Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2016 | Apr. 27, 2016 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | SOUTHERN FIRST BANCSHARES INC | |
Entity Central Index Key | 1,090,009 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Document Type | 10-Q | |
Document Period End Date | Mar. 31, 2016 | |
Document Fiscal Year Focus | 2,016 | |
Document Fiscal Period Focus | Q1 | |
Entity Filer Category | Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 6,343,988 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2016 | Dec. 31, 2015 |
Cash and cash equivalents: | ||
Cash and due from banks | $ 19,921 | $ 12,280 |
Federal funds sold | 19,174 | 33,582 |
Interest-bearing deposits with banks | 15,678 | 17,004 |
Total cash and cash equivalents | 54,773 | 62,866 |
Investment securities: | ||
Investment securities available for sale | 77,065 | 89,939 |
Other investments | 5,740 | 5,532 |
Total investment securities | 82,805 | 95,471 |
Loans held for sale | 14,241 | 4,943 |
Loans | 1,038,862 | 1,004,944 |
Less allowance for loan losses | (13,898) | (13,629) |
Loans, net | 1,024,964 | 991,315 |
Bank owned life insurance | 24,921 | 24,735 |
Property and equipment, net | 24,724 | 24,185 |
Deferred income taxes | 6,287 | 6,923 |
Other assets | 6,602 | 6,855 |
Total assets | 1,239,317 | 1,217,293 |
LIABILITIES | ||
Deposits | 1,003,241 | 985,733 |
Federal Home Loan Bank advances and other borrowings | 115,200 | 115,200 |
Junior subordinated debentures | 13,403 | 13,403 |
Other liabilities | 9,178 | 8,717 |
Total liabilities | $ 1,141,022 | $ 1,123,053 |
SHAREHOLDERS' EQUITY | ||
Preferred stock, par value $.01 per share, 10,000,000 shares authorized, no shares issued and outstanding | ||
Common stock, par value $.01 per share, 10,000,000 shares authorized,6,343,988 and 6,289,038 shares issued and outstanding at March 31, 2016 and December 31, 2015, respectively | $ 63 | $ 63 |
Nonvested restricted stock | (681) | (360) |
Additional paid-in capital | 70,889 | 70,037 |
Accumulated other comprehensive income (loss) | 514 | (4) |
Retained earnings | 27,510 | 24,504 |
Total shareholders' equity | 98,295 | 94,240 |
Total liabilities and shareholders' equity | $ 1,239,317 | $ 1,217,293 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Mar. 31, 2016 | Dec. 31, 2015 |
Balance Sheets [Abstract] | ||
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares issued | ||
Preferred stock, shares outstanding | ||
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 10,000,000 | 10,000,000 |
Common stock, shares issued | 6,343,988 | 6,289,038 |
Common stock, shares outstanding | 6,343,988 | 6,289,038 |
Consolidated Statements of Inco
Consolidated Statements of Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Interest income | ||
Loans | $ 11,795 | $ 10,400 |
Investment securities | 489 | 376 |
Federal funds sold | 45 | 25 |
Total interest income | 12,329 | 10,801 |
Interest expense | ||
Deposits | 988 | 768 |
Borrowings | 1,034 | 963 |
Total interest expense | 2,022 | 1,731 |
Net interest income | 10,307 | 9,070 |
Provision for loan losses | 625 | 625 |
Net interest income after provision for loan losses | 9,682 | 8,445 |
Noninterest income | ||
Loan and mortgage fee income | 1,517 | 1,196 |
Service fees on deposit accounts | 220 | 227 |
Income from bank owned life insurance | 186 | 166 |
Gain on sale of investment securities | 307 | 259 |
Other income | 329 | 293 |
Total noninterest income | 2,559 | 2,141 |
Noninterest expenses | ||
Compensation and benefits | 4,551 | 4,277 |
Occupancy | 870 | 737 |
Real estate owned expenses | 285 | 763 |
Data processing and related costs | 598 | 585 |
Insurance | 233 | 202 |
Professional fees | 254 | 233 |
Marketing | 231 | 238 |
Other | 495 | 426 |
Total noninterest expenses | 7,517 | 7,461 |
Income before income tax expense | 4,724 | 3,125 |
Income tax expense | 1,718 | 1,097 |
Net income available to common shareholders | $ 3,006 | $ 2,028 |
Earnings per common share | ||
Basic | $ 0.48 | $ 0.33 |
Diluted | $ 0.45 | $ 0.31 |
Weighted average common shares outstanding | ||
Basic | 6,272,847 | 6,225,252 |
Diluted | 6,663,432 | 6,514,873 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Statements of Comprehensive Income (Loss) [Abstract] | ||
Net income | $ 3,006 | $ 2,028 |
Unrealized gain on securities available for sale: | ||
Unrealized holding gain arising during the period, pretax | 1,092 | 357 |
Tax expense | (371) | (121) |
Reclassification of realized gain | (307) | (259) |
Tax expense | 104 | 88 |
Other comprehensive income | 518 | 65 |
Comprehensive income | $ 3,524 | $ 2,093 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity (Unaudited) - USD ($) $ in Thousands | Total | Common stock | Preferred stock | Nonvested restricted stock | Additional paid-in capital | Accumulated other comprehensive income (loss) | Retained earnings |
Beginning balance at Dec. 31, 2014 | $ 82,992 | $ 62 | $ (494) | $ 68,785 | $ 302 | $ 14,337 | |
Beginning balance, shares at Dec. 31, 2014 | 6,219,002 | ||||||
Net income | 2,028 | $ 2,028 | |||||
Proceeds from exercise of stock options | 75 | $ 75 | |||||
Proceeds from exercise of stock options, shares | 11,818 | ||||||
Amortization of deferred compensation on restricted stock | 44 | $ 44 | |||||
Compensation expense related to stock options, net of tax | 149 | $ 149 | |||||
Other comprehensive income | 65 | $ 65 | |||||
Balance at Mar. 31, 2015 | 85,353 | $ 62 | $ (450) | $ 69,009 | 367 | $ 16,365 | |
Balance, shares at Mar. 31, 2015 | 6,230,820 | ||||||
Beginning balance at Dec. 31, 2015 | 94,240 | $ 63 | (360) | $ 70,037 | (4) | 24,504 | |
Beginning balance, shares at Dec. 31, 2015 | 6,289,038 | ||||||
Net income | 3,006 | $ 3,006 | |||||
Proceeds from exercise of stock options | $ 285 | $ 285 | |||||
Proceeds from exercise of stock options, shares | 37,950 | ||||||
Issuance of restricted stock | (391) | $ 391 | |||||
Issuance of restricted stock, shares | 17,000 | ||||||
Amortization of deferred compensation on restricted stock | $ 70 | $ 70 | |||||
Compensation expense related to stock options, net of tax | 176 | $ 176 | |||||
Other comprehensive income | 518 | 518 | |||||
Balance at Mar. 31, 2016 | $ 98,295 | $ 63 | $ (681) | $ 70,889 | $ 514 | $ 27,510 | |
Balance, shares at Mar. 31, 2016 | 6,343,988 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Operating activities | ||
Net income | $ 3,006 | $ 2,028 |
Adjustments to reconcile net income to cash used for operating activities: | ||
Provision for loan losses | 625 | 625 |
Depreciation and other amortization | 315 | 299 |
Accretion and amortization of securities discounts and premium, net | 120 | 73 |
(Gain) loss on sale of investment securities available for sale | (307) | (259) |
(Gain) loss on sale of real estate owned | 51 | (74) |
Write-down of real estate owned | 125 | 737 |
Compensation expense related to stock options and grants | 246 | 193 |
Gain on sale of loans held for sale | (1,447) | (1,163) |
Loans originated and held for sale | (52,034) | (51,110) |
Proceeds from sale of loans held for sale | 44,183 | 49,194 |
Increase in cash surrender value of bank owned life insurance | (186) | (166) |
(Increase) decrease in deferred tax asset | 369 | (102) |
Decrease in other assets, net | 62 | 11 |
Increase (decrease) in other liabilities | 461 | (992) |
Net cash used for operating activities | (4,411) | (706) |
Increase (decrease) in cash realized from: | ||
Origination of loans, net | (34,519) | (38,011) |
Purchase of property and equipment | $ (854) | $ (172) |
Purchase of investment securities: | ||
Available for sale | ||
Other | $ (168) | $ (124) |
Payments and maturities, calls and repayments of investment securities: | ||
Available for sale | $ 3,203 | 1,010 |
Other | 1,140 | |
Proceeds from sale of investment securities available for sale | $ 10,603 | 5,771 |
Proceeds from sale of real estate owned | 260 | 74 |
Net cash used for investing activities | (21,475) | (30,312) |
Increase (decrease) in cash realized from: | ||
Increase in deposits, net | $ 17,508 | 61,403 |
Decrease in Federal Home Loan Bank advances and other borrowings | (20,000) | |
Proceeds from the exercise of stock options and warrants | $ 285 | 75 |
Net cash provided by financing activities | 17,793 | 41,478 |
Net increase (decrease) in cash and cash equivalents | (8,093) | 10,460 |
Cash and cash equivalents at beginning of the period | 62,866 | 41,264 |
Cash and cash equivalents at end of the period | 54,773 | 51,724 |
Cash paid for | ||
Interest | 1,767 | 1,835 |
Income taxes | 1,350 | $ 1,200 |
Schedule of non-cash transactions | ||
Real estate acquired in settlement of loans | 245 | |
Unrealized gain on securities, net of income taxes | $ (721) | $ (236) |
Nature of Business and Basis of
Nature of Business and Basis of Presentation | 3 Months Ended |
Mar. 31, 2016 | |
Nature of Business and Basis of Presentation [Abstract] | |
Nature of Business and Basis of Presentation | NOTE 1 – Nature of Business and Basis of Presentation Business Activity Southern First Bancshares, Inc. (the "Company") is a South Carolina corporation that owns all of the capital stock of Southern First Bank (the "Bank") and all of the stock of Greenville First Statutory Trust I and II (collectively, the "Trusts"). The Trusts are special purpose non-consolidated entities organized for the sole purpose of issuing trust preferred securities. The Bank's primary federal regulator is the Federal Deposit Insurance Corporation (the "FDIC"). The Bank is also regulated and examined by the South Carolina Board of Financial Institutions. The Bank is primarily engaged in the business of accepting demand deposits and savings deposits insured by the FDIC, and providing commercial, consumer and mortgage loans to the general public. Basis of Presentation The accompanying consolidated financial statements have been prepared in accordance with generally accepted accounting principles (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all the information and footnotes required by accounting principles generally accepted in the United States of America for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three month period ended March 31, 2016 are not necessarily indicative of the results that may be expected for the year ending December 31, 2016. For further information, refer to the consolidated financial statements and footnotes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2015 as filed with the Securities and Exchange Commission on March 2, 2016. The consolidated financial statements include the accounts of the Company and the Bank. In accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 810, “Consolidation,” the financial statements related to the Trusts have not been consolidated. Use of Estimates The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the consolidated financial statements and the reported amount of income and expenses during the reporting periods. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses, real estate acquired in the settlement of loans, fair value of financial instruments, evaluating other-than-temporary-impairment of investment securities and valuation of deferred tax assets. Business Segments The Company reports its activities as three business segments – Commercial and Retail Banking, Mortgage Banking and Corporate. In determining proper segment definition, the Company considers the materiality of a potential segment and components of the business about which financial information is available and regularly evaluated, relative to a resource allocation and performance assessment. Please refer to “Note 7 – Reportable Segments” for further information on the reporting for the three business segments. Reclassifications Certain amounts, previously reported, have been reclassified to state all periods on a comparable basis and had no effect on shareholders’ equity or net income. Subsequent Events Subsequent events are events or transactions that occur after the balance sheet date but before financial statements are issued. Recognized subsequent events are events or transactions that provide additional evidence about conditions that existed at the date of the balance sheet, including the estimates inherent in the process of preparing financial statements. Non-recognized subsequent events are events that provide evidence about conditions that did not exist at the date of the balance sheet but arose after that date. Management performed an evaluation to determine whether there have been any subsequent events since the balance sheet date and determined that no subsequent events occurred requiring accrual or disclosure. |
Investment Securities
Investment Securities | 3 Months Ended |
Mar. 31, 2016 | |
Investment Securities [Abstract] | |
Investment Securities | NOTE 2 – Investment Securities The amortized costs and fair value of investment securities are as follows: March 31, 2016 Amortized Gross Unrealized Fair (dollars in thousands) Cost Gains Losses Value Available for sale US government agencies $ 11,535 129 - 11,664 SBA securities 6,359 - 33 6,326 State and political subdivisions 19,794 561 5 20,350 Mortgage-backed securities 38,599 214 88 38,725 Total investment securities available for sale $ 76,287 904 126 77,065 December 31, 2015 Amortized Gross Unrealized Fair Cost Gains Losses Value Available for sale US government agencies $ 14,711 1 113 14,599 SBA securities 6,410 - 133 6,277 State and political subdivisions 21,771 525 37 22,259 Mortgage-backed securities 47,053 191 440 46,804 Total investment securities available for sale $ 89,945 717 723 89,939 During the first quarter of 2016, approximately $12.2 million of investment securities were either sold or called, subsequently resulting in a gain on sale of $307,000. Contractual maturities and yields on the Company’s investment securities at March 31, 2016 and December 31, 2015 are shown in the following table. Expected maturities may differ from contractual maturities because issuers may have the right to call or prepay obligations with or without call or prepayment penalties. March 31, 2016 Less than one year One to five years Five to ten years Over ten years Total (dollars in thousands) Amount Yield Amount Yield Amount Yield Amount Yield Amount Yield Available for sale US government agencies $ - - 1,015 1.75% 8,898 2.49% 1,751 3.07% 11,664 2.39% SBA securities - - - - - - 6,326 1.74% 6,326 1.74% State and political subdivisions - - 469 1.63% 13,286 2.44% 6,595 2.97% 20,350 2.59% Mortgage-backed securities - - - - 5,801 1.57% 32,924 1.97% 38,725 1.91% Total $ - - 1,484 1.71% 27,985 2.28% 47,596 2.11% 77,065 2.16% December 31, 2015 Less than one year One to five years Five to ten years Over ten years Total Amount Yield Amount Yield Amount Yield Amount Yield Amount Yield Available for sale US government agencies $ - - 4,149 1.74% 8,704 2.49% 1,746 3.03% 14,599 2.34% SBA securities - - - - - - 6,277 1.79% 6,277 1.79% State and political subdivisions - - 464 1.63% 14,032 2.64% 7,763 2.84% 22,259 2.69% Mortgage-backed securities - - - - 8,048 1.56% 38,756 2.08% 46,804 1.99% Total $ - - 4,613 1.73% 30,784 2.31% 54,542 2.18% 89,939 2.20% The tables below summarize gross unrealized losses on investment securities and the fair market value of the related securities at March 31, 2016 and December 31, 2015, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position. March 31, 2016 Less than 12 months 12 months or longer Total Fair Unrealized Fair Unrealized Fair Unrealized (dollars in thousands) # value losses # value losses # value losses Available for sale US government agencies - $ - $ - - $ - $ - - $ - $ - SBA securities 1 1,531 5 2 4,795 28 3 6,326 33 State and political subdivisions 1 612 1 2 974 4 3 1,586 5 Mortgage-backed securities 2 4,764 75 2 2,393 13 4 7,157 88 Total 4 $ 6,907 $ 81 6 $ 8,162 $ 45 10 $ 15,069 $ 126 December 31, 2015 Less than 12 months 12 months or longer Total Fair Unrealized Fair Unrealized Fair Unrealized (dollars in thousands) # value losses # value losses # value losses Available for sale US government agencies 9 $ 12,853 $ 113 - $ - $ - 9 $ 12,853 $ 113 SBA securities - - - 2 4,691 133 2 4,691 133 State and political subdivisions 7 3,125 17 3 1,220 20 10 4,345 37 Mortgage-backed securities 27 40,868 440 - - - 27 40,868 440 Total 43 $ 56,846 $ 570 5 $ 5,911 $ 153 48 $ 62,757 $ 723 At March 31, 2016, the Company had four individual investments with a fair market value of $6.9 million that were in an unrealized loss position for less than 12 months and six individual investments with a fair market value of $8.2 million that were in an unrealized loss position for 12 months or longer. The unrealized losses were primarily attributable to changes in interest rates, rather than deterioration in credit quality. The individual securities are each investment grade securities. The Company considers the length of time and extent to which the fair value of available-for-sale debt securities have been less than cost to conclude that such securities are not other-than-temporarily impaired. The Company also considers other factors such as the financial condition of the issuer including credit ratings and specific events affecting the operations of the issuer, volatility of the security, underlying assets that collateralize the debt security, and other industry and macroeconomic conditions. As the Company has no intent to sell securities with unrealized losses and it is not more-likely-than-not that the Company will be required to sell these securities before recovery of amortized cost, the Company has concluded that these securities are not impaired on an other-than-temporary basis. Other investments are comprised of the following and are recorded at cost which approximates fair value. (dollars in thousands) March 31, 2016 December 31, 2015 Federal Home Loan Bank stock $ 5,173 5,005 Investment in Trust Preferred securities 403 403 Other investments 164 124 Total other investments $ 5,740 5,532 The Company has evaluated the Federal Home Loan Bank (“FHLB”) stock for impairment and determined that the investment in the FHLB stock is not other than temporarily impaired as of March 31, 2016 and ultimate recoverability of the par value of this investment is probable. All of the FHLB stock is used to collateralize advances with the FHLB. At March 31, 2016, $22.7 million of securities were pledged as collateral for repurchase agreements from brokers, and approximately $25.1 million of securities were pledged to secure client deposits. At December 31, 2015, $21.3 million of securities were pledged as collateral for repurchase agreements from brokers, and approximately $11.1 million of securities were pledged to secure client deposits. |
