with gross unrealized losses and their market value aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at the dates indicated (in thousands) Less Than 12 Months 12 Months or More Total September 30, 2017 Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss Securities Available-for-Sale US Treasury Notes $ 74,414 $ 249 $ - $ - $ 74,414 $ 249 US Govt SBA 18,669 86 - - 18,669 86 Mortgage Backed Securities 122,887 819 - - 122,887 819 Total $ 215,970 $ 1,154 $ - $ - $ 215,970 $ 1,154 Less Than 12 Months 12 Months or More Total December 31, 2016 Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss Securities Available-for-Sale US Treasury Notes $ 99,429 $ 332 $ - $ - $ 99,429 $ 332 US Govt SBA 27,483 260 - - 27,483 260 Mortgage Backed Securities 123,157 1,313 - - 123,157 1,313 Total $ 250,069 $ 1,905 $ - $ - $ 250,069 $ 1,905 Securities Held-to-Maturity Obligations of States and Political Subdivisions $ 7,251 $ 40 $ - $ - $ 7,251 $ 40 Total $ 7,251 $ 40 $ - $ - $ 7,251 $ 40 Less Than 12 Months 12 Months or More Total September 30, 2016 Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss Securities Available-for-Sale Government Agency & Government-Sponsored Entities $ 59,993 $ 1 $ - $ - $ 59,993 $ 1 Total $ 59,993 $ 1 $ - $ - $ 59,993 $ 1 As of September 30, 2017, the Company held 485 investment securities of which 156 were in a loss position for less than twelve months. No securities were in a loss position for twelve months or more. Management periodically evaluates each investment security for other-than-temporary impairment relying primarily on industry analyst reports and observations of market conditions and interest rate fluctuations. Management believes it will be able to collect all amounts due according to the contractual terms of the underlying investment securities. Securities of Government Agency and Government Sponsored Entities – The unrealized losses on the Company’s investment in securities of government agency and government sponsored entities were $0, $0, and $1,000 at September 30, 2017, December 31, 2016 and September 30, 2016, respectively. The unrealized losses were caused by interest rate fluctuations. Repayment of these investments is guaranteed by an agency or government sponsored entity of the U.S. government. Accordingly, it is expected that the securities would not be settled at a price less than the amortized cost of the Company's investment. Because the decline in market value is attributable to changes in interest rates and not credit quality, and because the Company does not intend to sell the securities and it is more likely than not that the Company will not have to sell the securities before recovery of their cost basis, the Company did not consider these investments to be other-than-temporarily impaired at September 30, 2017, December 31, 2016, and September 30, 2016. U.S. Treasury Notes – At September 30, 2017, six U.S. Treasury Note security investments were in a loss position for less than 12 months and none were in a loss position for 12 months or more. The unrealized losses on the Company's investment in U.S. Treasury Notes were $249,000 at September 30, 2017 and $332,000 at December 31, 2016. There were no U.S. Treasury Notes in a loss position at September 30, 2016. The unrealized losses were caused by interest rate fluctuations. Because the decline in market value is attributable to changes in interest rates and not credit quality, and because the Company does not intend to sell the securities and it is more likely than not that the Company will not have to sell the securities before recovery of their cost basis, the Company did not consider these investments to be other-than-temporarily impaired at September 30, 2017 and December 31, 2016. U.S. Government SBA – At September 30, 2017, 94 U.S. Government SBA security investments were in a loss position for less than 12 months and none were in a loss position for 12 months or more. The unrealized losses on the Company's investment in U.S. Government SBA securities were $86,000 at September 30, 2017 and $260,000 at December 31, 2016. The unrealized losses were caused by interest rate fluctuations. Because the decline in market value is attributable to changes in interest rates and not credit quality, and because the Company does not intend to sell the securities and it is more likely than not that the Company will not have to sell the securities before recovery of their cost basis, the Company did not consider these investments to be other-than-temporarily impaired at September 30, 2017 and December 31, 2016. The Company did not own any U.S. Government SBA securities prior to December 2016. Mortgage Backed Securities – At September 30, 2017, 55 mortgage backed security investments were in a loss position for less than 12 months and none were in a loss position for 12 months or more. The unrealized losses on the Company's investment in mortgage backed securities were $819,000, $1.3 million, and $0 at September 30, 2017, December 31, 2016, and September 30, 2016, respectively. The unrealized losses on the Company’s investment in mortgage-backed securities were caused by interest rate fluctuations. The contractual cash flows of these investments are guaranteed by an agency or government sponsored entity of the U.S. government. Accordingly, it is expected that the securities would not be settled at a price less than the amortized cost of the Company's investment. Because the decline in market value is attributable to changes in interest rates and not credit quality, and because the Company does not intend to sell the securities and it is more likely than not that the Company will not have to sell the securities before recovery of their cost basis, the Company does not consider these investments to be other-than-temporarily impaired at September 30, 2017, December 31, 2016 and September 30, 2016, respectively. Obligations of States and Political Subdivisions - At September 30, 2017, no obligations of states and political subdivisions were in a loss position for less than 12 months. None were in a loss position for 12 months or more. As of September 30, 2017, over ninety-eight percent of the Company’s bank-qualified municipal bond portfolio is rated at either the issue or issuer level, and all of these ratings are “investment grade.” The Company monitors the status of the two percent of the portfolio that is not rated and at the current time does not believe any of them to be exhibiting financial problems that could result in a loss in any individual security. The unrealized losses on the Company’s investment in obligations of states and political subdivisions were $0, $40,000 and $0 at September 30, 2017, December 31, 2016 and September 30, 2016, respectively. Management believes that any unrealized losses on the Company's investments in obligations of states and political subdivisions were primarily caused by interest rate fluctuations. The contractual terms of these investments do not permit the issuer to settle the securities at a price less than the amortized cost of the investment. Because the Company does not intend to sell the securities and it is more likely than not that the Company will not have to sell the securities before recovery of their cost basis, the Company does not consider these investments to be other-than-temporarily impaired at December 31, 2016 and September 30, 2016. Proceeds from sales and calls of securities were as follows: Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2017 2016 2017 2016 Proceeds $ - $ 1,855 $ 7,831 $ 104,750 Gains - 3 143 248 Losses - - 12 534 Pledged Securities As of September 30, 2017, securities carried at $201.8 million were pledged to secure public deposits, Federal Home Loan Bank (“FHLB”) borrowings, and other government agency deposits as required by law. This amount was $171.9 million at December 31, 2016, and $185.1 million at September 30, 2016. Investment in Unconsolidated Subsidiary On April 5, 2017, the Company purchased 4.9% of the voting shares of Bank of Rio Vista, Rio Vista, California for $1.4 million. On July 3, 2017, the Federal Reserve Bank of San Francisco approved the Company’s application to acquire an additional 34.55% of the voting shares for $10.5 million. The purchase of the additional shares closed on July 20, 2017. The Company, as per requirements outlined in ASC 323-10-15-6, does not have the ability to exercise significant influence over BORV’s operating and financial policies. Accordingly, the investment in BORV is accounted for under the cost method of accounting as Other Assets. |
Loans & Leases and Allowance fo
Loans & Leases and Allowance for Credit Losses | 9 Months Ended |
Sep. 30, 2017 | |
Loans & Leases and Allowance for Credit Losses [Abstract] | |
Loans & Leases and Allowance for Credit Losses | 3. Loans & Leases and Allowance for Credit Losses The following tables show the allocation of the allowance for credit losses by portfolio segment and by impairment methodology at the dates indicated (in thousands) September 30, 2017 Commercial Real Estate Agricultural Real Estate Real Estate Construction Residential 1st Mortgages Home Equity Lines & Loans Agricultural Commercial Consumer & Other Leases Unallocated Total Year-To-Date Allowance for Credit Losses: Beginning Balance- January 1, 2017 $ 11,110 $ 9,450 $ 3,223 $ 865 $ 2,140 $ 7,381 $ 8,515 $ 200 $ 3,586 $ 1,449 $ 47,919 Charge-Offs (109 ) - - - - (7 ) - (114 ) - - (230 ) Recoveries 110 - - 37 6 - 6 46 - - 205 Provision (14 ) 1,946 (473 ) 95 115 (14 ) 539 77 (392 ) 971 2,850 Ending Balance- September 30, 2017 $ 11,097 $ 11,396 $ 2,750 $ 997 $ 2,261 $ 7,360 $ 9,060 $ 209 $ 3,194 $ 2,420 $ 50,744 Third Quarter Allowance for Credit Losses: Beginning Balance- July 1, 2017 $ 11,242 $ 10,265 $ 2,687 $ 872 $ 2,170 $ 7,236 $ 9,544 $ 205 $ 2,952 $ 1,891 $ 49,064 Charge-Offs - - - - - - - (54 ) - - (54 ) Recoveries 99 - - 18 1 - 2 14 - - 134 Provision (244 ) 1,131 63 107 90 124 (486 ) 44 242 529 1,600 Ending Balance- September 30, 2017 $ 11,097 $ 11,396 $ 2,750 $ 997 $ 2,261 $ 7,360 $ 9,060 $ 209 $ 3,194 $ 2,420 $ 50,744 Ending Balance Individually Evaluated for Impairment 385 - - 61 17 69 231 5 - - 768 Ending Balance Collectively Evaluated for Impairment 10,712 11,396 2,750 936 2,244 7,291 8,829 204 3,194 2,420 49,976 Loans & Leases: Ending Balance $ 683,037 $ 470,738 $ 162,167 $ 257,920 $ 33,350 $ 259,127 $ 257,951 $ 7,312 $ 85,177 $ - $ 2,216,779 Ending Balance Individually Evaluated for Impairment 4,855 - - 1,887 369 368 1,752 7 - - 9,238 Ending Balance Collectively Evaluated for Impairment $ 678,182 $ 470,738 $ 162,167 $ 256,033 $ 32,981 $ 258,759 $ 256,199 $ 7,305 $ 85,177 $ - $ 2,207,541 December 31, 2016 Commercial Real Estate Agricultural Real Estate Real Estate Construction Residential 1st Mortgages Home Equity Lines & Loans Agricultural Commercial Consumer & Other Leases Unallocated Total Year-To-Date Allowance for Credit Losses: Beginning Balance- January 1, 2016 $ 10,063 $ 6,881 $ 2,485 $ 789 $ 2,146 $ 6,308 $ 7,836 $ 175 $ 3,294 $ 1,546 $ 41,523 Charge-Offs - - - (21 ) (46 ) - - (105 ) - - (172 ) Recoveries 2 - - 26 103 - 47 55 - - 233 Provision 1,045 2,569 738 71 (63 ) 1,073 632 75 292 (97 ) 6,335 Ending Balance- December 31, 2016 $ 11,110 $ 9,450 $ 3,223 $ 865 $ 2,140 $ 7,381 $ 8,515 $ 200 $ 3,586 $ 1,449 $ 47,919 Ending Balance Individually Evaluated for Impairment - - - 70 18 128 608 7 - - 831 Ending Balance Collectively Evaluated for Impairment 11,110 9,450 3,223 795 2,122 7,253 7,907 193 3,586 1,449 47,088 Loans & Leases: Ending Balance $ 668,046 $ 467,685 $ 176,462 $ 242,247 $ 31,625 $ 295,325 $ 217,577 $ 6,913 $ 71,721 $ - $ 2,177,601 Ending Balance Individually Evaluated for Impairment 1,932 1,304 - 2,126 402 625 4,464 10 - - 10,863 Ending Balance Collectively Evaluated for Impairment $ 666,114 $ 466,381 $ 176,462 $ 240,121 $ 31,223 $ 294,700 $ 213,113 $ 6,903 $ 71,721 $ - $ 2,166,738 September 30, 2016 Commercial Real Estate Agricultural Real Estate Real Estate Construction Residential 1st Mortgages Home Equity Lines & Loans Agricultural Commercial Consumer & Other Leases Unallocated Total Year-To-Date Allowance for Credit Losses: Beginning Balance- January 1, 2016 $ 10,063 $ 6,881 $ 2,485 $ 789 $ 2,146 $ 6,308 $ 7,836 $ 175 $ 3,294 $ 1,546 $ 41,523 Charge-Offs - - - (7 ) (46 ) - - (77 ) - - (130 ) Recoveries 2 - - 13 102 - 45 41 - - 203 Provision 57 2,490 (27 ) 34 (7 ) (86 ) (281 ) 40 250 380 2,850 Ending Balance- September 30, 2016 $ 10,122 $ 9,371 $ 2,458 $ 829 $ 2,195 $ 6,222 $ 7,600 $ 179 $ 3,544 $ 1,926 $ 44,446 Third Quarter Allowance for Credit Losses: Beginning Balance- July 1, 2016 $ 10,236 $ 9,501 $ 2,442 $ 837 $ 2,149 $ 6,223 $ 7,849 $ 170 $ 3,442 $ 1,269 $ 44,118 Charge-Offs - - - - - - - (25 ) - - (25 ) Recoveries - - - 4 69 - 16 14 - - 103 Provision (114 ) (130 ) 16 (12 ) (23 ) (1 ) (265 ) 20 102 657 250 Ending Balance- September 30, 2016 $ 10,122 $ 9,371 $ 2,458 $ 829 $ 2,195 $ 6,222 $ 7,600 $ 179 $ 3,544 $ 1,926 $ 44,446 Ending Balance Individually Evaluated for Impairment - - - 74 18 129 620 7 - - 848 Ending Balance Collectively Evaluated for Impairment 10,122 9,371 2,458 755 2,177 6,093 6,980 172 3,544 1,926 43,598 Loans & Leases: Ending Balance $ 627,114 $ 439,972 $ 175,045 $ 238,376 $ 32,513 $ 274,704 $ 214,086 $ 6,975 $ 70,885 $ - $ 2,079,670 Ending Balance Individually Evaluated for Impairment 4,324 513 - 2,173 409 640 4,509 11 - - 12,579 Ending Balance Collectively Evaluated for Impairment $ 622,790 $ 439,459 $ 175,045 $ 236,203 $ 32,104 $ 274,064 $ 209,577 $ 6,964 $ 70,885 $ - $ 2,067,091 The ending balance of loans individually evaluated for impairment includes restructured loans in the amount of $3.0 million at September 30, 2017, $3.3 million at December 31, 2016 and $4.9 million at September 30, 2016, which are no longer classified as TDRs. The following tables show the loan & lease portfolio allocated by management’s internal risk ratings at the dates indicated (in thousands) September 30, 2017 Pass Special Mention Substandard Total Loans & Leases Loans & Leases: Commercial Real Estate $ 678,083 $ 4,458 $ 496 $ 683,037 Agricultural Real Estate 465,427 1,281 4,030 470,738 Real Estate Construction 152,989 9,178 - 162,167 Residential 1st Mortgages 256,906 43 971 257,920 Home Equity Lines & Loans 33,297 - 53 33,350 Agricultural 250,372 5,331 3,424 259,127 Commercial 253,144 4,184 623 257,951 Consumer & Other 7,142 - 170 7,312 Leases 82,889 2,288 - 85,177 Total $ 2,180,249 $ 26,763 $ 9,767 $ 2,216,779 December 31, 2016 Pass Special Mention Substandard Total Loans Loans & Leases: Commercial Real Estate $ 659,694 $ 6,817 $ 1,535 $ 668,046 Agricultural Real Estate 464,997 1,384 1,304 467,685 Real Estate Construction 176,462 - - 176,462 Residential 1st Mortgages 241,816 47 384 242,247 Home Equity Lines and Loans 31,558 - 67 31,625 Agricultural 283,525 11,366 434 295,325 Commercial 208,172 6,974 2,431 217,577 Consumer & Other 6,705 - 208 6,913 Leases 71,721 - - 71,721 Total $ 2,144,650 $ 26,588 $ 6,363 $ 2,177,601 September 30, 2016 Pass Special Mention Substandard Total Loans & Leases Loans & Leases: Commercial Real Estate $ 618,975 $ 7,141 $ 998 $ 627,114 Agricultural Real Estate 437,059 1,418 1,495 439,972 Real Estate Construction 173,556 1,489 - 175,045 Residential 1st Mortgages 237,254 404 718 238,376 Home Equity Lines & Loans 32,408 - 105 32,513 Agricultural 273,184 1,070 450 274,704 Commercial 204,119 7,105 2,862 214,086 Consumer & Other 6,816 - 159 6,975 Leases 70,885 - - 70,885 Total $ 2,054,256 $ 18,627 $ 6,787 $ 2,079,670 See “Note 1. Significant Accounting Policies - Allowance for Credit Losses” for a description of the internal risk ratings used by the Company. There were no loans or leases outstanding at September 30, 2017, December 31, 2016, and September 30, 2016, rated doubtful or loss. The following tables show an aging analysis of the loan & lease portfolio by the time past due at the dates indicated (in thousands) September 30, 2017 30-59 Days Past Due 60-89 Days Past Due 90 Days and Still Accruing Nonaccrual Total Past Due Current Total Loans & Leases Loans & Leases: Commercial Real Estate $ - $ - $ - $ - $ - $ 683,037 $ 683,037 Agricultural Real Estate - - - - - 470,738 470,738 Real Estate Construction - - - - - 162,167 162,167 Residential 1st Mortgages - - - - - 257,920 257,920 Home Equity Lines & Loans - - - - - 33,350 33,350 Agricultural - - - - - 259,127 259,127 Commercial - 3 - - 3 257,948 257,951 Consumer & Other 16 - - 4 20 7,292 7,312 Leases - - - - - 85,177 85,177 Total $ 16 $ 3 $ - $ 4 $ 23 $ 2,216,756 $ 2,216,779 December 31, 2016 30-59 Days Past Due 60-89 Days Past Due 90 Days and Still Accruing Nonaccrual Total Past Due Current Total Loans & Leases Loans & Leases: Commercial Real Estate $ - $ - $ - $ - $ - $ 668,046 $ 668,046 Agricultural Real Estate - - - 1,304 1,304 466,381 467,685 Real Estate Construction - - - - - 176,462 176,462 Residential 1st Mortgages - - - 95 95 242,152 242,247 Home Equity Lines and Loans - - - - - 31,625 31,625 Agricultural - - - 243 243 295,082 295,325 Commercial - - - 1,425 1,425 216,152 217,577 Consumer & Other 10 - - 7 17 6,896 6,913 Leases - - - - - 71,721 71,721 Total $ 10 $ - $ - $ 3,074 $ 3,084 $ 2,174,517 $ 2,177,601 September 30, 2016 30-59 Days Past Due 60-89 Days Past Due 90 Days and Still Accruing Nonaccrual Total Past Due Current Total Loans & Leases Loans & Leases: Commercial Real Estate $ - $ - $ - $ 998 $ 998 $ 626,116 $ 627,114 Agricultural Real Estate - 983 - 322 1,305 438,667 439,972 Real Estate Construction - - - - - 175,045 175,045 Residential 1st Mortgages - - - 55 55 238,321 238,376 Home Equity Lines & Loans - - - - - 32,513 32,513 Agricultural - - - 243 243 274,461 274,704 Commercial - - - 1,450 1,450 212,636 214,086 Consumer & Other 5 - - 7 12 6,963 6,975 Leases - - - - - 70,885 70,885 Total $ 5 $ 983 $ - $ 3,075 $ 4,063 $ 2,075,607 $ 2,079,670 The following tables show information related to impaired loans & leases for the periods indicated (in thousands) Three Months Ended September 30, 2017 Nine Months Ended September 30, 2017 September 30, 2017 Recorded Investment Unpaid Principal Balance Related Allowance Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized With no related allowance recorded: Commercial Real Estate $ 106 $ 107 $ - $ 107 $ 2 $ 121 $ 9 Agricultural Real Estate - - - 488 - 868 - Residential 1st Mortgages 399 456 - 403 3 415 6 Home Equity Lines & Loans - - - - - 21 - Agricultural - - - 30 - 40 - Commercial - - - - - 504 - $ 505 $ 563 $ - $ 1,028 $ 5 $ 1,969 $ 15 With an allowance recorded: Commercial Real Estate $ 2,991 $ 2,977 $ 384 $ 3,000 $ 25 2,509 $ 80 Residential 1st Mortgages 519 574 26 472 3 442 12 Home Equity Lines & Loans 83 90 4 67 - 76 2 Agricultural 367 367 69 499 7 588 21 Commercial 1,760 1,752 234 1,696 14 1,624 44 Consumer & Other 4 11 4 14 - 12 - $ 5,724 $ 5,771 $ 721 $ 5,748 $ 49 5,251 $ 159 Total $ 6,229 $ 6,334 $ 721 $ 6,776 $ 54 $ 7,220 $ 174 December 31, 2016 Recorded Investment Unpaid Principal Balance Related Allowance Average Recorded Investment Interest Income Recognized With no related allowance recorded: Commercial Real Estate $ 184 $ 184 $ - $ 354 $ 7 Residential 1st Mortgages 451 504 - 404 10 Home Equity Lines and Loans - - - 181 - Agricultural - - - 144 5 Commercial 3,023 3,023 - 3,053 133 $ 4,963 $ 5,016 $ - $ 4,705 $ 158 With an allowance recorded: Residential 1st Mortgages $ 430 $ 469 $ 21 $ 336 $ 13 Home Equity Lines and Loans 90 97 5 123 4 Agricultural 625 625 128 581 22 Commercial 1,441 1,640 608 1,536 8 Consumer & Other 6 13 6 12 - $ 2,592 $ 2,844 $ 768 $ 2,588 $ 47 Total $ 7,555 $ 7,860 $ 768 $ 7,293 $ 205 Three Months Ended September 30, 2016 Nine Months Ended September 30, 2016 September 30, 2016 Recorded Investment Unpaid Principal Balance Related Allowance Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized With no related allowance recorded: Commercial Real Estate $ 1,074 $ 1,071 $ - $ 575 $ 2 $ 248 $ 6 Agricultural Real Estate 322 322 - 404 - 270 3 Residential 1st Mortgages 414 466 - 417 3 411 7 Home Equity Lines & Loans - - - - - 339 - Agricultural 191 191 - 192 2 193 5 Commercial 3,042 3,043 - 3,053 33 3,073 100 Consumer & Other - - 1 - 1 - $ 5,043 $ 5,093 $ - $ 4,642 $ 40 $ 4,535 $ 121 With an allowance recorded: Residential 1st Mortgages $ 430 $ 471 $ 21 $ 335 $ 3 $ 290 $ 9 Home Equity Lines & Loans 92 98 5 93 1 142 3 Agricultural 640 640 137 644 6 529 18 Commercial 1,466 1,648 620 1,536 - 1,599 8 Consumer & Other 7 13 7 8 - 18 - $ 2,635 $ 2,870 $ 790 $ 2,616 $ 10 $ 2,578 $ 38 Total $ 7,678 $ 7,963 $ 790 $ 7,258 $ 50 $ 7,113 $ 159 Total recorded investment shown in the prior tables will not equal the total ending balance of loans & leases individually evaluated for impairment on the allocation of allowance tables. This is because the calculation of recorded investment takes into account charge-offs, net unamortized loan & lease fees & costs, unamortized premium or discount, and accrued interest. This table also excludes impaired loans that were previously modified in a troubled debt restructuring, are currently performing and are no longer classified as TDRs. At September 30, 2017, the Company allocated $721,000 of specific reserves to $6.2 million of troubled debt restructured loans & leases, all of which were performing. The Company had no commitments at September 30, 2017 to lend additional amounts to customers with outstanding loans or leases that are classified as TDRs. During the three and nine-month periods ending September 30, 2017, there were four loans & leases modified as a troubled debt restructuring. When a loan is restructured, the modification of the terms can include one or a combination of the following: a reduction of the stated interest rate; an extension of the maturity date at a stated rate of interest lower than the current market rate for new debt with similar risk; or a permanent reduction of the recorded investment in the loan. Modifications involving a reduction of the stated interest rate were for 5 years. Modifications involving an extension of the maturity date ranged from 7 to 10 years. The following table presents loans or leases by class modified as troubled debt restructured loans or leases during the three and nine-month periods ended September 30, 2017 (in thousands) Three Months Ended September 30, 2017 Nine Months Ended September 30, 2017 Troubled Debt Restructurings 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 Residential 1st Mortgages 1 $ 112 $ 112 1 $ 112 $ 112 Home Equity Lines & Loans 1 32 32 1 32 32 Commercial 2 138 138 2 138 138 Total 4 $ 282 $ 282 4 $ 282 $ 282 The TDRs described above increased the allowance for credit losses by $13,000 for the three and nine-month periods ending September 30, 2017. During the three and nine-months ended September 30, 2017, the twelve months ended December 31, 2016, and the three and nine-month periods ending September 30, 2016 there were no payment defaults on loans or leases modified as troubled debt restructurings within twelve months following the modification. The Company considers a loan or lease to be in payment default once it is greater than 90 days contractually past due under the modified terms. The following table presents loans by class modified as troubled debt restructured loans for the period ended December 31, 2016 (in thousands) December 31, 2016 Troubled Debt Restructurings Number of Loans Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Commercial Real Estate 1 $ 112 $ 112 Residential 1st Mortgages 2 289 281 Home Equity Lines and Loans 2 305 286 Total 5 $ 706 $ 679 The troubled debt restructurings described above had no impact on the allowance for credit losses and resulted in charge-offs of $27,000 for the twelve months ended December 31, 2016. At December 31, 2016, the Company allocated $736,000 of specific reserves to $5.9 million of troubled debt restructured loans, of which $4.5 million were performing. The Company had no commitments at December 31, 2016, to lend additional amounts to customers with outstanding loans that are classified as troubled debt restructurings. During the period ending December 31, 2016, the terms of certain loans were modified as troubled debt restructurings. Modifications involving a reduction of the stated interest rate of the loan were for 5 years. Modifications involving an extension of the maturity date were for 10 years. The following table presents loans or leases by class modified as troubled debt restructured loans or leases during the three and nine-month periods ended September 30, 2016 (in thousands) Three Months Ended September 30, 2016 Nine Months Ended September 30, 2016 Troubled Debt Restructurings 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 Residential 1st Mortgages 1 $ 192 $ 192 2 $ 289 $ 281 Home Equity Lines & Loans - - - 2 305 286 Total 1 $ 192 $ 192 4 $ 594 $ 567 The TDRs described above had no impact on the allowance for credit losses for the three and nine-month periods ending September 30, 2016, and resulted in charge-offs of $0 and $27,000 for the three and nine-month periods ended September 30, 2016. At September 30, 2016, the Company allocated $758,000 of specific reserves to $6.1 million of troubled debt restructured loans & leases, of which $4.6 million were performing. The Company had no commitments at September 30, 2016 to lend additional amounts to customers with outstanding loans or leases that are classified as troubled debt restructurings. During the three-month period ending September 30, 2016, there was one loan modified as a troubled debt restructuring. During the nine-month period ending September 30, 2016, the terms of certain loans & leases were modified as troubled debt restructurings. The modification of the terms of such loans & leases can include one or a combination of the following: a reduction of the stated interest rate; an extension of the maturity date at a stated rate of interest lower than the current market rate for new debt with similar risk; or a permanent reduction of the recorded investment in the loan. Modifications involving a reduction of the stated interest rate were for 5 years. Modifications involving an extension of the maturity date were for 10 years. |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Sep. 30, 2017 | |
