Western New England Bancorp (WNEB) 10-K 13 Mar 19 2018 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2018	Mar. 08, 2019	Jun. 30, 2018	Jun. 29, 2018
Document And Entity Information
Entity Registrant Name	Western New England Bancorp, Inc.
Entity Central Index Key	0001157647
Document Type	10-K
Document Period End Date	Dec. 31, 2018
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Well Known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity's Reporting Status Current	Yes
Entity Emerging Growth Company	false
Entity Small Business	true
Entity Shell Company	false
Entity Filer Category	Non-accelerated Filer
Entity Public Float			$ 327,213,777
Share price				$ 11
Entity Common Stock, Shares Outstanding		27,263,103
Document Fiscal Period Focus	FY
Document Fiscal Year Focus	2018

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Dec. 31, 2018		Dec. 31, 2017
ASSETS
Cash and due from banks	$ 20,616		$ 21,607
Federal Funds Sold	1,246		322
Interest-bearing deposits and other short-term investments	4,927		5,203
Cash and cash equivalents	26,789		27,132
Securities available-for-sale, at fair value	253,748	[1]	288,416
Marketable equity securities, at fair value	6,408
Federal Home Loan Bank stock and other restricted stock , at cost	14,695		15,553
Loans, net of allowance for loan losses of $12,053 and $10,831 at December 31, 2018 and 2017, respectively	1,684,804		1,619,850
Premises and equipment, net	24,624		23,500
Accrued interest receivable	5,652		5,946
Bank-owned life insurance	69,252		68,762
Deferred tax asset, net	9,872		8,784
Goodwill	12,487		12,487
Core deposit intangible	3,688		4,063
Other real estate owned			155
Other assets	6,803		8,422
Total Assets	2,118,822		2,083,070
Deposits:
Non-interest-bearing	355,389		311,851
Interest-bearing	1,240,604		1,194,231
Total deposits	1,595,993		1,506,082
Short-term borrowings	59,250		144,650
Long-term debt	208,018		164,786
Securities pending settlement	221		304
Other liabilities	18,311		19,967
Total liabilities	1,881,793		1,835,789
SHAREHOLDERS' EQUITY:
Preferred stock - $0.01 par value, 5,000,000 shares authorized, none outstanding at December 31, 2018 and December 31, 2017
Common stock - $0.01 par value, 75,000,000 shares authorized, 28,393,348 shares issued and outstanding at December 31, 2018; 30,487,309 shares issued and outstanding at December 31, 2017	284		305
Additional paid-in capital	182,096		203,527
Unearned compensation - ESOP	(5,171)		(5,786)
Unearned compensation - Equity Incentive Plan	(872)		(791)
Retained earnings	74,108		62,578
Accumulated other comprehensive loss	(13,416)		(12,552)
TOTAL SHAREHOLDERS' EQUITY:	237,029		247,281
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	$ 2,118,822		$ 2,083,070
[1]	Does not include investments in restricted stock consisting of $14.7 million and $15.6 million at December 31, 2018 and December 31, 2017, respectively.

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Statement of Financial Position [Abstract]
Allowance for loan losses	$ 12,053	$ 10,831
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, authorized	5,000,000	5,000,000
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, authorized	75,000,000	75,000,000
Common stock, issued	28,393,348	30,487,309
Common stock, outstanding	28,393,348	30,487,309

CONSOLIDATED STATEMENTS OF NET

CONSOLIDATED STATEMENTS OF NET INCOME - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Interest and dividend income:
Residential and commercial real estate loans	$ 57,647	$ 53,733	$ 32,562
Commercial and industrial loans	12,801	11,587	7,431
Consumer loans	347	344	205
Debt securities, taxable	6,920	7,333	7,387
Debt securities, tax-exempt	85	104	168
Equity securities	152	140	180
Other investments	863	678	550
Short-term investments	175	120	115
Total interest and dividend income	78,990	74,039	48,598
INTEREST EXPENSE:
Deposits	11,683	8,448	6,581
Long-term debt	4,380	2,261	2,266
Short-term borrowings	2,915	3,936	2,438
Total interest expense	18,978	14,645	11,285
Net interest and dividend income	60,012	59,394	37,313
Provision for loan losses	1,900	1,360	575
Net interest and dividend income after provision for loan losses	58,112	58,034	36,738
Non-interest income (loss):
Service charges and fees	6,937	6,389	4,181
Income from BOLI	1,825	1,824	1,558
Loss on prepayment of borrowings			(915)
Gain on bank-owned life insurance death benefit	715
(Loss) gain on available-for-sale securities, net	(281)	52	1,139
Gain on sale of OREO	48	9
Unrealized losses on marketable equity securities	(142)
Other income	131	227	8
Total non-interest income	9,233	8,501	5,971
Non-interest expense:
Salaries and employees benefits	25,982	25,431	17,386
Occupancy	3,974	3,774	2,587
Furniture and equipment	1,561	1,533	1,084
Data processing	2,638	2,372	1,696
Professional fees	2,810	2,559	2,177
FDIC insurance assessment	603	620	716
Merger related expenses		526	4,051
Advertising	1,395	1,296	910
Other expenses	7,274	6,676	4,699
Total non-interest expense	46,237	44,787	35,306
Income before income taxes	21,108	21,748	7,403
Income tax provision	4,700	9,428	2,569
Net income	$ 16,408	$ 12,320	$ 4,834
Earnings per common share:
Basic earnings per share (in dollars per share)	$ 0.57	$ 0.41	$ 0.25
Weighted average shares outstanding (in shares)	28,886,904	29,858,984	19,707,948
Diluted earnings per share (in dollars per share)	$ 0.57	$ 0.41	$ 0.24
Weighted average diluted shares outstanding (in shares)	29,029,394	30,026,638	19,803,744

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands		12 Months Ended
		Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Statement of Comprehensive Income [Abstract]
Net income		$ 16,408	$ 12,320	$ 4,834
Unrealized (losses) gains on securities:
Unrealized holding (losses) gains on available-for-sale securities		(4,814)	557	(2,381)
Reclassification adjustment for net losses (gains) realized in income	[1]	281	(52)	(1,139)
Amortization of net unrealized loss on held-to-maturity securities	[2]			26
Net unrealized loss upon transfer of held-to-maturity to available for sale	[3]			2,288
Unrealized (losses) gains on securities		(4,533)	505	(1,206)
Tax effect		938	(22)	413
Net-of-tax amount		(3,595)	483	(793)
Cash flow hedges:
Change in fair value of derivatives used for cash flow hedges		442	31	(1,126)
Reclassification adjustment for loss realized in interest expense	[4]	452	970	619
Reclassification adjustment for termination fee realized in interest expense	[5]	1,068	1,068	956
Unrealized gains on cash flow hedges		1,962	2,069	449
Tax effect		(551)	(305)	(152)
Net-of-tax amount		1,411	1,764	297
Defined benefit pension plan:
Gains (losses) arising during the period		1,328	(663)	(1,906)
Amortization of defined benefit plans actuarial loss	[6]	177	124	109
Unrecognized actuarial gains (losses) defined benefit plan		1,505	(539)	(1,797)
Tax effect		(422)	527	610
Net-of-tax amount		1,083	(12)	(1,187)
Other comprehensive (loss) income		(1,101)	2,235	(1,683)
Comprehensive income		$ 15,307	$ 14,555	$ 3,151
[1]	Realized gains realized on available-for-sale securities are recognized as a component of non-interest income. The tax effects applicable to net realized gains were $(9,000), $21,000 and $387,000 for the years ended December 31, 2018, 2017 and 2016, respectively.
[2]	Amortization of net unrealized gains and losses on held-to-maturity securities is recognized as a component of interest income on debt securities. Income tax effects associated with the reclassification adjustments were $(9,000) for the year ended December 31, 2016.
[3]	Income tax effects associated with the reclassification adjustments upon transfer of held-to-maturity to available-for-sale were $790,000 for the year ended December 31, 2016.
[4]	Loss realized in interest expense on derivative instruments is recognized as a component of interest expense on short-term debt. Income tax effects associated with the reclassification adjustment were $127,000, $396,000 and $210,000 for the years ended December 31, 2018, 2017 and 2016, respectively.
[5]	Loss realized in interest expense on derivative instruments is recognized as a component of interest expense on short-term debt. Income tax effects associated with the reclassification adjustment were $300,000, $436,000 and $325,000 for the years ended December 31, 2018, 2017 and 2016, respectively.
[6]	Amounts represent the reclassification of defined benefit plans amortization and have been recognized as a component of non-interest expense. Income tax effects associated with the reclassification adjustments were $50,000, $51,000 and $37,000 for the years ended December 31, 2018, 2017 and 2016, respectively.

CONSOLIDATED STATEMENTS OF CO_2

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Statement of Comprehensive Income [Abstract]
Income tax benefits on realized losses on available-for-sale securities	$ (9)	$ 21	$ 387
Income tax expense (benefits) on amortization of net unrealized (gain) loss on held-to-maturity securities			(9)
Income tax expense (benefits) on net unrealized (loss) gain upon transfer of held-to-maturity to available-for-sale			790
Income tax benefit on derivative instruments	127	396	210
Income tax benefit on termination fee on derivative instruments	300	436	325
Income tax benefit, defined benefit plans	$ 50	$ 51	$ 37

CONSOLIDATED STATEMENTS OF CHAN

CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY - USD ($) $ in Thousands	Common Stock [Member]	Additional Paid-In Capital [Member]	Unearned Compensation-ESOP [Member]	Unearned Compensation-Equity Incentive Plan [Member]	Retained Earnings [Member]	Accumulated Other Comprehensive Loss [Member]	Total
BALANCE AT BEGINNING at Dec. 31, 2015	$ 183	$ 108,210	$ (6,952)	$ (313)	$ 49,316	$ (10,978)	$ 139,466
BALANCE AT BEGINNING (shares) at Dec. 31, 2015	18,267,747
Comprehensive income					4,834	(1,683)	3,151
Common stock held by ESOP committed to be released		96	534				630
Share-based compensation - equity incentive plan				262			262
Excess tax benefit from equity incentive plan		12					12
Acquisition of Chicopee Bancorp	$ 125	98,386					98,511
Acquisition of Chicopee Bancorp (in shares)	12,469,334
Retirement of Chicopee Bancorp ESOP	$ (5)	(4,102)					(4,107)
Retirement of Chicopee Bancorp ESOP (in shares)	(519,922)
Premium to equity for rollover of Chicopee Bancorp options		2,864					2,864
Retirement of WNEB stock previously owned by Chicopee Bancorp		(236)					(236)
Retirement of WNEB stock previously owned by Chicopee Bancorp (in shares)	(30,000)
Common stock repurchased	$ (2)	(1,831)					(1,833)
Common stock repurchased (in shares)	(201,296)
Issuance of common stock in connection with stock option exercises	$ 2	1,969					1,971
Issuance of common stock in connection with stock option exercises (shares)	331,628
Issuance of common stock in connection with equity incentive plan	$ 1	484		(485)
Issuance of common stock in connection with equity incentive plan (shares)	62,740
Excess tax benefits in connection with stock option exercises		144					144
Cash dividends declared and paid					(2,439)		(2,439)
BALANCE AT ENDING at Dec. 31, 2016	$ 304	205,996	(6,418)	(536)	51,711	(12,661)	238,396
BALANCE AT ENDING (shares) at Dec. 31, 2016	30,380,231
Cumulative-effect adjustment due to change in accounting principle at Dec. 31, 2016					2,126	(2,126)
Comprehensive income					12,320	2,235	14,555
Common stock held by ESOP committed to be released		326	632				958
Share-based compensation - equity incentive plan				649			649
Common stock repurchased	$ (9)	(9,154)					(9,163)
Common stock repurchased (in shares)	(903,813)
Issuance of common stock in connection with stock option exercises	$ 9	5,456					5,465
Issuance of common stock in connection with stock option exercises (shares)	921,849
Issuance of common stock in connection with equity incentive plan	$ 1	903		(904)
Issuance of common stock in connection with equity incentive plan (shares)	89,042
Cash dividends declared and paid					(3,579)		(3,579)
BALANCE AT ENDING at Dec. 31, 2017	$ 305	203,527	(5,786)	(791)	62,578	(12,552)	247,281
BALANCE AT ENDING (shares) at Dec. 31, 2017	30,487,309
Cumulative-effect adjustment due to change in accounting principle at Dec. 31, 2017					(237)	237
Comprehensive income					16,408	(1,101)	15,307
Common stock held by ESOP committed to be released		345	615				960
Share-based compensation - equity incentive plan				845			845
Common stock repurchased	$ (22)	(22,815)					(22,837)
Common stock repurchased (in shares)	(2,198,376)
Issuance of common stock in connection with stock option exercises		114					114
Issuance of common stock in connection with stock option exercises (shares)	18,975
Issuance of common stock in connection with equity incentive plan	$ 1	925		(926)
Issuance of common stock in connection with equity incentive plan (shares)	85,440
Cash dividends declared and paid					(4,641)		(4,641)
BALANCE AT ENDING at Dec. 31, 2018	$ 284	$ 182,096	$ (5,171)	$ (872)	$ 74,108	$ (13,416)	$ 237,029
BALANCE AT ENDING (shares) at Dec. 31, 2018	28,393,348

CONSOLIDATED STATEMENTS OF CH_2

CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (Parenthetical) - $ / shares	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Statement of Stockholders' Equity [Abstract]
Common stock held by ESOP committed to be released (shares)	90,978	93,679	79,082
Cash dividends declared (per share)	$ 0.16	$ 0.12	$ 0.12

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
OPERATING ACTIVITIES:
Net income	$ 16,408	$ 12,320	$ 4,834
Adjustments to reconcile net income to net cash provided by operating activities:
Provision for loan losses	1,900	1,360	575
Depreciation and amortization of premises and equipment	2,055	1,965	1,429
Accretion of purchase accounting adjustments, net	(1,094)	(2,373)	(194)
Amortization of core deposit intangible	375	375	73
Net amortization of premiums and discounts on securities and mortgage loans	2,417	3,181	3,447
Net amortization of premiums on modified debt			60
Share-based compensation expense	845	649	262
ESOP expense	960	958	630
Excess tax benefits from equity incentive plan			(12)
Excess tax benefits in connection with stock option exercises			(144)
Change in unrealized loss on equity securities	142
Net loss (gain) on sales of securities	281	(52)	(1,139)
Net gain on sales of other real estate owned	(48)	(9)
Loss on prepayment of borrowings			915
Deferred income tax (benefit) expense	(796)	7,342	274
Income from bank-owned life insurance	(1,825)	(1,824)	(1,558)
Gain on bank-owned life insurance death benefit	(715)
Net change in:
Accrued interest receivable	294	(164)	(464)
Other assets	1,628	(3,549)	(1,564)
Other liabilities	1,811	(1,318)	(6,494)
Net cash provided by operating activities	24,638	18,861	930
Securities, held-to-maturity:
Proceeds from calls, maturities, and principal collections			6,836
Purchases	(16,896)	(67,246)	(87,246)
Proceeds from sales	12,470	22,453	136,829
Proceeds from calls, maturities, and principal collections	25,060	53,915	59,112
Purchase of residential mortgages		(48,205)	(108,448)
Loan originations and principal payments, net	(66,263)	(15,658)	1,196
Net cash acquired from acquisition of Chicopee Bancorp			23,808
Redemption of Federal Home Loan Bank of Boston stock	858	571	3,126
Proceeds from sale of other real estate owned	203	410
Purchases of premises and equipment	(3,327)	(2,212)	(1,487)
Proceeds from sale of premises and equipment	100		20
Proceeds from payout on bank-owned life insurance	2,050
Net cash (used in) provided by investing activities	(45,745)	(55,972)	33,746
FINANCING ACTIVITIES:
Net increase (decrease) in deposits	90,189	(11,097)	72,270
Net change in short-term borrowings	(85,400)	(27,701)	38,944
Repayment of long-term debt	(69,578)	(21,185)	(89,933)
Proceeds from long-term debt	113,000	61,420	2,264
Cash dividends paid	(4,641)	(3,579)	(2,439)
Common stock repurchased	(22,920)	(9,314)	(1,378)
Issuance of common stock in connection with stock option exercises	114	5,465	1,971
Excess tax benefits from equity incentive plan			12
Excess tax benefits in connection with stock option exercises			144
Net cash provided by (used in) financing activities	20,764	(5,991)	21,855
NET CHANGE IN CASH AND CASH EQUIVALENTS:	(343)	(43,102)	56,531
Beginning of year	27,132	70,234	13,703
End of year	26,789	27,132	70,234
Supplemental cash flow information:
Securities reclassified from held-to-maturity to available-for-sale			(232,817)
Net change in due to broker for common stock repurchased	$ (83)	(151)	455
Loans transferred to other real estate owned		$ 258	298
In connection with the purchase acquisition detailed in Note 1 to the audited consolidated financial statements:
Fair value of non-cash assets acquired			674,529
Goodwill and core deposit intangibles			18,258
Fair value of liabilities assumed			617,803
Value of common shares issued			$ 98,792

