Document_And_Entity_Informatio
Document And Entity Information (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Mar. 02, 2015 | Jun. 30, 2014 | |
Document Information [Line Items] | |||
Document Type | 10-K | ||
Amendment Flag | FALSE | ||
Document Period End Date | 31-Dec-14 | ||
Document Fiscal Year Focus | 2014 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | CFIS | ||
Entity Registrant Name | COMMUNITY FINANCIAL SHARES INC | ||
Entity Central Index Key | 1123735 | ||
Current Fiscal Year End Date | -19 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Smaller Reporting Company | ||
Entity Common Stock, Shares Outstanding | 10,781,988 | ||
Entity Public Float | $9,411,000 |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
ASSETS | ||
Cash and due from banks | $11,256 | $4,485 |
Interest-bearing deposits | 12,359 | 25,068 |
Cash and cash equivalents | 23,615 | 29,553 |
Interest-bearing time deposits | 0 | 945 |
Securities available for sale | 105,985 | 95,829 |
Loans held for sale | 0 | 804 |
Loans, less allowance for loan losses of $2,442 and $2,500 | 182,573 | 193,451 |
Foreclosed assets | 2,199 | 2,269 |
Federal Home Loan Bank stock | 1,119 | 926 |
Premises and equipment, net | 14,473 | 14,862 |
Cash value of life insurance | 6,857 | 6,644 |
Interest receivable and other assets | 6,191 | 3,688 |
Total assets | 343,012 | 348,971 |
LIABILITIES AND SHAREHOLDERS' EQUITY | ||
Deposits | 305,421 | 315,709 |
Federal Home Loan Bank advances | 2,000 | 4,500 |
Subordinated debentures | 3,609 | 3,609 |
Interest payable and other liabilities | 3,406 | 3,526 |
Total liabilities | 314,436 | 327,344 |
Commitments and contingencies | ||
Shareholders' equity | ||
Common stock - $0.01 par value, 75,000,000 shares authorized; 10,781,988 shares issued and outstanding | 0 | 0 |
Preferred stock - $1.00 par value, $100 liquidation preference 1,000,000 shares authorized; 191,246 shares issued and outstanding | 191 | 191 |
Paid-in capital | 30,395 | 30,386 |
Accumulated deficit | -1,750 | -7,133 |
Accumulated other comprehensive loss | -260 | -1,817 |
Total shareholders' equity | 28,576 | 21,627 |
Total liabilities and stockholders' equity | $343,012 | $348,971 |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, except Share data, unless otherwise specified | ||
Allowance for loan losses | $2,442 | $2,500 |
Common stock, par value | $0.01 | $0.01 |
Common stock, shares authorized | 75,000,000 | 75,000,000 |
Common stock, shares issued | 10,781,988 | 10,781,988 |
Common stock, shares outstanding | 10,781,988 | 10,781,988 |
Preferred stock, par value | $1 | $1 |
Preferred stock, liquidation preference | $100 | $100 |
Preferred stock, shares authorized | 1,000,000 | 1,000,000 |
Preferred stock, shares issued | 191,246 | 191,246 |
Preferred stock, shares outstanding | 191,246 | 191,246 |
CONSOLIDATED_STATEMENTS_OF_OPE
CONSOLIDATED STATEMENTS OF OPERATIONS (USD $) | 12 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Interest and dividend income | ||
Interest and fees on loans | $9,933 | $10,629 |
Securities | ||
Taxable | 1,384 | 1,132 |
Exempt from federal income tax | 374 | 282 |
Federal Home Loan Bank dividends and other | 51 | 129 |
Total interest income | 11,742 | 12,172 |
Interest expense | ||
Deposits | 1,195 | 1,451 |
Federal Home Loan Bank advances and other borrowed funds | 83 | 118 |
Subordinated debentures | 70 | 69 |
Total interest expense | 1,348 | 1,638 |
Net interest income | 10,394 | 10,534 |
Provision for loan losses | -75 | 1,427 |
Net interest income after provision for loan losses | 10,469 | 9,107 |
Noninterest income | ||
Service charges on deposit accounts | 370 | 350 |
Gain on sale of loans | 484 | 1,144 |
Loss on sale of foreclosed assets | -21 | -328 |
Loss on sale of assets | -74 | -175 |
Gain (loss) on sale of securities | -15 | 55 |
Increase in cash surrender value of bank-owned life insurance | 213 | 223 |
Other service charges and fees | 828 | 980 |
Total noninterest income | 1,785 | 2,249 |
Noninterest expense | ||
Salaries and employee benefits | 5,730 | 5,943 |
Net occupancy expense | 801 | 821 |
Equipment expense | 405 | 447 |
Data processing | 1,004 | 1,287 |
Advertising and marketing | 168 | 179 |
Professional fees | 940 | 1,412 |
Write-down on foreclosed assets | 349 | 1,323 |
FDIC premiums | 470 | 747 |
Other real estate owned expenses | 172 | 587 |
Other operating expenses | 788 | 1,251 |
Total noninterest expense | 10,827 | 13,997 |
Income (loss) before income taxes | 1,427 | -2,641 |
Income tax expense (benefit) | -3,956 | 146 |
Net income (loss) | $5,383 | ($2,787) |
Earnings (loss) per share | ||
Basic (in dollars per share) | $0.18 | ($0.38) |
Diluted (in dollars per share) | $0.18 | ($0.38) |
CONSOLIDATED_STATEMENTS_OF_COM
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME/(LOSS) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Net income/(loss) | $5,383 | ($2,787) |
Unrealized holding gains (losses) arising during the period: | ||
Unrealized net gains/(losses) | 2,526 | -3,288 |
Related income tax benefit (expense) | -979 | 1,275 |
Net unrealized gains/(losses) | 1,547 | -2,013 |
Less: reclassification adjustment for net gains realized during the period | ||
Realized net gains/(losses) | -15 | 55 |
Related income tax (expense)/benefit | 5 | -20 |
Net realized gains/(losses) | -10 | 35 |
Other comprehensive income/(loss) | 1,557 | -2,048 |
Comprehensive income/(loss) | $6,940 | ($4,835) |
CONSOLIDATED_STATEMENTS_OF_SHA
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (USD $) | Total | Number of Common Shares | Preferred stock | Paid-In Capital | Accumulated Deficit | Accumulated Other Comprehensive Income (loss) |
In Thousands, except Share data | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | |
Balance at Dec. 31, 2012 | $22,352 | $197 | $26,270 | ($4,346) | $231 | |
Balance (in shares) at Dec. 31, 2012 | 5,560,567 | |||||
Net income/(loss) | -2,787 | 0 | 0 | -2,787 | 0 | |
Other comprehensive income (loss) | -2,048 | 0 | 0 | 0 | -2,048 | |
Net proceeds of private offering | 4,090 | 0 | 4,090 | 0 | 0 | |
Net proceeds of private offering (in shares) | 3,670,221 | |||||
Preferred stock conversion to common | 0 | -16 | 16 | 0 | 0 | |
Preferred stock conversion to common (in shares) | 1,551,200 | |||||
Preferred stock issued | 10 | 10 | 0 | 0 | 0 | |
Amortization of stock option compensation | 10 | 0 | 10 | 0 | 0 | |
Balance at Dec. 31, 2013 | 21,627 | 191 | 30,386 | -7,133 | -1,817 | |
Balance (in shares) at Dec. 31, 2013 | 10,781,988 | |||||
Net income/(loss) | 5,383 | 0 | 0 | 5,383 | 0 | |
Other comprehensive income (loss) | 1,557 | 0 | 0 | 0 | 1,557 | |
Amortization of stock option compensation | 9 | 0 | 9 | 0 | 0 | |
Balance at Dec. 31, 2014 | $28,576 | $191 | $30,395 | ($1,750) | ($260) | |
Balance (in shares) at Dec. 31, 2014 | 10,781,988 |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Cash flows from operating activities | ||
Net income/(loss) | $5,383 | ($2,787) |
Adjustments to reconcile net loss to net cash provided by (used in) operating activities | ||
Amortization on securities, net | 1,066 | 709 |
Depreciation | 596 | 609 |
Provision for loan losses | -75 | 1,427 |
(Gain) Loss on sale of securities | 15 | -55 |
Write-down on foreclosed assets | 349 | 1,323 |
Gain on sale of loans | -484 | -1,144 |
Originations of loans for sale | -18,748 | -46,365 |
Proceeds from sales of loans | 20,037 | 53,934 |
Loss on sale of foreclosed assets | 21 | 328 |
Loss on sale of assets | 74 | 175 |
Deferred income taxes | -3,956 | 146 |
Compensation cost of stock options | 9 | 10 |
Change in cash value of life insurance | -213 | -223 |
Change in interest receivable and other assets | 382 | -1,126 |
Change in interest payable and other liabilities | -121 | 374 |
Net cash provided by operating activities | 4,335 | 7,335 |
Cash flows from investing activities | ||
Purchases of securities available for sale | -33,192 | -75,194 |
Proceeds from maturities and calls of securities available for sale | 17,922 | 14,893 |
Proceeds from sales of securities available for sale | 6,573 | 8,063 |
Proceeds from sales of foreclosed assets | 167 | 7,725 |
Net change in interest-bearing time deposits | 945 | 996 |
Amount paid for acquisition of foreclosed assets | 0 | -674 |
Purchase of Federal Home Loan Bank stock | -193 | 0 |
Net change in loans | 10,498 | -2,602 |
Premises and equipment expenditures, net | -206 | -114 |
Net cash provided by (used in) investing activities | 2,514 | -46,907 |
Cash flows from financing activities | ||
Non-interest bearing and interest bearing demand deposits and savings | 2,121 | 5,533 |
Certificates and other time deposits | -12,408 | -7,029 |
Repayments of borrowings | -2,500 | -4,500 |
Proceeds from private offering | 0 | 4,100 |
Net cash used in financing activities | -12,787 | -1,896 |
Net change in cash and cash equivalents | -5,938 | -41,468 |
Cash and cash equivalents at beginning of year | 29,553 | 71,021 |
Cash and cash equivalents at end of year | 23,615 | 29,553 |
Supplemental disclosures | ||
Interest paid | 1,424 | 1,614 |
Transfers from loans to foreclosed assets | 455 | 1,979 |
Transfer property from held for sale to premises and equipment | $0 | $634 |
NATURE_OF_BUSINESS_AND_SUMMARY
NATURE OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2014 | |
Accounting Policies [Abstract] | |
Nature Of Business And Summary Of Significant Accounting Policies | NOTE 1 - NATURE OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES |
Nature of Operations and Principles of Consolidation: The consolidated financial statements include Community Financial Shares, Inc. (the Holding Company) and its wholly owned subsidiary, Community Bank - Wheaton/Glen Ellyn (the Bank) together referred to herein as the Company. | |
The Bank was chartered by the Illinois Commissioner of Banks and Real Estate in 1994. The Bank provides a range of banking and financial services through its operation as a commercial bank with offices located in Wheaton and Glen Ellyn, Illinois. The Bank's primary activities include deposit services and commercial and retail lending. Interest income is also earned on investments in debt securities, federal funds sold, and short-term investments. | |
Significant intercompany transactions and balances have been eliminated in consolidation. | |
Internal financial information is reported and aggregated as one line of business. | |
Use of Estimates: To prepare financial statements in conformity with accounting principles generally accepted in the United States of America, management makes estimates and assumptions based on available information. These estimates and assumptions affect the amounts reported in the financial statements and the disclosures provided and future results could differ. The allowance for loan losses and fair values of financial instruments are particularly subject to change. | |
Securities: Certain debt securities that management has the positive intent and ability to hold to maturity are classified as “held to maturity” and recorded at amortized cost. Securities not classified as held to maturity, including equity securities with readily determinable fair values, are classified as “available for sale” and recorded at fair value, with unrealized gains and losses excluded from earnings and reported in other comprehensive income. Purchase premiums and discounts are recognized in interest income using the interest method over the terms of the securities. Gains and losses on the sale of securities are recorded on the trade date and are determined using the specific identification method. | |
When the Company does not intend to sell a debt security, and it is more likely than not, the Company will not have to sell the security before recovery of its cost basis, it recognizes the credit component of an other-than-temporary impairment of a debt security in earnings and the remaining portion in other comprehensive income. For held-to-maturity debt securities, the amount of an other-than-temporary impairment recorded in other comprehensive income for the noncredit portion of a previous other-than-temporary impairment is amortized prospectively over the remaining life of the security on the basis of the timing of future estimated cash flows of the security. | |
For equity securities, when the Company has decided to sell an impaired available-for-sale security and the entity does not expect the fair value of the security to fully recover before the expected time of sale, the security is deemed other-than-temporarily impaired in the period in which the decision to sell is made. The Company recognizes an impairment loss when the impairment is deemed other than temporary even if a decision to sell has not been made. | |
Loans Held for Sale: Mortgage loans originated and intended for sale in the secondary market are carried at the lower of cost or fair value in the aggregate. Net unrealized losses, if any, are recognized through a valuation allowance by charges to noninterest income. Gains and losses on loan sales are recorded in noninterest income, and direct loan origination costs and fees are deferred at origination of the loan and are recognized in noninterest income upon sale of the loan. | |
Loans and Loan Income: Loans that management has the intent and ability to hold for the foreseeable future or until maturity or payoffs are reported at their outstanding principal balances adjusted for unearned income, charge-offs, the allowance for loan losses, any unamortized deferred fees or costs on originated loans and unamortized premiums or discounts on purchased loans. | |
For loans amortized at cost, interest income is accrued based on the unpaid principal balance. Loan origination fees, net of certain direct origination costs, as well as premiums and discounts, are deferred and amortized as a level yield adjustment over the respective term of the loan. | |
The accrual of interest on mortgage and commercial loans is discontinued at the time the loan is 90 days past due unless the credit is well-secured and in process of collection. Past due status is based on contractual terms of the loan. In all cases, loans are placed on nonaccrual or charged off at an earlier date if collection of principal or interest is considered doubtful. | |
All interest accrued but not collected for loans that are placed on nonaccrual or charged off are reversed against interest income. The interest on these loans is accounted for on the cash-basis or cost-recovery method, until qualifying for return to accrual. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. | |
Discounts and premiums on purchased residential real estate loans are amortized to income using the interest method over the remaining period to contractual maturity, adjusted for anticipated prepayments. Discounts and premiums on purchased consumer loans are recognized over the expected lives of the loans using methods that approximate the interest method. | |
Allowance for Loan Losses: The allowance for loan losses is established as losses are estimated to have occurred through a provision for loan losses charged to income. 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 collectibility of the loans in light of historical experience, the nature and volume of the loan portfolio, adverse situations that may affect the borrower’s ability to repay, estimated value of any underlying collateral and prevailing economic conditions. This evaluation is inherently subjective as it requires estimates that are susceptible to significant revision as more information becomes available. | |
The allowance consists of allocated and general components. The allocated component relates to loans that are classified as impaired. For those loans that are classified as impaired, an allowance is established when the discounted cash flows (or collateral value or observable market price) of the impaired loan is lower than the carrying value of that loan. The general component covers nonclassified loans and is based on historical charge-off experience and expected loss given default derived from the Company’s internal risk rating process. Other adjustments may be made to the allowance for pools of loans after an assessment of internal or external influences on credit quality that are not fully reflected in the historical loss or risk rating data. | |
A loan is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement. Factors considered by management in determining impairment include payment status, collateral value and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record and the amount of the shortfall in relation to the principal and interest owed. Impairment is measured on a loan-by-loan basis for commercial and construction loans by either the present value of expected future cash flows discounted at the loan’s effective interest rate, the loan’s obtainable market price or the fair value of the collateral if the loan is collateral dependent. | |
Groups of loans with similar risk characteristics are collectively evaluated for impairment based on the group’s historical loss experience adjusted for changes in trends, conditions and other relevant factors that affect repayment of the loans. Accordingly, the Company does not separately identify individual consumer and residential loans for impairment measurements, unless such loans are the subject of a restructuring agreement due to financial difficulties of the borrower. | |
Federal Home Loan Bank Stock: Federal Home Loan Bank (FHLB) stock is a required investment for institutions that are members of the Federal Home Loan Bank system. The required investment in the common stock is based on a predetermined formula. | |
The Bank owned $1,118,900 and $925,700 of FHLB stock as of December 31, 2014 and 2013, respectively. The FHLB of Chicago paid average cash dividends totaling 0.50% and 0.30% in 2014 and 2013, respectively. The FHLB will continue to assess their dividend capacity each quarter, and will obtain the necessary approval if a dividend is to be made. Management performed an analysis and deemed the investment in FHLB stock was not impaired. | |
Foreclosed Assets: Assets acquired through or instead of loan foreclosure are initially recorded at fair value less costs to sell when acquired, establishing a new cost basis. If fair value declines, a valuation allowance is recorded through expense. Costs incurred after acquisition that do not meet the criteria for capitalization are expensed. | |
Premises and Equipment: Land is carried at cost. Premises and equipment are stated at cost less accumulated depreciation. Buildings and related components are depreciated using the straight-line method with useful lives ranging from 10 to 50 years. Furniture, fixtures, and equipment are depreciated using the straight-line (or accelerated) method with useful lives ranging from 3 to 10 years. | |
Long-Term Assets: Premises and equipment and other long-term assets are reviewed for impairment when events indicate that their carrying amount may not be recoverable from future undiscounted cash flows. If impaired, the assets are recorded at fair value. | |
Stock Compensation: At December 31, 2014, the Company has a stock-based employee compensation plan, which is described more fully in Note 13. | |
Income Taxes: The Company accounts for income taxes in accordance with income tax accounting guidance (ASC 740, Income Taxes). The income tax accounting guidance results in two components of income tax expense: current and deferred. Current income tax expense reflects taxes to be paid or refunded for the current period by applying the provisions of the enacted tax law to the taxable income or excess of deductions over revenues. The Company determines deferred income taxes using the liability (or balance sheet) method. Under this method, the net deferred tax asset or liability is based on the tax effects of the differences between the book and tax bases of assets and liabilities, and enacted changes in tax rates and laws are recognized in the period in which they occur. Deferred income tax expense results from changes in deferred tax assets and liabilities between periods. Deferred tax assets are reduced by a valuation allowance if, based on the weight of evidence available, it is more likely than not that some portion or all of a deferred tax asset will not be realized. | |
Uncertain tax positions are recognized if it is more likely than not, based on the technical merits, that the tax position will be realized or sustained upon examination. The term more likely than not means a likelihood of more than 50 percent; the terms examined and upon examination also include resolution of the related appeals or litigation processes, if any. A tax position that meets the more-likely-than-not recognition threshold is initially and subsequently measured as the largest amount of tax benefit that has a greater than 50 percent likelihood of being realized upon settlement with a taxing authority that has full knowledge of all relevant information. The determination of whether or not a tax position has met the more-likely-than-not recognition threshold considers the facts, circumstances and information available at the reporting date and is subject to management’s judgment. The Company recognizes interest and penalties on income taxes as a component of income tax expense. | |
The Company files consolidated income tax returns with its subsidiaries. | |
With few exceptions, the Company is no longer subject to U.S. federal, state and local or non U.S. income tax examinations by tax authorities for years prior to 2011. The Company has net operating loss carryovers for federal and Illinois purposes for all years subsequent and including 1999 and 1998, respectively. To the extent these losses get used to offset future years’ taxable income, the taxing authorities have the right to audit those loss years. | |
Off-balance-sheet Financial Instruments: Financial instruments include off-balance-sheet credit instruments, such as commitments to make loans and standby letters of credit, issued to meet customer financing needs. The face amount for these items represents the exposure to loss, before considering customer collateral or ability to repay. Such financial instruments are recorded when they are funded. | |
Statements of Cash Flows: For purposes of reporting cash flows, cash and cash equivalents include cash on hand, amounts due from banks, and interest-bearing deposits. Most federal funds are sold for one-day periods. Net cash flows are reported for customer loan and deposit transactions. | |
Earnings Per Share: Basic earnings per share is net income available to common shareholders divided by the weighted average number of shares outstanding during the year. Diluted earnings per share include the dilutive effect of additional potential shares issuable under stock options. For 2014 the Company is required to calculate basic and diluted earnings per share using the two-class method. Calculations of earnings per share under the two- class method (i) exclude from the numerator any dividends paid or owed on participating securities and any undistributed earnings considered to be attributable to participating securities and (ii) exclude from the denominator the dilutive impact of the participating securities. | |
Comprehensive Income or Loss: Comprehensive income or loss consists of net income or loss and other comprehensive income or loss. Other comprehensive income or loss includes unrealized gains and losses on securities available for sale, which are also recognized as a separate component of equity. | |
Dividend Restriction: Banking regulations require maintaining certain capital levels and may limit the dividends paid by the Bank to the Holding Company or by the Holding Company to the stockholders. In addition, the Bank and the Holding Company are currently subject to regulatory orders limiting their ability to declare and pay dividends. See Note 9 for more information. In addition, pursuant to the terms of the Merger Agreement, the Company may not declare or pay any dividends or other distributions prior to the Effective Time without prior written consent of Wintrust. | |
Fair Value of Financial Instruments: Fair values of financial instruments are estimated using relevant market information and other assumptions, as more fully disclosed in a separate note. Fair value estimates involve uncertainties and matters of significant judgment regarding interest rates, credit risk, prepayments, and other factors, especially in the absence of active markets for particular items. Changes in assumptions or in market conditions could significantly affect the estimates. | |