Fair Value Measurements [Abstract] | |
Fair Value Measurements | 4. Fair Value Measurements The Company follows the “Fair Value Measurement and Disclosures” topic of the FASB ASC, which establishes a framework for measuring fair value in U.S. GAAP and expands disclosures about fair value measurements. This standard applies whenever other standards require, or permit, assets or liabilities to be measured at fair value but does not expand the use of fair value in any new circumstances. In this standard, the FASB clarifies the principle that fair value should be based on the assumptions market participants would use when pricing the asset or liability. In support of this principle, this standard establishes a fair value hierarchy that prioritizes the information used to develop those assumptions. The fair value hierarchy is as follows: Level 1 inputs – Unadjusted quoted prices in active markets for identical assets or liabilities that the entity has the ability to access at the measurement date. Level 2 inputs - Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. These might include quoted prices for similar assets and liabilities in active markets, and inputs other than quoted prices that are observable for the asset or liability, such as interest rates and yield curves that are observable at commonly quoted intervals. Level 3 inputs - Unobservable inputs for determining the fair values of assets or liabilities that reflect an entity’s own assumptions about the assumptions that market participants would use in pricing the assets or liabilities. Management monitors the availability of observable market data to assess the appropriate classification of financial instruments within the fair value hierarchy. Changes in economic conditions or model-based valuation techniques may require the transfer of financial instruments from one fair value level to another. In such instances, the transfer is reported at the beginning of the reporting period. Management evaluates the significance of transfers between levels based upon the nature of the financial instrument and size of the transfer relative to total assets, total liabilities or total earnings. Securities classified as AFS are reported at fair value on a recurring basis utilizing Level 1, 2 and 3 inputs. For these securities, the Company obtains fair value measurements from an independent pricing service. The fair value measurements consider observable data that may include dealer quotes, market spreads, cash flows, the U.S. Treasury yield curve, live trading levels, trade execution data, market consensus prepayment speeds, credit information and the bond's terms and conditions, among other things. The Company does not record all loans & leases at fair value on a recurring basis. However, from time to time, a loan or lease is considered impaired and an allowance for credit losses is established. Once a loan or lease is identified as individually impaired, management measures impairment in accordance with the “Receivable” topic of the FASB ASC. The fair value of impaired loans or leases is estimated using one of several methods, including collateral value when the loan is collateral dependent, market value of similar debt, enterprise value, and discounted cash flows. Impaired loans & leases not requiring an allowance represent loans & leases for which the fair value of the expected repayments or collateral exceed the recorded investments in such loans & leases. Impaired loans & leases where an allowance is established based on the fair value of collateral require classification in the fair value hierarchy. Other Real Estate (“ORE”) is reported at fair value on a non-recurring basis. At September 30, 2017, there were no formal foreclosure proceedings in process for consumer mortgage loans secured by residential real estate properties. The following tables present information about the Company’s assets and liabilities measured at fair value on a recurring basis and indicate the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair value for the periods indicated. Fair Value Measurements At September 30, 2017, Using (in thousands) Fair Value Quoted Prices in Active Markets for Identical Assets Other Observable Inputs Significant Unobservable Inputs Available-for-Sale Securities: Government Agency & Government-Sponsored Entities $ 3,169 $ - $ 3,169 $ - US Treasury Notes 144,410 144,410 - - US Govt SBA 31,691 - 31,691 - Mortgage Backed Securities 276,043 - 276,043 - Other 1,010 200 310 500 Total Assets Measured at Fair Value On a Recurring Basis $ 456,323 $ 144,610 $ 311,213 $ 500 Fair Value Measurements At December 31, 2016, Using (in thousands) Fair Value Quoted Prices in Active Markets for Identical Assets Other Observable Inputs Significant Unobservable Inputs Available-for-Sale Securities: Government Agency & Government-Sponsored Entities $ 3,241 $ - $ 3,241 $ - US Treasury Notes 134,428 134,428 - - US Govt SBA 36,314 - 36,314 - Mortgage Backed Securities 273,270 - 273,270 - Other 1,010 200 310 500 Total Assets Measured at Fair Value On a Recurring Basis $ 448,263 $ 134,628 $ 313,135 $ 500 Fair Value Measurements At September 30, 2016, Using (in thousands) Fair Value Quoted Prices in Active Markets for Identical Assets Other Observable Inputs Significant Unobservable Inputs Available-for-Sale Securities: Government Agency & Government-Sponsored Entities $ 83,293 $ - $ 83,293 $ - US Treasury Notes 85,681 85,681 - - Mortgage Backed Securities 188,873 - 188,873 - Other 1,010 200 310 500 Total Assets Measured at Fair Value On a Recurring Basis $ 358,857 $ 85,881 $ 272,476 $ 500 Fair values for Level 2 available-for-sale investment securities are based on quoted market prices for similar securities. During the three and nine-months ended September 30, 2017 and 2016, there were no transfers in or out of Level 1, 2, or 3. Available for sale investment securities categorized as Level 3 assets for the period ended September 30, 2017, December 31, 2016, and September 30, 2016, consisted of a $500,000 investment in a limited liability company that purchases SBA loans. There were no gains or losses or transfers in or out of level 3 during the periods ended September 30, 2017, December 31, 2016, and September 30, 2016. The following tables present information about the Company’s other real estate and impaired loans or leases, classes of assets or liabilities that the Company carries at fair value on a non-recurring basis, and indicates the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair value for the periods indicated. Not all impaired loans or leases are carried at fair value. Impaired loans or leases are only included in the following tables when their fair value is based upon a current appraisal of the collateral, and if that appraisal results in a partial charge-off or the establishment of a specific reserve. Fair Value Measurements At September 30, 2017, Using (in thousands) Fair Value Quoted Prices in Active Markets for Identical Assets Other Observable Inputs Significant Unobservable Inputs Impaired Loans Commercial Real Estate $ 2,594 $ - $ - $ 2,594 Residential 1st Mortgage 491 - - 491 Home Equity Lines and Loans 78 - - 78 Agricultural 298 - - 298 Commercial 1,519 - - 1,519 Total Impaired Loans 4,980 - - 4,980 Other Real Estate Real Estate Construction 873 - - 873 Total Other Real Estate 873 - - 873 Total Assets Measured at Fair Value On a Non-Recurring Basis $ 5,853 $ - $ - $ 5,853 Fair Value Measurements At December 31, 2016, Using (in thousands) Fair Value Quoted Prices in Active Markets for Identical Assets Other Observable Inputs Significant Unobservable Inputs Impaired Loans: Residential 1st Mortgage $ 480 $ - $ - $ 480 Home Equity Lines and Loans 83 - - 83 Agricultural 497 - - 497 Commercial 833 - - 833 Total Impaired Loans 1,893 - - 1,893 Other Real Estate: Home Equity Lines and Loans 785 - - 785 Real Estate Construction 2,960 - - 2,960 Total Other Real Estate 3,745 - - 3,745 Total Assets Measured at Fair Value On a Non-Recurring Basis $ 5,638 $ - $ - $ 5,638 Fair Value Measurements At September 30, 2016, Using (in thousands) Fair Value Quoted Prices in Active Markets for Identical Assets Other Observable Inputs Significant Unobservable Inputs Impaired Loans Residential 1st Mortgage $ 496 $ - $ - $ 496 Home Equity Lines and Loans 84 - - 84 Agricultural 503 - - 503 Commercial 847 - - 847 Total Impaired Loans 1,930 - - 1,930 Other Real Estate Home Equity Lines and Loans 785 - - 785 Total Other Real Estate 785 - - 785 Total Assets Measured at Fair Value On a Non-Recurring Basis $ 2,715 $ - $ - $ 2,715 The Company’s property appraisals are primarily based on the sales comparison approach and the income approach methodologies, which consider recent sales of comparable properties, including their income generating characteristics, and then make adjustments to reflect the general assumptions that a market participant would make when analyzing the property for purchase. These adjustments may increase or decrease an appraised value and can vary significantly depending on the location, physical characteristics and income producing potential of each property. Additionally, the quality and volume of market information available at the time of the appraisal can vary from period to period and cause significant changes to the nature and magnitude of comparable sale adjustments. Given these variations, comparable sale adjustments are generally not a reliable indicator for how fair value will increase or decrease from period to period. Under certain circumstances, management discounts are applied based on specific characteristics of an individual property. The following table presents quantitative information about Level 3 fair value measurements for financial instruments measured at fair value on a nonrecurring basis at September 30, 2017: (in thousands) Fair Value Valuation Technique Unobservable Inputs Range, Weighted Avg. Impaired Loans Commercial Real Estate $ 2,594 Income Approach Discount Rate 3.25% - 3.25%, 3.25 % Residential 1st Mortgage $ 491 Sales Comparison Approach Adjustment for Difference Between Comparable Sales 1% - 4%, 3 % Home Equity Lines and Loans $ 78 Sales Comparison Approach Adjustment for Difference Between Comparable Sales 1% - 2%, 2 % Agricultural $ 298 Income Approach Discount Rate 7.50% - 7.50%, 7.50 % Commercial $ 1,519 Income Approach Discount Rate 2.00% - 9.00%, 3.00 % Other Real Estate Real Estate Construction $ 873 Sales Comparison Approach Adjustment for Difference Between Comparable Sales 10% - 10%, 10 % |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 9 Months Ended |
Sep. 30, 2017 | |
Fair Value of Financial Instruments [Abstract] | |
Fair Value of Financial Instruments | 5. Fair Value of Financial Instruments U.S. GAAP requires disclosure of fair value information about financial instruments, whether or not recognized on the balance sheet, for which it is practical to estimate that value. The estimated fair value amounts have been determined by the Company using available market information and appropriate valuation methodologies. The use of assumptions and various valuation techniques, as well as the absence of secondary markets for certain financial instruments, will likely reduce the comparability of fair value disclosures between financial institutions. In some cases, book value is a reasonable estimate of fair value due to the relatively short period of time between origination of the instrument and its expected realization. The following tables summarize the book value and estimated fair value of financial instruments for the periods indicated: Fair Value of Financial Instruments Using September 30, 2017 (in thousands) Carrying Amount Quoted Prices in Active Markets for Identical Assets (Level 1) Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Estimated Fair Value Assets: Cash and Cash Equivalents $ 193,270 $ 193,270 $ - $ - $ 193,270 Investment Securities Available-for-Sale: Government Agency & Government-Sponsored Entities 3,169 - 3,169 - 3,169 U.S. Govt SBA 31,691 - 31,691 - 31,691 U.S. Treasury Notes 144,410 144,410 - - 144,410 Mortgage Backed Securities 276,043 - 276,043 - 276,043 Other 1,010 200 310 500 1,010 Total Investment Securities Available-for-Sale 456,323 144,610 311,213 500 456,323 Investment Securities Held-to-Maturity: Obligations of States and Political Subdivisions 55,542 - 39,254 17,037 56,292 Total Investment Securities Held-to-Maturity 55,542 - 39,254 17,037 56,292 FHLB Stock 10,342 N/A N/A N/A N/A Loans & Leases, Net of Deferred Fees & Allowance: Commercial Real Estate 671,940 - - 665,566 665,566 Agricultural Real Estate 459,342 - - 446,684 446,684 Real Estate Construction 159,417 - - 159,131 159,131 Residential 1st Mortgages 256,923 - - 258,256 258,256 Home Equity Lines and Loans 31,089 - - 31,869 31,869 Agricultural 251,767 - - 249,995 249,995 Commercial 248,891 - - 247,344 247,344 Consumer & Other 7,103 - - 7,067 7,067 Leases 81,983 - - 85,032 85,032 Unallocated Allowance (2,420 ) - - (2,420 ) (2,420 ) Total Loans & Leases, Net of Deferred Fees & Allowance 2,166,035 - - 2,148,524 2,148,524 Accrued Interest Receivable 11,498 - 11,498 - 11,498 Liabilities: Deposits: Demand 767,162 767,162 - - 767,162 Interest Bearing Transaction 564,904 564,904 - - 564,904 Savings and Money Market 827,588 827,588 - - 827,588 Time 549,773 - 547,796 - 547,796 Total Deposits 2,709,427 2,159,654 547,796 - 2,707,450 Subordinated Debentures 10,310 - 6,589 - 6,589 Accrued Interest Payable 939 - 939 - 939 Fair Value of Financial Instruments Using December 31, 2016 (in thousands) Carrying Amount Quoted Prices in Active Markets for Identical Assets (Level 1) Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Estimated Fair Value Assets: Cash and Cash Equivalents $ 98,960 $ 98,960 $ - $ - $ 98,960 Investment Securities Available-for-Sale: Government Agency & Government-Sponsored Entities 3,241 - 3,241 - 3,241 U.S. Govt SBA 36,314 - 36,314 - 36,314 U.S. Treasury Notes 134,428 134,428 - - 134,428 Mortgage Backed Securities 273,270 - 273,270 - 273,270 Other 1,010 200 310 500 1,010 Total Investment Securities Available-for-Sale 448,263 134,628 313,135 500 448,263 Investment Securities Held-to-Maturity: Obligations of States and Political Subdivisions 58,109 - 40,415 17,993 58,408 Total Investment Securities Held-to-Maturity 58,109 - 40,415 17,993 58,408 FHLB Stock 8,872 N/A N/A N/A N/A Loans & Leases, Net of Deferred Fees & Allowance: Commercial Real Estate 656,936 - - 651,877 651,877 Agricultural Real Estate 458,235 - - 444,393 444,393 Real Estate Construction 173,239 - - 172,682 172,682 Residential 1st Mortgages 241,382 - - 241,174 241,174 Home Equity Lines and Loans 29,485 - - 30,495 30,495 Agricultural 287,944 - - 286,074 286,074 Commercial 209,062 - - 207,215 207,215 Consumer & Other 6,713 - - 6,706 6,706 Leases 68,135 - - 67,893 67,893 Unallocated Allowance (1,449 ) - - (1,449 ) (1,449 ) Total Loans & Leases, Net of Deferred Fees & Allowance 2,129,682 - - 2,107,060 2,107,060 Accrued Interest Receivable 10,047 - 10,047 - 10,047 Liabilities: Deposits: Demand 756,236 756,236 - - 756,236 Interest Bearing Transaction 495,063 495,063 - - 495,063 Savings and Money Market 760,119 760,119 - - 760,119 Time 570,293 - 569,183 - 569,183 Total Deposits 2,581,711 2,011,418 569,183 - 2,580,601 Subordinated Debentures 10,310 - 6,578 - 6,578 Accrued Interest Payable 852 - 852 - 852 Fair Value of Financial Instruments Using September 30, 2016 (in thousands) Carrying Amount Quoted Prices in Active Markets for Identical Assets (Level 1) Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Estimated Fair Value Assets: Cash and Cash Equivalents $ 99,303 $ 99,303 $ - $ - $ 99,303 Investment Securities Available-for-Sale: Government Agency & Government-Sponsored Entities 83,293 - 83,293 - 83,293 US Treasury Notes 85,681 85,681 - - 85,681 Mortgage Backed Securities 188,873 - 188,873 - 188,873 Other 1,010 200 310 500 1,010 Total Investment Securities Available-for-Sale 358,857 85,881 272,476 500 358,857 Investment Securities Held-to-Maturity: Obligations of States and Political Subdivisions 58,905 - 42,675 17,779 60,454 Total Investment Securities Held-to-Maturity 58,905 - 42,675 17,779 60,454 FHLB Stock 8,872 N/A N/A N/A N/A Loans & Leases, Net of Deferred Fees & Allowance: Commercial Real Estate 616,992 - - 620,655 620,655 Agricultural Real Estate 430,601 - - 422,056 422,056 Real Estate Construction 172,587 - - 172,358 172,358 Residential 1st Mortgages 237,547 - - 241,703 241,703 Home Equity Lines and Loans 30,318 - - 31,397 31,397 Agricultural 268,482 - - 267,101 267,101 Commercial 206,486 - - 205,769 205,769 Consumer & Other 6,796 - - 6,832 6,832 Leases 67,341 69,408 69,408 Unallocated Allowance (1,926 ) - - (1,926 ) (1,926 ) Total Loans & Leases, Net of Deferred Fees & Allowance 2,035,224 - - 2,035,353 2,035,353 Accrued Interest Receivable 10,116 - 10,116 - 10,116 Liabilities: Deposits: Demand 672,351 672,351 - - 672,351 Interest Bearing Transaction 433,220 433,220 - - 433,220 Savings and Money Market 702,441 702,441 - - 702,441 Time 547,625 - 547,145 - 547,145 Total Deposits 2,355,637 1,808,012 547,145 - 2,355,157 Subordinated Debentures 10,310 - 6,606 - 6,606 Accrued Interest Payable 681 - 681 - 681 Fair value estimates presented herein are based on pertinent information available to management as of September 30, 2017, December 31, 2016, and September 30, 2016. Although management is not aware of any factors that would significantly affect the estimated fair value amounts, such amounts have not been comprehensively revalued for purpose of these financial statements since that date, and; therefore, current estimates of fair value may differ significantly from the amounts presented above. The methods and assumptions used to estimate the fair value of each class of financial instrument listed in the table above are explained below. Cash and Cash Equivalents - The carrying amounts reported in the balance sheet for cash and due from banks, interest-bearing deposits with banks, federal funds sold, and securities purchased under agreements to resell are a reasonable estimate of fair value. All cash and cash equivalents are classified as Level 1. Investment Securities - Fair values for investment securities consider observable data that may include dealer quotes, market spreads, cash flows, the U.S. Treasury yield curve, live trading levels, trade execution data, market consensus prepayment speeds, credit information and the bond's terms and conditions, among other things. Based on the available market information the classification level could be 1, 2, or 3. Federal Home Loan Bank Stock - It is not practical to determine the fair value of FHLB stock due to restrictions placed on its transferability. Loans & Leases, Net of Deferred Loan & Lease Fees & Allowance - Fair values of loans & leases are estimated as follows: For variable rate loans that reprice frequently and with no significant change in credit risk, fair values are based on carrying values resulting in a Level 3 classification. Fair values for other loans & leases are estimated using discounted cash flow analyses, using interest rates currently being offered for loans with similar terms to borrowers of similar credit quality resulting in a Level 3 classification. Impaired loans & leases are valued at the lower of cost or fair value as described previously. The methods utilized to estimate the fair value of loans & leases do not necessarily represent an exit price. Deposit Liabilities - The fair values disclosed for demand deposits (e.g., interest and non-interest checking, passbook savings, and certain types of money market accounts) are, by definition, equal to the amount payable on demand at the reporting date (i.e., their carrying amount) resulting in a Level 1 classification. Fair values for fixed-maturity certificates of deposit are estimated using a discounted cash flows calculation that applies interest rates currently being offered on certificates to a schedule of aggregated expected monthly maturities on time deposits resulting in a Level 2 classification. Subordinated Debentures - The fair values of the Company’s Subordinated Debentures are estimated using discounted cash flow analyses based on the current borrowing rates for similar types of borrowing arrangements resulting in a Level 2 classification. Accrued Interest Receivable and Payable - The carrying amount of accrued interest receivable and payable approximates their fair value resulting in a Level 2 classification. |
Dividends and Basic Earnings Pe
Dividends and Basic Earnings Per Common Share | 9 Months Ended |
