Southern First Bancshares (SFST) 10-Q 1 Aug 16 2016 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2016	Jul. 25, 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	Jun. 30, 2016
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q2
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		6,355,412

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Cash and cash equivalents:
Cash and due from banks	$ 14,500	$ 12,280
Federal funds sold	41,624	33,582
Interest-bearing deposits with banks	15,395	17,004
Total cash and cash equivalents	71,519	62,866
Investment securities:
Investment securities available for sale	84,520	89,939
Other investments	5,749	5,532
Total investment securities	90,269	95,471
Mortgage loans held for sale	14,367	4,943
Loans	1,065,496	1,004,944
Less allowance for loan losses	(14,317)	(13,629)
Loans, net	1,051,179	991,315
Bank owned life insurance	25,101	24,735
Property and equipment, net	26,036	24,185
Deferred income taxes	5,467	6,923
Other assets	6,772	6,855
Total assets	1,290,710	1,217,293
LIABILITIES
Deposits	1,049,124	985,733
Federal Home Loan Bank advances and other borrowings	115,200	115,200
Junior subordinated debentures	13,403	13,403
Other liabilities	10,580	8,717
Total liabilities	1,188,307	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, 6,355,412 and 6,289,038 shares issued and outstanding at June 30, 2016 and December 31, 2015, respectively	64	63
Nonvested restricted stock	(607)	(360)
Additional paid-in capital	71,178	70,037
Accumulated other comprehensive income (loss)	952	(4)
Retained earnings	30,816	24,504
Total shareholders' equity	102,403	94,240
Total liabilities and shareholders' equity	$ 1,290,710	$ 1,217,293

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - $ / shares	Jun. 30, 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	6,355,412	6,289,038
Common stock, shares outstanding	6,355,412	6,289,038

Consolidated Statements of Inco

Consolidated Statements of Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Interest income
Loans	$ 11,999	$ 10,941	$ 23,794	$ 21,341
Investment securities	458	356	947	731
Federal funds sold	46	19	91	45
Total interest income	12,503	11,316	24,832	22,117
Interest expense
Deposits	946	854	1,934	1,621
Borrowings	1,044	971	2,078	1,935
Total interest expense	1,990	1,825	4,012	3,556
Net interest income	10,513	9,491	20,820	18,561
Provision for loan losses	575	1,000	1,200	1,625
Net interest income after provision for loan losses	9,938	8,491	19,620	16,936
Noninterest income
Mortgage banking income	2,235	1,321	3,682	2,484
Service fees on deposit accounts	244	219	463	445
Income from bank owned life insurance	180	165	366	331
Gain on sale of investment securities	19	36	325	295
Other income	468	374	868	701
Total noninterest income	3,146	2,115	5,704	4,256
Noninterest expenses
Compensation and benefits	4,855	4,106	9,405	8,382
Occupancy	892	842	1,762	1,579
Real estate owned expenses	359	93	644	855
Data processing and related costs	628	573	1,226	1,158
Insurance	217	213	450	415
Professional fees	284	233	538	466
Marketing	199	222	430	460
Other	419	364	914	791
Total noninterest expenses	7,853	6,646	15,369	14,106
Income before income tax expense	5,231	3,960	9,955	7,086
Income tax expense	1,925	1,400	3,643	2,498
Net income available to common shareholders	$ 3,306	$ 2,560	$ 6,312	$ 4,588
Earnings per common share
Basic	$ 0.52	$ 0.41	$ 1	$ 0.74
Diluted	$ 0.49	$ 0.39	$ 0.94	$ 0.70
Weighted average common shares outstanding
Basic	6,301,853	6,233,745	6,287,350	6,229,522
Diluted	6,702,820	6,533,658	6,683,126	6,524,317

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Statements of Comprehensive Income (Loss) [Abstract]
Net income	$ 3,306	$ 2,560	$ 6,312	$ 4,588
Unrealized gain (loss) on securities available for sale:
Unrealized holding gain (loss) arising during the period, pretax	682	(689)	1,774	(332)
Tax (expense) benefit	(232)	234	(603)	113
Reclassification of realized gain	(19)	(36)	(325)	(295)
Tax expense	7	12	110	100
Other comprehensive income (loss)	438	(479)	956	(414)
Comprehensive income	$ 3,744	$ 2,081	$ 7,268	$ 4,174

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	4,588						4,588
Proceeds from exercise of stock options	117				117
Proceeds from exercise of stock options, shares		17,142
Amortization of deferred compensation on restricted stock	94			94
Compensation expense related to stock options, net of tax	290				290
Other comprehensive income (loss)	(414)					(414)
Ending balance at Jun. 30, 2015	87,667	$ 62		(400)	69,192	(112)	18,925
Ending balance, shares at Jun. 30, 2015		6,236,144
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	6,312						6,312
Proceeds from exercise of stock options	369	$ 1			368
Proceeds from exercise of stock options, shares		49,374
Issuance of restricted stock				(391)	391
Issuance of restricted stock, shares		17,000
Amortization of deferred compensation on restricted stock	144			144
Compensation expense related to stock options, net of tax	382				382
Other comprehensive income (loss)	956					956
Ending balance at Jun. 30, 2016	$ 102,403	$ 64		$ (607)	$ 71,178	$ 952	$ 30,816
Ending balance, shares at Jun. 30, 2016		6,355,412

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Operating activities
Net income	$ 6,312	$ 4,588
Adjustments to reconcile net income to cash provided by operating activities:
Provision for loan losses	1,200	1,625
Depreciation and other amortization	633	688
Accretion and amortization of securities discounts and premium, net	268	148
Gain on sale of investment securities available for sale	(325)	(295)
(Gain) loss on sale of real estate owned	51	(74)
Write-down of real estate owned	389	737
Compensation expense related to stock options and grants	526	384
Gain on sale of loans held for sale	(3,424)	(2,484)
Loans originated and held for sale	(122,495)	(106,754)
Proceeds from sale of loans held for sale	116,495	108,601
Increase in cash surrender value of bank owned life insurance	(366)	(331)
(Increase) decrease in deferred tax asset	963	(207)
(Increase) decrease in other assets, net	(432)	165
Increase (decrease) in other liabilities	1,863	(1,157)
Net cash provided by operating activities	1,658	5,633
Increase (decrease) in cash realized from:
Origination of loans, net	(61,309)	(92,843)
Purchase of property and equipment	(2,484)	(2,547)
Purchase of investment securities:
Available for sale	(16,852)	(9,352)
Other	(169)	(149)
Payments and maturities, calls and repayments of investment securities:
Available for sale	13,127	2,359
Other		1,140
Proceeds from sale of investment securities available for sale	10,602	10,071
Proceeds from sale of real estate owned	320	100
Net cash used for investing activities	(56,765)	(91,221)
Increase (decrease) in cash realized from:
Increase in deposits, net	63,391	105,617
Decrease in Federal Home Loan Bank advances and other borrowings		(20,000)
Proceeds from the exercise of stock options and warrants	369	117
Net cash provided by financing activities	63,760	85,734
Net increase in cash and cash equivalents	8,653	146
Cash and cash equivalents at beginning of the period	62,866	41,264
Cash and cash equivalents at end of the period	71,519	41,410
Cash paid for
Interest	4,012	3,634
Income taxes	2,680	2,705
Schedule of non-cash transactions
Real estate acquired in settlement of loans	245	343
Unrealized gain (loss) on securities, net of income taxes	$ 1,171	$ (219)

Nature of Business and Basis of

Nature of Business and Basis of Presentation	6 Months Ended
	Jun. 30, 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 and six month periods ended June 30, 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. Initial Adoption of Fair Value Option In accordance with ASC 825-10 – Financial Instruments , the Company adopted the fair value option for mortgage loans held for sale beginning on April 1, 2016. ASC 825-10 allows the Company to measure eligible financial assets and liabilities at fair value that are not otherwise required to be measured at fair value and to offset changes in the fair values of derivative instruments and the related hedged item by selecting the fair value option for the hedged item. Unrealized gains and losses on items for which the fair value option has been elected are reported in earnings at each subsequent reporting date. Prior to adoption, mortgage loans held for sale were carried at the lower of cost or fair value.

Investment Securities

Investment Securities	6 Months Ended
	Jun. 30, 2016
Investment Securities [Abstract]
Investment Securities	NOTE 2 – Investment Securities The amortized costs and fair value of investment securities are as follows: June 30, 2016 Amortized Gross Unrealized Fair (dollars in thousands) Cost Gains Losses Value Available for sale US government agencies $ 8,627 176 - 8,803 SBA securities 6,095 6 15 6,086 State and political subdivisions 22,056 850 - 22,906 Mortgage-backed securities 46,299 483 57 46,725 Total investment securities available for sale $ 83,077 1,515 72 84,520 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 six months of 2016, approximately $19.8 million of investment securities were either sold or called, subsequently resulting in a gain on sale of investment securities of $325,000. Contractual maturities and yields on the Company’s investment securities at June 30, 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. June 30, 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 $ - - 2,024 1.34% 6,779 2.22% - - 8,803 2.02% SBA securities - - - - - - 6,086 1.74% 6,086 1.74% State and political subdivisions - - 2,230 1.69% 13,173 2.30% 7,503 2.88% 22,906 2.43% Mortgage-backed securities - - - - 9,247 1.44% 37,478 1.81% 46,725 1.74% Total $ - - 4,254 1.53% 29,199 2.01% 51,067 1.95% 84,520 1.95% 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 June 30, 2016 and December 31, 2015, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position. June 30, 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 SBA securities 1 $ 1,520 $ 4 1 $ 1,537 $ 11 2 $ 3,057 $ 15 State and political subdivisions - - - - - - - - - Mortgage-backed securities 1 2,141 21 1 2,382 36 2 4,523 57 Total 2 $ 3,661 $ 25 2 $ 3,919 $ 47 4 $ 7,580 $ 72 December 31, 2015 Less than 12 months 12 months or longer Total Fair Unrealized Fair Unrealized Fair Unrealized # 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 June 30, 2016, the Company had two individual investments with a fair market value of $3.7 million that were in an unrealized loss position for less than 12 months and two individual investments with a fair market value of $3.9 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) June 30, 2016 December 31, 2015 Federal Home Loan Bank stock $ 5,173 5,005 Investment in Trust Preferred securities 403 403 Other investments 173 124 Total other investments $ 5,749 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 June 30, 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 June 30, 2016, $19.2 million of securities were pledged as collateral for repurchase agreements from brokers, and approximately $16.7 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.