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	12 Months Ended
	Dec. 31, 2018
Accounting Policies [Abstract]
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Nature of Operations and Basis of Presentation The Bank’s deposits are insured up to the maximum Federal Deposit Insurance Corporation (“FDIC”) coverage limits. The Bank operates 22 banking offices in western Massachusetts and northern Connecticut, and its primary sources of revenue is interest income from loans as well as interest income from investment securities. Wholly-owned Subsidiaries and Acquisition On October 21, 2016, the Company acquired Chicopee Bancorp, Inc. (“Chicopee”), the holding company for Chicopee Savings Bank. The acquisition added eight full-service banking offices located in western Massachusetts. The primary purpose of the acquisition with Chicopee was to expand our presence in western Massachusetts and diversify our market area. The transaction qualified as a tax-free reorganization for federal income tax purposes. The consideration paid in the transaction to Chicopee’s shareholders consisted of 11,919,412 shares of common stock of the Company, net of shares of Chicopee already owned, and shares of Chicopee’s ESOP were liquidated to pay off the ESOP loan. Based upon the per share closing price on October 21, 2016, of $7.90, the transaction was valued at approximately $98.8 million. As a result of this transaction, we added eight branches, total assets of $716.6 million, total loans of $640.9 million and total deposits of $545.7 million to our franchise. We accounted for the transaction using the acquisition method. Additionally, our results of operations include Chicopee’s operating results from the date of acquisition. Principles of Consolidation Estimates Reclassifications. Significant Group Concentrations of Credit Risk Cash and Cash Equivalents Securities and Mortgage-Backed Securities Financial Instruments —Overall Recognition and Measurement of Financial Assets and Financial Liabilities Realized gains and losses on sales of securities and mortgage-backed securities are computed using the specific identification method and are included in non-interest income on the trade date. The amortization of premiums and accretion of discounts is determined by using the level yield method to the maturity date. Derivatives. Other-than-Temporary Impairment of Securities Fair Value Hierarchy Level 1: Level 2: Level 3: Transfers between levels are recognized at the end of a reporting period, if applicable. Federal Home Loan Bank of Boston Stock Loans Held for Sale Loans Receivable Allowance for Loan Losses The allowance for loan losses is evaluated on a regular basis by management. This evaluation is inherently subjective as it requires estimates that are susceptible to significant revision as more information becomes available. The allowance consists of general, allocated and unallocated components, as further described below. General component The general component of the allowance for loan losses is based on historical loss experience adjusted for qualitative factors stratified by the following loan segments: residential real estate, commercial real estate, commercial and industrial, and consumer. Residential real estate loans include classes for residential and home equity. Management uses a rolling average of historical losses based on a time frame appropriate to capture relevant loss data for each loan segment. This historical loss factor is adjusted for the following qualitative factors: trends in delinquencies and nonperforming loans; trends in volume and terms of loans; internal credit ratings; effects of changes in risk selection; underwriting standards and other changes in lending policies, procedures and practices; and national and local economic trends and industry conditions. In 2018, there were no changes to the Company’s policies or methodology pertaining to the general component of the allowance for loan losses. The qualitative factors are determined based on the various risk characteristics of each loan segment. Risk characteristics relevant to each loan portfolio segment are as follows: Commercial real estate loans Residential real estate loans Commercial and industrial loans Consumer loans Allocated component The allocated component relates to loans that are classified as impaired. Impaired loans are identified by analysis of loan performance, internal credit ratings and watch list loans that management believes are subject to a higher risk of loss. Impairment is measured on a loan by loan basis for commercial real estate and commercial and industrial loans by either the present value of expected future cash flows discounted at the loan’s effective interest rate or the fair value of the collateral if the loan is collateral dependent. An allowance is established when the discounted cash flows (or collateral value) of the impaired loan is lower than the carrying value of that loan. Large groups of smaller balance homogeneous loans are collectively evaluated for impairment. Accordingly, we do not separately identify individual consumer and residential real estate loans for impairment disclosures, unless such loans are nonperforming or subject to a troubled debt restructuring agreement. A loan is considered impaired when, based on current information and events, it is probable that we will be unable to collect all of the 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. We determine 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. We may periodically agree to modify the contractual terms of loans. When a loan is modified and a concession is made to a borrower experiencing financial difficulty, the modification is considered a troubled debt restructuring (“TDR”). All TDRs are classified as impaired. While we use our best judgment and information available, the ultimate appropriateness of the allowance is dependent upon a variety of factors beyond our control, including the performance of our loan portfolio, the economy, changes in interest rates and the view of the regulatory authorities toward loan classifications. Unallocated component An unallocated component may be maintained to cover uncertainties that could affect management’s estimate of probable losses. The unallocated component of the allowance reflects the margin of imprecision inherent in the underlying assumptions used in the methodologies for estimating allocated and general reserves in the portfolio. Loans Acquired with Deteriorated Credit Quality. Bank-owned Life Insurance. Transfers and Servicing of Financial Assets Premises and Equipment Years Buildings 39 Leasehold Improvements 5-20 Furniture and Equipment 3-7 The cost of maintenance and repairs is charged to expense when incurred. Major expenditures for betterments are capitalized and depreciated. Other Real Estate Owned Servicing Servicing fee income is recorded for fees earned for servicing loans, which is included in service charges and fee income. The fees are based on a contractual percentage of the outstanding principal or a fixed amount per loan and are recorded as income when earned. Impairment of Long-lived Assets Goodwill is measured as the excess of the cost of a business combination over the sum of the amounts assigned to identifiable intangible assets acquired less liabilities assumed. Goodwill is not amortized but rather assessed for impairment annually or more frequently if circumstances warrant. Management has the option of first assessing qualitative factors, such as events and circumstances, to determine whether it is more likely than not, meaning a likelihood of more than 50%, the value of a reporting unit is less than its carrying amount. If, after considering all relevant events and circumstances, management determines it is not more likely than not the fair value of a reporting unit is less than its carrying amount, then performing an impairment test is unnecessary. For the year ended December 31, 2018, management determined that it was not more likely than not the fair value of the reporting unit (the consolidated Company, in our case) was less than its carrying amount. If management had determined otherwise, a fair value analysis would have been completed to determine the impairment and necessary write-down of goodwill. Retirement Plans and Employee Benefits. Share-based Compensation Plans Employee Stock Ownership Plan Advertising Costs Income Taxes Earnings per Share. Earnings per common share have been computed based on the following: Years Ended December 31, 2018 2017 2016 (In thousands, except per share data) Net income applicable to common stock $ 16,408 $ 12,320 $ 4,834 Average number of common shares issued 29,734 30,755 20,659 Less: Average unallocated ESOP Shares (757 ) (849 ) (935 ) Less: Average unvested equity incentive plan shares (90 ) (47 ) (16 ) Average number of common shares outstanding used to calculate basic earnings per common share 28,887 29,859 19,708 Effect of dilutive equity incentive plan 46 17 3 Effect of dilutive stock options 96 151 93 Average number of common shares outstanding used to calculate diluted earnings per common share 29,029 30,027 19,804 Basic earnings per share $ 0.57 $ 0.41 $ 0.25 Diluted earnings per share $ 0.57 $ 0.41 $ 0.24 Comprehensive Income (Loss) Accounting principles generally require that recognized revenue, expenses, gains and losses be included in net income. Although certain changes in assets and liabilities are reported as a separate component of the equity section of the balance sheet, such items, along with net income, are components of comprehensive income (loss). The components of accumulated other comprehensive loss, included in shareholders’ equity, are as follows: December 31, 2018 December 31, 2017 (In thousands) Net unrealized losses on securities available-for-sale $ (9,891 ) $ (5,358 ) Tax effect 2,491 1,316 Net-of-tax amount (7,400 ) (4,042 ) Fair value of derivatives used for cash flow hedges (1,259 ) (2,152 ) Termination fee on cancelled cash flow hedges (2,595 ) (3,664 ) Total derivatives (3,854 ) (5,816 ) Tax effect 1,084 1,635 Net-of-tax amount (2,770 ) (4,181 ) Unrecognized actuarial loss on the defined benefit plan (4,516 ) (6,021 ) Tax effect 1,270 1,692 Net-of-tax amount (3,246 ) (4,329 ) Accumulated other comprehensive loss $ (13,416 ) $ (12,552 ) The following table presents changes in accumulated other comprehensive loss for the years ended December 31, 2018 and 2017 by component: Securities Derivatives Defined Benefit Pension Plan Accumulated Other Comprehensive Loss (In thousands) Balance at December 31, 2016 $ (3,839 ) $ (5,204 ) $ (3,618 ) $ (12,661 ) Adoption of ASU 2018-02 (see Note 13) (686 ) (741 ) (699 ) (2,126 ) Current-period other comprehensive (loss) income 483 1,764 (12 ) 2,235 Balance at December 31, 2017 $ (4,042 ) $ (4,181 ) $ (4,329 ) $ (12,552 ) Balance at December 31, 2017 $ (4,042 ) $ (4,181 ) $ (4,329 ) $ (12,552 ) Cumulative-effect adjustment due to change in accounting principle (ASU 2016-01) 237 — — 237 Current-period other comprehensive (loss) income (3,595 ) 1,411 1,083 (1,101 ) Balance at December 31, 2018 $ (7,400 ) $ (2,770 ) $ (3,246 ) $ (13,416 ) With regard to the defined benefit plan, an actuarial loss of $124,000 is expected to be recognized as a component of net periodic pension cost during the year ending December 31, 2019. Recent Accounting Pronouncements. In February 2016, the FASB issued ASU 2016-02, Leases Leases In June 2016, the FASB issued ASU 2016-13, Financial Instruments—Credit Losses In March 2017, the FASB issued ASU 2017-08— Receivables—Nonrefundable Fees and Other Costs Premium Amortization on Purchased Callable Debt Securities In August 2017, the FASB issued ASU 2017-12, Derivatives and Hedging Targeted Improvements to Accounting for Hedging Activities In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement

INVESTMENT SECURITIES

INVESTMENT SECURITIES	12 Months Ended
	Dec. 31, 2018
Investments, Debt and Equity Securities [Abstract]
INVESTMENT SECURITIES	2. INVESTMENT SECURITIES The amortized cost and fair values of available-for-sale investment securities at December 31, 2018 and 2017 are summarized as follows: December 31, 2018 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (In thousands) Available-for-sale securities: Debt securities: Government-sponsored enterprise obligations $ 25,150 $ — $ (1,203 ) $ 23,947 State and municipal bonds 2,976 33 (65 ) 2,944 Corporate bonds 49,819 — (1,651 ) 48,168 Total debt securities 77,945 33 (2,919 ) 75,059 Mortgage-backed securities: Government-sponsored mortgage-backed securities 165,605 1 (6,255 ) 159,351 U.S. government guaranteed mortgage-backed securities 20,089 1 (752 ) 19,338 Total mortgage-backed securities 185,694 2 (7,007 ) 178,689 Total available-for-sale (1) $ 263,639 $ 35 $ (9,926 ) $ 253,748 December 31, 2017 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (In thousands) Available-for-sale securities: Debt securities: Government-sponsored enterprise obligations $ 25,151 $ — $ (770 ) $ 24,381 State and municipal bonds 3,222 36 (19 ) 3,239 Corporate bonds 56,084 352 (292 ) 56,144 Total debt securities 84,457 388 (1,081 ) 83,764 Mortgage-backed securities: Government-sponsored mortgage-backed securities 185,769 10 (3,778 ) 182,001 U.S. government guaranteed mortgage-backed securities 16,821 — (567 ) 16,254 Total mortgage-backed securities 202,590 10 (4,345 ) 198,255 Marketable equity securities (1) Mutual fund 6,727 — (330 ) 6,397 Total available-for-sale $ 293,774 $ 398 $ (5,756 ) $ 288,416 (1) Does not include investments in restricted stock consisting of $14.7 million and $15.6 million at December 31, 2018 and December 31, 2017, respectively. At December 31, 2018, government-sponsored enterprise obligations with a fair value of $6.6 million and mortgage-backed securities with a fair value $57.8 million were pledged to secure public deposits and for other purposes as required or permitted by law. The securities collateralizing public deposits are subject to fluctuations in fair value. We monitor the fair value of the collateral on a periodic basis, and would pledge additional collateral if necessary based on changes in fair value of collateral or the balances of such deposits. In 2018, the Company adopted FASB ASU 2016-01, Financial Instruments —Overall Recognition and Measurement of Financial Assets and Financial Liabilities The main significant effect resulting from the adoption of this ASU is that marketable equity securities previously reported within securities available-for-sale are now shown as a single line item (“marketable equity securities”) in the Company’s balance sheet and the recognition in net income of the changes in fair value of marketable equity securities. The cumulative-effect adjustment resulting from the adoption of this ASU was a decrease to retained earnings and accumulated other comprehensive loss as of January 1, 2018 of $237,000. The amortized cost and fair value of available-for-sale debt securities at December 31, 2018, by final maturity, are shown below. Actual maturities may differ from contractual maturities because certain issuers have the right to call or prepay obligations. Also, because mortgage-backed securities require periodic principal pay downs, they are not included in the maturity categories in the following summary. December 31, 2018 Amortized Cost Fair Value (In thousands) Available-for-sale securities: Debt securities: Due in one year or less $ 240 $ 241 Due after one year through five years 40,864 39,846 Due after five years through ten years 30,094 28,561 Due after ten years 6,747 6,411 Total debt securities 77,945 75,059 Mortgage-backed securities 185,694 178,689 Total available-for-sale securities $ 263,639 $ 253,748 Gross realized gains and losses on sales of securities for the years ended December 31, 2018, 2017 and 2016 are as follows: Years Ended December 31, 2018 2017 2016 (In thousands) Gross gains realized $ — $ 117 $ 1,976 Gross losses realized (281 ) (65 ) (837 ) Net gain realized $ (281 ) $ 52 $ 1,139 Proceeds from the sale and redemption of securities available-for-sale totaled $12.5 million, $22.5 million and $136.8 million for the years ended December 31, 2018, 2017 and 2016, respectively. The Company did not hold any held-to-maturity securities at December 31, 2018 and December 31, 2017. The following tables summarize investments having temporary impairment due to the fair market values having declined below the amortized costs of the individual investments, and the period that the investments have been temporarily impaired at December 31, 2018 and 2017: December 31, 2018 Less Than 12 Months Over 12 Months Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value (In thousands) Available-for-sale: Government-sponsored mortgage-backed securities $ 74 $ 7,354 $ 6,181 $ 148,762 U.S. government guaranteed mortgage-backed securities 15 2,829 737 14,669 Corporate bonds 110 9,995 1,541 38,173 State and municipal bonds — — 65 1,532 Government-sponsored enterprise obligations — — 1,203 23,947 Total available-for-sale $ 199 $ 20,178 $ 9,727 $ 227,083 December 31, 2017 Less Than 12 Months Over 12 Months Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value (In thousands) Available-for-sale: Government-sponsored mortgage-backed securities $ 613 $ 68,538 $ 3,165 $ 111,595 U.S. government guaranteed mortgage-backed securities 23 1,205 544 15,049 Corporate bonds 292 26,016 — — State and municipal bonds — — 19 1,581 Government-sponsored enterprise obligations — — 770 24,381 Mutual funds — — 330 6,397 Total available-for-sale $ 928 $ 95,759 $ 4,828 $ 159,003 During the years ended December 31, 2018 and 2017, the Company did not record any fair value impairment charges on its investments. Management regularly reviews the portfolio for securities with unrealized losses. At December 31, 2018, management did not consider it debt securities to have other-than-temporary impairment (“OTTI”) and attributes the unrealized losses to increases in current market yields compared to the yields at the time the investments were purchased by the Company and not due to credit quality. The process for assessing investments for OTTI may vary depending on the type of security. In assessing the Company’s investments in federal agency mortgage-backed securities and federal agency obligations, the contractual cash flows of these investments are guaranteed by the respective government-sponsored enterprise; Federal Home Loan Mortgage Corporation (“FHLMC”), Federal National Mortgage Association (“FNMA”), Federal Farm Credit Bank (“FFCB”), or Federal Home Loan Bank (“FHLB”). Accordingly, it is expected that the securities would not be settled at a price less than the par value of the Company’s investments. Management’s assessment of other debt securities within the portfolio includes reviews of market pricing, ongoing credit quality evaluations, assessment of the investments’ materiality, and duration of the investments’ unrealized loss position. A December 31, 2018, the Company’s corporate and municipal bond portfolios did not contain any securities below investment grade, as reported by major credit rating agencies.

LOANS

LOANS	12 Months Ended
	Dec. 31, 2018
Receivables [Abstract]
LOANS	3. LOANS Major classifications of loans at the periods indicated were as follows: December 31, 2018 2017 (In thousands) Commercial real estate $ 768,881 $ 732,616 Residential real estate: Residential 1-4 family 577,641 557,752 Home equity 97,238 92,599 Commercial and industrial 243,493 238,502 Consumer 5,203 4,478 Total gross loans 1,692,456 1,625,947 Premiums and deferred loan fees and costs, net 4,401 4,734 Allowance for loan losses (12,053 ) (10,831 ) Net loans $ 1,684,804 $ 1,619,850 There were no residential real estate loan purchases in 2018. During 2017, the Company purchased residential real estate loans aggregating $48.2 million. These purchased loans are subject to underwriting standards that are consistent with our originated loans and we consider the risk attributes to be similar to originated loans. Loans Serviced for Others. The Company has transferred a portion of its originated commercial loans to participating lenders. The amounts transferred have been accounted for as sales and are therefore not included in our accompanying consolidated balance sheets. We continue to service the loans on behalf of the participating lenders. We share, on a pro-rated basis, with participating lenders any gains or losses that may result from a borrower’s lack of compliance with contractual terms of the loan. At December 31, 2018 and December 31, 2017, the Company was servicing commercial loans participated out to various other institutions totaling $35.4 million and $32.6 million, respectively. Residential real estate mortgages are originated by the Bank both for its portfolio and for sale into the secondary market. The Bank may sell its loans to institutional investors such as the FHLMC. Under loan sale and servicing agreements with the investor, the Bank generally continues to service the residential real estate mortgages. The Bank pays the investor an agreed upon rate on the loan, which is less than the interest rate received from the borrower. The Bank retains the difference as a fee for servicing the residential real estate mortgages. The Bank capitalizes mortgage servicing rights at their fair value upon sale of the related loans, amortizes the asset over the estimated life of the serviced loan, and periodically assesses the asset for impairment. The significant assumptions used by a third party to estimate the fair value of capitalized servicing rights at December 31, 2018, include weighted average prepayment speed for the portfolio using the Public Securities Association Standard Prepayment Model (128 PSA), weighted average internal rate of return (12.04%), weighted average servicing fee (0.25%), and net cost to service loans ($84.48 per loan). The estimated fair value of capitalized servicing rights may vary significantly in subsequent periods primarily due to changing market interest rates, and their effect on prepayment speeds and discount rates. At December 31, 2018 and 2017, the Company was servicing residential mortgage loans owned by investors totaling $56.6 million and $65.8 million, respectively. Net service fee income of $89,000, $63,000 and $12,500 was recorded for the years ended December 31, 2018, 2017 and 2016, respectively, and is included in service charges and fees on the consolidated statements of net income. A summary of the activity in the balances of mortgage servicing rights follows: Years Ended December 31, 2018 2017 (In thousands) Balance at the beginning of year: $ 352 $ 465 Capitalized mortgage servicing rights — — Amortization (66 ) (113 ) Balance at the end of year $ 286 $ 352 Fair value at the end of year $ 455 $ 528 Allowance for Loan Losses. An analysis of changes in the allowance for loan losses by segment for the years ended December 31, 2018, 2017 and 2016 is as follows: Commercial Real Estate Residential Real Estate Commercial and Industrial Consumer Unallocated Total (In thousands) Balance at December 31, 2015 $ 3,856 $ 2,431 $ 2,485 $ 22 $ 46 $ 8,840 Provision (credit) (668 ) 579 575 135 (46 ) 575 Charge-offs (170 ) (157 ) — (159 ) — (486 ) Recoveries 1,065 9 25 40 — 1,139 Balance at December 31, 2016 $ 4,083 $ 2,862 $ 3,085 $ 38 $ — $ 10,068 Provision (credit) 779 433 (144 ) 288 4 1,360 Charge-offs (292 ) (148 ) (289 ) (319 ) — (1,048 ) Recoveries 142 164 81 64 — 451 Balance at December 31, 2017 $ 4,712 $ 3,311 $ 2,733 $ 71 $ 4 $ 10,831 Provision (credit) 214 863 660 179 (16 ) 1,900 Charge-offs (35 ) (645 ) (299 ) (171 ) — (1,150 ) Recoveries 369 27 20 56 — 472 Balance at December 31, 2018 $ 5,260 $ 3,556 $ 3,114 $ 135 $ (12 ) $ 12,053 The following table presents information pertaining to the allowance for loan losses by segment for the dates indicated: Commercial Real Estate Residential Real Estate Commercial and Industrial Consumer Unallocated Total (In thousands) December 31, 2018 Amount of allowance for impaired loans $ — $ — $ — $ — $ — $ — Amount of allowance for non-impaired loans 5,260 3,556 3,114 135 (12 ) 12,053 Total allowance for loan losses $ 5,260 $ 3,556 $ 3,114 $ 135 $ (12 ) $ 12,053 Impaired loans $ 5,237 $ 4,754 $ 2,345 $ 60 $ — $ 12,396 Non-impaired loans 752,770 666,883 240,235 5,143 — 1,665,031 Impaired loans acquired with deteriorated credit quality 10,874 3,242 913 — — 15,029 Total loans $ 768,881 $ 674,879 $ 243,493 $ 5,203 $ — $ 1,692,456 Commercial Real Estate Residential Real Estate Commercial and Industrial Consumer Unallocated Total (In thousands) December 31, 2017 Amount of allowance for impaired loans $ — $ — $ — $ — $ — $ — Amount of allowance for non-impaired loans 4,712 3,311 2,733 71 4 10,831 Total allowance for loan losses $ 4,712 $ 3,311 $ 2,733 $ 71 $ 4 $ 10,831 Impaired loans $ 3,674 $ 3,964 $ 2,766 $ 120 $ — $ 10,524 Non-impaired loans 716,571 642,787 234,582 4,358 — 1,598,298 Impaired loans acquired with deteriorated credit quality 12,371 3,600 1,154 — — 17,125 Total loans $ 732,616 $ 650,351 $ 238,502 $ 4,478 $ — $ 1,625,947 Past Due and Non-accrual loans. The following tables present an age analysis of past due loans as of the dates indicated: Balance at December 31, 2018 30 – 59 Days Past Due 60 – 89 Days Past Due Greater than 90 Days Past Due Total Past Due Loans Total Current Loans Total Loans Non- Accrual Loans (In thousands) Commercial real estate $ 1,857 $ — $ 2,865 $ 4,722 $ 764,159 $ 768,881 $ 4,701 Residential real estate: Residential 1,798 572 1,879 4,249 573,392 577,641 5,856 Home equity 600 5 242 847 96,391 97,238 391 Commercial and industrial 794 1,463 305 2,562 240,931 243,493 2,476 Consumer 93 1 21 115 5,088 5,203 60 Total loans $ 5,142 $ 2,041 $ 5,312 $ 12,495 $ 1,679,961 $ 1,692,456 $ 13,484 Balance at December 31, 2017 30 – 59 Days Past Due 60 – 89 Days Past Due Greater than 90 Days Past Due Total Past Due Loans Total Current Loans Total Loans Non- Accrual Loans (In thousands) Commercial real estate $ 1,951 $ 144 $ 290 $ 2,385 $ 730,231 $ 732,616 $ 2,959 Residential real estate: Residential 2,992 1,480 1,911 6,383 551,369 557,752 5,961 Home equity 635 — 48 683 91,916 92,599 696 Commercial and industrial 1,731 797 162 2,690 235,812 238,502 3,019 Consumer 65 — 41 106 4,372 4,478 120 Total loans $ 7,374 $ 2,421 $ 2,452 $ 12,247 $ 1,613,700 $ 1,625,947 $ 12,755 At December 31, 2018 and December 31, 2017, all loans past due 90 days or more were carried as non-accrual. The ratio of non-accrual loans to total loans was 0.80% and 0.78% at December 31, 2018 and December 31, 2017, respectively. Impaired Loans. The following is a summary of impaired loans by class: Year Ended At December 31, 2018 December 31, 2018 Recorded Investment Unpaid Principal Balance Related Allowance Average Recorded Investment Interest Income Recognized Impaired Loans (1) (In thousands) Commercial real estate $ 16,111 $ 19,081 $ — $ 14,830 $ 772 Residential real estate 7,558 8,614 — 7,033 51 Home equity 438 468 636 4 Commercial and industrial 3,258 7,788 — 4,119 147 Consumer 60 70 85 — Total impaired loans $ 27,425 $ 36,021 $ — $ 26,703 $ 974 Year Ended At December 31, 2017 December 31, 2017 Recorded Investment Unpaid Principal Balance Related Allowance Average Recorded Investment Interest Income Recognized Impaired Loans: (1) (In thousands) Commercial real estate $ 16,045 $ 18,773 $ — $ 18,215 $ 842 Residential real estate 6,816 7,298 — 6,630 45 Home equity 748 783 359 4 Commercial and industrial 3,920 9,215 — 4,388 237 Consumer 120 129 93 — Total impaired loans $ 27,649 $ 36,198 $ — $ 29,685 $ 1,128 (1) Includes loans acquired with deteriorated credit quality and performing troubled debt restructurings. The majority of impaired loans are included within the non-accrual balances; however, not every loan on non-accrual status has been designated as impaired. Impaired loans include loans that have been modified in a TDR. Impaired loans are individually evaluated and exclude large groups of smaller-balance homogeneous loans, such as residential mortgage loans and consumer loans, which are collectively evaluated for impairment, and loans that are measured at fair value, unless the loan is amended in a TDR. All payments received on impaired loans in non-accrual status are applied to principal. There was no interest income recognized on nonaccrual impaired loans during the years ended December 31, 2018 and December 31, 2017. The Company’s obligation to fulfill the additional funding commitments on impaired loans is generally contingent on the borrower’s compliance with the terms of the credit agreement. If the borrower is not in compliance, additional funding commitments may or may not be made at the Company’s discretion. As of December 31, 2018, we have not committed to lend any additional funds for loans that are classified as impaired. Payments received on impaired loans in accrual status are recorded in accordance with the contractual terms of the loan. Troubled debt restructurings. Loans are designated as a TDR when, as part of an agreement to modify the original contractual terms of the loan as a result of financial difficulties of the borrower, the Bank grants the borrower a concession on the terms, that would not otherwise be considered. Typically, such concessions may consist of a reduction in interest rate to a below market rate, taking into account the credit quality of the note, extension of additional credit based on receipt of adequate collateral, or a deferment or reduction of payments (principal or interest) which materially alters the Bank’s position or significantly extends the note’s maturity date, such that the present value of cash flows to be received is materially less than those contractually established at the loan’s origination. All loans that are modified are reviewed by the Company to identify if a TDR has occurred. All TDR loans are classified as impaired. When we modify loans in a TDR, we measure impairment similar to other impaired loans based on the present value of expected future cash flows, discounted at the contractual interest rate of the original loan agreement, or use the current fair value of the collateral, less selling costs for collateral dependent loans. If we determine that the value of the modified loan is less than the recorded investment in the loan (net of previous charge-offs, deferred loan fees or costs and unamortized premium or discount), impairment is recognized through a specific allowance or a charge-off to the allowance. Non-performing TDRs are included in non-performing loans. There were no TDR loans modified during the year ended December 31, 2018. During the year ended December 31, 2017, one commercial and industrial loan in the amount of $112,000 was modified to extend the maturity and re-amortize the payments. During the years ended December 31, 2018 and 2017, no TDRs defaulted (defined as 30 days or more past due) within 12 months of restructuring. There were no charge-offs on TDRs during the year ended December 31, 2018. There were $256,000 in charge-offs on TDRs during the year ended December 31, 2017. Loans Acquired with Deteriorated Credit Quality The following is a summary of loans acquired with evidence of credit deterioration from Chicopee as of December 31, 2018. Contractual Required Payments Receivable Cash Expected To Be Collected Non- Accretable Discount Accretable Yield Loans Receivable (In thousands) Balance at December 31, 2017 $ 29,362 $ 23,158 $ 6,204 $ 6,033 $ 17,125 Collections (4,000 ) (2,780 ) (1,220 ) (742 ) (2,038 ) Dispositions (569 ) (495 ) (74 ) (437 ) (58 ) Balance at December 31, 2018 $ 24,793 $ 19,883 $ 4,910 $ 4,854 $ 15,029 Credit Quality Information The Company utilizes an eight-grade internal loan rating system for commercial real estate and commercial and industrial loans. Performing residential real estate, home equity and consumer loans are grouped with “Pass” rated loans. Non-performing residential real estate, home equity and consumer loans are monitored individually for impairment and risk rated as “substandard.” Loans rated 1 – 4 Loans rated 5 Loans rated 6 Loans rated 7 Loans rated 8 On an annual basis, or more often if needed, we formally review the ratings on all commercial real estate and commercial and industrial loans. In addition, management utilizes delinquency reports, the criticized report and other loan reports to monitor credit quality. In addition, at least on an annual basis, the Company contracts with an external loan review company to review the internal credit ratings assigned to loans in the commercial loan portfolio on a pre-determined schedule, based on the type, size, rating, and overall risk of the loan. During the course of their review, the third party examines a sample of loans, including new loans, existing relationships over certain dollar amounts and classified assets. The following table presents our loans by risk rating for the periods indicated: Commercial Real Estate Residential 1-4 family Home Equity Commercial and Industrial Consumer Total (In thousands) December 31, 2018 Pass (Rated 1 – 4) $ 732,729 $ 570,428 $ 96,643 $ 207,663 $ 5,143 $ 1,612,606 Special Mention (Rated 5) 17,929 — — 12,248 — 30,177 Substandard (Rated 6) 18,223 7,213 595 23,582 60 49,673 Total $ 768,881 $ 577,641 $ 97,238 $ 243,493 $ 5,203 $ 1,692,456 Commercial Real Estate Residential 1-4 family Home Equity Commercial and Industrial Consumer Total December 31, 2017 (In thousands) Pass (Rated 1 – 4) $ 708,992 $ 551,469 $ 91,903 $ 205,537 $ 4,475 $ 1,562,376 Special Mention (Rated 5) 15,098 — — 24,565 — 39,663 Substandard (Rated 6) 8,526 6,283 696 8,400 3 23,908 Total $ 732,616 $ 557,752 $ 92,599 $ 238,502 $ 4,478 $ 1,625,947