Sep. 30, 2017 | |
Dividends and Basic Earnings Per Common Share [Abstract] | |
Dividends and Basic Earnings Per Common Share | 6. Dividends and Basic Earnings Per Common Share Farmers & Merchants Bancorp common stock is not traded on any exchange. The shares are primarily held by local residents and are not actively traded. On May 9, 2017, the Board of Directors of Farmers & Merchants Bancorp announced a mid-year cash dividend of $6.75 per share, a 3.1% increase over the $6.55 per share paid on July 1, 2016. The cash dividend was paid on July 1, 2017, to shareholders of record on June 9, 2017. Basic earnings per common share amounts are computed by dividing net income by the weighted average number of common shares outstanding for the period. The Company has no securities or other contracts, such as stock options, that could require the issuance of common stock. Accordingly, diluted earnings per share are not presented. The following table calculates the basic earnings per common share for the three and nine months ended September 30, 2017 and 2016. Three Months Ended September 30, Nine Months Ended September 30, (net income in thousands) 2017 2016 2017 2016 Net Income $ 8,581 $ 7,538 $ 24,589 $ 22,042 Weighted Average Number of Common Shares Outstanding 810,291 792,387 809,002 792,223 Basic Earnings Per Common Share Amount $ 10.59 $ 9.51 $ 30.39 $ 27.82 |
Shareholders' Equity
Shareholders' Equity | 9 Months Ended |
Sep. 30, 2017 | |
Shareholders' Equity [Abstract] | |
Shareholders' Equity | 7. Shareholders’ Equity During the first and third quarters of 2017, the Company issued a combined total 4,975 shares of common stock to the Bank’s non-qualified defined contribution retirement plans. These shares were issued at prices ranging from $590.00 to $595.00 per share based upon valuations completed during the quarter of issuance by a nationally recognized bank consulting and advisory firm and in reliance upon the exemption in Section 4(a)(2) of the Securities Act of 1933, as amended, and the regulations promulgated thereunder. The proceeds were contributed to the Bank as equity capital. During the first quarter of 2016, the Company issued 1,600 shares of common stock to the Bank’s non-qualified defined contribution retirement plans. These shares were issued at a price of $525 per share based upon a valuation completed during the quarter of issuance by a nationally recognized bank consulting and advisory firm and in reliance upon the exemption in Section 4(2) of the Securities Act of 1933, as amended, the regulations promulgated thereunder. The proceeds were contributed to the Bank as equity capital. |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 9 Months Ended |
Sep. 30, 2017 | |
Recent Accounting Pronouncements [Abstract] | |
Recent Accounting Pronouncements | 8. Recent Accounting Pronouncements In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. The ASU will require the earlier recognition of credit losses on loans and other financial instruments based on an expected loss model, replacing the incurred loss model that is currently in use. Under the new guidance, an entity will measure all expected credit losses for financial instruments held at the reporting date based on historical experience, current conditions and reasonable and supportable forecasts. The expected loss model will apply to loans and leases, unfunded lending commitments, held-to maturity debt securities and other debt instruments measured at amortized cost. The impairment model for available-for-sale debt securities will require the recognition of credit losses through a valuation allowance when fair value is less than amortized cost, regardless of whether the impairment is considered to be other-than-temporary. The new guidance is effective on January 1, 2020, with early adoption permitted on January 1, 2019. The Company is currently In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) . The new standard is being issued to increase the transparency and comparability around lease obligations. Previously unrecorded off-balance sheet obligations will now be brought more prominently to light by presenting lease liabilities on the face of the balance sheet, accompanied by enhanced qualitative and quantitative disclosures in the notes to the financial statements. In August 2015, the FASB issued ASU 2015-14, which deferred the effective date of ASU 2014-09, Revenue from Contracts with Customers (Topic 606). As a result of the deferral, the guidance in ASU 2014-09 will be effective for the Company for reporting periods beginning after December 15, 2017. The Update modifies the guidance companies use to recognize revenue from contracts with customers for transfers of goods or services and transfers of nonfinancial assets, unless those contracts are within the scope of other standards. The guidance also requires new qualitative and quantitative disclosures, including information about contract balances and performance obligations. The Company is currently performing an overall assessment of revenue streams potentially affected by the ASU, including certain deposit related fees and interchange fees, to determine the potential impact of this guidance on our consolidated financial statements. |
Significant Accounting Polici17
Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2017 | |
Significant Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying consolidated financial statements and notes thereto have been prepared in accordance with accounting principles generally accepted in the United States of America for financial information. These statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) for interim reporting on Form 10-Q. Accordingly, certain disclosures normally presented in the notes to the annual consolidated financial statements prepared in accordance with U.S. GAAP have been omitted. These interim financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2016. The results of operations for the three-month and nine-month periods ended September 30, 2017 may not necessarily be indicative of future operating results. The accompanying consolidated financial statements include the accounts of the Company and the Company’s wholly owned subsidiaries, F & M Bancorp, Inc. and the Bank, along with the Bank’s wholly owned subsidiaries, Farmers & Merchants Investment Corporation and Farmers/Merchants Corp. Significant inter-company transactions have been eliminated in consolidation. The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions. These estimates and assumptions affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from these estimates. Certain amounts in the prior years' financial statements and related footnote disclosures have been reclassified to conform to the current-year presentation. These reclassifications had no effect on previously reported net income or total shareholders’ equity. |
Cash and Cash Equivalents | Cash and Cash Equivalents For purposes of the Consolidated Statements of Cash Flows, the Company has defined cash and cash equivalents as those amounts included in the balance sheet captions Cash and Due from Banks, Interest Bearing Deposits with Banks, Federal Funds Sold and Securities Purchased Under Agreements to Resell. For these instruments, the carrying amount is a reasonable estimate of fair value. |
Investment Securities | Investment Securities Investment securities are classified at the time of purchase as held-to-maturity (“HTM”) if it is management’s intent and the Company has the ability to hold the securities until maturity. These securities are carried at cost, adjusted for amortization of premium and accretion of discount using a level yield of interest over the estimated remaining period until maturity. Losses, reflecting a decline in value judged by the Company to be other than temporary, are recognized in the period in which they occur. Securities are classified as available-for-sale (“AFS”) if it is management’s intent, at the time of purchase, to hold the securities for an indefinite period of time and/or to use the securities as part of the Company’s asset/liability management strategy. These securities are reported at fair value with aggregate unrealized gains or losses excluded from income and included as a separate component of shareholders’ equity, net of related income taxes. Fair values are based on quoted market prices or broker/dealer price quotations on a specific identification basis. Gains or losses on the sale of these securities are computed using the specific identification method. Trading securities, if any, are acquired for short-term appreciation and are recorded in a trading portfolio and are carried at fair value, with unrealized gains and losses recorded in non-interest income. Management evaluates securities for other-than-temporary impairment (“OTTI”) on at least a quarterly basis, and more frequently when economic or market conditions warrant such an evaluation. For securities in an unrealized loss position, management considers the extent and duration of the unrealized loss, and the financial condition and near-term prospects of the issuer. Management also assesses whether it intends to sell, or it is more likely than not that it will be required to sell, a security in an unrealized loss position before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the entire difference between amortized cost and fair value is recognized as impairment through earnings. For debt securities that do not meet the aforementioned criteria, the amount of impairment is split into two components as follows: (1) OTTI related to credit loss, which must be recognized in the income statement; and (2) OTTI related to other factors, which is recognized in other comprehensive income. The credit loss is defined as the difference between the present value of the cash flows expected to be collected and the amortized cost basis. For equity securities, the entire amount of impairment is recognized through earnings. |
Loans & Leases | Loans & Leases Loans & leases are reported at the principal amount outstanding net of unearned discounts and deferred loan & lease fees and costs. Interest income on loans & leases is accrued daily on the outstanding balances using the simple interest method. Loan & lease origination fees are deferred and recognized over the contractual life of the loan or lease as an adjustment to the yield. Loans & leases are placed on non-accrual status when the collection of principal or interest is in doubt or when they become past due for 90 days or more unless they are both well-secured and in the process of collection. For this purpose, a loan or lease is considered well secured if it is collateralized by property having a net realizable value in excess of the amount of the loan or lease or is guaranteed by a financially capable party. When a loan or lease is placed on non-accrual status, the accrued and unpaid interest receivable is reversed and charged against current income; thereafter, interest income is recognized only as it is collected in cash. Additionally, cash would be applied to principal if all principal was not expected to be collected. Loans & leases placed on non-accrual status are returned to accrual status when the loans or leases are paid current as to principal, interest, and future payments are expected to be made in accordance with the contractual terms of the loan or lease. A loan or lease is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect all amounts due, including principal and interest, according to the contractual terms of the original agreement. Impaired loans & leases are either: (1) non-accrual loans & leases; or (2) restructured loans & leases that are still accruing interest. Loans or leases determined to be impaired are individually evaluated for impairment. When a loan or lease is impaired, the Company measures impairment based on the present value of expected future cash flows discounted at the loan or lease's effective interest rate, except that as a practical expedient, it may measure impairment based on a loan or lease's observable market price, or the fair value of the collateral if the loan or lease is collateral dependent. A loan or lease is collateral dependent if the repayment of the loan or lease is expected to be provided solely by the underlying collateral. A restructuring of a loan or lease constitutes a troubled debt restructuring (TDR) if the Company for economic or legal reasons related to the borrower’s (the term “borrower” is used herein to describe a customer who has entered into either a loan or lease transaction) financial difficulties grants a concession to the borrower that it would not otherwise consider. Restructured loans & leases typically present an elevated level of credit risk, as the borrowers are not able to perform according to the original contractual terms. If the restructured loan or lease was current on all payments at the time of restructure and management reasonably expects the borrower will continue to perform after the restructure, management may keep the loan or lease on accrual. Loans & leases that are on nonaccrual status at the time they become TDR, remain on nonaccrual status until the borrower demonstrates a sustained period of performance, which the Company generally believes to be six consecutive months of payments, or equivalent. A loan or lease can be removed from TDR status if it was restructured at a market rate in a prior calendar year and is currently in compliance with its modified terms. However, these loans or leases continue to be classified as impaired and are individually evaluated for impairment as described above. Generally, the Company will not restructure loans or leases for borrowers unless: (1) the existing loan or lease is brought current as to principal and interest payments; and (2) the restructured loan or lease can be underwritten to reasonable underwriting standards. If these standards are not met other actions will be pursued (e.g., foreclosure) to collect outstanding loan or lease amounts. After restructure, a determination is made whether the loan or lease will be kept on accrual status based upon the underwriting and historical performance of the restructured credit. |
Allowance for Credit Losses | Allowance for Credit Losses The allowance for credit losses is an estimate of probable incurred credit losses inherent in the Company's loan & lease portfolio as of the balance sheet date. The allowance is established through a provision for credit losses, which is charged to expense. Additions to the allowance are expected to maintain the adequacy of the total allowance after credit losses and loan & lease growth. Credit exposures determined to be uncollectible are charged against the allowance. Cash received on previously charged off amounts is recorded as a recovery to the allowance. The overall allowance consists of three primary components: specific reserves related to impaired loans & leases; general reserves for inherent losses related to loans & leases that are not impaired; and an unallocated component that takes into account the imprecision in estimating and allocating allowance balances associated with macro factors. The determination of the general reserve for loans & leases that are collectively evaluated for impairment is based on estimates made by management, to include, but not limited to, consideration of historical losses by portfolio segment, internal asset classifications, qualitative factors that include economic trends in the Company's service areas, industry experience and trends, geographic concentrations, estimated collateral values, the Company's underwriting policies, the character of the loan & lease portfolio, and probable losses inherent in the portfolio taken as a whole. The Company maintains a separate allowance for each portfolio segment (loan & lease type). These portfolio segments include: (1) commercial real estate; (2) agricultural real estate; (3) real estate construction (including land and development loans); (4) residential 1 st The Company assigns a risk rating to all loans & leases and periodically performs detailed reviews of all such loans & leases over a certain threshold to identify credit risks and assess overall collectability. For smaller balance loans & leases, such as consumer and residential real estate, a credit grade is established at inception, and then updated only when the loan or lease becomes contractually delinquent or when the borrower requests a modification. For larger balance loans, management monitors and analyzes the financial condition of borrowers and guarantors, trends in the industries in which borrowers operate and the fair values of collateral securing these loans & leases. These credit quality indicators are used to assign a risk rating to each individual loan or lease. These risk ratings are also subject to examination by independent specialists engaged by the Company. The risk ratings can be grouped into five major categories, defined as follows: Pass – A pass loan or lease is a strong credit with no existing or known potential weaknesses deserving of management's close attention. Special Mention – A special mention loan or lease has potential weaknesses that deserve management's close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or lease or in the Company's credit position at some future date. Special mention loans & leases are not adversely classified and do not expose the Company to sufficient risk to warrant adverse classification. Substandard – A substandard loan or lease is not adequately protected by the current financial condition and paying capacity of the borrower or the value of the collateral pledged, if any. Loans or leases classified as substandard have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. Well-defined weaknesses include a project's lack of marketability, inadequate cash flow or collateral support, failure to complete construction on time or the project's failure to fulfill economic expectations. Doubtful – Loss – Loans or leases classified as loss are considered uncollectible. Once a loan or lease becomes delinquent and repayment becomes questionable, the Company will address collateral shortfalls with the borrower and attempt to obtain additional collateral. If this is not forthcoming and payment in full is unlikely, the Company will estimate its probable loss and immediately charge-off some or all of the balance. The general reserve component of the allowance for credit losses also consists of reserve factors that are based on management's assessment of the following for each portfolio segment: (1) inherent credit risk; (2) historical losses; and (3) other qualitative factors. These reserve factors are inherently subjective and are driven by the repayment risk associated with each portfolio segment described below: Commercial Real Estate – Commercial real estate mortgage loans are generally considered to possess a higher inherent risk of loss than the Company’s commercial, agricultural and consumer loan types. Adverse economic developments or an overbuilt market impact commercial real estate projects and may result in troubled loans. Trends in vacancy rates of commercial properties impact the credit quality of these loans. High vacancy rates reduce operating revenues and the ability for properties to produce sufficient cash flow to service debt obligations. Real Estate Construction – Real estate construction loans, including land loans, are generally considered to possess a higher inherent risk of loss than the Company’s commercial, agricultural and consumer loan types. A major risk arises from the necessity to complete projects within specified cost and time lines. Trends in the construction industry significantly impact the credit quality of these loans, as demand drives construction activity. In addition, trends in real estate values significantly impact the credit quality of these loans, as property values determine the economic viability of construction projects. Commercial – These loans are generally considered to possess a moderate inherent risk of loss because they are shorter-term; typically made to relationship customers; generally underwritten to existing cash flows of operating businesses; and may be collateralized by fixed assets, inventory and/or accounts receivable. Debt coverage is provided by business cash flows and economic trends influenced by unemployment rates and other key economic indicators are closely correlated to the credit quality of these loans. Agricultural Real Estate and Agricultural – These loans are generally considered to possess a moderate inherent risk of loss since they are typically made to relationship customers and are secured by crop production, livestock and related real estate. These loans are vulnerable to two risk factors that are largely outside the control of Company and borrowers: commodity prices and weather conditions. Leases – Equipment leases are generally considered to possess a moderate inherent risk of loss. As lessor, the Company is subject to both the credit risk of the borrower and the residual value risk of the equipment. Credit risks are underwritten using the same credit criteria the Company would use when making an equipment term loan. Residual value risk is managed through the use of qualified, independent appraisers that establish the residual values the Company uses in structuring a lease. Residential 1st Mortgages and Home Equity Lines and Loans – These loans are generally considered to possess a low inherent risk of loss, although this is not always true as evidenced by the correction in residential real estate values that occurred between 2007 and 2012. The degree of risk in residential real estate lending depends primarily on the loan amount in relation to collateral value, the interest rate and the borrower's ability to repay in an orderly fashion. Economic trends determined by unemployment rates and other key economic indicators are closely correlated to the credit quality of these loans. Weak economic trends indicate that the borrowers' capacity to repay their obligations may be deteriorating. Consumer & Other – A consumer installment loan portfolio is usually comprised of a large number of small loans scheduled to be amortized over a specific period. Most installment loans are made for consumer purchases. Economic trends determined by unemployment rates and other key economic indicators are closely correlated to the credit quality of these loans. Weak economic trends indicate that the borrowers' capacity to repay their obligations may be deteriorating. At least quarterly, the Board of Directors reviews the adequacy of the allowance, including consideration of the relative risks in the portfolio, current economic conditions and other factors. If the Board of Directors and management determine that changes are warranted based on those reviews, the allowance is adjusted. In addition, the Company's and Bank's regulators, including the Federal Reserve Board (“FRB”), the California Department of Business Oversight (“DBO”) and the Federal Deposit Insurance Corporation (“FDIC”), as an integral part of their examination process, review the adequacy of the allowance. These regulatory agencies may require additions to the allowance based on their judgment about information available at the time of their examinations. |