Loans and Allowance for Loan Lo
Loans and Allowance for Loan Losses | 3 Months Ended |
Mar. 31, 2016 | |
Loans and Allowance for Loan Losses [Abstract] | |
Loans and Allowance for Loan Losses | NOTE 3 – Loans and Allowance for Loan Losses The following table summarizes the composition of our loan portfolio. Total gross loans are recorded net of deferred loan fees and costs, which totaled $1.7 million as of March 31, 2016 and December 31, 2015. March 31, 2016 December 31, 2015 (dollars in thousands) Amount % of Total Amount % of Total Commercial Owner occupied RE $ 233,753 22.5% $ 236,083 23.5% Non-owner occupied RE 221,264 21.3% 205,604 20.5% Construction 43,843 4.2% 41,751 4.1% Business 180,281 17.4% 171,743 17.1% Total commercial loans 679,141 65.4% 655,181 65.2% Consumer Real estate 175,954 16.9% 174,802 17.4% Home equity 118,888 11.4% 116,563 11.6% Construction 48,349 4.7% 43,318 4.3% Other 16,530 1.6% 15,080 1.5% Total consumer loans 359,721 34.6% 349,763 34.8% Total gross loans, net of deferred fees 1,038,862 100.0% 1,004,944 100.0% Less—allowance for loan losses (13,898 ) (13,629 ) Total loans, net $ 1,024,964 $ 991,315 Maturities and Sensitivity of Loans to Changes in Interest Rates The information in the following tables summarizes the loan maturity distribution by type and related interest rate characteristics based on the contractual maturities of individual loans, including loans which may be subject to renewal at their contractual maturity. Renewal of such loans is subject to review and credit approval, as well as modification of terms upon maturity. Actual repayments of loans may differ from the maturities reflected below, because borrowers have the right to prepay obligations with or without prepayment penalties. March 31, 2016 After one One year but within After five (dollars in thousands) or less five years years Total Commercial Owner occupied RE $ 22,287 115,323 96,143 233,753 Non-owner occupied RE 35,109 127,437 58,718 221,264 Construction 5,068 26,986 11,789 43,843 Business 63,113 90,734 26,434 180,281 Total commercial loans 125,577 360,480 193,084 679,141 Consumer Real estate 29,212 38,798 107,944 175,954 Home equity 6,617 29,797 82,474 118,888 Construction 15,226 2,067 31,056 48,349 Other 7,170 7,010 2,350 16,530 Total consumer loans 58,225 77,672 223,824 359,721 Total gross loans, net of deferred fees $ 183,802 438,152 416,908 1,038,862 Loans maturing after one year with: Fixed interest rates $ 639,180 Floating interest rates 215,880 December 31, 2015 After one One year but within After five or less five years years Total Commercial Owner occupied RE $ 16,836 126,156 93,091 236,083 Non-owner occupied RE 40,690 111,087 53,827 205,604 Construction 9,183 23,206 9,362 41,751 Business 64,099 83,435 24,209 171,743 Total commercial loans 130,808 343,884 180,489 655,181 Consumer Real estate 28,348 35,509 110,945 174,802 Home equity 5,105 31,326 80,132 116,563 Construction 14,095 1,445 27,778 43,318 Other 6,430 6,270 2,380 15,080 Total consumer 53,978 74,550 221,235 349,763 Total gross loan, net of deferred fees $ 184,786 418,434 401,724 1,004,944 Loans maturing after one year with: Fixed interest rates $ 612,251 Floating interest rates 207,907 Portfolio Segment Methodology Commercial Commercial loans are assessed for estimated losses by grading each loan using various risk factors identified through periodic reviews. The Company applies historic grade-specific loss factors to each loan class. In the development of statistically derived loan grade loss factors, the Company observes historical losses over 20 quarters for each loan grade. These loss estimates are adjusted as appropriate based on additional analysis of external loss data or other risks identified from current economic conditions and credit quality trends. The allowance also includes an amount for the estimated impairment on nonaccrual commercial loans and commercial loans modified in a troubled debt restructuring (“TDR”), whether on accrual or nonaccrual status. Consumer For consumer loans, the Company determines the allowance on a collective basis utilizing historical losses over 20 quarters to represent its best estimate of inherent loss. The Company pools loans, generally by loan class with similar risk characteristics. The allowance also includes an amount for the estimated impairment on nonaccrual consumer loans and consumer loans modified in a TDR, whether on accrual or nonaccrual status. Credit Quality Indicators Commercial The Company manages a consistent process for assessing commercial loan credit quality by monitoring its loan grading trends and past due statistics. All loans are subject to individual risk assessment. The Company’s risk categories include Pass, Special Mention, Substandard, and Doubtful, each of which is defined by banking regulatory agencies. Delinquency statistics are also an important indicator of credit quality in the establishment of the Company’s allowance for credit losses. The Company categorizes its loans into risk categories based on relevant information about the ability of the borrower to service their debt such as current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. A description of the general characteristics of the risk grades is as follows: ● Pass—These loans range from minimal credit risk to average however still acceptable credit risk. ● Special mention—A special mention loan 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 the institution’s credit position at some future date. ● Substandard—A substandard loan is inadequately protected by the current sound worth and paying capacity of the obligor or of the collateral pledged, if any. Loans so classified must have a well-defined weakness, or weaknesses, that may jeopardize the liquidation of the debt. A substandard loan is characterized by the distinct possibility that the Bank will sustain some loss if the deficiencies are not corrected. ● Doubtful—A doubtful loan has all of the weaknesses inherent in one classified as substandard with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of the currently existing facts, conditions and values, highly questionable and improbable. The tables below provide a breakdown of outstanding commercial loans by risk category. March 31, 2016 Owner Non-owner (dollars in thousands) occupied RE occupied RE Construction Business Total Pass $ 230,892 214,183 42,076 171,263 658,414 Special mention 1,675 1,362 - 5,129 8,166 Substandard 1,186 5,719 1,767 3,889 12,561 Doubtful - - - - - $ 233,753 221,264 43,843 180,281 679,141 December 31, 2015 Owner Non-owner occupied RE occupied RE Construction Business Total Pass $ 230,460 198,144 39,678 161,920 630,202 Special mention 3,887 1,574 286 5,511 11,258 Substandard 1,736 5,886 1,787 4,312 13,721 Doubtful - - - - - $ 236,083 205,604 41,751 171,743 655,181 The following tables provide past due information for outstanding commercial loans and include loans on nonaccrual status as well as accruing TDRs. March 31, 2016 Owner Non-owner (dollars in thousands) occupied RE occupied RE Construction Business Total Current $ 233,726 217,095 43,461 179,209 673,491 30-59 days past due 27 52 - 245 324 60-89 days past due - 1,430 - - 1,430 Greater than 90 Days - 2,687 382 827 3,896 $ 233,753 221,264 43,843 180,281 679,141 December 31, 2015 Owner Non-owner occupied RE occupied RE Construction Business Total Current $ 235,795 201,381 41,354 170,644 649,174 30-59 days past due - - - 205 205 60-89 days past due 43 1,452 - 18 1,513 Greater than 90 Days 245 2,771 397 876 4,289 $ 236,083 205,604 41,751 171,743 655,181 As of March 31, 2016 and December 31, 2015, loans 30 days or more past due represented 0.60% and 0.66% of the Company’s total loan portfolio, respectively. Commercial loans 30 days or more past due were 0.54% and 0.60% of the Company’s total loan portfolio as of March 31, 2016 and December 31, 2015, respectively. Consumer The Company manages a consistent process for assessing consumer loan credit quality by monitoring its loan grading trends and past due statistics. All loans are subject to individual risk assessment. The Company’s categories include Pass, Special Mention, Substandard, and Doubtful, which are defined above. Delinquency statistics are also an important indicator of credit quality in the establishment of the allowance for loan losses. The tables below provide a breakdown of outstanding consumer loans by risk category. March 31, 2016 (dollars in thousands) Real estate Home equity Construction Other Total Pass $ 173,624 115,370 47,354 16,169 352,517 Special mention 1,084 2,703 - 296 4,083 Substandard 1,246 815 995 65 3,121 Doubtful - - - - - $ 175,954 118,888 48,349 16,530 359,721 December 31, 2015 Real estate Home equity Construction Other Total Pass $ 172,589 112,080 42,319 14,967 341,955 Special mention 961 3,388 - 45 4,394 Substandard 1,252 1,095 999 68 3,414 Doubtful - - - - - $ 174,802 116,563 43,318 15,080 349,763 The following tables provide past due information for outstanding consumer loans and include loans on nonaccrual status as well as accruing TDRs. March 31, 2016 (dollars in thousands) Real estate Home equity Construction Other Total Current $ 175,613 118,631 48,349 16,522 359,115 30-59 days past due 341 - - 8 349 60-89 days past due - - - - - Greater than 90 Days - 257 - - 257 $ 175,954 118,888 48,349 16,530 359,721 December 31, 2015 Real estate Home equity Construction Other Total Current $ 174,576 116,305 43,258 14,994 349,133 30-59 days past due 187 - 60 86 333 60-89 days past due 39 - - - 39 Greater than 90 Days - 258 - - 258 $ 174,802 116,563 43,318 15,080 349,763 As of March 31, 2016 and December 31, 2015, consumer loans 30 days or more past due were 0.06% of total loans. Nonperforming assets The following table shows the nonperforming assets and the related percentage of nonperforming assets to total assets and gross loans. Generally, a loan is placed on nonaccrual status when it becomes 90 days past due as to principal or interest, or when the Company believes, after considering economic and business conditions and collection efforts, that the borrower’s financial condition is such that collection of the contractual principal or interest on the loan is doubtful. A payment of interest on a loan that is classified as nonaccrual is recognized as a reduction in principal when received. Following is a summary of our nonperforming assets, including nonaccruing TDRs. (dollars in thousands) March 31, 2016 December 31, 2015 Commercial Owner occupied RE $ 455 704 Non-owner occupied RE 4,066 4,170 Construction - - Business 736 779 Consumer Real estate - - Home equity 257 258 Construction - - Other - 5 Nonaccruing troubled debt restructurings 675 701 Total nonaccrual loans, including nonaccruing TDRs 6,189 6,617 Other real estate owned 2,284 2,475 Total nonperforming assets $ 8,473 9,092 Nonperforming assets as a percentage of: Total assets 0.68% 0.75% Gross loans 0.82% 0.90% Total loans over 90 days past due $ 4,153 4,547 Loans over 90 days past due and still accruing - - Accruing troubled debt restructurings $ 6,122 7,266 Impaired Loans The table below summarizes key information for impaired loans. The Company’s impaired loans include loans on nonaccrual status and loans modified in a TDR, whether on accrual or nonaccrual status. These impaired loans may have estimated impairment which is included in the allowance for loan losses. The Company’s commercial and consumer impaired loans are evaluated individually to determine the related allowance for loan losses. March 31, 2016 Recorded investment Impaired loans Unpaid with related Related Principal Impaired allowance for allowance for (dollars in thousands) Balance loans loan losses loan losses Commercial Owner occupied RE $ 635 612 158 95 Non-owner occupied RE 9,124 5,671 2,530 861 Construction 1,850 1,768 382 32 Business 3,425 2,692 1,621 1,288 Total commercial 15,034 10,743 4,691 2,276 Consumer Real estate 1,118 1,118 802 456 Home equity 260 257 194 185 Construction - - - - Other 193 193 - - Total consumer 1,571 1,568 996 641 Total $ 16,605 12,311 5,687 2,917 December 31, 2015 Recorded investment Impaired loans Unpaid with related Related Principal Impaired allowance for allowance for Balance loans loan losses loan losses Commercial Owner occupied RE $ 964 863 863 260 Non-owner occupied RE 9,144 5,792 4,161 1,321 Construction 1,855 1,787 397 31 Business 4,756 3,861 2,936 1,932 Total commercial 16,719 12,303 8,357 3,544 Consumer Real estate 1,121 1,121 805 489 Home equity 260 258 - - Construction - - - - Other 201 201 201 191 Total consumer 1,582 1,580 1,006 680 Total $ 18,301 13,883 9,363 4,224 The following table provides the average recorded investment in impaired loans and the amount of interest income recognized on impaired loans after impairment by portfolio segment and class. Three months ended Three months ended Year ended March 31, 2016 March 31, 2015 December 31, 2015 Average Recognized Average Recognized Average Average recorded interest recorded interest recorded recorded (dollars in thousands) investment income investment income investment investment Commercial Owner occupied RE $ 615 7 1,101 22 $ 884 6 Non-owner occupied RE 5,731 48 4,915 22 6,137 128 Construction 1,778 30 2,332 18 1,888 74 Business 2,760 30 4,413 36 4,067 148 Total commercial 10,884 115 12,761 98 12,976 356 Consumer Real estate 1,119 9 1,663 11 1,112 46 Home equity 195 2 346 2 252 7 Construction - - - - - - Other 257 - 266 2 208 7 Total consumer 1,571 11 2,275 15 1,572 60 Total $ 12,455 126 15,036 113 14,548 416 Allowance for Loan Losses The allowance for loan loss is management’s estimate of credit losses inherent in the loan portfolio. The allowance for loan losses is established as losses are estimated to have occurred through a provision for loan losses charged to earnings. Loan losses are charged against the allowance when management believes the uncollectibility of a loan balance is confirmed. Subsequent recoveries, if any, are credited to the allowance. The allowance for loan losses is evaluated on a regular basis by management and is based upon management’s periodic review of the collectability of the loans in light of historical experience, the nature and volume of the loan portfolio, adverse situations that may affect the borrower’s ability to repay, estimated value of any underlying collateral and prevailing economic conditions. This evaluation is inherently subjective as it requires estimates that are susceptible to significant revision as more information becomes available. The