PREMISES AND EQUIPMENT

PREMISES AND EQUIPMENT	12 Months Ended
	Dec. 31, 2018
Property, Plant and Equipment [Abstract]
PREMISES AND EQUIPMENT	4. PREMISES AND EQUIPMENT Premises and equipment are summarized as follows: December 31, 2018 2017 (In thousands) Land $ 5,651 $ 5,651 Buildings 24,144 22,693 Leasehold improvements 2,372 2,220 Furniture and equipment 16,824 15,200 Total 48,991 45,764 Less: accumulated depreciation and amortization (24,367 ) (22,264 ) Premises and equipment, net $ 24,624 $ 23,500 Depreciation and amortization expense for the years ended December 31, 2018, 2017 and 2016 amounted to $2.1 million, $2.0 million and $1.4 million, respectively.

GOODWILL AND OTHER INTANGIBLES

GOODWILL AND OTHER INTANGIBLES	12 Months Ended
	Dec. 31, 2018
Goodwill and Intangible Assets Disclosure [Abstract]
GOODWILL AND OTHER INTANGIBLES	5. GOODWILL AND OTHER INTANGIBLES At December 31, 2018 and December 31, 2017, the Company’s goodwill was related to the acquisition of Chicopee in October 2016. There was no goodwill impairment recorded during the years ended December 31, 2018 and 2017. Annually, or more frequently if events or changes in circumstances warrant such evaluation, the Company evaluates its goodwill for impairment. Core Deposit Intangibles In connection with the acquisition of Chicopee, the Bank recorded a core deposit intangible of $4.5 million which is amortized over twelve years using the straight-line method. Amortization expense was $375,000, $375,000 and $73,000 for the years ended December 31, 2018, 2017 and 2016. At December 31, 2018, future amortization of the core deposit intangible totaled $375,000 for each of the next five years and $1.8 million thereafter.

DEPOSITS

DEPOSITS	12 Months Ended
	Dec. 31, 2018
Banking and Thrift [Abstract]
DEPOSITS	6. DEPOSITS Deposit accounts, by type, are summarized as follows for the periods indicated: At December 31, 2018 2017 (In thousands) Demand and interest-bearing checking: Interest-bearing checking accounts $ 63,620 $ 87,394 Demand deposits 355,389 311,851 Savings: Regular accounts 118,542 140,081 Money market accounts 398,396 410,223 Time deposits 660,046 556,533 Total deposits $ 1,595,993 $ 1,506,082 Brokered deposits, which are included within time deposits, totaled $23.8 million and $6.9 million at December 31, 2018 and 2017, respectively, Time deposits of $250,000 or more totaled $180.3 million at December 31, 2018. Interest expense on time deposits of $250,000 or more totaled $2.5 million and $1.4 million for the years ended December 31, 2018 and 2017, respectively. The scheduled maturities of time deposits for the periods indicated are as follows: Years Ended December 31, 2018 2017 (In thousands) 2018 $ — $ 300,531 2019 443,187 179,780 2020 152,346 34,000 2021 38,328 25,381 2022 18,787 16,841 2023 7,398 — Total time deposits $ 660,046 $ 556,533 Interest expense on deposits for the years ended December 31, 2018, 2017 and 2016 is summarized as follows: Years Ended December 31, 2018 2017 2016 (In thousands) Regular accounts $ 162 $ 179 $ 106 Money market accounts 1,911 1,565 1,189 Time deposits 9,270 6,374 5,139 Interest-bearing checking accounts 340 330 147 Total $ 11,683 $ 8,448 $ 6,581

SHORT-TERM BORROWINGS

SHORT-TERM BORROWINGS	12 Months Ended
	Dec. 31, 2018
Debt Disclosure [Abstract]
SHORT-TERM BORROWINGS	7. SHORT-TERM BORROWINGS As a member of the FHLB, the Bank has the potential capacity to borrow an amount up to the value of its discounted qualified collateral. Borrowings from the FHLB are secured by certain securities from the Company’s investment portfolio not otherwise pledged and certain residential and commercial real estate loans. FHLB advances with an original maturity of less than one year totaled $59.3 million and $133.0 million at December 31, 2018 and 2017, respectively, with a weighted average rate of 3.28% and 1.58%, respectively. At December 31, 2018, based on qualifying collateral less outstanding advances, the Bank had the capacity to borrow up to approximately $218.3 million from the FHLB. In addition, at December 31, 2018 and December 31, 2017, the Company had an available Ideal Way line of credit with the FHLB for up to $9.5 million. Interest on this line of credit is payable at a rate determined and reset by the FHLB on a daily basis. The outstanding principal is due daily and the portion not repaid will be automatically renewed. At December 31, 2018 and December 31, 2017, there were no advances outstanding under this line. The Bank also had a line of credit in the amount up to $15.0 million with a correspondent bank at an interest rate determined and reset on a daily basis. There were no advances outstanding under this line at December 31, 2018 and 2017. We also had a $50.0 million line of credit with another correspondent bank at an interest rate determined and reset on a daily basis. There were no advances outstanding under the line at December 31, 2018 and 2017. Customer Repurchase Agreements. At or for the year ended December 31, 2017 (In thousands) Balance outstanding at end of year $ 11,650 Maximum amount outstanding during year 30,880 Average amount outstanding during year 18,418 Weighted average interest rate at end of year 0.10 % Amortized cost of collateral pledged at end of year 63,193 Fair value of collateral pledged at end of year 65,157 At December 31, 2017, repurchase agreements were collateralized by government-sponsored enterprise obligations with a fair value of $6.7 million and certain mortgage-backed securities with a fair value of $58.4 million. The weighted average interest rate on the pledged collateral was 2.62% at December 31, 2017.

LONG-TERM DEBT

LONG-TERM DEBT	12 Months Ended
	Dec. 31, 2018
Debt Disclosure [Abstract]
LONG-TERM DEBT	8. LONG-TERM DEBT FHLB Advances. Amount Weighted Average Rate 2018 2017 2018 2017 (In thousands) Fixed-rate advances maturing: 2018 $ — $ 54,652 — % 2.0 % 2019 81,891 49,105 2.3 2.0 2020 84,269 40,535 2.2 1.9 2021 31,766 4,434 2.6 1.0 2022 9,461 5,325 2.2 1.4 2024 631 735 2.6 2.6 208,018 154,786 2.3 1.9 Variable-rate advances maturing: 2018 — 10,000 — 1.4 Total long-term advances $ 208,018 $ 164,786 2.3 % 1.9 % Cash paid for interest on long-term debt totaled $4.2 million, $2.3 million, and $2.3 million for the years ended December 31, 2018, 2017, and 2016, respectively.

STOCK PLANS AND EMPLOYEE STOCK

STOCK PLANS AND EMPLOYEE STOCK OWNERSHIP PLAN	12 Months Ended
	Dec. 31, 2018
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
STOCK PLANS AND EMPLOYEE STOCK OWNERSHIP PLAN	9. STOCK PLANS AND EMPLOYEE STOCK OWNERSHIP PLAN Stock Options. A summary of the status of our stock options at December 31, 2018 is presented below: Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term (in years) Aggregate Intrinsic Value (in thousands) Outstanding at December 31, 2017 257,050 $ 6.31 4.41 $ 1,175 Exercised (18,975 ) 6.03 3.80 89 Outstanding at December 31, 2018 238,075 $ 6.33 3.44 $ 877 Exercisable at December 31, 2018 238,075 $ 6.33 3.44 $ 877 Cash received for options exercised during the years ended December 31, 2018 and 2017 was $114,000 and $5.5 million, respectively. Restricted Stock Awards. In January 2015, there were 48,560 shares granted under the RSA Plan. These shares vest ratably over five years. The fair market value of shares awarded are based on the market price at the grant date and recorded as unearned compensation. The shares are amortized over the applicable vesting period. In 2016, the Compensation Committee (the “Committee”) approved the long-term incentive program (“2016 LTI Plan”). The 2016 LTI Plan provides a periodic award that is both performance and time-based and is designed to recognize the executive’s responsibilities, reward performance and leadership and as a retention tool. The objective of the 2016 LTI Plan is to align compensation for the named executive officers and directors over a multi-year period directly with the interests of our shareholders by motivating and rewarding creation and preservation of long-term financial strength, shareholder value and relative shareholder return. The 2016 LTI Plan includes eligible participants of the Company that are nominated by the Chief Executive Officer and approved by the Compensation Committee. The 2016 LTI Plan is triggered by the Company’s achievement of satisfactory safety and soundness results from its most recent regulatory examination and additional Company performance metrics. Stock grants made under the 2016 LTI Plan will consist of 50% time-based stock and 50% performance-based stock. In May 2016, there were 62,740 shares granted under the 2016 LTI Plan. Of the 62,740 shares granted, 36,543 shares were time-based stock, with 10,352 vesting in one year and 26,191 vesting ratably over a three year period. The remaining 26,197 shares granted were performance-based and are subject to the achievement of the 2016 LTI performance metrics. Under the 2016 LTI Plan, the primary performance metric was return on equity. Performance-based shares will be earned based on the Company achieving the threshold and target metrics over the three-year performance period. As a result of the Tax Cuts and Jobs Act of 2017, the return on equity performance metrics were adjusted to incorporate the impact and benefits of the corporate tax rate reductions thereunder. The original and adjusted threshold and target metrics under the 2016 Plan are as follows: Return on Equity Metrics Threshold Target Original metrics 5.85 % 6.32 % Adjusted metrics 6.38 % 6.79 % In May 2017, there were 89,042 shares granted under the 2017 LTI Plan. Of the 89,042 shares, 55,159 shares are time-based, with 21,276 vesting in one year and 33,883 vesting ratably over a three year period. The remaining 33,883 shares granted were performance-based and are subject to the achievement of the 2017 LTI performance metric. Vesting is realized after a three year period. Under the 2017 LTI Plan, the primary performance metric was return on equity. Performance-based shares will be earned based upon how the Company performs relative to threshold, target and maximum absolute goals (i.e. Company-specific, not relative to a peer index) on an annual performance period, but will be distributed at the end of the three year period. As a result of the Tax Cuts and Jobs Act of 2017, the return on equity performance metrics for 2018 and 2019 were adjusted to incorporate the impact and benefits of the corporate tax rate reductions thereunder. The original and adjusted threshold, target and maximum metrics under the 2017 Plan are as follows: Return on Equity Metrics Performance Period Ending Original Threshold Adjusted Threshold Original Target Adjusted Target Original Maximum Adjusted Maximum December 31, 2018 6.30 % 6.87 % 7.00 % 7.63 % 7.60 % 8.28 % December 31, 2019 6.50 % 7.09 % 7.20 % 7.85 % 7.90 % 8.61 % Eligible participants will be able to earn between 50% (“threshold” performance), 100% (“target” performance) and 150% (“maximum” performance). In January 2018, there were 83,812 shares granted under the 2018 LTI Plan. Of the 83,812 shares, 50,852 shares were time-based, with 17,908 vesting in one year and 32,944 vesting ratably over a three-year period. The remaining 32,960 shares granted are performance-based and are subject to the achievement of the 2018 long-term incentive performance metric. Under the 2018 LTI Plan, the primary performance metric was return on equity. Performance shares will be earned based upon how the Company performs relative to threshold, target and maximum absolute goals (i.e. Company-specific, not relative to a peer index) on an annual performance period, but will be distributed at the end of the three-year period. The threshold, target and stretch metrics under the 2018 LTI Plan are as follows: Return on Equity Metrics Performance Period Ending Threshold Target Stretch December 31, 2018 6.30 % 6.80 % 7.20 % December 31, 2019 6.85 % 7.35 % 7.75 % December 31, 2020 7.40 % 7.90 % 8.30 % Participants will be able to earn between 50% (“threshold” performance), 100% (“target” performance) and 150% (“maximum” performance). The fair market value of shares awarded is based on the market price at the grant date, recorded as unearned compensation and amortized over the applicable vesting period. Performance-based metrics are monitored on a quarterly basis in order to compare actual results to the performance metric, with any necessary adjustments being recognized through share-based compensation expense and unearned compensation. At December 31, 2018, there were an additional 236,053 shares available for future grants under the RSA Plan. A summary of the status of restricted stock awards at December 31, 2018 is presented below: Shares Weighted Average Grant Date Fair Value Balance at December 31, 2017 138,833 $ 8.98 Shares granted 83,812 11.05 Shares vested (62,726 ) 9.44 Shares forfeited (4,207 ) 10.63 Balance at December 31, 2018 155,712 $ 9.87 The aggregate fair value of restricted stock vested during 2018 was $659,000. We recorded total expense for restricted stock awards of $845,000, $649,000 and $262,000 for the years ended December 31, 2018, 2017, and 2016, respectively. Tax benefits related to equity incentive plan expense were $24,000, $42,000 and $89,000 for the years ended December 31, 2018, 2017 and 2016, respectively. Unrecognized compensation cost for stock awards was $732,000 at December 31, 2018 with a remaining term of 1.7 years. Employee Stock Ownership Plan (“ESOP”). In January 2007, as part of the second-step stock conversion, we provided an additional loan to the ESOP Trust which was used to purchase 4.0%, or 736,000 shares, of the 18,400,000 shares of common stock sold in the offering. The 2002 and 2007 loans bear an interest rate of 8.0% and provide for annual payments of interest and principal. At December 31, 2018, the remaining principal balances are payable as follows: Years Ending December 31, Amount (In thousands) 2019 $ 447 2020 447 2021 447 2022 447 2023 447 Thereafter 4,184 Total $ 6,419 We have committed to make contributions to the ESOP sufficient to support the debt service of the loans. The loans are secured by the shares purchased, which are held in a suspense account for allocation among the participants as the loans are paid. Total compensation expense applicable to the ESOP amounted to $960,000, $958,000 and $630,000 for the years ended December 31, 2018, 2017 and 2016, respectively. Shares held by the ESOP include the following at December 31, 2018 and 2017: 2018 2017 Allocated 936,522 899,969 Committed to be allocated 90,978 93,679 Unallocated 700,124 791,102 Total 1,727,624 1,784,750 Cash dividends declared and received on allocated shares are allocated to participants and charged to retained earnings. Cash dividends declared and received on unallocated shares are held in suspense and are applied to repay the outstanding debt of the ESOP. The fair value of unallocated shares was $10.3 million and $8.6 million at December 31, 2018 and 2017, respectively. ESOP shares are considered outstanding for earnings per share calculations when they are committed to be allocated. Unallocated ESOP shares are excluded from earnings per share calculations. The cost of unearned shares to be allocated to ESOP participants for future services not yet performed is reflected as a reduction of shareholders’ equity.