Acquired Loans | Acquired Loans Loans acquired through purchase or through a business combination are recorded at their fair value at the acquisition date. Credit discounts, which reflect estimates of credit losses, expected to be incurred over the life of the loan, are included in the determination of fair value; therefore, an allowance for loan losses is not recorded at the acquisition date. |
Allowance for Credit Losses on Off-Balance-Sheet Credit Exposures | Allowance for Credit Losses on Off-Balance-Sheet Credit Exposures The Company also maintains a separate allowance for off-balance-sheet commitments. Management estimates anticipated losses using historical data and utilization assumptions. The allowance for off-balance-sheet commitments is included in Interest Payable and Other Liabilities on the Company’s Consolidated Balance Sheet. |
Premises and Equipment | Premises and Equipment Premises, equipment, and leasehold improvements are stated at cost, less accumulated depreciation and amortization. Depreciation is computed principally by the straight-line method over the estimated useful lives of the assets. Estimated useful lives of buildings range from 30 to 40 years, and for furniture and equipment from 3 to 7 years. Leasehold improvements are amortized over the lesser of the terms of the respective leases, or their useful lives, which are generally 5 to 10 years. Remodeling and capital improvements are capitalized while maintenance and repairs are charged directly to occupancy expense. |
Other Real Estate | Other Real Estate Other real estate, which is included in other assets, is expected to be sold and is comprised of properties no longer utilized for business operations and property acquired through foreclosure in satisfaction of indebtedness. These properties are recorded at fair value less estimated selling costs upon acquisition. Revised estimates to the fair value less cost to sell are reported as adjustments to the carrying amount of the asset, provided that such adjusted value is not in excess of the carrying amount at acquisition. Initial losses on properties acquired through full or partial satisfaction of debt are treated as credit losses and charged to the allowance for credit losses at the time of acquisition. Subsequent declines in value from the recorded amounts, routine holding costs, and gains or losses upon disposition, if any, are included in non-interest expense as incurred. |
Income Taxes | Income Taxes The Company uses the liability method of accounting for income taxes. This method results in the recognition of deferred tax assets and liabilities that are reflected at currently enacted income tax rates applicable to the period in which the deferred tax assets or liabilities are expected to be realized or settled. As changes in tax laws or rates are enacted, deferred tax assets and liabilities are adjusted through the provision for income taxes. The deferred provision for income taxes is the result of the net change in the deferred tax asset and deferred tax liability balances during the year. This amount combined with the current taxes payable or refundable results in the income tax expense for the current year. The Company follows the standards set forth in the “Income Taxes” topic of the Financial Accounting Standards Board (“FASB”) Accounting Standard Codification (“ASC”), which clarifies the accounting for uncertainty in income taxes recognized in an enterprise’s financial statements. This standard prescribes a recognition threshold and measurement standard for the financial statement recognition and measurement of an income tax position taken or expected to be taken in a tax return. It also provides guidance on derecognition, classification, interest and penalties, accounting in interim periods, disclosure, and transition. The Company accounts for leases with Investment Tax Credits (ITC) under the deferred method as established in ASC 740-10. ITC are viewed and accounted for as a reduction of the cost of the related assets and presented as deferred income on the Company’s financial statement. When tax returns are filed, it is certain that some positions taken would be sustained upon examination by the taxing authorities, while others are subject to uncertainty about the merits of the position taken or the amount of the position that would be ultimately sustained. The benefit of a tax position is recognized in the financial statements in the period during which, based on all available evidence, management believes it is more likely than not that the position will be sustained upon examination, including the resolution of appeals or litigation processes, if any. Tax positions taken are not offset or aggregated with other positions. Tax positions that meet the more-likely-than-not recognition threshold are measured as the largest amount of tax benefit that is more than 50 percent likely of being realized upon settlement with the applicable taxing authority. The portion of the benefits associated with tax positions taken that exceeds the amount measured as described above is reflected as a liability for unrecognized tax benefits in the accompanying consolidated balance sheet along with any associated interest and penalties that would be payable to the taxing authorities upon examination. Interest expense and penalties associated with unrecognized tax benefits, if any, are included in the provision for income taxes in the Consolidated Statements of Income. |
Basic Earnings Per Common Share | Basic Earnings Per Common Share The Company’s common stock is not traded on any exchange. The shares are primarily held by local residents and are not actively traded. Basic earnings per common share amounts are computed by dividing net income by the weighted average number of common shares outstanding for the period. There are no common stock equivalent shares. Therefore, there is no presentation of diluted basic earnings per common share. See Note 6 for additional information. |
Segment Reporting | Segment Reporting The “Segment Reporting” topic of the FASB ASC requires that public companies report certain information about operating segments. It also requires that public companies report certain information about their products and services, the geographic areas in which they operate, and their major customers. The Company is a holding company for a community bank, which offers a wide array of products and services to its customers. Pursuant to its banking strategy, emphasis is placed on building relationships with its customers, as opposed to building specific lines of business. As a result, the Company is not organized around discernible lines of business and prefers to work as an integrated unit to customize solutions for its customers, with business line emphasis and product offerings changing over time as needs and demands change. Therefore, the Company only reports one segment. |
Low Income Housing Tax Credit Investments (LIHTC) | Low Income Housing Tax Credit Investments (LIHTC) The Company accounts for its interest in LIHTC using the cost method as established in ASC 323-740. As an investor, the Company obtains income tax credits and deductions from the operating losses of these tax credit entities. The income tax credits and deductions are allocated to the investors based on their ownership percentages and are recorded as a reduction of income tax expense (or an increase to income tax benefit) and a reduction of federal income taxes payable. |
Comprehensive Income | Comprehensive Income The “Comprehensive Income” topic of the FASB ASC establishes standards for the reporting and display of comprehensive income and its components in the financial statements. Other comprehensive income (loss) refers to revenues, expenses, gains, and losses that U.S. GAAP recognize as changes in value to an enterprise but are excluded from net income. For the Company, comprehensive income includes net income and changes in fair value of its available-for-sale investment securities. |
Loss Contingencies | Loss Contingencies Loss contingencies, including claims and legal actions arising in the ordinary course of business, are recorded as liabilities when the likelihood of loss is probable and an amount or range of loss can be reasonably estimated. Management does not believe there now are such matters that will have a material effect on the financial statements. |
Business Combinations And Related Matters | Business Combinations And Related Matters Business combinations are accounted for under the acquisition method of accounting in accordance with ASC 805, Business Combinations. Under the acquisition method, the acquiring entity in a business combination recognizes 100 percent of the acquired assets and assumed liabilities, regardless of the percentage owned, at their estimated fair values as of the date of acquisition. Any excess of the fair value over the purchase price of net assets and other identifiable intangible assets acquired is recorded as bargain purchase gain. Assets acquired and liabilities assumed from contingencies must also be recognized at fair value, if the fair value can be determined during the measurement period. Results of operations of an acquired business are included in the statement of operations from the date of acquisition. Acquisition-related costs, including conversion charges, are expensed as incurred. The Company applied this guidance to the acquisition of Delta National Bancorp, which was consummated on November 18, 2016. The Company's consolidated financial statements reflect the operations of Delta National Bancorp beginning November 19, 2016. |
Intangible Assets | Intangible Assets Intangible assets are comprised of core deposit intangibles acquired in the Delta National Bancorp acquisition and included in other assets. Intangible assets with definite useful lives are amortized over their respective estimated useful lives. If an event occurs that indicates the carrying amount of an intangible asset may not be recoverable, management reviews the asset for impairment. |
Recent Accounting Pronounceme18
Recent Accounting Pronouncements (Policies) | 9 Months Ended |
Sep. 30, 2017 | |
Recent Accounting Pronouncements [Abstract] | |
Recent Accounting Pronouncements | In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. The ASU will require the earlier recognition of credit losses on loans and other financial instruments based on an expected loss model, replacing the incurred loss model that is currently in use. Under the new guidance, an entity will measure all expected credit losses for financial instruments held at the reporting date based on historical experience, current conditions and reasonable and supportable forecasts. The expected loss model will apply to loans and leases, unfunded lending commitments, held-to maturity debt securities and other debt instruments measured at amortized cost. The impairment model for available-for-sale debt securities will require the recognition of credit losses through a valuation allowance when fair value is less than amortized cost, regardless of whether the impairment is considered to be other-than-temporary. The new guidance is effective on January 1, 2020, with early adoption permitted on January 1, 2019. The Company is currently In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) . The new standard is being issued to increase the transparency and comparability around lease obligations. Previously unrecorded off-balance sheet obligations will now be brought more prominently to light by presenting lease liabilities on the face of the balance sheet, accompanied by enhanced qualitative and quantitative disclosures in the notes to the financial statements. In August 2015, the FASB issued ASU 2015-14, which deferred the effective date of ASU 2014-09, Revenue from Contracts with Customers (Topic 606). As a result of the deferral, the guidance in ASU 2014-09 will be effective for the Company for reporting periods beginning after December 15, 2017. The Update modifies the guidance companies use to recognize revenue from contracts with customers for transfers of goods or services and transfers of nonfinancial assets, unless those contracts are within the scope of other standards. The guidance also requires new qualitative and quantitative disclosures, including information about contract balances and performance obligations. The Company is currently performing an overall assessment of revenue streams potentially affected by the ASU, including certain deposit related fees and interchange fees, to determine the potential impact of this guidance on our consolidated financial statements. |
Investment Securities (Tables)
Investment Securities (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Investment Securities [Abstract] | |
Amortized Cost, Fair Values, and Unrealized Gains and Losses of Securities Available-for-Sale | The amortized cost, fair values, and unrealized gains and losses of the securities available-for-sale ( in thousands): Amortized Gross Unrealized Fair/Book September 30, 2017 Cost Gains Losses Value Government Agency & Government-Sponsored Entities $ 3,091 $ 78 $ - $ 3,169 US Treasury Notes 144,657 2 249 144,410 US Govt SBA 31,732 45 86 31,691 Mortgage Backed Securities (1) 274,877 1,985 819 276,043 Other 1,010 - - 1,010 Total $ 455,367 $ 2,110 $ 1,154 $ 456,323 Amortized Gross Unrealized Fair/Book December 31, 2016 Cost Gains Losses Value Government Agency & Government-Sponsored Entities $ 3,127 $ 114 $ - $ 3,241 US Treasury Notes 134,755 5 332 134,428 US Govt SBA 36,532 42 260 36,314 Mortgage Backed Securities (1) 272,858 1,725 1,313 273,270 Other 1,010 - - 1,010 Total $ 448,282 $ 1,886 $ 1,905 $ 448,263 Amortized Gross Unrealized Fair/Book September 30, 2016 Cost Gains Losses Value Government Agency & Government-Sponsored Entities $ 83,129 $ 165 $ 1 $ 83,293 US Treasury Notes 85,470 211 - 85,681 Mortgage Backed Securities (1) 183,268 5,605 - 188,873 Other 1,010 - - 1,010 Total $ 352,877 $ 5,981 $ 1 $ 358,857 (1) |
Book Values, Estimated Fair Values and Unrealized Gains and Losses of Investments Classified as Held-to-Maturity | The book values, estimated fair values and unrealized gains and losses of investments classified as held-to-maturity (in thousands) Book Gross Unrealized Fair September 30, 2017 Value Gains Losses Value Obligations of States and Political Subdivisions $ 55,542 $ 749 $ - $ 56,291 Total $ 55,542 $ 749 $ - $ 56,291 Book Gross Unrealized Fair December 31, 2016 Value Gains Losses Value Obligations of States and Political Subdivisions $ 58,109 $ 339 $ 40 $ 58,408 Total $ 58,109 $ 339 $ 40 $ 58,408 Book Gross Unrealized Fair September 30, 2016 Value Gains Losses Value Obligations of States and Political Subdivisions $ 58,905 $ 1,549 $ - $ 60,454 Total $ 58,905 $ 1,549 $ - $ 60,454 |
Amortized Cost and Estimated Fair Values of Investment Securities by Contractual Maturity | The amortized cost and estimated fair values of investment securities at September 30, 2017 by contractual maturity are shown in the following table (in thousands): Available-for-Sale Held-to-Maturity September 30, 2017 Amortized Cost Fair/Book Value Book Value Fair Value Within one year $ 111,092 $ 111,024 $ 1,985 $ 1,989 After one year through five years 30,477 30,394 9,221 9,238 After five years through ten years 13,429 13,408 13,694 13,887 After ten years 25,492 25,454 30,642 31,177 180,490 180,280 55,542 56,291 Investment securities not due at a single maturity date: Mortgage-backed securities 274,877 276,043 - - Total $ 455,367 $ 456,323 $ 55,542 $ 56,291 |
Investments with Gross Unrealized Losses and Their Market Value Aggregated by Investment Category and Length of Time that Individual Securities Have Been in a Continuous Unrealized Loss Position | The following tables show those investments with gross unrealized losses and their market value aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at the dates indicated (in thousands) Less Than 12 Months 12 Months or More Total September 30, 2017 Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss Securities Available-for-Sale US Treasury Notes $ 74,414 $ 249 $ - $ - $ 74,414 $ 249 US Govt SBA 18,669 86 - - 18,669 86 Mortgage Backed Securities 122,887 819 - - 122,887 819 Total $ 215,970 $ 1,154 $ - $ - $ 215,970 $ 1,154 Less Than 12 Months 12 Months or More Total December 31, 2016 Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss Securities Available-for-Sale US Treasury Notes $ 99,429 $ 332 $ - $ - $ 99,429 $ 332 US Govt SBA 27,483 260 - - 27,483 260 Mortgage Backed Securities 123,157 1,313 - - 123,157 1,313 Total $ 250,069 $ 1,905 $ - $ - $ 250,069 $ 1,905 Securities Held-to-Maturity Obligations of States and Political Subdivisions $ 7,251 $ 40 $ - $ - $ 7,251 $ 40 Total $ 7,251 $ 40 $ - $ - $ 7,251 $ 40 Less Than 12 Months 12 Months or More Total September 30, 2016 Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss Securities Available-for-Sale Government Agency & Government-Sponsored Entities $ 59,993 $ 1 $ - $ - $ 59,993 $ 1 Total $ 59,993 $ 1 $ - $ - $ 59,993 $ 1 |
Proceeds from Sales and Calls of Securities | Proceeds from sales and calls of securities were as follows: Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2017 2016 2017 2016 Proceeds $ - $ 1,855 $ 7,831 $ 104,750 Gains - 3 143 248 Losses - - 12 534 |
Loans & Leases and Allowance 20
Loans & Leases and Allowance for Credit Losses (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Loans & Leases and Allowance for Credit Losses [Abstract] | |
Allocation of Allowance for Credit Losses by Portfolio Segment and by Impairment Methodology | The following tables show the allocation of the allowance for credit losses by portfolio segment and by impairment methodology at the dates indicated (in thousands) September 30, 2017 Commercial Real Estate Agricultural Real Estate Real Estate Construction Residential 1st Mortgages Home Equity Lines & Loans Agricultural Commercial Consumer & Other Leases Unallocated Total Year-To-Date Allowance for Credit Losses: Beginning Balance- January 1, 2017 $ 11,110 $ 9,450 $ 3,223 $ 865 $ 2,140 $ 7,381 $ 8,515 $ 200 $ 3,586 $ 1,449 $ 47,919 Charge-Offs (109 ) - - - - (7 ) - (114 ) - - (230 ) Recoveries 110 - - 37 6 - 6 46 - - 205 Provision (14 ) 1,946 (473 ) 95 115 (14 ) 539 77 (392 ) 971 2,850 Ending Balance- September 30, 2017 $ 11,097 $ 11,396 $ 2,750 $ 997 $ 2,261 $ 7,360 $ 9,060 $ 209 $ 3,194 $ 2,420 $ 50,744 Third Quarter Allowance for Credit Losses: Beginning Balance- July 1, 2017 $ 11,242 $ 10,265 $ 2,687 $ 872 $ 2,170 $ 7,236 $ 9,544 $ 205 $ 2,952 $ 1,891 $ 49,064 Charge-Offs - - - - - - - (54 ) - - (54 ) Recoveries 99 - - 18 1 - 2 14 - - 134 Provision (244 ) 1,131 63 107 90 124 (486 ) 44 242 529 1,600 Ending Balance- September 30, 2017 $ 11,097 $ 11,396 $ 2,750 $ 997 $ 2,261 $ 7,360 $ 9,060 $ 209 $ 3,194 $ 2,420 $ 50,744 Ending Balance Individually Evaluated for Impairment 385 - - 61 17 69 231 5 - - 768 Ending Balance Collectively Evaluated for Impairment 10,712 11,396 2,750 936 2,244 7,291 8,829 204 3,194 2,420 49,976 Loans & Leases: Ending Balance $ 683,037 $ 470,738 $ 162,167 $ 257,920 $ 33,350 $ 259,127 $ 257,951 $ 7,312 $ 85,177 $ - $ 2,216,779 Ending Balance Individually Evaluated for Impairment 4,855 - - 1,887 369 368 1,752 7 - - 9,238 Ending Balance Collectively Evaluated for Impairment $ 678,182 $ 470,738 $ 162,167 $ 256,033 $ 32,981 $ 258,759 $ 256,199 $ 7,305 $ 85,177 $ - $ 2,207,541 December 31, 2016 Commercial Real Estate Agricultural Real Estate Real Estate Construction Residential 1st Mortgages Home Equity Lines & Loans Agricultural Commercial Consumer & Other Leases Unallocated Total Year-To-Date Allowance for Credit Losses: Beginning Balance- January 1, 2016 $ 10,063 $ 6,881 $ 2,485 $ 789 $ 2,146 $ 6,308 $ 7,836 $ 175 $ 3,294 $ 1,546 $ 41,523 Charge-Offs - - - (21 ) (46 ) - - (105 ) - - (172 ) Recoveries 2 - - 26 103 - 47 55 - - 233 Provision 1,045 2,569 738 71 (63 ) 1,073 632 75 292 (97 ) 6,335 Ending Balance- December 31, 2016 $ 11,110 $ 9,450 $ 3,223 $ 865 $ 2,140 $ 7,381 $ 8,515 $ 200 $ 3,586 $ 1,449 $ 47,919 Ending Balance Individually Evaluated for Impairment - - - 70 18 128 608 7 - - 831 Ending Balance Collectively Evaluated for Impairment 11,110 9,450 3,223 795 2,122 7,253 7,907 193 3,586 1,449 47,088 Loans & Leases: Ending Balance $ 668,046 $ 467,685 $ 176,462 $ 242,247 $ 31,625 $ 295,325 $ 217,577 $ 6,913 $ 71,721 $ - $ 2,177,601 Ending Balance Individually Evaluated for Impairment 1,932 1,304 - 2,126 402 625 4,464 10 - - 10,863 Ending Balance Collectively Evaluated for Impairment $ 666,114 $ 466,381 $ 176,462 $ 240,121 $ 31,223 $ 294,700 $ 213,113 $ 6,903 $ 71,721 $ - $ 2,166,738 September 30, 2016 Commercial Real Estate Agricultural Real Estate Real Estate Construction Residential 1st Mortgages Home Equity Lines & Loans Agricultural Commercial Consumer & Other Leases Unallocated Total Year-To-Date Allowance for Credit Losses: Beginning Balance- January 1, 2016 $ 10,063 $ 6,881 $ 2,485 $ 789 $ 2,146 $ 6,308 $ 7,836 $ 175 $ 3,294 $ 1,546 $ 41,523 Charge-Offs - - - (7 ) (46 ) - - (77 ) - - (130 ) Recoveries 2 - - 13 102 - 45 41 - - 203 Provision 57 2,490 (27 ) 34 (7 ) (86 ) (281 ) 40 250 380 2,850 Ending Balance- September 30, 2016 $ 10,122 $ 9,371 $ 2,458 $ 829 $ 2,195 $ 6,222 $ 7,600 $ 179 $ 3,544 $ 1,926 $ 44,446 Third Quarter Allowance for Credit Losses: Beginning Balance- July 1, 2016 $ 10,236 $ 9,501 $ 2,442 $ 837 $ 2,149 $ 6,223 $ 7,849 $ 170 $ 3,442 $ 1,269 $ 44,118 Charge-Offs - - - - - - - (25 ) - - (25 ) Recoveries - - - 4 69 - 16 14 - - 103 Provision (114 ) (130 ) 16 (12 ) (23 ) (1 ) (265 ) 20 102 657 250 Ending Balance- September 30, 2016 $ 10,122 $ 9,371 $ 2,458 $ 829 $ 2,195 $ 6,222 $ 7,600 $ 179 $ 3,544 $ 1,926 $ 44,446 Ending Balance Individually Evaluated for Impairment - - - 74 18 129 620 7 - - 848 Ending Balance Collectively Evaluated for Impairment 10,122 9,371 2,458 755 2,177 6,093 6,980 172 3,544 1,926 43,598 Loans & Leases: Ending Balance $ 627,114 $ 439,972 $ 175,045 $ 238,376 $ 32,513 $ 274,704 $ 214,086 $ 6,975 $ 70,885 $ - $ 2,079,670 Ending Balance Individually Evaluated for Impairment 4,324 513 - 2,173 409 640 4,509 11 - - 12,579 Ending Balance Collectively Evaluated for Impairment $ 622,790 $ 439,459 $ 175,045 $ 236,203 $ 32,104 $ 274,064 $ 209,577 $ 6,964 $ 70,885 $ - $ 2,067,091 |
Loan & Lease Portfolio Allocated by Management's Internal Risk Ratings | The following tables show the loan & lease portfolio allocated by management’s internal risk ratings at the dates indicated (in thousands) September 30, 2017 Pass Special Mention Substandard Total Loans & Leases Loans & Leases: Commercial Real Estate $ 678,083 $ 4,458 $ 496 $ 683,037 Agricultural Real Estate 465,427 1,281 4,030 470,738 Real Estate Construction 152,989 9,178 - 162,167 Residential 1st Mortgages 256,906 43 971 257,920 Home Equity Lines & Loans 33,297 - 53 33,350 Agricultural 250,372 5,331 3,424 259,127 Commercial 253,144 4,184 623 257,951 Consumer & Other 7,142 - 170 7,312 Leases 82,889 2,288 - 85,177 Total $ 2,180,249 $ 26,763 $ 9,767 $ 2,216,779 December 31, 2016 Pass Special Mention Substandard Total Loans Loans & Leases: Commercial Real Estate $ 659,694 $ 6,817 $ 1,535 $ 668,046 Agricultural Real Estate 464,997 1,384 1,304 467,685 Real Estate Construction 176,462 - - 176,462 Residential 1st Mortgages 241,816 47 384 242,247 Home Equity Lines and Loans 31,558 - 67 31,625 Agricultural 283,525 11,366 434 295,325 Commercial 208,172 6,974 2,431 217,577 Consumer & Other 6,705 - 208 6,913 Leases 71,721 - - 71,721 Total $ 2,144,650 $ 26,588 $ 6,363 $ 2,177,601 September 30, 2016 Pass Special Mention Substandard Total Loans & Leases Loans & Leases: Commercial Real Estate $ 618,975 $ 7,141 $ 998 $ 627,114 Agricultural Real Estate 437,059 1,418 1,495 439,972 Real Estate Construction 173,556 1,489 - 175,045 Residential 1st Mortgages 237,254 404 718 238,376 Home Equity Lines & Loans 32,408 - 105 32,513 Agricultural 273,184 1,070 450 274,704 Commercial 204,119 7,105 2,862 214,086 Consumer & Other 6,816 - 159 6,975 Leases 70,885 - - 70,885 Total $ 2,054,256 $ 18,627 $ 6,787 $ 2,079,670 |