Recently Issued Accounting Standards: Accounting Standards Update No. 2014-08- Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity – In April 2014, FASB issued ASU 2014-08. This update seeks to better define the groups of assets which qualify for discontinued operations, in order to ease the burden and cost for prepares and stakeholders. This issue changed “the criteria for reporting discontinued operations” and related reporting requirements, including the provision for disclosures about the “disposal of and individually significant component of an entity that does not qualify for discontinued operations presentation.” | |
The amendments in this Update are effective for fiscal years beginning after December 15, 2014. Early adoption is permitted only for disposals or classifications as held for sale. The Company adopted the methodologies prescribed by this ASU by the date required, and this ASU did not have a material effect on its financial position or results of operations. | |
Accounting Standards Update No. 2014-09- Revenue from Contracts with Customers – In May 2014, FASB, in joint cooperation with IASB, issued ASU 2014-09. The topic of Revenue Recognition had become broad, with several other regulatory agencies issuing standards which lacked cohesion. The new guidance establishes a “common framework” and “reduces the number of requirements to which an entity must consider in recognizing revenue” and yet provides improved disclosures to assist stakeholders reviewing financial statements. | |
The amendments in this Update are effective for annual reporting periods beginning after December 15, 2016. Early adoption is not permitted. The Company will adopt the methodologies prescribed by this ASU by the date required, and does not anticipate that the ASU will have a material effect on its financial position or results of operations. | |
Accounting Standards Update No. 2014-11- Transfers and Servicing – In June 2014, FASB, issued ASU 2014-11. This update addresses the concerns of stakeholders’ by changing the accounting practices surrounding repurchase agreements. The new guidance changes the “accounting for repurchase-to-maturity transactions and linked repurchase financings to secured borrowing accounting, which is consistent with the accounting for other repurchase agreements.” | |
The amendments in this Update are effective for annual reporting periods beginning after December 15, 2015. Early adoption is prohibited. The Company adopted the methodologies prescribed by this ASU by the date required, and this ASU did not have a material effect on its financial position or results of operations. | |
Accounting Standards Update No. 2014-12- Compensation – Stock Compensation – In June 2014, FASB, issued ASU 2014-12. This update defines the accounting treatment for share-based payments and “resolves the diverse accounting treatment of those awards in practice.” The new requirement mandates that “a performance target that affects vesting and that could be achieved after the requisite service period be treated as a performance condition.” | |
Compensation cost will now be recognized in the period in which it becomes likely that the performance target will be met. | |
The amendments in this Update are effective for annual reporting periods beginning after December 15, 2015. Early adoption is permitted. The Company adopted the methodologies prescribed by this ASU by the date required, and this ASU did not have a material effect on its financial position or results of operations. | |
CASH_AND_CASH_EQUIVALENTS
CASH AND CASH EQUIVALENTS | 12 Months Ended |
Dec. 31, 2014 | |
Cash and Cash Equivalents [Abstract] | |
Cash And Cash Equivalents | NOTE 2 - CASH AND CASH EQUIVALENTS |
The Company considers all liquid investments with original maturities of three months or less to be cash equivalents. | |
Beginning January 1, 2013, noninterest-bearing transaction accounts are subject to a $250,000 limit on FDIC insurance per covered institution. | |
At December 31, 2014, the Company’s cash accounts exceeded federally insured limits by approximately $20.1 million. The Company had cash balances of $12.2 million at the FRB and FHLB that did not have FDIC insurance coverage. | |
Cash on hand or on deposit with the Federal Reserve Bank of $2.3 million was required to meet regulatory reserve and clearing requirements at year-end 2014. | |
SECURITIES_AVAILABLE_FOR_SALE
SECURITIES AVAILABLE FOR SALE | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | ||||||||||||||||||||
Securities Available for Sale | NOTE 3 - SECURITIES AVAILABLE FOR SALE | |||||||||||||||||||
The fair value of securities available for sale at year end is as follows: | ||||||||||||||||||||
2014 | Fair | Gross | Gross | |||||||||||||||||
Value | Unrealized | Unrealized | ||||||||||||||||||
Gains | Losses | |||||||||||||||||||
U. S. government agency debt securities | $ | 7,738 | $ | - | $ | -236 | ||||||||||||||
States and political subdivisions | 19,913 | 112 | -92 | |||||||||||||||||
U.S. government agency mortgage-backed securities | 66,139 | 316 | -483 | |||||||||||||||||
Preferred stock | 15 | 11 | - | |||||||||||||||||
SBA securities | 12,180 | 13 | -66 | |||||||||||||||||
$ | 105,985 | $ | 452 | $ | -877 | |||||||||||||||
2013 | Fair | Gross | Gross | |||||||||||||||||
Value | Unrealized | Unrealized Losses | ||||||||||||||||||
Gains | ||||||||||||||||||||
U. S. government agency debt securities | $ | 11,059 | $ | - | $ | -1,414 | ||||||||||||||
States and political subdivisions | 16,367 | 50 | -419 | |||||||||||||||||
U.S. government agency mortgage-backed securities | 60,065 | 124 | -1,235 | |||||||||||||||||
Preferred stock | 35 | 31 | - | |||||||||||||||||
SBA securities | 8,303 | 1 | -104 | |||||||||||||||||
$ | 95,829 | $ | 206 | $ | -3,172 | |||||||||||||||
Securities classified as U. S. government agency debt securities include notes issued by government-sponsored enterprises such as the Federal National Mortgage Association, the Federal Home Loan Mortgage Corporation, and the Federal Home Loan Bank. The SBA securities are pools of the loans guaranteed by the Small Business Administration. | ||||||||||||||||||||
The fair values of securities available for sale at December 31, 2014, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Securities not due at a single maturity are shown separately. | ||||||||||||||||||||
Amortized | Fair | |||||||||||||||||||
Cost | Value | |||||||||||||||||||
Due in one year or less | $ | 481 | $ | 482 | ||||||||||||||||
Due after one year through five years | 3,244 | 3,222 | ||||||||||||||||||
Due after five years through ten years | 16,992 | 16,959 | ||||||||||||||||||
Due after ten years | 7,150 | 6,988 | ||||||||||||||||||
U.S. government agency mortgage-backed | 66,306 | 66,139 | ||||||||||||||||||
Preferred stock | 4 | 15 | ||||||||||||||||||
SBA securities | 12,233 | 12,180 | ||||||||||||||||||
$ | 106,410 | $ | 105,985 | |||||||||||||||||
Securities with a carrying value of approximately $7.6 million and $18.0 million at December 31, 2014 and 2013, respectively, were pledged to secure public deposits, Federal Home Loan Bank advances and for other purposes as required or permitted by law. | ||||||||||||||||||||
Sales of securities were as follows: | ||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
Sales proceeds | $ | 6,573 | $ | 8,063 | ||||||||||||||||
Gross gains/(losses) on sales | -15 | 55 | ||||||||||||||||||
Certain investments in debt securities are reported in the financial statements at an amount less than their historical cost. Total fair value of these investments at December 31, 2014 and 2013 was $65.7 million and $77.1 million, respectively, which is approximately 62.0% and 80.5% of the Company’s investment portfolio, respectively. These declines primarily resulted from changes in market interest rates and current depressed market conditions. Based on evaluation of available evidence, including recent changes in market interest rates, credit rating information and information obtained from regulatory filings, management believes the declines in fair value for these securities are temporary. Should the impairment of any of these securities become other than temporary, the cost basis of the investment will be reduced and the resulting loss recognized in net income in the period the other-than-temporary impairment is identified. | ||||||||||||||||||||
The following tables show gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at December 31, 2014 and 2013: | ||||||||||||||||||||
2014 | Less than 12 Months | 12 Months or More | Total | |||||||||||||||||
Description of | Fair Value | Unrealized | Fair Value | Unrealized | Fair Value | Unrealized | ||||||||||||||
Securities | Losses | Losses | Losses | |||||||||||||||||
U.S. Government agency debt securities | $ | - | $ | - | $ | 7,738 | $ | -236 | $ | 7,738 | $ | -236 | ||||||||
State and political subdivisions | 6,601 | -31 | 3,801 | -61 | 10,402 | -92 | ||||||||||||||
U.S. Government agency mortgage-backed securities | 13,988 | -59 | 23,516 | -424 | 37,504 | -483 | ||||||||||||||
SBA Securities | 5,065 | -22 | 4,978 | -44 | 10,043 | -66 | ||||||||||||||
Total temporarily impaired securities | $ | 25,654 | $ | -112 | $ | 40,033 | $ | -765 | $ | 65,687 | $ | -877 | ||||||||
U.S. Government Agency Debt Securities and U.S. Government Agency Mortgage-backed Securities | ||||||||||||||||||||
The unrealized losses on the Company’s investments in obligations of U.S. government agencies were caused by interest rate changes. The contractual terms of those investments do not permit the issuer to settle the securities at a price less than the amortized cost bases of the investments. Because the Company does not intend to sell the investments and it is not more likely than not the Company will be required to sell the investments before recovery of their amortized cost bases, which may be maturity, the Company does not consider those investments to be other-than-temporarily impaired at December 31, 2014. | ||||||||||||||||||||
2013 | Less than 12 Months | 12 Months or More | Total | |||||||||||||||||
Description of | Fair Value | Unrealized | Fair Value | Unrealized | Fair Value | Unrealized | ||||||||||||||
Securities | Losses | Losses | Losses | |||||||||||||||||
U.S. Government agency debt securities | $ | 6,694 | $ | -797 | $ | 4,365 | $ | -617 | $ | 11,059 | $ | -1,414 | ||||||||
State and political subdivisions | 10,027 | -419 | - | - | 10,027 | -419 | ||||||||||||||
U.S. Government agency mortgage-backed securities | 48,023 | -1,234 | 16 | -1 | 48,039 | -1,235 | ||||||||||||||
SBA Securities | 7,987 | -104 | - | - | 7,987 | -104 | ||||||||||||||
Total temporarily impaired securities | $ | 72,731 | $ | -2,554 | $ | 4,381 | $ | -618 | $ | 77,112 | $ | -3,172 | ||||||||
LOANS
LOANS | 12 Months Ended | ||||||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||||||
Debt Disclosure [Abstract] | |||||||||||||||||||||||||||||
Loans | NOTE 4 - LOANS | ||||||||||||||||||||||||||||
Loans consisted of the following at December 31: | |||||||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||||||
Real estate | |||||||||||||||||||||||||||||
Commercial | $ | 92,669 | $ | 97,813 | |||||||||||||||||||||||||
Construction | 1,853 | 1,856 | |||||||||||||||||||||||||||
Residential | 26,676 | 26,240 | |||||||||||||||||||||||||||
Home equity | 46,339 | 47,050 | |||||||||||||||||||||||||||
Total real estate loans | 167,537 | 172,959 | |||||||||||||||||||||||||||
Commercial | 16,048 | 21,379 | |||||||||||||||||||||||||||
Consumer | 1,163 | 1,384 | |||||||||||||||||||||||||||
Total loans | 184,748 | 195,722 | |||||||||||||||||||||||||||
Deferred loan costs, net | 267 | 229 | |||||||||||||||||||||||||||
Allowance for loan losses | (2,442 | ) | (2,500 | ) | |||||||||||||||||||||||||
Loans, net | $ | 182,573 | $ | 193,451 | |||||||||||||||||||||||||
The risk characteristics of each loan portfolio segment are as follows: | |||||||||||||||||||||||||||||
Commercial | |||||||||||||||||||||||||||||
Commercial loans are primarily based on the identified cash flows of the borrower and secondarily on the underlying collateral provided by the borrower. The cash flows of borrowers, however, may not be as expected and the collateral securing these loans may fluctuate in value. Most commercial loans are secured by the assets being financed or other business assets such as accounts receivable or inventory and may incorporate a personal guarantee; however, some short-term loans may be made on an unsecured basis. In the case of loans secured by accounts receivable, the availability of funds for the repayment of these loans may be substantially dependent on the ability of the borrower to collect amounts due from its customers. | |||||||||||||||||||||||||||||
Commercial Real Estate | |||||||||||||||||||||||||||||
These loans are viewed primarily as cash flow loans and secondarily as loans secured by real estate. Commercial real estate lending typically involves higher loan principal amounts and the repayment of these loans is generally dependent on the successful operation of the property securing the loan or the business conducted on the property securing the loan. Commercial real estate loans may be more adversely affected by conditions in the real estate markets or in the general economy. The properties securing the Company’s commercial real estate portfolio are diverse in terms of type and geographic location. Management monitors and evaluates commercial real estate loans based on collateral, geography and risk grade criteria. As a general rule, the Company avoids financing single purpose projects unless other underwriting factors are present to help mitigate risk. In addition, management tracks the level of owner-occupied commercial real estate loans versus non-owner occupied loans. | |||||||||||||||||||||||||||||
Construction | |||||||||||||||||||||||||||||
Construction loans are underwritten utilizing feasibility studies, independent appraisal reviews, sensitivity analysis of absorption and lease rates and financial analysis of the developers and property owners. Construction loans are generally based on estimates of costs and value associated with the completed project. These estimates may be inaccurate. Construction loans often involve the disbursement of substantial funds with repayment substantially dependent on the success of the ultimate project. Sources of repayment for these types of loans may be pre-committed permanent loans from approved long-term lenders, sales of developed property or an interim loan commitment from the Company until permanent financing is obtained. These loans are closely monitored by on-site inspections and are considered to have higher risks than other real estate loans due to their ultimate repayment being sensitive to interest rate changes, governmental regulation of real property, general economic conditions and the availability of long-term financing. | |||||||||||||||||||||||||||||
Residential and Consumer, including Home Equity Lines of Credit (HELOC) | |||||||||||||||||||||||||||||
With respect to residential loans that are secured by one-to-four family residences and are generally owner occupied, the Company generally establishes a maximum loan-to-value ratio and may require private mortgage insurance if that ratio is exceeded. Home equity loans are typically secured by a subordinate interest in one-to-four family residences, and consumer loans are secured by consumer assets such as automobiles or recreational vehicles. Some consumer loans are unsecured such as small installment loans and certain lines of credit. Repayment of these loans is primarily dependent on the personal income of the borrowers, which can be impacted by economic conditions in their market areas such as unemployment levels. Repayment can also be impacted by changes in property values on residential properties. Risk is mitigated by the fact that the loans are of smaller individual amounts and spread over a large number of borrowers. | |||||||||||||||||||||||||||||
Policy for charging off loans: | |||||||||||||||||||||||||||||
Management’s general practice is to establish a reserve or proactively charge down loans individually evaluated for impairment to the fair value of the underlying collateral. | |||||||||||||||||||||||||||||
Consistent with regulatory guidance, charge-offs on all loan segments are taken when specific loans, or portions thereof, are considered uncollectible. The Company’s policy is to promptly charge these loans off in the period the uncollectible loss is reasonably determined. | |||||||||||||||||||||||||||||
For all loan portfolio segments except one-to-four family residential loans and consumer loans, the Company promptly establishes a reserve or charges-off loans, or portions thereof, when available information confirms that specific loans are uncollectible based on information that includes, but is not limited to, (1) the deteriorating financial condition of the borrower, (2) declining collateral values, and/or (3) legal action, including bankruptcy, that impairs the borrower’s ability to adequately meet its obligations. For impaired loans that are considered to be solely collateral dependent, a partial charge-off is recorded when a loss has been confirmed by an updated appraisal or other appropriate valuation of the collateral. | |||||||||||||||||||||||||||||
The Company charges-off one-to-four family residential and consumer loans, or portions thereof, when the Company reasonably determines the amount of the loss. The Company adheres to timeframes established by applicable regulatory guidance which provides for the charge-down of one-to-four family first and junior lien mortgages to the net realizable value less costs to sell when the loan is 180 days past due, charge-off of unsecured open-end loans when the loan is 180 days past due, and charge down to the net realizable value when other secured loans are 120 days past due. Loans at these respective delinquency thresholds for which the Company can clearly document that the loan is both well-secured and in the process of collection, such that collection will occur regardless of delinquency status, need not be charged off. | |||||||||||||||||||||||||||||
Policy for determining delinquency: | |||||||||||||||||||||||||||||
The entire balance of a loan is considered delinquent if the minimum payment contractually required to be made is not received by the specified due date. | |||||||||||||||||||||||||||||
Period utilized for determining historical loss factors: | |||||||||||||||||||||||||||||
The historical loss experience is determined by portfolio segment and is based on the actual loss history experienced by the Company over the prior five years. Management believes the five year historical loss experience methodology is appropriate in the current economic environment, as it captures loss rates that are comparable to the current period being analyzed. | |||||||||||||||||||||||||||||
Policy for recognizing interest income on impaired loans: | |||||||||||||||||||||||||||||
Interest income on loans individually classified as impaired is recognized on a cash basis after all past due and current principal payments have been made. | |||||||||||||||||||||||||||||
Policy for recognizing interest income on nonaccrual loans: | |||||||||||||||||||||||||||||
Subsequent payments on nonaccrual loans are recorded as a reduction of principal, and interest income is recorded only after principal recovery is reasonably assured. Nonaccrual loans are returned to accrual status when, in the opinion of management, the financial position of the borrower indicates there is no longer any reasonable doubt as to the timely collection of interest or principal. The Company requires a period of satisfactory performance of not less than six months before returning a nonaccrual loan to accrual status. | |||||||||||||||||||||||||||||
The Bank has entered into transactions, including the making of direct and indirect loans, with certain directors and their affiliates (related parties). In management’s opinion such transactions were made in the ordinary course of business and were made on substantially the same terms (including interest rates and collateral) as those prevailing at the time for comparable transactions with other persons. Further, in management’s opinion, these loans did not involve more than normal risk of collectibility or present other unfavorable features. | |||||||||||||||||||||||||||||
The aggregate amount of loans, as defined, to such related parties were as follows: | |||||||||||||||||||||||||||||
2014 | |||||||||||||||||||||||||||||
Balances, January 1, 2014 | $ | 1,006 | |||||||||||||||||||||||||||
New loans including renewals | 113 | ||||||||||||||||||||||||||||
Payments, etc., including renewals | (363 | ) | |||||||||||||||||||||||||||
Balances, December 31, 2014 | $ | 756 | |||||||||||||||||||||||||||
2013 | |||||||||||||||||||||||||||||
Balances, January 1, 2013 | $ | 2,432 | |||||||||||||||||||||||||||
New loans including renewals | 156 | ||||||||||||||||||||||||||||
Payments, etc., including renewals | (1,582 | ) | |||||||||||||||||||||||||||
Balances, December 31, 2013 | $ | 1,006 | |||||||||||||||||||||||||||
The following table presents the balance in the allowance for loan losses and the recorded investment in loans based on portfolio segment and impairment method as of December 31, 2014 and 2013: | |||||||||||||||||||||||||||||
2014 | |||||||||||||||||||||||||||||
Commercial | Commercial | Construction | Consumer | Residential | HELOC | Total | |||||||||||||||||||||||
Real Estate | |||||||||||||||||||||||||||||
Balance at beginning of period | $ | 483 | $ | 1,336 | $ | 44 | $ | 41 | $ | 266 | $ | 330 | $ | 2,500 | |||||||||||||||
Provision for loan losses | (205 | ) | (138 | ) | (13 | ) | (23 | ) | 50 | 254 | (75 | ) | |||||||||||||||||
Charge-offs | - | (28 | ) | - | (3 | ) | - | (64 | ) | (95 | ) | ||||||||||||||||||
Recoveries | 75 | 5 | - | - | 30 | 2 | 112 | ||||||||||||||||||||||
Balance at end of period | $ | 353 | $ | 1,175 | $ | 31 | $ | 15 | $ | 346 | $ | 522 | $ | 2,442 | |||||||||||||||
Ending balance: individually evaluated for impairment | $ | - | $ | - | $ | - | $ | - | $ | 38 | $ | 88 | $ | 126 | |||||||||||||||
Ending balance: collectively evaluated for impairment | $ | 353 | $ | 1,175 | $ | 31 | $ | 15 | $ | 308 | $ | 434 | $ | 2,316 | |||||||||||||||
Total Loans: | |||||||||||||||||||||||||||||
Ending balance | $ | 16,048 | $ | 92,669 | $ | 1,853 | $ | 1,163 | $ | 26,676 | $ | 46,339 | $ | 184,748 | |||||||||||||||
Ending balance: individually evaluated for impairment | $ | - | $ | 823 | $ | - | $ | - | $ | 528 | $ | 964 | $ | 2,315 | |||||||||||||||
Ending balance: collectively evaluated for impairment | $ | 16,048 | $ | 91,846 | $ | 1,853 | $ | 1,163 | $ | 26,148 | $ | 45,375 | $ | 182,433 | |||||||||||||||
2013 | |||||||||||||||||||||||||||||
Commercial | Commercial | Construction | Consumer | Residential | HELOC | Total | |||||||||||||||||||||||
Real Estate | |||||||||||||||||||||||||||||
Balance at beginning of period | $ | 621 | $ | 1,386 | $ | 53 | $ | 21 | $ | 305 | $ | 646 | $ | 3,032 | |||||||||||||||
Provision for loan losses | 129 | 221 | (9 | ) | 34 | 773 | 279 | 1,427 | |||||||||||||||||||||
Charge-offs | (267 | ) | (357 | ) | - | (15 | ) | (835 | ) | (600 | ) | (2,074 | ) | ||||||||||||||||
Recoveries | - | 86 | - | 1 | 23 | 5 | 115 | ||||||||||||||||||||||
Balance at end of period | $ | 483 | $ | 1,336 | $ | 44 | $ | 41 | $ | 266 | $ | 330 | $ | 2,500 | |||||||||||||||
Ending balance: individually evaluated for impairment | $ | - | $ | 26 | $ | - | $ | - | $ | - | $ | 46 | $ | 72 | |||||||||||||||
Ending balance: collectively evaluated for impairment | $ | 483 | $ | 1,310 | $ | 44 | $ | 41 | $ | 266 | $ | 284 | $ | 2,428 | |||||||||||||||
Total Loans: | |||||||||||||||||||||||||||||
Ending balance | $ | 21,379 | $ | 97,813 | $ | 1,856 | $ | 1,384 | $ | 26,240 | $ | 47,050 | $ | 195,722 | |||||||||||||||
Ending balance: individually evaluated for impairment | $ | 1,566 | $ | 437 | $ | - | $ | - | $ | 398 | $ | 505 | $ | 2,906 | |||||||||||||||
Ending balance: collectively evaluated for impairment | $ | 19,813 | $ | 97,376 | $ | 1,856 | $ | 1,384 | $ | 25,842 | $ | 46,545 | $ | 192,816 | |||||||||||||||
The following table summarizes the Company’s nonaccrual loans by class at December 31, 2014 and 2013. | |||||||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||||||
Real estate loans: | |||||||||||||||||||||||||||||
Commercial | $ | 823 | $ | 437 | |||||||||||||||||||||||||
Residential mortgage | 528 | - | |||||||||||||||||||||||||||
Home equity | 964 | 505 | |||||||||||||||||||||||||||
Total | $ | 2,315 | $ | 942 | |||||||||||||||||||||||||
The following table presents impaired loans as of December 31, 2014: | |||||||||||||||||||||||||||||