RETIREMENT PLANS AND EMPLOYEE B

RETIREMENT PLANS AND EMPLOYEE BENEFITS	12 Months Ended
	Dec. 31, 2018
Defined Benefit Plan [Abstract]
RETIREMENT PLANS AND EMPLOYEE BENEFITS	10. RETIREMENT PLANS AND EMPLOYEE BENEFITS Pension Plan The following table provides information for the Plan at or for the years ended December 31: Years Ended December 31, 2018 2017 2016 (In thousands) Change in benefit obligation: Benefit obligation at beginning of year $ 29,345 $ 25,819 $ 22,458 Service cost 1,269 1,139 1,130 Interest 1,012 1,002 959 Actuarial (gain) loss (3,887 ) 1,987 1,846 Benefits paid (430 ) (602 ) (574 ) Benefit obligation at end of year 27,309 29,345 25,819 Change in plan assets: Fair value of plan assets at beginning of year 19,215 16,498 15,233 Actual (loss) return on plan assets (1,192 ) 2,519 1,039 Employer contribution 800 800 800 Benefits paid (430 ) (602 ) (574 ) Fair value of plan assets at end of year 18,393 19,215 16,498 Funded status and accrued benefit at end of year $ (8,916 ) $ (10,130 ) $ (9,321 ) Accumulated benefit obligation at end of year $ 21,449 $ 21,930 $ 19,027 The following actuarial assumptions were used in determining the pension benefit obligation: December 31, 2018 2017 Discount rate 4.25 % 3.60 % Rate of compensation increase 4.00 4.00 Net pension cost includes the following components for the years ended December 31: 2018 2017 2016 (In thousands) Service cost $ 1,269 $ 1,139 $ 1,130 Interest cost 1,012 1,002 959 Expected return on assets (1,387 ) (1,194 ) (1,097 ) Amortization of actuarial loss 170 124 102 Net periodic pension cost $ 1,064 $ 1,071 $ 1,094 The following actuarial assumptions were used in determining the net periodic pension cost for the years ended December 31: 2018 2017 2016 Discount rate 3.60 % 4.15 % 4.35 % Expected return on plan assets 7.50 7.50 7.50 Rate of compensation increase 4.00 4.00 4.00 The following is a summary of the Plan’s investments for the years ended December 31: 2018 2017 (In thousands) Pooled separate investment accounts: Fixed income $ 10,559 $ 10,355 Large U.S. equity 4,365 5,080 International equity 2,368 2,518 Small/mid U.S. equity 734 877 Balanced/asset allocation 367 385 Total $ 18,393 $ 19,215 Pooled separate accounts are valued at the NAV of units held by the Plan at year end. The NAV is used as a practical expedient to estimate fair value. This practical expedient would not be used if it was determined to be probable that the funds will sell the underlying investments for an amount different from the reported NAV. Participant transactions (purchases and sales) may occur daily. The preceding method described may produce a fair value calculation that may not be indicative of net realizable value or reflective of future fair values. Furthermore, although the Plan believes its valuation methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different fair value measurement at the reporting date. The following table summarizes the investments for which fair value is measured using NAV per share as a practical expedient for the years ended December 31, 2018 and 2017. There are no pertinent redemption restrictions for these investments; the redemption notice period is applicable only to the Plan. Fair Value Unfunded Commitments Redemption Frequency (if Currently Eligible) Redemption Notice Period (In thousands) December 31, 2018 $ 18,393 n/a Daily 1 day December 31, 2017 $ 19,215 n/a Daily 1 day The defined benefit plan offers a mixture of fixed income, equity and real assets as the underlying investment structure for its retirement structure for the pension plan. The target allocation mix for the pension plan for 2018 was an equity-based investment deployment of 50% of total portfolio assets based on advice received from an external advisory firm with confirmation by the Bank’s Investment Committee. The remainder of the portfolio is allocated to fixed income at 50% of total assets. The investment objective is to diversify investments across a spectrum of investment types to limit risks from large market swings and to provide anticipated stabilized investment returns. Trustees of the Plan select investment managers for the portfolio and a second investment advisory firm is retained to provide allocation analysis. The overall investment objective is to diversify equity investments across a spectrum of types, small cap, large cap and international, along with investment styles such as growth and value. We estimate that the benefits to be paid from the pension plan for years ended December 31 are as follows: Year Benefit Payments to Participants (In thousands) 2019 $ 857 2020 1,083 2021 1,195 2022 1,549 2023 1,477 In aggregate for 2024 – 2028 14,502 We have not yet determined the amount of the contribution we expect to make to the plan during the fiscal year ending December 31, 2019. 401(k) Defined Contribution Plan. The Company has a 401(k) defined contribution employee benefit plan. The 401(k) plan allows eligible employees to contribute a percentage of their earnings to the plan. A portion of the employee contribution, as determined by the Compensation Committee of the Board of Directors, is matched by the Company. In 2018, 2017 and 2016, the Company’s percentage match was 50% up to the first 6% contributed by the employee. The Company’s expense for the 401(k) plan match was $398,000, $370,000 and $242,000 for the years ended December 31, 2018, 2017 and 2016, respectively.

DERIVATIVES AND HEDGING ACTIVIT

DERIVATIVES AND HEDGING ACTIVITIES	12 Months Ended
	Dec. 31, 2018
Derivative Instruments and Hedging Activities Disclosure [Abstract]
DERIVATIVES AND HEDGING ACTIVITIES	11. DERIVATIVES AND HEDGING ACTIVITIES Risk Management Objective of Using Derivatives The Company is exposed to certain risks arising from both our business operations and economic conditions. We principally manage our exposures to a wide variety of business and operational risks through management of our core business activities. We manage economic risks, including interest rate, liquidity, and credit risk, primarily by managing the amount, sources, and duration of our assets and liabilities and the use of derivative financial instruments. Specifically, we entered into derivative financial instruments to manage exposures that arise from business activities that result in the receipt or payment of future known and uncertain cash amounts, the value of which are determined by interest rates. Our derivative financial instruments are used to manage differences in the amount, timing, and duration of our known or expected cash receipts and our known or expected cash payments principally related to certain variable rate borrowings. Fair Values of Derivative Instruments on the Balance Sheet The table below presents the fair value of our derivative financial instruments designated as hedging instruments as well as our classification on the balance sheet as of December 31, 2018. December 31, 2018 Asset Derivatives Liability Derivatives Balance Sheet Location Fair Value Balance Sheet Location Fair Value (In thousands) Interest rate swaps Other Assets $ — Other Liabilities $ 1,259 Total derivatives designated as hedging instruments $ — $ 1,259 December 31, 2017 Asset Derivatives Liability Derivatives Balance Sheet Location Fair Value Balance Sheet Location Fair Value (In thousands) Interest rate swaps Other Assets $ — Other Liabilities $ 2,152 Total derivatives designated as hedging instruments $ — $ 2,152 At December 31, 2018 and 2017, all derivatives were designated as hedging instruments. Cash Flow Hedges of Interest Rate Risk The Company’s objectives in using interest rate derivatives are to add stability to interest income and expense and to manage our exposure to interest rate movements. To accomplish this objective, the Company enters into interest rate swaps as part of our interest rate risk management strategy. These interest rate swaps are designated as cash flow hedges and involve the receipt of variable rate amounts from a counterparty in exchange for our making fixed payments. The following table presents information about our cash flow hedges at December 31, 2018 and 2017: December 31, 2018 Notional Weighted Average Weighted Average Rate Estimated Fair Amount Maturity Receive Pay Value (In thousands) (In years) (In thousands) Interest rate swaps on FHLB borrowings $ 35,000 3.7 2.79 % 3.54 % $ (1,259 ) Total cash flow hedges $ 35,000 3.7 $ (1,259 ) December 31, 2017 Notional Weighted Average Weighted Average Rate Estimated Fair Amount Maturity Received Paid Value (In thousands) (In years) (In thousands) Interest rate swaps on FHLB borrowings $ 55,000 3.3 1.64 % 2.93 % $ (2,152 ) Total cash flow hedges $ 55,000 3.3 $ (2,152 ) During 2016, the Company terminated a forward-starting interest rate swap with a notional amount of $32.5 million and incurred a termination fee of $3.4 million. During 2015, the Company terminated forward-starting interest rate swaps with a notional amount of $47.5 million and incurred a termination fee of $2.4 million. The termination fees are being amortized as a reclassification from accumulated other comprehensive income into interest expense over the terms of the previously hedged borrowings, which were six and five years for the swaps terminated in 2016 and 2015, respectively. For derivatives designated as cash flow hedges, the effective portion of changes in the fair value of the derivative is initially reported in other comprehensive income (outside of earnings), net of tax, and subsequently reclassified to earnings when the hedged transaction affects earnings. The ineffective portion of changes in the fair value of the derivative is recognized directly in earnings. We assess the effectiveness of each hedging relationship by comparing the changes in cash flows of the derivative hedging instrument with the changes in cash flows of the designated hedged transactions. We did not recognize any hedge ineffectiveness in earnings in 2018, 2017 or 2016. We are hedging our exposure to the variability in future cash flows for forecasted borrowings over a maximum period of six years (excluding forecasted payment of variable interest on existing financial instruments). The table below presents the pre-tax net loss of our cash flow hedges for the periods indicated. Amount of Gain (Loss) Recognized in OCI on Derivative (Effective Portion) Years Ended December 31, 2018 2017 2016 (In thousands) Interest rate swaps $ 442 $ 31 $ (1,126 ) Amounts reported in accumulated other comprehensive loss related to these derivatives are reclassified to interest expense as interest payments are made on our designated rate sensitive liabilities. During the years ended December 31, 2018, 2017 and 2016, we reclassified $1.5 million, $2.0 million and $1.6 million into interest expense, respectively. During the next 12 months, we estimate that $1.4 million will be reclassified as an increase in interest expense. During the years ended December 31, 2018, 2017 and 2016, no gains or losses were reclassified from accumulated other comprehensive loss into income for ineffectiveness on cash flow hedges. Credit-risk-related Contingent Features By using derivative financial instruments, we expose the Company to credit risk. Credit risk is the risk of failure by the counterparty to perform under the terms of the derivative contract. When the fair value of a derivative contract is positive, the counterparty owes us, which creates credit risk for us. When the fair value of a derivative is negative, we owe the counterparty and, therefore, it does not possess credit risk. The credit risk in derivative instruments is mitigated by entering into transactions with highly-rated counterparties that we believe to be creditworthy and by limiting the amount of exposure to each counterparty. We have agreements with our derivative counterparties that contain a provision where if we default on any of our indebtedness, including default where repayment of the indebtedness has not been accelerated by the lender, then we could also be declared in default on our derivative obligations. We also have agreements with certain of our derivative counterparties that contain a provision where if we fail to maintain our status as well capitalized, then the counterparty could terminate the derivative positions and we would be required to settle our obligations under the agreements. Certain of our agreements with our derivative counterparties contain provisions where if a formal administrative action by a federal or state regulatory agency occurs that materially changes our creditworthiness in an adverse manner, we may be required to fully collateralize our obligations under the derivative instrument. At December 31, 2018 and 2017, we had a net liability position of $1.3 million and $2.2 million with our counterparties, respectively. As of December 31, 2018, we had minimum collateral posting thresholds with certain of our derivative counterparties and had mortgage-backed securities with a fair value of $1.0 million and $260,000 in cash posted as collateral against our obligations under these agreements. If we had breached any of these provisions at December 31, 2018, we could have been required to settle our obligations under the agreements at the termination value.

REGULATORY CAPITAL

REGULATORY CAPITAL	12 Months Ended
	Dec. 31, 2018
Banking and Thrift [Abstract]
REGULATORY CAPITAL	12. REGULATORY CAPITAL The Company and the Bank are subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory and possibly additional discretionary, actions by regulators that, if undertaken, could have a direct material effect on our consolidated financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Bank must meet specific capital guidelines that involve quantitative measures of assets, liabilities, and certain off-balance sheet items as calculated under regulatory accounting practices. The capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings, and other factors. Prompt corrective action provisions are not applicable to savings and loan holding companies. Federal banking regulations require the Company and the Bank to maintain minimum amounts and ratios of total, common equity Tier 1, Tier 1 and total capital to risk-weighted assets and Tier 1 capital to average assets, as set forth in the table below. Additionally, community banking institutions must maintain a capital conservation buffer of common equity Tier 1 capital in an amount greater than 2.5% of total risk-weighted assets to avoid being subject to limitations on capital distributions and discretionary bonuses. The capital conservation buffer and certain deductions from and adjustments to regulatory capital and risk-weighted assets are being phased in over several years. The required minimum conservation buffer is 1.875% as of December 31, 2018 and will increase to 2.5% on January 1, 2019. Management believes that the capital levels will remain characterized as “well-capitalized” throughout the phase-in periods. At December 31, 2018, we exceeded each of the applicable regulatory capital requirements. As of December 31, 2018, the most recent notification from the Office of Comptroller of the Currency categorized the Bank as “well-capitalized” under the regulatory framework for prompt corrective action. To be categorized as “well-capitalized,” the Bank must maintain minimum total risk-based, Tier 1 risk-based, Common Equity Tier 1 risk-based, and Tier 1 leverage ratios as set forth in the following table. There are no conditions or events since that notification that management believes would change our category. Our actual capital ratios of December 31, 2018 and December 31, 2017 are also presented in the following table. Minimum To Be Well Minimum For Capital Capitalized Under Prompt Actual Adequacy Purpose Corrective Action Provisions Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) December 31, 2018 Total Capital (to Risk Weighted Assets): Consolidated $ 247,361 14.87 % $ 133,089 8.00 % N/A N/A Bank 235,569 14.18 132,892 8.00 $ 166,115 10.00 % Tier 1 Capital (to Risk Weighted Assets): Consolidated 235,308 14.14 99,817 6.00 N/A N/A Bank 223,516 13.46 99,669 6.00 132,892 8.00 Common Equity Tier 1 Capital (to Risk Weighted Assets): Consolidated 235,308 14.14 74,862 4.50 N/A N/A Bank 223,516 13.46 74,752 4.50 107,974 6.50 Tier 1 Leverage Ratio (to Adjusted Average Assets): Consolidated 235,308 11.14 84,497 4.00 N/A N/A Bank 223,516 10.59 84,465 4.00 105,581 5.00 December 31, 2017 Total Capital (to Risk Weighted Assets): Consolidated $ 255,605 15.53 % $ 131,711 8.00 % N/A N/A Bank 245,380 14.94 131,367 8.00 $ 164,208 10.00 % Tier 1 Capital (to Risk Weighted Assets): Consolidated 244,774 14.87 98,783 6.00 N/A N/A Bank 234,549 14.28 98,525 6.00 131,367 8.00 Common Equity Tier 1 Capital (to Risk Weighted Assets): Consolidated 244,774 14.87 74,087 4.50 N/A N/A Bank 234,549 14.28 73,894 4.50 106,735 6.50 Tier 1 Leverage Ratio (to Adjusted Average Assets): Consolidated 244,774 11.84 82,702 4.00 N/A N/A Bank 234,549 11.36 82,584 4.00 103,230 5.00 The following is a reconciliation of our GAAP capital to regulatory Tier 1, Common Equity Tier 1 and total capital: December 31, 2018 2017 (In thousands) Consolidated GAAP capital $ 237,029 $ 247,281 Net unrealized losses on available-for-sale securities, net of tax 7,400 4,042 Unrealized loss on defined benefit pension plan, net of tax 3,246 4,329 Accumulated net loss on cash flow hedges, net of tax 2,770 4,181 Unrealized loss on certain available-for-sale equity securities — (236 ) Goodwill (12,487 ) (12,487 ) Intangible assets, net of associated deferred tax liabilities (2,652 ) (2,336 ) Tier 1 and Common Equity Tier 1 capital 235,308 244,774 Allowance for loan losses 12,053 10,831 Total regulatory capital $ 247,361 $ 255,605 On January 31, 2017, the Board of Directors authorized a stock repurchase program (the “2017 Plan”) under which the Company may purchase up to 3,047,000 shares, or 10%, of its outstanding common stock, to be affected via a combination of Rule 10b5-1 plans and discretionary share repurchases. As of December 31, 2018, there were 251,333 shares remaining to be purchased under this plan. On March 1, 2019, the Company announced the completion of the 2017 Plan. On January 29, 2019, the Board of Directors authorized an additional stock repurchase program (the “2019 Plan”) under which the Company may purchase up to 2,814,200 shares, or 10%, of its outstanding common stock following the completion of the Company’s current share repurchase program, to be affected via a combination of Rule 10b5-1 plans and discretionary share repurchases, which will commence upon the completion of the Company’s existing repurchase program. We are subject to dividend restrictions imposed by various regulators, including a limitation on the total of all dividends that the Bank may pay to the Company in any calendar year, to an amount that shall not exceed the Bank’s net income for the current year, plus its net income retained for the two previous years, without regulatory approval. At December 31, 2018 and 2017, the Bank had no retained earnings available for payment of dividends without prior regulatory approval. In addition, the Bank may not declare or pay dividends on, and we may not repurchase, any of our shares of common stock if the effect thereof would cause shareholders’ equity to be reduced below applicable regulatory capital maintenance requirements or if such declaration, payment or repurchase would otherwise violate regulatory requirements. The Bank will be prohibited from paying cash dividends to the Company to the extent that any such payment would reduce the Bank’s capital below required capital levels. Accordingly, $132.9 million and $131.4 million of our equity in the net assets of the Bank was restricted at December 31, 2018 and 2017, respectively.