Aging Analysis of Loan & Lease Portfolio by Time Past Due | The following tables show an aging analysis of the loan & lease portfolio by the time past due at the dates indicated (in thousands) September 30, 2017 30-59 Days Past Due 60-89 Days Past Due 90 Days and Still Accruing Nonaccrual Total Past Due Current Total Loans & Leases Loans & Leases: Commercial Real Estate $ - $ - $ - $ - $ - $ 683,037 $ 683,037 Agricultural Real Estate - - - - - 470,738 470,738 Real Estate Construction - - - - - 162,167 162,167 Residential 1st Mortgages - - - - - 257,920 257,920 Home Equity Lines & Loans - - - - - 33,350 33,350 Agricultural - - - - - 259,127 259,127 Commercial - 3 - - 3 257,948 257,951 Consumer & Other 16 - - 4 20 7,292 7,312 Leases - - - - - 85,177 85,177 Total $ 16 $ 3 $ - $ 4 $ 23 $ 2,216,756 $ 2,216,779 December 31, 2016 30-59 Days Past Due 60-89 Days Past Due 90 Days and Still Accruing Nonaccrual Total Past Due Current Total Loans & Leases Loans & Leases: Commercial Real Estate $ - $ - $ - $ - $ - $ 668,046 $ 668,046 Agricultural Real Estate - - - 1,304 1,304 466,381 467,685 Real Estate Construction - - - - - 176,462 176,462 Residential 1st Mortgages - - - 95 95 242,152 242,247 Home Equity Lines and Loans - - - - - 31,625 31,625 Agricultural - - - 243 243 295,082 295,325 Commercial - - - 1,425 1,425 216,152 217,577 Consumer & Other 10 - - 7 17 6,896 6,913 Leases - - - - - 71,721 71,721 Total $ 10 $ - $ - $ 3,074 $ 3,084 $ 2,174,517 $ 2,177,601 September 30, 2016 30-59 Days Past Due 60-89 Days Past Due 90 Days and Still Accruing Nonaccrual Total Past Due Current Total Loans & Leases Loans & Leases: Commercial Real Estate $ - $ - $ - $ 998 $ 998 $ 626,116 $ 627,114 Agricultural Real Estate - 983 - 322 1,305 438,667 439,972 Real Estate Construction - - - - - 175,045 175,045 Residential 1st Mortgages - - - 55 55 238,321 238,376 Home Equity Lines & Loans - - - - - 32,513 32,513 Agricultural - - - 243 243 274,461 274,704 Commercial - - - 1,450 1,450 212,636 214,086 Consumer & Other 5 - - 7 12 6,963 6,975 Leases - - - - - 70,885 70,885 Total $ 5 $ 983 $ - $ 3,075 $ 4,063 $ 2,075,607 $ 2,079,670 |
Impaired Loans & Leases | The following tables show information related to impaired loans & leases for the periods indicated (in thousands) Three Months Ended September 30, 2017 Nine Months Ended September 30, 2017 September 30, 2017 Recorded Investment Unpaid Principal Balance Related Allowance Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized With no related allowance recorded: Commercial Real Estate $ 106 $ 107 $ - $ 107 $ 2 $ 121 $ 9 Agricultural Real Estate - - - 488 - 868 - Residential 1st Mortgages 399 456 - 403 3 415 6 Home Equity Lines & Loans - - - - - 21 - Agricultural - - - 30 - 40 - Commercial - - - - - 504 - $ 505 $ 563 $ - $ 1,028 $ 5 $ 1,969 $ 15 With an allowance recorded: Commercial Real Estate $ 2,991 $ 2,977 $ 384 $ 3,000 $ 25 2,509 $ 80 Residential 1st Mortgages 519 574 26 472 3 442 12 Home Equity Lines & Loans 83 90 4 67 - 76 2 Agricultural 367 367 69 499 7 588 21 Commercial 1,760 1,752 234 1,696 14 1,624 44 Consumer & Other 4 11 4 14 - 12 - $ 5,724 $ 5,771 $ 721 $ 5,748 $ 49 5,251 $ 159 Total $ 6,229 $ 6,334 $ 721 $ 6,776 $ 54 $ 7,220 $ 174 December 31, 2016 Recorded Investment Unpaid Principal Balance Related Allowance Average Recorded Investment Interest Income Recognized With no related allowance recorded: Commercial Real Estate $ 184 $ 184 $ - $ 354 $ 7 Residential 1st Mortgages 451 504 - 404 10 Home Equity Lines and Loans - - - 181 - Agricultural - - - 144 5 Commercial 3,023 3,023 - 3,053 133 $ 4,963 $ 5,016 $ - $ 4,705 $ 158 With an allowance recorded: Residential 1st Mortgages $ 430 $ 469 $ 21 $ 336 $ 13 Home Equity Lines and Loans 90 97 5 123 4 Agricultural 625 625 128 581 22 Commercial 1,441 1,640 608 1,536 8 Consumer & Other 6 13 6 12 - $ 2,592 $ 2,844 $ 768 $ 2,588 $ 47 Total $ 7,555 $ 7,860 $ 768 $ 7,293 $ 205 Three Months Ended September 30, 2016 Nine Months Ended September 30, 2016 September 30, 2016 Recorded Investment Unpaid Principal Balance Related Allowance Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized With no related allowance recorded: Commercial Real Estate $ 1,074 $ 1,071 $ - $ 575 $ 2 $ 248 $ 6 Agricultural Real Estate 322 322 - 404 - 270 3 Residential 1st Mortgages 414 466 - 417 3 411 7 Home Equity Lines & Loans - - - - - 339 - Agricultural 191 191 - 192 2 193 5 Commercial 3,042 3,043 - 3,053 33 3,073 100 Consumer & Other - - 1 - 1 - $ 5,043 $ 5,093 $ - $ 4,642 $ 40 $ 4,535 $ 121 With an allowance recorded: Residential 1st Mortgages $ 430 $ 471 $ 21 $ 335 $ 3 $ 290 $ 9 Home Equity Lines & Loans 92 98 5 93 1 142 3 Agricultural 640 640 137 644 6 529 18 Commercial 1,466 1,648 620 1,536 - 1,599 8 Consumer & Other 7 13 7 8 - 18 - $ 2,635 $ 2,870 $ 790 $ 2,616 $ 10 $ 2,578 $ 38 Total $ 7,678 $ 7,963 $ 790 $ 7,258 $ 50 $ 7,113 $ 159 |
Loans & Leases by Class Modified as Troubled Debt Restructured Loans | The following table presents loans or leases by class modified as troubled debt restructured loans or leases during the three and nine-month periods ended September 30, 2017 (in thousands) Three Months Ended September 30, 2017 Nine Months Ended September 30, 2017 Troubled Debt Restructurings 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 Residential 1st Mortgages 1 $ 112 $ 112 1 $ 112 $ 112 Home Equity Lines & Loans 1 32 32 1 32 32 Commercial 2 138 138 2 138 138 Total 4 $ 282 $ 282 4 $ 282 $ 282 The following table presents loans by class modified as troubled debt restructured loans for the period ended December 31, 2016 (in thousands) December 31, 2016 Troubled Debt Restructurings Number of Loans Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Commercial Real Estate 1 $ 112 $ 112 Residential 1st Mortgages 2 289 281 Home Equity Lines and Loans 2 305 286 Total 5 $ 706 $ 679 The following table presents loans or leases by class modified as troubled debt restructured loans or leases during the three and nine-month periods ended September 30, 2016 (in thousands) Three Months Ended September 30, 2016 Nine Months Ended September 30, 2016 Troubled Debt Restructurings 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 Residential 1st Mortgages 1 $ 192 $ 192 2 $ 289 $ 281 Home Equity Lines & Loans - - - 2 305 286 Total 1 $ 192 $ 192 4 $ 594 $ 567 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Fair Value Measurements [Abstract] | |
Assets and Liabilities Measured at Fair Value on a Recurring Basis | The following tables present information about the Company’s assets and liabilities measured at fair value on a recurring basis and indicate the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair value for the periods indicated. Fair Value Measurements At September 30, 2017, Using (in thousands) Fair Value Quoted Prices in Active Markets for Identical Assets Other Observable Inputs Significant Unobservable Inputs Available-for-Sale Securities: Government Agency & Government-Sponsored Entities $ 3,169 $ - $ 3,169 $ - US Treasury Notes 144,410 144,410 - - US Govt SBA 31,691 - 31,691 - Mortgage Backed Securities 276,043 - 276,043 - Other 1,010 200 310 500 Total Assets Measured at Fair Value On a Recurring Basis $ 456,323 $ 144,610 $ 311,213 $ 500 Fair Value Measurements At December 31, 2016, Using (in thousands) Fair Value Quoted Prices in Active Markets for Identical Assets Other Observable Inputs Significant Unobservable Inputs Available-for-Sale Securities: Government Agency & Government-Sponsored Entities $ 3,241 $ - $ 3,241 $ - US Treasury Notes 134,428 134,428 - - US Govt SBA 36,314 - 36,314 - Mortgage Backed Securities 273,270 - 273,270 - Other 1,010 200 310 500 Total Assets Measured at Fair Value On a Recurring Basis $ 448,263 $ 134,628 $ 313,135 $ 500 Fair Value Measurements At September 30, 2016, Using (in thousands) Fair Value Quoted Prices in Active Markets for Identical Assets Other Observable Inputs Significant Unobservable Inputs Available-for-Sale Securities: Government Agency & Government-Sponsored Entities $ 83,293 $ - $ 83,293 $ - US Treasury Notes 85,681 85,681 - - Mortgage Backed Securities 188,873 - 188,873 - Other 1,010 200 310 500 Total Assets Measured at Fair Value On a Recurring Basis $ 358,857 $ 85,881 $ 272,476 $ 500 |
Assets and Liabilities Measured at Fair Value on a Non-Recurring Basis | The following tables present information about the Company’s other real estate and impaired loans or leases, classes of assets or liabilities that the Company carries at fair value on a non-recurring basis, and indicates the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair value for the periods indicated. Not all impaired loans or leases are carried at fair value. Impaired loans or leases are only included in the following tables when their fair value is based upon a current appraisal of the collateral, and if that appraisal results in a partial charge-off or the establishment of a specific reserve. Fair Value Measurements At September 30, 2017, Using (in thousands) Fair Value Quoted Prices in Active Markets for Identical Assets Other Observable Inputs Significant Unobservable Inputs Impaired Loans Commercial Real Estate $ 2,594 $ - $ - $ 2,594 Residential 1st Mortgage 491 - - 491 Home Equity Lines and Loans 78 - - 78 Agricultural 298 - - 298 Commercial 1,519 - - 1,519 Total Impaired Loans 4,980 - - 4,980 Other Real Estate Real Estate Construction 873 - - 873 Total Other Real Estate 873 - - 873 Total Assets Measured at Fair Value On a Non-Recurring Basis $ 5,853 $ - $ - $ 5,853 Fair Value Measurements At December 31, 2016, Using (in thousands) Fair Value Quoted Prices in Active Markets for Identical Assets Other Observable Inputs Significant Unobservable Inputs Impaired Loans: Residential 1st Mortgage $ 480 $ - $ - $ 480 Home Equity Lines and Loans 83 - - 83 Agricultural 497 - - 497 Commercial 833 - - 833 Total Impaired Loans 1,893 - - 1,893 Other Real Estate: Home Equity Lines and Loans 785 - - 785 Real Estate Construction 2,960 - - 2,960 Total Other Real Estate 3,745 - - 3,745 Total Assets Measured at Fair Value On a Non-Recurring Basis $ 5,638 $ - $ - $ 5,638 Fair Value Measurements At September 30, 2016, Using (in thousands) Fair Value Quoted Prices in Active Markets for Identical Assets Other Observable Inputs Significant Unobservable Inputs Impaired Loans Residential 1st Mortgage $ 496 $ - $ - $ 496 Home Equity Lines and Loans 84 - - 84 Agricultural 503 - - 503 Commercial 847 - - 847 Total Impaired Loans 1,930 - - 1,930 Other Real Estate Home Equity Lines and Loans 785 - - 785 Total Other Real Estate 785 - - 785 Total Assets Measured at Fair Value On a Non-Recurring Basis $ 2,715 $ - $ - $ 2,715 |
Quantitative Information about Level 3 Fair Value Measurements for Financial Instruments Measured at Fair Value on a Nonrecurring Basis | The following table presents quantitative information about Level 3 fair value measurements for financial instruments measured at fair value on a nonrecurring basis at September 30, 2017: (in thousands) Fair Value Valuation Technique Unobservable Inputs Range, Weighted Avg. Impaired Loans Commercial Real Estate $ 2,594 Income Approach Discount Rate 3.25% - 3.25%, 3.25 % Residential 1st Mortgage $ 491 Sales Comparison Approach Adjustment for Difference Between Comparable Sales 1% - 4%, 3 % Home Equity Lines and Loans $ 78 Sales Comparison Approach Adjustment for Difference Between Comparable Sales 1% - 2%, 2 % Agricultural $ 298 Income Approach Discount Rate 7.50% - 7.50%, 7.50 % Commercial $ 1,519 Income Approach Discount Rate 2.00% - 9.00%, 3.00 % Other Real Estate Real Estate Construction $ 873 Sales Comparison Approach Adjustment for Difference Between Comparable Sales 10% - 10%, 10 % |
Fair Value of Financial Instr22
Fair Value of Financial Instruments (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Fair Value of Financial Instruments [Abstract] | |
Book Value and Estimated Fair Value of Financial Instruments | The following tables summarize the book value and estimated fair value of financial instruments for the periods indicated: Fair Value of Financial Instruments Using September 30, 2017 (in thousands) Carrying Amount Quoted Prices in Active Markets for Identical Assets (Level 1) Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Estimated Fair Value Assets: Cash and Cash Equivalents $ 193,270 $ 193,270 $ - $ - $ 193,270 Investment Securities Available-for-Sale: Government Agency & Government-Sponsored Entities 3,169 - 3,169 - 3,169 U.S. Govt SBA 31,691 - 31,691 - 31,691 U.S. Treasury Notes 144,410 144,410 - - 144,410 Mortgage Backed Securities 276,043 - 276,043 - 276,043 Other 1,010 200 310 500 1,010 Total Investment Securities Available-for-Sale 456,323 144,610 311,213 500 456,323 Investment Securities Held-to-Maturity: Obligations of States and Political Subdivisions 55,542 - 39,254 17,037 56,292 Total Investment Securities Held-to-Maturity 55,542 - 39,254 17,037 56,292 FHLB Stock 10,342 N/A N/A N/A N/A Loans & Leases, Net of Deferred Fees & Allowance: Commercial Real Estate 671,940 - - 665,566 665,566 Agricultural Real Estate 459,342 - - 446,684 446,684 Real Estate Construction 159,417 - - 159,131 159,131 Residential 1st Mortgages 256,923 - - 258,256 258,256 Home Equity Lines and Loans 31,089 - - 31,869 31,869 Agricultural 251,767 - - 249,995 249,995 Commercial 248,891 - - 247,344 247,344 Consumer & Other 7,103 - - 7,067 7,067 Leases 81,983 - - 85,032 85,032 Unallocated Allowance (2,420 ) - - (2,420 ) (2,420 ) Total Loans & Leases, Net of Deferred Fees & Allowance 2,166,035 - - 2,148,524 2,148,524 Accrued Interest Receivable 11,498 - 11,498 - 11,498 Liabilities: Deposits: Demand 767,162 767,162 - - 767,162 Interest Bearing Transaction 564,904 564,904 - - 564,904 Savings and Money Market 827,588 827,588 - - 827,588 Time 549,773 - 547,796 - 547,796 Total Deposits 2,709,427 2,159,654 547,796 - 2,707,450 Subordinated Debentures 10,310 - 6,589 - 6,589 Accrued Interest Payable 939 - 939 - 939 Fair Value of Financial Instruments Using December 31, 2016 (in thousands) Carrying Amount Quoted Prices in Active Markets for Identical Assets (Level 1) Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Estimated Fair Value Assets: Cash and Cash Equivalents $ 98,960 $ 98,960 $ - $ - $ 98,960 Investment Securities Available-for-Sale: Government Agency & Government-Sponsored Entities 3,241 - 3,241 - 3,241 U.S. Govt SBA 36,314 - 36,314 - 36,314 U.S. Treasury Notes 134,428 134,428 - - 134,428 Mortgage Backed Securities 273,270 - 273,270 - 273,270 Other 1,010 200 310 500 1,010 Total Investment Securities Available-for-Sale 448,263 134,628 313,135 500 448,263 Investment Securities Held-to-Maturity: Obligations of States and Political Subdivisions 58,109 - 40,415 17,993 58,408 Total Investment Securities Held-to-Maturity 58,109 - 40,415 17,993 58,408 FHLB Stock 8,872 N/A N/A N/A N/A Loans & Leases, Net of Deferred Fees & Allowance: Commercial Real Estate 656,936 - - 651,877 651,877 Agricultural Real Estate 458,235 - - 444,393 444,393 Real Estate Construction 173,239 - - 172,682 172,682 Residential 1st Mortgages 241,382 - - 241,174 241,174 Home Equity Lines and Loans 29,485 - - 30,495 30,495 Agricultural 287,944 - - 286,074 286,074 Commercial 209,062 - - 207,215 207,215 Consumer & Other 6,713 - - 6,706 6,706 Leases 68,135 - - 67,893 67,893 Unallocated Allowance (1,449 ) - - (1,449 ) (1,449 ) Total Loans & Leases, Net of Deferred Fees & Allowance 2,129,682 - - 2,107,060 2,107,060 Accrued Interest Receivable 10,047 - 10,047 - 10,047 Liabilities: Deposits: Demand 756,236 756,236 - - 756,236 Interest Bearing Transaction 495,063 495,063 - - 495,063 Savings and Money Market 760,119 760,119 - - 760,119 Time 570,293 - 569,183 - 569,183 Total Deposits 2,581,711 2,011,418 569,183 - 2,580,601 Subordinated Debentures 10,310 - 6,578 - 6,578 Accrued Interest Payable 852 - 852 - 852 Fair Value of Financial Instruments Using September 30, 2016 (in thousands) Carrying Amount Quoted Prices in Active Markets for Identical Assets (Level 1) Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Estimated Fair Value Assets: Cash and Cash Equivalents $ 99,303 $ 99,303 $ - $ - $ 99,303 Investment Securities Available-for-Sale: Government Agency & Government-Sponsored Entities 83,293 - 83,293 - 83,293 US Treasury Notes 85,681 85,681 - - 85,681 Mortgage Backed Securities 188,873 - 188,873 - 188,873 Other 1,010 200 310 500 1,010 Total Investment Securities Available-for-Sale 358,857 85,881 272,476 500 358,857 Investment Securities Held-to-Maturity: Obligations of States and Political Subdivisions 58,905 - 42,675 17,779 60,454 Total Investment Securities Held-to-Maturity 58,905 - 42,675 17,779 60,454 FHLB Stock 8,872 N/A N/A N/A N/A Loans & Leases, Net of Deferred Fees & Allowance: Commercial Real Estate 616,992 - - 620,655 620,655 Agricultural Real Estate 430,601 - - 422,056 422,056 Real Estate Construction 172,587 - - 172,358 172,358 Residential 1st Mortgages 237,547 - - 241,703 241,703 Home Equity Lines and Loans 30,318 - - 31,397 31,397 Agricultural 268,482 - - 267,101 267,101 Commercial 206,486 - - 205,769 205,769 Consumer & Other 6,796 - - 6,832 6,832 Leases 67,341 69,408 69,408 Unallocated Allowance (1,926 ) - - (1,926 ) (1,926 ) Total Loans & Leases, Net of Deferred Fees & Allowance 2,035,224 - - 2,035,353 2,035,353 Accrued Interest Receivable 10,116 - 10,116 - 10,116 Liabilities: Deposits: Demand 672,351 672,351 - - 672,351 Interest Bearing Transaction 433,220 433,220 - - 433,220 Savings and Money Market 702,441 702,441 - - 702,441 Time 547,625 - 547,145 - 547,145 Total Deposits 2,355,637 1,808,012 547,145 - 2,355,157 Subordinated Debentures 10,310 - 6,606 - 6,606 Accrued Interest Payable 681 - 681 - 681 |
Dividends and Basic Earnings 23
Dividends and Basic Earnings Per Common Share (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Dividends and Basic Earnings Per Common Share [Abstract] | |
Calculation of Basic Earnings per Share | The following table calculates the basic earnings per common share for the three and nine months ended September 30, 2017 and 2016. Three Months Ended September 30, Nine Months Ended September 30, (net income in thousands) 2017 2016 2017 2016 Net Income $ 8,581 $ 7,538 $ 24,589 $ 22,042 Weighted Average Number of Common Shares Outstanding 810,291 792,387 809,002 792,223 Basic Earnings Per Common Share Amount $ 10.59 $ 9.51 $ 30.39 $ 27.82 |
Significant Accounting Polici24
Significant Accounting Policies (Details) $ in Thousands | Nov. 18, 2016USD ($)Branch | Sep. 30, 2017USD ($)ComponentCategoryFactorSegment | Dec. 31, 2016USD ($) | Sep. 30, 2016USD ($) |
Business Acquisition [Line Items] | ||||
Assets | $ | $ 3,071,775 | $ 2,922,121 | $ 2,727,566 | |
Investment Securities [Abstract] | ||||
Number of components into which amount of impairment is split | Component | 2 | |||
Loans & Leases [Abstract] | ||||
Consecutive months of payments to demonstrate sustained period of performance | 6 months | |||
Allowance for Credit Losses [Abstract] | ||||
Number of primary components of overall allowance for credit losses | Component | 3 | |||
Number of categories into which risk ratings are grouped | Category | 5 | |||
Segment Reporting [Abstract] | ||||
Number of reportable segments | Segment | 1 | |||
Minimum [Member] | ||||
Loans & Leases [Abstract] | ||||
Period after which loans are placed on non accrual status | 90 days | |||
Buildings [Member] | Minimum [Member] | ||||
Property, Plant and Equipment [Line Items] | ||||
Estimated useful lives | 30 years | |||
Buildings [Member] | Maximum [Member] | ||||
Property, Plant and Equipment [Line Items] | ||||
Estimated useful lives | 40 years | |||
Furniture and Equipment [Member] | Minimum [Member] | ||||
Property, Plant and Equipment [Line Items] | ||||
Estimated useful lives | 3 years | |||
Furniture and Equipment [Member] | Maximum [Member] | ||||
Property, Plant and Equipment [Line Items] | ||||
Estimated useful lives | 7 years | |||
Leasehold Improvements [Member] | Minimum [Member] | ||||
Property, Plant and Equipment [Line Items] | ||||
Estimated useful lives | 5 years | |||
Leasehold Improvements [Member] | Maximum [Member] | ||||
Property, Plant and Equipment [Line Items] | ||||
Estimated useful lives | 10 years | |||
Agricultural Real Estate [Member] | ||||
Allowance for Credit Losses [Abstract] | ||||
Number of risk factors on loans | Factor | 2 | |||
Agricultural [Member] | ||||
Allowance for Credit Losses [Abstract] | ||||
Number of risk factors on loans | Factor | 2 | |||
Delta National Bancorp [Member] | ||||
Business Acquisition [Line Items] | ||||
Assets | $ | $ 112,000 | |||
Number of branches | Branch | 4 |
Investment Securities, Amortize
Investment Securities, Amortized Cost, Fair Values, and Unrealized Gains and Losses of Securities (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | |
Amortized cost, fair values, and unrealized gains and losses of securities available-for-sale [Abstract] | ||||
Amortized cost | $ 455,367 | $ 448,282 | $ 352,877 | |
Gross unrealized gains | 2,110 | 1,886 | 5,981 | |
Gross unrealized losses | 1,154 | 1,905 | 1 | |
Fair/Book value | 456,323 | 448,263 | 358,857 | |
Book values, estimated fair values and unrealized gains and losses of investments classified as held-to-maturity [Abstract] | ||||
Book value | 55,542 | 58,109 | 58,905 | |
Gross unrealized gains | 749 | 339 | 1,549 | |
Gross unrealized losses | 0 | 40 | 0 | |
Fair value | 56,291 | 58,408 | 60,454 | |
Government Agency & Government-Sponsored Entities [Member] | ||||
Amortized cost, fair values, and unrealized gains and losses of securities available-for-sale [Abstract] | ||||
Amortized cost | 3,091 | 3,127 | 83,129 | |
Gross unrealized gains | 78 | 114 | 165 | |
Gross unrealized losses | 0 | 0 | 1 | |
Fair/Book value | 3,169 | 3,241 | 83,293 | |
US Treasury Notes [Member] | ||||
Amortized cost, fair values, and unrealized gains and losses of securities available-for-sale [Abstract] | ||||
Amortized cost | 144,657 | 134,755 | 85,470 | |
Gross unrealized gains | 2 | 5 | 211 | |
Gross unrealized losses | 249 | 332 | 0 | |
Fair/Book value | 144,410 | 134,428 | 85,681 | |
US Govt SBA [Member] | ||||
Amortized cost, fair values, and unrealized gains and losses of securities available-for-sale [Abstract] | ||||
Amortized cost | 31,732 | 36,532 | ||
Gross unrealized gains | 45 | 42 | ||
Gross unrealized losses | 86 | 260 | ||
Fair/Book value | 31,691 | 36,314 | ||
Mortgage Backed Securities [Member] | ||||
Amortized cost, fair values, and unrealized gains and losses of securities available-for-sale [Abstract] | ||||
Amortized cost | [1] | 274,877 | 272,858 | 183,268 |
Gross unrealized gains | [1] | 1,985 | 1,725 | 5,605 |
Gross unrealized losses | [1] | 819 | 1,313 | 0 |
Fair/Book value | [1] | 276,043 | 273,270 | 188,873 |
Other [Member] | ||||