Recorded | Unpaid Principal Balance | Specific Allowance | Average Investment in Impaired Loans | Interest Income Recognized | |||||||||||||||||||||||||
Balance | |||||||||||||||||||||||||||||
With no related allowance recorded: | |||||||||||||||||||||||||||||
Commercial real estate | $ | 823 | $ | 835 | $ | - | $ | 837 | $ | 30 | |||||||||||||||||||
Residential | - | - | - | 7 | - | ||||||||||||||||||||||||
HELOC | 509 | 514 | - | 632 | 8 | ||||||||||||||||||||||||
Subtotal | 1,332 | 1,349 | - | 1,476 | 38 | ||||||||||||||||||||||||
With an allowance recorded: | |||||||||||||||||||||||||||||
Commercial real estate | - | - | - | 792 | 12 | ||||||||||||||||||||||||
Residential | 528 | 531 | 38 | 532 | 24 | ||||||||||||||||||||||||
HELOC | 456 | 516 | 88 | 579 | 22 | ||||||||||||||||||||||||
Subtotal | 984 | 1,047 | 126 | 1,903 | 58 | ||||||||||||||||||||||||
Total Impaired Loans | $ | 2,316 | $ | 2,396 | $ | 126 | $ | 3,379 | $ | 96 | |||||||||||||||||||
The following table presents impaired loans as of December 31, 2013: | |||||||||||||||||||||||||||||
Recorded | Unpaid Principal Balance | Specific Allowance | Average Investment in Impaired Loans | Interest Income Recognized | |||||||||||||||||||||||||
Balance | |||||||||||||||||||||||||||||
With no related allowance recorded: | |||||||||||||||||||||||||||||
Commercial real estate | $ | 1,566 | $ | 1,566 | $ | - | $ | 1,549 | $ | 62 | |||||||||||||||||||
Residential | 398 | 398 | - | 402 | 21 | ||||||||||||||||||||||||
HELOC | 166 | 166 | - | 165 | - | ||||||||||||||||||||||||
Subtotal | 2,130 | 2,130 | - | 2,116 | 83 | ||||||||||||||||||||||||
With an allowance recorded: | |||||||||||||||||||||||||||||
Commercial real estate | 437 | 812 | 26 | 834 | - | ||||||||||||||||||||||||
Residential | - | - | - | - | - | ||||||||||||||||||||||||
HELOC | 339 | 396 | 46 | 396 | - | ||||||||||||||||||||||||
Subtotal | 776 | 1,208 | 72 | 1,230 | - | ||||||||||||||||||||||||
Total Impaired Loans | $ | 2,906 | $ | 3,338 | $ | 72 | $ | 3,346 | $ | 83 | |||||||||||||||||||
The Company categorizes loans into risk categories based on relevant information about the ability of borrowers to service their debt such as: current financial information, historical payment experience, credit documentation and current economic trends, among other factors. The Company analyzes loans individually by classifying the loans as to credit risk. This analysis is performed during the loan approval process and is updated as circumstances warrant. The Company uses the following definitions for risk ratings: | |||||||||||||||||||||||||||||
Special Mention. Loans classified as special mention have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the Company’s credit position at some future date. | |||||||||||||||||||||||||||||
Substandard. Loans classified as substandard are inadequately protected by the current net worth and paying capacity of the borrower or of the collateral pledged, if any. Loans so classified have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the Company will sustain some loss if the deficiencies are not corrected. | |||||||||||||||||||||||||||||
Doubtful. Loans classified as doubtful have all the weaknesses inherent in those classified as substandard with the added characteristic that weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. | |||||||||||||||||||||||||||||
The following table summarizes credit quality of the Company at December 31, 2014 and 2013: | |||||||||||||||||||||||||||||
2014 | |||||||||||||||||||||||||||||
Pass | Special | Substandard | Doubtful | Loss | Total | ||||||||||||||||||||||||
Mention | |||||||||||||||||||||||||||||
Commercial | $ | 15,983 | $— | $ | 65 | $ | — | $ | — | $ | 16,048 | ||||||||||||||||||
Real estate loans: | |||||||||||||||||||||||||||||
Construction | 1,853 | — | — | — | — | 1,853 | |||||||||||||||||||||||
Commercial real estate | 89,644 | 227 | 2,798 | — | — | 92,669 | |||||||||||||||||||||||
Residential mortgage | 26,448 | — | 528 | — | — | 26,676 | |||||||||||||||||||||||
Home equity | 45,048 | 28 | 963 | — | — | 46,339 | |||||||||||||||||||||||
Consumer | 1,163 | — | — | — | — | 1,163 | |||||||||||||||||||||||
Total | $ | 180,139 | $ | 255 | $ | 4,354 | $ | — | $ | — | $ | 184,748 | |||||||||||||||||
2013 | |||||||||||||||||||||||||||||
Pass | Special | Substandard | Doubtful | Loss | Total | ||||||||||||||||||||||||
Mention | |||||||||||||||||||||||||||||
Commercial | $ | 19,536 | $ | 209 | $ | 1,634 | $ | — | $ | — | $ | 21,379 | |||||||||||||||||
Real estate loans: | |||||||||||||||||||||||||||||
Construction | 1,856 | — | — | — | — | 1,856 | |||||||||||||||||||||||
Commercial real estate | 93,679 | 3,235 | 899 | — | — | 97,813 | |||||||||||||||||||||||
Residential mortgage | 24,763 | 1,477 | — | — | — | 26,240 | |||||||||||||||||||||||
Home equity | 46,515 | 29 | 506 | — | — | 47,050 | |||||||||||||||||||||||
Consumer | 1,384 | — | — | — | — | 1,384 | |||||||||||||||||||||||
Total | $ | 187,733 | $ | 4,950 | $ | 3,039 | $ | — | $ | — | $ | 195,722 | |||||||||||||||||
The following table summarizes aging of the Company’s loan portfolio at December 31, 2014 and 2013: | |||||||||||||||||||||||||||||
2014 | |||||||||||||||||||||||||||||
30-59 Days | 60-89 Days | Greater | Total | Current | Total Loans | Loans > | |||||||||||||||||||||||
Past Due | Past Due | Than | Past Due | 90 Days and | |||||||||||||||||||||||||
90 Days | Accruing | ||||||||||||||||||||||||||||
Commercial | $ | 133 | $ | 56 | $ | — | $ | 189 | $ | 15,859 | $ | 16,048 | $— | ||||||||||||||||
Real estate loans: | |||||||||||||||||||||||||||||
Construction | — | — | — | — | 1,853 | 1,853 | — | ||||||||||||||||||||||
Commercial real estate | 301 | — | 823 | 1,124 | 91,545 | 92,669 | — | ||||||||||||||||||||||
Residential mortgage | — | 89 | 528 | 617 | 26,059 | 26,676 | — | ||||||||||||||||||||||
Home equity | 339 | — | 1,096 | 1,435 | 44,903 | 46,339 | 133 | ||||||||||||||||||||||
Consumer | 3 | — | — | 3 | 1,160 | 1,163 | — | ||||||||||||||||||||||
Total | $ | 776 | $ | 145 | $ | 2,447 | $ | 3,368 | $ | 181,380 | $ | 184,748 | $ | 133 | |||||||||||||||
30-59 Days | 60-89 Days | Greater | Total | Current | Total Loans | Loans > | |||||||||||||||||||||||
Past Due | Past Due | Than | Past Due | 90 Days and | |||||||||||||||||||||||||
90 Days | Accruing | ||||||||||||||||||||||||||||
Commercial | $ | 100 | $ | — | $ | — | $ | 100 | $ | 21,279 | $ | 21,379 | $— | ||||||||||||||||
Real estate loans: | |||||||||||||||||||||||||||||
Construction | — | — | — | — | 1,856 | 1,856 | — | ||||||||||||||||||||||
Commercial real estate | — | 569 | 168 | 737 | 97,076 | 97,813 | 168 | ||||||||||||||||||||||
Residential mortgage | 687 | 1,342 | 11 | 2,040 | 24,200 | 26,240 | 11 | ||||||||||||||||||||||
Home equity | 445 | 328 | 555 | 1,328 | 45,722 | 47,050 | 50 | ||||||||||||||||||||||
Consumer | — | 1 | 1 | 2 | 1,382 | 1,384 | 1 | ||||||||||||||||||||||
Total | $ | 1,232 | $ | 2,240 | $ | 735 | $ | 4,207 | $ | 191,515 | $ | 195,722 | $ | 230 | |||||||||||||||
The Company may grant a concession or modification for economic or legal reasons related to a borrower’s financial condition that it would not otherwise consider resulting in a modified loan which is then identified as a troubled debt restructuring (TDR). The Company may modify loans through interest rate reductions, short-term extensions of maturity, interest only payments, or payment modifications to better match the timing of cash flows due under the modified terms with the cash flows from the borrowers’ operations. Loan modifications are intended to minimize the economic loss and to avoid foreclosure or repossession of the collateral. TDRs are considered impaired loans for purposes of calculating the Company’s allowance for loan losses. | |||||||||||||||||||||||||||||
The Company identifies loans for potential restructure primarily through direct communication with the borrower and evaluation of the borrower’s financial statements, revenue projections, tax returns and credit reports. Even if the borrower is not presently in default, management will consider the likelihood that cash flow shortages, adverse economic conditions, and negative trends may result in a payment default in the near future. | |||||||||||||||||||||||||||||
For one-to-four family residential and home equity lines of credit, a restructure often occurs with past due loans and may be offered as an alternative to foreclosure. There are other situations where borrowers, who are not past due, experience a sudden job loss, become overextended with credit obligations, or other problems, have indicated that they will be unable to make the required monthly payment and request payment relief. | |||||||||||||||||||||||||||||
When considering a loan restructure, management will determine if: (i) the financial distress is short or long term; (ii) loan concessions are necessary; and (iii) the restructure is a viable solution. | |||||||||||||||||||||||||||||
When a loan is restructured, the new terms often require a reduced monthly debt service payment. No TDRs that were on non-accrual status at the time the concessions were granted have been returned to accrual status. For commercial loans, management completes an analysis of the operating entity’s ability to repay the debt. If the operating entity is capable of servicing the new debt service requirements and the underlying collateral value is believed to be sufficient to repay the debt in the event of a default, the new loan is generally placed on accrual status. | |||||||||||||||||||||||||||||
For retail loans, an analysis of the individual’s ability to service the new required payments is performed. If the borrower is capable of servicing the newly restructured debt and the underlying collateral value is believed to be sufficient to repay the debt in the event of a future default, the new loan is generally placed on accrual status. The reason for the TDR is also considered, such as paying past due real estate taxes or payments caused by a temporary job loss, when determining whether a retail TDR loan could be returned to accrual status. Retail TDRs remain on non-accrual status until sufficient payments have been made to bring the past due principal and interest current at which point the loan would be transferred to accrual status. | |||||||||||||||||||||||||||||
There were no loans restructured as TDRs for the years ended December 31, 2014 and 2013. | |||||||||||||||||||||||||||||
There were no defaults during 2014 or 2013 for loans restructured within the prior twelve months. | |||||||||||||||||||||||||||||
PREMISES_AND_EQUIPMENT
PREMISES AND EQUIPMENT | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Property, Plant and Equipment [Abstract] | ||||||||
Premises And Equipment | NOTE 5 - PREMISES AND EQUIPMENT | |||||||
Premises and equipment consisted of the following at year end: | ||||||||
2014 | 2013 | |||||||
Land | $ | 4,028 | $ | 4,028 | ||||
Buildings | 13,150 | 13,116 | ||||||
Furniture and equipment | 3,593 | 3,584 | ||||||
Total cost | 20,771 | 20,728 | ||||||
Accumulated depreciation | -6,298 | -5,866 | ||||||
Net book value | $ | 14,473 | $ | 14,862 | ||||
DEPOSITS
DEPOSITS | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Banking and Thrift [Abstract] | ||||||||
DEPOSITS | NOTE 6 - DEPOSITS | |||||||
2014 | 2013 | |||||||
Non-interest bearing DDA | $ | 44,754 | $ | 39,613 | ||||
NOW | 71,492 | 72,545 | ||||||
Money market | 43,666 | 42,443 | ||||||
Regular savings | 71,199 | 74,389 | ||||||
Certificates and time deposits, $100,000 and over | 25,641 | 32,621 | ||||||
Other certificates and time deposits | 48,669 | 54,098 | ||||||
Total deposits | $ | 305,421 | $ | 315,709 | ||||
At December 31, 2014, scheduled maturities of certificates of deposit are as follows: | ||||||||
2015 | $ | 43,712 | ||||||
2016 | 19,006 | |||||||
2017 | 8,218 | |||||||
2018 | 2,677 | |||||||
2019 | 697 | |||||||
$ | 74,310 | |||||||
At December 31, 2014, total certificates and time deposits of $250,000 and over totaled $2,708,000. Deposits from related parties, as defined in Note 4, held by the Company at December 31, 2014 and 2013 totaled $2,449,000 and $2,478,000, respectively. | ||||||||
ADVANCES_FROM_THE_FEDERAL_HOME
ADVANCES FROM THE FEDERAL HOME LOAN BANK AND OTHER BORROWINGS | 12 Months Ended |
Dec. 31, 2014 | |
Banking and Thrift [Abstract] | |
Advances From The Federal Home Loan Bank and Other Borrowings | NOTE 7 - ADVANCES FROM THE FEDERAL HOME LOAN BANK AND OTHER BORROWINGS |
Advances from the Federal Home Loan Bank of Chicago totaled $2.0 million and $4.5 million at December 31, 2014 and 2013, respectively. There is one advance with an interest rate of 1.69% and is subject to restrictions or penalties in the event of prepayment. | |
The Company maintains a collateral pledge agreement covering advances whereby the Company has agreed to at all times keep on hand, free of all other pledges, liens, and encumbrances, whole first mortgage loans on improved residential property not more than 90 days delinquent, aggregating no less than 167 percent of the outstanding advances from the Federal Home Loan Bank of Chicago. As noted in Note 3, the Company has also pledged securities on these advances. | |
At December 31, 2014, the Company has one outstanding advance with the Federal Home Loan Bank of Chicago totaling $2.0 million maturing in 2015. | |
SUBORDINATED_DEBENTURES
SUBORDINATED DEBENTURES | 12 Months Ended |
Dec. 31, 2014 | |
Subordinated Borrowings [Abstract] | |
Subordinated Debentures | NOTE 8 - SUBORDINATED DEBENTURES |
The Company and its financing trust subsidiary, Community Financial Shares Trust II, a Delaware statutory trust, consummated the issuance and sale of an aggregate amount of $3,500,000 of the Trust’s floating rate capital securities in a pooled trust preferred transaction. The subordinated debentures accrue interest at a variable rate based on three-month LIBOR plus 1.62%, reset and payable quarterly. The interest rate at December 31, 2014 was 1.86%. The debentures will mature on September 21, 2037, at which time the preferred securities must be redeemed. In addition, the Company may redeem the preferred securities in whole or part, beginning June 21, 2012 at a redemption price of $1,000 per preferred security. | |
The Company has provided a full, irrevocable, and unconditional guarantee on a subordinated basis of the obligations of the Trust under the preferred securities in the event of the occurrence of an event of default, as defined in such guarantee. | |
The Company deferred all payments of interest on its Floating Rate Junior Subordinated Deferrable Interest Debentures due 2037 beginning with the March 15, 2011 interest payment period through the December 15, 2012 interest payment period. On December 21, 2012, immediately following the consummation of the Investment, the Company paid all outstanding accrued and additional interest on its Floating Rate Junior Subordinated Deferrable Interest Debentures due 2037 through the March 15, 2013 interest payment period in accordance with a written approval letter from the FRB. Subsequently, the Company elected to defer payments of interest on its Floating Rate Junior Subordinated Deferrable Interest Debentures due 2037 beginning with the June 15, 2013 interest payment period. All of the outstanding accrued and additional interest was subsequently brought current on December 15, 2014. | |
CAPITAL_REQUIREMENTS
CAPITAL REQUIREMENTS | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Banking and Thrift [Abstract] | |||||||||||||||||
Capital Requirements | NOTE 9 - CAPITAL REQUIREMENTS | ||||||||||||||||
On January 10, 2014, the Bank received notification from the Federal Deposit Insurance Corporation (the “FDIC”) and the Division of Banking of the Illinois Department of Financial and Professional Regulation (the “IDFPR”) that the Consent Order (the “Order”) issued to the Bank by the FDIC and IDFPR on January 21, 2011 was terminated effective January 10, 2014. The material terms and conditions of the Order were previously disclosed in the Company’s Current Report on Form 8-K filed on January 26, 2011. In connection with the termination of the Order, the Bank agreed to achieve Tier 1 capital at least equal to 8% of total assets and total capital at least equal to 12% of risk-weighted assets. At December 31, 2014, these capital ratios were 7.7% and 13.4%, respectively. | |||||||||||||||||
Capital adequacy guidelines and prompt corrective action regulations involve quantitative measures of assets, liabilities, and certain off-balance-sheet items calculated under regulatory accounting practices. Capital amounts and classifications are also subject to qualitative judgments by regulators about components, risk weightings, and other factors, and the regulators can lower classifications in certain cases. Failure to meet various capital requirements can initiate regulatory action that could have a direct material effect on the financial statements. | |||||||||||||||||
The prompt corrective action regulations provide five classifications, including well capitalized, adequately capitalized, undercapitalized, significantly undercapitalized, and critically undercapitalized, although these terms are not used to represent overall financial condition. If undercapitalized, capital distributions are limited, as are asset growth and expansion, and plans for capital restoration are required. The minimum requirements are: | |||||||||||||||||
Capital to Risk | Tier 1 | ||||||||||||||||
Weighted Assets | Capital to | ||||||||||||||||
Total | Tier 1 | Average Assets | |||||||||||||||
Well capitalized | 10 | % | 6 | % | 5 | % | |||||||||||
Adequately capitalized | 8 | 4 | 4 | ||||||||||||||
Undercapitalized | 6 | 3 | 3 | ||||||||||||||
The actual capital levels and minimum required levels for the Bank were as follows at December 31: | |||||||||||||||||
Minimum | |||||||||||||||||
for Capital | Minimum | ||||||||||||||||
Adequacy | to Be Well | ||||||||||||||||
Actual | Purposes | Capitalized | |||||||||||||||
Amount | Ratio | Amount | Ratio | Amount | Ratio | ||||||||||||
2014 | |||||||||||||||||
Total capital (to risk-weighted assets) | $ | 27,941 | 13.4 | % | $ | 16,672 | 8 | % | $ | 20,840 | 10 | % | |||||
Tier 1 capital (to risk-weighted assets) | 25,499 | 12.2 | 8,336 | 4 | 12,504 | 6 | |||||||||||
Tier 1 capital (to average assets) | 25,499 | 7.7 | 13,329 | 4 | 16,661 | 5 | |||||||||||
2013 | |||||||||||||||||
Total capital (to risk-weighted assets) | $ | 25,990 | 11.9 | % | $ | 17,426 | 8 | % | $ | 21,783 | 10 | % | |||||
Tier 1 capital (to risk-weighted assets) | 23,490 | 10.8 | 8,713 | 4 | 13,070 | 6 | |||||||||||
Tier 1 capital (to average assets) | 23,490 | 6.8 | 13,763 | 4 | 17,204 | 5 | |||||||||||
At December 31, 2014, regulatory approval is required for all dividend declarations by both the Bank and the Company. | |||||||||||||||||
RETIREMENT_PLANS
RETIREMENT PLANS | 12 Months Ended |
Dec. 31, 2014 | |
Compensation and Retirement Disclosure [Abstract] | |
Retirement Plans | NOTE 10 - RETIREMENT PLANS |
The Company maintains a profit sharing/401(k) plan, which covers substantially all employees. Employees may make contributions to the plan. Employer contributions to the plan are determined at the discretion of the Board of Directors. Annual employer contributions are charged to expense. Profit sharing/401(k) expense was $67,000 and $32,000 in 2014 and 2013, respectively. | |
The Company also maintains a nonqualified retirement program for directors. Expense for the directors’ retirement program was $24,000 and $23,000 in 2014 and 2013, respectively. | |
Under agreements with the Company, certain members of the Board of Directors have elected to defer their directors’ fees. The cumulative amount of deferred directors’ fees (included in other liabilities on the Company’s balance sheet) was $889,000 and $1.0 million for December 31, 2014 and 2013, respectively. The liabilities for the nonqualified retirement program for directors and for directors’ deferred fees are not secured by any assets of the Company. Deferred directors’ fees accounts were credited with interest at 2.52% in 2014. | |
INCOME_TAXES
INCOME TAXES | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Income Tax Disclosure [Abstract] | ||||||||
Income Taxes | NOTE 11 - INCOME TAXES | |||||||
Income tax consists of the following: | ||||||||
2014 | 2013 | |||||||
Currently payable tax | ||||||||
Federal | $ | - | $ | 145 | ||||
State | - | -145 | ||||||
Deferred tax | ||||||||
Federal | -1,866 | -3 | ||||||
State | -2,090 | 149 | ||||||
$ | -3,956 | $ | 146 | |||||
Income tax differs from federal statutory rates applied to financial statement income due to the following: | ||||||||
2014 | 2013 | |||||||
Federal rate of 34 percent | $ | 485 | $ | -898 | ||||
Add (subtract) effect of | ||||||||
Tax-exempt income, net of nondeductible interest expense | -123 | -92 | ||||||
State income tax, net of federal benefit | -1,380 | 4 | ||||||
Cash value of life insurance | -72 | -76 | ||||||
Valuation allowance | -2,904 | 1,058 | ||||||
Other items, net | 38 | 150 | ||||||
Income tax | $ | -3,956 | $ | 146 | ||||
The Company recorded a tax benefit of $4.0 million on $1.4 million pre-tax income for the year ended December 31, 2014. The tax benefit was composed entirely of a reverse of the deferred tax valuation allowance. | ||||||||
Year-end deferred tax assets and liabilities were due to the following: | ||||||||
2014 | 2013 | |||||||
Deferred tax assets | ||||||||
Allowance for loan losses | $ | 297 | $ | 1,120 | ||||
Deferred compensation | 545 | 598 | ||||||
Other-than-temporary-impairment | 50 | 52 | ||||||
Loss carryforward | 10,823 | 9,400 | ||||||
Net unrealized losses on securities available for sale | 165 | 1,149 | ||||||
AMT carryover | 275 | 263 | ||||||
Other real estate owned | 145 | 67 | ||||||
Other | 192 | 211 | ||||||
Total | 12,492 | 12,860 | ||||||
Deferred tax liabilities | ||||||||
Accumulated depreciation | -788 | -728 | ||||||
Deferred loan fees and costs, net | -149 | -155 | ||||||
Prepaid expenses | -54 | -57 | ||||||
Federal Home Loan Bank stock dividends | -44 | -47 | ||||||
State income taxes | -714 | -186 | ||||||
Other | - | -51 | ||||||
Total | -1,749 | -1,224 | ||||||
Valuation allowance | -6,625 | -10,487 | ||||||
Net deferred tax asset | $ | 4,118 | $ | 1,149 | ||||
The following is the activity in net deferred tax assets: | ||||||||
Balance, December 31, 2013 | $ | 1,149 | ||||||
Decrease in deferred tax assets | -368 | |||||||
Increase in deferred tax liabilities | -525 | |||||||
Decrease in valuation allowance | 3,862 | |||||||
Balance, December 31, 2014 | $ | 4,118 | ||||||
Due to the capital raise during 2012 previously discussed, the Company has had an ownership change pursuant to IRC Section 382. This ownership change limits the amount of net operating loss which can be used annually for federal tax purposes. Due to this annual limitation and the number of years in which the net operating loss can be carried forward, a significant portion of the net operating loss will likely never be used. At December 31, 2014, the Company had $25.6 million of federal loss carryforwards and $27.4 million of Illinois state loss carryforwards which expire in varying amounts beginning in 2029 and 2021, respectively. At December 31, 2014, the Company had approximately $275,000 of alternative minimum tax credits available to offset future federal income taxes. The credits have no expiration date. | ||||||||
EARNINGS_LOSS_PER_SHARE
EARNINGS (LOSS) PER SHARE | 12 Months Ended | ||||
Dec. 31, 2014 | |||||
Earnings Per Share [Abstract] | |||||
Earnings (Loss) Per Share | NOTE 12 – EARNINGS (LOSS) PER SHARE | ||||
The following is an analysis of the Company’s basic and diluted EPS, reflecting the application of the two-class method as of December 31, 2014 and 2013: | |||||
2014 | |||||
Net income available for distribution | $ | 5,383 | |||
Dividends and undistributed earnings allocated to participating securities | -3,442 | ||||
Income attributable to common shareholders | $ | 1,941 | |||
Average common shares outstanding for basic EPS | 10,781,988 | ||||
Effect of dilutive convertible preferred stock | - | ||||
Effect of dilutive stock options | 30 | ||||
Average common and common-equivalent shares for dilutive EPS | 10,782,018 | ||||
Basic | $ | 0.18 | |||
Diluted | $ | 0.18 | |||
2013 | |||||
Net income available for distribution | $ | -2,787 | |||
Dividends and undistributed earnings allocated to participating securities | - | ||||
Income attributable to common shareholders | $ | -2,787 | |||
Average common shares outstanding for basic EPS | 7,278,781 | ||||
Effect of dilutive convertible preferred stock | - | ||||
Effect of dilutive stock options | - | ||||
Average common and common-equivalent shares for dilutive EPS | 7,278,781 | ||||