Company has an established process to determine the adequacy of the allowance for loan losses that assesses the losses inherent in the portfolio. While the Company attributes portions of the allowance to specific portfolio segments, the entire allowance is available to absorb credit losses inherent in the total loan portfolio. The Company’s process involves procedures to appropriately consider the unique risk characteristics of the commercial and consumer loan portfolio segments. For each portfolio segment, impairment is measured individually for each impaired loan. The Company’s allowance levels are influenced by loan volume, loan grade or delinquency status, historic loss experience and other economic conditions. The following table summarizes the activity related to the allowance for loan losses by commercial and consumer portfolio segments: Three months ended March 31, 2016 Commercial Consumer Owner Non-owner occupied occupied Real Home (dollars in thousands) RE RE Construction Business Estate equity Construction Other Total Balance, beginning of period $ 2,347 3,187 338 3,800 2,070 1,202 313 372 13,629 Provision for loan losses 151 122 104 (158 ) 248 61 38 59 625 Loan charge-offs (5 ) (75 ) - (36 ) (187 ) - - (91 ) (394 ) Loan recoveries - 2 - 33 - - - 3 38 Net loan charge-offs (5 ) (73 ) - (3 ) (187 ) - - (88 ) (356 ) Balance, end of period $ 2,493 3,236 442 3,639 2,131 1,263 351 343 13,898 Net charge-offs to average loans (annualized) 0.14% Allowance for loan losses to gross loans 1.34% Allowance for loan losses to nonperforming loans 224.56% Three months ended March 31, 2015 Commercial Consumer Owner Non-owner occupied occupied Real Home (dollars in thousands) RE RE Construction Business Estate equity Construction Other Total Balance, beginning of period $ 1,645 2,332 614 3,625 1,714 1,162 236 424 11,752 Provision for loan losses 259 295 (149 ) 183 109 - 15 (87 ) 625 Loan charge-offs - (78 ) - (66 ) - - - (1 ) (145 ) Loan recoveries - 2 - 7 - - - - 9 Net loan charge-offs - (76 ) - (59 ) - - - (1 ) (136 ) Balance, end of period $ 1,904 2,551 465 3,749 1,823 1,162 251 336 12,241 Net charge-offs to average loans (annualized) 0.06% Allowance for loan losses to gross loans 1.35% Allowance for loan losses to nonperforming loans 187.61% The following table disaggregates the allowance for loan losses and recorded investment in loans by impairment methodology. March 31, 2016 Allowance for loan losses Recorded investment in loans (dollars in thousands) Commercial Consumer Total Commercial Consumer Total Individually evaluated $ 2,276 641 2,917 10,743 1,568 12,311 Collectively evaluated 7,535 3,446 10,981 668,398 358,153 1,026,551 Total $ 9,811 4,087 13,898 679,141 359,721 1,038,862 December 31, 2015 Allowance for loan losses Recorded investment in loans Commercial Consumer Total Commercial Consumer Total Individually evaluated $ 3,544 680 4,224 12,303 1,580 13,883 Collectively evaluated 6,128 3,277 9,405 642,878 348,183 991,061 Total $ 9,672 3,957 13,629 655,181 349,763 1,004,944 |
Troubled Debt Restructurings
Troubled Debt Restructurings | 3 Months Ended |
Mar. 31, 2016 | |
Troubled Debt Restructurings [Abstract] | |
Troubled Debt Restructurings | NOTE 4 – Troubled Debt Restructurings At March 31, 2016, the Company had 27 loans totaling $6.8 million compared to 29 loans totaling $8.0 million at December 31, 2015, which were considered as TDRs. The Company considers a loan to be a TDR when the debtor experiences financial difficulties and the Company grants a concession to the debtor that it would not normally consider. Concessions can relate to the contractual interest rate, maturity date, or payment structure of the note. As part of the workout plan for individual loan relationships, the Company may restructure loan terms to assist borrowers facing financial challenges in the current economic environment. To date, the Company has restored three commercial loans previously classified as TDRs to accrual status. The following table summarizes the concession at the time of modification and the recorded investment in the Company’s TDRs before and after their modification during the three months ended March 31, 2016 and 2015, respectively. For the three months ended March 31, 2016 Pre- Post- modification modification Renewals Reduced Converted Maturity Total outstanding outstanding deemed a or deferred to interest date Number recorded recorded (dollars in thousands) concession payments only extensions of loans investment investment Commercial Owner occupied RE - - - - - $ - $ - Non-owner occupied RE - - - - - - - Construction - - - - - - - Business - - - - - - - Consumer Real estate - - - - - - - Home equity - - - - - - - Construction - - - - - - - Other - - - - - - - Total loans - - - - - $ - $ - For the three months ended March 31, 2015 Pre- Post- modification modification Renewals Reduced Converted Maturity Total outstanding outstanding deemed a or deferred to interest date Number recorded recorded (dollars in thousands) concession payments only extensions of loans investment investment Commercial Owner occupied RE - - - - - $ - $ - Non-owner occupied RE - - - 1 1 58 58 Construction - - - - - - - Business - - - - - - - Consumer Real estate - - - - - - - Home equity - - - - - - - Construction - - - - - - - Other - - - - - - - Total loans - - - 1 1 $ 58 $ 58 As of March 31, 2016 and 2015, there were no loans modified as TDRs for which there was a payment default (60 days past due) within 12 months of the restructuring date. |
Fair Value Accounting
Fair Value Accounting | 3 Months Ended |
Mar. 31, 2016 | |
Fair Value Accounting [Abstract] | |
Fair Value Accounting | NOTE 5 – Fair Value Accounting FASB ASC 820, “Fair Value Measurement and Disclosures,” defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. FASB ASC 820 also establishes a fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The standard describes three levels of inputs that may be used to measure fair value: Level 1 – Quoted market price in active markets Quoted prices in active markets for identical assets or liabilities. Level 1 assets and liabilities include certain debt and equity securities that are traded in an active exchange market. Level 2 – Significant other observable inputs Observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 2 assets and liabilities include fixed income securities and mortgage-backed securities that are held in the Company’s available-for-sale portfolio and valued by a third-party pricing service, as well as certain impaired loans. Level 3 – Significant unobservable inputs Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Level 3 assets and liabilities include financial instruments whose value is determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation. These methodologies may result in a significant portion of the fair value being derived from unobservable data. Following is a description of valuation methodologies used for assets recorded at fair value. Investment Securities Securities available for sale are valued on a recurring basis at quoted market prices where available. If quoted market prices are not available, fair values are based on quoted market prices of comparable securities. Level 1 securities include those traded on an active exchange, such as the New York Stock Exchange or U.S. Treasury securities that are traded by dealers or brokers in active over-the-counter markets and money market funds. Level 2 securities include mortgage-backed securities and debentures issued by government sponsored entities, municipal bonds and corporate debt securities. In certain cases where there is limited activity or less transparency around inputs to valuations, securities are classified as Level 3 within the valuation hierarchy. Securities held to maturity are valued at quoted market prices or dealer quotes similar to securities available for sale. The carrying value of Other Investments, such as FHLB stock, approximates fair value based on their redemption provisions. Loans Held for Sale Loans held for sale include mortgage loans and are carried at the lower of cost or market value. The fair values of mortgage loans held for sale are based on current market rates from investors within the secondary market for loans with similar characteristics. Carrying value approximates fair value. Loans The Company does not record loans at fair value on a recurring basis. However, from time to time, a loan may be considered impaired and an allowance for loan losses may be established. Loans for which it is probable that payment of interest and principal will not be made in accordance with the contractual terms of the loan agreement are considered impaired. Once a loan is identified as individually impaired, management measures the impairment in accordance with FASB ASC 310, “Receivables.” The fair value of impaired loans is estimated using one of several methods, including collateral value, market value of similar debt, enterprise value, liquidation value, and discounted cash flows. Those impaired loans not requiring an allowance represent loans for which the fair value of the expected repayments or collateral exceed the recorded investments in such loans. At March 31, 2016, a significant portion of the impaired loans were evaluated based on the fair value of the collateral. In accordance with FASB ASC 820, “Fair Value Measurement and Disclosures,” impaired loans where an allowance is established based on the fair value of collateral require classification in the fair value hierarchy. When the fair value of the collateral is based on an observable market price or a current appraised value, the Company considers the impaired loan as nonrecurring Level 2. The Company’s current loan and appraisal policies require the Bank to obtain updated appraisals on an “as is” basis at renewal, or in the case of an impaired loan, on an annual basis, either through a new external appraisal or an appraisal evaluation. When an appraised value is not available or management determines the fair value of the collateral is further impaired below the appraised value and there is no observable market price, the Company considers the impaired loan as nonrecurring Level 3. The fair value of impaired loans may also be estimated using the present value of expected future cash flows to be realized on the loan, which is also considered a Level 3 valuation. These fair value estimates are subject to fluctuations in assumptions about the amount and timing of expected cash flows as well as the choice of discount rate used in the present value calculation. Other Real Estate Owned (“OREO”) OREO, consisting of properties obtained through foreclosure or in satisfaction of loans, is reported at the lower of cost or fair value, determined on the basis of current appraisals, comparable sales, and other estimates of value obtained principally from independent sources, adjusted for estimated selling costs (Level 2). At the time of foreclosure, any excess of the loan balance over the fair value of the real estate held as collateral is treated as a charge against the allowance for loan losses. Gains or losses on sale and generally any subsequent adjustments to the value are recorded as a component of real estate owned activity. When an appraised value is not available or management determines the fair value of the collateral is further impaired below the appraised value and there is no observable market price, the Company considers the OREO as nonrecurring Level 3. Assets and Liabilities Recorded at Fair Value on a Recurring Basis The tables below present the recorded amount of assets and liabilities measured at fair value on a recurring basis as of March 31, 2016 and December 31, 2015. March 31, 2016 (dollars in thousands) Level 1 Level 2 Level 3 Total Assets Securities available for sale US government agencies $ - 11,664 - 11,664 SBA securities - 6,326 - 6,326 State and political subdivisions - 20,350 - 20,350 Mortgage-backed securities - 38,725 - 38,725 Total assets measured at fair value on a recurring basis $ - 77,065 - 77,065 December 31, 2015 Level 1 Level 2 Level 3 Total Assets Securities available for sale US government agencies $ - 14,599 - 14,599 SBA securities - 6,277 - 6,277 State and political subdivisions - 22,259 - 22,259 Mortgage-backed securities - 46,804 - 46,804 Total assets measured at fair value on a recurring basis $ - 89,939 - 89,939 The Company has no liabilities carried at fair value or measured at fair value on a recurring basis as of March 31, 2016 and December 31, 2015. Assets and Liabilities Recorded at Fair Value on a Nonrecurring Basis The Company is predominantly an asset based lender with real estate serving as collateral on more than 80% of loans as of March 31, 2016. Loans which are deemed to be impaired are valued net of the allowance for loan losses, and other real estate owned is valued at the lower of cost or net realizable value of the underlying real estate collateral. Such market values are generally obtained using independent appraisals, which the Company considers to be level 2 inputs. The tables below present the recorded amount of assets and liabilities measured at fair value on a nonrecurring basis as of March 31, 2016 and December 31, 2015. As of March 31, 2016 (dollars in thousands) Level 1 Level 2 Level 3 Total Assets Impaired loans $ - 9,198 196 9,394 Other real estate owned - 2,017 267 2,284 Total assets measured at fair value on a nonrecurring basis $ - 11,210 463 11,673 As of December 31, 2015 Level 1 Level 2 Level 3 Total Assets Impaired loans $ - 9,102 557 9,659 Other real estate owned - 2,208 267 2,475 Total assets measured at fair value on a nonrecurring basis $ - 11,310 824 12,134 The Company has no liabilities carried at fair value or measured at fair value on a nonrecurring basis as of March 31, 2016 and December 31, 2015. For Level 3 assets and liabilities measured at fair value on a recurring or nonrecurring basis as of March 31, 2016, the significant unobservable inputs used in the fair value measurements were as follows: Valuation Technique Significant Unobservable Inputs Range of Inputs Impaired loans Appraised Value/ Discounts to appraisals or cash 0-25% Discounted Cash Flows flows for estimated holding and/or selling costs or age of appraisal Other real estate owned Appraised Value/ Discounts to appraisals for 0-25% Comparable Sales estimated holding or selling costs Fair Value of Financial Instruments Financial instruments require disclosure of fair value information, whether or not recognized in the consolidated balance sheets, when it is practical to estimate the fair value. A financial instrument is defined as cash, evidence of an ownership interest in an entity or a contractual obligation which requires the exchange of cash. Certain items are specifically excluded from the disclosure requirements, including the Company’s common stock, premises and equipment and other assets and liabilities. The following is a description of valuation methodologies used to estimate fair value for certain other financial instruments. Fair value approximates carrying value for the following financial instruments due to the short-term nature of the instrument: cash and due from banks, federal funds sold, federal funds purchased, and securities sold under agreement to repurchase. Deposits – Fair value for demand deposit accounts and interest-bearing accounts with no fixed maturity date is equal to the carrying value. The fair value of certificate of deposit accounts are estimated by discounting cash flows from expected maturities using current interest rates on similar instruments. FHLB Advances and Other Borrowings – Fair value for FHLB advances and other borrowings are estimated by discounting cash flows from expected maturities using current interest rates on similar instruments. Junior subordinated debentures – Fair value for junior subordinated debentures are estimated by discounting cash flows from expected maturities using current interest rates on similar instruments. The Company has used management’s best estimate of fair value based on the above assumptions. Thus, the fair values presented may not be the amounts that could be realized in an immediate sale or settlement of the instrument. In addition, any income taxes or other expenses, which would be incurred in an actual sale or settlement, are not taken into consideration in the fair value presented. The estimated fair values of the Company’s financial instruments at March 31, 2016 and December 31, 2015 are as follows: March 31, 2016 Carrying Fair (dollars in thousands) Amount Value Level 1 Level 2 Level 3 Financial Assets: Cash and cash equivalents $ 54,773 54,773 54,773 - - Other investments, at cost 5,740 5,740 - - 5,740 Loans held for sale 14,241 14,241 - 14,241 - Loans, net 1,024,964 1,026,351 - 9,198 1,017,153 Financial Liabilities: Deposits 1,003,241 951,133 - 951,133 - FHLB and other borrowings 115,200 117,106 - 117,106 - Junior subordinated debentures 13,403 11,337 - 11,337 - December 31, 2015 Carrying Fair Amount Value Level 1 Level 2 Level 3 Financial Assets: Cash and cash equivalents $ 62,866 62,866 62,866 - - Other investments, at cost 5,532 5,532 - - 5,532 Loans held for sale 4,943 4,943 - 4,943 - Loans, net 991,315 992,379 - 9,102 983,277 Financial Liabilities: Deposits 985,733 918,303 - 918,303 - FHLB and other borrowings 115,200 117,317 - 117,317 - Junior subordinated debentures 13,403 11,511 - 11,511 - |