Mortgage Loans Held for Sale

Mortgage Loans Held for Sale	6 Months Ended
	Jun. 30, 2016
Mortgage Loans Held for Sale [Abstract]
Mortgage Loans Held for Sale	NOTE 3 – Mortgage Loans Held for Sale Mortgage loans originated and intended for sale in the secondary market are reported as loans held for sale and carried at fair value under the fair value option, which was adopted on April 1, 2016, with changes in fair value recognized in current period earnings. At the date of funding of the mortgage loan held for sale, the funded amount of the loan, the related derivative asset or liability of the associated interest rate lock commitment, less direct loan costs becomes the initial recorded investment in the loan held for sale. Such amount approximates the fair value of the loan. At June 30, 2016, mortgage loans held for sale totaled $14.4 million compared to $4.9 million at December 31, 2015. Mortgage loans held for sale are considered de-recognized, or sold, when the Company surrenders control over the financial assets. Control is considered to have been surrendered when the transferred assets have been isolated from the Company, beyond the reach of the Company and its creditors; the purchaser obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets; and the Company does not maintain effective control over the transferred assets through an agreement that both entitles and obligates the Company to repurchase or redeem the transferred assets before their maturity or the ability to unilaterally cause the holder to return specific assets. Gains and losses from the sale of mortgage loans are recognized based upon the difference between the sales proceeds and carrying value of the related loans upon sale and are recorded in mortgage banking income in the statement of income. Mortgage banking income also includes the unrealized gains and losses associated with the loans held for sale and the realized and unrealized gains and losses from derivatives. Mortgage loans sold to investors by the Company, and which were believed to have met investor and agency underwriting guidelines at the time of sale, may be subject to repurchase or indemnification in the event of specific default by the borrower or subsequent discovery that underwriting standards were not met. The Company may, upon mutual agreement, agree to repurchase the loans or indemnify the investor against future losses on such loans. In such cases, the Company bears any subsequent credit loss on the loans.

Loans and Allowance for Loan Lo

Loans and Allowance for Loan Losses	6 Months Ended
	Jun. 30, 2016
Loans and Allowance for Loan Losses [Abstract]
Loans and Allowance for Loan Losses	NOTE 4 – 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 June 30, 2016 and December 31, 2015. June 30, 2016 December 31, 2015 (dollars in thousands) Amount % of Total Amount % of Total Commercial Owner occupied RE $ 254,266 23.9% $ 236,083 23.5% Non-owner occupied RE 221,922 20.8% 205,604 20.5% Construction 36,107 3.4% 41,751 4.1% Business 186,877 17.5% 171,743 17.1% Total commercial loans 699,172 65.6% 655,181 65.2% Consumer Real estate 193,935 18.2% 174,802 17.4% Home equity 125,618 11.8% 116,563 11.6% Construction 29,742 2.8% 43,318 4.3% Other 17,029 1.6% 15,080 1.5% Total consumer loans 366,324 34.4% 349,763 34.8% Total gross loans, net of deferred fees 1,065,496 100.0% 1,004,944 100.0% Less—allowance for loan losses (14,317 ) (13,629 ) Total loans, net $ 1,051,179 $ 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. June 30, 2016 After one One year but within After five (dollars in thousands) or less five years years Total Commercial Owner occupied RE $ 21,686 124,750 107,830 254,266 Non-owner occupied RE 34,365 132,867 54,690 221,922 Construction 5,348 19,438 11,321 36,107 Business 63,547 93,453 29,877 186,877 Total commercial loans 124,946 370,508 203,718 699,172 Consumer Real estate 28,600 43,763 121,572 193,935 Home equity 4,458 29,940 91,220 125,618 Construction 12,897 1,374 15,471 29,742 Other 6,046 8,608 2,375 17,029 Total consumer loans 52,001 83,685 230,638 366,324 Total gross loans, net of deferred fees $ 176,947 454,193 434,356 1,065,496 Loans maturing after one year with: Fixed interest rates $ 664,294 Floating interest rates 224,255 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. June 30, 2016 Owner Non-owner (dollars in thousands) occupied RE occupied RE Construction Business Total Pass $ 250,609 215,334 36,107 177,228 679,278 Special mention 1,102 975 - 2,511 4,588 Substandard 2,555 5,613 - 7,138 15,306 Doubtful - - - - - $ 254,266 221,922 36,107 186,877 699,172 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. June 30, 2016 Owner Non-owner (dollars in thousands) occupied RE occupied RE Construction Business Total Current $ 253,696 217,120 36,107 185,636 692,559 30-59 days past due 552 296 - 507 1,355 60-89 days past due 18 566 - 4 588 Greater than 90 Days - 3,940 - 730 4,670 $ 254,266 221,922 36,107 186,877 699,172 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 June 30, 2016 and December 31, 2015, loans 30 days or more past due represented 0.70% and 0.66% of the Company’s total loan portfolio, respectively. Commercial loans 30 days or more past due were 0.62% and 0.60% of the Company’s total loan portfolio as of June 30, 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. June 30, 2016 (dollars in thousands) Real estate Home equity Construction Other Total Pass $ 190,628 123,012 29,742 16,552 359,934 Special mention 1,076 1,753 - 302 3,131 Substandard 2,231 853 - 175 3,259 Doubtful - - - - - $ 193,935 125,618 29,742 17,029 366,324 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. June 30, 2016 (dollars in thousands) Real estate Home equity Construction Other Total Current $ 193,344 125,362 29,742 16,986 365,434 30-59 days past due 312 - - 34 346 60-89 days past due 279 - - 9 288 Greater than 90 Days - 256 - - 256 $ 193,935 125,618 29,742 17,029 366,324 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 June 30, 2016 and December 31, 2015, consumer loans 30 days or more past due were 0.08% and 0.06% of total loans, respectively. 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) June 30, 2016 December 31, 2015 Commercial Owner occupied RE $ 453 704 Non-owner occupied RE 3,973 4,170 Construction - - Business 513 779 Consumer Real estate 38 - Home equity 256 258 Construction - - Other - 5 Nonaccruing troubled debt restructurings 479 701 Total nonaccrual loans, including nonaccruing TDRs 5,712 6,617 Other real estate owned 1,960 2,475 Total nonperforming assets $ 7,672 9,092 Nonperforming assets as a percentage of: Total assets 0.59% 0.75% Gross loans 0.72% 0.90% Total loans over 90 days past due 4,926 4,547 Loans over 90 days past due and still accruing - - Accruing troubled debt restructurings $ 8,813 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. June 30, 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 $ 2,015 1,992 1,992 246 Non-owner occupied RE 8,764 5,567 3,814 689 Construction - - - - Business 5,913 5,267 2,078 1,520 Total commercial 16,692 12,826 7,884 2,455 Consumer Real estate 1,151 1,151 1,151 485 Home equity 259 256 - - Construction - - - - Other 294 293 293 161 Total consumer 1,704 1,700 1,444 646 Total $ 18,396 14,526 9,328 3,101 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 June 30, 2016 June 30, 2015 Average Recognized Average Recognized recorded interest recorded interest (dollars in thousands) investment income investment income Commercial Owner occupied RE $ 1,994 21 1,292 10 Non-owner occupied RE 5,582 35 5,153 24 Construction - - 1,935 23 Business 5,272 54 4,194 33 Total commercial 12,848 110 12,574 90 Consumer Real estate 1,153 12 1,685 12 Home equity 257 1 376 8 Construction - - - - Other 294 5 219 2 Total consumer 1,704 18 2,280 22 Total $ 14,552 128 14,854 112 Six months ended Six months ended Year ended June 30, 2016 June 30, 2015 December 31, 2015 Average Recognized Average Recognized Average Recognized recorded interest recorded interest recorded interest (dollars in thousands) investment income investment income investment income Commercial Owner occupied RE $ 1,999 43 1,236 31 884 6 Non-owner occupied RE 5,642 86 4,942 47 6,137 128 Construction - - 2,198 41 1,888 74 Business 5,315 134 4,318 70 4,067 148 Total commercial 12,956 263 12,694 189 12,976 356 Consumer Real estate 1,155 21 1,664 24 1,112 46 Home equity 257 1 366 9 252 7 Construction - - - - - - Other 295 6 249 4 208 7 Total consumer 1,707 28 2,279 37 1,572 60 Total $ 14,663 291 14,973 226 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: Six months ended June 30, 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 455 (128 ) 55 330 418 101 (101 ) 70 1,200 Loan charge-offs (5 ) (75 ) (42 ) (348 ) (187 ) (7 ) - (115 ) (779 ) Loan recoveries - 27 - 237 - - - 3 267 Net loan charge-offs (5 ) (48 ) (42 ) (111 ) (187 ) (7 ) - (112 ) (512 ) Balance, end of period $ 2,797 3,011 351 4,019 2,301 1,296 212 330 14,317 Net charge-offs to average loans (annualized) 0.10% Allowance for loan losses to gross loans 1.34% Allowance for loan losses to nonperforming loans 250.63% Six months ended June 30, 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 643 574 (216 ) 272 263 131 36 (78 ) 1,625 Loan charge-offs (24 ) (204 ) - (218 ) (39 ) (13 ) - (1 ) (499 ) Loan recoveries - 6 - 42 - 1 - - 49 Net loan charge-offs (24 ) (198 ) - (176 ) (39 ) (12 ) - (1 ) (450 ) Balance, end of period $ 2,264 2,708 398 3,721 1,938 1,281 272 345 12,927 Net charge-offs to average loans (annualized) 0.10% Allowance for loan losses to gross loans 1.34% Allowance for loan losses to nonperforming loans 193.73% The following table disaggregates the allowance for loan losses and recorded investment in loans by impairment methodology. June 30, 2016 Allowance for loan losses Recorded investment in loans (dollars in thousands) Commercial Consumer Total Commercial Consumer Total Individually evaluated $ 2,455 646 3,101 12,826 1,700 14,526 Collectively evaluated 7,723 3,493 11,216 686,346 364,624 1,050,970 Total $ 10,178 4,139 14,317 699,172 366,324 1,065,496 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	6 Months Ended
	Jun. 30, 2016
Troubled Debt Restructurings [Abstract]
Troubled Debt Restructurings	NOTE 5 – Troubled Debt Restructurings At June 30, 2016, the Company had 27 loans totaling $9.3 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 six months ended June 30, 2016 and 2015, respectively. For the six months ended June 30, 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 Business 1 - - - 1 $ 2,381 $ 2,381 Consumer Other 2 - - - 2 110 114 Total loans 3 - - - 3 $ 2,491 $ 2,495 For the six months ended June 30, 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 Non-owner occupied RE 1 - - 1 2 $ 112 $ 112 Business - - - 1 1 21 21 Total loans 1 - - 2 3 $ 133 $ 133 As of June 30, 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.