Amortized cost, fair values, and unrealized gains and losses of securities available-for-sale [Abstract] | ||||
Amortized cost | 1,010 | 1,010 | 1,010 | |
Gross unrealized gains | 0 | 0 | 0 | |
Gross unrealized losses | 0 | 0 | 0 | |
Fair/Book value | 1,010 | 1,010 | 1,010 | |
Obligations of States and Political Subdivisions [Member] | ||||
Book values, estimated fair values and unrealized gains and losses of investments classified as held-to-maturity [Abstract] | ||||
Book value | 55,542 | 58,109 | 58,905 | |
Gross unrealized gains | 749 | 339 | 1,549 | |
Gross unrealized losses | 0 | 40 | 0 | |
Fair value | $ 56,291 | $ 58,408 | $ 60,454 | |
[1] | All Mortgage Backed Securities consist of securities collateralized by residential real estate and were issued by an agency or government sponsored entity of the U.S. government. |
Investment Securities, Contract
Investment Securities, Contractual Maturity (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 | Sep. 30, 2016 |
Amortized Cost [Abstract] | |||
Within one year | $ 111,092 | ||
After one year through five years | 30,477 | ||
After five years through ten years | 13,429 | ||
After ten years | 25,492 | ||
Amortized cost, excluding investment securities not due at a single maturity date | 180,490 | ||
Investment securities not due at a single maturity date, mortgage-backed securities | 274,877 | ||
Amortized cost | 455,367 | ||
Fair/Book Value [Abstract] | |||
Within one year | 111,024 | ||
After one year through five years | 30,394 | ||
After five years through ten years | 13,408 | ||
After ten years | 25,454 | ||
Fair/Book value, excluding investment securities not due at a single maturity date | 180,280 | ||
Investment securities not due at a single maturity date, mortgage-backed securities | 276,043 | ||
Fair/Book value | 456,323 | $ 448,263 | $ 358,857 |
Book Value [Abstract] | |||
Within one year | 1,985 | ||
After one year through five years | 9,221 | ||
After five years through ten years | 13,694 | ||
After ten years | 30,642 | ||
Book value, excluding investment securities not due at a single maturity date | 55,542 | ||
Investment securities not due at a single maturity date, mortgage-backed securities | 0 | ||
Book value | 55,542 | 58,109 | 58,905 |
Fair Value [Abstract] | |||
Within one year | 1,989 | ||
After one year through five years | 9,238 | ||
After five years through ten years | 13,887 | ||
After ten years | 31,177 | ||
Fair value, excluding investment securities not due at a single maturity date | 56,291 | ||
Investment securities not due at a single maturity date, mortgage-backed securities | 0 | ||
Fair value | $ 56,291 | $ 58,408 | $ 60,454 |
Investment Securities, Securiti
Investment Securities, Securities in Continuous Unrealized Loss Position (Details) $ in Thousands | 9 Months Ended | ||
Sep. 30, 2017USD ($)Security | Dec. 31, 2016USD ($) | Sep. 30, 2016USD ($) | |
Investment Securities [Abstract] | |||
Number of investment securities held | Security | 485 | ||
Less than 12 months, number of positions | Security | 156 | ||
12 months or more, number of positions | Security | 0 | ||
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract] | |||
Less than 12 months, fair value | $ 215,970 | $ 250,069 | $ 59,993 |
Less than 12 months, unrealized loss | 1,154 | 1,905 | 1 |
12 months or more, fair value | 0 | 0 | 0 |
12 months or more, unrealized loss | 0 | 0 | 0 |
Total, fair value | 215,970 | 250,069 | 59,993 |
Total, unrealized loss | 1,154 | 1,905 | 1 |
Held-to-maturity Securities, Continuous Unrealized Loss Position [Abstract] | |||
Less than 12 months, fair value | 7,251 | ||
Less than 12 months, unrealized loss | 40 | ||
12 months or more, fair value | 0 | ||
12 months or more, unrealized loss | 0 | ||
Total, fair value | 7,251 | ||
Total, unrealized loss | 40 | ||
Government Agency & Government-Sponsored Entities [Member] | |||
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract] | |||
Less than 12 months, fair value | 59,993 | ||
Less than 12 months, unrealized loss | 1 | ||
12 months or more, fair value | 0 | ||
12 months or more, unrealized loss | 0 | ||
Total, fair value | 59,993 | ||
Total, unrealized loss | 0 | 0 | 1 |
US Treasury Notes [Member] | |||
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract] | |||
Less than 12 months, fair value | 74,414 | 99,429 | |
Less than 12 months, unrealized loss | 249 | 332 | 0 |
12 months or more, fair value | 0 | 0 | |
12 months or more, unrealized loss | 0 | 0 | |
Total, fair value | 74,414 | 99,429 | |
Total, unrealized loss | $ 249 | 332 | |
Less than 12 months, number of positions | Security | 6 | ||
12 months or more, number of positions | Security | 0 | ||
US Govt SBA [Member] | |||
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract] | |||
Less than 12 months, fair value | $ 18,669 | 27,483 | |
Less than 12 months, unrealized loss | 86 | 260 | |
12 months or more, fair value | 0 | 0 | |
12 months or more, unrealized loss | 0 | 0 | |
Total, fair value | 18,669 | 27,483 | |
Total, unrealized loss | $ 86 | 260 | |
Less than 12 months, number of positions | Security | 94 | ||
12 months or more, number of positions | Security | 0 | ||
Mortgage Backed Securities [Member] | |||
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract] | |||
Less than 12 months, fair value | $ 122,887 | 123,157 | |
Less than 12 months, unrealized loss | 819 | 1,313 | 0 |
12 months or more, fair value | 0 | 0 | |
12 months or more, unrealized loss | 0 | 0 | |
Total, fair value | 122,887 | 123,157 | |
Total, unrealized loss | $ 819 | 1,313 | |
Less than 12 months, number of positions | Security | 55 | ||
12 months or more, number of positions | Security | 0 | ||
Obligations of States and Political Subdivisions [Member] | |||
Held-to-maturity Securities, Continuous Unrealized Loss Position [Abstract] | |||
Less than 12 months, fair value | 7,251 | ||
Less than 12 months, unrealized loss | 40 | ||
12 months or more, fair value | 0 | ||
12 months or more, unrealized loss | 0 | ||
Total, fair value | 7,251 | ||
Total, unrealized loss | $ 0 | $ 40 | $ 0 |
Less than 12 months, number of positions | Security | 0 | ||
12 months or more, number of positions | Security | 0 | ||
Municipal Bonds [Member] | |||
Held-to-maturity Securities, Continuous Unrealized Loss Position [Abstract] | |||
Percentage of bank qualified municipal bond portfolio rated | 98.00% | ||
Percentage of portfolio not rated | 2.00% |
Investment Securities, Proceeds
Investment Securities, Proceeds from Sales (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Proceeds from sales and calls of securities [Abstract] | ||||
Proceeds | $ 0 | $ 1,855 | $ 7,831 | $ 104,750 |
Gains | 0 | 3 | 143 | 248 |
Losses | $ 0 | $ 0 | $ 12 | $ 534 |
Investment Securities, Pledged
Investment Securities, Pledged Securities (Details) - USD ($) $ in Millions | Sep. 30, 2017 | Dec. 31, 2016 | Sep. 30, 2016 |
Investment Securities [Abstract] | |||
Securities pledged to secure public deposits, FHLB borrowings, and other government agency deposits as required by law | $ 201.8 | $ 171.9 | $ 185.1 |
Investment Securities, Investme
Investment Securities, Investment in Unconsolidated Subsidiary (Details) - Voting Shares of Bank of Rio Vista [Member] - USD ($) $ in Millions | Jul. 20, 2017 | Apr. 05, 2017 |
Schedule of Cost-method Investments [Line Items] | ||
Percentage of voting shares acquired | 4.90% | |
Percentage of additional voting shares acquired | 34.55% | |
Payments to acquire business | $ 10.5 | $ 1.4 |
Loans & Leases and Allowance 31
Loans & Leases and Allowance for Credit Losses, Allocation of The Allowance For Credit Losses by Portfolio Segment and By Impairment Methodology (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | Dec. 31, 2016 | |
Allowance for Credit Losses [Roll Forward] | |||||
Beginning Balance | $ 49,064 | $ 44,118 | $ 47,919 | $ 41,523 | $ 41,523 |
Charge-Offs | (54) | (25) | (230) | (130) | (172) |
Recoveries | 134 | 103 | 205 | 203 | 233 |
Provision | 1,600 | 250 | 2,850 | 2,850 | 6,335 |
Ending Balance | 50,744 | 44,446 | 50,744 | 44,446 | 47,919 |
Ending Balance Individually Evaluated for Impairment | 768 | 848 | 768 | 848 | 831 |
Ending Balance Collectively Evaluated for Impairment | 49,976 | 43,598 | 49,976 | 43,598 | 47,088 |
Loans & Leases [Abstract] | |||||
Ending Balance | 2,216,779 | 2,079,670 | 2,216,779 | 2,079,670 | 2,177,601 |
Ending Balance Individually Evaluated for Impairment | 9,238 | 12,579 | 9,238 | 12,579 | 10,863 |
Ending Balance Collectively Evaluated for Impairment | 2,207,541 | 2,067,091 | 2,207,541 | 2,067,091 | 2,166,738 |
Commercial Real Estate [Member] | |||||
Allowance for Credit Losses [Roll Forward] | |||||
Beginning Balance | 11,242 | 10,236 | 11,110 | 10,063 | 10,063 |
Charge-Offs | 0 | 0 | (109) | 0 | 0 |
Recoveries | 99 | 0 | 110 | 2 | 2 |
Provision | (244) | (114) | (14) | 57 | 1,045 |
Ending Balance | 11,097 | 10,122 | 11,097 | 10,122 | 11,110 |
Ending Balance Individually Evaluated for Impairment | 385 | 0 | 385 | 0 | 0 |
Ending Balance Collectively Evaluated for Impairment | 10,712 | 10,122 | 10,712 | 10,122 | 11,110 |
Loans & Leases [Abstract] | |||||
Ending Balance | 683,037 | 627,114 | 683,037 | 627,114 | 668,046 |
Ending Balance Individually Evaluated for Impairment | 4,855 | 4,324 | 4,855 | 4,324 | 1,932 |
Ending Balance Collectively Evaluated for Impairment | 678,182 | 622,790 | 678,182 | 622,790 | 666,114 |
Agricultural Real Estate [Member] | |||||
Allowance for Credit Losses [Roll Forward] | |||||
Beginning Balance | 10,265 | 9,501 | 9,450 | 6,881 | 6,881 |
Charge-Offs | 0 | 0 | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 | 0 | 0 |
Provision | 1,131 | (130) | 1,946 | 2,490 | 2,569 |
Ending Balance | 11,396 | 9,371 | 11,396 | 9,371 | 9,450 |
Ending Balance Individually Evaluated for Impairment | 0 | 0 | 0 | 0 | 0 |
Ending Balance Collectively Evaluated for Impairment | 11,396 | 9,371 | 11,396 | 9,371 | 9,450 |
Loans & Leases [Abstract] | |||||
Ending Balance | 470,738 | 439,972 | 470,738 | 439,972 | 467,685 |
Ending Balance Individually Evaluated for Impairment | 0 | 513 | 0 | 513 | 1,304 |
Ending Balance Collectively Evaluated for Impairment | 470,738 | 439,459 | 470,738 | 439,459 | 466,381 |
Real Estate Construction [Member] | |||||
Allowance for Credit Losses [Roll Forward] | |||||
Beginning Balance | 2,687 | 2,442 | 3,223 | 2,485 | 2,485 |
Charge-Offs | 0 | 0 | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 | 0 | 0 |
Provision | 63 | 16 | (473) | (27) | 738 |
Ending Balance | 2,750 | 2,458 | 2,750 | 2,458 | 3,223 |
Ending Balance Individually Evaluated for Impairment | 0 | 0 | 0 | 0 | 0 |
Ending Balance Collectively Evaluated for Impairment | 2,750 | 2,458 | 2,750 | 2,458 | 3,223 |
Loans & Leases [Abstract] | |||||
Ending Balance | 162,167 | 175,045 | 162,167 | 175,045 | 176,462 |
Ending Balance Individually Evaluated for Impairment | 0 | 0 | 0 | 0 | 0 |
Ending Balance Collectively Evaluated for Impairment | 162,167 | 175,045 | 162,167 | 175,045 | 176,462 |
Residential 1st Mortgages [Member] | |||||
Allowance for Credit Losses [Roll Forward] | |||||
Beginning Balance | 872 | 837 | 865 | 789 | 789 |
Charge-Offs | 0 | 0 | 0 | (7) | (21) |
Recoveries | 18 | 4 | 37 | 13 | 26 |
Provision | 107 | (12) | 95 | 34 | 71 |
Ending Balance | 997 | 829 | 997 | 829 | 865 |
Ending Balance Individually Evaluated for Impairment | 61 | 74 | 61 | 74 | 70 |
Ending Balance Collectively Evaluated for Impairment | 936 | 755 | 936 | 755 | 795 |
Loans & Leases [Abstract] | |||||
Ending Balance | 257,920 | 238,376 | 257,920 | 238,376 | 242,247 |
Ending Balance Individually Evaluated for Impairment | 1,887 | 2,173 | 1,887 | 2,173 | 2,126 |
Ending Balance Collectively Evaluated for Impairment | 256,033 | 236,203 | 256,033 | 236,203 | 240,121 |
Home Equity Lines & Loans [Member] | |||||
Allowance for Credit Losses [Roll Forward] | |||||
Beginning Balance | 2,170 | 2,149 | 2,140 | 2,146 | 2,146 |
Charge-Offs | 0 | 0 | 0 | (46) | (46) |
Recoveries | 1 | 69 | 6 | 102 | 103 |
Provision | 90 | (23) | 115 | (7) | (63) |
Ending Balance | 2,261 | 2,195 | 2,261 | 2,195 | 2,140 |
Ending Balance Individually Evaluated for Impairment | 17 | 18 | 17 | 18 | 18 |
Ending Balance Collectively Evaluated for Impairment | 2,244 | 2,177 | 2,244 | 2,177 | 2,122 |
Loans & Leases [Abstract] | |||||
Ending Balance | 33,350 | 32,513 | 33,350 | 32,513 | 31,625 |
Ending Balance Individually Evaluated for Impairment | 369 | 409 | 369 | 409 | 402 |
Ending Balance Collectively Evaluated for Impairment | 32,981 | 32,104 | 32,981 | 32,104 | 31,223 |
Agricultural [Member] | |||||
Allowance for Credit Losses [Roll Forward] | |||||
Beginning Balance | 7,236 | 6,223 | 7,381 | 6,308 | 6,308 |
Charge-Offs | 0 | 0 | (7) | 0 | 0 |
Recoveries | 0 | 0 | 0 | 0 | 0 |
Provision | 124 | (1) | (14) | (86) | 1,073 |
Ending Balance | 7,360 | 6,222 | 7,360 | 6,222 | 7,381 |
Ending Balance Individually Evaluated for Impairment | 69 | 129 | 69 | 129 | 128 |
Ending Balance Collectively Evaluated for Impairment | 7,291 | 6,093 | 7,291 | 6,093 | 7,253 |
Loans & Leases [Abstract] | |||||
Ending Balance | 259,127 | 274,704 | 259,127 | 274,704 | 295,325 |
Ending Balance Individually Evaluated for Impairment | 368 | 640 | 368 | 640 | 625 |
Ending Balance Collectively Evaluated for Impairment | 258,759 | 274,064 | 258,759 | 274,064 | 294,700 |
Commercial [Member] | |||||
Allowance for Credit Losses [Roll Forward] | |||||
Beginning Balance | 9,544 | 7,849 | 8,515 | 7,836 | 7,836 |
Charge-Offs | 0 | 0 | 0 | 0 | 0 |
Recoveries | 2 | 16 | 6 | 45 | 47 |
Provision | (486) | (265) | 539 | (281) | 632 |
Ending Balance | 9,060 | 7,600 | 9,060 | 7,600 | 8,515 |
Ending Balance Individually Evaluated for Impairment | 231 | 620 | 231 | 620 | 608 |
Ending Balance Collectively Evaluated for Impairment | 8,829 | 6,980 | 8,829 | 6,980 | 7,907 |
Loans & Leases [Abstract] | |||||
Ending Balance | 257,951 | 214,086 | 257,951 | 214,086 | 217,577 |
Ending Balance Individually Evaluated for Impairment | 1,752 | 4,509 | 1,752 | 4,509 | 4,464 |
Ending Balance Collectively Evaluated for Impairment | 256,199 | 209,577 | 256,199 | 209,577 | 213,113 |
Consumer & Other [Member] | |||||
Allowance for Credit Losses [Roll Forward] | |||||
Beginning Balance | 205 | 170 | 200 | 175 | 175 |
Charge-Offs | (54) | (25) | (114) | (77) | (105) |
Recoveries | 14 | 14 | 46 | 41 | 55 |
Provision | 44 | 20 | 77 | 40 | 75 |
Ending Balance | 209 | 179 | 209 | 179 | 200 |
Ending Balance Individually Evaluated for Impairment | 5 | 7 | 5 | 7 | 7 |
Ending Balance Collectively Evaluated for Impairment | 204 | 172 | 204 | 172 | 193 |
Loans & Leases [Abstract] | |||||
Ending Balance | 7,312 | 6,975 | 7,312 | 6,975 | 6,913 |
Ending Balance Individually Evaluated for Impairment | 7 | 11 | 7 | 11 | 10 |
Ending Balance Collectively Evaluated for Impairment | 7,305 | 6,964 | 7,305 | 6,964 | 6,903 |
Leases [Member] | |||||
Allowance for Credit Losses [Roll Forward] | |||||
Beginning Balance | 2,952 | 3,442 | 3,586 | 3,294 | 3,294 |
Charge-Offs | 0 | 0 | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 | 0 | 0 |
Provision | 242 | 102 | (392) | 250 | 292 |
Ending Balance | 3,194 | 3,544 | 3,194 | 3,544 | 3,586 |
Ending Balance Individually Evaluated for Impairment | 0 | 0 | 0 | 0 | 0 |
Ending Balance Collectively Evaluated for Impairment | 3,194 | 3,544 | 3,194 | 3,544 | 3,586 |
Loans & Leases [Abstract] | |||||
Ending Balance | 85,177 | 70,885 | 85,177 | 70,885 | 71,721 |
Ending Balance Individually Evaluated for Impairment | 0 | 0 | 0 | 0 | 0 |
Ending Balance Collectively Evaluated for Impairment | 85,177 | 70,885 | 85,177 | 70,885 | 71,721 |
Unallocated [Member] | |||||
Allowance for Credit Losses [Roll Forward] | |||||
Beginning Balance | 1,891 | 1,269 | 1,449 | 1,546 | 1,546 |
Charge-Offs | 0 | 0 | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 | 0 | 0 |
Provision | 529 | 657 | 971 | 380 | (97) |
Ending Balance | 2,420 | 1,926 | 2,420 | 1,926 | 1,449 |
Ending Balance Individually Evaluated for Impairment | 0 | 0 | 0 | 0 | 0 |
Ending Balance Collectively Evaluated for Impairment | 2,420 | 1,926 | 2,420 | 1,926 | 1,449 |
Loans & Leases [Abstract] | |||||
Ending Balance | 0 | 0 | 0 | 0 | 0 |
Ending Balance Individually Evaluated for Impairment | 0 | 0 | 0 | 0 | 0 |
Ending Balance Collectively Evaluated for Impairment | 0 | 0 | 0 | 0 | 0 |
Restructured Loans [Member] | |||||
Loans & Leases [Abstract] | |||||
Ending Balance Individually Evaluated for Impairment | $ 3,000 | $ 4,900 | $ 3,000 | $ 4,900 | $ 3,300 |
Loans & Leases and Allowance 32
Loans & Leases and Allowance for Credit Losses, Loan Portfolio Allocated by Management's Internal Risk Ratings (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 | Sep. 30, 2016 |
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | $ 2,216,779 | $ 2,177,601 | $ 2,079,670 |
Pass [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 2,180,249 | 2,144,650 | 2,054,256 |
Special Mention [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 26,763 | 26,588 | 18,627 |
Substandard [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 9,767 | 6,363 | 6,787 |
Doubtful [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 0 | 0 | 0 |
Loss [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 0 | 0 | 0 |
Commercial Real Estate [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 683,037 | 668,046 | 627,114 |
Commercial Real Estate [Member] | Pass [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 678,083 | 659,694 | 618,975 |
Commercial Real Estate [Member] | Special Mention [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 4,458 | 6,817 | 7,141 |
Commercial Real Estate [Member] | Substandard [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 496 | 1,535 | 998 |
Agricultural Real Estate [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 470,738 | 467,685 | 439,972 |
Agricultural Real Estate [Member] | Pass [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 465,427 | 464,997 | 437,059 |
Agricultural Real Estate [Member] | Special Mention [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 1,281 | 1,384 | 1,418 |
Agricultural Real Estate [Member] | Substandard [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 4,030 | 1,304 | 1,495 |
Real Estate Construction [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 162,167 | 176,462 | 175,045 |
Real Estate Construction [Member] | Pass [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 152,989 | 176,462 | 173,556 |
Real Estate Construction [Member] | Special Mention [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 9,178 | 0 | 1,489 |
Real Estate Construction [Member] | Substandard [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 0 | 0 | 0 |
Residential 1st Mortgages [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 257,920 | 242,247 | 238,376 |
Residential 1st Mortgages [Member] | Pass [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 256,906 | 241,816 | 237,254 |
Residential 1st Mortgages [Member] | Special Mention [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 43 | 47 | 404 |
Residential 1st Mortgages [Member] | Substandard [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 971 | 384 | 718 |
Home Equity Lines & Loans [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 33,350 | 31,625 | 32,513 |
Home Equity Lines & Loans [Member] | Pass [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 33,297 | 31,558 | 32,408 |
Home Equity Lines & Loans [Member] | Special Mention [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 0 | 0 | 0 |
Home Equity Lines & Loans [Member] | Substandard [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 53 | 67 | 105 |
Agricultural [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 259,127 | 295,325 | 274,704 |
Agricultural [Member] | Pass [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 250,372 | 283,525 | 273,184 |
Agricultural [Member] | Special Mention [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 5,331 | 11,366 | 1,070 |
Agricultural [Member] | Substandard [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 3,424 | 434 | 450 |
Commercial [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 257,951 | 217,577 | 214,086 |
Commercial [Member] | Pass [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 253,144 | 208,172 | 204,119 |
Commercial [Member] | Special Mention [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 4,184 | 6,974 | 7,105 |
Commercial [Member] | Substandard [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 623 | 2,431 | 2,862 |
Consumer & Other [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 7,312 | 6,913 | 6,975 |
Consumer & Other [Member] | Pass [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 7,142 | 6,705 | 6,816 |
Consumer & Other [Member] | Special Mention [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 0 | 0 | 0 |
Consumer & Other [Member] | Substandard [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 170 | 208 | 159 |
Leases [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 85,177 | 71,721 | 70,885 |
Leases [Member] | Pass [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 82,889 | 71,721 | 70,885 |
Leases [Member] | Special Mention [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | 2,288 | 0 | 0 |
Leases [Member] | Substandard [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Loans & leases | $ 0 | $ 0 | $ 0 |
Loans & Leases and Allowance 33
Loans & Leases and Allowance for Credit Losses, Aging Analysis of Loan Portfolio by the Time Past Due (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 | Sep. 30, 2016 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
90 Days and Still Accruing | $ 0 | $ 0 | $ 0 |
Nonaccrual | 4 | 3,074 | 3,075 |
Total Past Due | 23 | 3,084 | 4,063 |
Current | 2,216,756 | 2,174,517 | 2,075,607 |
Total Loans & Leases | 2,216,779 | 2,177,601 | 2,079,670 |
30-59 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 16 | 10 | 5 |
60-89 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 3 | 0 | 983 |
Commercial Real Estate [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
90 Days and Still Accruing | 0 | 0 | 0 |
Nonaccrual | 0 | 0 | 998 |
Total Past Due | 0 | 0 | 998 |
Current | 683,037 | 668,046 | 626,116 |
Total Loans & Leases | 683,037 | 668,046 | 627,114 |
Commercial Real Estate [Member] | 30-59 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | 0 |
Commercial Real Estate [Member] | 60-89 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | 0 |
Agricultural Real Estate [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
90 Days and Still Accruing | 0 | 0 | 0 |
Nonaccrual | 0 | 1,304 | 322 |
Total Past Due | 0 | 1,304 | 1,305 |
Current | 470,738 | 466,381 | 438,667 |
Total Loans & Leases | 470,738 | 467,685 | 439,972 |
Agricultural Real Estate [Member] | 30-59 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | 0 |
Agricultural Real Estate [Member] | 60-89 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | 983 |
Real Estate Construction [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
90 Days and Still Accruing | 0 | 0 | 0 |
Nonaccrual | 0 | 0 | 0 |
Total Past Due | 0 | 0 | 0 |
Current | 162,167 | 176,462 | 175,045 |
Total Loans & Leases | 162,167 | 176,462 | 175,045 |
Real Estate Construction [Member] | 30-59 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | 0 |
Real Estate Construction [Member] | 60-89 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | 0 |
Residential 1st Mortgages [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