Earnings Per Common Share
Earnings Per Common Share | 3 Months Ended |
Mar. 31, 2016 | |
Earnings Per Common Share [Abstract] | |
Earnings Per Common Share | NOTE 6 – Earnings Per Common Share The following schedule reconciles the numerators and denominators of the basic and diluted earnings per share computations for the three month periods ended March 31, 2016 and 2015. Dilutive common shares arise from the potentially dilutive effect of the Company’s stock options that were outstanding at March 31, 2016. The assumed conversion of stock options can create a difference between basic and dilutive net income per common share. At March 31, 2016 and 2015, there were 97,500 and 170,875 options, respectively, that were not considered in computing diluted earnings per common share because they were anti-dilutive. Three months ended March 31, (dollars in thousands, except share data) 2016 2015 Numerator: Net income available to common shareholders $ 3,006 2,028 Denominator: Weighted-average common shares outstanding – basic 6,272,847 6,225,252 Common stock equivalents 390,585 289,621 Weighted-average common shares outstanding – diluted 6,663,432 6,514,873 Earnings per common share: Basic $ 0.48 0.33 Diluted $ 0.45 0.31 |
Reportable Segments
Reportable Segments | 3 Months Ended |
Mar. 31, 2016 | |
Reportable Segments [Abstract] | |
Reportable Segments | NOTE 7 – Reportable Segments The Company’s reportable segments represent the distinct product lines the Company offers and are viewed separately for strategic planning purposes by management. The three segments include Commercial and Retail Banking, Mortgage Banking, and Corporate. The following schedule presents financial information for each reportable segment. Three months ended March 31, 2016 Commercial and Retail Mortgage (dollars in thousands) Banking Banking Corporate Eliminations Consolidated Interest income $ 12,266 63 - - 12,329 Interest expense 1,923 - 99 - 2,022 Net interest income (loss) 10,343 63 (99 ) - 10,307 Provision for loan losses 625 - - - 625 Noninterest income 1,112 1,447 - - 2,559 Noninterest expense 6,334 902 281 - 7,517 Net income before taxes 4,496 608 (380 ) - 4,724 Income tax (provision) benefit (1,565 ) (224 ) 71 - (1,718 ) Net income (loss) $ 2,931 384 (309 ) - 3,006 Total assets $ 1,222,224 14,271 111,705 (108,883 ) 1,239,317 Commercial and retail banking. Mortgage banking. The mortgage banking segment provides mortgage loan origination services for loans that will be sold in the secondary market to investors. Corporate. Corporate is comprised primarily of compensation and benefits for certain members of management and interest on parent company debt. |
Nature of Business and Basis 15
Nature of Business and Basis of Presentation (Policies) | 3 Months Ended |
Mar. 31, 2016 | |
Nature of Business and Basis of Presentation [Abstract] | |
Business Activity | Business Activity Southern First Bancshares, Inc. (the "Company") is a South Carolina corporation that owns all of the capital stock of Southern First Bank (the "Bank") and all of the stock of Greenville First Statutory Trust I and II (collectively, the "Trusts"). The Trusts are special purpose non-consolidated entities organized for the sole purpose of issuing trust preferred securities. The Bank's primary federal regulator is the Federal Deposit Insurance Corporation (the "FDIC"). The Bank is also regulated and examined by the South Carolina Board of Financial Institutions. The Bank is primarily engaged in the business of accepting demand deposits and savings deposits insured by the FDIC, and providing commercial, consumer and mortgage loans to the general public. |
Basis of Presentation | Basis of Presentation The accompanying consolidated financial statements have been prepared in accordance with generally accepted accounting principles (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all the information and footnotes required by accounting principles generally accepted in the United States of America for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three month period ended March 31, 2016 are not necessarily indicative of the results that may be expected for the year ending December 31, 2016. For further information, refer to the consolidated financial statements and footnotes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2015 as filed with the Securities and Exchange Commission on March 2, 2016. The consolidated financial statements include the accounts of the Company and the Bank. In accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 810, “Consolidation,” the financial statements related to the Trusts have not been consolidated. |
Use of Estimates | Use of Estimates The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the consolidated financial statements and the reported amount of income and expenses during the reporting periods. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses, real estate acquired in the settlement of loans, fair value of financial instruments, evaluating other-than-temporary-impairment of investment securities and valuation of deferred tax assets. |
Business Segments | Business Segments The Company reports its activities as three business segments – Commercial and Retail Banking, Mortgage Banking and Corporate. In determining proper segment definition, the Company considers the materiality of a potential segment and components of the business about which financial information is available and regularly evaluated, relative to a resource allocation and performance assessment. Please refer to “Note 7 – Reportable Segments” for further information on the reporting for the three business segments. |
Reclassifications | Reclassifications Certain amounts, previously reported, have been reclassified to state all periods on a comparable basis and had no effect on shareholders’ equity or net income. |
Subsequent Events | Subsequent Events Subsequent events are events or transactions that occur after the balance sheet date but before financial statements are issued. Recognized subsequent events are events or transactions that provide additional evidence about conditions that existed at the date of the balance sheet, including the estimates inherent in the process of preparing financial statements. Non-recognized subsequent events are events that provide evidence about conditions that did not exist at the date of the balance sheet but arose after that date. Management performed an evaluation to determine whether there have been any subsequent events since the balance sheet date and determined that no subsequent events occurred requiring accrual or disclosure. |
Investment Securities (Tables)
Investment Securities (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
Investment Securities [Abstract] | |
Amortized costs and fair value of investment securities | March 31, 2016 Amortized Gross Unrealized Fair (dollars in thousands) Cost Gains Losses Value Available for sale US government agencies $ 11,535 129 - 11,664 SBA securities 6,359 - 33 6,326 State and political subdivisions 19,794 561 5 20,350 Mortgage-backed securities 38,599 214 88 38,725 Total investment securities available for sale $ 76,287 904 126 77,065 December 31, 2015 Amortized Gross Unrealized Fair Cost Gains Losses Value Available for sale US government agencies $ 14,711 1 113 14,599 SBA securities 6,410 - 133 6,277 State and political subdivisions 21,771 525 37 22,259 Mortgage-backed securities 47,053 191 440 46,804 Total investment securities available for sale $ 89,945 717 723 89,939 |
Summary of contractual maturities and yields | March 31, 2016 Less than one year One to five years Five to ten years Over ten years Total (dollars in thousands) Amount Yield Amount Yield Amount Yield Amount Yield Amount Yield Available for sale US government agencies $ - - 1,015 1.75% 8,898 2.49% 1,751 3.07% 11,664 2.39% SBA securities - - - - - - 6,326 1.74% 6,326 1.74% State and political subdivisions - - 469 1.63% 13,286 2.44% 6,595 2.97% 20,350 2.59% Mortgage-backed securities - - - - 5,801 1.57% 32,924 1.97% 38,725 1.91% Total $ - - 1,484 1.71% 27,985 2.28% 47,596 2.11% 77,065 2.16% December 31, 2015 Less than one year One to five years Five to ten years Over ten years Total Amount Yield Amount Yield Amount Yield Amount Yield Amount Yield Available for sale US government agencies $ - - 4,149 1.74% 8,704 2.49% 1,746 3.03% 14,599 2.34% SBA securities - - - - - - 6,277 1.79% 6,277 1.79% State and political subdivisions - - 464 1.63% 14,032 2.64% 7,763 2.84% 22,259 2.69% Mortgage-backed securities - - - - 8,048 1.56% 38,756 2.08% 46,804 1.99% Total $ - - 4,613 1.73% 30,784 2.31% 54,542 2.18% 89,939 2.20% |
Summary of gross unrealized losses on investment securities and fair market value of related securities | March 31, 2016 Less than 12 months 12 months or longer Total Fair Unrealized Fair Unrealized Fair Unrealized (dollars in thousands) # value losses # value losses # value losses Available for sale US government agencies - $ - $ - - $ - $ - - $ - $ - SBA securities 1 1,531 5 2 4,795 28 3 6,326 33 State and political subdivisions 1 612 1 2 974 4 3 1,586 5 Mortgage-backed securities 2 4,764 75 2 2,393 13 4 7,157 88 Total 4 $ 6,907 $ 81 6 $ 8,162 $ 45 10 $ 15,069 $ 126 December 31, 2015 Less than 12 months 12 months or longer Total Fair Unrealized Fair Unrealized Fair Unrealized (dollars in thousands) # value losses # value losses # value losses Available for sale US government agencies 9 $ 12,853 $ 113 - $ - $ - 9 $ 12,853 $ 113 SBA securities - - - 2 4,691 133 2 4,691 133 State and political subdivisions 7 3,125 17 3 1,220 20 10 4,345 37 Mortgage-backed securities 27 40,868 440 - - - 27 40,868 440 Total 43 $ 56,846 $ 570 5 $ 5,911 $ 153 48 $ 62,757 $ 723 |
Summary of other investments | (dollars in thousands) March 31, 2016 December 31, 2015 Federal Home Loan Bank stock $ 5,173 5,005 Investment in Trust Preferred securities 403 403 Other investments 164 124 Total other investments $ 5,740 5,532 |
Loans and Allowance for Loan 17
Loans and Allowance for Loan Losses (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
Financing Receivable, Allowance for Credit Losses [Line Items] | |
Composition of loan portfolio | March 31, 2016 December 31, 2015 (dollars in thousands) Amount % of Total Amount % of Total Commercial Owner occupied RE $ 233,753 22.5% $ 236,083 23.5% Non-owner occupied RE 221,264 21.3% 205,604 20.5% Construction 43,843 4.2% 41,751 4.1% Business 180,281 17.4% 171,743 17.1% Total commercial loans 679,141 65.4% 655,181 65.2% Consumer Real estate 175,954 16.9% 174,802 17.4% Home equity 118,888 11.4% 116,563 11.6% Construction 48,349 4.7% 43,318 4.3% Other 16,530 1.6% 15,080 1.5% Total consumer loans 359,721 34.6% 349,763 34.8% Total gross loans, net of deferred fees 1,038,862 100.0% 1,004,944 100.0% Less—allowance for loan losses (13,898 ) (13,629 ) Total loans, net $ 1,024,964 $ 991,315 |
Loan maturity distribution by type and related interest rate | March 31, 2016 After one One year but within After five (dollars in thousands) or less five years years Total Commercial Owner occupied RE $ 22,287 115,323 96,143 233,753 Non-owner occupied RE 35,109 127,437 58,718 221,264 Construction 5,068 26,986 11,789 43,843 Business 63,113 90,734 26,434 180,281 Total commercial loans 125,577 360,480 193,084 679,141 Consumer Real estate 29,212 38,798 107,944 175,954 Home equity 6,617 29,797 82,474 118,888 Construction 15,226 2,067 31,056 48,349 Other 7,170 7,010 2,350 16,530 Total consumer loans 58,225 77,672 223,824 359,721 Total gross loans, net of deferred fees $ 183,802 438,152 416,908 1,038,862 Loans maturing after one year with: Fixed interest rates $ 639,180 Floating interest rates 215,880 11 December 31, 2015 After one One year but within After five or less five years years Total Commercial Owner occupied RE $ 16,836 126,156 93,091 236,083 Non-owner occupied RE 40,690 111,087 53,827 205,604 Construction 9,183 23,206 9,362 41,751 Business 64,099 83,435 24,209 171,743 Total commercial loans 130,808 343,884 180,489 655,181 Consumer Real estate 28,348 35,509 110,945 174,802 Home equity 5,105 31,326 80,132 116,563 Construction 14,095 1,445 27,778 43,318 Other 6,430 6,270 2,380 15,080 Total consumer 53,978 74,550 221,235 349,763 Total gross loan, net of deferred fees $ 184,786 418,434 401,724 1,004,944 Loans maturing after one year with: Fixed interest rates $ 612,251 Floating interest rates 207,907 |
Summary of nonperforming assets, including nonaccruing TDRs | (dollars in thousands) March 31, 2016 December 31, 2015 Commercial Owner occupied RE $ 455 704 Non-owner occupied RE 4,066 4,170 Construction - - Business 736 779 Consumer Real estate - - Home equity 257 258 Construction - - Other - 5 Nonaccruing troubled debt restructurings 675 701 Total nonaccrual loans, including nonaccruing TDRs 6,189 6,617 Other real estate owned 2,284 2,475 Total nonperforming assets $ 8,473 9,092 Nonperforming assets as a percentage of: Total assets 0.68% 0.75% Gross loans 0.82% 0.90% Total loans over 90 days past due $ 4,153 4,547 Loans over 90 days past due and still accruing - - Accruing troubled debt restructurings $ 6,122 7,266 |
Summary of key information for impaired loans | March 31, 2016 Recorded investment Impaired loans Unpaid with related Related Principal Impaired allowance for allowance for (dollars in thousands) Balance loans loan losses loan losses Commercial Owner occupied RE $ 635 612 158 95 Non-owner occupied RE 9,124 5,671 2,530 861 Construction 1,850 1,768 382 32 Business 3,425 2,692 1,621 1,288 Total commercial 15,034 10,743 4,691 2,276 Consumer Real estate 1,118 1,118 802 456 Home equity 260 257 194 185 Construction - - - - Other 193 193 - - Total consumer 1,571 1,568 996 641 Total $ 16,605 12,311 5,687 2,917 15 December 31, 2015 Recorded investment Impaired loans Unpaid with related Related Principal Impaired allowance for allowance for Balance loans loan losses loan losses Commercial Owner occupied RE $ 964 863 863 260 Non-owner occupied RE 9,144 5,792 4,161 1,321 Construction 1,855 1,787 397 31 Business 4,756 3,861 2,936 1,932 Total commercial 16,719 12,303 8,357 3,544 Consumer Real estate 1,121 1,121 805 489 Home equity 260 258 - - Construction - - - - Other 201 201 201 191 Total consumer 1,582 1,580 1,006 680 Total $ 18,301 13,883 9,363 4,224 |
Average recorded investment and interest income recognized on impaired loans | Three months ended Three months ended Year ended March 31, 2016 March 31, 2015 December 31, 2015 Average Recognized Average Recognized Average Average recorded interest recorded interest recorded recorded (dollars in thousands) investment income investment income investment investment Commercial Owner occupied RE $ 615 7 1,101 22 $ 884 6 Non-owner occupied RE 5,731 48 4,915 22 6,137 128 Construction 1,778 30 2,332 18 1,888 74 Business 2,760 30 4,413 36 4,067 148 Total commercial 10,884 115 12,761 98 12,976 356 Consumer Real estate 1,119 9 1,663 11 1,112 46 Home equity 195 2 346 2 252 7 Construction - - - - - - Other 257 - 266 2 208 7 Total consumer 1,571 11 2,275 15 1,572 60 Total $ 12,455 126 15,036 113 14,548 416 |