INCOME TAXES

INCOME TAXES	12 Months Ended
	Dec. 31, 2018
Income Tax Disclosure [Abstract]
INCOME TAXES	13. INCOME TAXES Income taxes consist of the following: Years Ended December 31, 2018 2017 2016 (In thousands) Current tax provision: Federal $ 3,910 $ 1,505 $ 1,925 State 1,586 581 370 Total 5,496 2,086 2,295 Deferred tax (benefit) provision: Federal (542 ) 7,613 262 State (254 ) 702 10 Change in valuation reserve — (973 ) 2 Total (796 ) 7,342 274 Total $ 4,700 $ 9,428 $ 2,569 The reasons for the differences between the statutory federal income tax rate and the effective rates are summarized below: Years Ended December 31, 2018 2017 2016 Statutory federal income tax rate 21.0 % 35.0 % 34.0 % Increase (decrease) resulting from: State taxes, net of federal tax benefit 5.0 3.2 3.4 Tax exempt income (1.8 ) (2.8 ) (2.6 ) Bank-owned life insurance (BOLI) (1.8 ) (2.9 ) (7.2 ) Nondeductible merger expenses — 0.1 8.3 Change in valuation reserve — (4.5 ) — Option exercise tax benefit (0.1 ) (3.2 ) — Effect of tax rate change — 18.4 — Other, net — — (1.2 ) Effective tax rate 22.3 % 43.3 % 34.7 % Cash paid for income taxes for the years ended December 31, 2018, 2017 and 2016 was $3.7 million, $5.6 million and $2.6 million, respectively. The tax effects of each item that gives rise to deferred taxes are as follows: December 31, 2018 2017 (In thousands) Deferred tax assets: Allowance for loan losses $ 3,388 $ 3,045 Net unrealized loss on derivative and hedging activity 1,084 1,635 Employee benefit and share-based compensation plans 2,233 2,184 Defined benefit plan 1,270 1,692 Net unrealized loss on securities available for sale 2,491 1,316 Other-than-temporary impairment write-down — 91 Purchased mortgage servicing rights 293 344 Nonaccrual interest 674 487 Other 777 509 Gross deferred tax assets 12,210 11,303 Deferred tax liabilities: Deferred loan fees (1,122 ) (1,226 ) Hedge termination payments (729 ) (1,030 ) Purchase accounting adjustments, net (416 ) (234 ) Other (71 ) (29 ) Gross deferred tax liabilities (2,338 ) (2,519 ) Net deferred tax asset $ 9,872 $ 8,784 The federal income tax reserve for loan losses at the Bank’s base year is $9.4 million. If any portion of the reserve is used for purposes other than to absorb loan losses, approximately 150% of the amount actually used, limited to the amount of the reserve, would be subject to taxation in the fiscal year in which used. As the Bank intends to use the reserve solely to absorb loan losses, a deferred tax liability of $2.6 million has not been provided. We do not have any uncertain tax positions at December 31, 2018 or 2017 which require accrual or disclosure. We record interest and penalties as part of income tax expense. No interest was recorded for the years ended December 31, 2018 and 2017, and no penalties were recorded for the years ended December 31, 2018, 2017 and 2016. Our income tax returns are subject to review and examination by federal and state tax authorities. We are currently open to audit under the applicable statutes of limitations by the Internal Revenue Service for the years ended December 31, 2015 through 2018. The years open to examination by state taxing authorities vary by jurisdiction; however, no years prior to 2015 are open. The Company had net operating loss carryforwards brought over in the Chicopee merger of $3.5 million, which was used during the year ended December 31, 2017. As a result of the Tax Act, the Company recorded $4.0 million in additional income tax expense which includes a tax benefit of $2.1 million relating to the impact of the rate change on deferred tax items originally recorded through other comprehensive income (net unrealized losses on securities available for sale, change in fair value of derivatives used for cash flow hedges and actuarial losses on the defined benefit pension plan). This accounting treatment effectively stranded $2.1 million of deferred tax items in accumulated other comprehensive income (“AOCI”). In February 2018, the FASB issued ASU 2018-02, Income Statement—Reporting Comprehensive Income (Topic 220), which allows for a reclassification from AOCI to retained earnings to eliminate the stranded tax effects resulting from the Tax Act. As permitted, the Company early adopted the ASU and recorded a $2.1 million reclassification to 2017 retained earnings from accumulated other comprehensive loss.

TRANSACTIONS WITH DIRECTORS AND

TRANSACTIONS WITH DIRECTORS AND EXECUTIVE OFFICERS	12 Months Ended
	Dec. 31, 2018
Related Party Transactions [Abstract]
TRANSACTIONS WITH DIRECTORS AND EXECUTIVE OFFICERS	14. TRANSACTIONS WITH DIRECTORS AND EXECUTIVE OFFICERS We have had, and expect to have in the future, loans with our directors and executive officers including their affiliates. Such loans, in our opinion, do not include more than the normal risk of collectability or other unfavorable features. Following is a summary of activity for such loans: Years Ended December 31, 2018 2017 (In thousands) Balance at beginning of year $ 1,631 $ 1,475 Principal distributions 837 1,034 Repayments of principal (1,513 ) (878 ) Balance at end of year $ 955 $ 1,631

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	12 Months Ended
	Dec. 31, 2018
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	15. COMMITMENTS AND CONTINGENCIES In the normal course of business, various commitments and contingent liabilities are outstanding, such as standby letters of credit and commitments to extend credit with off-balance-sheet risk that are not reflected in the consolidated financial statements. Financial instruments with off-balance-sheet risk involve elements of credit, interest rate, liquidity and market risk. We do not anticipate any significant losses as a result of these transactions. The following summarizes these financial instruments and other commitments and contingent liabilities at their contract amounts: December 31, 2018 2017 (In thousands) Commitments to extend credit: Unused lines of credit $ 259,009 $ 229,436 Loan commitments 53,199 40,878 Existing construction loan agreements 45,339 42,555 Standby letters of credit 11,370 9,138 We use the same credit policies in making commitments and conditional obligations as for on balance sheet instruments. Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Since some commitments expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. We evaluate each customer’s creditworthiness on a case-by-case basis. The amount of collateral obtained, if deemed necessary by us upon extension of credit, is based on management’s credit evaluation of the counterparty. Collateral held varies but may include accounts receivable, inventory, property, plant and equipment, and income-producing commercial properties. Standby letters of credit are written conditional commitments issued by us that guarantee the performance of a customer to a third party. Those guarantees are primarily issued to support public and private borrowing arrangements. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loan facilities to customers. At December 31, 2018, outstanding commitments to extend credit totaled $368.9 million, with $45.3 million in fixed rate commitments with interest rates ranging from 1.49% to 18.00% and $323.6 million in variable rate commitments. At December 31, 2017, outstanding commitments to extend credit totaled $322.0 million, with $47.4 million in fixed rate commitments with interest rates ranging from 1.49% to 18.00% and $274.6 million in variable rate commitments. We also have risk participation agreements (“RPAs”) with another financial institution. The RPAs are a guarantee to share credit risk associated with an interest rate swap on participation loans in the event of counterparty default. As such, we accept a portion of the credit risk in order to participate in the loans and we receive a one-time fee. The interest rate swap is collateralized (generally by real estate or business assets) by us and the third party, which limits the credit risk associated with the RPAs. Per the terms of the RPAs, we must pledge collateral equal to our exposure for the interest rate swap. We monitor overall collateral as part of our off-balance sheet liability analysis, and at December 31, 2018, believe sufficient collateral is available to cover potential swap losses. At December 31, 2018, we had three RPAs with a fair value exposure of $1.2 million. The remaining terms of these RPAs, which corresponds to the term of the underlying swaps, range from eight years to 20 years. Under these agreements we guarantee a percentage of the amount in the event of a default. The maximum potential future payment guaranteed by us cannot be readily estimated, but is dependent upon the fair value of the interest rate swaps and the probability of a default event. If an event of default on all contracts had occurred at December 31, 2018, we would have been required to make payments of approximately $587,000. In the ordinary course of business, we are party to various legal proceedings, none of which, in our opinion, will have a material effect on our consolidated financial position or results of operations. We lease facilities and certain equipment under cancelable and non-cancelable leases expiring in various years through the year 2047. Certain of the leases provide for renewal periods for up to forty years at our discretion under the original lease agreement. Rent expense under operating leases was $1.1 million, $1.1 million, and $798,000 for the years ended December 31, 2018, 2017, and 2016, respectively. Aggregate future minimum rental payments under the terms of non-cancelable operating leases at December 31, 2018, are as follows: Years Ending December 31, Amount (In thousands) 2019 $ 1,128 2020 995 2021 915 2022 887 2023 700 Thereafter 4,340 Total $ 8,965 Investment Commitments. The Bank is a limited partner in a Small Business Investment Company (“SBIC”) and committed to contribute capital of $3.0 million to the partnership. At December 31, 2018, the SBIC currently has a book value of $1.4 million and is included in other assets. The unfunded commitment to the partnership was $1.6 million at December 31, 2018. Employment and change of control agreements. We have entered into employment and change of control agreements with certain senior officers. The initial term of the employment agreements is for three years subject to separate one-year extensions as approved by the Board of Directors at the end of each applicable fiscal year. Each employment agreement provides for minimum annual salaries, discretionary cash bonuses and other fringe benefits as well as severance benefits upon certain terminations of employment that are not for cause. The change of control agreements expire one year following a notice of non-extension and only provide for severance benefits upon certain terminations of employment that are not for cause and that are related to a change of control of the Company or the Bank.

FAIR VALUE OF ASSETS AND LIABIL

FAIR VALUE OF ASSETS AND LIABILITIES	12 Months Ended
	Dec. 31, 2018
Fair Value Disclosures [Abstract]
FAIR VALUE OF ASSETS AND LIABILITIES	16. FAIR VALUE OF ASSETS AND LIABLITIES Determination of Fair Value. We use fair value measurements to record fair value adjustments to certain assets and liabilities and to determine fair value disclosures. The fair value of a financial instrument is 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. Fair value is best determined based upon quoted market prices. However, in many instances, there are no quoted market prices for our various financial instruments. In cases where quoted market prices are not available, fair values are based on estimates using present value or other valuation techniques. Those techniques are significantly affected by the assumptions used, including the discount rate and estimates of future cash flows. Accordingly, the fair value estimates may not be realized in an immediate settlement of the instrument. Methods and assumptions for valuing our financial instruments are set forth below. Estimated fair values are calculated based on the value without regard to any premium or discount that may result from concentrations of ownership of a financial instrument, possible tax ramifications or estimated transaction cost. Securities available-for-sale. Interest rate swaps. Assets and Liabilities Measured at Fair Value on a Recurring Basis. Assets and liabilities measured at fair value on a recurring basis are summarized below: December 31, 2018 Level 1 Level 2 Level 3 Total Assets: (In thousands) Government-sponsored mortgage-backed securities $ — $ 159,351 $ — $ 159,351 U.S. government guaranteed mortgage-backed securities — 19,338 — 19,338 Corporate bonds — 48,168 — 48,168 State and municipal bonds — 2,944 — 2,944 Government-sponsored enterprise obligations — 23,947 — 23,947 Marketable equity securities 6,408 — — 6,408 Total assets $ 6,408 $ 253,748 $ — $ 260,156 Liabilities: Interest rate swaps $ — $ 1,259 $ — $ 1,259 December 31, 2017 Level 1 Level 2 Level 3 Total Assets: (In thousands) Government-sponsored mortgage-backed securities $ — $ 182,001 $ — $ 182,001 U.S. government guaranteed mortgage-backed securities — 16,254 — 16,254 Corporate bonds — 56,144 — 56,144 State and municipal bonds — 3,239 — 3,239 Government-sponsored enterprise obligations — 24,381 — 24,381 Mutual funds 6,397 — — 6,397 Total assets $ 6,397 $ 282,019 $ — $ 288,416 Liabilities: Interest rate swaps $ — $ 2,152 $ — $ 2,152 There were no transfers to or from Level 1 and 2 for assets measured at fair value on a recurring basis during the years ended December 31, 2018 and 2017. Assets Measured at Fair Value on a Non-recurring Basis. We may also be required, from time to time, to measure certain other financial assets at fair value on a nonrecurring basis in accordance with generally accepted accounting principles. These adjustments to fair value usually result from application of lower-of-cost-or-market accounting or write-downs of individual assets. The following table summarizes the fair value hierarchy used to determine the carrying values of the related assets as of December 31, 2018 and 2017. Year Ended At December 31, 2018 December 31, 2018 Total Level 1 Level 2 Level 3 Losses (In thousands) (In thousands) Impaired Loans $ — $ — $ 1,676 $ 612 Year Ended At December 31, 2017 December 31, 2017 Total Level 1 Level 2 Level 3 Losses (In thousands) (In thousands) Impaired Loans $ — $ — $ 1,495 $ 256 The amount of impaired loans represents the carrying value, and net of the related write-down or valuation allowance of impaired loans for which adjustments are based on the estimated fair value of the underlying collateral. The fair value of impaired loans with specific allocations of the allowance for loan losses is generally based on real estate appraisals performed by independent licensed or certified appraisers. These appraisals may utilize a single valuation approach or a combination of approaches including comparable sales and the income approach. Adjustments are routinely made in the appraisal process by the appraisers to adjust for differences between the comparable sales and income data available. Management will discount appraisals as deemed necessary based on the date of the appraisal and new information deemed relevant to the valuation. Such adjustments are typically significant and result in a Level 3 classification of the inputs for determining fair value. The resulting losses were recognized in earnings through the provision for loan losses. There were no liabilities measured at fair value on a non-recurring basis at December 31, 2018 and 2017. Summary of Fair Values of Financial Instruments. The estimated fair values of our financial instruments are as follows: December 31, 2018 Carrying Value Fair Value Level 1 Level 2 Level 3 Total (In thousands) Assets: Cash and cash equivalents $ 26,789 $ 26,789 $ — $ — $ 26,789 Securities available-for-sale 253,748 — 253,748 — 253,748 Marketable equity securities 6,408 6,408 — — 6,408 Federal Home Loan Bank of Boston and other restricted stock 14,695 — — 14,695 14,695 Loans - net 1,684,804 — — 1,631,558 1,631,558 Accrued interest receivable 5,652 — — 5,652 5,652 Mortgage servicing rights 286 — 456 — 456 Liabilities: Deposits 1,595,993 — — 1,592,521 1,592,521 Short-term borrowings 59,250 — 59,247 — 59,247 Long-term debt 208,018 — 206,789 — 206,789 Accrued interest payable 530 — — 530 530 Derivative liabilities 1,259 — 1,259 — 1,259 December 31, 2017 Carrying Value Fair Value Level 1 Level 2 Level 3 Total (In thousands) Assets: Cash and cash equivalents $ 27,132 $ 27,132 $ — $ — $ 27,132 Securities available-for-sale 288,416 6,397 282,019 — 288,416 Federal Home Loan Bank of Boston and other restricted stock 15,553 — — 15,553 15,553 Loans - net 1,619,850 — — 1,581,929 1,581,929 Accrued interest receivable 5,946 — — 5,946 5,946 Mortgage servicing rights 352 — 528 — 528 Liabilities: Deposits 1,506,082 — — 1,503,311 1,503,311 Short-term borrowings 144,650 — 144,650 — 144,650 Long-term debt 164,786 — 164,016 — 164,016 Accrued interest payable 441 — — 441 441 Derivative liabilities 2,152 — 2,152 — 2,152 Limitations

SEGMENT

SEGMENT	12 Months Ended
	Dec. 31, 2018
Segment Reporting [Abstract]
SEGMENT	17. SEGMENT The Company, through its bank subsidiary, provides a broad range of financial services to individuals and companies primarily in western Massachusetts and northern Connecticut. These services include commercial lending, residential lending and consumer lending, checking, savings and time deposits, cash management, and wealth management. Substantially all of the Company’s revenues, profits, and assets are derived by the Bank from banking products and services. The Company did not have any reportable segments for the years ended December 31, 2018, 2017 or 2016.

CONDENSED PARENT COMPANY FINANC

CONDENSED PARENT COMPANY FINANCIAL STATEMENTS	12 Months Ended
	Dec. 31, 2018
Condensed Financial Information Disclosure [Abstract]
CONDENSED PARENT COMPANY FINANCIAL STATEMENTS	18. CONDENSED PARENT COMPANY FINANCIAL STATEMENTS The condensed balance sheets of the parent company are as follows: December 31, 2018 2017 (In thousands) ASSETS: Cash equivalents $ 74 $ 120 Investment in subsidiaries 225,238 237,056 ESOP loan receivable 6,419 7,135 Other assets 12,164 10,529 TOTAL ASSETS 243,895 254,840 LIABILITIES: ESOP loan payable 6,419 7,135 Other liabilities 447 424 EQUITY 237,029 247,281 TOTAL LIABILITIES AND EQUITY $ 243,895 $ 254,840 The condensed statements of income for the parent company are as follows: Years Ended December 31, 2018 2017 2016 (In thousands) INCOME: Dividends from subsidiaries $ 28,712 $ 8,561 $ 3,499 Interest income from securities — — 32 ESOP loan interest income 571 629 670 Gain on sales of securities, net — — 451 Other income 1 4 — Total income 29,284 9,194 4,652 OPERATING EXPENSE: Salaries and employee benefits 1,837 1,646 926 ESOP interest 571 629 670 Other expenses 286 298 507 Total operating expense 2,694 2,573 2,103 Income before equity in undistributed income of subsidiaries and income taxes 26,590 6,621 2,549 Equity in undistributed (loss) income of subsidiaries (10,717 ) 4,188 1,955 Net income before taxes 15,873 10,809 4,504 Income tax benefit (535 ) (1,511 ) (330 ) Net income $ 16,408 $ 12,320 $ 4,834 The condensed statements of cash flows of the parent company are as follows: Years Ended December 31, 2018 2017 2016 (In thousands) OPERATING ACTIVITIES: Net income $ 16,408 $ 12,320 $ 4,834 Equity in undistributed loss (income) of subsidiaries 10,717 (4,188 ) (1,955 ) Gain on sales of securities, net — — (451 ) Change in other liabilities (610 ) (833 ) (597 ) Change in other assets (919 ) (2,330 ) (271 ) Other, net 1,805 1,607 1,049 Net cash provided by operating activities 27,401 6,576 2,609 INVESTING ACTIVITIES: Purchase of securities (127 ) (106 ) (116 ) Sales of securities 127 106 116 Net cash provided by investing activities — — — FINANCING ACTIVITIES: Cash dividends paid (4,641 ) (3,579 ) (2,439 ) Common stock repurchased (22,920 ) (9,314 ) (1,378 ) Excess tax benefit from share-based compensation — — 156 Issuance of common stock in connection with stock option exercises 114 5,465 1,971 Net cash used in financing activities (27,447 ) (7,428 ) (1,690 ) NET CHANGE IN CASH AND CASH EQUIVALENTS (46 ) (852 ) 919 CASH AND CASH EQUIVALENTS Beginning of year 120 972 53 End of year $ 74 $ 120 $ 972 Supplemental cash flow information: Net change in due to broker for common stock repurchased $ (83 ) $ (151 ) $ 455

SUMMARY OF QUARTERLY FINANCIAL

SUMMARY OF QUARTERLY FINANCIAL INFORMATION (UNAUDITED)	12 Months Ended
	Dec. 31, 2018
Quarterly Financial Information Disclosure [Abstract]
SUMMARY OF QUARTERLY FINANCIAL INFORMATION (UNAUDITED)	19. SUMMARY OF QUARTERLY FINANCIAL INFORMATION (UNAUDITED) The following tables present a summary of our quarterly financial information for the periods indicated. The year-to-date totals may differ slightly due to rounding. All unaudited interim financial statements furnished shall reflect all adjustments which are, in the opinion of management, necessary to a fair statement of the results for interim periods presented and are of a normal and recurring nature, unless otherwise noted. 2018 First Quarter Second Quarter Third Quarter Fourth Quarter (Dollars in thousands, except per share amounts) Interest and dividend income $ 18,732 $ 20,464 $ 19,605 $ 20,189 Interest expense 4,010 4,599 5,000 5,369 Net interest and dividend income 14,722 15,865 14,605 14,820 Provision for loan losses 500 750 350 300 Gain on disposal of other real estate owned 48 — — — Loss on available-for-sale securities, net (201 ) (49 ) — (31 ) Unrealized (losses) gains on marketable equity securities (106 ) (41 ) (43 ) 48 Swap fee income — 131 — — Bank-owned life insurance death benefit — 715 — — Other non-interest income 2,025 2,177 2,339 2,221 Non-interest income 1,766 2,933 2,296 2,238 Non-interest expense 11,426 11,546 11,572 11,693 Income before income taxes 4,562 6,502 4,979 5,065 Income tax provision 1,043 1,364 1,070 1,223 Net income $ 3,519 $ 5,138 $ 3,909 $ 3,842 Basic earnings per share $ 0.12 $ 0.18 $ 0.14 $ 0.14 Diluted earnings per share $ 0.12 $ 0.18 $ 0.14 $ 0.14 2017 First Quarter Second Quarter Third Quarter Fourth Quarter (Dollars in thousands, except per share amounts) Interest and dividend income $ 17,957 $ 18,327 $ 18,516 $ 19,239 Interest expense 3,454 3,584 3,720 3,887 Net interest and dividend income 14,503 14,743 14,796 15,352 Provision for loan losses 350 350 200 510 Gain (loss) on disposal of other real estate owned — — 67 (58 ) Gain (loss) on sales of securities, net (64 ) 46 70 — Swap fee income 116 — 111 — Other non-interest income 1,965 2,029 2,164 2,055 Non-interest income 2,017 2,075 2,412 1,997 Non-interest expense 10,970 11,296 11,156 11,364 Income before income taxes 5,250 5,172 5,852 5,475 Income tax provision (1) 147 1,416 2,037 5,828 Net income (loss) $ 5,103 $ 3,756 $ 3,815 $ (353 ) Basic earnings per share $ 0.17 $ 0.13 $ 0.13 $ (0.01 ) Diluted earnings per share $ 0.17 $ 0.12 $ 0.13 $ (0.01 ) (1) Increase in the quarter ended December 31, 2017 is due to the enactment of the Tax Act on December 22, 2017.