90 Days and Still Accruing | 0 | 0 | 0 |
Nonaccrual | 0 | 95 | 55 |
Total Past Due | 0 | 95 | 55 |
Current | 257,920 | 242,152 | 238,321 |
Total Loans & Leases | 257,920 | 242,247 | 238,376 |
Residential 1st Mortgages [Member] | 30-59 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | 0 |
Residential 1st Mortgages [Member] | 60-89 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | 0 |
Home Equity Lines & Loans [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
90 Days and Still Accruing | 0 | 0 | 0 |
Nonaccrual | 0 | 0 | 0 |
Total Past Due | 0 | 0 | 0 |
Current | 33,350 | 31,625 | 32,513 |
Total Loans & Leases | 33,350 | 31,625 | 32,513 |
Home Equity Lines & Loans [Member] | 30-59 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | 0 |
Home Equity Lines & Loans [Member] | 60-89 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | 0 |
Agricultural [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
90 Days and Still Accruing | 0 | 0 | 0 |
Nonaccrual | 0 | 243 | 243 |
Total Past Due | 0 | 243 | 243 |
Current | 259,127 | 295,082 | 274,461 |
Total Loans & Leases | 259,127 | 295,325 | 274,704 |
Agricultural [Member] | 30-59 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | 0 |
Agricultural [Member] | 60-89 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | 0 |
Commercial [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
90 Days and Still Accruing | 0 | 0 | 0 |
Nonaccrual | 0 | 1,425 | 1,450 |
Total Past Due | 3 | 1,425 | 1,450 |
Current | 257,948 | 216,152 | 212,636 |
Total Loans & Leases | 257,951 | 217,577 | 214,086 |
Commercial [Member] | 30-59 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | 0 |
Commercial [Member] | 60-89 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 3 | 0 | 0 |
Consumer & Other [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
90 Days and Still Accruing | 0 | 0 | 0 |
Nonaccrual | 4 | 7 | 7 |
Total Past Due | 20 | 17 | 12 |
Current | 7,292 | 6,896 | 6,963 |
Total Loans & Leases | 7,312 | 6,913 | 6,975 |
Consumer & Other [Member] | 30-59 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 16 | 10 | 5 |
Consumer & Other [Member] | 60-89 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | 0 |
Leases [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
90 Days and Still Accruing | 0 | 0 | 0 |
Nonaccrual | 0 | 0 | 0 |
Total Past Due | 0 | 0 | 0 |
Current | 85,177 | 71,721 | 70,885 |
Total Loans & Leases | 85,177 | 71,721 | 70,885 |
Leases [Member] | 30-59 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | 0 |
Leases [Member] | 60-89 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | $ 0 | $ 0 | $ 0 |
Loans & Leases and Allowance 34
Loans & Leases and Allowance for Credit Losses, Impaired Loans (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | Dec. 31, 2016 | |
With no related allowance recorded [Abstract] | |||||
Recorded Investment | $ 505 | $ 5,043 | $ 505 | $ 5,043 | $ 4,963 |
Unpaid Principal Balance | 563 | 5,093 | 563 | 5,093 | 5,016 |
Average Recorded Investment | 1,028 | 4,642 | 1,969 | 4,535 | 4,705 |
Interest Income Recognized | 5 | 40 | 15 | 121 | 158 |
With an allowance recorded [Abstract] | |||||
Recorded Investment | 5,724 | 2,635 | 5,724 | 2,635 | 2,592 |
Unpaid Principal Balance | 5,771 | 2,870 | 5,771 | 2,870 | 2,844 |
Related Allowance | 721 | 790 | 721 | 790 | 768 |
Average Recorded Investment | 5,748 | 2,616 | 5,251 | 2,578 | 2,588 |
Interest Income Recognized | 49 | 10 | 159 | 38 | 47 |
Total [Abstract] | |||||
Recorded Investment | 6,229 | 7,678 | 6,229 | 7,678 | 7,555 |
Unpaid Principal Balance | 6,334 | 7,963 | 6,334 | 7,963 | 7,860 |
Related Allowance | 721 | 790 | 721 | 790 | 768 |
Average Recorded Investment | 6,776 | 7,258 | 7,220 | 7,113 | 7,293 |
Interest Income Recognized | 54 | 50 | 174 | 159 | 205 |
Commercial Real Estate [Member] | |||||
With no related allowance recorded [Abstract] | |||||
Recorded Investment | 106 | 1,074 | 106 | 1,074 | 184 |
Unpaid Principal Balance | 107 | 1,071 | 107 | 1,071 | 184 |
Average Recorded Investment | 107 | 575 | 121 | 248 | 354 |
Interest Income Recognized | 2 | 2 | 9 | 6 | 7 |
With an allowance recorded [Abstract] | |||||
Recorded Investment | 2,991 | 2,991 | |||
Unpaid Principal Balance | 2,977 | 2,977 | |||
Related Allowance | 384 | 384 | |||
Average Recorded Investment | 3,000 | 2,509 | |||
Interest Income Recognized | 25 | 80 | |||
Total [Abstract] | |||||
Related Allowance | 384 | 384 | |||
Agricultural Real Estate [Member] | |||||
With no related allowance recorded [Abstract] | |||||
Recorded Investment | 0 | 322 | 0 | 322 | |
Unpaid Principal Balance | 0 | 322 | 0 | 322 | |
Average Recorded Investment | 488 | 404 | 868 | 270 | |
Interest Income Recognized | 0 | 0 | 0 | 3 | |
Residential 1st Mortgages [Member] | |||||
With no related allowance recorded [Abstract] | |||||
Recorded Investment | 399 | 414 | 399 | 414 | 451 |
Unpaid Principal Balance | 456 | 466 | 456 | 466 | 504 |
Average Recorded Investment | 403 | 417 | 415 | 411 | 404 |
Interest Income Recognized | 3 | 3 | 6 | 7 | 10 |
With an allowance recorded [Abstract] | |||||
Recorded Investment | 519 | 430 | 519 | 430 | 430 |
Unpaid Principal Balance | 574 | 471 | 574 | 471 | 469 |
Related Allowance | 26 | 21 | 26 | 21 | 21 |
Average Recorded Investment | 472 | 335 | 442 | 290 | 336 |
Interest Income Recognized | 3 | 3 | 12 | 9 | 13 |
Total [Abstract] | |||||
Related Allowance | 26 | 21 | 26 | 21 | 21 |
Home Equity Lines & Loans [Member] | |||||
With no related allowance recorded [Abstract] | |||||
Recorded Investment | 0 | 0 | 0 | 0 | 0 |
Unpaid Principal Balance | 0 | 0 | 0 | 0 | 0 |
Average Recorded Investment | 0 | 0 | 21 | 339 | 181 |
Interest Income Recognized | 0 | 0 | 0 | 0 | 0 |
With an allowance recorded [Abstract] | |||||
Recorded Investment | 83 | 92 | 83 | 92 | 90 |
Unpaid Principal Balance | 90 | 98 | 90 | 98 | 97 |
Related Allowance | 4 | 5 | 4 | 5 | 5 |
Average Recorded Investment | 67 | 93 | 76 | 142 | 123 |
Interest Income Recognized | 0 | 1 | 2 | 3 | 4 |
Total [Abstract] | |||||
Related Allowance | 4 | 5 | 4 | 5 | 5 |
Agricultural [Member] | |||||
With no related allowance recorded [Abstract] | |||||
Recorded Investment | 0 | 191 | 0 | 191 | 0 |
Unpaid Principal Balance | 0 | 191 | 0 | 191 | 0 |
Average Recorded Investment | 30 | 192 | 40 | 193 | 144 |
Interest Income Recognized | 0 | 2 | 0 | 5 | 5 |
With an allowance recorded [Abstract] | |||||
Recorded Investment | 367 | 640 | 367 | 640 | 625 |
Unpaid Principal Balance | 367 | 640 | 367 | 640 | 625 |
Related Allowance | 69 | 137 | 69 | 137 | 128 |
Average Recorded Investment | 499 | 644 | 588 | 529 | 581 |
Interest Income Recognized | 7 | 6 | 21 | 18 | 22 |
Total [Abstract] | |||||
Related Allowance | 69 | 137 | 69 | 137 | 128 |
Commercial [Member] | |||||
With no related allowance recorded [Abstract] | |||||
Recorded Investment | 0 | 3,042 | 0 | 3,042 | 3,023 |
Unpaid Principal Balance | 0 | 3,043 | 0 | 3,043 | 3,023 |
Average Recorded Investment | 0 | 3,053 | 504 | 3,073 | 3,053 |
Interest Income Recognized | 0 | 33 | 0 | 100 | 133 |
With an allowance recorded [Abstract] | |||||
Recorded Investment | 1,760 | 1,466 | 1,760 | 1,466 | 1,441 |
Unpaid Principal Balance | 1,752 | 1,648 | 1,752 | 1,648 | 1,640 |
Related Allowance | 234 | 620 | 234 | 620 | 608 |
Average Recorded Investment | 1,696 | 1,536 | 1,624 | 1,599 | 1,536 |
Interest Income Recognized | 14 | 0 | 44 | 8 | 8 |
Total [Abstract] | |||||
Related Allowance | 234 | 620 | 234 | 620 | 608 |
Consumer & Other [Member] | |||||
With no related allowance recorded [Abstract] | |||||
Recorded Investment | 0 | 0 | |||
Unpaid Principal Balance | 0 | 0 | |||
Average Recorded Investment | 1 | 1 | |||
Interest Income Recognized | 0 | 0 | |||
With an allowance recorded [Abstract] | |||||
Recorded Investment | 4 | 7 | 4 | 7 | 6 |
Unpaid Principal Balance | 11 | 13 | 11 | 13 | 13 |
Related Allowance | 4 | 7 | 4 | 7 | 6 |
Average Recorded Investment | 14 | 8 | 12 | 18 | 12 |
Interest Income Recognized | 0 | 0 | 0 | 0 | 0 |
Total [Abstract] | |||||
Related Allowance | $ 4 | $ 7 | $ 4 | $ 7 | $ 6 |
Loans & Leases and Allowance 35
Loans & Leases and Allowance for Credit Losses, Loans by Class Modified as Troubled Debt Restructured Loans (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2017USD ($)Loan | Sep. 30, 2016USD ($)Loan | Sep. 30, 2017USD ($)Loan | Sep. 30, 2016USD ($)Loan | Dec. 31, 2016USD ($)Loan | |
Financing Receivable, Modifications [Line Items] | |||||
Specific reserves | $ 721 | $ 758 | $ 721 | $ 758 | $ 736 |
Troubled debt restructured loans | 6,200 | 6,100 | 6,200 | 6,100 | 5,900 |
Commitments to lend additional amounts to customers with outstanding loans that are classified as troubled debt restructurings | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 |
Loans by class modified as troubled debt restructured loans [Abstract] | |||||
Number of Loans | Loan | 4 | 1 | 4 | 4 | 5 |
Pre-Modification Outstanding Recorded Investment | $ 282 | $ 192 | $ 282 | $ 594 | $ 706 |
Post-Modification Outstanding Recorded Investment | 282 | 192 | 282 | 567 | 679 |
Increase (decrease) in allowance for loan losses due to TDR | $ 13 | 0 | $ 13 | 0 | 0 |
TDR's charge-offs | $ 0 | $ 27 | $ 27 | ||
Number of loans modified as troubled debt restructurings with subsequent payment defaults | Loan | 0 | 0 | 0 | 0 | 0 |
Threshold period after which loan is considered to be in payment default | 90 days | ||||
Stated Interest Rate Reduction [Member] | |||||
Financing Receivable, Modifications [Line Items] | |||||
Period of modifications | 5 years | 5 years | 5 years | ||
Extended Maturity [Member] | |||||
Financing Receivable, Modifications [Line Items] | |||||
Period of modifications | 10 years | 10 years | |||
Extended Maturity [Member] | Minimum [Member] | |||||
Financing Receivable, Modifications [Line Items] | |||||
Period of modifications | 7 years | ||||
Extended Maturity [Member] | Maximum [Member] | |||||
Financing Receivable, Modifications [Line Items] | |||||
Period of modifications | 10 years | ||||
Performing [Member] | |||||
Financing Receivable, Modifications [Line Items] | |||||
Troubled debt restructured loans | $ 6,200 | $ 4,600 | $ 6,200 | $ 4,600 | $ 4,500 |
Commercial Real Estate [Member] | |||||
Loans by class modified as troubled debt restructured loans [Abstract] | |||||
Number of Loans | Loan | 1 | ||||
Pre-Modification Outstanding Recorded Investment | $ 112 | ||||
Post-Modification Outstanding Recorded Investment | $ 112 | ||||
Residential 1st Mortgages [Member] | |||||
Loans by class modified as troubled debt restructured loans [Abstract] | |||||
Number of Loans | Loan | 1 | 1 | 1 | 2 | 2 |
Pre-Modification Outstanding Recorded Investment | $ 112 | $ 192 | $ 112 | $ 289 | $ 289 |
Post-Modification Outstanding Recorded Investment | $ 112 | $ 192 | $ 112 | $ 281 | $ 281 |
Home Equity Lines & Loans [Member] | |||||
Loans by class modified as troubled debt restructured loans [Abstract] | |||||
Number of Loans | Loan | 1 | 0 | 1 | 2 | 2 |
Pre-Modification Outstanding Recorded Investment | $ 32 | $ 0 | $ 32 | $ 305 | $ 305 |
Post-Modification Outstanding Recorded Investment | $ 32 | $ 0 | $ 32 | $ 286 | $ 286 |
Commercial [Member] | |||||
Loans by class modified as troubled debt restructured loans [Abstract] | |||||
Number of Loans | Loan | 2 | 2 | |||
Pre-Modification Outstanding Recorded Investment | $ 138 | $ 138 | |||
Post-Modification Outstanding Recorded Investment | $ 138 | $ 138 |
Fair Value Measurements, Assets
Fair Value Measurements, Assets and Liabilities Measured at Fair Value on a Recurring Basis (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Dec. 31, 2016 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Percentage of selling costs | 10.00% | |||
Available-for-Sale Securities | $ 456,323 | $ 358,857 | $ 448,263 | |
Gains (losses) for assets categorized as Level 3 assets | 0 | 0 | 0 | |
Transfer into Level 3 | 0 | 0 | 0 | |
Transfer out of Level 3 | 0 | 0 | 0 | |
Government Agency & Government-Sponsored Entities [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-Sale Securities | 3,169 | 83,293 | 3,241 | |
US Treasury Notes [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-Sale Securities | 144,410 | 85,681 | 134,428 | |
US Govt SBA [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-Sale Securities | 31,691 | 36,314 | ||
Mortgage Backed Securities [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-Sale Securities | [1] | 276,043 | 188,873 | 273,270 |
Other [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-Sale Securities | 1,010 | 1,010 | 1,010 | |
Significant Unobservable Inputs (Level 3) [Member] | SBA Loans [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-Sale Securities | 500 | 500 | 500 | |
Recurring [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-Sale Securities | 456,323 | 358,857 | 448,263 | |
Recurring [Member] | Government Agency & Government-Sponsored Entities [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-Sale Securities | 3,169 | 83,293 | 3,241 | |
Recurring [Member] | US Treasury Notes [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-Sale Securities | 144,410 | 85,681 | 134,428 | |
Recurring [Member] | US Govt SBA [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-Sale Securities | 31,691 | 36,314 | ||
Recurring [Member] | Mortgage Backed Securities [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-Sale Securities | 276,043 | 188,873 | 273,270 | |
Recurring [Member] | Other [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-Sale Securities | 1,010 | 1,010 | 1,010 | |
Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-Sale Securities | 144,610 | 85,881 | 134,628 | |
Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Government Agency & Government-Sponsored Entities [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-Sale Securities | 0 | 0 | 0 | |
Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | US Treasury Notes [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-Sale Securities | 144,410 | 85,681 | 134,428 | |
Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | US Govt SBA [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-Sale Securities | 0 | 0 | ||
Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Mortgage Backed Securities [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-Sale Securities | 0 | 0 | 0 | |
Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Other [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-Sale Securities | 200 | 200 | 200 | |
Recurring [Member] | Other Observable Inputs (Level 2) [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-Sale Securities | 311,213 | 272,476 | 313,135 | |
Recurring [Member] | Other Observable Inputs (Level 2) [Member] | Government Agency & Government-Sponsored Entities [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-Sale Securities | 3,169 | 83,293 | 3,241 | |
Recurring [Member] | Other Observable Inputs (Level 2) [Member] | US Treasury Notes [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-Sale Securities | 0 | 0 | 0 | |
Recurring [Member] | Other Observable Inputs (Level 2) [Member] | US Govt SBA [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-Sale Securities | 31,691 | 36,314 | ||
Recurring [Member] | Other Observable Inputs (Level 2) [Member] | Mortgage Backed Securities [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-Sale Securities | 276,043 | 188,873 | 273,270 | |
Recurring [Member] | Other Observable Inputs (Level 2) [Member] | Other [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-Sale Securities | 310 | 310 | 310 | |
Recurring [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-Sale Securities | 500 | 500 | 500 | |
Recurring [Member] | Significant Unobservable Inputs (Level 3) [Member] | Government Agency & Government-Sponsored Entities [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-Sale Securities | 0 | 0 | 0 | |
Recurring [Member] | Significant Unobservable Inputs (Level 3) [Member] | US Treasury Notes [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-Sale Securities | 0 | 0 | 0 | |
Recurring [Member] | Significant Unobservable Inputs (Level 3) [Member] | US Govt SBA [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-Sale Securities | 0 | 0 | ||
Recurring [Member] | Significant Unobservable Inputs (Level 3) [Member] | Mortgage Backed Securities [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-Sale Securities | 0 | 0 | 0 | |
Recurring [Member] | Significant Unobservable Inputs (Level 3) [Member] | Other [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-Sale Securities | $ 500 | $ 500 | $ 500 | |
[1] | All Mortgage Backed Securities consist of securities collateralized by residential real estate and were issued by an agency or government sponsored entity of the U.S. government. |
Fair Value Measurements, Asse37
Fair Value Measurements, Assets or Liabilities Measured at Fair Value on a Non-recurring Basis (Details) - Nonrecurring [Member] - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 | Sep. 30, 2016 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impaired Loans | $ 4,980 | $ 1,893 | $ 1,930 |
Other Real Estate | 873 | 3,745 | 785 |
Total Assets Measured at Fair Value On a Non-Recurring Basis | 5,853 | 5,638 | 2,715 |
Commercial Real Estate [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impaired Loans | 2,594 | ||
Residential 1st Mortgage [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impaired Loans | 491 | 480 | 496 |
Home Equity Lines and Loans [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impaired Loans | 78 | 83 | 84 |
Other Real Estate | 785 | 785 | |
Agricultural [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impaired Loans | 298 | 497 | 503 |
Commercial [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impaired Loans | 1,519 | 833 | 847 |
Real Estate Construction [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Other Real Estate | 873 | 2,960 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impaired Loans | 0 | 0 | 0 |
Other Real Estate | 0 | 0 | 0 |
Total Assets Measured at Fair Value On a Non-Recurring Basis | 0 | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Commercial Real Estate [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impaired Loans | 0 | ||
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Residential 1st Mortgage [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impaired Loans | 0 | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Home Equity Lines and Loans [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impaired Loans | 0 | 0 | 0 |
Other Real Estate | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Agricultural [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impaired Loans | 0 | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Commercial [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impaired Loans | 0 | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Real Estate Construction [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Other Real Estate | 0 | 0 | |
Other Observable Inputs (Level 2) [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impaired Loans | 0 | 0 | 0 |
Other Real Estate | 0 | 0 | 0 |
Total Assets Measured at Fair Value On a Non-Recurring Basis | 0 | 0 | 0 |
Other Observable Inputs (Level 2) [Member] | Commercial Real Estate [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impaired Loans | 0 | ||
Other Observable Inputs (Level 2) [Member] | Residential 1st Mortgage [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impaired Loans | 0 | 0 | 0 |
Other Observable Inputs (Level 2) [Member] | Home Equity Lines and Loans [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impaired Loans | 0 | 0 | 0 |
Other Real Estate | 0 | 0 | |
Other Observable Inputs (Level 2) [Member] | Agricultural [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impaired Loans | 0 | 0 | 0 |
Other Observable Inputs (Level 2) [Member] | Commercial [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impaired Loans | 0 | 0 | 0 |
Other Observable Inputs (Level 2) [Member] | Real Estate Construction [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Other Real Estate | 0 | 0 | |
Significant Unobservable Inputs (Level 3) [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impaired Loans | 4,980 | 1,893 | 1,930 |
Other Real Estate | 873 | 3,745 | 785 |
Total Assets Measured at Fair Value On a Non-Recurring Basis | 5,853 | 5,638 | 2,715 |
Significant Unobservable Inputs (Level 3) [Member] | Commercial Real Estate [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impaired Loans | 2,594 | ||
Significant Unobservable Inputs (Level 3) [Member] | Residential 1st Mortgage [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impaired Loans | 491 | 480 | 496 |
Significant Unobservable Inputs (Level 3) [Member] | Home Equity Lines and Loans [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impaired Loans | 78 | 83 | 84 |
Other Real Estate | 785 | 785 | |
Significant Unobservable Inputs (Level 3) [Member] | Agricultural [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impaired Loans | 298 | 497 | 503 |
Significant Unobservable Inputs (Level 3) [Member] | Commercial [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impaired Loans | 1,519 | 833 | $ 847 |
Significant Unobservable Inputs (Level 3) [Member] | Real Estate Construction [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Other Real Estate | $ 873 | $ 2,960 |
Fair Value Measurements, Quanti
Fair Value Measurements, Quantitative Information (Details) $ in Thousands | 9 Months Ended |
Sep. 30, 2017USD ($) | |
Impaired Loans [Member] | Commercial Real Estate [Member] | Income Approach [Member] | |
Quantitative Information [Abstract] | |
Fair value | $ 2,594 |
Unobservable inputs | Discount Rate |
Impaired Loans [Member] | Commercial Real Estate [Member] | Income Approach [Member] | Minimum [Member] | |
Quantitative Information [Abstract] | |
Discount rate | 3.25% |
Impaired Loans [Member] | Commercial Real Estate [Member] | Income Approach [Member] | Maximum [Member] | |
Quantitative Information [Abstract] | |
Discount rate | 3.25% |
Impaired Loans [Member] | Commercial Real Estate [Member] | Income Approach [Member] | Weighted Average [Member] | |
Quantitative Information [Abstract] | |
Discount rate | 3.25% |
Impaired Loans [Member] | Residential 1st Mortgage [Member] | Sales Comparison Approach [Member] | |
Quantitative Information [Abstract] | |
Fair value | $ 491 |
Unobservable inputs | Adjustment for Difference Between Comparable Sales |
Impaired Loans [Member] | Residential 1st Mortgage [Member] | Sales Comparison Approach [Member] | Minimum [Member] | |
Quantitative Information [Abstract] | |
Adjustment for difference between comparable sales | 1.00% |
Impaired Loans [Member] | Residential 1st Mortgage [Member] | Sales Comparison Approach [Member] | Maximum [Member] | |
Quantitative Information [Abstract] | |
Adjustment for difference between comparable sales | 4.00% |
Impaired Loans [Member] | Residential 1st Mortgage [Member] | Sales Comparison Approach [Member] | Weighted Average [Member] | |
Quantitative Information [Abstract] | |
Adjustment for difference between comparable sales | 3.00% |
Impaired Loans [Member] | Home Equity Lines and Loans [Member] | Sales Comparison Approach [Member] | |
Quantitative Information [Abstract] | |
Fair value | $ 78 |
Unobservable inputs | Adjustment for Difference Between Comparable Sales |