Basic | $ | -0.38 | |||
Diluted | $ | -0.38 | |||
There were 20,680 and 23,580 anti-dilutive shares at December 31, 2014 and 2013, respectively. | |||||
STOCK_OPTIONS
STOCK OPTIONS | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||||||||||||
Stock Options | NOTE 13 - STOCK OPTIONS | |||||||||||
The Company has a nonqualified stock option plan (“Plan”) to attract, retain, and reward senior officers and directors and provide them with an opportunity to acquire or increase their ownership interest in the Company. | ||||||||||||
Under terms of the Plan, options for 40,400 shares of common stock were authorized for grant with an additional 4,600 options authorized in 2004. Options cannot be granted at exercise prices less than the fair market value of the stock at the grant date. Options granted under the Plan vest incrementally over periods of 5 to 10 years. The options also vest when the recipient attains age 72 or in the event of a change of control (as defined). The term of each option is ten years. | ||||||||||||
The Plan was amended at the November 29, 2006 Special Meeting of Stockholders. The number of shares reserved for issuance under the Plan was increased to 100,000 as a result of the 2-for-1 stock split which became effective December 27, 2006. | ||||||||||||
On September 19, 2013, the Company’s Board of Directors adopted the 2013 Stock Incentive Plan, subject to stockholders approval, which was obtained on January 3, 2014. The Board of Directors has reserved a total of 2,900,000 shares of the Company common stock for issuance upon the grant or exercise of awards made pursuant to the 2013 Stock Incentive Plan. It is anticipated that key personnel and consultants of the Company and its affiliates will participate in the Plan. | ||||||||||||
The fair value of each option award is estimated on the date of grant using a closed-form option valuation model that uses the assumptions in the following table. Expected volatility is based on the historical volatility of the Company’s stock. The expected term of options granted represents the average period of time that options are expected to be outstanding. The risk-free rate for the options granted is based on the U. S. Treasury rate for a similar term as the average expected term of the option. | ||||||||||||
There were no options granted or exercised during 2014. | ||||||||||||
A summary of option activity under the Plan as of December 31, 2014, and changes during the year then ended, is presented below: | ||||||||||||
Shares | Weighted-Average | Weighted-Average Remaining Contractual | Aggregate Intrinsic Value | |||||||||
Exercise Price | Term | |||||||||||
Outstanding, beginning of year | 23,580 | $ | 18.95 | |||||||||
Granted | - | - | ||||||||||
Exercised | - | - | ||||||||||
Forfeited or expired | -2,900 | 18.77 | ||||||||||
Outstanding, end of year | 20,680 | $ | 18.97 | 3.23 | $ | - | ||||||
Exercisable, end of year | 11,265 | $ | 21.27 | 2.58 | $ | - | ||||||
The weighted-average grant-date fair value of options granted during 2013 was $0.47. There were no options granted in 2014. In addition, no options were exercised for the years ended December 31, 2014 and 2013. | ||||||||||||
As of December 31, 2014, there was $29,000 of total unrecognized compensation cost related to non-vested share-based compensation arrangements granted under the Plan. That cost is expected to be recognized over a weighted-average period of five years. | ||||||||||||
During 2014, the Company recognized approximately $9,000 of share-based compensation expense and approximately $4,000 of tax benefit related to the share based compensation expense. | ||||||||||||
OFFBALANCESHEET_ACTIVITIES
OFF-BALANCE-SHEET ACTIVITIES | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Risks and Uncertainties [Abstract] | ||||||||
Off Balance Sheet Activities | NOTE 14 - OFF-BALANCE-SHEET ACTIVITIES | |||||||
Some financial instruments, such as loan commitments, credit lines, letters of credit, and overdraft protection, are issued to meet customer financing needs. These are agreements to provide credit or to support the credit of others, as long as conditions established in the contract are met, and usually have expiration dates. Commitments may expire without being used. Off-balance-sheet risk to credit loss exists up to the face amount of these instruments, although material losses are not anticipated. The same credit policies are used to make such commitments as are used for loans, including obtaining collateral at exercise of the commitment. The Company is not aware of any event, demand, commitment, trend or uncertainty that will result in, or is reasonably likely to result in, the termination or material reduction in availability of off-balance sheet arrangements that provide a material benefit to the Company. | ||||||||
The contractual amount of financial instruments with off-balance-sheet risk was as follows at year end. | ||||||||
2014 | 2013 | |||||||
Financial standby letters of credit | $ | 74 | $ | 199 | ||||
Commitments to originate loans | - | 2,216 | ||||||
Unused lines of credit and letters of credit | 44,147 | 54,882 | ||||||
DISCLOSURES_ABOUT_FAIR_VALUE_O
DISCLOSURES ABOUT FAIR VALUE OF FINANCIAL INSTRUMENTS | 12 Months Ended | |||||||||||||
Dec. 31, 2014 | ||||||||||||||
Investments All Other Investments [Abstract] | ||||||||||||||
Disclosures about Fair Value of Assets and Liabilities | NOTE 15 - DISCLOSURES ABOUT FAIR VALUE OF FINANCIAL INSTRUMENTS | |||||||||||||
The Company measures fair value according to the Financial Accounting Standards Board Accounting Standards Codification (ASC) Fair Value Measurements and Disclosures (ASC 820-10). ASC 820-10 establishes a fair value hierarchy that prioritizes the inputs used in valuation techniques, but not the valuation techniques themselves. The fair value hierarchy is designed to indicate the relative reliability of the fair value measure. The highest priority given to quoted prices in active markets and the lowest to unobservable data such as the Company’s internal information. ASC 820-10 defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. There are three levels of inputs into the fair value hierarchy (Level 1 being the highest priority and Level 3 being the lowest priority): | ||||||||||||||
Level 1 | Quoted prices in active markets for identical assets or liabilities. | |||||||||||||
Level 2 | 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 3 | Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. | |||||||||||||
The following is a description of the valuation methodologies used for instruments measured at fair value on a recurring basis and recognized in the accompanying balance sheets, as well as the general classification of such instruments pursuant to the valuation hierarchy. | ||||||||||||||
Available-for-sale Securities | ||||||||||||||
If quoted market prices are not available, then fair values are estimated by using pricing models, quoted prices of securities with similar characteristics or discounted cash flows. Level 2 securities include all except preferred stock, which are Level 1 securities of available-for-sale securities. Third party vendors compile prices from various sources and may apply such techniques as matrix pricing to determine the value of identical or similar investment securities (Level 2). Matrix pricing is a mathematical technique widely used in the banking industry to value investment securities without relying exclusively on quoted prices for specific investment securities but rather on the investment securities’ relationship to other benchmark quoted investment securities. The following tables are as of December 31, 2014 and 2013, respectively: | ||||||||||||||
At December 31, 2014 | ||||||||||||||
Fair Value Measurements Using | ||||||||||||||
Fair | ||||||||||||||
Value | Level 1 | Level 2 | Level 3 | |||||||||||
Available for sale securities: | ||||||||||||||
U.S. government agency debt securities | $ | 7,738 | $ | - | $ | 7,738 | $ | - | ||||||
State and political subdivisions | 19,913 | - | 19,913 | - | ||||||||||
U.S. government agency mortgage-backed securities | 66,139 | - | 66,139 | - | ||||||||||
Preferred stock | 15 | 15 | - | - | ||||||||||
SBA securities | 12,180 | - | 12,180 | - | ||||||||||
Total available for sale securities | $ | 105,985 | $ | 15 | $ | 105,970 | $ | - | ||||||
At December 31, 2013 | ||||||||||||||
Fair Value Measurements Using | ||||||||||||||
Fair | ||||||||||||||
Value | Level 1 | Level 2 | Level 3 | |||||||||||
Available for sale securities: | ||||||||||||||
U.S. government agency debt securities | $ | 11,059 | $ | - | $ | 11,059 | $ | - | ||||||
State and political subdivisions | 16,367 | - | 16,367 | - | ||||||||||
U.S. government agency mortgage-backed securities | 60,065 | - | 60,065 | - | ||||||||||
Preferred stock | 35 | 35 | - | - | ||||||||||
SBA securities | 8,303 | - | 8,303 | - | ||||||||||
Total available for sale securities | $ | 95,829 | $ | 35 | $ | 95,794 | $ | - | ||||||
The following is a description of the valuation methodologies used for instruments measured at fair value on a non-recurring basis and recognized in the accompanying December 31, 2014 and 2013 balance sheets, as well as the general classification of such instruments pursuant to the valuation hierarchy. | ||||||||||||||
Impaired Loans (Collateral Dependent) | ||||||||||||||
Loans for which it is probable that the Bank will not collect all principal and interest due according to contractual terms are measured for impairment. Allowable methods for determining the amount of impairment include estimating fair value using the fair value of the collateral for collateral-dependent loans, based on current appraisals. If the impaired loan is identified as collateral dependent, then the fair value method of measuring the amount of impairment is utilized. This method requires obtaining a current independent appraisal of the collateral and applying a discount factor to the value. | ||||||||||||||
The Company considers the appraisal or evaluation as the starting point for determining fair value and then considers other factors and events in the environment that may affect fair value. The Company’s practice is to obtain new or updated appraisals on the loans subject to initial impairment review and then to generally update on an annual basis thereafter. The Company discounts the appraisal amount as necessary for selling costs and past due real estate taxes. If a new or updated appraisal is not available at the time of a loan’s impairment review, the Company typically applies a discount to the value of an old appraisal to reflect the property’s current estimated value if there is believed to be deterioration in either (i) the physical or economic aspects of the subject property or (ii) any market conditions. These discounts are developed by the Company’s Chief Credit Officer. The results of the impairment review results in an increase in the allowance for loan loss or in a partial charge-off of the loan, if warranted. Impaired loans that are collateral dependent are classified within Level 3 of the fair value hierarchy when impairment is determined using the fair value method based on current appraisals. | ||||||||||||||
Other Real Estate Owned | ||||||||||||||
Other real estate owned (OREO) is carried at the lower of fair value at acquisition date or current estimated fair value, less estimated cost to sell when the real estate is acquired. Estimated fair value of OREO is based on appraisals or evaluations. OREO is classified within Level 3 of the fair value hierarchy. Appraisals of OREO are obtained when the real estate is acquired and subsequently as deemed by the Chief Credit Officer (CCO). Appraisals are reviewed for accuracy and consistency by the CCO. Appraisers are selected from the list of approved appraisers maintained by management. | ||||||||||||||
The following tables are as of December 31, 2014 and 2013, respectively: | ||||||||||||||
At December 31, 2014 | ||||||||||||||
Fair Value Measurements Using | ||||||||||||||
Fair | ||||||||||||||
Value | Level 1 | Level 2 | Level 3 | |||||||||||
Impaired loans (Collateral Dependent) | $ | 858 | $ | - | $ | - | $ | 858 | ||||||
Other real estate owned | 1,451 | - | - | 1,451 | ||||||||||
At December 31, 2013 | ||||||||||||||
Fair Value Measurements Using | ||||||||||||||
Fair | ||||||||||||||
Value | Level 1 | Level 2 | Level 3 | |||||||||||
Impaired loans (Collateral Dependent) | $ | 2,906 | $ | - | $ | - | $ | 2,906 | ||||||
Other real estate owned | 2,269 | - | - | 2,269 | ||||||||||
The following table presents quantitative information about unobservable inputs in recurring and nonrecurring Level 3 fair value measurements: | ||||||||||||||
As of December 31, 2014 | ||||||||||||||
Fair | Valuation | Unobservable | ||||||||||||
Value | Technique | Inputs | Range | |||||||||||
Impaired loans | $ | 858 | Market | Marketability | 2.3% - 36.0% | |||||||||
comparable | discount | Weighted Avg. 15% | ||||||||||||
properties | ||||||||||||||
Other real estate owned | 1,451 | Fair value | Marketability | 2.5% - 40.0% | ||||||||||
appraisals | discount | Weighted Avg. 22% | ||||||||||||
As of December 31, 2013 | ||||||||||||||
Fair | Valuation | Unobservable | ||||||||||||
Value | Technique | Inputs | Range | |||||||||||
Impaired loans | $ | 2,906 | Market | Marketability | 5% - 30.7% | |||||||||
comparable | discount | Weighted Avg. 16% | ||||||||||||
properties | ||||||||||||||
Other real estate owned | 2,269 | Fair value | Marketability | 0.0% - 23.8% | ||||||||||
appraisals | discount | Weighted Avg. 18% | ||||||||||||
The following table presents estimated fair values of the Company’s financial instruments and the level within the fair value hierarchy in which the fair value measurements fall at December 31, 2014 and 2013: | ||||||||||||||
At December 31, 2014 | ||||||||||||||
Fair Value Measurements Using | ||||||||||||||
Carrying | ||||||||||||||
Amount | Level 1 | Level 2 | Level 3 | |||||||||||
Financial assets | ||||||||||||||
Cash and cash equivalents | $ | 23,615 | $ | 23,615 | $ | - | - | |||||||
Securities available for sale | 105,985 | 15 | 105,970 | - | ||||||||||
Loans receivable, net | 182,573 | - | - | 184,044 | ||||||||||
Federal Home Loan Bank stock | 1,119 | - | 1,119 | - | ||||||||||
Interest receivable | 1,058 | - | 1,058 | - | ||||||||||
- | ||||||||||||||
Financial liabilities | ||||||||||||||
Deposits | 305,421 | - | 305,333 | - | ||||||||||
Federal Home Loan Bank advances | 2,000 | - | 2,023 | - | ||||||||||
Subordinated debentures | 3,609 | - | - | 1,293 | ||||||||||
Interest payable | 93 | - | 93 | - | ||||||||||
At December 31, 2013 | ||||||||||||||
Fair Value Measurements Using | ||||||||||||||
Carrying | ||||||||||||||
Amount | Level 1 | Level 2 | Level 3 | |||||||||||
Financial assets | ||||||||||||||
Cash and cash equivalents | $ | 29,553 | $ | 29,553 | $ | - | - | |||||||
Interest-bearing time deposits | 945 | 945 | - | - | ||||||||||
Securities available for sale | 95,829 | 35 | 95,794 | - | ||||||||||
Loans held for sale | 804 | - | 804 | - | ||||||||||
Loans receivable, net | 193,451 | - | - | 193,864 | ||||||||||
Federal Home Loan Bank stock | 926 | - | 926 | - | ||||||||||
Interest receivable | 884 | - | 884 | - | ||||||||||
Financial liabilities | ||||||||||||||
Deposits | 315,709 | - | 303,199 | - | ||||||||||
Federal Home Loan Bank advances | 4,500 | - | 4,478 | - | ||||||||||
Subordinated debentures | 3,609 | - | - | 1,259 | ||||||||||
Interest payable | 169 | - | 169 | - | ||||||||||
The methods and assumptions used to estimate fair value are described as follows: | ||||||||||||||
Carrying amount is the estimated fair value for cash and cash equivalents, interest-bearing time deposits, loans held for sale, Federal Home Loan Bank stock, interest receivable and payable, deposits due on demand, variable rate loans and other borrowings. Security fair values are based on market prices or dealer quotes and, if no such information is available, on the rate and term of the security and information about the issuer. For fixed rate loans and time deposits, fair value is based on discounted cash flows using current market rates applied to the estimated life and credit risk. Fair values for impaired loans are estimated using discounted cash flow analysis or underlying collateral values. The fair values of fixed rate Federal Home Loan Bank advances, other borrowings and subordinated debentures are based on current rates for similar financing. The fair value of off-balance-sheet items, which is based on the current fees or cost that would be charged to enter into or terminate such arrangements, is immaterial. | ||||||||||||||
While the above estimates are based on management's judgment of the most appropriate factors, there is no assurance that were the Company to have disposed of these items on the respective dates, the fair values would have been achieved, because the market value may differ depending on the circumstances. The estimated fair values at year end should not necessarily be considered to apply at subsequent dates. | ||||||||||||||
Other assets and liabilities that are not financial instruments, such as premises and equipment, are not included in the above disclosures. Also, nonfinancial instruments typically not recognized on the balance sheets may have value but are not included in the above disclosures. These include, among other items, the estimated earnings power of core deposits, the trained workforce, customer goodwill, and similar items. | ||||||||||||||
CONDENSED_FINANCIAL_INFORMATIO
CONDENSED FINANCIAL INFORMATION (PARENT COMPANY ONLY) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | ||||||||
Condensed Financial Information (Parent Company Only) | Note 16 - Condensed Financial Information (Parent Company Only) | |||||||
Presented below is condensed financial information as to financial position, results of operations and cash flows of the Company: | ||||||||
Condensed Balance Sheets | ||||||||
December 31, | ||||||||
2014 | 2013 | |||||||
Assets | ||||||||
Cash on deposit with the Bank | $ | 3,014 | $ | 3,499 | ||||
Investment in common stock of the Bank | 29,048 | 21,673 | ||||||
Other assets | 130 | 134 | ||||||
Total assets | $ | 32,192 | $ | 25,306 | ||||
Liabilities | ||||||||
Long-term debt | $ | 3,609 | $ | 3,609 | ||||
Other liabilities | 7 | 70 | ||||||
Total liabilities | 3,616 | 3,679 | ||||||
Stockholders’ Equity | 28,576 | 21,627 | ||||||
Total liabilities and stockholders’ equity | $ | 32,192 | $ | 25,306 | ||||
Condensed Statements of Operations and Comprehensive Income (Loss) | ||||||||
Years Ended December 31, | ||||||||
2014 | 2013 | |||||||
Income | $ | 7 | $ | 4 | ||||
Expenses | ||||||||
Interest expense | 70 | 69 | ||||||
Other expenses | 373 | 327 | ||||||
Total expenses | 443 | 396 | ||||||
Loss before income tax expense and | -436 | -392 | ||||||
undistributed loss of the bank | ||||||||
Income tax expense | - | - | ||||||
Loss before equity in undistributed | -436 | -392 | ||||||
loss of the bank | ||||||||
Equity in undistributed income (loss) of the bank | 5,819 | -2,395 | ||||||
Net income (loss) | 5,383 | -2,787 | ||||||
Net change in unrealized gains (losses) on available-for-sale | ||||||||
Securities | 1,557 | -2,048 | ||||||
Total comprehensive income (loss) | $ | 6,940 | $ | -4,835 | ||||
Condensed Statements of Cash Flows | ||||||||
Years Ended December 31, | ||||||||
2014 | 2013 | |||||||
Operating Activities | ||||||||
Net income (loss) | $ | 5,383 | $ | -2,787 | ||||
Equity in undistributed (income) loss of the Bank | -5,819 | 2,395 | ||||||
Compensation cost of stock options | 9 | 10 | ||||||
Other changes | -58 | 385 | ||||||
Net cash provided by (used in) operating activities | -485 | 3 | ||||||
Investment in Bank | - | -700 | ||||||
Financing Activities | ||||||||
Net capital raise proceeds | - | 4,100 | ||||||
Net cash provided by financing activities | - | 4,100 | ||||||
Net change in cash on deposit with the bank | -485 | 3,403 | ||||||
Cash on deposit with the bank at beginning of year | 3,499 | 96 | ||||||
Cash on deposit with the bank at end of year | $ | 3,014 | $ | 3,499 | ||||
REGULATORY_AND_SUPERVISORY_MAT
REGULATORY AND SUPERVISORY MATTERS | 12 Months Ended |
Dec. 31, 2014 | |
Disclosure Regulatory And Supervisory Matters Additional Information Abstract [Abstract] | |
Regulatory And Supervisory Matters | NOTE 17 - REGULATORY AND SUPERVISORY MATTERS |
As previously disclosed, on January 10, 2014, the Bank received notification from the FDIC and the IDFPR that the Order to the Bank by the FDIC and IDFPR on January 21, 2011 was terminated effective January 10, 2014. The material terms and conditions of the Order were previously disclosed in the Company’s Current Report on Form 8-K filed on January 26, 2011. In connection with the termination of the Order, the Bank agreed to achieve Tier 1 capital at least equal to 8% of total assets and total capital at least equal to 12% of risk-weighted assets. At December 31, 2014 our Tier 1 and total capital ratios were 7.7% and 13.4%, respectively, compared to 7.7% and 12.9% at September 30, 2014, 7.2% and 12.5% at June 30, 2014, 7.0% and 12.0% at March 31, 2014 and 6.8% and 11.9% at December 31, 2013, respectively. | |
SUBSEQUENT_EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Dec. 31, 2014 | |
Subsequent Events [Abstract] | |
Subsequent Events | NOTE 18 – SUBSEQUENT EVENTS |
On March 2, 2015, the Company entered into an Agreement and Plan of Merger (the “Merger Agreement”) with Wintrust Financial Corporation (“Wintrust”), an Illinois corporation, and Wintrust Merger Sub LLC (“Merger Co.”), an Illinois limited liability company and wholly owned subsidiary of Wintrust. The Merger Agreement provides for, subject to the satisfaction or waiver of certain conditions, the acquisition of the Company by Wintrust for aggregate consideration intended to total $42,375,000, subject to certain adjustments as set forth in the Merger Agreement, as described further below. The Merger Agreement provides that, upon the terms and subject to the conditions set forth therein, the Company will merge with and into Merger Co. (the “Merger”), with Merger Co. as the surviving corporation in the Merger. The Merger Agreement also provides that, following the approval of certain amendments to the Company’s articles of incorporation by the Company’s stockholders, each outstanding share of the Company’s Series C preferred stock, Series D preferred stock and Series E preferred stock (collectively, the “Company Preferred Stock”) will automatically convert into shares of Company common stock immediately prior to the effective time of the Merger (the “Effective Time”), without any action on the part of the holder (the “Preferred Stock Conversion”). The Merger Agreement also contemplates that, prior to the closing date of the Merger, each option granted by the Company to purchase Company common stock that is outstanding and unexercised as of the date of the Merger Agreement will be terminated, cancelled and redeemed by the Company, and holders of such options will not be entitled to receive the merger consideration. | |
At the Effective Time, shares of Company common stock outstanding (including shares of Company Preferred Stock which will have been converted into Company common stock in connection with the Preferred Stock Conversion and excluding shares held by the Company and its subsidiary bank and dissenting shares) will be converted into the right to receive the merger consideration, which is intended to be paid approximately 50% in cash and approximately 50% in shares of Wintrust common stock. The total number of shares of Wintrust common stock to be issued to Company stockholders will be calculated by dividing $21,187,500 by the average, calculated for the ten trading day period ending on the second trading day preceding the closing date of the Merger, of the volume-weighted average price of Wintrust’s common stock for each trading day during such period(the “Wintrust Common Stock Price”); provided, however, that if the Wintrust Common Stock Price is less than $42.50, then the number of Wintrust common shares to be issued to Company stockholders will be 498,530, and if the Wintrust Common Stock Price is greater than $52.50, then the number of Wintrust common shares to be issued to Company stockholders shall be 403,572, subject in each case to adjustment as set forth in the Merger Agreement. If the Company fails to achieve a specified adjusted net worth, calculated as set forth in the Merger Agreement, as of the closing, then the aggregate consideration to be paid to Company stockholders shall be reduced dollar-for-dollar by an amount equal to the amount of such shortfall, as set forth in the Merger Agreement. | |