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	12 Months Ended
	Dec. 31, 2018
Subsequent Events [Abstract]
SUBSEQUENT EVENTS	20. SUBSEQUENT EVENTS Subsequent events represent events or transactions occurring after the balance sheet date but before the financial statements are issued. Financial statements are considered “issued” when they are widely distributed to shareholders and others for general use and reliance in a form and format that complies with GAAP. The Company is an SEC filer and management has evaluated subsequent events through the date that the financial statements were issued. From the period January 1, 2019 through March 13, 2019, the Company has repurchased 1,492,705 shares of its common stock under the 2017 and 2019 Plans at an average price of $9.92, which resulted in a decrease to shareholders’ equity of $14.8 million.

SUMMARY OF SIGNIFICANT ACCOUN_2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	12 Months Ended
	Dec. 31, 2018
Accounting Policies [Abstract]
Nature of Operations and Basis of Presentation	Nature of Operations and Basis of Presentation The Bank’s deposits are insured up to the maximum Federal Deposit Insurance Corporation (“FDIC”) coverage limits. The Bank operates 22 banking offices in western Massachusetts and northern Connecticut, and its primary sources of revenue is interest income from loans as well as interest income from investment securities.
Wholly-owned Subsidiaries and Acquisition	Wholly-owned Subsidiaries and Acquisition On October 21, 2016, the Company acquired Chicopee Bancorp, Inc. (“Chicopee”), the holding company for Chicopee Savings Bank. The acquisition added eight full-service banking offices located in western Massachusetts. The primary purpose of the acquisition with Chicopee was to expand our presence in western Massachusetts and diversify our market area. The transaction qualified as a tax-free reorganization for federal income tax purposes. The consideration paid in the transaction to Chicopee’s shareholders consisted of 11,919,412 shares of common stock of the Company, net of shares of Chicopee already owned, and shares of Chicopee’s ESOP were liquidated to pay off the ESOP loan. Based upon the per share closing price on October 21, 2016, of $7.90, the transaction was valued at approximately $98.8 million. As a result of this transaction, we added eight branches, total assets of $716.6 million, total loans of $640.9 million and total deposits of $545.7 million to our franchise. We accounted for the transaction using the acquisition method. Additionally, our results of operations include Chicopee’s operating results from the date of acquisition.
Principles of Consolidation	Principles of Consolidation
Estimates	Estimates
Reclassifications	Reclassifications.
Significant Group Concentrations of Credit Risk	Significant Group Concentrations of Credit Risk
Cash and Cash Equivalents	Cash and Cash Equivalents
Securities and Mortgage-Backed Securities	Securities and Mortgage-Backed Securities Financial Instruments —Overall Recognition and Measurement of Financial Assets and Financial Liabilities Realized gains and losses on sales of securities and mortgage-backed securities are computed using the specific identification method and are included in non-interest income on the trade date. The amortization of premiums and accretion of discounts is determined by using the level yield method to the maturity date.
Derivatives	Derivatives.
Other-than-Temporary Impairment of Securities	Other-than-Temporary Impairment of Securities
Fair Value Hierarchy	Fair Value Hierarchy Level 1: Level 2: Level 3: Transfers between levels are recognized at the end of a reporting period, if applicable.
Federal Home Loan Bank of Boston Stock	Federal Home Loan Bank of Boston Stock
Loans Held for Sale	Loans Held for Sale
Loans Receivable	Loans Receivable
Allowance for Loan Losses	Allowance for Loan Losses The allowance for loan losses is evaluated on a regular basis by management. This evaluation is inherently subjective as it requires estimates that are susceptible to significant revision as more information becomes available. The allowance consists of general, allocated and unallocated components, as further described below. General component The general component of the allowance for loan losses is based on historical loss experience adjusted for qualitative factors stratified by the following loan segments: residential real estate, commercial real estate, commercial and industrial, and consumer. Residential real estate loans include classes for residential and home equity. Management uses a rolling average of historical losses based on a time frame appropriate to capture relevant loss data for each loan segment. This historical loss factor is adjusted for the following qualitative factors: trends in delinquencies and nonperforming loans; trends in volume and terms of loans; internal credit ratings; effects of changes in risk selection; underwriting standards and other changes in lending policies, procedures and practices; and national and local economic trends and industry conditions. In 2018, there were no changes to the Company’s policies or methodology pertaining to the general component of the allowance for loan losses. The qualitative factors are determined based on the various risk characteristics of each loan segment. Risk characteristics relevant to each loan portfolio segment are as follows: Commercial real estate loans Residential real estate loans Commercial and industrial loans Consumer loans Allocated component The allocated component relates to loans that are classified as impaired. Impaired loans are identified by analysis of loan performance, internal credit ratings and watch list loans that management believes are subject to a higher risk of loss. Impairment is measured on a loan by loan basis for commercial real estate and commercial and industrial loans by either the present value of expected future cash flows discounted at the loan’s effective interest rate or the fair value of the collateral if the loan is collateral dependent. An allowance is established when the discounted cash flows (or collateral value) of the impaired loan is lower than the carrying value of that loan. Large groups of smaller balance homogeneous loans are collectively evaluated for impairment. Accordingly, we do not separately identify individual consumer and residential real estate loans for impairment disclosures, unless such loans are nonperforming or subject to a troubled debt restructuring agreement. A loan is considered impaired when, based on current information and events, it is probable that we will be unable to collect all of the 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. We determine 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. We may periodically agree to modify the contractual terms of loans. When a loan is modified and a concession is made to a borrower experiencing financial difficulty, the modification is considered a troubled debt restructuring (“TDR”). All TDRs are classified as impaired. While we use our best judgment and information available, the ultimate appropriateness of the allowance is dependent upon a variety of factors beyond our control, including the performance of our loan portfolio, the economy, changes in interest rates and the view of the regulatory authorities toward loan classifications. Unallocated component An unallocated component may be maintained to cover uncertainties that could affect management’s estimate of probable losses. The unallocated component of the allowance reflects the margin of imprecision inherent in the underlying assumptions used in the methodologies for estimating allocated and general reserves in the portfolio.
Loans Acquired with Deteriorated Credit Quality	Loans Acquired with Deteriorated Credit Quality.
Bank-owned Life Insurance	Bank-owned Life Insurance.
Transfers and Servicing of Financial Assets	Transfers and Servicing of Financial Assets
Premises and Equipment	Premises and Equipment Years Buildings 39 Leasehold Improvements 5-20 Furniture and Equipment 3-7 The cost of maintenance and repairs is charged to expense when incurred. Major expenditures for betterments are capitalized and depreciated.
Other Real Estate Owned	Other Real Estate Owned
Servicing	Servicing Servicing fee income is recorded for fees earned for servicing loans, which is included in service charges and fee income. The fees are based on a contractual percentage of the outstanding principal or a fixed amount per loan and are recorded as income when earned.
Impairment of Long-lived Assets	Impairment of Long-lived Assets Goodwill is measured as the excess of the cost of a business combination over the sum of the amounts assigned to identifiable intangible assets acquired less liabilities assumed. Goodwill is not amortized but rather assessed for impairment annually or more frequently if circumstances warrant. Management has the option of first assessing qualitative factors, such as events and circumstances, to determine whether it is more likely than not, meaning a likelihood of more than 50%, the value of a reporting unit is less than its carrying amount. If, after considering all relevant events and circumstances, management determines it is not more likely than not the fair value of a reporting unit is less than its carrying amount, then performing an impairment test is unnecessary. For the year ended December 31, 2018, management determined that it was not more likely than not the fair value of the reporting unit (the consolidated Company, in our case) was less than its carrying amount. If management had determined otherwise, a fair value analysis would have been completed to determine the impairment and necessary write-down of goodwill.
Retirement Plans and Employee Benefits	Retirement Plans and Employee Benefits.
Share-based Compensation Plans	Share-based Compensation Plans
Employee Stock Ownership Plan	Employee Stock Ownership Plan
Advertising Costs	Advertising Costs
Income Taxes	Income Taxes
Earnings per Share	Earnings per Share. Earnings per common share have been computed based on the following: Years Ended December 31, 2018 2017 2016 (In thousands, except per share data) Net income applicable to common stock $ 16,408 $ 12,320 $ 4,834 Average number of common shares issued 29,734 30,755 20,659 Less: Average unallocated ESOP Shares (757 ) (849 ) (935 ) Less: Average unvested equity incentive plan shares (90 ) (47 ) (16 ) Average number of common shares outstanding used to calculate basic earnings per common share 28,887 29,859 19,708 Effect of dilutive equity incentive plan 46 17 3 Effect of dilutive stock options 96 151 93 Average number of common shares outstanding used to calculate diluted earnings per common share 29,029 30,027 19,804 Basic earnings per share $ 0.57 $ 0.41 $ 0.25 Diluted earnings per share $ 0.57 $ 0.41 $ 0.24
Comprehensive Income (Loss)	Comprehensive Income (Loss) Accounting principles generally require that recognized revenue, expenses, gains and losses be included in net income. Although certain changes in assets and liabilities are reported as a separate component of the equity section of the balance sheet, such items, along with net income, are components of comprehensive income (loss). The components of accumulated other comprehensive loss, included in shareholders’ equity, are as follows: December 31, 2018 December 31, 2017 (In thousands) Net unrealized losses on securities available-for-sale $ (9,891 ) $ (5,358 ) Tax effect 2,491 1,316 Net-of-tax amount (7,400 ) (4,042 ) Fair value of derivatives used for cash flow hedges (1,259 ) (2,152 ) Termination fee on cancelled cash flow hedges (2,595 ) (3,664 ) Total derivatives (3,854 ) (5,816 ) Tax effect 1,084 1,635 Net-of-tax amount (2,770 ) (4,181 ) Unrecognized actuarial loss on the defined benefit plan (4,516 ) (6,021 ) Tax effect 1,270 1,692 Net-of-tax amount (3,246 ) (4,329 ) Accumulated other comprehensive loss $ (13,416 ) $ (12,552 ) The following table presents changes in accumulated other comprehensive loss for the years ended December 31, 2018 and 2017 by component: Securities Derivatives Defined Benefit Pension Plan Accumulated Other Comprehensive Loss (In thousands) Balance at December 31, 2016 $ (3,839 ) $ (5,204 ) $ (3,618 ) $ (12,661 ) Adoption of ASU 2018-02 (see Note 13) (686 ) (741 ) (699 ) (2,126 ) Current-period other comprehensive (loss) income 483 1,764 (12 ) 2,235 Balance at December 31, 2017 $ (4,042 ) $ (4,181 ) $ (4,329 ) $ (12,552 ) Balance at December 31, 2017 $ (4,042 ) $ (4,181 ) $ (4,329 ) $ (12,552 ) Cumulative-effect adjustment due to change in accounting principle (ASU 2016-01) 237 — — 237 Current-period other comprehensive (loss) income (3,595 ) 1,411 1,083 (1,101 ) Balance at December 31, 2018 $ (7,400 ) $ (2,770 ) $ (3,246 ) $ (13,416 ) With regard to the defined benefit plan, an actuarial loss of $124,000 is expected to be recognized as a component of net periodic pension cost during the year ending December 31, 2019.
Recent Accounting Pronouncements	Recent Accounting Pronouncements. In February 2016, the FASB issued ASU 2016-02, Leases Leases In June 2016, the FASB issued ASU 2016-13, Financial Instruments—Credit Losses In March 2017, the FASB issued ASU 2017-08— Receivables—Nonrefundable Fees and Other Costs Premium Amortization on Purchased Callable Debt Securities In August 2017, the FASB issued ASU 2017-12, Derivatives and Hedging Targeted Improvements to Accounting for Hedging Activities In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement

SUMMARY OF SIGNIFICANT ACCOUN_3

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)	12 Months Ended
	Dec. 31, 2018
Accounting Policies [Abstract]
Schedule of estimated useful lives of the assets	The estimated useful lives of the assets are as follows: Years Buildings 39 Leasehold Improvements 5-20 Furniture and Equipment 3-7
Schedule of earnings per common share	Earnings per common share have been computed based on the following: Years Ended December 31, 2018 2017 2016 (In thousands, except per share data) Net income applicable to common stock $ 16,408 $ 12,320 $ 4,834 Average number of common shares issued 29,734 30,755 20,659 Less: Average unallocated ESOP Shares (757 ) (849 ) (935 ) Less: Average unvested equity incentive plan shares (90 ) (47 ) (16 ) Average number of common shares outstanding used to calculate basic earnings per common share 28,887 29,859 19,708 Effect of dilutive equity incentive plan 46 17 3 Effect of dilutive stock options 96 151 93 Average number of common shares outstanding used to calculate diluted earnings per common share 29,029 30,027 19,804 Basic earnings per share $ 0.57 $ 0.41 $ 0.25 Diluted earnings per share $ 0.57 $ 0.41 $ 0.24
Schedule of accumulated other comprehensive loss included sharesholders equity	The components of accumulated other comprehensive loss, included in shareholders’ equity, are as follows: December 31, 2018 December 31, 2017 (In thousands) Net unrealized losses on securities available-for-sale $ (9,891 ) $ (5,358 ) Tax effect 2,491 1,316 Net-of-tax amount (7,400 ) (4,042 ) Fair value of derivatives used for cash flow hedges (1,259 ) (2,152 ) Termination fee on cancelled cash flow hedges (2,595 ) (3,664 ) Total derivatives (3,854 ) (5,816 ) Tax effect 1,084 1,635 Net-of-tax amount (2,770 ) (4,181 ) Unrecognized actuarial loss on the defined benefit plan (4,516 ) (6,021 ) Tax effect 1,270 1,692 Net-of-tax amount (3,246 ) (4,329 ) Accumulated other comprehensive loss $ (13,416 ) $ (12,552 )
Schedule of changes in accumulated other loss by component	The following table presents changes in accumulated other comprehensive loss for the years ended December 31, 2018 and 2017 by component: Securities Derivatives Defined Benefit Pension Plan Accumulated Other Comprehensive Loss (In thousands) Balance at December 31, 2016 $ (3,839 ) $ (5,204 ) $ (3,618 ) $ (12,661 ) Adoption of ASU 2018-02 (see Note 13) (686 ) (741 ) (699 ) (2,126 ) Current-period other comprehensive (loss) income 483 1,764 (12 ) 2,235 Balance at December 31, 2017 $ (4,042 ) $ (4,181 ) $ (4,329 ) $ (12,552 ) Balance at December 31, 2017 $ (4,042 ) $ (4,181 ) $ (4,329 ) $ (12,552 ) Cumulative-effect adjustment due to change in accounting principle (ASU 2016-01) 237 — — 237 Current-period other comprehensive (loss) income (3,595 ) 1,411 1,083 (1,101 ) Balance at December 31, 2018 $ (7,400 ) $ (2,770 ) $ (3,246 ) $ (13,416 )

INVESTMENT SECURITIES (Tables)

INVESTMENT SECURITIES (Tables)	12 Months Ended
	Dec. 31, 2018
Investments, Debt and Equity Securities [Abstract]
Schedule of securities available for sale	The amortized cost and fair values of available-for-sale investment securities at December 31, 2018 and 2017 are summarized as follows: December 31, 2018 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (In thousands) Available-for-sale securities: Debt securities: Government-sponsored enterprise obligations $ 25,150 $ — $ (1,203 ) $ 23,947 State and municipal bonds 2,976 33 (65 ) 2,944 Corporate bonds 49,819 — (1,651 ) 48,168 Total debt securities 77,945 33 (2,919 ) 75,059 Mortgage-backed securities: Government-sponsored mortgage-backed securities 165,605 1 (6,255 ) 159,351 U.S. government guaranteed mortgage-backed securities 20,089 1 (752 ) 19,338 Total mortgage-backed securities 185,694 2 (7,007 ) 178,689 Total available-for-sale (1) $ 263,639 $ 35 $ (9,926 ) $ 253,748 December 31, 2017 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (In thousands) Available-for-sale securities: Debt securities: Government-sponsored enterprise obligations $ 25,151 $ — $ (770 ) $ 24,381 State and municipal bonds 3,222 36 (19 ) 3,239 Corporate bonds 56,084 352 (292 ) 56,144 Total debt securities 84,457 388 (1,081 ) 83,764 Mortgage-backed securities: Government-sponsored mortgage-backed securities 185,769 10 (3,778 ) 182,001 U.S. government guaranteed mortgage-backed securities 16,821 — (567 ) 16,254 Total mortgage-backed securities 202,590 10 (4,345 ) 198,255 Marketable equity securities (1) Mutual fund 6,727 — (330 ) 6,397 Total available-for-sale $ 293,774 $ 398 $ (5,756 ) $ 288,416 (1) Does not include investments in restricted stock consisting of $14.7 million and $15.6 million at December 31, 2018 and December 31, 2017, respectively.
Schedule of amortized cost and fair value of securities available for sale by maturity	The amortized cost and fair value of available-for-sale debt securities at December 31, 2018, by final maturity, are shown below. Actual maturities may differ from contractual maturities because certain issuers have the right to call or prepay obligations. Also, because mortgage-backed securities require periodic principal pay downs, they are not included in the maturity categories in the following summary. December 31, 2018 Amortized Cost Fair Value (In thousands) Available-for-sale securities: Debt securities: Due in one year or less $ 240 $ 241 Due after one year through five years 40,864 39,846 Due after five years through ten years 30,094 28,561 Due after ten years 6,747 6,411 Total debt securities 77,945 75,059 Mortgage-backed securities 185,694 178,689 Total available-for-sale securities $ 263,639 $ 253,748
Schedule of gross realized gains and losses on sales of securities available for sale	Gross realized gains and losses on sales of securities for the years ended December 31, 2018, 2017 and 2016 are as follows: Years Ended December 31, 2018 2017 2016 (In thousands) Gross gains realized $ — $ 117 $ 1,976 Gross losses realized (281 ) (65 ) (837 ) Net gain realized $ (281 ) $ 52 $ 1,139
Schedule of securities with gross unrealized losses in continuous loss position	The following tables summarize investments having temporary impairment due to the fair market values having declined below the amortized costs of the individual investments, and the period that the investments have been temporarily impaired at December 31, 2018 and 2017: December 31, 2018 Less Than 12 Months Over 12 Months Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value (In thousands) Available-for-sale: Government-sponsored mortgage-backed securities $ 74 $ 7,354 $ 6,181 $ 148,762 U.S. government guaranteed mortgage-backed securities 15 2,829 737 14,669 Corporate bonds 110 9,995 1,541 38,173 State and municipal bonds — — 65 1,532 Government-sponsored enterprise obligations — — 1,203 23,947 Total available-for-sale $ 199 $ 20,178 $ 9,727 $ 227,083 December 31, 2017 Less Than 12 Months Over 12 Months Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value (In thousands) Available-for-sale: Government-sponsored mortgage-backed securities $ 613 $ 68,538 $ 3,165 $ 111,595 U.S. government guaranteed mortgage-backed securities 23 1,205 544 15,049 Corporate bonds 292 26,016 — — State and municipal bonds — — 19 1,581 Government-sponsored enterprise obligations — — 770 24,381 Mutual funds — — 330 6,397 Total available-for-sale $ 928 $ 95,759 $ 4,828 $ 159,003

LOANS (Tables)