Summary of allowance for loan losses by commercial and consumer portfolio segments | Three months ended March 31, 2016 Commercial Consumer Owner Non-owner occupied occupied Real Home (dollars in thousands) RE RE Construction Business Estate equity Construction Other Total Balance, beginning of period $ 2,347 3,187 338 3,800 2,070 1,202 313 372 13,629 Provision for loan losses 151 122 104 (158 ) 248 61 38 59 625 Loan charge-offs (5 ) (75 ) - (36 ) (187 ) - - (91 ) (394 ) Loan recoveries - 2 - 33 - - - 3 38 Net loan charge-offs (5 ) (73 ) - (3 ) (187 ) - - (88 ) (356 ) Balance, end of period $ 2,493 3,236 442 3,639 2,131 1,263 351 343 13,898 Net charge-offs to average loans (annualized) 0.14% Allowance for loan losses to gross loans 1.34% Allowance for loan losses to nonperforming loans 224.56% Three months ended March 31, 2015 Commercial Consumer Owner Non-owner occupied occupied Real Home (dollars in thousands) RE RE Construction Business Estate equity Construction Other Total Balance, beginning of period $ 1,645 2,332 614 3,625 1,714 1,162 236 424 11,752 Provision for loan losses 259 295 (149 ) 183 109 - 15 (87 ) 625 Loan charge-offs - (78 ) - (66 ) - - - (1 ) (145 ) Loan recoveries - 2 - 7 - - - - 9 Net loan charge-offs - (76 ) - (59 ) - - - (1 ) (136 ) Balance, end of period $ 1,904 2,551 465 3,749 1,823 1,162 251 336 12,241 Net charge-offs to average loans (annualized) 0.06% Allowance for loan losses to gross loans 1.35% Allowance for loan losses to nonperforming loans 187.61% |
Allowance for loan losses and recorded investment in loans by impairment methodology | March 31, 2016 Allowance for loan losses Recorded investment in loans (dollars in thousands) Commercial Consumer Total Commercial Consumer Total Individually evaluated $ 2,276 641 2,917 10,743 1,568 12,311 Collectively evaluated 7,535 3,446 10,981 668,398 358,153 1,026,551 Total $ 9,811 4,087 13,898 679,141 359,721 1,038,862 December 31, 2015 Allowance for loan losses Recorded investment in loans Commercial Consumer Total Commercial Consumer Total Individually evaluated $ 3,544 680 4,224 12,303 1,580 13,883 Collectively evaluated 6,128 3,277 9,405 642,878 348,183 991,061 Total $ 9,672 3,957 13,629 655,181 349,763 1,004,944 |
Commercial [Member] | |
Financing Receivable, Allowance for Credit Losses [Line Items] | |
Summary of breakdown of outstanding loans by risk category | March 31, 2016 Owner Non-owner (dollars in thousands) occupied RE occupied RE Construction Business Total Pass $ 230,892 214,183 42,076 171,263 658,414 Special mention 1,675 1,362 - 5,129 8,166 Substandard 1,186 5,719 1,767 3,889 12,561 Doubtful - - - - - $ 233,753 221,264 43,843 180,281 679,141 December 31, 2015 Owner Non-owner occupied RE occupied RE Construction Business Total Pass $ 230,460 198,144 39,678 161,920 630,202 Special mention 3,887 1,574 286 5,511 11,258 Substandard 1,736 5,886 1,787 4,312 13,721 Doubtful - - - - - $ 236,083 205,604 41,751 171,743 655,181 |
Outstanding loans which include loans on nonaccrual by past due status | March 31, 2016 Owner Non-owner (dollars in thousands) occupied RE occupied RE Construction Business Total Current $ 233,726 217,095 43,461 179,209 673,491 30-59 days past due 27 52 - 245 324 60-89 days past due - 1,430 - - 1,430 Greater than 90 Days - 2,687 382 827 3,896 $ 233,753 221,264 43,843 180,281 679,141 December 31, 2015 Owner Non-owner occupied RE occupied RE Construction Business Total Current $ 235,795 201,381 41,354 170,644 649,174 30-59 days past due - - - 205 205 60-89 days past due 43 1,452 - 18 1,513 Greater than 90 Days 245 2,771 397 876 4,289 $ 236,083 205,604 41,751 171,743 655,181 |
Consumer [Member] | |
Financing Receivable, Allowance for Credit Losses [Line Items] | |
Summary of breakdown of outstanding loans by risk category | March 31, 2016 (dollars in thousands) Real estate Home equity Construction Other Total Pass $ 173,624 115,370 47,354 16,169 352,517 Special mention 1,084 2,703 - 296 4,083 Substandard 1,246 815 995 65 3,121 Doubtful - - - - - $ 175,954 118,888 48,349 16,530 359,721 December 31, 2015 Real estate Home equity Construction Other Total Pass $ 172,589 112,080 42,319 14,967 341,955 Special mention 961 3,388 - 45 4,394 Substandard 1,252 1,095 999 68 3,414 Doubtful - - - - - $ 174,802 116,563 43,318 15,080 349,763 |
Outstanding loans which include loans on nonaccrual by past due status | March 31, 2016 (dollars in thousands) Real estate Home equity Construction Other Total Current $ 175,613 118,631 48,349 16,522 359,115 30-59 days past due 341 - - 8 349 60-89 days past due - - - - - Greater than 90 Days - 257 - - 257 $ 175,954 118,888 48,349 16,530 359,721 December 31, 2015 Real estate Home equity Construction Other Total Current $ 174,576 116,305 43,258 14,994 349,133 30-59 days past due 187 - 60 86 333 60-89 days past due 39 - - - 39 Greater than 90 Days - 258 - - 258 $ 174,802 116,563 43,318 15,080 349,763 |
Troubled Debt Restructurings (T
Troubled Debt Restructurings (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
Troubled Debt Restructurings [Abstract] | |
Summary of concession at the time of modification and the recorded investment in TDRs before and after their modification | For the three months ended March 31, 2016 Pre- Post- modification modification Renewals Reduced Converted Maturity Total outstanding outstanding deemed a or deferred to interest date Number recorded recorded (dollars in thousands) concession payments only extensions of loans investment investment Commercial Owner occupied RE - - - - - $ - $ - Non-owner occupied RE - - - - - - - Construction - - - - - - - Business - - - - - - - Consumer Real estate - - - - - - - Home equity - - - - - - - Construction - - - - - - - Other - - - - - - - Total loans - - - - - $ - $ - For the three months ended March 31, 2015 Pre- Post- modification modification Renewals Reduced Converted Maturity Total outstanding outstanding deemed a or deferred to interest date Number recorded recorded (dollars in thousands) concession payments only extensions of loans investment investment Commercial Owner occupied RE - - - - - $ - $ - Non-owner occupied RE - - - 1 1 58 58 Construction - - - - - - - Business - - - - - - - Consumer Real estate - - - - - - - Home equity - - - - - - - Construction - - - - - - - Other - - - - - - - Total loans - - - 1 1 $ 58 $ 58 |
Fair Value Accounting (Tables)
Fair Value Accounting (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
Fair Value Accounting [Abstract] | |
Schedule of assets and liabilities measured at fair value on recurring basis | March 31, 2016 (dollars in thousands) Level 1 Level 2 Level 3 Total Assets Securities available for sale US government agencies $ - 11,664 - 11,664 SBA securities - 6,326 - 6,326 State and political subdivisions - 20,350 - 20,350 Mortgage-backed securities - 38,725 - 38,725 Total assets measured at fair value on a recurring basis $ - 77,065 - 77,065 December 31, 2015 Level 1 Level 2 Level 3 Total Assets Securities available for sale US government agencies $ - 14,599 - 14,599 SBA securities - 6,277 - 6,277 State and political subdivisions - 22,259 - 22,259 Mortgage-backed securities - 46,804 - 46,804 Total assets measured at fair value on a recurring basis $ - 89,939 - 89,939 |
Schedule of assets and liabilities measured on a nonrecurring basis | As of March 31, 2016 (dollars in thousands) Level 1 Level 2 Level 3 Total Assets Impaired loans $ - 9,198 196 9,394 Other real estate owned - 2,017 267 2,284 Total assets measured at fair value on a nonrecurring basis $ - 11,210 463 11,673 As of December 31, 2015 Level 1 Level 2 Level 3 Total Assets Impaired loans $ - 9,102 557 9,659 Other real estate owned - 2,208 267 2,475 Total assets measured at fair value on a nonrecurring basis $ - 11,310 824 12,134 |
Schedule of unobservable inputs used in the fair value measurements | Valuation Technique Significant Unobservable Inputs Range of Inputs Impaired loans Appraised Value/ Discounts to appraisals or cash 0-25% Discounted Cash Flows flows for estimated holding and/or selling costs or age of appraisal Other real estate owned Appraised Value/ Discounts to appraisals for 0-25% Comparable Sales estimated holding or selling costs |
Estimated fair values of the Company's financial instruments | March 31, 2016 Carrying Fair (dollars in thousands) Amount Value Level 1 Level 2 Level 3 Financial Assets: Cash and cash equivalents $ 54,773 54,773 54,773 - - Other investments, at cost 5,740 5,740 - - 5,740 Loans held for sale 14,241 14,241 - 14,241 - Loans, net 1,024,964 1,026,351 - 9,198 1,017,153 Financial Liabilities: Deposits 1,003,241 951,133 - 951,133 - FHLB and other borrowings 115,200 117,106 - 117,106 - Junior subordinated debentures 13,403 11,337 - 11,337 - December 31, 2015 Carrying Fair Amount Value Level 1 Level 2 Level 3 Financial Assets: Cash and cash equivalents $ 62,866 62,866 62,866 - - Other investments, at cost 5,532 5,532 - - 5,532 Loans held for sale 4,943 4,943 - 4,943 - Loans, net 991,315 992,379 - 9,102 983,277 Financial Liabilities: Deposits 985,733 918,303 - 918,303 - FHLB and other borrowings 115,200 117,317 - 117,317 - Junior subordinated debentures 13,403 11,511 - 11,511 - |
Earnings Per Common Share (Tabl
Earnings Per Common Share (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
Earnings Per Common Share [Abstract] | |
Schedule of earnings per share reconciliation | Three months ended March 31, (dollars in thousands, except share data) 2016 2015 Numerator: Net income available to common shareholders $ 3,006 2,028 Denominator: Weighted-average common shares outstanding – basic 6,272,847 6,225,252 Common stock equivalents 390,585 289,621 Weighted-average common shares outstanding – diluted 6,663,432 6,514,873 Earnings per common share: Basic $ 0.48 0.33 Diluted $ 0.45 0.31 |
Reportable Segments (Tables)
Reportable Segments (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
Reportable Segments [Abstract] | |
Schedule of financial information for each reportable segment | Three months ended March 31, 2016 Commercial and Retail Mortgage (dollars in thousands) Banking Banking Corporate Eliminations Consolidated Interest income $ 12,266 63 - - 12,329 Interest expense 1,923 - 99 - 2,022 Net interest income (loss) 10,343 63 (99 ) - 10,307 Provision for loan losses 625 - - - 625 Noninterest income 1,112 1,447 - - 2,559 Noninterest expense 6,334 902 281 - 7,517 Net income before taxes 4,496 608 (380 ) - 4,724 Income tax (provision) benefit (1,565 ) (224 ) 71 - (1,718 ) Net income (loss) $ 2,931 384 (309 ) - 3,006 Total assets $ 1,222,224 14,271 111,705 (108,883 ) 1,239,317 |
Investment Securities (Details)
Investment Securities (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2016 | Dec. 31, 2015 | |
Available for sale | ||
Total investment securities available for sale, Amortized Cost | $ 76,287 | $ 89,945 |
Total investment securities available for sale, Gross Unrealized Gains | 904 | 717 |
Total investment securities available for sale, Gross Unrealized Losses | 126 | 723 |
Available-for-sale securities, investment securities, Fair Value | 77,065 | 89,939 |
US Government agencies [Member] | ||
Available for sale | ||
Total investment securities available for sale, Amortized Cost | 11,535 | 14,711 |
Total investment securities available for sale, Gross Unrealized Gains | $ 129 | 1 |
Total investment securities available for sale, Gross Unrealized Losses | 113 | |
Available-for-sale securities, investment securities, Fair Value | $ 11,664 | 14,599 |
SBA securities [Member] | ||
Available for sale | ||
Total investment securities available for sale, Amortized Cost | $ 6,359 | $ 6,410 |
Total investment securities available for sale, Gross Unrealized Gains | ||
Total investment securities available for sale, Gross Unrealized Losses | $ 33 | $ 133 |
Available-for-sale securities, investment securities, Fair Value | 6,326 | 6,277 |
States and Political Subdivisions [Member] | ||
Available for sale | ||
Total investment securities available for sale, Amortized Cost | 19,794 | 21,771 |
Total investment securities available for sale, Gross Unrealized Gains | 561 | 525 |
Total investment securities available for sale, Gross Unrealized Losses | 5 | 37 |
Available-for-sale securities, investment securities, Fair Value | 20,350 | 22,259 |
Mortgage Backed Securities [Member] | ||
Available for sale | ||
Total investment securities available for sale, Amortized Cost | 38,599 | 47,053 |
Total investment securities available for sale, Gross Unrealized Gains | 214 | 191 |
Total investment securities available for sale, Gross Unrealized Losses | 88 | 440 |
Available-for-sale securities, investment securities, Fair Value | $ 38,725 | $ 46,804 |
Investment Securities (Details
Investment Securities (Details 1) - USD ($) $ in Thousands | Mar. 31, 2016 | Dec. 31, 2015 |
Loan maturity distribution by type and related interest rate | ||
Available-for-sale Securities, Contractual Maturities, Less than one year, Value | ||
Available-for-sale Securities, Contractual Maturities, Less than one year, Yield | ||
Available-for-sale Securities, Contractual Maturities, One to Five Years, Value | $ 1,484 | $ 4,613 |
Available-for-sale Securities, Contractual Maturities, One to Five Years, Yield | 1.71% | 1.73% |
Available-for-sale Securities, Contractual Maturities, Five to Ten Years, Value | $ 27,985 | $ 30,784 |
Available-for-sale Securities, Contractual Maturities, Five to Ten Years, Yield | 2.28% | 2.31% |
Available-for-sale Securities, Contractual Maturities, Over Ten Years, Value | $ 47,596 | $ 54,542 |
Available-for-sale Securities, Contractual Maturities, Over Ten Years, Yield | 2.11% | 2.18% |
Investment securities available for sale, Value | $ 77,065 | $ 89,939 |
Available-for-sale Securities, Contractual Securities, Yield Total | 2.16% | 2.20% |
US Government agencies [Member] | ||
Loan maturity distribution by type and related interest rate | ||
Available-for-sale Securities, Contractual Maturities, Less than one year, Value | ||
Available-for-sale Securities, Contractual Maturities, Less than one year, Yield | ||
Available-for-sale Securities, Contractual Maturities, One to Five Years, Value | $ 1,015 | $ 4,149 |
Available-for-sale Securities, Contractual Maturities, One to Five Years, Yield | 1.75% | 1.74% |
Available-for-sale Securities, Contractual Maturities, Five to Ten Years, Value | $ 8,898 | $ 8,704 |
Available-for-sale Securities, Contractual Maturities, Five to Ten Years, Yield | 2.49% | 2.49% |
Available-for-sale Securities, Contractual Maturities, Over Ten Years, Value | $ 1,751 | $ 1,746 |
Available-for-sale Securities, Contractual Maturities, Over Ten Years, Yield | 3.07% | 3.03% |
Investment securities available for sale, Value | $ 11,664 | $ 14,599 |
Available-for-sale Securities, Contractual Securities, Yield Total | 2.39% | 2.34% |
SBA securities [Member] | ||
Loan maturity distribution by type and related interest rate | ||
Available-for-sale Securities, Contractual Maturities, Less than one year, Value | ||
Available-for-sale Securities, Contractual Maturities, Less than one year, Yield | ||
Available-for-sale Securities, Contractual Maturities, One to Five Years, Value | ||
Available-for-sale Securities, Contractual Maturities, One to Five Years, Yield | ||
Available-for-sale Securities, Contractual Maturities, Five to Ten Years, Value | ||
Available-for-sale Securities, Contractual Maturities, Five to Ten Years, Yield | ||
Available-for-sale Securities, Contractual Maturities, Over Ten Years, Value | $ 6,326 | $ 6,277 |
Available-for-sale Securities, Contractual Maturities, Over Ten Years, Yield | 1.74% | 1.79% |
Investment securities available for sale, Value | $ 6,326 | $ 6,277 |
Available-for-sale Securities, Contractual Securities, Yield Total | 1.74% | 1.79% |
States and political subdivisions [Member] | ||
Loan maturity distribution by type and related interest rate | ||
Available-for-sale Securities, Contractual Maturities, Less than one year, Value | ||
Available-for-sale Securities, Contractual Maturities, Less than one year, Yield | ||
Available-for-sale Securities, Contractual Maturities, One to Five Years, Value | $ 469 | $ 464 |
Available-for-sale Securities, Contractual Maturities, One to Five Years, Yield | 1.63% | 1.63% |
Available-for-sale Securities, Contractual Maturities, Five to Ten Years, Value | $ 13,286 | $ 14,032 |
Available-for-sale Securities, Contractual Maturities, Five to Ten Years, Yield | 2.44% | 2.64% |
Available-for-sale Securities, Contractual Maturities, Over Ten Years, Value | $ 6,595 | $ 7,763 |
Available-for-sale Securities, Contractual Maturities, Over Ten Years, Yield | 2.97% | 2.84% |
Investment securities available for sale, Value | $ 20,350 | $ 22,259 |
Available-for-sale Securities, Contractual Securities, Yield Total | 2.59% | 2.69% |
Mortgage-backed securities [Member] | ||
Loan maturity distribution by type and related interest rate | ||
Available-for-sale Securities, Contractual Maturities, Less than one year, Value | ||
Available-for-sale Securities, Contractual Maturities, Less than one year, Yield | ||
Available-for-sale Securities, Contractual Maturities, One to Five Years, Value | ||
Available-for-sale Securities, Contractual Maturities, One to Five Years, Yield | ||
Available-for-sale Securities, Contractual Maturities, Five to Ten Years, Value | $ 5,801 | $ 8,048 |