The completion of the Merger is subject to certain closing conditions, including, among others, (i) the receipt of required regulatory approvals and expiration of required regulatory waiting periods; (ii) receipt of requisite approvals by the Company’s stockholders of the Merger and other transactions contemplated in the Merger Agreement, including the Preferred Stock Conversion; (iii) the absence of dissenting stockholders representing greater than 5% of the shares of outstanding common stock of the Company (including shares of Company Preferred Stock which will have been converted into Company common stock in connection with the Preferred Stock Conversion); (iv) the absence of certain litigation or orders; and (v) the filing by the Company with appropriate tax authorities of certain amendments to the Company’s consolidated federal and state income tax returns. | |
The Merger Agreement provides certain termination rights for both Wintrust and the Company and further provides that a termination fee of either $900,000 or $1,750,000, plus documented out-of-pocket expenses and costs not to exceed $325,000, will be payable by the Company upon termination of the Merger Agreement under certain circumstances. The Merger Agreement also provides that a termination fee of $900,000, plus documented out-of-pocket expenses and costs not to exceed $325,000, will be payable by Wintrust upon termination of the Merger Agreement under certain circumstances. | |
NATURE_OF_BUSINESS_AND_SUMMARY1
NATURE OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2014 | |
Accounting Policies [Abstract] | |
Nature of Operations and Principles of Consolidation | Nature of Operations and Principles of Consolidation: The consolidated financial statements include Community Financial Shares, Inc. (the Holding Company) and its wholly owned subsidiary, Community Bank - Wheaton/Glen Ellyn (the Bank) together referred to herein as the Company. |
The Bank was chartered by the Illinois Commissioner of Banks and Real Estate in 1994. The Bank provides a range of banking and financial services through its operation as a commercial bank with offices located in Wheaton and Glen Ellyn, Illinois. The Bank's primary activities include deposit services and commercial and retail lending. Interest income is also earned on investments in debt securities, federal funds sold, and short-term investments. | |
Significant intercompany transactions and balances have been eliminated in consolidation. | |
Internal financial information is reported and aggregated as one line of business. | |
Use of Estimates | Use of Estimates: To prepare financial statements in conformity with accounting principles generally accepted in the United States of America, management makes estimates and assumptions based on available information. These estimates and assumptions affect the amounts reported in the financial statements and the disclosures provided and future results could differ. The allowance for loan losses and fair values of financial instruments are particularly subject to change. |
Securities | Securities: Certain debt securities that management has the positive intent and ability to hold to maturity are classified as “held to maturity” and recorded at amortized cost. Securities not classified as held to maturity, including equity securities with readily determinable fair values, are classified as “available for sale” and recorded at fair value, with unrealized gains and losses excluded from earnings and reported in other comprehensive income. Purchase premiums and discounts are recognized in interest income using the interest method over the terms of the securities. Gains and losses on the sale of securities are recorded on the trade date and are determined using the specific identification method. |
When the Company does not intend to sell a debt security, and it is more likely than not, the Company will not have to sell the security before recovery of its cost basis, it recognizes the credit component of an other-than-temporary impairment of a debt security in earnings and the remaining portion in other comprehensive income. For held-to-maturity debt securities, the amount of an other-than-temporary impairment recorded in other comprehensive income for the noncredit portion of a previous other-than-temporary impairment is amortized prospectively over the remaining life of the security on the basis of the timing of future estimated cash flows of the security. | |
For equity securities, when the Company has decided to sell an impaired available-for-sale security and the entity does not expect the fair value of the security to fully recover before the expected time of sale, the security is deemed other-than-temporarily impaired in the period in which the decision to sell is made. The Company recognizes an impairment loss when the impairment is deemed other than temporary even if a decision to sell has not been made. | |
Loans Held for Sale | Loans Held for Sale: Mortgage loans originated and intended for sale in the secondary market are carried at the lower of cost or fair value in the aggregate. Net unrealized losses, if any, are recognized through a valuation allowance by charges to noninterest income. Gains and losses on loan sales are recorded in noninterest income, and direct loan origination costs and fees are deferred at origination of the loan and are recognized in noninterest income upon sale of the loan. |
Loans and Loan Income | Loans and Loan Income: Loans that management has the intent and ability to hold for the foreseeable future or until maturity or payoffs are reported at their outstanding principal balances adjusted for unearned income, charge-offs, the allowance for loan losses, any unamortized deferred fees or costs on originated loans and unamortized premiums or discounts on purchased loans. |
For loans amortized at cost, interest income is accrued based on the unpaid principal balance. Loan origination fees, net of certain direct origination costs, as well as premiums and discounts, are deferred and amortized as a level yield adjustment over the respective term of the loan. | |
The accrual of interest on mortgage and commercial loans is discontinued at the time the loan is 90 days past due unless the credit is well-secured and in process of collection. Past due status is based on contractual terms of the loan. In all cases, loans are placed on nonaccrual or charged off at an earlier date if collection of principal or interest is considered doubtful. | |
All interest accrued but not collected for loans that are placed on nonaccrual or charged off are reversed against interest income. The interest on these loans is accounted for on the cash-basis or cost-recovery method, until qualifying for return to accrual. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. | |
Discounts and premiums on purchased residential real estate loans are amortized to income using the interest method over the remaining period to contractual maturity, adjusted for anticipated prepayments. Discounts and premiums on purchased consumer loans are recognized over the expected lives of the loans using methods that approximate the interest method. | |
Allowance for Loan Losses | Allowance for Loan Losses: The allowance for loan losses is established as losses are estimated to have occurred through a provision for loan losses charged to income. 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 collectibility of the loans in light of historical experience, the nature and volume of the loan portfolio, adverse situations that may affect the borrower’s ability to repay, estimated value of any underlying collateral and prevailing economic conditions. This evaluation is inherently subjective as it requires estimates that are susceptible to significant revision as more information becomes available. | |
The allowance consists of allocated and general components. The allocated component relates to loans that are classified as impaired. For those loans that are classified as impaired, an allowance is established when the discounted cash flows (or collateral value or observable market price) of the impaired loan is lower than the carrying value of that loan. The general component covers nonclassified loans and is based on historical charge-off experience and expected loss given default derived from the Company’s internal risk rating process. Other adjustments may be made to the allowance for pools of loans after an assessment of internal or external influences on credit quality that are not fully reflected in the historical loss or risk rating data. | |
A loan is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement. Factors considered by management in determining impairment include payment status, collateral value and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record and the amount of the shortfall in relation to the principal and interest owed. Impairment is measured on a loan-by-loan basis for commercial and construction loans by either the present value of expected future cash flows discounted at the loan’s effective interest rate, the loan’s obtainable market price or the fair value of the collateral if the loan is collateral dependent. | |
Groups of loans with similar risk characteristics are collectively evaluated for impairment based on the group’s historical loss experience adjusted for changes in trends, conditions and other relevant factors that affect repayment of the loans. Accordingly, the Company does not separately identify individual consumer and residential loans for impairment measurements, unless such loans are the subject of a restructuring agreement due to financial difficulties of the borrower. | |
Federal Home Loan Bank Stock | Federal Home Loan Bank Stock: Federal Home Loan Bank (FHLB) stock is a required investment for institutions that are members of the Federal Home Loan Bank system. The required investment in the common stock is based on a predetermined formula. |
The Bank owned $1,118,900 and $925,700 of FHLB stock as of December 31, 2014 and 2013, respectively. The FHLB of Chicago paid average cash dividends totaling 0.50% and 0.30% in 2014 and 2013, respectively. The FHLB will continue to assess their dividend capacity each quarter, and will obtain the necessary approval if a dividend is to be made. Management performed an analysis and deemed the investment in FHLB stock was not impaired. | |
Foreclosed Assets | Foreclosed Assets: Assets acquired through or instead of loan foreclosure are initially recorded at fair value less costs to sell when acquired, establishing a new cost basis. If fair value declines, a valuation allowance is recorded through expense. Costs incurred after acquisition that do not meet the criteria for capitalization are expensed. |
Premises and Equipment | Premises and Equipment: Land is carried at cost. Premises and equipment are stated at cost less accumulated depreciation. Buildings and related components are depreciated using the straight-line method with useful lives ranging from 10 to 50 years. Furniture, fixtures, and equipment are depreciated using the straight-line (or accelerated) method with useful lives ranging from 3 to 10 years. |
Long-Term Assets | Long-Term Assets: Premises and equipment and other long-term assets are reviewed for impairment when events indicate that their carrying amount may not be recoverable from future undiscounted cash flows. If impaired, the assets are recorded at fair value. |
Stock Compensation | Stock Compensation: At December 31, 2014, the Company has a stock-based employee compensation plan, which is described more fully in Note 13. |
Income Taxes | Income Taxes: The Company accounts for income taxes in accordance with income tax accounting guidance (ASC 740, Income Taxes). The income tax accounting guidance results in two components of income tax expense: current and deferred. Current income tax expense reflects taxes to be paid or refunded for the current period by applying the provisions of the enacted tax law to the taxable income or excess of deductions over revenues. The Company determines deferred income taxes using the liability (or balance sheet) method. Under this method, the net deferred tax asset or liability is based on the tax effects of the differences between the book and tax bases of assets and liabilities, and enacted changes in tax rates and laws are recognized in the period in which they occur. Deferred income tax expense results from changes in deferred tax assets and liabilities between periods. Deferred tax assets are reduced by a valuation allowance if, based on the weight of evidence available, it is more likely than not that some portion or all of a deferred tax asset will not be realized. |
Uncertain tax positions are recognized if it is more likely than not, based on the technical merits, that the tax position will be realized or sustained upon examination. The term more likely than not means a likelihood of more than 50 percent; the terms examined and upon examination also include resolution of the related appeals or litigation processes, if any. A tax position that meets the more-likely-than-not recognition threshold is initially and subsequently measured as the largest amount of tax benefit that has a greater than 50 percent likelihood of being realized upon settlement with a taxing authority that has full knowledge of all relevant information. The determination of whether or not a tax position has met the more-likely-than-not recognition threshold considers the facts, circumstances and information available at the reporting date and is subject to management’s judgment. The Company recognizes interest and penalties on income taxes as a component of income tax expense. | |
The Company files consolidated income tax returns with its subsidiaries. | |
With few exceptions, the Company is no longer subject to U.S. federal, state and local or non U.S. income tax examinations by tax authorities for years prior to 2011. The Company has net operating loss carryovers for federal and Illinois purposes for all years subsequent and including 1999 and 1998, respectively. To the extent these losses get used to offset future years’ taxable income, the taxing authorities have the right to audit those loss years. | |
Off-balance-sheet Financial Instruments | Off-balance-sheet Financial Instruments: Financial instruments include off-balance-sheet credit instruments, such as commitments to make loans and standby letters of credit, issued to meet customer financing needs. The face amount for these items represents the exposure to loss, before considering customer collateral or ability to repay. Such financial instruments are recorded when they are funded. |
Statements of Cash Flows | Statements of Cash Flows: For purposes of reporting cash flows, cash and cash equivalents include cash on hand, amounts due from banks, and interest-bearing deposits. Most federal funds are sold for one-day periods. Net cash flows are reported for customer loan and deposit transactions. |
Earnings Per Share | Earnings Per Share: Basic earnings per share is net income available to common shareholders divided by the weighted average number of shares outstanding during the year. Diluted earnings per share include the dilutive effect of additional potential shares issuable under stock options. For 2014 the Company is required to calculate basic and diluted earnings per share using the two-class method. Calculations of earnings per share under the two- class method (i) exclude from the numerator any dividends paid or owed on participating securities and any undistributed earnings considered to be attributable to participating securities and (ii) exclude from the denominator the dilutive impact of the participating securities. |
Comprehensive Income or Loss | Comprehensive Income or Loss: Comprehensive income or loss consists of net income or loss and other comprehensive income or loss. Other comprehensive income or loss includes unrealized gains and losses on securities available for sale, which are also recognized as a separate component of equity. |
Dividend Restriction | Dividend Restriction: Banking regulations require maintaining certain capital levels and may limit the dividends paid by the Bank to the Holding Company or by the Holding Company to the stockholders. In addition, the Bank and the Holding Company are currently subject to regulatory orders limiting their ability to declare and pay dividends. See Note 9 for more information. In addition, pursuant to the terms of the Merger Agreement, the Company may not declare or pay any dividends or other distributions prior to the Effective Time without prior written consent of Wintrust. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments: Fair values of financial instruments are estimated using relevant market information and other assumptions, as more fully disclosed in a separate note. Fair value estimates involve uncertainties and matters of significant judgment regarding interest rates, credit risk, prepayments, and other factors, especially in the absence of active markets for particular items. Changes in assumptions or in market conditions could significantly affect the estimates. |
Recently Issued Accounting Standards | Recently Issued Accounting Standards: Accounting Standards Update No. 2014-08- Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity – In April 2014, FASB issued ASU 2014-08. This update seeks to better define the groups of assets which qualify for discontinued operations, in order to ease the burden and cost for prepares and stakeholders. This issue changed “the criteria for reporting discontinued operations” and related reporting requirements, including the provision for disclosures about the “disposal of and individually significant component of an entity that does not qualify for discontinued operations presentation.” |
The amendments in this Update are effective for fiscal years beginning after December 15, 2014. Early adoption is permitted only for disposals or classifications as held for sale. The Company adopted the methodologies prescribed by this ASU by the date required, and this ASU did not have a material effect on its financial position or results of operations. | |
Accounting Standards Update No. 2014-09- Revenue from Contracts with Customers – In May 2014, FASB, in joint cooperation with IASB, issued ASU 2014-09. The topic of Revenue Recognition had become broad, with several other regulatory agencies issuing standards which lacked cohesion. The new guidance establishes a “common framework” and “reduces the number of requirements to which an entity must consider in recognizing revenue” and yet provides improved disclosures to assist stakeholders reviewing financial statements. | |
The amendments in this Update are effective for annual reporting periods beginning after December 15, 2016. Early adoption is not permitted. The Company will adopt the methodologies prescribed by this ASU by the date required, and does not anticipate that the ASU will have a material effect on its financial position or results of operations. | |
Accounting Standards Update No. 2014-11- Transfers and Servicing – In June 2014, FASB, issued ASU 2014-11. This update addresses the concerns of stakeholders’ by changing the accounting practices surrounding repurchase agreements. The new guidance changes the “accounting for repurchase-to-maturity transactions and linked repurchase financings to secured borrowing accounting, which is consistent with the accounting for other repurchase agreements.” | |
The amendments in this Update are effective for annual reporting periods beginning after December 15, 2015. Early adoption is prohibited. The Company adopted the methodologies prescribed by this ASU by the date required, and this ASU did not have a material effect on its financial position or results of operations. | |
Accounting Standards Update No. 2014-12- Compensation – Stock Compensation – In June 2014, FASB, issued ASU 2014-12. This update defines the accounting treatment for share-based payments and “resolves the diverse accounting treatment of those awards in practice.” The new requirement mandates that “a performance target that affects vesting and that could be achieved after the requisite service period be treated as a performance condition.” | |
Compensation cost will now be recognized in the period in which it becomes likely that the performance target will be met. | |
The amendments in this Update are effective for annual reporting periods beginning after December 15, 2015. Early adoption is permitted. The Company adopted the methodologies prescribed by this ASU by the date required, and this ASU did not have a material effect on its financial position or results of operations. | |
SECURITIES_AVAILABLE_FOR_SALE_
SECURITIES AVAILABLE FOR SALE (Tables) | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | ||||||||||||||||||||
Fair Value of Securities Avaliable for Sale | The fair value of securities available for sale at year end is as follows: | |||||||||||||||||||
2014 | Fair | Gross | Gross | |||||||||||||||||
Value | Unrealized | Unrealized | ||||||||||||||||||
Gains | Losses | |||||||||||||||||||
U. S. government agency debt securities | $ | 7,738 | $ | - | $ | -236 | ||||||||||||||
States and political subdivisions | 19,913 | 112 | -92 | |||||||||||||||||
U.S. government agency mortgage-backed securities | 66,139 | 316 | -483 | |||||||||||||||||
Preferred stock | 15 | 11 | - | |||||||||||||||||
SBA securities | 12,180 | 13 | -66 | |||||||||||||||||
$ | 105,985 | $ | 452 | $ | -877 | |||||||||||||||
2013 | Fair | Gross | Gross | |||||||||||||||||
Value | Unrealized | Unrealized Losses | ||||||||||||||||||
Gains | ||||||||||||||||||||
U. S. government agency debt securities | $ | 11,059 | $ | - | $ | -1,414 | ||||||||||||||
States and political subdivisions | 16,367 | 50 | -419 | |||||||||||||||||
U.S. government agency mortgage-backed securities | 60,065 | 124 | -1,235 | |||||||||||||||||
Preferred stock | 35 | 31 | - | |||||||||||||||||
SBA securities | 8,303 | 1 | -104 | |||||||||||||||||
$ | 95,829 | $ | 206 | $ | -3,172 | |||||||||||||||
Available for Sale Securities Amortized Cost Contractual Maturity | Securities not due at a single maturity are shown separately. | |||||||||||||||||||
Amortized | Fair | |||||||||||||||||||
Cost | Value | |||||||||||||||||||
Due in one year or less | $ | 481 | $ | 482 | ||||||||||||||||
Due after one year through five years | 3,244 | 3,222 | ||||||||||||||||||
Due after five years through ten years | 16,992 | 16,959 | ||||||||||||||||||
Due after ten years | 7,150 | 6,988 | ||||||||||||||||||
U.S. government agency mortgage-backed | 66,306 | 66,139 | ||||||||||||||||||
Preferred stock | 4 | 15 | ||||||||||||||||||
SBA securities | 12,233 | 12,180 | ||||||||||||||||||
$ | 106,410 | $ | 105,985 | |||||||||||||||||
Sales Activities for Securities | Sales of securities were as follows: | |||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
Sales proceeds | $ | 6,573 | $ | 8,063 | ||||||||||||||||
Gross gains/(losses) on sales | -15 | 55 | ||||||||||||||||||
Gross Unrealized Losses and Fair Value | The following tables show gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at December 31, 2014 and 2013: | |||||||||||||||||||
2014 | Less than 12 Months | 12 Months or More | Total | |||||||||||||||||
Description of | Fair Value | Unrealized | Fair Value | Unrealized | Fair Value | Unrealized | ||||||||||||||
Securities | Losses | Losses | Losses | |||||||||||||||||
U.S. Government agency debt securities | $ | - | $ | - | $ | 7,738 | $ | -236 | $ | 7,738 | $ | -236 | ||||||||
State and political subdivisions | 6,601 | -31 | 3,801 | -61 | 10,402 | -92 | ||||||||||||||
U.S. Government agency mortgage-backed securities | 13,988 | -59 | 23,516 | -424 | 37,504 | -483 | ||||||||||||||
SBA Securities | 5,065 | -22 | 4,978 | -44 | 10,043 | -66 | ||||||||||||||
Total temporarily impaired securities | $ | 25,654 | $ | -112 | $ | 40,033 | $ | -765 | $ | 65,687 | $ | -877 | ||||||||
2013 | Less than 12 Months | 12 Months or More | Total | |||||||||||||||||
Description of | Fair Value | Unrealized | Fair Value | Unrealized | Fair Value | Unrealized | ||||||||||||||
Securities | Losses | Losses | Losses | |||||||||||||||||
U.S. Government agency debt securities | $ | 6,694 | $ | -797 | $ | 4,365 | $ | -617 | $ | 11,059 | $ | -1,414 | ||||||||
State and political subdivisions | 10,027 | -419 | - | - | 10,027 | -419 | ||||||||||||||
U.S. Government agency mortgage-backed securities | 48,023 | -1,234 | 16 | -1 | 48,039 | -1,235 | ||||||||||||||
SBA Securities | 7,987 | -104 | - | - | 7,987 | -104 | ||||||||||||||