LOANS (Tables)	12 Months Ended
	Dec. 31, 2018
Receivables [Abstract]
Schedule of loans	Major classifications of loans at the periods indicated were as follows: December 31, 2018 2017 (In thousands) Commercial real estate $ 768,881 $ 732,616 Residential real estate: Residential 1-4 family 577,641 557,752 Home equity 97,238 92,599 Commercial and industrial 243,493 238,502 Consumer 5,203 4,478 Total gross loans 1,692,456 1,625,947 Premiums and deferred loan fees and costs, net 4,401 4,734 Allowance for loan losses (12,053 ) (10,831 ) Net loans $ 1,684,804 $ 1,619,850
Schedule of mortgage servicing rights	A summary of the activity in the balances of mortgage servicing rights follows: Years Ended December 31, 2018 2017 (In thousands) Balance at the beginning of year: $ 352 $ 465 Capitalized mortgage servicing rights — — Amortization (66 ) (113 ) Balance at the end of year $ 286 $ 352 Fair value at the end of year $ 455 $ 528
Schedule of analysis of changes in allowance for loan losses by segment	An analysis of changes in the allowance for loan losses by segment for the years ended December 31, 2018, 2017 and 2016 is as follows: Commercial Real Estate Residential Real Estate Commercial and Industrial Consumer Unallocated Total (In thousands) Balance at December 31, 2015 $ 3,856 $ 2,431 $ 2,485 $ 22 $ 46 $ 8,840 Provision (credit) (668 ) 579 575 135 (46 ) 575 Charge-offs (170 ) (157 ) — (159 ) — (486 ) Recoveries 1,065 9 25 40 — 1,139 Balance at December 31, 2016 $ 4,083 $ 2,862 $ 3,085 $ 38 $ — $ 10,068 Provision (credit) 779 433 (144 ) 288 4 1,360 Charge-offs (292 ) (148 ) (289 ) (319 ) — (1,048 ) Recoveries 142 164 81 64 — 451 Balance at December 31, 2017 $ 4,712 $ 3,311 $ 2,733 $ 71 $ 4 $ 10,831 Provision (credit) 214 863 660 179 (16 ) 1,900 Charge-offs (35 ) (645 ) (299 ) (171 ) — (1,150 ) Recoveries 369 27 20 56 — 472 Balance at December 31, 2018 $ 5,260 $ 3,556 $ 3,114 $ 135 $ (12 ) $ 12,053
Schedule of information pertaining to the allowance for loan losses by segment	The following table presents information pertaining to the allowance for loan losses by segment for the dates indicated: Commercial Real Estate Residential Real Estate Commercial and Industrial Consumer Unallocated Total (In thousands) December 31, 2018 Amount of allowance for impaired loans $ — $ — $ — $ — $ — $ — Amount of allowance for non-impaired loans 5,260 3,556 3,114 135 (12 ) 12,053 Total allowance for loan losses $ 5,260 $ 3,556 $ 3,114 $ 135 $ (12 ) $ 12,053 Impaired loans $ 5,237 $ 4,754 $ 2,345 $ 60 $ — $ 12,396 Non-impaired loans 752,770 666,883 240,235 5,143 — 1,665,031 Impaired loans acquired with deteriorated credit quality 10,874 3,242 913 — — 15,029 Total loans $ 768,881 $ 674,879 $ 243,493 $ 5,203 $ — $ 1,692,456 Commercial Real Estate Residential Real Estate Commercial and Industrial Consumer Unallocated Total (In thousands) December 31, 2017 Amount of allowance for impaired loans $ — $ — $ — $ — $ — $ — Amount of allowance for non-impaired loans 4,712 3,311 2,733 71 4 10,831 Total allowance for loan losses $ 4,712 $ 3,311 $ 2,733 $ 71 $ 4 $ 10,831 Impaired loans $ 3,674 $ 3,964 $ 2,766 $ 120 $ — $ 10,524 Non-impaired loans 716,571 642,787 234,582 4,358 — 1,598,298 Impaired loans acquired with deteriorated credit quality 12,371 3,600 1,154 — — 17,125 Total loans $ 732,616 $ 650,351 $ 238,502 $ 4,478 $ — $ 1,625,947
Schedule of past due and nonaccrual loans by class	The following tables present an age analysis of past due loans as of the dates indicated: Balance at December 31, 2018 30 – 59 Days Past Due 60 – 89 Days Past Due Greater than 90 Days Past Due Total Past Due Loans Total Current Loans Total Loans Non- Accrual Loans (In thousands) Commercial real estate $ 1,857 $ — $ 2,865 $ 4,722 $ 764,159 $ 768,881 $ 4,701 Residential real estate: Residential 1,798 572 1,879 4,249 573,392 577,641 5,856 Home equity 600 5 242 847 96,391 97,238 391 Commercial and industrial 794 1,463 305 2,562 240,931 243,493 2,476 Consumer 93 1 21 115 5,088 5,203 60 Total loans $ 5,142 $ 2,041 $ 5,312 $ 12,495 $ 1,679,961 $ 1,692,456 $ 13,484 Balance at December 31, 2017 30 – 59 Days Past Due 60 – 89 Days Past Due Greater than 90 Days Past Due Total Past Due Loans Total Current Loans Total Loans Non- Accrual Loans (In thousands) Commercial real estate $ 1,951 $ 144 $ 290 $ 2,385 $ 730,231 $ 732,616 $ 2,959 Residential real estate: Residential 2,992 1,480 1,911 6,383 551,369 557,752 5,961 Home equity 635 — 48 683 91,916 92,599 696 Commercial and industrial 1,731 797 162 2,690 235,812 238,502 3,019 Consumer 65 — 41 106 4,372 4,478 120 Total loans $ 7,374 $ 2,421 $ 2,452 $ 12,247 $ 1,613,700 $ 1,625,947 $ 12,755
Schedule of impaired loans by class	The following is a summary of impaired loans by class: Year Ended At December 31, 2018 December 31, 2018 Recorded Investment Unpaid Principal Balance Related Allowance Average Recorded Investment Interest Income Recognized Impaired Loans (1) (In thousands) Commercial real estate $ 16,111 $ 19,081 $ — $ 14,830 $ 772 Residential real estate 7,558 8,614 — 7,033 51 Home equity 438 468 636 4 Commercial and industrial 3,258 7,788 — 4,119 147 Consumer 60 70 85 — Total impaired loans $ 27,425 $ 36,021 $ — $ 26,703 $ 974 Year Ended At December 31, 2017 December 31, 2017 Recorded Investment Unpaid Principal Balance Related Allowance Average Recorded Investment Interest Income Recognized Impaired Loans: (1) (In thousands) Commercial real estate $ 16,045 $ 18,773 $ — $ 18,215 $ 842 Residential real estate 6,816 7,298 — 6,630 45 Home equity 748 783 359 4 Commercial and industrial 3,920 9,215 — 4,388 237 Consumer 120 129 93 — Total impaired loans $ 27,649 $ 36,198 $ — $ 29,685 $ 1,128 (1) Includes loans acquired with deteriorated credit quality and performing troubled debt restructurings.
Schedule of loans acquired with deteriorated credit quality	The following is a summary of loans acquired with evidence of credit deterioration from Chicopee as of December 31, 2018. Contractual Required Payments Receivable Cash Expected To Be Collected Non- Accretable Discount Accretable Yield Loans Receivable (In thousands) Balance at December 31, 2017 $ 29,362 $ 23,158 $ 6,204 $ 6,033 $ 17,125 Collections (4,000 ) (2,780 ) (1,220 ) (742 ) (2,038 ) Dispositions (569 ) (495 ) (74 ) (437 ) (58 ) Balance at December 31, 2018 $ 24,793 $ 19,883 $ 4,910 $ 4,854 $ 15,029
Schedule of loans by risk rating	The following table presents our loans by risk rating for the periods indicated: Commercial Real Estate Residential 1-4 family Home Equity Commercial and Industrial Consumer Total (In thousands) December 31, 2018 Pass (Rated 1 – 4) $ 732,729 $ 570,428 $ 96,643 $ 207,663 $ 5,143 $ 1,612,606 Special Mention (Rated 5) 17,929 — — 12,248 — 30,177 Substandard (Rated 6) 18,223 7,213 595 23,582 60 49,673 Total $ 768,881 $ 577,641 $ 97,238 $ 243,493 $ 5,203 $ 1,692,456 Commercial Real Estate Residential 1-4 family Home Equity Commercial and Industrial Consumer Total December 31, 2017 (In thousands) Pass (Rated 1 – 4) $ 708,992 $ 551,469 $ 91,903 $ 205,537 $ 4,475 $ 1,562,376 Special Mention (Rated 5) 15,098 — — 24,565 — 39,663 Substandard (Rated 6) 8,526 6,283 696 8,400 3 23,908 Total $ 732,616 $ 557,752 $ 92,599 $ 238,502 $ 4,478 $ 1,625,947

PREMISES AND EQUIPMENT (Tables)

PREMISES AND EQUIPMENT (Tables)	12 Months Ended
	Dec. 31, 2018
Property, Plant and Equipment [Abstract]
Schedule of premises and equipment	Premises and equipment are summarized as follows: December 31, 2018 2017 (In thousands) Land $ 5,651 $ 5,651 Buildings 24,144 22,693 Leasehold improvements 2,372 2,220 Furniture and equipment 16,824 15,200 Total 48,991 45,764 Less: accumulated depreciation and amortization (24,367 ) (22,264 ) Premises and equipment, net $ 24,624 $ 23,500

DEPOSITS (Tables)

DEPOSITS (Tables)	12 Months Ended
	Dec. 31, 2018
Banking and Thrift [Abstract]
Schedule of of deposit accounts by type	Deposit accounts, by type, are summarized as follows for the periods indicated: At December 31, 2018 2017 (In thousands) Demand and interest-bearing checking: Interest-bearing checking accounts $ 63,620 $ 87,394 Demand deposits 355,389 311,851 Savings: Regular accounts 118,542 140,081 Money market accounts 398,396 410,223 Time deposits 660,046 556,533 Total deposits $ 1,595,993 $ 1,506,082
Scheduled maturities of time certificates of deposit	The scheduled maturities of time deposits for the periods indicated are as follows: Years Ended December 31, 2018 2017 (In thousands) 2018 $ — $ 300,531 2019 443,187 179,780 2020 152,346 34,000 2021 38,328 25,381 2022 18,787 16,841 2023 7,398 — Total time deposits $ 660,046 $ 556,533
Schedule of interest expense on deposits	Interest expense on deposits for the years ended December 31, 2018, 2017 and 2016 is summarized as follows: Years Ended December 31, 2018 2017 2016 (In thousands) Regular accounts $ 162 $ 179 $ 106 Money market accounts 1,911 1,565 1,189 Time deposits 9,270 6,374 5,139 Interest-bearing checking accounts 340 330 147 Total $ 11,683 $ 8,448 $ 6,581

SHORT-TERM BORROWINGS (Tables)

SHORT-TERM BORROWINGS (Tables)	12 Months Ended
	Dec. 31, 2018
Debt Disclosure [Abstract]
Schedule of information regarding repurchase agreements	The following table summarizes information regarding repurchase agreements outstanding at December 31, 2017: At or for the year ended December 31, 2017 (In thousands) Balance outstanding at end of year $ 11,650 Maximum amount outstanding during year 30,880 Average amount outstanding during year 18,418 Weighted average interest rate at end of year 0.10 % Amortized cost of collateral pledged at end of year 63,193 Fair value of collateral pledged at end of year 65,157

LONG-TERM DEBT (Tables)

LONG-TERM DEBT (Tables)	12 Months Ended
	Dec. 31, 2018
Debt Disclosure [Abstract]
Schedule of advances collateralized by lien	The following advances are collateralized by a blanket lien on our residential real estate loans and certain eligible commercial real estate loans. Amount Weighted Average Rate 2018 2017 2018 2017 (In thousands) Fixed-rate advances maturing: 2018 $ — $ 54,652 — % 2.0 % 2019 81,891 49,105 2.3 2.0 2020 84,269 40,535 2.2 1.9 2021 31,766 4,434 2.6 1.0 2022 9,461 5,325 2.2 1.4 2024 631 735 2.6 2.6 208,018 154,786 2.3 1.9 Variable-rate advances maturing: 2018 — 10,000 — 1.4 Total long-term advances $ 208,018 $ 164,786 2.3 % 1.9 %

STOCK PLANS AND EMPLOYEE STOC_2

STOCK PLANS AND EMPLOYEE STOCK OWNERSHIP PLAN (Tables)	12 Months Ended
	Dec. 31, 2018
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Schedule of stock option activity	A summary of the status of our stock options at December 31, 2018 is presented below: Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term (in years) Aggregate Intrinsic Value (in thousands) Outstanding at December 31, 2017 257,050 $ 6.31 4.41 $ 1,175 Exercised (18,975 ) 6.03 3.80 89 Outstanding at December 31, 2018 238,075 $ 6.33 3.44 $ 877 Exercisable at December 31, 2018 238,075 $ 6.33 3.44 $ 877
Schedule of original and adjusted threshold and target metrics	The original and adjusted threshold and target metrics under the 2016 Plan are as follows: Return on Equity Metrics Threshold Target Original metrics 5.85 % 6.32 % Adjusted metrics 6.38 % 6.79 % The original and adjusted threshold, target and maximum metrics under the 2017 Plan are as follows: Return on Equity Metrics Performance Period Ending Original Threshold Adjusted Threshold Original Target Adjusted Target Original Maximum Adjusted Maximum December 31, 2018 6.30 % 6.87 % 7.00 % 7.63 % 7.60 % 8.28 % December 31, 2019 6.50 % 7.09 % 7.20 % 7.85 % 7.90 % 8.61 % The threshold, target and stretch metrics under the 2018 LTI Plan are as follows: Return on Equity Metrics Performance Period Ending Threshold Target Stretch December 31, 2018 6.30 % 6.80 % 7.20 % December 31, 2019 6.85 % 7.35 % 7.75 % December 31, 2020 7.40 % 7.90 % 8.30 %
Schedule of stock award plan activity	A summary of the status of restricted stock awards at December 31, 2018 is presented below: Shares Weighted Average Grant Date Fair Value Balance at December 31, 2017 138,833 $ 8.98 Shares granted 83,812 11.05 Shares vested (62,726 ) 9.44 Shares forfeited (4,207 ) 10.63 Balance at December 31, 2018 155,712 $ 9.87
Schedule of the remaining principal balance payable	At December 31, 2018, the remaining principal balances are payable as follows: Years Ending December 31, Amount (In thousands) 2019 $ 447 2020 447 2021 447 2022 447 2023 447 Thereafter 4,184 Total $ 6,419
Schedule of shares held by ESOP	Shares held by the ESOP include the following at December 31, 2018 and 2017: 2018 2017 Allocated 936,522 899,969 Committed to be allocated 90,978 93,679 Unallocated 700,124 791,102 Total 1,727,624 1,784,750

RETIREMENT PLANS AND EMPLOYEE_2

RETIREMENT PLANS AND EMPLOYEE BENEFITS (Tables)	12 Months Ended
	Dec. 31, 2018
Defined Benefit Plan [Abstract]
Schedule of information for plan	The following table provides information for the Plan at or for the years ended December 31: Years Ended December 31, 2018 2017 2016 (In thousands) Change in benefit obligation: Benefit obligation at beginning of year $ 29,345 $ 25,819 $ 22,458 Service cost 1,269 1,139 1,130 Interest 1,012 1,002 959 Actuarial (gain) loss (3,887 ) 1,987 1,846 Benefits paid (430 ) (602 ) (574 ) Benefit obligation at end of year 27,309 29,345 25,819 Change in plan assets: Fair value of plan assets at beginning of year 19,215 16,498 15,233 Actual (loss) return on plan assets (1,192 ) 2,519 1,039 Employer contribution 800 800 800 Benefits paid (430 ) (602 ) (574 ) Fair value of plan assets at end of year 18,393 19,215 16,498 Funded status and accrued benefit at end of year $ (8,916 ) $ (10,130 ) $ (9,321 ) Accumulated benefit obligation at end of year $ 21,449 $ 21,930 $ 19,027
Schedule of actuarial assumptions used in determining the pension benefit obligation	The following actuarial assumptions were used in determining the pension benefit obligation: December 31, 2018 2017 Discount rate 4.25 % 3.60 % Rate of compensation increase 4.00 4.00
Schedule of net pension benefit costs	Net pension cost includes the following components for the years ended December 31: 2018 2017 2016 (In thousands) Service cost $ 1,269 $ 1,139 $ 1,130 Interest cost 1,012 1,002 959 Expected return on assets (1,387 ) (1,194 ) (1,097 ) Amortization of actuarial loss 170 124 102 Net periodic pension cost $ 1,064 $ 1,071 $ 1,094
Schedule of actuarial assumptions used in determining the service costs	The following actuarial assumptions were used in determining the net periodic pension cost for the years ended December 31: 2018 2017 2016 Discount rate 3.60 % 4.15 % 4.35 % Expected return on plan assets 7.50 7.50 7.50 Rate of compensation increase 4.00 4.00 4.00
Schedule of investments of pension plan assets	The following is a summary of the Plan’s investments for the years ended December 31: 2018 2017 (In thousands) Pooled separate investment accounts: Fixed income $ 10,559 $ 10,355 Large U.S. equity 4,365 5,080 International equity 2,368 2,518 Small/mid U.S. equity 734 877 Balanced/asset allocation 367 385 Total $ 18,393 $ 19,215
Schedule of investments for which fair value measured using NAV for pension plan assets	The following table summarizes the investments for which fair value is measured using NAV per share as a practical expedient for the years ended December 31, 2018 and 2017. There are no pertinent redemption restrictions for these investments; the redemption notice period is applicable only to the Plan. Fair Value Unfunded Commitments Redemption Frequency (if Currently Eligible) Redemption Notice Period (In thousands) December 31, 2018 $ 18,393 n/a Daily 1 day December 31, 2017 $ 19,215 n/a Daily 1 day
Schedule of estimated benefits to be paid from the pension plan	We estimate that the benefits to be paid from the pension plan for years ended December 31 are as follows: Year Benefit Payments to Participants (In thousands) 2019 $ 857 2020 1,083 2021 1,195 2022 1,549 2023 1,477 In aggregate for 2024 – 2028 14,502

DERIVATIVES AND HEDGING ACTIV_2

DERIVATIVES AND HEDGING ACTIVITIES (Tables)	12 Months Ended
	Dec. 31, 2018
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Schedule of fair values of derivative financial instruments	The table below presents the fair value of our derivative financial instruments designated as hedging instruments as well as our classification on the balance sheet as of December 31, 2018. December 31, 2018 Asset Derivatives Liability Derivatives Balance Sheet Location Fair Value Balance Sheet Location Fair Value (In thousands) Interest rate swaps Other Assets $ — Other Liabilities $ 1,259 Total derivatives designated as hedging instruments $ — $ 1,259 December 31, 2017 Asset Derivatives Liability Derivatives Balance Sheet Location Fair Value Balance Sheet Location Fair Value (In thousands) Interest rate swaps Other Assets $ — Other Liabilities $ 2,152 Total derivatives designated as hedging instruments $ — $ 2,152
Schedule of information about cash flow hedges	The following table presents information about our cash flow hedges at December 31, 2018 and 2017: December 31, 2018 Notional Weighted Average Weighted Average Rate Estimated Fair Amount Maturity Receive Pay Value (In thousands) (In years) (In thousands) Interest rate swaps on FHLB borrowings $ 35,000 3.7 2.79 % 3.54 % $ (1,259 ) Total cash flow hedges $ 35,000 3.7 $ (1,259 ) December 31, 2017 Notional Weighted Average Weighted Average Rate Estimated Fair Amount Maturity Received Paid Value (In thousands) (In years) (In thousands) Interest rate swaps on FHLB borrowings $ 55,000 3.3 1.64 % 2.93 % $ (2,152 ) Total cash flow hedges $ 55,000 3.3 $ (2,152 )
Schedule of pre-tax net losses of cash flow hedges	The table below presents the pre-tax net loss of our cash flow hedges for the periods indicated. Amount of Gain (Loss) Recognized in OCI on Derivative (Effective Portion) Years Ended December 31, 2018 2017 2016 (In thousands) Interest rate swaps $ 442 $ 31 $ (1,126 )

REGULATORY CAPITAL (Tables)