Derivative Financial Instrument

Derivative Financial Instruments	6 Months Ended
	Jun. 30, 2016
Derivative Financial Instruments [Abstract]
Derivative Financial Instruments	NOTE 6 – Derivative Financial Instruments The Company utilizes derivative financial instruments primarily to hedge its exposure to changes in interest rates. All derivative financial instruments are recognized as either assets or liabilities and measured at fair value. The Company accounts for all of its derivatives as free-standing derivatives and does not designate any of these instruments for hedge accounting. Therefore, the gain or loss resulting from the change in the fair value of the derivative is recognized in the Company’s statement of income during the period of change. The Company enters into commitments to originate residential mortgage loans held for sale, at specified interest rates and within a specified period of time, with clients who have applied for a loan and meet certain credit and underwriting criteria (interest rate lock commitments). These interest rate lock commitments (“IRLCs”) meet the definition of a derivative financial instrument and are reflected in the balance sheet at fair value with changes in fair value recognized in current period earnings. Unrealized gains and losses on the IRLCs are recorded as derivative assets and derivative liabilities, respectively, and are measured based on the value of the underlying mortgage loan, quoted mortgage-backed securities (“MBS”) prices and an estimate of the probability that the mortgage loan will fund within the terms of the interest rate lock commitment, net of estimated commission expenses. The Company manages the interest rate and price risk associated with its outstanding IRLCs and mortgage loans held for sale by entering into derivative instruments such as forward sales of MBS. Management expects these derivatives will experience changes in fair value opposite to changes in fair value of the IRLCs and mortgage loans held for sale, thereby reducing earnings volatility. The Company takes into account various factors and strategies in determining the portion of the mortgage pipeline (IRLCs and mortgage loans held for sale) it wants to economically hedge. The following table summarizes the Company’s outstanding financial derivative instruments as of June 30, 2016. Derivative financial instruments were not material at December 31, 2015. Fair Value (dollars in thousands) Notional Balance Sheet Location Asset/(Liability) Mortgage loan interest rate lock commitments $ 36,304 Other assets $ 673 MBS forward sales commitments 24,000 Other assets (241 ) Total derivative financial instruments $ 60,304 $ 432

Fair Value Accounting

Fair Value Accounting	6 Months Ended
	Jun. 30, 2016
Fair Value Accounting [Abstract]
Fair Value Accounting	NOTE 7 – 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. Mortgage Loans Held for Sale Loans held for sale include mortgage loans which are saleable into the secondary mortgage markets and their fair values are estimated using observable quoted market or contracted prices or market price equivalents, which would be used by other market participants. These saleable loans are considered Level 2. 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 June 30, 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. Derivative Financial Instruments The Company estimates the fair value of IRLCs based on the value of the underlying mortgage loan, quoted MBS prices and an estimate of the probability that the mortgage loan will fund within the terms of the IRLC, net of commission expenses (Level 2). The Company estimates the fair value of forward sales commitments based on quoted MBS prices (Level 2). 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 June 30, 2016 and December 31, 2015. June 30, 2016 (dollars in thousands) Level 1 Level 2 Level 3 Total Assets Securities available for sale US government agencies $ - 8,803 - 8,803 SBA securities - 6,086 - 6,086 State and political subdivisions - 22,906 - 22,906 Mortgage-backed securities - 46,725 - 46,725 Interest rate lock commitments - 673 - 673 Total assets measured at fair value on a recurring basis $ - 85,196 - 85,196 Liabilities MBS forward sales commitments $ - 241 - 241 Total liabilities measured at fair value on a recurring basis $ - 241 - 241 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 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 June 30, 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 June 30, 2016 and December 31, 2015. As of June 30, 2016 (dollars in thousands) Level 1 Level 2 Level 3 Total Assets Impaired loans $ - 7,527 3,898 11,425 Other real estate owned - 1,847 113 1,960 Total assets measured at fair value on a nonrecurring basis $ - 9,374 4,011 13,385 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 June 30, 2016 and December 31, 2015. For Level 3 assets and liabilities measured at fair value on a recurring or nonrecurring basis as of June 30, 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 June 30, 2016 and December 31, 2015 are as follows: June 30, 2016 Carrying Fair (dollars in thousands) Amount Value Level 1 Level 2 Level 3 Financial Assets: Other investments, at cost $ 5,749 5,749 - - 5,749 Mortgage loans held for sale 14,367 14,367 - 14,367 - Loans, net 1,051,179 1,052,204 - 7,527 1,044,677 Financial Liabilities: Deposits 1,049,124 996,177 - 996,177 - FHLB and other borrowings 115,200 117,086 - 117,086 - Junior subordinated debentures 13,403 11,401 - 11,401 - December 31, 2015 Carrying Fair Amount Value Level 1 Level 2 Level 3 Financial Assets: Other investments, at cost $ 5,532 5,532 - - 5,532 Mortgage 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	6 Months Ended
	Jun. 30, 2016
Earnings Per Common Share [Abstract]
Earnings Per Common Share	NOTE 8 – Earnings Per Common Share The following schedule reconciles the numerators and denominators of the basic and diluted earnings per share computations for the three and six month periods ended June 30, 2016 and 2015. Dilutive common shares arise from the potentially dilutive effect of the Company’s stock options that were outstanding at June 30, 2016. The assumed conversion of stock options can create a difference between basic and dilutive net income per common share. At June 30, 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 Six months ended June 30, June 30, (dollars in thousands, except share data) 2016 2015 2016 2015 Numerator: Net income available to common shareholders $ 3,306 2,560 6,312 4,588 Denominator: Weighted-average common shares outstanding – basic 6,301,853 6,233,745 6,287,350 6,229,522 Common stock equivalents 400,967 299,913 395,776 294,795 Weighted-average common shares outstanding – diluted 6,702,820 6,533,658 6,683,126 6,524,317 Earnings per common share: Basic $ 0.52 0.41 1.00 0.74 Diluted $ 0.49 0.39 0.94 0.70

Reportable Segments

Reportable Segments	6 Months Ended
	Jun. 30, 2016
Reportable Segments [Abstract]
Reportable Segments	NOTE 9 – 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 June 30, 2016 Commercial and Retail Mortgage (dollars in thousands) Banking Banking Corporate Eliminations Consolidated Interest income $ 12,410 93 - - 12,503 Interest expense 1,894 - 96 - 1,990 Net interest income (loss) 10,516 93 (96 ) - 10,513 Provision for loan losses 575 - - - 575 Noninterest income 911 2,235 - - 3,146 Noninterest expense 6,698 1,313 (158 ) - 7,853 Net income before taxes 4,154 1,015 62 - 5,231 Income tax (provision) benefit (1,525 ) (387 ) (13 ) - (1,925 ) Net income (loss) $ 2,629 628 49 - 3,306 Total assets $ 1,272,894 15,011 115,810 (113,005 ) 1,290,710 Six months ended June 30, 2016 Commercial and Retail Mortgage (dollars in thousands) Banking Banking Corporate Eliminations Consolidated Interest income $ 24,677 155 1 (1 ) 24,832 Interest expense 3,817 - 196 (1 ) 4,012 Net interest income (loss) 20,860 155 (195 ) - 20,820 Provision for loan losses 1,200 - - - 1,200 Noninterest income 2,022 3,682 - - 5,704 Noninterest expense 13,032 2,214 123 - 15,369 Net income before taxes 8,650 1,623 (318 ) - 9,955 Income tax (provision) benefit (3,090 ) (611 ) 58 - (3,643 ) Net income (loss) $ 5,560 1,012 (260 ) - 6,312 Total assets $ 1,272,894 15,011 115,810 (113,005 ) 1,290,710 Commercial and retail banking. The Company’s primary business is to provide traditional deposit and lending products and services to its commercial and retail banking clients. 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 17

Nature of Business and Basis of Presentation (Policies)	6 Months Ended
	Jun. 30, 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 and six month periods ended June 30, 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.
Initial Adoption of Fair Value Option	Initial Adoption of Fair Value Option In accordance with ASC 825-10 – Financial Instruments , the Company adopted the fair value option for mortgage loans held for sale beginning on April 1, 2016. ASC 825-10 allows the Company to measure eligible financial assets and liabilities at fair value that are not otherwise required to be measured at fair value and to offset changes in the fair values of derivative instruments and the related hedged item by selecting the fair value option for the hedged item. Unrealized gains and losses on items for which the fair value option has been elected are reported in earnings at each subsequent reporting date. Prior to adoption, mortgage loans held for sale were carried at the lower of cost or fair value.

Investment Securities (Tables)

Investment Securities (Tables)	6 Months Ended
	Jun. 30, 2016
Investment Securities [Abstract]
Summary of amortized costs and fair value of investment securities	June 30, 2016 Amortized Gross Unrealized Fair (dollars in thousands) Cost Gains Losses Value Available for sale US government agencies $ 8,627 176 - 8,803 SBA securities 6,095 6 15 6,086 State and political subdivisions 22,056 850 - 22,906 Mortgage-backed securities 46,299 483 57 46,725 Total investment securities available for sale $ 83,077 1,515 72 84,520 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	June 30, 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 $ - - 2,024 1.34% 6,779 2.22% - - 8,803 2.02% SBA securities - - - - - - 6,086 1.74% 6,086 1.74% State and political subdivisions - - 2,230 1.69% 13,173 2.30% 7,503 2.88% 22,906 2.43% Mortgage-backed securities - - - - 9,247 1.44% 37,478 1.81% 46,725 1.74% Total $ - - 4,254 1.53% 29,199 2.01% 51,067 1.95% 84,520 1.95% 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	June 30, 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 SBA securities 1 $ 1,520 $ 4 1 $ 1,537 $ 11 2 $ 3,057 $ 15 State and political subdivisions - - - - - - - - - Mortgage-backed securities 1 2,141 21 1 2,382 36 2 4,523 57 Total 2 $ 3,661 $ 25 2 $ 3,919 $ 47 4 $ 7,580 $ 72 December 31, 2015 Less than 12 months 12 months or longer Total Fair Unrealized Fair Unrealized Fair Unrealized # 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) June 30, 2016 December 31, 2015 Federal Home Loan Bank stock $ 5,173 5,005 Investment in Trust Preferred securities 403 403 Other investments 173 124 Total other investments $ 5,749 5,532