Total temporarily impaired securities | $ | 72,731 | $ | -2,554 | $ | 4,381 | $ | -618 | $ | 77,112 | $ | -3,172 | ||||||||
LOANS_Tables
LOANS (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||||||
Debt Disclosure [Abstract] | |||||||||||||||||||||||||||||
Summary of Loans | Loans consisted of the following at December 31: | ||||||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||||||
Real estate | |||||||||||||||||||||||||||||
Commercial | $ | 92,669 | $ | 97,813 | |||||||||||||||||||||||||
Construction | 1,853 | 1,856 | |||||||||||||||||||||||||||
Residential | 26,676 | 26,240 | |||||||||||||||||||||||||||
Home equity | 46,339 | 47,050 | |||||||||||||||||||||||||||
Total real estate loans | 167,537 | 172,959 | |||||||||||||||||||||||||||
Commercial | 16,048 | 21,379 | |||||||||||||||||||||||||||
Consumer | 1,163 | 1,384 | |||||||||||||||||||||||||||
Total loans | 184,748 | 195,722 | |||||||||||||||||||||||||||
Deferred loan costs, net | 267 | 229 | |||||||||||||||||||||||||||
Allowance for loan losses | (2,442 | ) | (2,500 | ) | |||||||||||||||||||||||||
Loans, net | $ | 182,573 | $ | 193,451 | |||||||||||||||||||||||||
Loans to Related Parties | The aggregate amount of loans, as defined, to such related parties were as follows: | ||||||||||||||||||||||||||||
2014 | |||||||||||||||||||||||||||||
Balances, January 1, 2014 | $ | 1,006 | |||||||||||||||||||||||||||
New loans including renewals | 113 | ||||||||||||||||||||||||||||
Payments, etc., including renewals | (363 | ) | |||||||||||||||||||||||||||
Balances, December 31, 2014 | $ | 756 | |||||||||||||||||||||||||||
2013 | |||||||||||||||||||||||||||||
Balances, January 1, 2013 | $ | 2,432 | |||||||||||||||||||||||||||
New loans including renewals | 156 | ||||||||||||||||||||||||||||
Payments, etc., including renewals | (1,582 | ) | |||||||||||||||||||||||||||
Balances, December 31, 2013 | $ | 1,006 | |||||||||||||||||||||||||||
Allowance for Loans Losses | The following table presents the balance in the allowance for loan losses and the recorded investment in loans based on portfolio segment and impairment method as of December 31, 2014 and 2013: | ||||||||||||||||||||||||||||
2014 | |||||||||||||||||||||||||||||
Commercial | Commercial | Construction | Consumer | Residential | HELOC | Total | |||||||||||||||||||||||
Real Estate | |||||||||||||||||||||||||||||
Balance at beginning of period | $ | 483 | $ | 1,336 | $ | 44 | $ | 41 | $ | 266 | $ | 330 | $ | 2,500 | |||||||||||||||
Provision for loan losses | (205 | ) | (138 | ) | (13 | ) | (23 | ) | 50 | 254 | (75 | ) | |||||||||||||||||
Charge-offs | - | (28 | ) | - | (3 | ) | - | (64 | ) | (95 | ) | ||||||||||||||||||
Recoveries | 75 | 5 | - | - | 30 | 2 | 112 | ||||||||||||||||||||||
Balance at end of period | $ | 353 | $ | 1,175 | $ | 31 | $ | 15 | $ | 346 | $ | 522 | $ | 2,442 | |||||||||||||||
Ending balance: individually evaluated for impairment | $ | - | $ | - | $ | - | $ | - | $ | 38 | $ | 88 | $ | 126 | |||||||||||||||
Ending balance: collectively evaluated for impairment | $ | 353 | $ | 1,175 | $ | 31 | $ | 15 | $ | 308 | $ | 434 | $ | 2,316 | |||||||||||||||
Total Loans: | |||||||||||||||||||||||||||||
Ending balance | $ | 16,048 | $ | 92,669 | $ | 1,853 | $ | 1,163 | $ | 26,676 | $ | 46,339 | $ | 184,748 | |||||||||||||||
Ending balance: individually evaluated for impairment | $ | - | $ | 823 | $ | - | $ | - | $ | 528 | $ | 964 | $ | 2,315 | |||||||||||||||
Ending balance: collectively evaluated for impairment | $ | 16,048 | $ | 91,846 | $ | 1,853 | $ | 1,163 | $ | 26,148 | $ | 45,375 | $ | 182,433 | |||||||||||||||
2013 | |||||||||||||||||||||||||||||
Commercial | Commercial | Construction | Consumer | Residential | HELOC | Total | |||||||||||||||||||||||
Real Estate | |||||||||||||||||||||||||||||
Balance at beginning of period | $ | 621 | $ | 1,386 | $ | 53 | $ | 21 | $ | 305 | $ | 646 | $ | 3,032 | |||||||||||||||
Provision for loan losses | 129 | 221 | (9 | ) | 34 | 773 | 279 | 1,427 | |||||||||||||||||||||
Charge-offs | (267 | ) | (357 | ) | - | (15 | ) | (835 | ) | (600 | ) | (2,074 | ) | ||||||||||||||||
Recoveries | - | 86 | - | 1 | 23 | 5 | 115 | ||||||||||||||||||||||
Balance at end of period | $ | 483 | $ | 1,336 | $ | 44 | $ | 41 | $ | 266 | $ | 330 | $ | 2,500 | |||||||||||||||
Ending balance: individually evaluated for impairment | $ | - | $ | 26 | $ | - | $ | - | $ | - | $ | 46 | $ | 72 | |||||||||||||||
Ending balance: collectively evaluated for impairment | $ | 483 | $ | 1,310 | $ | 44 | $ | 41 | $ | 266 | $ | 284 | $ | 2,428 | |||||||||||||||
Total Loans: | |||||||||||||||||||||||||||||
Ending balance | $ | 21,379 | $ | 97,813 | $ | 1,856 | $ | 1,384 | $ | 26,240 | $ | 47,050 | $ | 195,722 | |||||||||||||||
Ending balance: individually evaluated for impairment | $ | 1,566 | $ | 437 | $ | - | $ | - | $ | 398 | $ | 505 | $ | 2,906 | |||||||||||||||
Ending balance: collectively evaluated for impairment | $ | 19,813 | $ | 97,376 | $ | 1,856 | $ | 1,384 | $ | 25,842 | $ | 46,545 | $ | 192,816 | |||||||||||||||
Summary of Nonaccrual Loans by Class | The following table summarizes the Company’s nonaccrual loans by class at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||||||
Real estate loans: | |||||||||||||||||||||||||||||
Commercial | $ | 823 | $ | 437 | |||||||||||||||||||||||||
Residential mortgage | 528 | - | |||||||||||||||||||||||||||
Home equity | 964 | 505 | |||||||||||||||||||||||||||
Total | $ | 2,315 | $ | 942 | |||||||||||||||||||||||||
Summary of Impaired Loans | The following table presents impaired loans as of December 31, 2014: | ||||||||||||||||||||||||||||
Recorded | Unpaid Principal Balance | Specific Allowance | Average Investment in Impaired Loans | Interest Income Recognized | |||||||||||||||||||||||||
Balance | |||||||||||||||||||||||||||||
With no related allowance recorded: | |||||||||||||||||||||||||||||
Commercial real estate | $ | 823 | $ | 835 | $ | - | $ | 837 | $ | 30 | |||||||||||||||||||
Residential | - | - | - | 7 | - | ||||||||||||||||||||||||
HELOC | 509 | 514 | - | 632 | 8 | ||||||||||||||||||||||||
Subtotal | 1,332 | 1,349 | - | 1,476 | 38 | ||||||||||||||||||||||||
With an allowance recorded: | |||||||||||||||||||||||||||||
Commercial real estate | - | - | - | 792 | 12 | ||||||||||||||||||||||||
Residential | 528 | 531 | 38 | 532 | 24 | ||||||||||||||||||||||||
HELOC | 456 | 516 | 88 | 579 | 22 | ||||||||||||||||||||||||
Subtotal | 984 | 1,047 | 126 | 1,903 | 58 | ||||||||||||||||||||||||
Total Impaired Loans | $ | 2,316 | $ | 2,396 | $ | 126 | $ | 3,379 | $ | 96 | |||||||||||||||||||
The following table presents impaired loans as of December 31, 2013: | |||||||||||||||||||||||||||||
Recorded | Unpaid Principal Balance | Specific Allowance | Average Investment in Impaired Loans | Interest Income Recognized | |||||||||||||||||||||||||
Balance | |||||||||||||||||||||||||||||
With no related allowance recorded: | |||||||||||||||||||||||||||||
Commercial real estate | $ | 1,566 | $ | 1,566 | $ | - | $ | 1,549 | $ | 62 | |||||||||||||||||||
Residential | 398 | 398 | - | 402 | 21 | ||||||||||||||||||||||||
HELOC | 166 | 166 | - | 165 | - | ||||||||||||||||||||||||
Subtotal | 2,130 | 2,130 | - | 2,116 | 83 | ||||||||||||||||||||||||
With an allowance recorded: | |||||||||||||||||||||||||||||
Commercial real estate | 437 | 812 | 26 | 834 | - | ||||||||||||||||||||||||
Residential | - | - | - | - | - | ||||||||||||||||||||||||
HELOC | 339 | 396 | 46 | 396 | - | ||||||||||||||||||||||||
Subtotal | 776 | 1,208 | 72 | 1,230 | - | ||||||||||||||||||||||||
Total Impaired Loans | $ | 2,906 | $ | 3,338 | $ | 72 | $ | 3,346 | $ | 83 | |||||||||||||||||||
Summary of Credit Quality | The following table summarizes credit quality of the Company at December 31, 2014 and 2013: | ||||||||||||||||||||||||||||
2014 | |||||||||||||||||||||||||||||
Pass | Special | Substandard | Doubtful | Loss | Total | ||||||||||||||||||||||||
Mention | |||||||||||||||||||||||||||||
Commercial | $ | 15,983 | $— | $ | 65 | $ | — | $ | — | $ | 16,048 | ||||||||||||||||||
Real estate loans: | |||||||||||||||||||||||||||||
Construction | 1,853 | — | — | — | — | 1,853 | |||||||||||||||||||||||
Commercial real estate | 89,644 | 227 | 2,798 | — | — | 92,669 | |||||||||||||||||||||||
Residential mortgage | 26,448 | — | 528 | — | — | 26,676 | |||||||||||||||||||||||
Home equity | 45,048 | 28 | 963 | — | — | 46,339 | |||||||||||||||||||||||
Consumer | 1,163 | — | — | — | — | 1,163 | |||||||||||||||||||||||
Total | $ | 180,139 | $ | 255 | $ | 4,354 | $ | — | $ | — | $ | 184,748 | |||||||||||||||||
2013 | |||||||||||||||||||||||||||||
Pass | Special | Substandard | Doubtful | Loss | Total | ||||||||||||||||||||||||
Mention | |||||||||||||||||||||||||||||
Commercial | $ | 19,536 | $ | 209 | $ | 1,634 | $ | — | $ | — | $ | 21,379 | |||||||||||||||||
Real estate loans: | |||||||||||||||||||||||||||||
Construction | 1,856 | — | — | — | — | 1,856 | |||||||||||||||||||||||
Commercial real estate | 93,679 | 3,235 | 899 | — | — | 97,813 | |||||||||||||||||||||||
Residential mortgage | 24,763 | 1,477 | — | — | — | 26,240 | |||||||||||||||||||||||
Home equity | 46,515 | 29 | 506 | — | — | 47,050 | |||||||||||||||||||||||
Consumer | 1,384 | — | — | — | — | 1,384 | |||||||||||||||||||||||
Total | $ | 187,733 | $ | 4,950 | $ | 3,039 | $ | — | $ | — | $ | 195,722 | |||||||||||||||||
Summary of Past Due Aging of Loan Portfolio | The following table summarizes aging of the Company’s loan portfolio at December 31, 2014 and 2013: | ||||||||||||||||||||||||||||
2014 | |||||||||||||||||||||||||||||
30-59 Days | 60-89 Days | Greater | Total | Current | Total Loans | Loans > | |||||||||||||||||||||||
Past Due | Past Due | Than | Past Due | 90 Days and | |||||||||||||||||||||||||
90 Days | Accruing | ||||||||||||||||||||||||||||
Commercial | $ | 133 | $ | 56 | $ | — | $ | 189 | $ | 15,859 | $ | 16,048 | $— | ||||||||||||||||
Real estate loans: | |||||||||||||||||||||||||||||
Construction | — | — | — | — | 1,853 | 1,853 | — | ||||||||||||||||||||||
Commercial real estate | 301 | — | 823 | 1,124 | 91,545 | 92,669 | — | ||||||||||||||||||||||
Residential mortgage | — | 89 | 528 | 617 | 26,059 | 26,676 | — | ||||||||||||||||||||||
Home equity | 339 | — | 1,096 | 1,435 | 44,903 | 46,339 | 133 | ||||||||||||||||||||||
Consumer | 3 | — | — | 3 | 1,160 | 1,163 | — | ||||||||||||||||||||||
Total | $ | 776 | $ | 145 | $ | 2,447 | $ | 3,368 | $ | 181,380 | $ | 184,748 | $ | 133 | |||||||||||||||
30-59 Days | 60-89 Days | Greater | Total | Current | Total Loans | Loans > | |||||||||||||||||||||||
Past Due | Past Due | Than | Past Due | 90 Days and | |||||||||||||||||||||||||
90 Days | Accruing | ||||||||||||||||||||||||||||
Commercial | $ | 100 | $ | — | $ | — | $ | 100 | $ | 21,279 | $ | 21,379 | $— | ||||||||||||||||
Real estate loans: | |||||||||||||||||||||||||||||
Construction | — | — | — | — | 1,856 | 1,856 | — | ||||||||||||||||||||||
Commercial real estate | — | 569 | 168 | 737 | 97,076 | 97,813 | 168 | ||||||||||||||||||||||
Residential mortgage | 687 | 1,342 | 11 | 2,040 | 24,200 | 26,240 | 11 | ||||||||||||||||||||||
Home equity | 445 | 328 | 555 | 1,328 | 45,722 | 47,050 | 50 | ||||||||||||||||||||||
Consumer | — | 1 | 1 | 2 | 1,382 | 1,384 | 1 | ||||||||||||||||||||||
Total | $ | 1,232 | $ | 2,240 | $ | 735 | $ | 4,207 | $ | 191,515 | $ | 195,722 | $ | 230 | |||||||||||||||
PREMISES_AND_EQUIPMENT_Tables
PREMISES AND EQUIPMENT (Tables) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Property, Plant and Equipment [Abstract] | ||||||||
Summary of Premises and Equipment | Premises and equipment consisted of the following at year end: | |||||||
2014 | 2013 | |||||||
Land | $ | 4,028 | $ | 4,028 | ||||
Buildings | 13,150 | 13,116 | ||||||
Furniture and equipment | 3,593 | 3,584 | ||||||
Total cost | 20,771 | 20,728 | ||||||
Accumulated depreciation | -6,298 | -5,866 | ||||||
Net book value | $ | 14,473 | $ | 14,862 | ||||
DEPOSITS_Tables
DEPOSITS (Tables) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Banking and Thrift [Abstract] | ||||||||
Summary Of Deposits | 2014 | 2013 | ||||||
Non-interest bearing DDA | $ | 44,754 | $ | 39,613 | ||||
NOW | 71,492 | 72,545 | ||||||
Money market | 43,666 | 42,443 | ||||||
Regular savings | 71,199 | 74,389 | ||||||
Certificates and time deposits, $100,000 and over | 25,641 | 32,621 | ||||||
Other certificates and time deposits | 48,669 | 54,098 | ||||||
Total deposits | $ | 305,421 | $ | 315,709 | ||||
Summary Of Certificate Of Deposits Maturities | At December 31, 2014, scheduled maturities of certificates of deposit are as follows: | |||||||
2015 | $ | 43,712 | ||||||
2016 | 19,006 | |||||||
2017 | 8,218 | |||||||
2018 | 2,677 | |||||||
2019 | 697 | |||||||
$ | 74,310 | |||||||
CAPITAL_REQUIREMENTS_Tables
CAPITAL REQUIREMENTS (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Banking and Thrift [Abstract] | |||||||||||||||||
Minimum Capital Restoration Requirements | The minimum requirements are: | ||||||||||||||||
Capital to Risk | Tier 1 | ||||||||||||||||
Weighted Assets | Capital to | ||||||||||||||||
Total | Tier 1 | Average Assets | |||||||||||||||
Well capitalized | 10 | % | 6 | % | 5 | % | |||||||||||
Adequately capitalized | 8 | 4 | 4 | ||||||||||||||
Undercapitalized | 6 | 3 | 3 | ||||||||||||||
Summary of Capital Ratios for Bank | The actual capital levels and minimum required levels for the Bank were as follows at December 31: | ||||||||||||||||
Minimum | |||||||||||||||||
for Capital | Minimum | ||||||||||||||||
Adequacy | to Be Well | ||||||||||||||||
Actual | Purposes | Capitalized | |||||||||||||||
Amount | Ratio | Amount | Ratio | Amount | Ratio | ||||||||||||
2014 | |||||||||||||||||
Total capital (to risk-weighted assets) | $ | 27,941 | 13.4 | % | $ | 16,672 | 8 | % | $ | 20,840 | 10 | % | |||||
Tier 1 capital (to risk-weighted assets) | 25,499 | 12.2 | 8,336 | 4 | 12,504 | 6 | |||||||||||
Tier 1 capital (to average assets) | 25,499 | 7.7 | 13,329 | 4 | 16,661 | 5 | |||||||||||
2013 | |||||||||||||||||
Total capital (to risk-weighted assets) | $ | 25,990 | 11.9 | % | $ | 17,426 | 8 | % | $ | 21,783 | 10 | % | |||||
Tier 1 capital (to risk-weighted assets) | 23,490 | 10.8 | 8,713 | 4 | 13,070 | 6 | |||||||||||
Tier 1 capital (to average assets) | 23,490 | 6.8 | 13,763 | 4 | 17,204 | 5 | |||||||||||
INCOME_TAXES_Tables
INCOME TAXES (Tables) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Income Tax Disclosure [Abstract] | ||||||||
Summary of Income Tax Benefits | Income tax consists of the following: | |||||||
2014 | 2013 | |||||||
Currently payable tax | ||||||||
Federal | $ | - | $ | 145 | ||||
State | - | -145 | ||||||
Deferred tax | ||||||||
Federal | -1,866 | -3 | ||||||
State | -2,090 | 149 | ||||||
$ | -3,956 | $ | 146 | |||||
Summary of Income Tax Benefit Differs from Federal Statutory Rates | Income tax differs from federal statutory rates applied to financial statement income due to the following: | |||||||
2014 | 2013 | |||||||
Federal rate of 34 percent | $ | 485 | $ | -898 | ||||
Add (subtract) effect of | ||||||||
Tax-exempt income, net of nondeductible interest expense | -123 | -92 | ||||||
State income tax, net of federal benefit | -1,380 | 4 | ||||||
Cash value of life insurance | -72 | -76 | ||||||
Valuation allowance | -2,904 | 1,058 | ||||||
Other items, net | 38 | 150 | ||||||
Income tax | $ | -3,956 | $ | 146 | ||||
Summary of Year End Deferred Tax Assets and Liabilities | Year-end deferred tax assets and liabilities were due to the following: | |||||||
2014 | 2013 | |||||||
Deferred tax assets | ||||||||
Allowance for loan losses | $ | 297 | $ | 1,120 | ||||
Deferred compensation | 545 | 598 | ||||||
Other-than-temporary-impairment | 50 | 52 | ||||||
Loss carryforward | 10,823 | 9,400 | ||||||
Net unrealized losses on securities available for sale | 165 | 1,149 | ||||||
AMT carryover | 275 | 263 | ||||||
Other real estate owned | 145 | 67 | ||||||
Other | 192 | 211 | ||||||
Total | 12,492 | 12,860 | ||||||
Deferred tax liabilities | ||||||||
Accumulated depreciation | -788 | -728 | ||||||
Deferred loan fees and costs, net | -149 | -155 | ||||||
Prepaid expenses | -54 | -57 | ||||||
Federal Home Loan Bank stock dividends | -44 | -47 | ||||||
State income taxes | -714 | -186 | ||||||
Other | - | -51 | ||||||
Total | -1,749 | -1,224 | ||||||
Valuation allowance | -6,625 | -10,487 | ||||||
Net deferred tax asset | $ | 4,118 | $ | 1,149 | ||||
Activity in Net Deferred Tax Assets | The following is the activity in net deferred tax assets: | |||||||
Balance, December 31, 2013 | $ | 1,149 | ||||||
Decrease in deferred tax assets | -368 | |||||||
Increase in deferred tax liabilities | -525 | |||||||
Decrease in valuation allowance | 3,862 | |||||||
Balance, December 31, 2014 | $ | 4,118 | ||||||
EARNINGS_LOSS_PER_SHARE_Tables
EARNINGS (LOSS) PER SHARE (Tables) | 12 Months Ended | ||||
Dec. 31, 2014 | |||||
Earnings Per Share [Abstract] | |||||
Earnings (Loss) Per Common Share | The following is an analysis of the Company’s basic and diluted EPS, reflecting the application of the two-class method as of December 31, 2014 and 2013: | ||||
2014 | |||||
Net income available for distribution | $ | 5,383 | |||
Dividends and undistributed earnings allocated to participating securities | -3,442 | ||||
Income attributable to common shareholders | $ | 1,941 | |||
Average common shares outstanding for basic EPS | 10,781,988 | ||||
Effect of dilutive convertible preferred stock | - | ||||
Effect of dilutive stock options | 30 | ||||
Average common and common-equivalent shares for dilutive EPS | 10,782,018 | ||||
Basic | $ | 0.18 | |||
Diluted | $ | 0.18 | |||
2013 | |||||
Net income available for distribution | $ | -2,787 | |||
Dividends and undistributed earnings allocated to participating securities | - | ||||
Income attributable to common shareholders | $ | -2,787 | |||
Average common shares outstanding for basic EPS | 7,278,781 | ||||
Effect of dilutive convertible preferred stock | - | ||||
Effect of dilutive stock options | - | ||||
Average common and common-equivalent shares for dilutive EPS | 7,278,781 | ||||
Basic | $ | -0.38 | |||
Diluted | $ | -0.38 | |||
STOCK_OPTIONS_Tables
STOCK OPTIONS (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||||||||||||
Schedule of Stock Option Activity | A summary of option activity under the Plan as of December 31, 2014, and changes during the year then ended, is presented below: | |||||||||||
Shares | Weighted-Average | Weighted-Average Remaining Contractual | Aggregate Intrinsic Value | |||||||||
Exercise Price | Term | |||||||||||
Outstanding, beginning of year | 23,580 | $ | 18.95 | |||||||||
Granted | - | - | ||||||||||
Exercised | - | - | ||||||||||
Forfeited or expired | -2,900 | 18.77 | ||||||||||
Outstanding, end of year | 20,680 | $ | 18.97 | 3.23 | $ | - | ||||||
Exercisable, end of year | 11,265 | $ | 21.27 | 2.58 | $ | - | ||||||
OFFBALANCESHEET_ACTIVITIES_Tab
OFF-BALANCE-SHEET ACTIVITIES (Tables) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Risks and Uncertainties [Abstract] | ||||||||
Summary of Contractual Amount of Financial Instruments with Off-Balance-Sheet Risk | The contractual amount of financial instruments with off-balance-sheet risk was as follows at year end. | |||||||
2014 | 2013 | |||||||
Financial standby letters of credit | $ | 74 | $ | 199 | ||||
Commitments to originate loans | - | 2,216 | ||||||
Unused lines of credit and letters of credit | 44,147 | 54,882 | ||||||
DISCLOSURES_ABOUT_FAIR_VALUE_O1
DISCLOSURES ABOUT FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables) | 12 Months Ended | |||||||||||||
Dec. 31, 2014 | ||||||||||||||
Investments All Other Investments [Abstract] | ||||||||||||||
Available for Sale Securities Recorded at Fair Value | The following tables are as of December 31, 2014 and 2013, respectively: | |||||||||||||
At December 31, 2014 | ||||||||||||||
Fair Value Measurements Using | ||||||||||||||
Fair | ||||||||||||||
Value | Level 1 | Level 2 | Level 3 | |||||||||||
Available for sale securities: | ||||||||||||||
U.S. government agency debt securities | $ | 7,738 | $ | - | $ | 7,738 | $ | - | ||||||
State and political subdivisions | 19,913 | - | 19,913 | - | ||||||||||
U.S. government agency mortgage-backed securities | 66,139 | - | 66,139 | - | ||||||||||
Preferred stock | 15 | 15 | - | - | ||||||||||
SBA securities | 12,180 | - | 12,180 | - | ||||||||||
Total available for sale securities | $ | 105,985 | $ | 15 | $ | 105,970 | $ | - | ||||||
At December 31, 2013 | ||||||||||||||
Fair Value Measurements Using | ||||||||||||||
Fair | ||||||||||||||
Value | Level 1 | Level 2 | Level 3 | |||||||||||
Available for sale securities: | ||||||||||||||
U.S. government agency debt securities | $ | 11,059 | $ | - | $ | 11,059 | $ | - | ||||||
State and political subdivisions | 16,367 | - | 16,367 | - | ||||||||||
U.S. government agency mortgage-backed securities | 60,065 | - | 60,065 | - | ||||||||||
Preferred stock | 35 | 35 | - | - | ||||||||||
SBA securities | 8,303 | - | 8,303 | - | ||||||||||
Total available for sale securities | $ | 95,829 | $ | 35 | $ | 95,794 | $ | - | ||||||
Fair Value of Assets and Liabilities Measured on Non-Recurring Basis | The following tables are as of December 31, 2014 and 2013, respectively: | |||||||||||||
At December 31, 2014 | ||||||||||||||
Fair Value Measurements Using | ||||||||||||||
Fair | ||||||||||||||
Value | Level 1 | Level 2 | Level 3 | |||||||||||
Impaired loans (Collateral Dependent) | $ | 858 | $ | - | $ | - | $ | 858 | ||||||
Other real estate owned | 1,451 | - | - | 1,451 | ||||||||||
At December 31, 2013 | ||||||||||||||
Fair Value Measurements Using | ||||||||||||||
Fair | ||||||||||||||
Value | Level 1 | Level 2 | Level 3 | |||||||||||
Impaired loans (Collateral Dependent) | $ | 2,906 | $ | - | $ | - | $ | 2,906 | ||||||
Other real estate owned | 2,269 | - | - | 2,269 | ||||||||||
Quantitative Information Unobservable Inputs | The following table presents quantitative information about unobservable inputs in recurring and nonrecurring Level 3 fair value measurements: | |||||||||||||
As of December 31, 2014 | ||||||||||||||
Fair | Valuation | Unobservable | ||||||||||||
Value | Technique | Inputs | Range | |||||||||||
Impaired loans | $ | 858 | Market | Marketability | 2.3% - 36.0% | |||||||||
comparable | discount | Weighted Avg. 15% | ||||||||||||
properties | ||||||||||||||
Other real estate owned | 1,451 | Fair value | Marketability | 2.5% - 40.0% | ||||||||||
appraisals | discount | Weighted Avg. 22% | ||||||||||||
As of December 31, 2013 | ||||||||||||||
Fair | Valuation | Unobservable | ||||||||||||
Value | Technique | Inputs | Range | |||||||||||
Impaired loans | $ | 2,906 | Market | Marketability | 5% - 30.7% | |||||||||
comparable | discount | Weighted Avg. 16% | ||||||||||||
properties | ||||||||||||||
Other real estate owned | 2,269 | Fair value | Marketability | 0.0% - 23.8% | ||||||||||
appraisals | discount | Weighted Avg. 18% | ||||||||||||
Carrying Amount and Estimated Fair Value of Financial Instruments | The following table presents estimated fair values of the Company’s financial instruments and the level within the fair value hierarchy in which the fair value measurements fall at December 31, 2014 and 2013: | |||||||||||||
At December 31, 2014 | ||||||||||||||
Fair Value Measurements Using | ||||||||||||||
Carrying | ||||||||||||||
Amount | Level 1 | Level 2 | Level 3 | |||||||||||
Financial assets | ||||||||||||||
Cash and cash equivalents | $ | 23,615 | $ | 23,615 | $ | - | - | |||||||
Securities available for sale | 105,985 | 15 | 105,970 | - | ||||||||||
Loans receivable, net | 182,573 | - | - | 184,044 | ||||||||||
Federal Home Loan Bank stock | 1,119 | - | 1,119 | - | ||||||||||
Interest receivable | 1,058 | - | 1,058 | - | ||||||||||
- | ||||||||||||||
Financial liabilities | ||||||||||||||
Deposits | 305,421 | - | 305,333 | - | ||||||||||
Federal Home Loan Bank advances | 2,000 | - | 2,023 | - | ||||||||||
Subordinated debentures | 3,609 | - | - | 1,293 | ||||||||||
Interest payable | 93 | - | 93 | - | ||||||||||
At December 31, 2013 | ||||||||||||||
Fair Value Measurements Using | ||||||||||||||
Carrying | ||||||||||||||
Amount | Level 1 | Level 2 | Level 3 | |||||||||||
Financial assets | ||||||||||||||
Cash and cash equivalents | $ | 29,553 | $ | 29,553 | $ | - | - | |||||||
Interest-bearing time deposits | 945 | 945 | - | - | ||||||||||
Securities available for sale | 95,829 | 35 | 95,794 | - | ||||||||||
Loans held for sale | 804 | - | 804 | - | ||||||||||
Loans receivable, net | 193,451 | - | - | 193,864 | ||||||||||
Federal Home Loan Bank stock | 926 | - | 926 | - | ||||||||||
Interest receivable | 884 | - | 884 | - | ||||||||||
Financial liabilities | ||||||||||||||
Deposits | 315,709 | - | 303,199 | - | ||||||||||
Federal Home Loan Bank advances | 4,500 | - | 4,478 | - | ||||||||||