Available-for-sale Securities, Contractual Maturities, Five to Ten Years, Yield | 1.57% | 1.56% |
Available-for-sale Securities, Contractual Maturities, Over Ten Years, Value | $ 32,924 | $ 38,756 |
Available-for-sale Securities, Contractual Maturities, Over Ten Years, Yield | 1.97% | 2.08% |
Investment securities available for sale, Value | $ 38,725 | $ 46,804 |
Available-for-sale Securities, Contractual Securities, Yield Total | 1.91% | 1.99% |
Investment Securities (Detail24
Investment Securities (Details 2) $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2016USD ($)Investment | Dec. 31, 2015USD ($)Investment | |
Summary of gross unrealized losses on investment securities and fair market value of related securities | ||
Number of investments, Less than 12 months | Investment | 4 | 43 |
Available-for-sale Securities, Less than 12 months, Fair Value | $ 6,907 | $ 56,846 |
Available-for-sale Securities, Less than 12 Months, Unrealized losses | $ 81 | $ 570 |
Number of investments, 12 months or longer | Investment | 6 | 5 |
Available-for-sale Securities, 12 months or longer, Fair Value | $ 8,162 | $ 5,911 |
Available-for-sale Securities, 12 Months or Longer, Unrealized losses | $ 45 | $ 153 |
Number of investments, Total | Investment | 10 | 48 |
Available-for-sale Securities, Fair Value, Total | $ 15,069 | $ 62,757 |
Available-for-sale Securities, Unrealized Losses, Total | $ 126 | $ 723 |
US Government agencies [Member] | ||
Summary of gross unrealized losses on investment securities and fair market value of related securities | ||
Number of investments, Less than 12 months | Investment | 9 | |
Available-for-sale Securities, Less than 12 months, Fair Value | $ 12,853 | |
Available-for-sale Securities, Less than 12 Months, Unrealized losses | $ 113 | |
Number of investments, 12 months or longer | Investment | ||
Available-for-sale Securities, 12 months or longer, Fair Value | ||
Available-for-sale Securities, 12 Months or Longer, Unrealized losses | ||
Number of investments, Total | Investment | 9 | |
Available-for-sale Securities, Fair Value, Total | $ 12,853 | |
Available-for-sale Securities, Unrealized Losses, Total | $ 113 | |
SBA securities [Member] | ||
Summary of gross unrealized losses on investment securities and fair market value of related securities | ||
Number of investments, Less than 12 months | Investment | 1 | |
Available-for-sale Securities, Less than 12 months, Fair Value | $ 1,531 | |
Available-for-sale Securities, Less than 12 Months, Unrealized losses | $ 5 | |
Number of investments, 12 months or longer | Investment | 2 | 2 |
Available-for-sale Securities, 12 months or longer, Fair Value | $ 4,795 | $ 4,691 |
Available-for-sale Securities, 12 Months or Longer, Unrealized losses | $ 28 | $ 133 |
Number of investments, Total | Investment | 3 | 2 |
Available-for-sale Securities, Fair Value, Total | $ 6,326 | $ 4,691 |
Available-for-sale Securities, Unrealized Losses, Total | $ 33 | $ 133 |
States and political subdivisions [Member] | ||
Summary of gross unrealized losses on investment securities and fair market value of related securities | ||
Number of investments, Less than 12 months | Investment | 1 | 7 |
Available-for-sale Securities, Less than 12 months, Fair Value | $ 612 | $ 3,125 |
Available-for-sale Securities, Less than 12 Months, Unrealized losses | $ 1 | $ 17 |
Number of investments, 12 months or longer | Investment | 2 | 3 |
Available-for-sale Securities, 12 months or longer, Fair Value | $ 974 | $ 1,220 |
Available-for-sale Securities, 12 Months or Longer, Unrealized losses | $ 4 | $ 20 |
Number of investments, Total | Investment | 3 | 10 |
Available-for-sale Securities, Fair Value, Total | $ 1,586 | $ 4,345 |
Available-for-sale Securities, Unrealized Losses, Total | $ 5 | $ 37 |
Mortgage-backed securities [Member] | ||
Summary of gross unrealized losses on investment securities and fair market value of related securities | ||
Number of investments, Less than 12 months | Investment | 2 | 27 |
Available-for-sale Securities, Less than 12 months, Fair Value | $ 4,764 | $ 40,868 |
Available-for-sale Securities, Less than 12 Months, Unrealized losses | $ 75 | $ 440 |
Number of investments, 12 months or longer | Investment | 2 | |
Available-for-sale Securities, 12 months or longer, Fair Value | $ 2,393 | |
Available-for-sale Securities, 12 Months or Longer, Unrealized losses | $ 13 | |
Number of investments, Total | Investment | 4 | 27 |
Available-for-sale Securities, Fair Value, Total | $ 7,157 | $ 40,868 |
Available-for-sale Securities, Unrealized Losses, Total | $ 88 | $ 440 |
Investment Securities (Detail25
Investment Securities (Details 3) - USD ($) $ in Thousands | Mar. 31, 2016 | Dec. 31, 2015 |
Other investments | ||
Federal Home Loan Bank stock | $ 5,173 | $ 5,005 |
Investment in Trust Preferred securities | 403 | 403 |
Other investments | 164 | 124 |
Total other investments | $ 5,740 | $ 5,532 |
Investment Securities (Detail26
Investment Securities (Details Textual) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2016USD ($)Investment | Mar. 31, 2015USD ($) | Dec. 31, 2015USD ($)Investment | |
Investment Securities (Textual) | |||
Sale of investment securities | $ 12,200 | ||
Gain on sale of investment securities | $ 307 | $ 259 | |
Number of investments, Less than 12 months | Investment | 4 | 43 | |
Fair Market Value, 12 months or longer | $ 8,200 | ||
Number of investments, 12 months or longer | Investment | 6 | 5 | |
Fair Market Value, less than 12 months | $ 6,900 | ||
Securities pledged as collateral for repurchase agreements from brokers | 22,700 | $ 21,300 | |
Securities pledged to secure client deposit | $ 25,100 | $ 11,100 |
Loans and Allowance for Loan 27
Loans and Allowance for Loan Losses (Details) - USD ($) $ in Thousands | Mar. 31, 2016 | Dec. 31, 2015 |
Composition of loan portfolio | ||
Total gross loans, net of deferred fees | $ 1,038,862 | $ 1,004,944 |
Total gross loans, net of deferred fees, (Percentage) | 100.00% | 100.00% |
Less allowance for loan losses | $ (13,898) | $ (13,629) |
Total loans, net | 1,024,964 | 991,315 |
Commercial [Member] | ||
Composition of loan portfolio | ||
Total commercial loans | $ 679,141 | $ 655,181 |
Total commercial loans, (Percentage) | 65.40% | 65.20% |
Total gross loans, net of deferred fees | $ 679,141 | $ 655,181 |
Commercial [Member] | Owner occupied RE [Member] | ||
Composition of loan portfolio | ||
Total commercial loans | $ 233,753 | $ 236,083 |
Total commercial loans, (Percentage) | 22.50% | 23.50% |
Commercial [Member] | Non-owner occupied RE [Member] | ||
Composition of loan portfolio | ||
Total commercial loans | $ 221,264 | $ 205,604 |
Total commercial loans, (Percentage) | 21.30% | 20.50% |
Commercial [Member] | Construction [Member] | ||
Composition of loan portfolio | ||
Total commercial loans | $ 43,843 | $ 41,751 |
Total commercial loans, (Percentage) | 4.20% | 4.10% |
Commercial [Member] | Business [Member] | ||
Composition of loan portfolio | ||
Total commercial loans | $ 180,281 | $ 171,743 |
Total commercial loans, (Percentage) | 17.40% | 17.10% |
Consumer [Member] | ||
Composition of loan portfolio | ||
Total consumer loans | $ 359,721 | $ 349,763 |
Total consumer loans, (Percentage) | 34.60% | 34.80% |
Total gross loans, net of deferred fees | $ 359,721 | $ 349,763 |
Consumer [Member] | Real estate [Member] | ||
Composition of loan portfolio | ||
Total consumer loans | $ 175,954 | $ 174,802 |
Total consumer loans, (Percentage) | 16.90% | 17.40% |
Consumer [Member] | Home equity [Member] | ||
Composition of loan portfolio | ||
Total consumer loans | $ 118,888 | $ 116,563 |
Total consumer loans, (Percentage) | 11.40% | 11.60% |
Consumer [Member] | Construction [Member] | ||
Composition of loan portfolio | ||
Total consumer loans | $ 48,349 | $ 43,318 |
Total consumer loans, (Percentage) | 4.70% | 4.30% |
Consumer [Member] | Other [Member] | ||
Composition of loan portfolio | ||
Total consumer loans | $ 16,530 | $ 15,080 |
Total consumer loans, (Percentage) | 1.60% | 1.50% |
Loans and Allowance for Loan 28
Loans and Allowance for Loan Losses (Details 1) - USD ($) $ in Thousands | Mar. 31, 2016 | Dec. 31, 2015 |
Loan maturity distribution by type and related interest rate | ||
Total gross loans, net of deferred fees, One year or less | $ 183,802 | $ 184,786 |
Total gross loans, net of deferred fees, After one but within five years | 438,152 | 418,434 |
Total gross loans, net of deferred fees, After five years | 416,908 | 401,724 |
Total gross loans, net of deferred fees | 1,038,862 | 1,004,944 |
Loans maturing after one year with fixed interest rates | 639,180 | 612,251 |
Loans maturing after one year with floating interest rates | 215,880 | 207,907 |
Commercial [Member] | ||
Loan maturity distribution by type and related interest rate | ||
Total gross loans, net of deferred fees, One year or less | 125,577 | 130,808 |
Total gross loans, net of deferred fees, After one but within five years | 360,480 | 343,884 |
Total gross loans, net of deferred fees, After five years | 193,084 | 180,489 |
Total gross loans, net of deferred fees | 679,141 | 655,181 |
Commercial [Member] | Owner occupied RE [Member] | ||
Loan maturity distribution by type and related interest rate | ||
Total gross loans, net of deferred fees, One year or less | 22,287 | 16,836 |
Total gross loans, net of deferred fees, After one but within five years | 115,323 | 126,156 |
Total gross loans, net of deferred fees, After five years | 96,143 | 93,091 |
Total gross loans, net of deferred fees | 233,753 | 236,083 |
Commercial [Member] | Non-owner occupied RE [Member] | ||
Loan maturity distribution by type and related interest rate | ||
Total gross loans, net of deferred fees, One year or less | 35,109 | 40,690 |
Total gross loans, net of deferred fees, After one but within five years | 127,437 | 111,087 |
Total gross loans, net of deferred fees, After five years | 58,718 | 53,827 |
Total gross loans, net of deferred fees | 221,264 | 205,604 |
Commercial [Member] | Construction [Member] | ||
Loan maturity distribution by type and related interest rate | ||
Total gross loans, net of deferred fees, One year or less | 5,068 | 9,183 |
Total gross loans, net of deferred fees, After one but within five years | 26,986 | 23,206 |
Total gross loans, net of deferred fees, After five years | 11,789 | 9,362 |
Total gross loans, net of deferred fees | 43,843 | 41,751 |
Commercial [Member] | Business [Member] | ||
Loan maturity distribution by type and related interest rate | ||
Total gross loans, net of deferred fees, One year or less | 63,113 | 64,099 |
Total gross loans, net of deferred fees, After one but within five years | 90,734 | 83,435 |
Total gross loans, net of deferred fees, After five years | 26,434 | 24,209 |
Total gross loans, net of deferred fees | 180,281 | 171,743 |
Consumer [Member] | ||
Loan maturity distribution by type and related interest rate | ||
Total gross loans, net of deferred fees, One year or less | 58,225 | 53,978 |
Total gross loans, net of deferred fees, After one but within five years | 77,672 | 74,550 |
Total gross loans, net of deferred fees, After five years | 223,824 | 221,235 |
Total gross loans, net of deferred fees | 359,721 | 349,763 |
Consumer [Member] | Real estate [Member] | ||
Loan maturity distribution by type and related interest rate | ||
Total gross loans, net of deferred fees, One year or less | 29,212 | 28,348 |
Total gross loans, net of deferred fees, After one but within five years | 38,798 | 35,509 |
Total gross loans, net of deferred fees, After five years | 107,944 | 110,945 |
Total gross loans, net of deferred fees | 175,954 | 174,802 |
Consumer [Member] | Home equity [Member] | ||
Loan maturity distribution by type and related interest rate | ||
Total gross loans, net of deferred fees, One year or less | 6,617 | 5,105 |
Total gross loans, net of deferred fees, After one but within five years | 29,797 | 31,326 |
Total gross loans, net of deferred fees, After five years | 82,474 | 80,132 |
Total gross loans, net of deferred fees | 118,888 | 116,563 |
Consumer [Member] | Construction [Member] | ||
Loan maturity distribution by type and related interest rate | ||
Total gross loans, net of deferred fees, One year or less | 15,226 | 14,095 |
Total gross loans, net of deferred fees, After one but within five years | 2,067 | 1,445 |
Total gross loans, net of deferred fees, After five years | 31,056 | 27,778 |
Total gross loans, net of deferred fees | 48,349 | 43,318 |
Consumer [Member] | Other [Member] | ||
Loan maturity distribution by type and related interest rate | ||
Total gross loans, net of deferred fees, One year or less | 7,170 | 6,430 |
Total gross loans, net of deferred fees, After one but within five years | 7,010 | 6,270 |
Total gross loans, net of deferred fees, After five years | 2,350 | 2,380 |
Total gross loans, net of deferred fees | $ 16,530 | $ 15,080 |
Loans and Allowance for Loan 29
Loans and Allowance for Loan Losses (Commercial) (Details 2) - USD ($) $ in Thousands | Mar. 31, 2016 | Dec. 31, 2015 |
Owner occupied RE [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding commercial loans | $ 233,753 | $ 236,083 |
Non-owner occupied RE [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding commercial loans | 221,264 | 205,604 |
Construction [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding commercial loans | 43,843 | 41,751 |
Business [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding commercial loans | 180,281 | 171,743 |
Pass [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding commercial loans | 658,414 | 630,202 |
Pass [Member] | Owner occupied RE [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding commercial loans | 230,892 | 230,460 |
Pass [Member] | Non-owner occupied RE [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding commercial loans | 214,183 | 198,144 |
Pass [Member] | Construction [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding commercial loans | 42,076 | 39,678 |
Pass [Member] | Business [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding commercial loans | 171,263 | 161,920 |
Special Mention [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding commercial loans | 8,166 | 11,258 |
Special Mention [Member] | Owner occupied RE [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding commercial loans | 1,675 | 3,887 |
Special Mention [Member] | Non-owner occupied RE [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding commercial loans | $ 1,362 | 1,574 |
Special Mention [Member] | Construction [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding commercial loans | 286 | |
Special Mention [Member] | Business [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding commercial loans | $ 5,129 | 5,511 |
Substandard [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding commercial loans | 12,561 | 13,721 |
Substandard [Member] | Owner occupied RE [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding commercial loans | 1,186 | 1,736 |
Substandard [Member] | Non-owner occupied RE [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding commercial loans | 5,719 | 5,886 |
Substandard [Member] | Construction [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding commercial loans | 1,767 | 1,787 |
Substandard [Member] | Business [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding commercial loans | $ 3,889 | $ 4,312 |
Doubtful [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding commercial loans | ||
Doubtful [Member] | Owner occupied RE [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding commercial loans | ||
Doubtful [Member] | Non-owner occupied RE [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding commercial loans | ||
Doubtful [Member] | Construction [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding commercial loans | ||
Doubtful [Member] | Business [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding commercial loans |
Loans and Allowance for Loan 30
Loans and Allowance for Loan Losses (Consumer) (Details 3) - USD ($) $ in Thousands | Mar. 31, 2016 | Dec. 31, 2015 |
Real estate [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding consumer loans | $ 175,954 | $ 174,802 |
Home equity [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding consumer loans | 118,888 | 116,563 |
Construction [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding consumer loans | 48,349 | 43,318 |
Other [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding consumer loans | 16,530 | 15,080 |