Loans and Allowance for Loan 19

Loans and Allowance for Loan Losses (Tables)	6 Months Ended
	Jun. 30, 2016
Financing Receivable, Allowance for Credit Losses [Line Items]
Summary of composition of loan portfolio	June 30, 2016 December 31, 2015 (dollars in thousands) Amount % of Total Amount % of Total Commercial Owner occupied RE $ 254,266 23.9% $ 236,083 23.5% Non-owner occupied RE 221,922 20.8% 205,604 20.5% Construction 36,107 3.4% 41,751 4.1% Business 186,877 17.5% 171,743 17.1% Total commercial loans 699,172 65.6% 655,181 65.2% Consumer Real estate 193,935 18.2% 174,802 17.4% Home equity 125,618 11.8% 116,563 11.6% Construction 29,742 2.8% 43,318 4.3% Other 17,029 1.6% 15,080 1.5% Total consumer loans 366,324 34.4% 349,763 34.8% Total gross loans, net of deferred fees 1,065,496 100.0% 1,004,944 100.0% Less—allowance for loan losses (14,317 ) (13,629 ) Total loans, net $ 1,051,179 $ 991,315
Summary of loan maturity distribution by type and related interest rate	June 30, 2016 After one One year but within After five (dollars in thousands) or less five years years Total Commercial Owner occupied RE $ 21,686 124,750 107,830 254,266 Non-owner occupied RE 34,365 132,867 54,690 221,922 Construction 5,348 19,438 11,321 36,107 Business 63,547 93,453 29,877 186,877 Total commercial loans 124,946 370,508 203,718 699,172 Consumer Real estate 28,600 43,763 121,572 193,935 Home equity 4,458 29,940 91,220 125,618 Construction 12,897 1,374 15,471 29,742 Other 6,046 8,608 2,375 17,029 Total consumer loans 52,001 83,685 230,638 366,324 Total gross loans, net of deferred fees $ 176,947 454,193 434,356 1,065,496 Loans maturing after one year with: Fixed interest rates $ 664,294 Floating interest rates 224,255 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) June 30, 2016 December 31, 2015 Commercial Owner occupied RE $ 453 704 Non-owner occupied RE 3,973 4,170 Construction - - Business 513 779 Consumer Real estate 38 - Home equity 256 258 Construction - - Other - 5 Nonaccruing troubled debt restructurings 479 701 Total nonaccrual loans, including nonaccruing TDRs 5,712 6,617 Other real estate owned 1,960 2,475 Total nonperforming assets $ 7,672 9,092 Nonperforming assets as a percentage of: Total assets 0.59% 0.75% Gross loans 0.72% 0.90% Total loans over 90 days past due 4,926 4,547 Loans over 90 days past due and still accruing - - Accruing troubled debt restructurings $ 8,813 7,266
Summary of key information for impaired loans	June 30, 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 $ 2,015 1,992 1,992 246 Non-owner occupied RE 8,764 5,567 3,814 689 Construction - - - - Business 5,913 5,267 2,078 1,520 Total commercial 16,692 12,826 7,884 2,455 Consumer Real estate 1,151 1,151 1,151 485 Home equity 259 256 - - Construction - - - - Other 294 293 293 161 Total consumer 1,704 1,700 1,444 646 Total $ 18,396 14,526 9,328 3,101 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
Summary of average recorded investment and interest income recognized on impaired loans	Three months ended Three months ended June 30, 2016 June 30, 2015 Average Recognized Average Recognized recorded interest recorded interest (dollars in thousands) investment income investment income Commercial Owner occupied RE $ 1,994 21 1,292 10 Non-owner occupied RE 5,582 35 5,153 24 Construction - - 1,935 23 Business 5,272 54 4,194 33 Total commercial 12,848 110 12,574 90 Consumer Real estate 1,153 12 1,685 12 Home equity 257 1 376 8 Construction - - - - Other 294 5 219 2 Total consumer 1,704 18 2,280 22 Total $ 14,552 128 14,854 112 Six months ended Six months ended Year ended June 30, 2016 June 30, 2015 December 31, 2015 Average Recognized Average Recognized Average Recognized recorded interest recorded interest recorded interest (dollars in thousands) investment income investment income investment income Commercial Owner occupied RE $ 1,999 43 1,236 31 884 6 Non-owner occupied RE 5,642 86 4,942 47 6,137 128 Construction - - 2,198 41 1,888 74 Business 5,315 134 4,318 70 4,067 148 Total commercial 12,956 263 12,694 189 12,976 356 Consumer Real estate 1,155 21 1,664 24 1,112 46 Home equity 257 1 366 9 252 7 Construction - - - - - - Other 295 6 249 4 208 7 Total consumer 1,707 28 2,279 37 1,572 60 Total $ 14,663 291 14,973 226 14,548 416
Summary of allowance for loan losses by commercial and consumer portfolio segments	Six months ended June 30, 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 455 (128 ) 55 330 418 101 (101 ) 70 1,200 Loan charge-offs (5 ) (75 ) (42 ) (348 ) (187 ) (7 ) - (115 ) (779 ) Loan recoveries - 27 - 237 - - - 3 267 Net loan charge-offs (5 ) (48 ) (42 ) (111 ) (187 ) (7 ) - (112 ) (512 ) Balance, end of period $ 2,797 3,011 351 4,019 2,301 1,296 212 330 14,317 Net charge-offs to average loans (annualized) 0.10% Allowance for loan losses to gross loans 1.34% Allowance for loan losses to nonperforming loans 250.63% Six months ended June 30, 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 643 574 (216 ) 272 263 131 36 (78 ) 1,625 Loan charge-offs (24 ) (204 ) - (218 ) (39 ) (13 ) - (1 ) (499 ) Loan recoveries - 6 - 42 - 1 - - 49 Net loan charge-offs (24 ) (198 ) - (176 ) (39 ) (12 ) - (1 ) (450 ) Balance, end of period $ 2,264 2,708 398 3,721 1,938 1,281 272 345 12,927 Net charge-offs to average loans (annualized) 0.10% Allowance for loan losses to gross loans 1.34% Allowance for loan losses to nonperforming loans 193.73%
Summary of allowance for loan losses and recorded investment in loans by impairment methodology	June 30, 2016 Allowance for loan losses Recorded investment in loans (dollars in thousands) Commercial Consumer Total Commercial Consumer Total Individually evaluated $ 2,455 646 3,101 12,826 1,700 14,526 Collectively evaluated 7,723 3,493 11,216 686,346 364,624 1,050,970 Total $ 10,178 4,139 14,317 699,172 366,324 1,065,496 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	June 30, 2016 Owner Non-owner (dollars in thousands) occupied RE occupied RE Construction Business Total Pass $ 250,609 215,334 36,107 177,228 679,278 Special mention 1,102 975 - 2,511 4,588 Substandard 2,555 5,613 - 7,138 15,306 Doubtful - - - - - $ 254,266 221,922 36,107 186,877 699,172 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
Summary of outstanding loans which include loans on nonaccrual by past due status	June 30, 2016 Owner Non-owner (dollars in thousands) occupied RE occupied RE Construction Business Total Current $ 253,696 217,120 36,107 185,636 692,559 30-59 days past due 552 296 - 507 1,355 60-89 days past due 18 566 - 4 588 Greater than 90 Days - 3,940 - 730 4,670 $ 254,266 221,922 36,107 186,877 699,172 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	June 30, 2016 (dollars in thousands) Real estate Home equity Construction Other Total Pass $ 190,628 123,012 29,742 16,552 359,934 Special mention 1,076 1,753 - 302 3,131 Substandard 2,231 853 - 175 3,259 Doubtful - - - - - $ 193,935 125,618 29,742 17,029 366,324 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
Summary of outstanding loans which include loans on nonaccrual by past due status	June 30, 2016 (dollars in thousands) Real estate Home equity Construction Other Total Current $ 193,344 125,362 29,742 16,986 365,434 30-59 days past due 312 - - 34 346 60-89 days past due 279 - - 9 288 Greater than 90 Days - 256 - - 256 $ 193,935 125,618 29,742 17,029 366,324 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)	6 Months Ended
	Jun. 30, 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 six months ended June 30, 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 Business 1 - - - 1 $ 2,381 $ 2,381 Consumer Other 2 - - - 2 110 114 Total loans 3 - - - 3 $ 2,491 $ 2,495 For the six months ended June 30, 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 Non-owner occupied RE 1 - - 1 2 $ 112 $ 112 Business - - - 1 1 21 21 Total loans 1 - - 2 3 $ 133 $ 133

Derivative Financial Instrume21

Derivative Financial Instruments (Tables)	6 Months Ended
	Jun. 30, 2016
Derivative Financial Instruments [Abstract]
Schedule of outstanding financial derivative instruments	Fair Value (dollars in thousands) Notional Balance Sheet Location Asset/(Liability) Mortgage loan interest rate lock commitments $ 36,304 Other assets $ 673 MBS forward sales commitments 24,000 Other assets (241 ) Total derivative financial instruments $ 60,304 $ 432

Fair Value Accounting (Tables)

Fair Value Accounting (Tables)	6 Months Ended
	Jun. 30, 2016
Fair Value Accounting [Abstract]
Schedule of assets and liabilities measured at fair value on recurring basis	June 30, 2016 (dollars in thousands) Level 1 Level 2 Level 3 Total Assets Securities available for sale US government agencies $ - 8,803 - 8,803 SBA securities - 6,086 - 6,086 State and political subdivisions - 22,906 - 22,906 Mortgage-backed securities - 46,725 - 46,725 Interest rate lock commitments - 673 - 673 Total assets measured at fair value on a recurring basis $ - 85,196 - 85,196 Liabilities MBS forward sales commitments $ - 241 - 241 Total liabilities measured at fair value on a recurring basis $ - 241 - 241 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 June 30, 2016 (dollars in thousands) Level 1 Level 2 Level 3 Total Assets Impaired loans $ - 7,527 3,898 11,425 Other real estate owned - 1,847 113 1,960 Total assets measured at fair value on a nonrecurring basis $ - 9,374 4,011 13,385 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	June 30, 2016 Carrying Fair (dollars in thousands) Amount Value Level 1 Level 2 Level 3 Financial Assets: Other investments, at cost $ 5,749 5,749 - - 5,749 Mortgage loans held for sale 14,367 14,367 - 14,367 - Loans, net 1,051,179 1,052,204 - 7,527 1,044,677 Financial Liabilities: Deposits 1,049,124 996,177 - 996,177 - FHLB and other borrowings 115,200 117,086 - 117,086 - Junior subordinated debentures 13,403 11,401 - 11,401 - December 31, 2015 Carrying Fair Amount Value Level 1 Level 2 Level 3 Financial Assets: Other investments, at cost $ 5,532 5,532 - - 5,532 Mortgage 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)	6 Months Ended
	Jun. 30, 2016
Earnings Per Common Share [Abstract]
Schedule of earnings per share reconciliation	Three months ended Six months ended June 30, June 30, (dollars in thousands, except share data) 2016 2015 2016 2015 Numerator: Net income available to common shareholders $ 3,306 2,560 6,312 4,588 Denominator: Weighted-average common shares outstanding – basic 6,301,853 6,233,745 6,287,350 6,229,522 Common stock equivalents 400,967 299,913 395,776 294,795 Weighted-average common shares outstanding – diluted 6,702,820 6,533,658 6,683,126 6,524,317 Earnings per common share: Basic $ 0.52 0.41 1.00 0.74 Diluted $ 0.49 0.39 0.94 0.70

Reportable Segments (Tables)