Subordinated debentures | 3,609 | - | - | 1,259 | ||||||||||
Interest payable | 169 | - | 169 | - | ||||||||||
CONDENSED_FINANCIAL_INFORMATIO1
CONDENSED FINANCIAL INFORMATION (PARENT COMPANY ONLY) (Tables) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | ||||||||
Condensed Balance Sheets | Condensed Balance Sheets | |||||||
December 31, | ||||||||
2014 | 2013 | |||||||
Assets | ||||||||
Cash on deposit with the Bank | $ | 3,014 | $ | 3,499 | ||||
Investment in common stock of the Bank | 29,048 | 21,673 | ||||||
Other assets | 130 | 134 | ||||||
Total assets | $ | 32,192 | $ | 25,306 | ||||
Liabilities | ||||||||
Long-term debt | $ | 3,609 | $ | 3,609 | ||||
Other liabilities | 7 | 70 | ||||||
Total liabilities | 3,616 | 3,679 | ||||||
Stockholders’ Equity | 28,576 | 21,627 | ||||||
Total liabilities and stockholders’ equity | $ | 32,192 | $ | 25,306 | ||||
Condensed Statements of Operations | Condensed Statements of Operations and Comprehensive Income (Loss) | |||||||
Years Ended December 31, | ||||||||
2014 | 2013 | |||||||
Income | $ | 7 | $ | 4 | ||||
Expenses | ||||||||
Interest expense | 70 | 69 | ||||||
Other expenses | 373 | 327 | ||||||
Total expenses | 443 | 396 | ||||||
Loss before income tax expense and | -436 | -392 | ||||||
undistributed loss of the bank | ||||||||
Income tax expense | - | - | ||||||
Loss before equity in undistributed | -436 | -392 | ||||||
loss of the bank | ||||||||
Equity in undistributed income (loss) of the bank | 5,819 | -2,395 | ||||||
Net income (loss) | 5,383 | -2,787 | ||||||
Net change in unrealized gains (losses) on available-for-sale | ||||||||
Securities | 1,557 | -2,048 | ||||||
Total comprehensive income (loss) | $ | 6,940 | $ | -4,835 | ||||
Condensed Statements of Cash Flows | Condensed Statements of Cash Flows | |||||||
Years Ended December 31, | ||||||||
2014 | 2013 | |||||||
Operating Activities | ||||||||
Net income (loss) | $ | 5,383 | $ | -2,787 | ||||
Equity in undistributed (income) loss of the Bank | -5,819 | 2,395 | ||||||
Compensation cost of stock options | 9 | 10 | ||||||
Other changes | -58 | 385 | ||||||
Net cash provided by (used in) operating activities | -485 | 3 | ||||||
Investment in Bank | - | -700 | ||||||
Financing Activities | ||||||||
Net capital raise proceeds | - | 4,100 | ||||||
Net cash provided by financing activities | - | 4,100 | ||||||
Net change in cash on deposit with the bank | -485 | 3,403 | ||||||
Cash on deposit with the bank at beginning of year | 3,499 | 96 | ||||||
Cash on deposit with the bank at end of year | $ | 3,014 | $ | 3,499 | ||||
NATURE_OF_BUSINESS_AND_SUMMARY2
NATURE OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Additional Information (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items] | ||
Accrual Of Interest On Mortgage And Commercial Loans If Discontinued For Maximum Days | 90 days | |
Federal Home Loan Bank Stock | $1,119 | $926 |
Cash Dividend Paid By Federal Home Loan Bank Percent | 0.50% | 0.30% |
Building and Building Improvements [Member] | Maximum [Member] | ||
Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items] | ||
Property, Plant and Equipment, Useful Life | 50 years | |
Building and Building Improvements [Member] | Minimum [Member] | ||
Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items] | ||
Property, Plant and Equipment, Useful Life | 10 years | |
Furniture Fixtures And Equipment [Member] | Maximum [Member] | ||
Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items] | ||
Property, Plant and Equipment, Useful Life | 10 years | |
Furniture Fixtures And Equipment [Member] | Minimum [Member] | ||
Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items] | ||
Property, Plant and Equipment, Useful Life | 3 years |
CASH_AND_CASH_EQUIVALENTS_Addi
CASH AND CASH EQUIVALENTS - Additional Information (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2012 |
Cash and Cash Equivalents [Line Items] | ||
Fdic Insurance Limit Per Depositor | $250,000 | |
Cash, Uninsured Amount | 12,200,000 | |
Cash Reserve Deposit Required and Made | 2,300,000 | |
Cash, FDIC Insured Amount | $20,100,000 |
Fair_Value_of_Securities_Avail
Fair Value of Securities Available For Sale (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Schedule of Available-for-sale Securities [Line Items] | ||
Fair Value | $105,985 | $95,829 |
Gross Unrealized Gains | 452 | 206 |
Gross Unrealized Losses | -877 | -3,172 |
U.S. government agency debt securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair Value | 7,738 | 11,059 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | -236 | -1,414 |
State and political subdivisions | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair Value | 19,913 | 16,367 |
Gross Unrealized Gains | 112 | 50 |
Gross Unrealized Losses | -92 | -419 |
U.S. government agency mortgage-backed securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair Value | 66,139 | 60,065 |
Gross Unrealized Gains | 316 | 124 |
Gross Unrealized Losses | -483 | -1,235 |
Preferred stock | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair Value | 15 | 35 |
Gross Unrealized Gains | 11 | 31 |
Gross Unrealized Losses | 0 | 0 |
SBA securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair Value | 12,180 | 8,303 |
Gross Unrealized Gains | 13 | 1 |
Gross Unrealized Losses | ($66) | ($104) |
Available_for_Sale_Securities_
Available for Sale Securities Amortized Cost Contractual Maturity (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Due in one year or less, Amortized Cost | $481 | |
Due after one year through five years, Amortized Cost | 3,244 | |
Due after five years through ten years, Amortized Cost | 16,992 | |
Due after ten years, Amortized Cost | 7,150 | |
Available For Sale Securities Amortized Cost | 106,410 | |
Due in one year or less, Fair Value | 482 | |
Due after one year through five years, Fair Value | 3,222 | |
Due after five years through ten years, Fair Value | 16,959 | |
Due after ten years, Fair Value | 6,988 | |
Available-for-sale Securities, Fair Value Disclosure, total | 105,985 | 95,829 |
U.S. government agency mortgage-backed | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available for sale debt securities without a single maturity date, Amortized Cost | 66,306 | |
Available for sale debt securities without a single maturity date, Fair Value | 66,139 | |
SBA securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available for sale debt securities without a single maturity date, Amortized Cost | 12,233 | |
Available for sale debt securities without a single maturity date, Fair Value | 12,180 | |
Available-for-sale Securities, Fair Value Disclosure, total | 12,180 | 8,303 |
Preferred stock | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available for sale debt securities without a single maturity date, Amortized Cost | 4 | |
Available for sale debt securities without a single maturity date, Fair Value | 15 | |
Available-for-sale Securities, Fair Value Disclosure, total | $15 | $35 |
Sales_Activities_for_Securitie
Sales Activities for Securities (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Schedule of Available-for-sale Securities [Line Items] | ||
Sales proceeds | $6,573 | $8,063 |
Gross gains/(losses) on sales | ($15) | $55 |
Gross_Unrealized_Losses_and_Fa
Gross Unrealized Losses and Fair Value (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair Value Less than 12 Months | $25,654 | $72,731 |
Unrealized Losses Less than 12 Months | -112 | -2,554 |
Fair Value 12 Months or More | 40,033 | 4,381 |
Unrealized Losses 12 Months or More | -765 | -618 |
Fair Value, Total | 65,687 | 77,112 |
Unrealized Losses, Total | -877 | -3,172 |
U.S. government agency debt securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair Value Less than 12 Months | 0 | 6,694 |
Unrealized Losses Less than 12 Months | 0 | -797 |
Fair Value 12 Months or More | 7,738 | 4,365 |
Unrealized Losses 12 Months or More | -236 | -617 |
Fair Value, Total | 7,738 | 11,059 |
Unrealized Losses, Total | -236 | -1,414 |
State and political subdivisions | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair Value Less than 12 Months | 6,601 | 10,027 |
Unrealized Losses Less than 12 Months | -31 | -419 |
Fair Value 12 Months or More | 3,801 | 0 |
Unrealized Losses 12 Months or More | -61 | 0 |
Fair Value, Total | 10,402 | 10,027 |
Unrealized Losses, Total | -92 | -419 |
U.S. government agency mortgage-backed securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair Value Less than 12 Months | 13,988 | 48,023 |
Unrealized Losses Less than 12 Months | -59 | -1,234 |
Fair Value 12 Months or More | 23,516 | 16 |
Unrealized Losses 12 Months or More | -424 | -1 |
Fair Value, Total | 37,504 | 48,039 |
Unrealized Losses, Total | -483 | -1,235 |
SBA securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair Value Less than 12 Months | 5,065 | 7,987 |
Unrealized Losses Less than 12 Months | -22 | -104 |
Fair Value 12 Months or More | 4,978 | 0 |
Unrealized Losses 12 Months or More | -44 | 0 |
Fair Value, Total | 10,043 | 7,987 |
Unrealized Losses, Total | ($66) | ($104) |
SECURITIES_AVAILABLE_FOR_SALE_1
SECURITIES AVAILABLE FOR SALE - Additional Information (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Schedule of Available-for-sale Securities [Line Items] | ||
Carrying value of securities that were pledged to secure public deposits, Federal home loan bank advances and other | $7,600,000 | $18,000,000 |
Fair Value Of Investments Percentage Of Aggregate Investment | 62.00% | 80.50% |
Available For Sale Securities Continuous Unrealized Loss Position Fair Value | $65,687,000 | $77,112,000 |
Summary_of_Loans_Detail
Summary of Loans (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total real estate loans | $167,537 | $172,959 | |
Commercial | 16,048 | 21,379 | |
Consumer | 1,163 | 1,384 | |
Total Loans | 184,748 | 195,722 | |
Deferred loan costs, net | 267 | 229 | |
Allowance for loan losses | -2,442 | -2,500 | -3,032 |
Loans, net | 182,573 | 193,451 | |
Commercial | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total real estate loans | 92,669 | 97,813 | |
Construction | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total real estate loans | 1,853 | 1,856 | |
Residential | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total real estate loans | 26,676 | 26,240 | |
Home equity | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total real estate loans | $46,339 | $47,050 |
Loans_to_Related_Parties_Detai
Loans to Related Parties (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Beginning balance | $1,006 | $2,432 |
New loans including renewals | 113 | 156 |
Payments, etc., including renewals | -363 | -1,582 |
Ending balance | $756 | $1,006 |
Allowance_for_Loans_Losses_Det
Allowance for Loans Losses (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Beginning balance | $2,500 | $3,032 |
Provision for loan losses | -75 | 1,427 |
Charge-offs | -95 | -2,074 |
Recoveries | 112 | 115 |
Ending balance | 2,442 | 2,500 |
Ending balance: individually evaluated for impairment | 126 | 72 |
Ending balance: collectively evaluated for impairment | 2,316 | 2,428 |
Ending balance | 184,748 | 195,722 |
Ending balance: individually evaluated for impairment | 2,315 | 2,906 |
Ending balance: collectively evaluated for impairment | 182,433 | 192,816 |
Commercial | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Beginning balance | 483 | 621 |
Provision for loan losses | -205 | 129 |
Charge-offs | 0 | -267 |
Recoveries | 75 | 0 |
Ending balance | 353 | 483 |
Ending balance: individually evaluated for impairment | 0 | 0 |
Ending balance: collectively evaluated for impairment | 353 | 483 |
Ending balance | 16,048 | 21,379 |
Ending balance: individually evaluated for impairment | 0 | 1,566 |
Ending balance: collectively evaluated for impairment | 16,048 | 19,813 |
Commercial Real Estate | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Beginning balance | 1,336 | 1,386 |
Provision for loan losses | -138 | 221 |
Charge-offs | -28 | -357 |
Recoveries | 5 | 86 |
Ending balance | 1,175 | 1,336 |
Ending balance: individually evaluated for impairment | 0 | 26 |
Ending balance: collectively evaluated for impairment | 1,175 | 1,310 |
Ending balance | 92,669 | 97,813 |
Ending balance: individually evaluated for impairment | 823 | 437 |
Ending balance: collectively evaluated for impairment | 91,846 | 97,376 |
Construction | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Beginning balance | 44 | 53 |
Provision for loan losses | -13 | -9 |
Charge-offs | 0 | 0 |
Recoveries | 0 | 0 |
Ending balance | 31 | 44 |
Ending balance: individually evaluated for impairment | 0 | 0 |
Ending balance: collectively evaluated for impairment | 31 | 44 |
Ending balance | 1,853 | 1,856 |
Ending balance: individually evaluated for impairment | 0 | 0 |
Ending balance: collectively evaluated for impairment | 1,853 | 1,856 |
Consumer | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Beginning balance | 41 | 21 |
Provision for loan losses | -23 | 34 |
Charge-offs | -3 | -15 |
Recoveries | 0 | 1 |
Ending balance | 15 | 41 |
Ending balance: individually evaluated for impairment | 0 | 0 |
Ending balance: collectively evaluated for impairment | 15 | 41 |
Ending balance | 1,163 | 1,384 |
Ending balance: individually evaluated for impairment | 0 | 0 |
Ending balance: collectively evaluated for impairment | 1,163 | 1,384 |
Residential | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Beginning balance | 266 | 305 |
Provision for loan losses | 50 | 773 |
Charge-offs | 0 | -835 |
Recoveries | 30 | 23 |
Ending balance | 346 | 266 |
Ending balance: individually evaluated for impairment | 38 | 0 |
Ending balance: collectively evaluated for impairment | 308 | 266 |
Ending balance | 26,676 | 26,240 |
Ending balance: individually evaluated for impairment | 528 | 398 |
Ending balance: collectively evaluated for impairment | 26,148 | 25,842 |
HELOC | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Beginning balance | 330 | 646 |
Provision for loan losses | 254 | 279 |
Charge-offs | -64 | -600 |
Recoveries | 2 | 5 |
Ending balance | 522 | 330 |
Ending balance: individually evaluated for impairment | 88 | 46 |
Ending balance: collectively evaluated for impairment | 434 | 284 |
Ending balance | 46,339 | 47,050 |
Ending balance: individually evaluated for impairment | 964 | 505 |
Ending balance: collectively evaluated for impairment | $45,375 | $46,545 |
Summary_of_Nonaccrual_Loans_by
Summary of Nonaccrual Loans by Class (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans in nonaccrual status | $2,315 | $942 |
Commercial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans in nonaccrual status | 823 | 437 |
Residential | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans in nonaccrual status | 528 | 0 |
Home equity | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans in nonaccrual status | $964 | $505 |
Summary_of_Impaired_Loans_Deta
Summary of Impaired Loans (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Recorded Balance | ||
Recorded Balance, With no related allowance recorded | $1,332 | $2,130 |
Recorded Balance, With an allowance recorded | 984 | 776 |
Recorded Balance, total | 2,316 | 2,906 |
Unpaid Principal Balance | ||
Unpaid Principal Balance, With no related allowance recorded | 1,349 | 2,130 |
Unpaid Principal Balance, With an allowance recorded | 1,047 | 1,208 |
Unpaid Principal Balance, total | 2,396 | 3,338 |
Specific allowance for impairment of loans | ||
Specific allowance, With no related allowance recorded | 0 | 0 |
Specific allowance, With an allowance recorded | 126 | 72 |
Total specific allowance | 126 | 72 |
Average Investment in Impaired Loans | ||
Average Investment in Impaired Loans, With no related allowance recorded | 1,476 | 2,116 |
Average Investment in Impaired Loans, With an allowance recorded | 1,903 | 1,230 |
Average Investment in Impaired Loans, total | 3,379 | 3,346 |
Interest Income Recognized | ||
Interest Income Recognized, With no related allowance recorded | 38 | 83 |
Interest Income Recognized, With an allowance recorded | 58 | 0 |
Interest Income Recognized, total | 96 | 83 |
Commercial | ||
Specific allowance for impairment of loans | ||
Specific allowance, With an allowance recorded | 0 | 0 |
Commercial Real Estate | ||
Recorded Balance | ||
Recorded Balance, With no related allowance recorded | 823 | 1,566 |
Recorded Balance, With an allowance recorded | 0 | 437 |
Unpaid Principal Balance | ||
Unpaid Principal Balance, With no related allowance recorded | 835 | 1,566 |
Unpaid Principal Balance, With an allowance recorded | 0 | 812 |
Specific allowance for impairment of loans | ||
Specific allowance, With no related allowance recorded | 0 | 0 |
Specific allowance, With an allowance recorded | 0 | 26 |
Average Investment in Impaired Loans | ||
Average Investment in Impaired Loans, With no related allowance recorded | 837 | 1,549 |
Average Investment in Impaired Loans, With an allowance recorded | 792 | 834 |
Interest Income Recognized | ||
Interest Income Recognized, With no related allowance recorded | 30 | 62 |
Interest Income Recognized, With an allowance recorded | 12 | 0 |
Residential | ||
Recorded Balance | ||
Recorded Balance, With no related allowance recorded | 0 | 398 |
Recorded Balance, With an allowance recorded | 528 | 0 |
Unpaid Principal Balance | ||
Unpaid Principal Balance, With no related allowance recorded | 0 | 398 |
Unpaid Principal Balance, With an allowance recorded | 531 | 0 |
Specific allowance for impairment of loans | ||
Specific allowance, With no related allowance recorded | 0 | 0 |
Specific allowance, With an allowance recorded | 38 | 0 |
Average Investment in Impaired Loans | ||
Average Investment in Impaired Loans, With no related allowance recorded | 7 | 402 |
Average Investment in Impaired Loans, With an allowance recorded | 532 | 0 |
Interest Income Recognized | ||
Interest Income Recognized, With no related allowance recorded | 0 | 21 |
Interest Income Recognized, With an allowance recorded | 24 | 0 |
HELOC | ||
Recorded Balance | ||
Recorded Balance, With no related allowance recorded | 509 | 166 |
Recorded Balance, With an allowance recorded | 456 | 339 |
Unpaid Principal Balance | ||
Unpaid Principal Balance, With no related allowance recorded | 514 | 166 |
Unpaid Principal Balance, With an allowance recorded | 516 | 396 |
Specific allowance for impairment of loans | ||
Specific allowance, With no related allowance recorded | 0 | 0 |
Specific allowance, With an allowance recorded | 88 | 46 |
Average Investment in Impaired Loans | ||
Average Investment in Impaired Loans, With no related allowance recorded | 632 | 165 |
Average Investment in Impaired Loans, With an allowance recorded | 579 | 396 |
Interest Income Recognized | ||
Interest Income Recognized, With no related allowance recorded | 8 | 0 |
Interest Income Recognized, With an allowance recorded | $22 | $0 |
Summary_of_Credit_Quality_Deta
Summary of Credit Quality (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | $184,748 | $195,722 |
Commercial | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 16,048 | 21,379 |
Construction | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 1,853 | 1,856 |
Commercial real estate | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 92,669 | 97,813 |
Residential mortgage | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 26,676 | 26,240 |
Home equity | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 46,339 | 47,050 |
Consumer | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 1,163 | 1,384 |
Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 180,139 | 187,733 |
Pass | Commercial | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 15,983 | 19,536 |
Pass | Construction | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 1,853 | 1,856 |
Pass | Commercial real estate | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 89,644 | 93,679 |
Pass | Residential mortgage | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 26,448 | 24,763 |
Pass | Home equity | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 45,048 | 46,515 |
Pass | Consumer | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 1,163 | 1,384 |
Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 255 | 4,950 |
Special Mention | Commercial | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 0 | 209 |
Special Mention | Construction | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 0 | 0 |
Special Mention | Commercial real estate | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 227 | 3,235 |
Special Mention | Residential mortgage | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 0 | 1,477 |
Special Mention | Home equity | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 28 | 29 |
Special Mention | Consumer | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 0 | 0 |
Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 4,354 | 3,039 |
Substandard | Commercial | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 65 | 1,634 |
Substandard | Construction | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 0 | 0 |
Substandard | Commercial real estate | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 2,798 | 899 |
Substandard | Residential mortgage | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 528 | 0 |
Substandard | Home equity | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 963 | 506 |
Substandard | Consumer | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 0 | 0 |
Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 0 | 0 |
Doubtful | Commercial | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 0 | 0 |
Doubtful | Construction | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 0 | 0 |
Doubtful | Commercial real estate | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 0 | 0 |
Doubtful | Residential mortgage | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 0 | 0 |
Doubtful | Home equity | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 0 | 0 |
Doubtful | Consumer | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 0 | 0 |
Loss | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 0 | 0 |
Loss | Commercial | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 0 | 0 |
Loss | Construction | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 0 | 0 |
Loss | Commercial real estate | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 0 | 0 |
Loss | Residential mortgage | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 0 | 0 |
Loss | Home equity | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | 0 | 0 |
Loss | Consumer | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable | $0 | $0 |
Summary_of_Past_Due_Aging_of_L
Summary of Past Due Aging of Loan Portfolio (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
30-59 Days Past Due | $776 | $1,232 |
60-89 Days Past Due | 145 | 2,240 |
Greater Than 90 Days | 2,447 | 735 |
Total Past Due | 3,368 | 4,207 |
Current | 181,380 | 191,515 |
Total Loans | 184,748 | 195,722 |
Loans > 90 Days and Accruing | 133 | 230 |
Commercial | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
30-59 Days Past Due | 133 | 100 |
60-89 Days Past Due | 56 | 0 |
Greater Than 90 Days | 0 | 0 |
Total Past Due | 189 | 100 |
Current | 15,859 | 21,279 |
Total Loans | 16,048 | 21,379 |
Loans > 90 Days and Accruing | 0 | 0 |
Construction | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
30-59 Days Past Due | 0 | 0 |
60-89 Days Past Due | 0 | 0 |
Greater Than 90 Days | 0 | 0 |
Total Past Due | 0 | 0 |
Current | 1,853 | 1,856 |
Total Loans | 1,853 | 1,856 |
Loans > 90 Days and Accruing | 0 | 0 |
Commercial Real Estate | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
30-59 Days Past Due | 301 | 0 |
60-89 Days Past Due | 0 | 569 |
Greater Than 90 Days | 823 | 168 |
Total Past Due | 1,124 | 737 |
Current | 91,545 | 97,076 |
Total Loans | 92,669 | 97,813 |
Loans > 90 Days and Accruing | 0 | 168 |
Residential mortgage | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
30-59 Days Past Due | 0 | 687 |
60-89 Days Past Due | 89 | 1,342 |
Greater Than 90 Days | 528 | 11 |
Total Past Due | 617 | 2,040 |
Current | 26,059 | 24,200 |
Total Loans | 26,676 | 26,240 |
Loans > 90 Days and Accruing | 0 | 11 |
Home equity | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
30-59 Days Past Due | 339 | 445 |
60-89 Days Past Due | 0 | 328 |
Greater Than 90 Days | 1,096 | 555 |
Total Past Due | 1,435 | 1,328 |
Current | 44,903 | 45,722 |
Total Loans | 46,339 | 47,050 |
Loans > 90 Days and Accruing | 133 | 50 |
Consumer | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
30-59 Days Past Due | 3 | 0 |
60-89 Days Past Due | 0 | 1 |
Greater Than 90 Days | 0 | 1 |
Total Past Due | 3 | 2 |
Current | 1,160 | 1,382 |
Total Loans | 1,163 | 1,384 |
Loans > 90 Days and Accruing | $0 | $1 |
LOANS_Additional_Information_D