Impaired Loans [Member] | Home Equity Lines and Loans [Member] | Sales Comparison Approach [Member] | Minimum [Member] | |
Quantitative Information [Abstract] | |
Adjustment for difference between comparable sales | 1.00% |
Impaired Loans [Member] | Home Equity Lines and Loans [Member] | Sales Comparison Approach [Member] | Maximum [Member] | |
Quantitative Information [Abstract] | |
Adjustment for difference between comparable sales | 2.00% |
Impaired Loans [Member] | Home Equity Lines and Loans [Member] | Sales Comparison Approach [Member] | Weighted Average [Member] | |
Quantitative Information [Abstract] | |
Adjustment for difference between comparable sales | 2.00% |
Impaired Loans [Member] | Agricultural [Member] | Income Approach [Member] | |
Quantitative Information [Abstract] | |
Fair value | $ 298 |
Unobservable inputs | Discount Rate |
Impaired Loans [Member] | Agricultural [Member] | Income Approach [Member] | Minimum [Member] | |
Quantitative Information [Abstract] | |
Discount rate | 7.50% |
Impaired Loans [Member] | Agricultural [Member] | Income Approach [Member] | Maximum [Member] | |
Quantitative Information [Abstract] | |
Discount rate | 7.50% |
Impaired Loans [Member] | Agricultural [Member] | Income Approach [Member] | Weighted Average [Member] | |
Quantitative Information [Abstract] | |
Discount rate | 7.50% |
Impaired Loans [Member] | Commercial [Member] | Income Approach [Member] | |
Quantitative Information [Abstract] | |
Fair value | $ 1,519 |
Unobservable inputs | Discount Rate |
Impaired Loans [Member] | Commercial [Member] | Income Approach [Member] | Minimum [Member] | |
Quantitative Information [Abstract] | |
Discount rate | 2.00% |
Impaired Loans [Member] | Commercial [Member] | Income Approach [Member] | Maximum [Member] | |
Quantitative Information [Abstract] | |
Discount rate | 9.00% |
Impaired Loans [Member] | Commercial [Member] | Income Approach [Member] | Weighted Average [Member] | |
Quantitative Information [Abstract] | |
Discount rate | 3.00% |
Other Real Estate [Member] | Real Estate Construction [Member] | Sales Comparison Approach [Member] | |
Quantitative Information [Abstract] | |
Fair value | $ 873 |
Unobservable inputs | Adjustment for Difference Between Comparable Sales |
Other Real Estate [Member] | Real Estate Construction [Member] | Sales Comparison Approach [Member] | Minimum [Member] | |
Quantitative Information [Abstract] | |
Adjustment for difference between comparable sales | 10.00% |
Other Real Estate [Member] | Real Estate Construction [Member] | Sales Comparison Approach [Member] | Maximum [Member] | |
Quantitative Information [Abstract] | |
Adjustment for difference between comparable sales | 10.00% |
Other Real Estate [Member] | Real Estate Construction [Member] | Sales Comparison Approach [Member] | Weighted Average [Member] | |
Quantitative Information [Abstract] | |
Adjustment for difference between comparable sales | 10.00% |
Fair Value of Financial Instr39
Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | |
Assets [Abstract] | ||||
Available-for-Sale Securities | $ 456,323 | $ 448,263 | $ 358,857 | |
Investment Securities Held-to-Maturity | 56,291 | 58,408 | 60,454 | |
Obligations of States and Political Subdivisions [Member] | ||||
Assets [Abstract] | ||||
Investment Securities Held-to-Maturity | 56,291 | 58,408 | 60,454 | |
Government Agency & Government-Sponsored Entities [Member] | ||||
Assets [Abstract] | ||||
Available-for-Sale Securities | 3,169 | 3,241 | 83,293 | |
U.S. Govt SBA [Member] | ||||
Assets [Abstract] | ||||
Available-for-Sale Securities | 31,691 | 36,314 | ||
U.S. Treasury Notes [Member] | ||||
Assets [Abstract] | ||||
Available-for-Sale Securities | 144,410 | 134,428 | 85,681 | |
Mortgage Backed Securities [Member] | ||||
Assets [Abstract] | ||||
Available-for-Sale Securities | [1] | 276,043 | 273,270 | 188,873 |
Other [Member] | ||||
Assets [Abstract] | ||||
Available-for-Sale Securities | 1,010 | 1,010 | 1,010 | |
Carrying Amount [Member] | ||||
Assets [Abstract] | ||||
Cash and Cash Equivalents | 193,270 | 98,960 | 99,303 | |
Available-for-Sale Securities | 456,323 | 448,263 | 358,857 | |
Investment Securities Held-to-Maturity | 55,542 | 58,109 | 58,905 | |
FHLB Stock | 10,342 | 8,872 | 8,872 | |
Loans & Leases, Net of Deferred Fees & Allowance | 2,166,035 | 2,129,682 | 2,035,224 | |
Accrued Interest Receivable | 11,498 | 10,047 | 10,116 | |
Liabilities [Abstract] | ||||
Deposits | 2,709,427 | 2,581,711 | 2,355,637 | |
Subordinated Debentures | 10,310 | 10,310 | 10,310 | |
Accrued Interest Payable | 939 | 852 | 681 | |
Carrying Amount [Member] | Demand [Member] | ||||
Liabilities [Abstract] | ||||
Deposits | 767,162 | 756,236 | 672,351 | |
Carrying Amount [Member] | Interest Bearing Transaction [Member] | ||||
Liabilities [Abstract] | ||||
Deposits | 564,904 | 495,063 | 433,220 | |
Carrying Amount [Member] | Savings and Money Market [Member] | ||||
Liabilities [Abstract] | ||||
Deposits | 827,588 | 760,119 | 702,441 | |
Carrying Amount [Member] | Time [Member] | ||||
Liabilities [Abstract] | ||||
Deposits | 549,773 | 570,293 | 547,625 | |
Carrying Amount [Member] | Commercial Real Estate [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 671,940 | 656,936 | 616,992 | |
Carrying Amount [Member] | Agricultural Real Estate [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 459,342 | 458,235 | 430,601 | |
Carrying Amount [Member] | Real Estate Construction [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 159,417 | 173,239 | 172,587 | |
Carrying Amount [Member] | Residential 1st Mortgages [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 256,923 | 241,382 | 237,547 | |
Carrying Amount [Member] | Home Equity Lines and Loans [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 31,089 | 29,485 | 30,318 | |
Carrying Amount [Member] | Agricultural [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 251,767 | 287,944 | 268,482 | |
Carrying Amount [Member] | Commercial [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 248,891 | 209,062 | 206,486 | |
Carrying Amount [Member] | Consumer & Other [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 7,103 | 6,713 | 6,796 | |
Carrying Amount [Member] | Leases [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 81,983 | 68,135 | 67,341 | |
Carrying Amount [Member] | Unallocated Allowance [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | (2,420) | (1,449) | (1,926) | |
Carrying Amount [Member] | Obligations of States and Political Subdivisions [Member] | ||||
Assets [Abstract] | ||||
Investment Securities Held-to-Maturity | 55,542 | 58,109 | 58,905 | |
Carrying Amount [Member] | Government Agency & Government-Sponsored Entities [Member] | ||||
Assets [Abstract] | ||||
Available-for-Sale Securities | 3,169 | 3,241 | 83,293 | |
Carrying Amount [Member] | U.S. Govt SBA [Member] | ||||
Assets [Abstract] | ||||
Available-for-Sale Securities | 31,691 | 36,314 | ||
Carrying Amount [Member] | U.S. Treasury Notes [Member] | ||||
Assets [Abstract] | ||||
Available-for-Sale Securities | 144,410 | 134,428 | 85,681 | |
Carrying Amount [Member] | Mortgage Backed Securities [Member] | ||||
Assets [Abstract] | ||||
Available-for-Sale Securities | 276,043 | 273,270 | 188,873 | |
Carrying Amount [Member] | Other [Member] | ||||
Assets [Abstract] | ||||
Available-for-Sale Securities | 1,010 | 1,010 | 1,010 | |
Estimated Fair Value [Member] | ||||
Assets [Abstract] | ||||
Cash and Cash Equivalents | 193,270 | 98,960 | 99,303 | |
Available-for-Sale Securities | 456,323 | 448,263 | 358,857 | |
Investment Securities Held-to-Maturity | 56,292 | 58,408 | 60,454 | |
Loans & Leases, Net of Deferred Fees & Allowance | 2,148,524 | 2,107,060 | 2,035,353 | |
Accrued Interest Receivable | 11,498 | 10,047 | 10,116 | |
Liabilities [Abstract] | ||||
Deposits | 2,707,450 | 2,580,601 | 2,355,157 | |
Subordinated Debentures | 6,589 | 6,578 | 6,606 | |
Accrued Interest Payable | 939 | 852 | 681 | |
Estimated Fair Value [Member] | Demand [Member] | ||||
Liabilities [Abstract] | ||||
Deposits | 767,162 | 756,236 | 672,351 | |
Estimated Fair Value [Member] | Interest Bearing Transaction [Member] | ||||
Liabilities [Abstract] | ||||
Deposits | 564,904 | 495,063 | 433,220 | |
Estimated Fair Value [Member] | Savings and Money Market [Member] | ||||
Liabilities [Abstract] | ||||
Deposits | 827,588 | 760,119 | 702,441 | |
Estimated Fair Value [Member] | Time [Member] | ||||
Liabilities [Abstract] | ||||
Deposits | 547,796 | 569,183 | 547,145 | |
Estimated Fair Value [Member] | Commercial Real Estate [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 665,566 | 651,877 | 620,655 | |
Estimated Fair Value [Member] | Agricultural Real Estate [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 446,684 | 444,393 | 422,056 | |
Estimated Fair Value [Member] | Real Estate Construction [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 159,131 | 172,682 | 172,358 | |
Estimated Fair Value [Member] | Residential 1st Mortgages [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 258,256 | 241,174 | 241,703 | |
Estimated Fair Value [Member] | Home Equity Lines and Loans [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 31,869 | 30,495 | 31,397 | |
Estimated Fair Value [Member] | Agricultural [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 249,995 | 286,074 | 267,101 | |
Estimated Fair Value [Member] | Commercial [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 247,344 | 207,215 | 205,769 | |
Estimated Fair Value [Member] | Consumer & Other [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 7,067 | 6,706 | 6,832 | |
Estimated Fair Value [Member] | Leases [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 85,032 | 67,893 | 69,408 | |
Estimated Fair Value [Member] | Unallocated Allowance [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | (2,420) | (1,449) | (1,926) | |
Estimated Fair Value [Member] | Obligations of States and Political Subdivisions [Member] | ||||
Assets [Abstract] | ||||
Investment Securities Held-to-Maturity | 56,292 | 58,408 | 60,454 | |
Estimated Fair Value [Member] | Government Agency & Government-Sponsored Entities [Member] | ||||
Assets [Abstract] | ||||
Available-for-Sale Securities | 3,169 | 3,241 | 83,293 | |
Estimated Fair Value [Member] | U.S. Govt SBA [Member] | ||||
Assets [Abstract] | ||||
Available-for-Sale Securities | 31,691 | 36,314 | ||
Estimated Fair Value [Member] | U.S. Treasury Notes [Member] | ||||
Assets [Abstract] | ||||
Available-for-Sale Securities | 144,410 | 134,428 | 85,681 | |
Estimated Fair Value [Member] | Mortgage Backed Securities [Member] | ||||
Assets [Abstract] | ||||
Available-for-Sale Securities | 276,043 | 273,270 | 188,873 | |
Estimated Fair Value [Member] | Other [Member] | ||||
Assets [Abstract] | ||||
Available-for-Sale Securities | 1,010 | 1,010 | 1,010 | |
Estimated Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Assets [Abstract] | ||||
Cash and Cash Equivalents | 193,270 | 98,960 | 99,303 | |
Available-for-Sale Securities | 144,610 | 134,628 | 85,881 | |
Investment Securities Held-to-Maturity | 0 | 0 | 0 | |
Loans & Leases, Net of Deferred Fees & Allowance | 0 | 0 | 0 | |
Accrued Interest Receivable | 0 | 0 | 0 | |
Liabilities [Abstract] | ||||
Deposits | 2,159,654 | 2,011,418 | 1,808,012 | |
Subordinated Debentures | 0 | 0 | 0 | |
Accrued Interest Payable | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Demand [Member] | ||||
Liabilities [Abstract] | ||||
Deposits | 767,162 | 756,236 | 672,351 | |
Estimated Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Interest Bearing Transaction [Member] | ||||
Liabilities [Abstract] | ||||
Deposits | 564,904 | 495,063 | 433,220 | |
Estimated Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Savings and Money Market [Member] | ||||
Liabilities [Abstract] | ||||
Deposits | 827,588 | 760,119 | 702,441 | |
Estimated Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Time [Member] | ||||
Liabilities [Abstract] | ||||
Deposits | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Commercial Real Estate [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Agricultural Real Estate [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Real Estate Construction [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Residential 1st Mortgages [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Home Equity Lines and Loans [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Agricultural [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Commercial [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Consumer & Other [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Leases [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 0 | 0 | ||
Estimated Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Unallocated Allowance [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Obligations of States and Political Subdivisions [Member] | ||||
Assets [Abstract] | ||||
Investment Securities Held-to-Maturity | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Government Agency & Government-Sponsored Entities [Member] | ||||
Assets [Abstract] | ||||
Available-for-Sale Securities | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | U.S. Govt SBA [Member] | ||||
Assets [Abstract] | ||||
Available-for-Sale Securities | 0 | 0 | ||
Estimated Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | U.S. Treasury Notes [Member] | ||||
Assets [Abstract] | ||||
Available-for-Sale Securities | 144,410 | 134,428 | 85,681 | |
Estimated Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Mortgage Backed Securities [Member] | ||||
Assets [Abstract] | ||||
Available-for-Sale Securities | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Other [Member] | ||||
Assets [Abstract] | ||||
Available-for-Sale Securities | 200 | 200 | 200 | |
Estimated Fair Value [Member] | Other Observable Inputs (Level 2) [Member] | ||||
Assets [Abstract] | ||||
Cash and Cash Equivalents | 0 | 0 | 0 | |
Available-for-Sale Securities | 311,213 | 313,135 | 272,476 | |
Investment Securities Held-to-Maturity | 39,254 | 40,415 | 42,675 | |
Loans & Leases, Net of Deferred Fees & Allowance | 0 | 0 | 0 | |
Accrued Interest Receivable | 11,498 | 10,047 | 10,116 | |
Liabilities [Abstract] | ||||
Deposits | 547,796 | 569,183 | 547,145 | |
Subordinated Debentures | 6,589 | 6,578 | 6,606 | |
Accrued Interest Payable | 939 | 852 | 681 | |
Estimated Fair Value [Member] | Other Observable Inputs (Level 2) [Member] | Demand [Member] | ||||
Liabilities [Abstract] | ||||
Deposits | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Other Observable Inputs (Level 2) [Member] | Interest Bearing Transaction [Member] | ||||
Liabilities [Abstract] | ||||
Deposits | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Other Observable Inputs (Level 2) [Member] | Savings and Money Market [Member] | ||||
Liabilities [Abstract] | ||||
Deposits | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Other Observable Inputs (Level 2) [Member] | Time [Member] | ||||
Liabilities [Abstract] | ||||
Deposits | 547,796 | 569,183 | 547,145 | |
Estimated Fair Value [Member] | Other Observable Inputs (Level 2) [Member] | Commercial Real Estate [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Other Observable Inputs (Level 2) [Member] | Agricultural Real Estate [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Other Observable Inputs (Level 2) [Member] | Real Estate Construction [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Other Observable Inputs (Level 2) [Member] | Residential 1st Mortgages [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Other Observable Inputs (Level 2) [Member] | Home Equity Lines and Loans [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Other Observable Inputs (Level 2) [Member] | Agricultural [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Other Observable Inputs (Level 2) [Member] | Commercial [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Other Observable Inputs (Level 2) [Member] | Consumer & Other [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Other Observable Inputs (Level 2) [Member] | Leases [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 0 | 0 | ||
Estimated Fair Value [Member] | Other Observable Inputs (Level 2) [Member] | Unallocated Allowance [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Other Observable Inputs (Level 2) [Member] | Obligations of States and Political Subdivisions [Member] | ||||
Assets [Abstract] | ||||
Investment Securities Held-to-Maturity | 39,254 | 40,415 | 42,675 | |
Estimated Fair Value [Member] | Other Observable Inputs (Level 2) [Member] | Government Agency & Government-Sponsored Entities [Member] | ||||
Assets [Abstract] | ||||
Available-for-Sale Securities | 3,169 | 3,241 | 83,293 | |
Estimated Fair Value [Member] | Other Observable Inputs (Level 2) [Member] | U.S. Govt SBA [Member] | ||||
Assets [Abstract] | ||||
Available-for-Sale Securities | 31,691 | 36,314 | ||
Estimated Fair Value [Member] | Other Observable Inputs (Level 2) [Member] | U.S. Treasury Notes [Member] | ||||
Assets [Abstract] | ||||
Available-for-Sale Securities | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Other Observable Inputs (Level 2) [Member] | Mortgage Backed Securities [Member] | ||||
Assets [Abstract] | ||||
Available-for-Sale Securities | 276,043 | 273,270 | 188,873 | |
Estimated Fair Value [Member] | Other Observable Inputs (Level 2) [Member] | Other [Member] | ||||
Assets [Abstract] | ||||
Available-for-Sale Securities | 310 | 310 | 310 | |
Estimated Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Assets [Abstract] | ||||
Cash and Cash Equivalents | 0 | 0 | 0 | |
Available-for-Sale Securities | 500 | 500 | 500 | |
Investment Securities Held-to-Maturity | 17,037 | 17,993 | 17,779 | |
Loans & Leases, Net of Deferred Fees & Allowance | 2,148,524 | 2,107,060 | 2,035,353 | |
Accrued Interest Receivable | 0 | 0 | 0 | |
Liabilities [Abstract] | ||||
Deposits | 0 | 0 | 0 | |
Subordinated Debentures | 0 | 0 | 0 | |
Accrued Interest Payable | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | Demand [Member] | ||||
Liabilities [Abstract] | ||||
Deposits | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | Interest Bearing Transaction [Member] | ||||
Liabilities [Abstract] | ||||
Deposits | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | Savings and Money Market [Member] | ||||
Liabilities [Abstract] | ||||
Deposits | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | Time [Member] | ||||
Liabilities [Abstract] | ||||
Deposits | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | Commercial Real Estate [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 665,566 | 651,877 | 620,655 | |
Estimated Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | Agricultural Real Estate [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 446,684 | 444,393 | 422,056 | |
Estimated Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | Real Estate Construction [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 159,131 | 172,682 | 172,358 | |
Estimated Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | Residential 1st Mortgages [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 258,256 | 241,174 | 241,703 | |
Estimated Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | Home Equity Lines and Loans [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 31,869 | 30,495 | 31,397 | |
Estimated Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | Agricultural [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 249,995 | 286,074 | 267,101 | |
Estimated Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | Commercial [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 247,344 | 207,215 | 205,769 | |
Estimated Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | Consumer & Other [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 7,067 | 6,706 | 6,832 | |
Estimated Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | Leases [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | 85,032 | 67,893 | 69,408 | |
Estimated Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | Unallocated Allowance [Member] | ||||
Assets [Abstract] | ||||
Loans & Leases, Net of Deferred Fees & Allowance | (2,420) | (1,449) | (1,926) | |
Estimated Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | Obligations of States and Political Subdivisions [Member] | ||||
Assets [Abstract] | ||||
Investment Securities Held-to-Maturity | 17,037 | 17,993 | 17,779 | |
Estimated Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | Government Agency & Government-Sponsored Entities [Member] | ||||
Assets [Abstract] | ||||
Available-for-Sale Securities | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | U.S. Govt SBA [Member] | ||||
Assets [Abstract] | ||||
Available-for-Sale Securities | 0 | 0 | ||
Estimated Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | U.S. Treasury Notes [Member] | ||||
Assets [Abstract] | ||||
Available-for-Sale Securities | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | Mortgage Backed Securities [Member] | ||||
Assets [Abstract] | ||||
Available-for-Sale Securities | 0 | 0 | 0 | |
Estimated Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | Other [Member] | ||||
Assets [Abstract] | ||||
Available-for-Sale Securities | $ 500 | $ 500 | $ 500 | |
[1] | All Mortgage Backed Securities consist of securities collateralized by residential real estate and were issued by an agency or government sponsored entity of the U.S. government. |
Dividends and Basic Earnings 40
Dividends and Basic Earnings Per Common Share (Details) - USD ($) $ / shares in Units, $ in Thousands | Jul. 01, 2017 | May 09, 2017 | Jul. 01, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 |
Dividends Payable [Line Items] | |||||||
Cash dividends declared per share of common stock (in dollars per share) | $ 6.75 | $ 6.55 | |||||
Earnings per share for the period [Abstract] | |||||||
Net Income | $ 8,581 | $ 7,538 | $ 24,589 | $ 22,042 | |||
Weighted Average Number of Common Shares Outstanding (in shares) | 810,291 | 792,387 | 809,002 | 792,223 | |||
Basic Earnings Per Common Share Amount (in dollars per share) | $ 10.59 | $ 9.51 | $ 30.39 | $ 27.82 | |||
Mid-Year Cash Dividend Declared in 2017 [Member] | |||||||
Dividends Payable [Line Items] | |||||||
Dividends payable, date declared | May 9, 2017 | ||||||
Cash dividends declared per share of common stock (in dollars per share) | $ 6.75 | ||||||
Percentage increase in cash dividend per share | 3.10% | ||||||
Cash dividends paid per share of common stock (in dollars per share) | $ 6.75 | ||||||
Dividends payable, date paid | Jul. 1, 2017 | ||||||
Dividends payable, date of record | Jun. 9, 2017 | ||||||
Mid-Year Cash Dividend Declared in 2016 [Member] | |||||||
Dividends Payable [Line Items] | |||||||
Cash dividends paid per share of common stock (in dollars per share) | $ 6.55 | ||||||
Dividends payable, date paid | Jul. 1, 2016 |
Shareholders' Equity (Details)
Shareholders' Equity (Details) - Common Stock [Member] - $ / shares | 3 Months Ended | ||
Sep. 30, 2017 | Mar. 31, 2017 | Mar. 31, 2016 | |
Class of Stock [Line Items] | |||
Issuance of common stock (in shares) | 4,975 | 4,975 | 1,600 |
Per share price of shares issued (in dollars per share) | $ 525 | ||
Minimum [Member] | |||
Class of Stock [Line Items] | |||
Per share price of shares issued (in dollars per share) | $ 590 | $ 590 | |
Maximum [Member] | |||
Class of Stock [Line Items] | |||
Per share price of shares issued (in dollars per share) | $ 595 | $ 595 |