Reportable Segments (Tables)	6 Months Ended
	Jun. 30, 2016
Reportable Segments [Abstract]
Schedule of financial information for each reportable segment	Three months ended June 30, 2016 Commercial and Retail Mortgage (dollars in thousands) Banking Banking Corporate Eliminations Consolidated Interest income $ 12,410 93 - - 12,503 Interest expense 1,894 - 96 - 1,990 Net interest income (loss) 10,516 93 (96 ) - 10,513 Provision for loan losses 575 - - - 575 Noninterest income 911 2,235 - - 3,146 Noninterest expense 6,698 1,313 (158 ) - 7,853 Net income before taxes 4,154 1,015 62 - 5,231 Income tax (provision) benefit (1,525 ) (387 ) (13 ) - (1,925 ) Net income (loss) $ 2,629 628 49 - 3,306 Total assets $ 1,272,894 15,011 115,810 (113,005 ) 1,290,710 Six months ended June 30, 2016 Commercial and Retail Mortgage (dollars in thousands) Banking Banking Corporate Eliminations Consolidated Interest income $ 24,677 155 1 (1 ) 24,832 Interest expense 3,817 - 196 (1 ) 4,012 Net interest income (loss) 20,860 155 (195 ) - 20,820 Provision for loan losses 1,200 - - - 1,200 Noninterest income 2,022 3,682 - - 5,704 Noninterest expense 13,032 2,214 123 - 15,369 Net income before taxes 8,650 1,623 (318 ) - 9,955 Income tax (provision) benefit (3,090 ) (611 ) 58 - (3,643 ) Net income (loss) $ 5,560 1,012 (260 ) - 6,312 Total assets $ 1,272,894 15,011 115,810 (113,005 ) 1,290,710

Investment Securities (Details)

Investment Securities (Details) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2016	Dec. 31, 2015
Available for sale
Total investment securities available for sale, Amortized Cost	$ 83,077	$ 89,945
Total investment securities available for sale, Gross Unrealized Gains	1,515	717
Total investment securities available for sale, Gross Unrealized Losses	72	723
Available-for-sale securities, investment securities, Fair Value	84,520	89,939
US Government agencies [Member]
Available for sale
Total investment securities available for sale, Amortized Cost	8,627	14,711
Total investment securities available for sale, Gross Unrealized Gains	176	1
Total investment securities available for sale, Gross Unrealized Losses		113
Available-for-sale securities, investment securities, Fair Value	8,803	14,599
SBA securities [Member]
Available for sale
Total investment securities available for sale, Amortized Cost	6,095	6,410
Total investment securities available for sale, Gross Unrealized Gains	6
Total investment securities available for sale, Gross Unrealized Losses	15	133
Available-for-sale securities, investment securities, Fair Value	6,086	6,277
State and political subdivisions [Member]
Available for sale
Total investment securities available for sale, Amortized Cost	22,056	21,771
Total investment securities available for sale, Gross Unrealized Gains	850	525
Total investment securities available for sale, Gross Unrealized Losses		37
Available-for-sale securities, investment securities, Fair Value	22,906	22,259
Mortgage-backed securities [Member]
Available for sale
Total investment securities available for sale, Amortized Cost	46,299	47,053
Total investment securities available for sale, Gross Unrealized Gains	483	191
Total investment securities available for sale, Gross Unrealized Losses	57	440
Available-for-sale securities, investment securities, Fair Value	$ 46,725	$ 46,804

Investment Securities (Details

Investment Securities (Details 1) - USD ($) $ in Thousands	Jun. 30, 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	$ 4,254	$ 4,613
Available-for-sale Securities, Contractual Maturities, One to five years, Yield	1.53%	1.73%
Available-for-sale Securities, Contractual Maturities, Five to ten years, Value	$ 29,199	$ 30,784
Available-for-sale Securities, Contractual Maturities, Five to ten years, Yield	2.01%	2.31%
Available-for-sale Securities, Contractual Maturities, Over ten years, Value	$ 51,067	$ 54,542
Available-for-sale Securities, Contractual Maturities, Over ten years, Yield	1.95%	2.18%
Investment securities available for sale, Value	$ 84,520	$ 89,939
Available-for-sale Securities, Contractual Securities, Yield Total	1.95%	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	$ 2,024	$ 4,149
Available-for-sale Securities, Contractual Maturities, One to five years, Yield	1.34%	1.74%
Available-for-sale Securities, Contractual Maturities, Five to ten years, Value	$ 6,779	$ 8,704
Available-for-sale Securities, Contractual Maturities, Five to ten years, Yield	2.22%	2.49%
Available-for-sale Securities, Contractual Maturities, Over ten years, Value		$ 1,746
Available-for-sale Securities, Contractual Maturities, Over ten years, Yield		3.03%
Investment securities available for sale, Value	$ 8,803	$ 14,599
Available-for-sale Securities, Contractual Securities, Yield Total	2.02%	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	$ 6,086	$ 6,277
Available-for-sale Securities, Contractual Maturities, Over ten years, Yield	1.74%	1.79%
Investment securities available for sale, Value	$ 6,086	$ 6,277
Available-for-sale Securities, Contractual Securities, Yield Total	1.74%	1.79%
State 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	$ 2,230	$ 464
Available-for-sale Securities, Contractual Maturities, One to five years, Yield	1.69%	1.63%
Available-for-sale Securities, Contractual Maturities, Five to ten years, Value	$ 13,173	$ 14,032
Available-for-sale Securities, Contractual Maturities, Five to ten years, Yield	2.30%	2.64%
Available-for-sale Securities, Contractual Maturities, Over ten years, Value	$ 7,503	$ 7,763
Available-for-sale Securities, Contractual Maturities, Over ten years, Yield	2.88%	2.84%
Investment securities available for sale, Value	$ 22,906	$ 22,259
Available-for-sale Securities, Contractual Securities, Yield Total	2.43%	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	$ 9,247	$ 8,048
Available-for-sale Securities, Contractual Maturities, Five to ten years, Yield	1.44%	1.56%
Available-for-sale Securities, Contractual Maturities, Over ten years, Value	$ 37,478	$ 38,756
Available-for-sale Securities, Contractual Maturities, Over ten years, Yield	1.81%	2.08%
Investment securities available for sale, Value	$ 46,725	$ 46,804
Available-for-sale Securities, Contractual Securities, Yield Total	1.74%	1.99%

Investment Securities (Detail27

Investment Securities (Details 2) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 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	2	43
Available-for-sale Securities, Less than 12 months, Fair Value	$ 3,661	$ 56,846
Available-for-sale Securities, Less than 12 months, Unrealized losses	$ 25	$ 570
Number of investments, 12 months or longer | Investment	2	5
Available-for-sale Securities, 12 months or longer, Fair Value	$ 3,919	$ 5,911
Available-for-sale Securities, 12 Months or longer, Unrealized losses	$ 47	$ 153
Number of investments, Total | Investment	4	48
Available-for-sale Securities, Fair Value, Total	$ 7,580	$ 62,757
Available-for-sale Securities, Unrealized losses, Total	$ 72	$ 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	$ 1,520
Available-for-sale Securities, Less than 12 months, Unrealized losses	$ 4
Number of investments, 12 months or longer | Investment	1	2
Available-for-sale Securities, 12 months or longer, Fair Value	$ 1,537	$ 4,691
Available-for-sale Securities, 12 Months or longer, Unrealized losses	$ 11	$ 133
Number of investments, Total | Investment	2	2
Available-for-sale Securities, Fair Value, Total	$ 3,057	$ 4,691
Available-for-sale Securities, Unrealized losses, Total	$ 15	$ 133
State 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		7
Available-for-sale Securities, Less than 12 months, Fair Value		$ 3,125
Available-for-sale Securities, Less than 12 months, Unrealized losses		$ 17
Number of investments, 12 months or longer | Investment		3
Available-for-sale Securities, 12 months or longer, Fair Value		$ 1,220
Available-for-sale Securities, 12 Months or longer, Unrealized losses		$ 20
Number of investments, Total | Investment		10
Available-for-sale Securities, Fair Value, Total		$ 4,345
Available-for-sale Securities, Unrealized losses, Total		$ 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	1	27
Available-for-sale Securities, Less than 12 months, Fair Value	$ 2,141	$ 40,868
Available-for-sale Securities, Less than 12 months, Unrealized losses	$ 21	$ 440
Number of investments, 12 months or longer | Investment	1
Available-for-sale Securities, 12 months or longer, Fair Value	$ 2,382
Available-for-sale Securities, 12 Months or longer, Unrealized losses	$ 36
Number of investments, Total | Investment	2	27
Available-for-sale Securities, Fair Value, Total	$ 4,523	$ 40,868
Available-for-sale Securities, Unrealized losses, Total	$ 57	$ 440

Investment Securities (Detail28

Investment Securities (Details 3) - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Other investments
Federal Home Loan Bank stock	$ 5,173	$ 5,005
Investment in Trust Preferred securities	403	403
Other investments	173	124
Total other investments	$ 5,749	$ 5,532

Investment Securities (Detail29

Investment Securities (Details Textual) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2016USD ($)Investment	Jun. 30, 2015USD ($)	Jun. 30, 2016USD ($)Investment	Jun. 30, 2015USD ($)	Dec. 31, 2015USD ($)Investment
Investment Securities (Textual)
Sale of investment securities			$ 19,800
Gain on sale of investment securities	$ 19	$ 36	$ 325	$ 295
Number of investments, Less than 12 months | Investment	2		2		43
Fair Market Value, 12 months or longer	$ 3,900		$ 3,900
Number of investments, 12 months or longer | Investment	2		2		5
Fair Market Value, less than 12 months	$ 3,700		$ 3,700
Securities pledged as collateral for repurchase agreements from brokers	19,200		19,200		$ 21,300
Securities pledged to secure client deposit	$ 16,700		$ 16,700		$ 11,100

Mortgage Loans Held for Sale (D

Mortgage Loans Held for Sale (Details) - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Mortgage Loans Held for Sale (Textual)
Mortgage loans held for sale, fair value	$ 14,367	$ 4,943

Loans and Allowance for Loan 31

Loans and Allowance for Loan Losses (Details) - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Composition of loan portfolio
Total gross loans, net of deferred fees	$ 1,065,496	$ 1,004,944
Less allowance for loan losses	(14,317)	(13,629)
Total loans, net	$ 1,051,179	$ 991,315
Total gross loans, net of deferred fees, (Percentage)	100.00%	100.00%
Commercial [Member]
Composition of loan portfolio
Total gross loans, net of deferred fees	$ 699,172	$ 655,181
Total gross loans, net of deferred fees, (Percentage)	65.60%	65.20%
Commercial [Member] | Owner occupied RE [Member]
Composition of loan portfolio
Total gross loans, net of deferred fees	$ 254,266	$ 236,083
Total gross loans, net of deferred fees, (Percentage)	23.90%	23.50%
Commercial [Member] | Non-owner occupied RE [Member]
Composition of loan portfolio
Total gross loans, net of deferred fees	$ 221,922	$ 205,604
Total gross loans, net of deferred fees, (Percentage)	20.80%	20.50%
Commercial [Member] | Construction [Member]
Composition of loan portfolio
Total gross loans, net of deferred fees	$ 36,107	$ 41,751
Total gross loans, net of deferred fees, (Percentage)	3.40%	4.10%
Commercial [Member] | Business [Member]
Composition of loan portfolio
Total gross loans, net of deferred fees	$ 186,877	$ 171,743
Total gross loans, net of deferred fees, (Percentage)	17.50%	17.10%
Consumer [Member]
Composition of loan portfolio
Total gross loans, net of deferred fees	$ 366,324	$ 349,763
Total gross loans, net of deferred fees, (Percentage)	34.40%	34.80%
Consumer [Member] | Real estate [Member]
Composition of loan portfolio
Total gross loans, net of deferred fees	$ 193,935	$ 174,802
Total gross loans, net of deferred fees, (Percentage)	18.20%	17.40%
Consumer [Member] | Home equity [Member]
Composition of loan portfolio
Total gross loans, net of deferred fees	$ 125,618	$ 116,563
Total gross loans, net of deferred fees, (Percentage)	11.80%	11.60%
Consumer [Member] | Construction [Member]
Composition of loan portfolio
Total gross loans, net of deferred fees	$ 29,742	$ 43,318
Total gross loans, net of deferred fees, (Percentage)	2.80%	4.30%
Consumer [Member] | Other [Member]
Composition of loan portfolio
Total gross loans, net of deferred fees	$ 17,029	$ 15,080
Total gross loans, net of deferred fees, (Percentage)	1.60%	1.50%