Pass [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding consumer loans | 352,517 | 341,955 |
Pass [Member] | Real estate [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding consumer loans | 173,624 | 172,589 |
Pass [Member] | Home equity [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding consumer loans | 115,370 | 112,080 |
Pass [Member] | Construction [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding consumer loans | 47,354 | 42,319 |
Pass [Member] | Other [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding consumer loans | 16,169 | 14,967 |
Special Mention [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding consumer loans | 4,083 | 4,394 |
Special Mention [Member] | Real estate [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding consumer loans | 1,084 | 961 |
Special Mention [Member] | Home equity [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding consumer loans | $ 2,703 | $ 3,388 |
Special Mention [Member] | Construction [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding consumer loans | ||
Special Mention [Member] | Other [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding consumer loans | $ 296 | $ 45 |
Substandard [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding consumer loans | 3,121 | 3,414 |
Substandard [Member] | Real estate [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding consumer loans | 1,246 | 1,252 |
Substandard [Member] | Home equity [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding consumer loans | 815 | 1,095 |
Substandard [Member] | Construction [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding consumer loans | 995 | 999 |
Substandard [Member] | Other [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding consumer loans | $ 65 | $ 68 |
Doubtful [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding consumer loans | ||
Doubtful [Member] | Real estate [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding consumer loans | ||
Doubtful [Member] | Home equity [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding consumer loans | ||
Doubtful [Member] | Construction [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding consumer loans | ||
Doubtful [Member] | Other [Member] | ||
Outstanding commercial and consumer loans by risk category | ||
Outstanding consumer loans |
Loans and Allowance for Loan 31
Loans and Allowance for Loan Losses (Commercial) (Details 4) - Commercial [Member] - USD ($) $ in Thousands | Mar. 31, 2016 | Dec. 31, 2015 |
Outstanding commercial and consumer loans which include loans on nonaccrual by past due status as well as accruing TDRs | ||
Current | $ 673,491 | $ 649,174 |
30-59 days past due | 324 | 205 |
60-89 days past due | 1,430 | 1,513 |
Greater than 90 Days | 3,896 | 4,289 |
Total commercial loans | 679,141 | 655,181 |
Owner occupied RE [Member] | ||
Outstanding commercial and consumer loans which include loans on nonaccrual by past due status as well as accruing TDRs | ||
Current | 233,726 | $ 235,795 |
30-59 days past due | $ 27 | |
60-89 days past due | $ 43 | |
Greater than 90 Days | 245 | |
Total commercial loans | $ 233,753 | 236,083 |
Non-owner occupied RE [Member] | ||
Outstanding commercial and consumer loans which include loans on nonaccrual by past due status as well as accruing TDRs | ||
Current | 217,095 | $ 201,381 |
30-59 days past due | 52 | |
60-89 days past due | 1,430 | $ 1,452 |
Greater than 90 Days | 2,687 | 2,771 |
Total commercial loans | 221,264 | 205,604 |
Construction [Member] | ||
Outstanding commercial and consumer loans which include loans on nonaccrual by past due status as well as accruing TDRs | ||
Current | $ 43,461 | $ 41,354 |
30-59 days past due | ||
60-89 days past due | ||
Greater than 90 Days | $ 382 | $ 397 |
Total commercial loans | 43,843 | 41,751 |
Business [Member] | ||
Outstanding commercial and consumer loans which include loans on nonaccrual by past due status as well as accruing TDRs | ||
Current | 179,209 | 170,644 |
30-59 days past due | $ 245 | 205 |
60-89 days past due | 18 | |
Greater than 90 Days | $ 827 | 876 |
Total commercial loans | $ 180,281 | $ 171,743 |
Loans and Allowance for Loan 32
Loans and Allowance for Loan Losses (Consumer) (Details 5) - Consumer [Member] - USD ($) $ in Thousands | Mar. 31, 2016 | Dec. 31, 2015 |
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Financing Receivable, Recorded Investment, Current | $ 359,115 | $ 349,133 |
Financing Receivable, Recorded Investment, Past Due | $ 349 | 333 |
60-89 days past due | 39 | |
Greater than 90 Days | $ 257 | 258 |
Total consumer loans | 359,721 | 349,763 |
Real estate [Member] | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Financing Receivable, Recorded Investment, Current | 175,613 | 174,576 |
Financing Receivable, Recorded Investment, Past Due | $ 341 | 187 |
60-89 days past due | $ 39 | |
Greater than 90 Days | ||
Total consumer loans | $ 175,954 | $ 174,802 |
Home Equity Loan [Member] | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Financing Receivable, Recorded Investment, Current | $ 118,631 | $ 116,305 |
Financing Receivable, Recorded Investment, Past Due | ||
60-89 days past due | ||
Greater than 90 Days | $ 257 | $ 258 |
Total consumer loans | 118,888 | 116,563 |
Construction [Member] | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Financing Receivable, Recorded Investment, Current | $ 48,349 | 43,258 |
Financing Receivable, Recorded Investment, Past Due | $ 60 | |
60-89 days past due | ||
Greater than 90 Days | ||
Total consumer loans | $ 48,349 | $ 43,318 |
Other [Member] | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Financing Receivable, Recorded Investment, Current | 16,522 | 14,994 |
Financing Receivable, Recorded Investment, Past Due | $ 8 | $ 86 |
60-89 days past due | ||
Greater than 90 Days | ||
Total consumer loans | $ 16,530 | $ 15,080 |
Loans and Allowance for Loan 33
Loans and Allowance for Loan Losses (Details 6) - USD ($) $ in Thousands | Mar. 31, 2016 | Dec. 31, 2015 |
Summary of nonperforming assets including nonaccruing TDRs | ||
Nonaccruing troubled debt restructurings | $ 675 | $ 701 |
Total nonaccrual loans, including nonaccruing TDRs | 6,189 | 6,617 |
Other real estate owned | 2,284 | 2,475 |
Total nonperforming assets | $ 8,473 | $ 9,092 |
Nonperforming assets as a percentage of: | ||
Total assets | 0.68% | 0.75% |
Gross loans | 0.82% | 0.90% |
Total loans over 90 days past due | $ 4,153 | $ 4,547 |
Loans over 90 days past due and still accruing | ||
Accruing troubled debt restructurings | $ 6,122 | $ 7,266 |
Commercial [Member] | Owner occupied RE [Member] | ||
Summary of nonperforming assets including nonaccruing TDRs | ||
Total nonaccrual loans, including nonaccruing TDRs | 455 | 704 |
Commercial [Member] | Non-owner occupied RE [Member] | ||
Summary of nonperforming assets including nonaccruing TDRs | ||
Total nonaccrual loans, including nonaccruing TDRs | $ 4,066 | $ 4,170 |
Commercial [Member] | Construction [Member] | ||
Summary of nonperforming assets including nonaccruing TDRs | ||
Total nonaccrual loans, including nonaccruing TDRs | ||
Commercial [Member] | Business [Member] | ||
Summary of nonperforming assets including nonaccruing TDRs | ||
Total nonaccrual loans, including nonaccruing TDRs | $ 736 | $ 779 |
Consumer [Member] | Real estate [Member] | ||
Summary of nonperforming assets including nonaccruing TDRs | ||
Total nonaccrual loans, including nonaccruing TDRs | ||
Consumer [Member] | Home equity [Member] | ||
Summary of nonperforming assets including nonaccruing TDRs | ||
Total nonaccrual loans, including nonaccruing TDRs | $ 257 | $ 258 |
Consumer [Member] | Construction [Member] | ||
Summary of nonperforming assets including nonaccruing TDRs | ||
Total nonaccrual loans, including nonaccruing TDRs | ||
Consumer [Member] | Other [Member] | ||
Summary of nonperforming assets including nonaccruing TDRs | ||
Total nonaccrual loans, including nonaccruing TDRs | $ 5 |
Loans and Allowance for Loan 34
Loans and Allowance for Loan Losses (Details 7) - USD ($) $ in Thousands | Mar. 31, 2016 | Dec. 31, 2015 |
Summary of key information for impaired loans | ||
Unpaid Principal Balance | $ 16,605 | $ 18,301 |
Impaired Loans | 12,311 | 13,883 |
Impaired loans with related allowance for loan losses | 5,687 | 9,363 |
Related allowance for loan losses | 2,917 | 4,224 |
Commercial [Member] | ||
Summary of key information for impaired loans | ||
Unpaid Principal Balance | 15,034 | 16,719 |
Impaired Loans | 10,743 | 12,303 |
Impaired loans with related allowance for loan losses | 4,691 | 8,357 |
Related allowance for loan losses | 2,276 | 3,544 |
Commercial [Member] | Owner occupied RE [Member] | ||
Summary of key information for impaired loans | ||
Unpaid Principal Balance | 635 | 964 |
Impaired Loans | 612 | 863 |
Impaired loans with related allowance for loan losses | 158 | 863 |
Related allowance for loan losses | 95 | 260 |
Commercial [Member] | Non-owner occupied RE [Member] | ||
Summary of key information for impaired loans | ||
Unpaid Principal Balance | 9,124 | 9,144 |
Impaired Loans | 5,671 | 5,792 |
Impaired loans with related allowance for loan losses | 2,530 | 4,161 |
Related allowance for loan losses | 861 | 1,321 |
Commercial [Member] | Construction [Member] | ||
Summary of key information for impaired loans | ||
Unpaid Principal Balance | 1,850 | 1,855 |
Impaired Loans | 1,768 | 1,787 |
Impaired loans with related allowance for loan losses | 382 | 397 |
Related allowance for loan losses | 32 | 31 |
Commercial [Member] | Business [Member] | ||
Summary of key information for impaired loans | ||
Unpaid Principal Balance | 3,425 | 4,756 |
Impaired Loans | 2,692 | 3,861 |
Impaired loans with related allowance for loan losses | 1,621 | 2,936 |
Related allowance for loan losses | 1,288 | 1,932 |
Consumer [Member] | ||
Summary of key information for impaired loans | ||
Unpaid Principal Balance | 1,571 | 1,582 |
Impaired Loans | 1,568 | 1,580 |
Impaired loans with related allowance for loan losses | 996 | 1,006 |
Related allowance for loan losses | 641 | 680 |
Consumer [Member] | Real estate [Member] | ||
Summary of key information for impaired loans | ||
Unpaid Principal Balance | 1,118 | 1,121 |
Impaired Loans | 1,118 | 1,121 |
Impaired loans with related allowance for loan losses | 802 | 805 |
Related allowance for loan losses | 456 | 489 |
Consumer [Member] | Home equity [Member] | ||
Summary of key information for impaired loans | ||
Unpaid Principal Balance | 260 | 260 |
Impaired Loans | 257 | $ 258 |
Impaired loans with related allowance for loan losses | 194 | |
Related allowance for loan losses | $ 185 | |
Consumer [Member] | Construction [Member] | ||
Summary of key information for impaired loans | ||
Unpaid Principal Balance | ||
Impaired Loans | ||
Impaired loans with related allowance for loan losses | ||
Related allowance for loan losses | ||
Consumer [Member] | Other [Member] | ||
Summary of key information for impaired loans | ||
Unpaid Principal Balance | $ 193 | $ 201 |
Impaired Loans | $ 193 | 201 |
Impaired loans with related allowance for loan losses | 201 | |
Related allowance for loan losses | $ 191 |
Loans and Allowance for Loan 35
Loans and Allowance for Loan Losses (Details 8) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | Dec. 31, 2015 | |
Average recorded investment and interest income recognized on impaired loans | |||
Average recorded investment | $ 12,455 | $ 15,036 | $ 14,548 |
Recognized interest income | 126 | 113 | 416 |
Commercial [Member] | |||
Average recorded investment and interest income recognized on impaired loans | |||
Average recorded investment | 10,884 | 12,761 | 12,976 |
Recognized interest income | 115 | 98 | 356 |
Commercial [Member] | Owner occupied RE [Member] | |||
Average recorded investment and interest income recognized on impaired loans | |||
Average recorded investment | 615 | 1,101 | 884 |
Recognized interest income | 7 | 22 | 6 |
Commercial [Member] | Non-owner occupied RE [Member] | |||
Average recorded investment and interest income recognized on impaired loans | |||
Average recorded investment | 5,731 | 4,915 | 6,137 |
Recognized interest income | 48 | 22 | 128 |
Commercial [Member] | Construction [Member] | |||
Average recorded investment and interest income recognized on impaired loans | |||
Average recorded investment | 1,778 | 2,332 | 1,888 |
Recognized interest income | 30 | 18 | 74 |
Commercial [Member] | Business [Member] | |||
Average recorded investment and interest income recognized on impaired loans | |||
Average recorded investment | 2,760 | 4,413 | 4,067 |
Recognized interest income | 30 | 36 | 148 |
Consumer [Member] | |||
Average recorded investment and interest income recognized on impaired loans | |||
Average recorded investment | 1,571 | 2,275 | 1,572 |
Recognized interest income | 11 | 15 | 60 |
Consumer [Member] | Real estate [Member] | |||
Average recorded investment and interest income recognized on impaired loans | |||
Average recorded investment | 1,119 | 1,663 | 1,112 |
Recognized interest income | 9 | 11 | 46 |
Consumer [Member] | Home equity [Member] | |||
Average recorded investment and interest income recognized on impaired loans | |||
Average recorded investment | 195 | 346 | 252 |
Recognized interest income | $ 2 | $ 2 | $ 7 |
Consumer [Member] | Construction [Member] | |||
Average recorded investment and interest income recognized on impaired loans | |||
Average recorded investment | |||
Recognized interest income | |||
Consumer [Member] | Other [Member] | |||
Average recorded investment and interest income recognized on impaired loans | |||
Average recorded investment | $ 257 | $ 266 | $ 208 |
Recognized interest income | $ 2 | $ 7 |
Loans and Allowance for Loan 36
Loans and Allowance for Loan Losses (Details 9) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Summary of activity related to our allowance for loan losses | ||
Balance, beginning of period | $ 13,629 | $ 11,752 |
Provision for loan losses | 625 | 625 |
Loan charge-offs | (394) | (145) |
Loan recoveries | 38 | 9 |
Net loan charge-offs | (356) | (136) |
Balance, end of period | $ 13,898 | $ 12,241 |
Net charge-offs to average loans (annualized) | 0.14% | 0.06% |
Allowance for loan losses to gross loans | 1.34% | 1.35% |
Allowance for loan losses to nonperforming loans | 224.56% | 187.61% |
Commercial [Member] | Owner occupied RE [Member] | ||
Summary of activity related to our allowance for loan losses | ||
Balance, beginning of period | $ 2,347 | $ 1,645 |
Provision for loan losses | 151 | $ 259 |
Loan charge-offs | $ (5) | |
Loan recoveries | ||
Net loan charge-offs | $ (5) | |
Balance, end of period | 2,493 | $ 1,904 |
Commercial [Member] | Non-owner occupied RE [Member] | ||
Summary of activity related to our allowance for loan losses | ||
Balance, beginning of period | 3,187 | 2,332 |
Provision for loan losses | 122 | 295 |
Loan charge-offs | (75) | (78) |
Loan recoveries | 2 | 2 |
Net loan charge-offs | (73) | (76) |
Balance, end of period | 3,236 | 2,551 |
Commercial [Member] | Construction [Member] | ||
Summary of activity related to our allowance for loan losses | ||
Balance, beginning of period | 338 | 614 |
Provision for loan losses | $ 104 | $ (149) |
Loan charge-offs | ||
Loan recoveries | ||
Net loan charge-offs | ||
Balance, end of period | $ 442 | $ 465 |
Commercial [Member] | Business [Member] | ||
Summary of activity related to our allowance for loan losses | ||
Balance, beginning of period | 3,800 | 3,625 |
Provision for loan losses | (158) | 183 |
Loan charge-offs | (36) | (66) |
Loan recoveries | 33 | 7 |
Net loan charge-offs | (3) | (59) |
Balance, end of period | 3,639 | 3,749 |
Consumer [Member] | Real estate [Member] | ||
Summary of activity related to our allowance for loan losses | ||
Balance, beginning of period | 2,070 | 1,714 |
Provision for loan losses | 248 | $ 109 |
Loan charge-offs | $ (187) | |
Loan recoveries | ||
Net loan charge-offs | $ (187) | |
Balance, end of period | 2,131 | $ 1,823 |
Consumer [Member] | Home equity [Member] | ||
Summary of activity related to our allowance for loan losses | ||
Balance, beginning of period | 1,202 | $ 1,162 |
Provision for loan losses | $ 61 | |
Loan charge-offs | ||
Loan recoveries | ||
Net loan charge-offs | ||
Balance, end of period | $ 1,263 | $ 1,162 |
Consumer [Member] | Construction [Member] | ||
Summary of activity related to our allowance for loan losses | ||
Balance, beginning of period | 313 | 236 |
Provision for loan losses | $ 38 | $ 15 |
Loan charge-offs | ||
Loan recoveries | ||
Net loan charge-offs | ||
Balance, end of period | $ 351 | $ 251 |
Consumer [Member] | Other [Member] | ||