LOANS - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2014 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Prior loss experience of company | 5 years |
Charge Off Of Unsecured Open End Loans | 180 days |
Other Secured Loans Receivable [Member] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Prior loss experience of company | 120 days |
Summary_of_Premises_and_equipm
Summary of Premises and equipment (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Property, Plant and Equipment [Line Items] | ||
Total cost | $20,771 | $20,728 |
Accumulated depreciation | -6,298 | -5,866 |
Net book value | 14,473 | 14,862 |
Furniture And Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total cost | 3,593 | 3,584 |
Land [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total cost | 4,028 | 4,028 |
Building [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total cost | $13,150 | $13,116 |
Summary_of_Aggregate_Deposits_
Summary of Aggregate Deposits (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Deposit Liabilities [Line Items] | ||
Non-interest bearing DDA | $44,754 | $39,613 |
NOW | 71,492 | 72,545 |
Money market | 43,666 | 42,443 |
Regular savings | 71,199 | 74,389 |
Certificates and time deposits, $100,000 and over | 25,641 | 32,621 |
Other certificates and time deposits | 48,669 | 54,098 |
Total deposits | $305,421 | $315,709 |
Scheduled_Maturities_of_Certif
Scheduled Maturities of Certificates of Deposit (Detail) (USD $) | Dec. 31, 2014 |
In Thousands, unless otherwise specified | |
Deposit Liabilities [Line Items] | |
2015 | $43,712 |
2016 | 19,006 |
2017 | 8,218 |
2018 | 2,677 |
2019 | 697 |
Time Deposits | $74,310 |
DEPOSITS_Additional_Informatio
DEPOSITS - Additional Information (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Deposit Liabilities [Line Items] | ||
Related Party Deposit Liabilities | $2,449,000 | $2,478,000 |
Time Deposits 250000 Or More | $2,708,000 |
ADVANCES_FROM_THE_FEDERAL_HOME1
ADVANCES FROM THE FEDERAL HOME LOAN BANK AND OTHER BORROWINGS - Additional Information (Detail) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Schedule Of Federal Home Loan Bank Advances And Other Borrowings [Line Items] | ||
Federal Home Loan Bank, Advances, Branch of FHLB Bank, Amount of Advances | $2 | $4.50 |
Federal Home Loan Bank, Advances, Branch of FHLB Bank, Interest Rate, Range from | 1.69% | |
Long-term Debt, Percentage Bearing Fixed Interest, Amount | $2 | |
Federal Home Loan Bank Advances Maturity Period | 2015 | |
Minimum [Member] | ||
Schedule Of Federal Home Loan Bank Advances And Other Borrowings [Line Items] | ||
Percentage Of Advances That Must Be Covered By Mortgage Loans On Hand | 167.00% | |
Maximum [Member] | ||
Schedule Of Federal Home Loan Bank Advances And Other Borrowings [Line Items] | ||
Term Mortgage Loans Used To Cover Advances Can Be Delinquent | 90 days |
SUBORDINATED_DEBENTURES_Additi
SUBORDINATED DEBENTURES - Additional Information (Detail) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Jun. 21, 2012 | |
Subordinated Borrowing [Line Items] | ||
Debt Instrument, Maturity Date | 21-Sep-37 | |
Debt Instrument, Description of Variable Rate Basis | The subordinated debentures accrue interest at a variable rate based on three-month LIBOR plus 1.62%, reset and payable quarterly. | |
Subordinated Debentures | ||
Subordinated Borrowing [Line Items] | ||
Financial Instruments Subject to Mandatory Redemption, Settlement Terms, Maximum Amount | $3,500,000 | |
Debt Instrument, Basis Spread on Variable Rate | 1.62% | |
Debt Instrument, Interest Rate, Effective Percentage | 1.86% | |
Preferred Stock, Redemption Price Per Share | $1,000 |
Minimum_Capital_Restoration_Re
Minimum Capital Restoration Requirements (Detail) | Dec. 31, 2014 | Dec. 31, 2013 |
Regulatory Requirements [Line Items] | ||
Well capitalized Capital to Risk Weighted Assets Total | 10.00% | 10.00% |
Adequately capitalized Capital to Risk Weighted Assets Total | 8.00% | 8.00% |
Undercapitalized Capital to Risk Weighted Assets Total | 6.00% | |
Well capitalized Capital to Risk Weighted Assets Tier 1 | 6.00% | 6.00% |
Adequately capitalized Capital to Risk Weighted Assets Tier 1 | 4.00% | 4.00% |
Undercapitalized Capital to Risk Weighted Assets Tier 1 | 3.00% | |
Well capitalized Tier 1 Capital to Average Assets | 5.00% | 5.00% |
Adequately capitalized Tier 1 Capital to Average Assets | 4.00% | 4.00% |
Undercapitalized Tier 1 Capital to Average Assets | 3.00% |
Summary_of_Capital_Ratios_for_
Summary of Capital Ratios for Bank (Detail) (USD $) | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Jan. 21, 2011 |
In Thousands, unless otherwise specified | ||||||
Regulatory Requirements [Line Items] | ||||||
Total capital (to risk-weighted assets) Actual Amount | $27,941 | $25,990 | ||||
Tier I capital (to risk-weighted assets) Actual Amount | 25,499 | 23,490 | ||||
Tier I capital (to average assets) Actual Amount | 25,499 | 23,490 | ||||
Total capital (to risk-weighted assets) Minimum for Capital Adequacy Purposes Amount | 16,672 | 17,426 | ||||
Tier 1 capital (to risk-weighted assets) Minimum for Capital Adequacy Purposes Amount | 8,336 | 8,713 | ||||
Tier 1 capital (to average assets) Minimum for Capital Adequacy Purposes Amount | 13,329 | 13,763 | ||||
Total capital (to risk-weighted assets) Minimum to Be Well Capitalized Amount | 20,840 | 21,783 | ||||
Tier 1 capital (to risk-weighted assets) Minimum to Be Well Capitalized Amount | 12,504 | 13,070 | ||||
Tier 1 capital (to average assets) Minimum to Be Well Capitalized Amount | $16,661 | $17,204 | ||||
Total capital ( to risk-weighted assets) ratio | 13.40% | 12.90% | 12.50% | 12.00% | 11.90% | 12.00% |
Tier I capital (to risk-weighted assets) Actual Ratio | 12.20% | 10.80% | ||||
Tier 1 capital (to average assets) ratio | 7.70% | 7.70% | 7.20% | 7.00% | 6.80% | 8.00% |
Total capital (to risk-weighted assets) Minimum for Capital Adequacy Purposes Ratio | 8.00% | 8.00% | ||||
Tier 1 capital (to risk-weighted assets) Minimum for Capital Adequacy Purposes Ratio | 4.00% | 4.00% | ||||
Tier 1 capital (to average assets) Minimum for Capital Adequacy Purposes Ratio | 4.00% | 4.00% | ||||
Total capital (to risk-weighted assets) Minimum to Be Well Capitalized Ratio | 10.00% | 10.00% | ||||
Tier 1 capital (to risk-weighted assets) Minimum to Be Well Capitalized Ratio | 6.00% | 6.00% | ||||
Tier 1 capital (to average assets) Minimum to Be Well Capitalized Ratio | 5.00% | 5.00% |
CAPITAL_REQUIREMENTS_Additiona
CAPITAL REQUIREMENTS - Additional Information (Detail) | 1 Months Ended | |||||
Jan. 21, 2011 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | |
Regulatory Requirements [Line Items] | ||||||
Entry date into stipulation and consent with FDIC and IDFPR | 21-Jan-11 | |||||
Tier I capital ( to average assets) | 8.00% | 7.70% | 7.70% | 7.20% | 7.00% | 6.80% |
Total capital ( to risk-weighted assets) | 12.00% | 13.40% | 12.90% | 12.50% | 12.00% | 11.90% |
RETIREMENT_PLANS_Additional_In
RETIREMENT PLANS - Additional Information (Detail) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Employer contribution to profit sharing plan charged to expense | $67,000 | $32,000 |
Amount of deferred directors' fees | 889,000 | 1,000,000 |
Deferred directors' fees credited | 2.52% | |
Director [Member] | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Expense for retirement | $24,000 | $23,000 |
Summary_of_Income_Tax_Benefits
Summary of Income Tax Benefits (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Currently payable tax | ||
Federal | $0 | $145 |
State | 0 | -145 |
Deferred tax | ||
Federal | -1,866 | -3 |
State | -2,090 | 149 |
Income tax | ($3,956) | $146 |
Summary_of_Income_Tax_Benefit_
Summary of Income Tax Benefit Differs from Federal Statutory Rates (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Income Tax Examination [Line Items] | ||
Federal rate of 34 percent | $485 | ($898) |
Add (subtract) effect of | ||
Tax-exempt income, net of nondeductible interest expense | -123 | -92 |
State income tax, net of federal benefit | -1,380 | 4 |
Cash value of life insurance | -72 | -76 |
Valuation allowance | -2,904 | 1,058 |
Other items, net | 38 | 150 |
Income tax | ($3,956) | $146 |
Summary_of_Year_End_Deferred_T
Summary of Year End Deferred Tax Assets and Liabilities (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Deferred tax assets | ||
Allowance for loan losses | $297 | $1,120 |
Deferred compensation | 545 | 598 |
Other-than-temporary-impairment | 50 | 52 |
Loss carryforward | 10,823 | 9,400 |
Net unrealized losses on securities available for sale | 165 | 1,149 |
AMT carryover | 275 | 263 |
Other real estate owned | 145 | 67 |
Other | 192 | 211 |
Total | 12,492 | 12,860 |
Deferred tax liabilities | ||
Accumulated depreciation | -788 | -728 |
Deferred loan fees and costs, net | -149 | -155 |
Prepaid expenses | -54 | -57 |
Federal Home Loan Bank stock dividends | -44 | -47 |
State income taxes | -714 | -186 |
Other | 0 | -51 |
Total | -1,749 | -1,224 |
Valuation allowance | -6,625 | -10,487 |
Net deferred tax asset | $4,118 | $1,149 |
Activity_in_Net_Deferred_Tax_A
Activity in Net Deferred Tax Assets (Detail) (USD $) | 12 Months Ended |
In Thousands, unless otherwise specified | Dec. 31, 2014 |
Summary Of Net Deferred Tax Assets [Line Items] | |
Beginning balance | $1,149 |
Decrease in deferred tax assets | -368 |
Increase in deferred tax liabilities | -525 |
Decrease in valuation allowance | 3,862 |
Ending Balance | $4,118 |
INCOME_TAXES_Additional_Inform
INCOME TAXES - Additional Information (Detail) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Schedule Of Income Taxes [Line Items] | ||
Alternative minimum tax credits | $275,000 | $263,000 |
Income Tax Expense Benefit | -3,956,000 | 146,000 |
Income Loss From Continuing Operations Before Income Taxes Minority Interest And Income Loss From Equity Method Investments | 1,427,000 | -2,641,000 |
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 34.00% | |
Federal | ||
Schedule Of Income Taxes [Line Items] | ||
Operating Loss Carryforwards | 25,600,000 | |
Operating Loss Carryforwards Expiration Periods | Expire in varying amounts beginning in 2029 | |
Illinois | ||
Schedule Of Income Taxes [Line Items] | ||
Operating Loss Carryforwards | $27,400,000 | |
Operating Loss Carryforwards Expiration Periods | Expire in varying amounts beginning in 2021 |
Analysis_of_Companys_Basic_and
Analysis of Company's Basic and Diluted Earnings (Loss) Per Common Share (Detail) (USD $) | 12 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Earnings Per Share [Line Items] | ||
Net income available for distribution | $5,383 | ($2,787) |
Dividends and undistributed earnings allocated to participating securities | -3,442 | 0 |
Income attributable to common shareholders | $1,941 | ($2,787) |
Average common shares outstanding for basic EPS | 10,781,988 | 7,278,781 |
Effect of dilutive convertible preferred stock | 0 | 0 |
Effect of dilutive stock options | 30 | 0 |
Average common and common-equivalent shares for dilutive EPS | 10,782,018 | 7,278,781 |
Basic (in dollars per share) | $0.18 | ($0.38) |
Diluted (in dollars per share) | $0.18 | ($0.38) |
EARNINGS_LOSS_PER_SHARE_Additi
EARNINGS (LOSS) PER SHARE- Additional Information (Detail) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Number of anti-dilutive shares | 20,680 | 23,580 |
Schedule_of_Stock_Option_Activ
Schedule of Stock Option Activity (Detail) (USD $) | 12 Months Ended |
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 |
Shares | |
Outstanding, beginning of year | 23,580 |
Granted | 0 |
Exercised | 0 |
Forfeited or expired | -2,900 |
Outstanding, end of year | 20,680 |
Exercisable, end of year | 11,265 |
Weighted-Average Exercise Price | |
Outstanding, beginning of year | $18.95 |
Granted | $0 |
Exercised | $0 |
Forfeited or expired | $18.77 |
Outstanding, end of year | $18.97 |
Exercisable, end of year | $21.27 |
Weighted-Average Remaining Contractual Term | |
Outstanding, end of year | 3 years 2 months 23 days |
Exercisable, end of year | 2 years 6 months 29 days |
Aggregate Intrinsic Value | |
Outstanding, end of year | $0 |
Exercisable, end of year | $0 |
STOCK_OPTIONS_Additional_Infor
STOCK OPTIONS - Additional Information (Detail) (USD $) | 1 Months Ended | 12 Months Ended | |||
Dec. 27, 2006 | Dec. 31, 2014 | Dec. 31, 2013 | Nov. 29, 2006 | Sep. 19, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Stock Split Ratio | 2 | ||||
Share based compensation expense | $9,000 | $10,000 | |||
Non qualified Stock Option Plan [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Stock option authorized under plan | 40,400 | 100,000 | |||
Stock option additional shares authorized under plan | 4,600 | ||||
Age of recipient that triggers full vesting | 72 years | ||||
Weighted-average grant-date fair value of options granted | $0 | $0.47 | |||
Unrecognized compensation cost | 29,000 | ||||
Share based compensation expense | 9,000 | ||||
Share-based compensation expense tax benefit | $4,000 | ||||
Non qualified Stock Option Plan [Member] | Maximum [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Stock option vesting period | 10 years | ||||
Non qualified Stock Option Plan [Member] | Minimum [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Stock option vesting period | 5 years | ||||
Stock Incentive Plan 2013 [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Common Stock, Capital Shares Reserved for Future Issuance | 2,900,000 |
Summary_of_Contractual_Amount_
Summary of Contractual Amount of Financial Instruments with Off-Balance-Sheet Risk (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Financial Standby Letter of Credit [Member] | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Financial standby letters of credit | $74 | $199 |
Commitments To Originate Loans [Member] | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Financial standby letters of credit | 0 | 2,216 |
Unused Lines Of Credit And Letters Of Credit [Member] | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Financial standby letters of credit | $44,147 | $54,882 |
Available_for_Sale_Securities_1
Available for Sale Securities Recorded at Fair Value (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure, total | $105,985 | $95,829 |
U.S. government agency debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure, total | 7,738 | 11,059 |
State and political subdivisions | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure, total | 19,913 | 16,367 |
U.S. government agency mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure, total | 66,139 | 60,065 |
Preferred stock | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure, total | 15 | 35 |
SBA securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure, total | 12,180 | 8,303 |
Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure, total | 15 | 35 |
Level 1 | U.S. government agency debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure, total | 0 | 0 |
Level 1 | State and political subdivisions | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure, total | 0 | 0 |
Level 1 | U.S. government agency mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure, total | 0 | 0 |
Level 1 | Preferred stock | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure, total | 15 | 35 |
Level 1 | SBA securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure, total | 0 | 0 |
Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure, total | 105,970 | 95,794 |
Level 2 | U.S. government agency debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure, total | 7,738 | 11,059 |
Level 2 | State and political subdivisions | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure, total | 19,913 | 16,367 |
Level 2 | U.S. government agency mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure, total | 66,139 | 60,065 |
Level 2 | Preferred stock | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure, total | 0 | 0 |
Level 2 | SBA securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure, total | 12,180 | 8,303 |
Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure, total | 0 | 0 |
Level 3 | U.S. government agency debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure, total | 0 | 0 |
Level 3 | State and political subdivisions | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure, total | 0 | 0 |
Level 3 | U.S. government agency mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure, total | 0 | 0 |
Level 3 | Preferred stock | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure, total | 0 | 0 |
Level 3 | SBA securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure, total | $0 | $0 |
Quantitative_Information_Unobs
Quantitative Information Unobservable Inputs (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans (Collateral Dependent) | $858 | $2,906 |
Other real estate owned | 1,451 | 2,269 |
Impaired Loans | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans (Collateral Dependent) | 858 | 2,906 |
Valuation Technique | Market comparable properties | Market comparable properties |
Unobservable Inputs | Marketability discount | Marketability discount |
Other Real Estate Owned | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other real estate owned | 0 | 2,269 |
Valuation Technique | Fair value appraisals | Fair value appraisals |
Unobservable Inputs | Marketability discount | Marketability discount |
Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans (Collateral Dependent) | 858 | 2,906 |
Other real estate owned | $1,451 | $2,269 |
Minimum | Level 3 | Impaired Loans | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range | 2.30% | 5.00% |
Minimum | Level 3 | Other Real Estate Owned | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range | 2.50% | 0.00% |
Maximum | Level 3 | Impaired Loans | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range | 36.00% | 30.70% |
Maximum | Level 3 | Other Real Estate Owned | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range | 40.00% | 23.80% |
Weighted Average [Member] | Level 3 | Impaired Loans | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range | 15.00% | 16.00% |
Weighted Average [Member] | Level 3 | Other Real Estate Owned | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range | 22.00% | 18.00% |
Carrying_Amount_and_Estimated_
Carrying Amount and Estimated Fair Value of Financial Instruments (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Financial assets | ||
Cash and cash equivalents | $23,615 | $29,553 |
Interest-bearing time deposits | 945 | |
Securities available for sale | 105,985 | 95,829 |
Loans held for sale | 804 | |
Loans receivable, net | 182,573 | 193,451 |
Federal Home Loan Bank stock | 1,119 | 926 |
Interest receivable | 1,058 | 884 |
Financial liabilities | ||
Deposits | 305,421 | 315,709 |
Federal Home Loan Bank advances | 2,000 | 4,500 |
Subordinated debentures | 3,609 | 3,609 |
Interest payable | 93 | 169 |
Level 1 | ||
Financial assets | ||
Cash and cash equivalents | 23,615 | 29,553 |
Interest-bearing time deposits | 945 | |
Securities available for sale | 15 | 35 |
Loans held for sale | 0 | |
Loans receivable, net | 0 | 0 |
Federal Home Loan Bank stock | 0 | 0 |
Interest receivable | 0 | 0 |
Financial liabilities | ||
Deposits | 0 | 0 |
Federal Home Loan Bank advances | 0 | 0 |
Subordinated debentures | 0 | 0 |
Interest payable | 0 | 0 |
Level 2 | ||
Financial assets | ||
Cash and cash equivalents | 0 | 0 |
Interest-bearing time deposits | 0 | |
Securities available for sale | 105,970 | 95,794 |
Loans held for sale | 804 | |
Loans receivable, net | 0 | 0 |
Federal Home Loan Bank stock | 1,119 | 926 |
Interest receivable | 1,058 | 884 |
Financial liabilities | ||
Deposits | 305,333 | 303,199 |
Federal Home Loan Bank advances | 2,023 | 4,478 |
Subordinated debentures | 0 | 0 |
Interest payable | 93 | 169 |
Level 3 | ||
Financial assets | ||
Cash and cash equivalents | 0 | 0 |
Interest-bearing time deposits | 0 | |
Securities available for sale | 0 | 0 |
Loans held for sale | 0 | |
Loans receivable, net | 184,044 | 193,864 |
Federal Home Loan Bank stock | 0 | 0 |
Interest receivable | 0 | 0 |
Financial liabilities | ||
Deposits | 0 | 0 |
Federal Home Loan Bank advances | 0 | 0 |
Subordinated debentures | 1,293 | 1,259 |
Interest payable | $0 | $0 |
Condensed_Balance_Sheets_Detai
Condensed Balance Sheets (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | |||
Assets | |||
Total assets | $343,012 | $348,971 | |
Liabilities | |||
Total liabilities | 314,436 | 327,344 | |
Stockholdersb Equity | 28,576 | 21,627 | 22,352 |
Total liabilities and stockholders' equity | 343,012 | 348,971 | |
Parent Company [Member] | |||
Assets | |||
Cash on deposit with the Bank | 3,014 | 3,499 | |
Investment in common stock of the Bank | 29,048 | 21,673 | |
Other assets | 130 | 134 | |
Total assets | 32,192 | 25,306 | |
Liabilities | |||
Long-term debt | 3,609 | 3,609 | |
Other liabilities | 7 | 70 | |
Total liabilities | 3,616 | 3,679 | |
Stockholdersb Equity | 28,576 | 21,627 | |
Total liabilities and stockholders' equity | $32,192 | $25,306 |
Condensed_Statements_of_Operat
Condensed Statements of Operations and Comprehensive Income (Loss) (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Expenses | ||
Interest expense | $1,348 | $1,638 |
Other expenses | 10,827 | 13,997 |
Income (loss) before income taxes | 1,427 | -2,641 |
Income tax expense | -3,956 | 146 |
Net income (loss) | 5,383 | -2,787 |
Net change in unrealized gains (losses) on available-for-sale Securities | 1,557 | -2,048 |
Comprehensive income/(loss) | 6,940 | -4,835 |
Parent Company [Member] | ||
Condensed Financial Statements, Captions [Line Items] | ||
Income | 7 | 4 |
Expenses | ||
Interest expense | 70 | 69 |
Other expenses | 373 | 327 |
Total expenses | 443 | 396 |
Income (loss) before income taxes | -436 | -392 |
Income tax expense | 0 | 0 |
Loss before equity in undistributed loss of the bank | -436 | -392 |
Equity in undistributed income (loss) of the bank | 5,819 | -2,395 |
Net income (loss) | 5,383 | -2,787 |
Net change in unrealized gains (losses) on available-for-sale Securities | 1,557 | -2,048 |
Comprehensive income/(loss) | $6,940 | ($4,835) |
Condensed_Statements_of_Cash_F
Condensed Statements of Cash Flows (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Operating Activities | ||
Net income/(loss) | $5,383 | ($2,787) |
Compensation cost of stock options | 9 | 10 |
Financing Activities | ||
Net change in cash on deposit with the bank | -5,938 | -41,468 |
Cash and cash equivalents at beginning of year | 29,553 | 71,021 |
Cash and cash equivalents at end of year | 23,615 | 29,553 |
Parent Company [Member] | ||
Operating Activities | ||
Net income/(loss) | 5,383 | -2,787 |
Equity in undistributed (income) loss of the Bank | 5,819 | -2,395 |
Compensation cost of stock options | 9 | 10 |
Other changes | -58 | 385 |
Net cash provided by (used in) operating activities | -485 | 3 |
Investment in Bank | 0 | -700 |
Financing Activities | ||
Net capital raise proceeds | 0 | 4,100 |
Net cash provided by financing activities | 0 | 4,100 |
Net change in cash on deposit with the bank | -485 | 3,403 |
Cash and cash equivalents at beginning of year | 3,499 | 96 |
Cash and cash equivalents at end of year | $3,014 | $3,499 |
REGULATORY_AND_SUPERVISORY_MAT1
REGULATORY AND SUPERVISORY MATTERS - Additional Information (Detail) | 1 Months Ended | |||||
Jan. 21, 2011 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||||||
Entry date into stipulation and consent with FDIC and IDFPR | 21-Jan-11 | |||||
Bank's Risk Tier 1 ratio | 8.00% | 7.70% | 7.70% | 7.20% | 7.00% | 6.80% |
Bank's Risk-based capital ratio | 12.00% | 13.40% | 12.90% | 12.50% | 12.00% | 11.90% |
SUBSEQUENT_EVENTS_Additional_I
SUBSEQUENT EVENTS - Additional Information (Detail) (Subsequent Event [Member], USD $) | 1 Months Ended | 2 Months Ended |
Mar. 31, 2015 | Mar. 02, 2015 | |
Subsequent Event [Line Items] | ||
Business Combination, Consideration Transferred | $42,375,000 | |
Termination Fees One | 900,000 | |
Termination Fees Two | 1,750,000 | |
Common Stock [Member] | ||
Subsequent Event [Line Items] | ||
Business Combination Consideration Transferred Percentage | 50.00% | |
Share Distribution Two [Member] | ||
Subsequent Event [Line Items] | ||
Sale of Stock, Price Per Share | $52.50 | |
Common Stock To Be Issued | 403,572 | |
Share Distribution One [Member] | ||
Subsequent Event [Line Items] | ||
Sale of Stock, Price Per Share | $42.50 | |
Common Stock To Be Issued | 498,530 | |
Maximum [Member] | ||
Subsequent Event [Line Items] | ||
Termination Fees One | 325,000 | |
Weighted Average [Member] | ||
Subsequent Event [Line Items] | ||
Common Stock, Value, Outstanding | $21,187,500 | |
Cash [Member] | ||
Subsequent Event [Line Items] | ||
Business Combination Consideration Transferred Percentage | 50.00% |