Loans and Allowance for Loan 32

Loans and Allowance for Loan Losses (Details 1) - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Loan maturity distribution by type and related interest rate
Total gross loans, net of deferred fees, One year or less	$ 176,947	$ 184,786
Total gross loans, net of deferred fees, After one but within five years	454,193	418,434
Total gross loans, net of deferred fees, After five years	434,356	401,724
Total gross loans, net of deferred fees	1,065,496	1,004,944
Loans maturing after one year with fixed interest rates	664,294	612,251
Loans maturing after one year with floating interest rates	224,255	207,907
Commercial [Member]
Loan maturity distribution by type and related interest rate
Total gross loans, net of deferred fees, One year or less	124,946	130,808
Total gross loans, net of deferred fees, After one but within five years	370,508	343,884
Total gross loans, net of deferred fees, After five years	203,718	180,489
Total gross loans, net of deferred fees	699,172	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	21,686	16,836
Total gross loans, net of deferred fees, After one but within five years	124,750	126,156
Total gross loans, net of deferred fees, After five years	107,830	93,091
Total gross loans, net of deferred fees	254,266	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	34,365	40,690
Total gross loans, net of deferred fees, After one but within five years	132,867	111,087
Total gross loans, net of deferred fees, After five years	54,690	53,827
Total gross loans, net of deferred fees	221,922	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	5,348	9,183
Total gross loans, net of deferred fees, After one but within five years	19,438	23,206
Total gross loans, net of deferred fees, After five years	11,321	9,362
Total gross loans, net of deferred fees	36,107	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	63,547	64,099
Total gross loans, net of deferred fees, After one but within five years	93,453	83,435
Total gross loans, net of deferred fees, After five years	29,877	24,209
Total gross loans, net of deferred fees	186,877	171,743
Consumer [Member]
Loan maturity distribution by type and related interest rate
Total gross loans, net of deferred fees, One year or less	52,001	53,978
Total gross loans, net of deferred fees, After one but within five years	83,685	74,550
Total gross loans, net of deferred fees, After five years	230,638	221,235
Total gross loans, net of deferred fees	366,324	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	28,600	28,348
Total gross loans, net of deferred fees, After one but within five years	43,763	35,509
Total gross loans, net of deferred fees, After five years	121,572	110,945
Total gross loans, net of deferred fees	193,935	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	4,458	5,105
Total gross loans, net of deferred fees, After one but within five years	29,940	31,326
Total gross loans, net of deferred fees, After five years	91,220	80,132
Total gross loans, net of deferred fees	125,618	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	12,897	14,095
Total gross loans, net of deferred fees, After one but within five years	1,374	1,445
Total gross loans, net of deferred fees, After five years	15,471	27,778
Total gross loans, net of deferred fees	29,742	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	6,046	6,430
Total gross loans, net of deferred fees, After one but within five years	8,608	6,270
Total gross loans, net of deferred fees, After five years	2,375	2,380
Total gross loans, net of deferred fees	$ 17,029	$ 15,080

Loans and Allowance for Loan 33

Loans and Allowance for Loan Losses (Commercial) (Details 2) - Commercial Loans [Member] - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Outstanding commercial and consumer loans by risk category
Outstanding commercial loans	$ 699,172	$ 655,181
Owner occupied RE [Member]
Outstanding commercial and consumer loans by risk category
Outstanding commercial loans	254,266	236,083
Non-owner occupied RE [Member]
Outstanding commercial and consumer loans by risk category
Outstanding commercial loans	221,922	205,604
Construction [Member]
Outstanding commercial and consumer loans by risk category
Outstanding commercial loans	36,107	41,751
Business [Member]
Outstanding commercial and consumer loans by risk category
Outstanding commercial loans	186,877	171,743
Pass [Member]
Outstanding commercial and consumer loans by risk category
Outstanding commercial loans	679,278	630,202
Pass [Member] | Owner occupied RE [Member]
Outstanding commercial and consumer loans by risk category
Outstanding commercial loans	250,609	230,460
Pass [Member] | Non-owner occupied RE [Member]
Outstanding commercial and consumer loans by risk category
Outstanding commercial loans	215,334	198,144
Pass [Member] | Construction [Member]
Outstanding commercial and consumer loans by risk category
Outstanding commercial loans	36,107	39,678
Pass [Member] | Business [Member]
Outstanding commercial and consumer loans by risk category
Outstanding commercial loans	177,228	161,920
Special mention [Member]
Outstanding commercial and consumer loans by risk category
Outstanding commercial loans	4,588	11,258
Special mention [Member] | Owner occupied RE [Member]
Outstanding commercial and consumer loans by risk category
Outstanding commercial loans	1,102	3,887
Special mention [Member] | Non-owner occupied RE [Member]
Outstanding commercial and consumer loans by risk category
Outstanding commercial loans	975	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	2,511	5,511
Substandard [Member]
Outstanding commercial and consumer loans by risk category
Outstanding commercial loans	15,306	13,721
Substandard [Member] | Owner occupied RE [Member]
Outstanding commercial and consumer loans by risk category
Outstanding commercial loans	2,555	1,736
Substandard [Member] | Non-owner occupied RE [Member]
Outstanding commercial and consumer loans by risk category
Outstanding commercial loans	5,613	5,886
Substandard [Member] | Construction [Member]
Outstanding commercial and consumer loans by risk category
Outstanding commercial loans		1,787
Substandard [Member] | Business [Member]
Outstanding commercial and consumer loans by risk category
Outstanding commercial loans	7,138	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 34

Loans and Allowance for Loan Losses (Consumer) (Details 3) - Consumer Loans [Member] - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Outstanding commercial and consumer loans by risk category
Outstanding consumer loans	$ 366,324	$ 349,763
Pass [Member]
Outstanding commercial and consumer loans by risk category
Outstanding consumer loans	359,934	341,955
Special mention [Member]
Outstanding commercial and consumer loans by risk category
Outstanding consumer loans	3,131	4,394
Substandard [Member]
Outstanding commercial and consumer loans by risk category
Outstanding consumer loans	3,259	3,414
Doubtful [Member]
Outstanding commercial and consumer loans by risk category
Outstanding consumer loans
Real estate [Member]
Outstanding commercial and consumer loans by risk category
Outstanding consumer loans	193,935	174,802
Real estate [Member] | Pass [Member]
Outstanding commercial and consumer loans by risk category
Outstanding consumer loans	190,628	172,589
Real estate [Member] | Special mention [Member]
Outstanding commercial and consumer loans by risk category
Outstanding consumer loans	1,076	961
Real estate [Member] | Substandard [Member]
Outstanding commercial and consumer loans by risk category
Outstanding consumer loans	2,231	1,252
Real estate [Member] | Doubtful [Member]
Outstanding commercial and consumer loans by risk category
Outstanding consumer loans
Home equity [Member]
Outstanding commercial and consumer loans by risk category
Outstanding consumer loans	125,618	116,563
Home equity [Member] | Pass [Member]
Outstanding commercial and consumer loans by risk category
Outstanding consumer loans	123,012	112,080
Home equity [Member] | Special mention [Member]
Outstanding commercial and consumer loans by risk category
Outstanding consumer loans	1,753	3,388
Home equity [Member] | Substandard [Member]
Outstanding commercial and consumer loans by risk category
Outstanding consumer loans	853	1,095
Home equity [Member] | Doubtful [Member]
Outstanding commercial and consumer loans by risk category
Outstanding consumer loans
Construction [Member]
Outstanding commercial and consumer loans by risk category
Outstanding consumer loans	29,742	43,318
Construction [Member] | Pass [Member]
Outstanding commercial and consumer loans by risk category
Outstanding consumer loans	29,742	42,319
Construction [Member] | Special mention [Member]
Outstanding commercial and consumer loans by risk category
Outstanding consumer loans
Construction [Member] | Substandard [Member]
Outstanding commercial and consumer loans by risk category
Outstanding consumer loans		999
Construction [Member] | Doubtful [Member]
Outstanding commercial and consumer loans by risk category
Outstanding consumer loans
Other [Member]
Outstanding commercial and consumer loans by risk category
Outstanding consumer loans	17,029	15,080
Other [Member] | Pass [Member]
Outstanding commercial and consumer loans by risk category
Outstanding consumer loans	16,552	14,967
Other [Member] | Special mention [Member]
Outstanding commercial and consumer loans by risk category
Outstanding consumer loans	302	45
Other [Member] | Substandard [Member]
Outstanding commercial and consumer loans by risk category
Outstanding consumer loans	175	68
Other [Member] | Doubtful [Member]
Outstanding commercial and consumer loans by risk category
Outstanding consumer loans

Loans and Allowance for Loan 35

Loans and Allowance for Loan Losses (Commercial) (Details 4) - Commercial [Member] - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Outstanding commercial and consumer loans and include loans on nonaccrual status as well as accruing TDRs
Current	$ 692,559	$ 649,174
30-59 days past due	1,355	205
60-89 days past due	588	1,513
Greater than 90 Days	4,670	4,289
Total commercial loans	699,172	655,181
Owner occupied RE [Member]
Outstanding commercial and consumer loans and include loans on nonaccrual status as well as accruing TDRs
Current	253,696	235,795
30-59 days past due	552
60-89 days past due	18	43
Greater than 90 Days		245
Total commercial loans	254,266	236,083
Non-owner occupied RE [Member]
Outstanding commercial and consumer loans and include loans on nonaccrual status as well as accruing TDRs
Current	217,120	201,381
30-59 days past due	296
60-89 days past due	566	1,452
Greater than 90 Days	3,940	2,771
Total commercial loans	221,922	205,604
Construction [Member]
Outstanding commercial and consumer loans and include loans on nonaccrual status as well as accruing TDRs
Current	36,107	41,354
30-59 days past due
60-89 days past due
Greater than 90 Days		397
Total commercial loans	36,107	41,751
Business [Member]
Outstanding commercial and consumer loans and include loans on nonaccrual status as well as accruing TDRs
Current	185,636	170,644
30-59 days past due	507	205
60-89 days past due	4	18
Greater than 90 Days	730	876
Total commercial loans	$ 186,877	$ 171,743