Summary of activity related to our allowance for loan losses | ||
Balance, beginning of period | 372 | 424 |
Provision for loan losses | 59 | (87) |
Loan charge-offs | (91) | $ (1) |
Loan recoveries | 3 | |
Net loan charge-offs | (88) | $ (1) |
Balance, end of period | $ 343 | $ 336 |
Loans and Allowance for Loan 37
Loans and Allowance for Loan Losses (Details 10) - USD ($) $ in Thousands | Mar. 31, 2016 | Dec. 31, 2015 |
Allowance for loan losses and recorded investment in loans by impairment methodology | ||
Allowance for loan losses, Individually evaluated | $ 2,917 | $ 4,224 |
Allowance for loan losses, Collectively evaluated | 10,981 | 9,405 |
Allowance for loan losses, Total | 13,898 | 13,629 |
Recorded investment in loans, Individually evaluated | 12,311 | 13,883 |
Recorded investment in loans, Collectively evaluated | 1,026,551 | 991,061 |
Total gross loans, net of deferred fees | 1,038,862 | 1,004,944 |
Commercial [Member] | ||
Allowance for loan losses and recorded investment in loans by impairment methodology | ||
Allowance for loan losses, Individually evaluated | 2,276 | 3,544 |
Allowance for loan losses, Collectively evaluated | 7,535 | 6,128 |
Allowance for loan losses, Total | 9,811 | 9,672 |
Recorded investment in loans, Individually evaluated | 10,743 | 12,303 |
Recorded investment in loans, Collectively evaluated | 668,398 | 642,878 |
Total gross loans, net of deferred fees | 679,141 | 655,181 |
Consumer [Member] | ||
Allowance for loan losses and recorded investment in loans by impairment methodology | ||
Allowance for loan losses, Individually evaluated | 641 | 680 |
Allowance for loan losses, Collectively evaluated | 3,446 | 3,277 |
Allowance for loan losses, Total | 4,087 | 3,957 |
Recorded investment in loans, Individually evaluated | 1,568 | 1,580 |
Recorded investment in loans, Collectively evaluated | 358,153 | 348,183 |
Total gross loans, net of deferred fees | $ 359,721 | $ 349,763 |
Loans and Allowance for Loan 38
Loans and Allowance for Loan Losses (Details Textual) - USD ($) $ in Millions | Mar. 31, 2016 | Dec. 31, 2015 |
Loan and Allowance For Loan Losses (Textual) | ||
Net of deferred loan fees and costs | $ 1.7 | $ 1.7 |
Part of loans of 30 days or More past due as a percentage of total loan portfolio | 0.60% | 0.66% |
Commercial [Member] | ||
Loan and Allowance For Loan Losses (Textual) | ||
Part of loans of 30 days or More past due as a percentage of total loan portfolio | 0.54% | 0.60% |
Consumer [Member] | ||
Loan and Allowance For Loan Losses (Textual) | ||
Part of loans of 30 days or More past due as a percentage of total loan portfolio | 0.06% | 0.06% |
Troubled Debt Restructurings (D
Troubled Debt Restructurings (Details) $ in Thousands | 3 Months Ended | |
Mar. 31, 2016USD ($)Investment | Mar. 31, 2015USD ($)Investment | |
Summary of concession at the time of modification and the recorded investment in TDRs before and after their modification | ||
Renewals deemed concession | ||
Reduced or deferred payments | ||
Converted to interest only | ||
Maturity date extensions | 1 | |
Total number of loans | 1 | |
Pre-modification outstanding recorded investment | $ | $ 58 | |
Post-modification outstanding recorded investment | $ | $ 58 | |
Commercial [Member] | Owner occupied [Member] | ||
Summary of concession at the time of modification and the recorded investment in TDRs before and after their modification | ||
Renewals deemed concession | ||
Reduced or deferred payments | ||
Converted to interest only | ||
Maturity date extensions | ||
Total number of loans | ||
Pre-modification outstanding recorded investment | $ | ||
Post-modification outstanding recorded investment | $ | ||
Commercial [Member] | Non-owner occupied [Member] | ||
Summary of concession at the time of modification and the recorded investment in TDRs before and after their modification | ||
Renewals deemed concession | ||
Reduced or deferred payments | ||
Converted to interest only | ||
Maturity date extensions | 1 | |
Total number of loans | 1 | |
Pre-modification outstanding recorded investment | $ | $ 58 | |
Post-modification outstanding recorded investment | $ | $ 58 | |
Commercial [Member] | Construction [Member] | ||
Summary of concession at the time of modification and the recorded investment in TDRs before and after their modification | ||
Renewals deemed concession | ||
Reduced or deferred payments | ||
Converted to interest only | ||
Maturity date extensions | ||
Total number of loans | ||
Pre-modification outstanding recorded investment | $ | ||
Post-modification outstanding recorded investment | $ | ||
Commercial [Member] | Business [Member] | ||
Summary of concession at the time of modification and the recorded investment in TDRs before and after their modification | ||
Renewals deemed concession | ||
Reduced or deferred payments | ||
Converted to interest only | ||
Maturity date extensions | ||
Total number of loans | ||
Pre-modification outstanding recorded investment | $ | ||
Post-modification outstanding recorded investment | $ | ||
Consumer [Member] | Real estate [Member] | ||
Summary of concession at the time of modification and the recorded investment in TDRs before and after their modification | ||
Renewals deemed concession | ||
Reduced or deferred payments | ||
Converted to interest only | ||
Maturity date extensions | ||
Total number of loans | ||
Pre-modification outstanding recorded investment | $ | ||
Post-modification outstanding recorded investment | $ | ||
Consumer [Member] | Home equity [Member] | ||
Summary of concession at the time of modification and the recorded investment in TDRs before and after their modification | ||
Renewals deemed concession | ||
Reduced or deferred payments | ||
Converted to interest only | ||
Maturity date extensions | ||
Total number of loans | ||
Pre-modification outstanding recorded investment | $ | ||
Post-modification outstanding recorded investment | $ | ||
Consumer [Member] | Construction [Member] | ||
Summary of concession at the time of modification and the recorded investment in TDRs before and after their modification | ||
Renewals deemed concession | ||
Reduced or deferred payments | ||
Converted to interest only | ||
Maturity date extensions | ||
Total number of loans | ||
Pre-modification outstanding recorded investment | $ | ||
Post-modification outstanding recorded investment | $ | ||
Consumer [Member] | Other [Member] | ||
Summary of concession at the time of modification and the recorded investment in TDRs before and after their modification | ||
Renewals deemed concession | ||
Reduced or deferred payments | ||
Converted to interest only | ||
Maturity date extensions | ||
Total number of loans | ||
Pre-modification outstanding recorded investment | $ | ||
Post-modification outstanding recorded investment | $ |
Troubled Debt Restructurings 40
Troubled Debt Restructurings (Details Textual) $ in Millions | 3 Months Ended | |
Mar. 31, 2016USD ($)Investment | Dec. 31, 2015USD ($)Investment | |
Troubled Debt Restructurings (Textual) | ||
Total number of loans classified under troubled debt restructurings (TDRs) | Investment | 27 | 29 |
Total sum of loans classified as troubled debt restructurings (TDRs) | $ | $ 6.8 | $ 8 |
Number of months previous loan payment defaulted | 12 months |
Fair Value Accounting (Details)
Fair Value Accounting (Details) - Fair Value, Measurements, Recurring [Member] - USD ($) $ in Thousands | Mar. 31, 2016 | Dec. 31, 2015 |
Securities available for sale | ||
US government agencies | $ 11,664 | $ 14,599 |
SBA securities | 6,326 | 6,277 |
State and political subdivisions | 20,350 | 22,259 |
Mortgage-backed securities | 38,725 | 46,804 |
Total assets measured at fair value on a recurring basis | $ 77,065 | $ 89,939 |
Fair Value, Inputs, Level 1 [Member] | ||
Securities available for sale | ||
US government agencies | ||
SBA securities | ||
State and political subdivisions | ||
Mortgage-backed securities | ||
Total assets measured at fair value on a recurring basis | ||
Fair Value, Inputs, Level 2 [Member] | ||
Securities available for sale | ||
US government agencies | $ 11,664 | $ 14,599 |
SBA securities | 6,326 | 6,277 |
State and political subdivisions | 20,350 | 22,259 |
Mortgage-backed securities | 38,725 | 46,804 |
Total assets measured at fair value on a recurring basis | $ 77,065 | $ 89,939 |
Fair Value, Inputs, Level 3 [Member] | ||
Securities available for sale | ||
US government agencies | ||
SBA securities | ||
State and political subdivisions | ||
Mortgage-backed securities | ||
Total assets measured at fair value on a recurring basis |
Fair Value Accounting (Details
Fair Value Accounting (Details 1) - Fair Value, Measurements, Nonrecurring [Member] - USD ($) $ in Thousands | Mar. 31, 2016 | Dec. 31, 2015 |
Assets | ||
Impaired loans | $ 9,394 | $ 9,659 |
Other real estate owned | 2,284 | 2,475 |
Total assets measured at fair value on a nonrecurring basis | $ 11,673 | $ 12,134 |
Fair Value, Inputs, Level 1 [Member] | ||
Assets | ||
Impaired loans | ||
Other real estate owned | ||
Total assets measured at fair value on a nonrecurring basis | ||
Fair Value, Inputs, Level 2 [Member] | ||
Assets | ||
Impaired loans | $ 9,198 | $ 9,102 |
Other real estate owned | 2,017 | 2,208 |
Total assets measured at fair value on a nonrecurring basis | 11,210 | 11,310 |
Fair Value, Inputs, Level 3 [Member] | ||
Assets | ||
Impaired loans | 196 | 557 |
Other real estate owned | 267 | 267 |
Total assets measured at fair value on a nonrecurring basis | $ 463 | $ 824 |
Fair Value Accounting (Detail43
Fair Value Accounting (Details 2) | 3 Months Ended |
Mar. 31, 2016 | |
Impaired loans [Member] | |
Schedule of unobservable inputs used in the fair value measurements | |
Valuation Technique | Appraised Value/ Discounted Cash Flows |
Significant Unobservable Inputs | Discounts to appraisals or cash flows for estimated holding and/or selling costs or age of appraisal |
Impaired loans [Member] | Maximum [Member] | |
Schedule of unobservable inputs used in the fair value measurements | |
Range of Inputs | 25.00% |
Impaired loans [Member] | Minimum [Member] | |
Schedule of unobservable inputs used in the fair value measurements | |
Range of Inputs | 0.00% |
Other real estate owned [Member] | |
Schedule of unobservable inputs used in the fair value measurements | |
Valuation Technique | Appraised Value/ Comparable Sales |
Significant Unobservable Inputs | Discounts to appraisals for estimated holding or selling costs |
Other real estate owned [Member] | Maximum [Member] | |
Schedule of unobservable inputs used in the fair value measurements | |
Range of Inputs | 25.00% |
Other real estate owned [Member] | Minimum [Member] | |
Schedule of unobservable inputs used in the fair value measurements | |
Range of Inputs | 0.00% |
Fair Value Accounting (Detail44
Fair Value Accounting (Details 3) - USD ($) $ in Thousands | Mar. 31, 2016 | Dec. 31, 2015 | Mar. 31, 2015 | Dec. 31, 2014 |
Financial Assets: | ||||
Cash and cash equivalents, Carrying Amount | $ 54,773 | $ 62,866 | $ 51,724 | $ 41,264 |
Other investments, Carrying Amount | 5,740 | 5,532 | ||
Loans held for sale, Carrying Amount | 14,241 | 4,943 | ||
Loans, net, Carrying Amount | 1,024,964 | 991,315 | ||
Cash and cash equivalents, Fair Value | 54,773 | 62,866 | ||
Other investments, at cost, Fair Value | 5,740 | 5,532 | ||
Loans held for sale, Fair Value | 14,241 | 4,943 | ||
Loans, net, Fair Value | 1,026,351 | 992,379 | ||
Financial Liabilities: | ||||
Deposits, Carrying Amount | 1,003,241 | 985,733 | ||
FHLB and other borrowings, Carrying Amount | 115,200 | 115,200 | ||
Junior subordinated debentures, Carrying Amount | 13,403 | 13,403 | ||
Deposits, Fair Value | 951,133 | 918,303 | ||
FHLB and other borrowings, Fair Value | 117,106 | 117,317 | ||
Junior subordinated debentures, Fair Value | 11,337 | 11,511 | ||
Fair Value, Inputs, Level 1 [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | ||||
Financial Assets: | ||||
Cash and cash equivalents, Fair Value | $ 54,773 | $ 62,866 | ||
Other investments, at cost, Fair Value | ||||
Loans held for sale, Fair Value | ||||
Loans, net, Fair Value | ||||
Financial Liabilities: | ||||
Deposits, Fair Value | ||||
FHLB and other borrowings, Fair Value | ||||
Junior subordinated debentures, Fair Value | ||||
Fair Value, Inputs, Level 2 [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | ||||
Financial Assets: | ||||
Cash and cash equivalents, Fair Value | ||||
Other investments, at cost, Fair Value | ||||
Loans held for sale, Fair Value | $ 14,241 | $ 4,943 | ||
Loans, net, Fair Value | 9,198 | 9,102 | ||
Financial Liabilities: | ||||
Deposits, Fair Value | 951,133 | 918,303 | ||
FHLB and other borrowings, Fair Value | 117,106 | 117,317 | ||
Junior subordinated debentures, Fair Value | $ 11,337 | $ 11,511 | ||
Fair Value, Inputs, Level 3 [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | ||||
Financial Assets: | ||||
Cash and cash equivalents, Fair Value | ||||
Other investments, at cost, Fair Value | $ 5,740 | $ 5,532 | ||
Loans held for sale, Fair Value | ||||
Loans, net, Fair Value | $ 1,017,153 | $ 983,277 | ||
Financial Liabilities: | ||||
Deposits, Fair Value | ||||
FHLB and other borrowings, Fair Value | ||||
Junior subordinated debentures, Fair Value |
Fair Value Accounting (Detail45
Fair Value Accounting (Details Textual) | 3 Months Ended |
Mar. 31, 2016 | |
Fair Value Accounting (Textual) | |
Percentage of loans collateralize by real estate | More than 80 |
Earnings Per Common Share (Deta
Earnings Per Common Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Numerator: | ||
Net income available to common shareholders | $ 3,006 | $ 2,028 |
Denominator: | ||
Weighted-average common shares outstanding - basic | 6,272,847 | 6,225,252 |
Common stock equivalents | 390,585 | 289,621 |
Weighted-average common shares outstanding - diluted | 6,663,432 | 6,514,873 |
Earnings per common share: | ||
Basic | $ 0.48 | $ 0.33 |
Diluted | $ 0.45 | $ 0.31 |
Earnings Per Common Share (De47
Earnings Per Common Share (Details Textual) - shares | 3 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Earnings Per Common Share (Textual) | ||
Antidilutive securities excluded from computation of earnings per share, amount | 97,500 | 170,875 |
Reportable Segments (Details)
Reportable Segments (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2016 | Mar. 31, 2015 | Dec. 31, 2015 | |
Segment Reporting Information [Line Items] | |||
Interest income | $ 12,329 | $ 10,801 | |
Interest expense | 2,022 | 1,731 | |
Net interest income (loss) | 10,307 | 9,070 | |
Provision for loan losses | 625 | 625 | |
Noninterest income | 2,559 | 2,141 | |
Noninterest expense | 7,517 | 7,461 | |
Net income before taxes | 4,724 | 3,125 | |
Income tax (provision) benefit | (1,718) | (1,097) | |
Net income (loss) | 3,006 | $ 2,028 | |
Total assets | $ 1,239,317 | $ 1,217,293 | |
Eliminations [Member] | |||
Segment Reporting Information [Line Items] | |||
Interest income | |||
Interest expense | |||
Net interest income (loss) | |||
Provision for loan losses | |||
Noninterest income | |||
Noninterest expense | |||
Net income before taxes | |||
Income tax (provision) benefit | |||
Net income (loss) | |||
Total assets | $ (108,883) | ||
Commercial and Retail Banking [Member] | |||
Segment Reporting Information [Line Items] | |||
Interest income | 12,266 | ||
Interest expense | 1,923 | ||
Net interest income (loss) | 10,343 | ||
Provision for loan losses | 625 | ||
Noninterest income | 1,112 | ||
Noninterest expense | 6,334 | ||
Net income before taxes | 4,496 | ||
Income tax (provision) benefit | (1,565) | ||
Net income (loss) | 2,931 | ||
Total assets | 1,222,224 | ||
Mortgage Banking [Member] | |||
Segment Reporting Information [Line Items] | |||
Interest income | $ 63 | ||
Interest expense | |||
Net interest income (loss) | $ 63 | ||
Provision for loan losses | |||
Noninterest income | $ 1,447 | ||
Noninterest expense | 902 | ||
Net income before taxes | 608 | ||
Income tax (provision) benefit | (224) | ||
Net income (loss) | 384 | ||
Total assets | $ 14,271 | ||
Corporate [Member] | |||
Segment Reporting Information [Line Items] | |||
Interest income | |||
Interest expense | $ 99 | ||
Net interest income (loss) | $ (99) | ||
Provision for loan losses | |||
Noninterest income | |||
Noninterest expense | $ 281 | ||
Net income before taxes | (380) | ||
Income tax (provision) benefit | 71 | ||
Net income (loss) | (309) | ||
Total assets | $ 111,705 |
Reportable Segments (Details Te
Reportable Segments (Details Textual) | 3 Months Ended |
Mar. 31, 2016Segments | |
Reportable Segments (Textual) | |
Number of segments | 3 |