Loans and Allowance for Loan 36

Loans and Allowance for Loan Losses (Consumer) (Details 5) - Consumer [Member] - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Outstanding commercial and consumer loans and include loans on nonaccrual status as well as accruing TDRs
Current	$ 365,434	$ 349,133
30-59 days past due	346	333
60-89 days past due	288	39
Greater than 90 Days	256	258
Total consumer loans	366,324	349,763
Real estate [Member]
Outstanding commercial and consumer loans and include loans on nonaccrual status as well as accruing TDRs
Current	193,344	174,576
30-59 days past due	312	187
60-89 days past due	279	39
Greater than 90 Days
Total consumer loans	193,935	174,802
Home equity [Member]
Outstanding commercial and consumer loans and include loans on nonaccrual status as well as accruing TDRs
Current	125,362	116,305
30-59 days past due
60-89 days past due
Greater than 90 Days	256	258
Total consumer loans	125,618	116,563
Construction [Member]
Outstanding commercial and consumer loans and include loans on nonaccrual status as well as accruing TDRs
Current	29,742	43,258
30-59 days past due		60
60-89 days past due
Greater than 90 Days
Total consumer loans	29,742	43,318
Other [Member]
Outstanding commercial and consumer loans and include loans on nonaccrual status as well as accruing TDRs
Current	16,986	14,994
30-59 days past due	34	86
60-89 days past due	9
Greater than 90 Days
Total consumer loans	$ 17,029	$ 15,080

Loans and Allowance for Loan 37

Loans and Allowance for Loan Losses (Details 6) - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Summary of nonperforming assets, including nonaccruing TDRs
Nonaccruing troubled debt restructurings	$ 479	$ 701
Total nonaccrual loans, including nonaccruing TDRs	5,712	6,617
Other real estate owned	1,960	2,475
Total nonperforming assets	$ 7,672	$ 9,092
Nonperforming assets as a percentage of:
Total assets	0.59%	0.75%
Gross loans	0.72%	0.90%
Total loans over 90 days past due	$ 4,926	$ 4,547
Loans over 90 days past due and still accruing
Accruing troubled debt restructurings	8,813	7,266
Commercial [Member] | Owner occupied RE [Member]
Summary of nonperforming assets, including nonaccruing TDRs
Total nonaccrual loans, including nonaccruing TDRs	453	704
Commercial [Member] | Non-owner occupied RE [Member]
Summary of nonperforming assets, including nonaccruing TDRs
Total nonaccrual loans, including nonaccruing TDRs	3,973	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	513	779
Consumer [Member] | Real estate [Member]
Summary of nonperforming assets, including nonaccruing TDRs
Total nonaccrual loans, including nonaccruing TDRs	38
Consumer [Member] | Home equity [Member]
Summary of nonperforming assets, including nonaccruing TDRs
Total nonaccrual loans, including nonaccruing TDRs	256	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 38

Loans and Allowance for Loan Losses (Details 7) - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Summary of key information for impaired loans
Unpaid Principal Balance	$ 18,396	$ 18,301
Impaired loans	14,526	13,883
Impaired loans with related allowance for loan losses	9,328	9,363
Related allowance for loan losses	3,101	4,224
Commercial [Member]
Summary of key information for impaired loans
Unpaid Principal Balance	16,692	16,719
Impaired loans	12,826	12,303
Impaired loans with related allowance for loan losses	7,884	8,357
Related allowance for loan losses	2,455	3,544
Commercial [Member] | Owner occupied RE [Member]
Summary of key information for impaired loans
Unpaid Principal Balance	2,015	964
Impaired loans	1,992	863
Impaired loans with related allowance for loan losses	1,992	863
Related allowance for loan losses	246	260
Commercial [Member] | Non-owner occupied RE [Member]
Summary of key information for impaired loans
Unpaid Principal Balance	8,764	9,144
Impaired loans	5,567	5,792
Impaired loans with related allowance for loan losses	3,814	4,161
Related allowance for loan losses	689	1,321
Commercial [Member] | Construction [Member]
Summary of key information for impaired loans
Unpaid Principal Balance		1,855
Impaired loans		1,787
Impaired loans with related allowance for loan losses		397
Related allowance for loan losses		31
Commercial [Member] | Business [Member]
Summary of key information for impaired loans
Unpaid Principal Balance	5,913	4,756
Impaired loans	5,267	3,861
Impaired loans with related allowance for loan losses	2,078	2,936
Related allowance for loan losses	1,520	1,932
Consumer [Member]
Summary of key information for impaired loans
Unpaid Principal Balance	1,704	1,582
Impaired loans	1,700	1,580
Impaired loans with related allowance for loan losses	1,444	1,006
Related allowance for loan losses	646	680
Consumer [Member] | Real estate [Member]
Summary of key information for impaired loans
Unpaid Principal Balance	1,151	1,121
Impaired loans	1,151	1,121
Impaired loans with related allowance for loan losses	1,151	805
Related allowance for loan losses	485	489
Consumer [Member] | Home equity [Member]
Summary of key information for impaired loans
Unpaid Principal Balance	259	260
Impaired loans	256	258
Impaired loans with related allowance for loan losses
Related allowance for loan losses
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	294	201
Impaired loans	293	201
Impaired loans with related allowance for loan losses	293	201
Related allowance for loan losses	$ 161	$ 191

Loans and Allowance for Loan 39

Loans and Allowance for Loan Losses (Details 8) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015	Dec. 31, 2015
Average recorded investment and interest income recognized on impaired loans
Average recorded investment	$ 14,552	$ 14,854	$ 14,663	$ 14,973	$ 14,548
Recognized interest income	128	112	291	226	416
Commercial [Member]
Average recorded investment and interest income recognized on impaired loans
Average recorded investment	12,848	12,574	12,956	12,694	12,976
Recognized interest income	110	90	263	189	356
Commercial [Member] | Owner occupied RE [Member]
Average recorded investment and interest income recognized on impaired loans
Average recorded investment	1,994	1,292	1,999	1,236	884
Recognized interest income	21	10	43	31	6
Commercial [Member] | Non-owner occupied RE [Member]
Average recorded investment and interest income recognized on impaired loans
Average recorded investment	5,582	5,153	5,642	4,942	6,137
Recognized interest income	35	24	86	47	128
Commercial [Member] | Construction [Member]
Average recorded investment and interest income recognized on impaired loans
Average recorded investment		1,935		2,198	1,888
Recognized interest income		23		41	74
Commercial [Member] | Business [Member]
Average recorded investment and interest income recognized on impaired loans
Average recorded investment	5,272	4,194	5,315	4,318	4,067
Recognized interest income	54	33	134	70	148
Consumer [Member]
Average recorded investment and interest income recognized on impaired loans
Average recorded investment	1,704	2,280	1,707	2,279	1,572
Recognized interest income	18	22	28	37	60
Consumer [Member] | Real estate [Member]
Average recorded investment and interest income recognized on impaired loans
Average recorded investment	1,153	1,685	1,155	1,664	1,112
Recognized interest income	12	12	21	24	46
Consumer [Member] | Home equity [Member]
Average recorded investment and interest income recognized on impaired loans
Average recorded investment	257	376	257	366	252
Recognized interest income	1	8	1	9	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	294	219	295	249	208
Recognized interest income	$ 5	$ 2	$ 6	$ 4	$ 7

Loans and Allowance for Loan 40

Loans and Allowance for Loan Losses (Details 9) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Summary of activity related to our allowance for loan losses
Balance, beginning of period			$ 13,629	$ 11,752
Provision for loan losses	$ 575	$ 1,000	1,200	1,625
Loan charge-offs			(779)	(499)
Loan recoveries			267	49
Net loan charge-offs			(512)	(450)
Balance, end of period	14,317	12,927	$ 14,317	$ 12,927
Net charge-offs to average loans (annualized)			0.10%	0.10%
Allowance for loan losses to gross loans			1.34%	1.34%
Allowance for loan losses to nonperforming loans			250.63%	193.73%
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			455	643
Loan charge-offs			(5)	(24)
Loan recoveries
Net loan charge-offs			(5)	(24)
Balance, end of period	2,797	2,264	2,797	2,264
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			(128)	574
Loan charge-offs			(75)	(204)
Loan recoveries			27	6
Net loan charge-offs			(48)	(198)
Balance, end of period	3,011	2,708	3,011	2,708
Commercial [Member] | Construction [Member]
Summary of activity related to our allowance for loan losses
Balance, beginning of period			338	614
Provision for loan losses			55	(216)
Loan charge-offs			(42)
Loan recoveries
Net loan charge-offs			(42)
Balance, end of period	351	398	351	398
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			330	272
Loan charge-offs			(348)	(218)
Loan recoveries			237	42
Net loan charge-offs			(111)	(176)
Balance, end of period	4,019	3,721	4,019	3,721
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			418	263
Loan charge-offs			(187)	(39)
Loan recoveries
Net loan charge-offs			(187)	(39)
Balance, end of period	2,301	1,938	2,301	1,938
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			101	131
Loan charge-offs			(7)	(13)
Loan recoveries				1
Net loan charge-offs			(7)	(12)
Balance, end of period	1,296	1,281	1,296	1,281
Consumer [Member] | Construction [Member]
Summary of activity related to our allowance for loan losses
Balance, beginning of period			313	236
Provision for loan losses			(101)	36
Loan charge-offs
Loan recoveries
Net loan charge-offs
Balance, end of period	212	272	212	272
Consumer [Member] | Other [Member]
Summary of activity related to our allowance for loan losses
Balance, beginning of period			372	424
Provision for loan losses			70	(78)
Loan charge-offs			(115)	(1)
Loan recoveries			3
Net loan charge-offs			(112)	(1)
Balance, end of period	$ 330	$ 345	$ 330	$ 345

Loans and Allowance for Loan 41

Loans and Allowance for Loan Losses (Details 10) - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Allowance for loan losses and recorded investment in loans by impairment methodology
Allowance for loan losses, Individually evaluated	$ 3,101	$ 4,224
Allowance for loan losses, Collectively evaluated	11,216	9,405
Allowance for loan losses, Total	14,317	13,629
Recorded investment in loans, Individually evaluated	14,526	13,883
Recorded investment in loans, Collectively evaluated	1,050,970	991,061
Total gross loans, net of deferred fees	1,065,496	1,004,944
Commercial [Member]
Allowance for loan losses and recorded investment in loans by impairment methodology
Allowance for loan losses, Individually evaluated	2,455	3,544
Allowance for loan losses, Collectively evaluated	7,723	6,128
Allowance for loan losses, Total	10,178	9,672
Recorded investment in loans, Individually evaluated	12,826	12,303
Recorded investment in loans, Collectively evaluated	686,346	642,878
Total gross loans, net of deferred fees	699,172	655,181
Consumer [Member]
Allowance for loan losses and recorded investment in loans by impairment methodology
Allowance for loan losses, Individually evaluated	646	680
Allowance for loan losses, Collectively evaluated	3,493	3,277
Allowance for loan losses, Total	4,139	3,957
Recorded investment in loans, Individually evaluated	1,700	1,580
Recorded investment in loans, Collectively evaluated	364,624	348,183
Total gross loans, net of deferred fees	$ 366,324	$ 349,763

Loans and Allowance for Loan 42

Loans and Allowance for Loan Losses (Details Textual) - USD ($) $ in Millions	Jun. 30, 2016	Dec. 31, 2015
Loans 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	0.70%	0.66%
Commercial [Member]
Loans and Allowance for Loan Losses (Textual)
Part of loans of 30 days or More past due as a percentage of total loan portfolio	0.62%	0.60%
Consumer [Member]
Loans and Allowance for Loan Losses (Textual)
Part of loans of 30 days or More past due as a percentage of total loan portfolio	0.08%	0.06%

Troubled Debt Restructurings (D

Troubled Debt Restructurings (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2016USD ($)Investment	Jun. 30, 2015USD ($)Investment
Summary of concession at the time of modification and the recorded investment in TDRs before and after their modification
Renewals deemed a concession	3	1
Reduced or deferred payments
Converted to interest only
Maturity date extensions		2
Total number of loans	3	3
Pre-modification outstanding recorded investment | $	$ 2,491	$ 133
Post-modification outstanding recorded investment | $	$ 2,495	$ 133
Commercial [Member] | Non-owner occupied RE [Member]
Summary of concession at the time of modification and the recorded investment in TDRs before and after their modification
Renewals deemed a concession		1
Reduced or deferred payments
Converted to interest only
Maturity date extensions		1
Total number of loans		2
Pre-modification outstanding recorded investment | $		$ 112
Post-modification outstanding recorded investment | $		$ 112
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 a concession	1
Reduced or deferred payments
Converted to interest only
Maturity date extensions		1
Total number of loans	1	1
Pre-modification outstanding recorded investment | $	$ 2,381	$ 21
Post-modification outstanding recorded investment | $	$ 2,381	$ 21
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 a concession	2
Reduced or deferred payments
Converted to interest only
Maturity date extensions
Total number of loans	2
Pre-modification outstanding recorded investment | $	$ 110
Post-modification outstanding recorded investment | $	$ 114

Troubled Debt Restructurings 44

Troubled Debt Restructurings (Details Textual) $ in Millions	6 Months Ended
	Jun. 30, 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) | $	$ 9.3	$ 8
Number of months previous loan payment defaulted	12 months

Derivative Financial Instrume45

Derivative Financial Instruments (Details) $ in Thousands	Jun. 30, 2016USD ($)
Mortgage loan interest rate lock commitments [Member]
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Derivative financial instruments, Notional amount	$ 36,304
Derivative Asset/(Liability), Fair Value	673
MBS forward sales commitments [Member]
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Derivative financial instruments, Notional amount	24,000
Derivative Asset/(Liability), Fair Value	(241)
Total derivative financial instruments [Member]
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Derivative financial instruments, Notional amount	60,304
Derivative Asset/(Liability), Fair Value	$ 432

Fair Value Accounting (Details)

Fair Value Accounting (Details) - Fair Value, Measurements, Recurring [Member] - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Securities available for sale
US government agencies	$ 8,803	$ 14,599
SBA securities	6,086	6,277
State and political subdivisions	22,906	22,259
Mortgage-backed securities	46,725	46,804
Interest rate lock commitments	673
Total assets measured at fair value on a recurring basis	85,196	89,939
Liabilities
MBS forward sales commitments	241
Total liabilities measured at fair value on a recurring basis	241
Fair Value, Level 1 [Member]
Securities available for sale
US government agencies
SBA securities
State and political subdivisions
Mortgage-backed securities
Interest rate lock commitments
Total assets measured at fair value on a recurring basis
Liabilities
MBS forward sales commitments
Total liabilities measured at fair value on a recurring basis
Fair Value, Level 2 [Member]
Securities available for sale
US government agencies	8,803	14,599
SBA securities	6,086	6,277
State and political subdivisions	22,906	22,259
Mortgage-backed securities	46,725	46,804
Interest rate lock commitments	673
Total assets measured at fair value on a recurring basis	85,196	89,939
Liabilities
MBS forward sales commitments	241
Total liabilities measured at fair value on a recurring basis	241
Fair Value, Level 3 [Member]
Securities available for sale
US government agencies
SBA securities
State and political subdivisions
Mortgage-backed securities
Interest rate lock commitments
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	Jun. 30, 2016	Dec. 31, 2015
Assets
Impaired loans	$ 11,425	$ 9,659
Other real estate owned	1,960	2,475
Total assets measured at fair value on a nonrecurring basis	13,385	12,134
Fair Value, Level 1 [Member]
Assets
Impaired loans
Other real estate owned
Total assets measured at fair value on a nonrecurring basis
Fair Value, Level 2 [Member]
Assets
Impaired loans	7,527	9,102
Other real estate owned	1,847	2,208
Total assets measured at fair value on a nonrecurring basis	9,374	11,310
Fair Value, Level 3 [Member]
Assets
Impaired loans	3,898	557
Other real estate owned	113	267
Total assets measured at fair value on a nonrecurring basis	$ 4,011	$ 824

Fair Value Accounting (Detail48

Fair Value Accounting (Details 2)	6 Months Ended
	Jun. 30, 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 (Detail49

Fair Value Accounting (Details 3) - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Financial Assets:
Other investments, Carrying Amount	$ 5,749	$ 5,532
Mortgage Loans held for sale, Carrying Amount	14,367	4,943
Loans, net, Carrying Amount	1,051,179	991,315
Other investments, at cost, Fair Value	5,749	5,532
Mortgage loans held for sale, Fair Value	14,367	4,943
Loans, net, Fair Value	1,052,204	992,379
Financial Liabilities:
Deposits, Carrying Amount	1,049,124	985,733
FHLB and other borrowings, Carrying Amount	115,200	115,200
Junior subordinated debentures, Carrying Amount	13,403	13,403
Deposits, Fair Value	996,177	918,303
FHLB and other borrowings, Fair Value	117,086	117,317
Junior subordinated debentures, Fair Value	11,401	11,511
Fair Value, Level 1 [Member] | Estimate of Fair Value, Fair Value Disclosure [Member]
Financial Assets:
Other investments, at cost, Fair Value
Mortgage 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, Level 2 [Member] | Estimate of Fair Value, Fair Value Disclosure [Member]
Financial Assets:
Other investments, at cost, Fair Value
Mortgage loans held for sale, Fair Value	14,367	4,943
Loans, net, Fair Value	7,527	9,102
Financial Liabilities:
Deposits, Fair Value	996,177	918,303
FHLB and other borrowings, Fair Value	117,086	117,317
Junior subordinated debentures, Fair Value	11,401	11,511
Fair Value, Level 3 [Member] | Estimate of Fair Value, Fair Value Disclosure [Member]
Financial Assets:
Other investments, at cost, Fair Value	5,749	5,532
Mortgage loans held for sale, Fair Value
Loans, net, Fair Value	1,044,677	983,277
Financial Liabilities:
Deposits, Fair Value
FHLB and other borrowings, Fair Value
Junior subordinated debentures, Fair Value

Fair Value Accounting (Detail50

Fair Value Accounting (Details Textual)	6 Months Ended
	Jun. 30, 2016
Fair Value Accounting (Textual)
Percentage of loans collateralize by real estate, description	More than 80%

Earnings Per Common Share (Deta

Earnings Per Common Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Numerator:
Net income available to common shareholders	$ 3,306	$ 2,560	$ 6,312	$ 4,588
Denominator:
Weighted-average common shares outstanding - basic	6,301,853	6,233,745	6,287,350	6,229,522
Common stock equivalents	400,967	299,913	395,776	294,795
Weighted-average common shares outstanding - diluted	6,702,820	6,533,658	6,683,126	6,524,317
Earnings per common share:
Basic	$ 0.52	$ 0.41	$ 1	$ 0.74
Diluted	$ 0.49	$ 0.39	$ 0.94	$ 0.70

Earnings Per Common Share (De52

Earnings Per Common Share (Details Textual) - shares	6 Months Ended
	Jun. 30, 2016	Jun. 30, 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		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015	Dec. 31, 2015
Segment Reporting Information [Line Items]
Interest income	$ 12,503	$ 11,316	$ 24,832	$ 22,117
Interest expense	1,990	1,825	4,012	3,556
Net interest income (loss)	10,513	9,491	20,820	18,561
Provision for loan losses	575	1,000	1,200	1,625
Noninterest income	3,146	2,115	5,704	4,256
Noninterest expense	7,853	6,646	15,369	14,106
Net income before taxes	5,231	3,960	9,955	7,086
Income tax (provision) benefit	(1,925)	(1,400)	(3,643)	(2,498)
Net income (loss)	3,306	$ 2,560	6,312	$ 4,588
Total assets	1,290,710		1,290,710		$ 1,217,293
Commercial and Retail Banking [Member]
Segment Reporting Information [Line Items]
Interest income	12,410		24,677
Interest expense	1,894		3,817
Net interest income (loss)	10,516		20,860
Provision for loan losses	575		1,200
Noninterest income	911		2,022
Noninterest expense	6,698		13,032
Net income before taxes	4,154		8,650
Income tax (provision) benefit	(1,525)		(3,090)
Net income (loss)	2,629		5,560
Total assets	1,272,894		1,272,894
Mortgage Banking [Member]
Segment Reporting Information [Line Items]
Interest income	93		155
Interest expense
Net interest income (loss)	93		155
Provision for loan losses
Noninterest income	2,235		3,682
Noninterest expense	1,313		2,214
Net income before taxes	1,015		1,623
Income tax (provision) benefit	(387)		(611)
Net income (loss)	628		1,012
Total assets	15,011		15,011
Corporate [Member]
Segment Reporting Information [Line Items]
Interest income			1
Interest expense	96		196
Net interest income (loss)	(96)		(195)
Provision for loan losses
Noninterest income
Noninterest expense	(158)		123
Net income before taxes	62		(318)
Income tax (provision) benefit	(13)		58
Net income (loss)	49		(260)
Total assets	115,810		115,810
Eliminations [Member]
Segment Reporting Information [Line Items]
Interest income			(1)
Interest expense			(1)
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	$ (113,005)		$ (113,005)

Reportable Segments (Details Te

Reportable Segments (Details Textual)	6 Months Ended
	Jun. 30, 2016Segments
Reportable Segments (Textual)
Number of segments	3