REGULATORY CAPITAL (Tables)	12 Months Ended
	Dec. 31, 2018
Banking and Thrift [Abstract]
Schedule of actual capital ratios	Our actual capital ratios of December 31, 2018 and December 31, 2017 are also presented in the following table. Minimum To Be Well Minimum For Capital Capitalized Under Prompt Actual Adequacy Purpose Corrective Action Provisions Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) December 31, 2018 Total Capital (to Risk Weighted Assets): Consolidated $ 247,361 14.87 % $ 133,089 8.00 % N/A N/A Bank 235,569 14.18 132,892 8.00 $ 166,115 10.00 % Tier 1 Capital (to Risk Weighted Assets): Consolidated 235,308 14.14 99,817 6.00 N/A N/A Bank 223,516 13.46 99,669 6.00 132,892 8.00 Common Equity Tier 1 Capital (to Risk Weighted Assets): Consolidated 235,308 14.14 74,862 4.50 N/A N/A Bank 223,516 13.46 74,752 4.50 107,974 6.50 Tier 1 Leverage Ratio (to Adjusted Average Assets): Consolidated 235,308 11.14 84,497 4.00 N/A N/A Bank 223,516 10.59 84,465 4.00 105,581 5.00 December 31, 2017 Total Capital (to Risk Weighted Assets): Consolidated $ 255,605 15.53 % $ 131,711 8.00 % N/A N/A Bank 245,380 14.94 131,367 8.00 $ 164,208 10.00 % Tier 1 Capital (to Risk Weighted Assets): Consolidated 244,774 14.87 98,783 6.00 N/A N/A Bank 234,549 14.28 98,525 6.00 131,367 8.00 Common Equity Tier 1 Capital (to Risk Weighted Assets): Consolidated 244,774 14.87 74,087 4.50 N/A N/A Bank 234,549 14.28 73,894 4.50 106,735 6.50 Tier 1 Leverage Ratio (to Adjusted Average Assets): Consolidated 244,774 11.84 82,702 4.00 N/A N/A Bank 234,549 11.36 82,584 4.00 103,230 5.00
Schedule of reconciliation of capital to regulatory Tier 1, Common Equity Tier 1 and total capital	The following is a reconciliation of our GAAP capital to regulatory Tier 1, Common Equity Tier 1 and total capital: December 31, 2018 2017 (In thousands) Consolidated GAAP capital $ 237,029 $ 247,281 Net unrealized losses on available-for-sale securities, net of tax 7,400 4,042 Unrealized loss on defined benefit pension plan, net of tax 3,246 4,329 Accumulated net loss on cash flow hedges, net of tax 2,770 4,181 Unrealized loss on certain available-for-sale equity securities — (236 ) Goodwill (12,487 ) (12,487 ) Intangible assets, net of associated deferred tax liabilities (2,652 ) (2,336 ) Tier 1 and Common Equity Tier 1 capital 235,308 244,774 Allowance for loan losses 12,053 10,831 Total regulatory capital $ 247,361 $ 255,605

INCOME TAXES (Tables)

INCOME TAXES (Tables)	12 Months Ended
	Dec. 31, 2018
Income Tax Disclosure [Abstract]
Schedule of income taxes	Income taxes consist of the following: Years Ended December 31, 2018 2017 2016 (In thousands) Current tax provision: Federal $ 3,910 $ 1,505 $ 1,925 State 1,586 581 370 Total 5,496 2,086 2,295 Deferred tax (benefit) provision: Federal (542 ) 7,613 262 State (254 ) 702 10 Change in valuation reserve — (973 ) 2 Total (796 ) 7,342 274 Total $ 4,700 $ 9,428 $ 2,569
Schedule of differences between statutory federal income tax rate and effective rates	The reasons for the differences between the statutory federal income tax rate and the effective rates are summarized below: Years Ended December 31, 2018 2017 2016 Statutory federal income tax rate 21.0 % 35.0 % 34.0 % Increase (decrease) resulting from: State taxes, net of federal tax benefit 5.0 3.2 3.4 Tax exempt income (1.8 ) (2.8 ) (2.6 ) Bank-owned life insurance (BOLI) (1.8 ) (2.9 ) (7.2 ) Nondeductible merger expenses — 0.1 8.3 Change in valuation reserve — (4.5 ) — Option exercise tax benefit (0.1 ) (3.2 ) — Effect of tax rate change — 18.4 — Other, net — — (1.2 ) Effective tax rate 22.3 % 43.3 % 34.7 %
Schedule of deferred taxes	The tax effects of each item that gives rise to deferred taxes are as follows: December 31, 2018 2017 (In thousands) Deferred tax assets: Allowance for loan losses $ 3,388 $ 3,045 Net unrealized loss on derivative and hedging activity 1,084 1,635 Employee benefit and share-based compensation plans 2,233 2,184 Defined benefit plan 1,270 1,692 Net unrealized loss on securities available for sale 2,491 1,316 Other-than-temporary impairment write-down — 91 Purchased mortgage servicing rights 293 344 Nonaccrual interest 674 487 Other 777 509 Gross deferred tax assets 12,210 11,303 Deferred tax liabilities: Deferred loan fees (1,122 ) (1,226 ) Hedge termination payments (729 ) (1,030 ) Purchase accounting adjustments, net (416 ) (234 ) Other (71 ) (29 ) Gross deferred tax liabilities (2,338 ) (2,519 ) Net deferred tax asset $ 9,872 $ 8,784

TRANSACTIONS WITH DIRECTORS A_2

TRANSACTIONS WITH DIRECTORS AND EXECUTIVE OFFICERS (Tables)	12 Months Ended
	Dec. 31, 2018
Related Party Transactions [Abstract]
Schedule of activity for loans - directors and executive officers	Following is a summary of activity for such loans: Years Ended December 31, 2018 2017 (In thousands) Balance at beginning of year $ 1,631 $ 1,475 Principal distributions 837 1,034 Repayments of principal (1,513 ) (878 ) Balance at end of year $ 955 $ 1,631

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Tables)	12 Months Ended
	Dec. 31, 2018
Commitments and Contingencies Disclosure [Abstract]
Schedule of financial instruments and other commitments and contingent liabilities	The following summarizes these financial instruments and other commitments and contingent liabilities at their contract amounts: December 31, 2018 2017 (In thousands) Commitments to extend credit: Unused lines of credit $ 259,009 $ 229,436 Loan commitments 53,199 40,878 Existing construction loan agreements 45,339 42,555 Standby letters of credit 11,370 9,138
Schedule of aggregate future minimum rental payments	Aggregate future minimum rental payments under the terms of non-cancelable operating leases at December 31, 2018, are as follows: Years Ending December 31, Amount (In thousands) 2019 $ 1,128 2020 995 2021 915 2022 887 2023 700 Thereafter 4,340 Total $ 8,965

FAIR VALUE OF ASSETS AND LIAB_2

FAIR VALUE OF ASSETS AND LIABILITIES (Tables)	12 Months Ended
	Dec. 31, 2018
Fair Value Disclosures [Abstract]
Schedule of assets and liabilities measured at fair value on recurring basis	Assets and liabilities measured at fair value on a recurring basis are summarized below: December 31, 2018 Level 1 Level 2 Level 3 Total Assets: (In thousands) Government-sponsored mortgage-backed securities $ — $ 159,351 $ — $ 159,351 U.S. government guaranteed mortgage-backed securities — 19,338 — 19,338 Corporate bonds — 48,168 — 48,168 State and municipal bonds — 2,944 — 2,944 Government-sponsored enterprise obligations — 23,947 — 23,947 Marketable equity securities 6,408 — — 6,408 Total assets $ 6,408 $ 253,748 $ — $ 260,156 Liabilities: Interest rate swaps $ — $ 1,259 $ — $ 1,259 December 31, 2017 Level 1 Level 2 Level 3 Total Assets: (In thousands) Government-sponsored mortgage-backed securities $ — $ 182,001 $ — $ 182,001 U.S. government guaranteed mortgage-backed securities — 16,254 — 16,254 Corporate bonds — 56,144 — 56,144 State and municipal bonds — 3,239 — 3,239 Government-sponsored enterprise obligations — 24,381 — 24,381 Mutual funds 6,397 — — 6,397 Total assets $ 6,397 $ 282,019 $ — $ 288,416 Liabilities: Interest rate swaps $ — $ 2,152 $ — $ 2,152
Schedule of assets measured at fair value on non-recurring basis	The following table summarizes the fair value hierarchy used to determine the carrying values of the related assets as of December 31, 2018 and 2017. Year Ended At December 31, 2018 December 31, 2018 Total Level 1 Level 2 Level 3 Losses (In thousands) (In thousands) Impaired Loans $ — $ — $ 1,676 $ 612 Year Ended At December 31, 2017 December 31, 2017 Total Level 1 Level 2 Level 3 Losses (In thousands) (In thousands) Impaired Loans $ — $ — $ 1,495 $ 256
Schedule of estimated fair values of financial instruments	The estimated fair values of our financial instruments are as follows: December 31, 2018 Carrying Value Fair Value Level 1 Level 2 Level 3 Total (In thousands) Assets: Cash and cash equivalents $ 26,789 $ 26,789 $ — $ — $ 26,789 Securities available-for-sale 253,748 — 253,748 — 253,748 Marketable equity securities 6,408 6,408 — — 6,408 Federal Home Loan Bank of Boston and other restricted stock 14,695 — — 14,695 14,695 Loans - net 1,684,804 — — 1,631,558 1,631,558 Accrued interest receivable 5,652 — — 5,652 5,652 Mortgage servicing rights 286 — 456 — 456 Liabilities: Deposits 1,595,993 — — 1,592,521 1,592,521 Short-term borrowings 59,250 — 59,247 — 59,247 Long-term debt 208,018 — 206,789 — 206,789 Accrued interest payable 530 — — 530 530 Derivative liabilities 1,259 — 1,259 — 1,259 December 31, 2017 Carrying Value Fair Value Level 1 Level 2 Level 3 Total (In thousands) Assets: Cash and cash equivalents $ 27,132 $ 27,132 $ — $ — $ 27,132 Securities available-for-sale 288,416 6,397 282,019 — 288,416 Federal Home Loan Bank of Boston and other restricted stock 15,553 — — 15,553 15,553 Loans - net 1,619,850 — — 1,581,929 1,581,929 Accrued interest receivable 5,946 — — 5,946 5,946 Mortgage servicing rights 352 — 528 — 528 Liabilities: Deposits 1,506,082 — — 1,503,311 1,503,311 Short-term borrowings 144,650 — 144,650 — 144,650 Long-term debt 164,786 — 164,016 — 164,016 Accrued interest payable 441 — — 441 441 Derivative liabilities 2,152 — 2,152 — 2,152

CONDENSED PARENT COMPANY FINA_2

CONDENSED PARENT COMPANY FINANCIAL STATEMENTS (Tables)	12 Months Ended
	Dec. 31, 2018
Condensed Financial Information Disclosure [Abstract]
Schedule of condensed balance sheets	The condensed balance sheets of the parent company are as follows: December 31, 2018 2017 (In thousands) ASSETS: Cash equivalents $ 74 $ 120 Investment in subsidiaries 225,238 237,056 ESOP loan receivable 6,419 7,135 Other assets 12,164 10,529 TOTAL ASSETS 243,895 254,840 LIABILITIES: ESOP loan payable 6,419 7,135 Other liabilities 447 424 EQUITY 237,029 247,281 TOTAL LIABILITIES AND EQUITY $ 243,895 $ 254,840
Schedule of condensed statements of income	The condensed statements of income for the parent company are as follows: Years Ended December 31, 2018 2017 2016 (In thousands) INCOME: Dividends from subsidiaries $ 28,712 $ 8,561 $ 3,499 Interest income from securities — — 32 ESOP loan interest income 571 629 670 Gain on sales of securities, net — — 451 Other income 1 4 — Total income 29,284 9,194 4,652 OPERATING EXPENSE: Salaries and employee benefits 1,837 1,646 926 ESOP interest 571 629 670 Other expenses 286 298 507 Total operating expense 2,694 2,573 2,103 Income before equity in undistributed income of subsidiaries and income taxes 26,590 6,621 2,549 Equity in undistributed (loss) income of subsidiaries (10,717 ) 4,188 1,955 Net income before taxes 15,873 10,809 4,504 Income tax benefit (535 ) (1,511 ) (330 ) Net income $ 16,408 $ 12,320 $ 4,834
Schedule of condensed statements of cash flows	The condensed statements of cash flows of the parent company are as follows: Years Ended December 31, 2018 2017 2016 (In thousands) OPERATING ACTIVITIES: Net income $ 16,408 $ 12,320 $ 4,834 Equity in undistributed loss (income) of subsidiaries 10,717 (4,188 ) (1,955 ) Gain on sales of securities, net — — (451 ) Change in other liabilities (610 ) (833 ) (597 ) Change in other assets (919 ) (2,330 ) (271 ) Other, net 1,805 1,607 1,049 Net cash provided by operating activities 27,401 6,576 2,609 INVESTING ACTIVITIES: Purchase of securities (127 ) (106 ) (116 ) Sales of securities 127 106 116 Net cash provided by investing activities — — — FINANCING ACTIVITIES: Cash dividends paid (4,641 ) (3,579 ) (2,439 ) Common stock repurchased (22,920 ) (9,314 ) (1,378 ) Excess tax benefit from share-based compensation — — 156 Issuance of common stock in connection with stock option exercises 114 5,465 1,971 Net cash used in financing activities (27,447 ) (7,428 ) (1,690 ) NET CHANGE IN CASH AND CASH EQUIVALENTS (46 ) (852 ) 919 CASH AND CASH EQUIVALENTS Beginning of year 120 972 53 End of year $ 74 $ 120 $ 972 Supplemental cash flow information: Net change in due to broker for common stock repurchased $ (83 ) $ (151 ) $ 455

SUMMARY OF QUARTERLY FINANCIA_2

SUMMARY OF QUARTERLY FINANCIAL INFORMATION (UNAUDITED) (Tables)	12 Months Ended
	Dec. 31, 2018
Quarterly Financial Information Disclosure [Abstract]
Summary of quarterly financial information	The following tables present a summary of our quarterly financial information for the periods indicated. The year-to-date totals may differ slightly due to rounding. All unaudited interim financial statements furnished shall reflect all adjustments which are, in the opinion of management, necessary to a fair statement of the results for interim periods presented and are of a normal and recurring nature, unless otherwise noted. 2018 First Quarter Second Quarter Third Quarter Fourth Quarter (Dollars in thousands, except per share amounts) Interest and dividend income $ 18,732 $ 20,464 $ 19,605 $ 20,189 Interest expense 4,010 4,599 5,000 5,369 Net interest and dividend income 14,722 15,865 14,605 14,820 Provision for loan losses 500 750 350 300 Gain on disposal of other real estate owned 48 — — — Loss on available-for-sale securities, net (201 ) (49 ) — (31 ) Unrealized (losses) gains on marketable equity securities (106 ) (41 ) (43 ) 48 Swap fee income — 131 — — Bank-owned life insurance death benefit — 715 — — Other non-interest income 2,025 2,177 2,339 2,221 Non-interest income 1,766 2,933 2,296 2,238 Non-interest expense 11,426 11,546 11,572 11,693 Income before income taxes 4,562 6,502 4,979 5,065 Income tax provision 1,043 1,364 1,070 1,223 Net income $ 3,519 $ 5,138 $ 3,909 $ 3,842 Basic earnings per share $ 0.12 $ 0.18 $ 0.14 $ 0.14 Diluted earnings per share $ 0.12 $ 0.18 $ 0.14 $ 0.14 2017 First Quarter Second Quarter Third Quarter Fourth Quarter (Dollars in thousands, except per share amounts) Interest and dividend income $ 17,957 $ 18,327 $ 18,516 $ 19,239 Interest expense 3,454 3,584 3,720 3,887 Net interest and dividend income 14,503 14,743 14,796 15,352 Provision for loan losses 350 350 200 510 Gain (loss) on disposal of other real estate owned — — 67 (58 ) Gain (loss) on sales of securities, net (64 ) 46 70 — Swap fee income 116 — 111 — Other non-interest income 1,965 2,029 2,164 2,055 Non-interest income 2,017 2,075 2,412 1,997 Non-interest expense 10,970 11,296 11,156 11,364 Income before income taxes 5,250 5,172 5,852 5,475 Income tax provision (1) 147 1,416 2,037 5,828 Net income (loss) $ 5,103 $ 3,756 $ 3,815 $ (353 ) Basic earnings per share $ 0.17 $ 0.13 $ 0.13 $ (0.01 ) Diluted earnings per share $ 0.17 $ 0.12 $ 0.13 $ (0.01 ) (1) Increase in the quarter ended December 31, 2017 is due to the enactment of the Tax Act on December 22, 2017.

SUMMARY OF SIGNIFICANT ACCOUN_4

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details)	12 Months Ended
	Dec. 31, 2018
Building [Member]
Estimated useful lives	39 years
Leasehold Improvements [Member] | Minimum [Member]
Estimated useful lives	5 years
Leasehold Improvements [Member] | Maximum [Member]
Estimated useful lives	20 years
Furniture And Equipment [Member] | Minimum [Member]
Estimated useful lives	3 years
Furniture And Equipment [Member] | Maximum [Member]
Estimated useful lives	7 years

SUMMARY OF SIGNIFICANT ACCOUN_5

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 1) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Accounting Policies [Abstract]
Net income applicable to common stock	$ 3,842	$ 3,909	$ 5,138	$ 3,519	$ (353)	$ 3,815	$ 3,756	$ 5,103	$ 16,408	$ 12,320	$ 4,834
Average number of common shares issued									29,734,000	30,755,000	20,659,000
Less: Average unallocated ESOP Shares									(757,000)	(849,000)	(935,000)
Less: Average unvested equity incentive plan shares									(90,000)	(47,000)	(16,000)
Average number of common shares outstanding used to calculate basic earnings per common share									28,886,904	29,858,984	19,707,948
Effect of dilutive equity incentive plan									46,000	17,000	3,000
Effect of dilutive stock options									96,000	151,000	93,000
Average number of common shares outstanding used to calculate diluted earnings per common share									29,029,394	30,026,638	19,803,744
Basic earnings per share (in dollars per share)	$ 0.14	$ 0.14	$ 0.18	$ 0.12	$ (0.01)	$ 0.13	$ 0.13	$ 0.17	$ 0.57	$ 0.41	$ 0.25
Diluted earnings per share (in dollars per share)	$ 0.14	$ 0.14	$ 0.18	$ 0.12	$ (0.01)	$ 0.13	$ 0.12	$ 0.17	$ 0.57	$ 0.41	$ 0.24

SUMMARY OF SIGNIFICANT ACCOUN_6

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 2) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Accumulated Other Comprehensive Income (Loss) [Line Items]
Accumulated other comprehensive income (loss), net of tax amount	$ (13,416)	$ (12,552)	$ (12,661)
Securities [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Accumulated other comprehensive income (loss) before tax	(9,891)	(5,358)
Tax effect	2,491	1,316
Accumulated other comprehensive income (loss), net of tax amount	(7,400)	(4,042)	(3,839)
Derivatives [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Fair value of derivatives used for cash flow hegdes	(1,259)	(2,152)
Derivative Termination fee on cancelled cash flow hedges	(2,595)	(3,664)
Accumulated other comprehensive income (loss) before tax	(3,854)	(5,816)
Tax effect	1,084	1,635
Accumulated other comprehensive income (loss), net of tax amount	(2,770)	(4,181)	(5,204)
Defined Benefit Plan [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Accumulated other comprehensive income (loss) before tax	(4,516)	(6,021)
Tax effect	1,270	1,692
Accumulated other comprehensive income (loss), net of tax amount	$ (3,246)	$ (4,329)	$ (3,618)

SUMMARY OF SIGNIFICANT ACCOUN_7

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 3) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	$ (12,552)	$ (12,661)
Cumulative-effect adjustment due to change in accounting principle	237	(2,126)
Current-period other comprehensive (loss) income	(1,101)	2,235	$ (1,683)
Ending balance	(13,416)	(12,552)	(12,661)
Securities [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	(4,042)	(3,839)
Cumulative-effect adjustment due to change in accounting principle	237	(686)
Current-period other comprehensive (loss) income	(3,595)	483
Ending balance	(7,400)	(4,042)	(3,839)
Derivatives [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	(4,181)	(5,204)
Cumulative-effect adjustment due to change in accounting principle		(741)
Current-period other comprehensive (loss) income	1,411	1,764
Ending balance	(2,770)	(4,181)	(5,204)
Defined Benefit Plan [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	(4,329)	(3,618)
Cumulative-effect adjustment due to change in accounting principle		(699)
Current-period other comprehensive (loss) income	1,083	(12)
Ending balance	$ (3,246)	$ (4,329)	$ (3,618)

SUMMARY OF SIGNIFICANT ACCOUN_8

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative)	Jan. 02, 2019USD ($)	Oct. 21, 2016USD ($)$ / sharesshares	Dec. 31, 2018USD ($)Number	Jun. 29, 2018$ / shares	Dec. 31, 2017USD ($)
Share price | $ / shares				$ 11
Actuarial loss expected to be recognized in net periodic pension costs in 2019			$ 124,000
Future lease payments outstanding			8,965,000
Total assets			2,118,822,000		$ 2,083,070,000
Total loans			$ 208,018,000		$ 164,786,000
Subsequent Event [Member]
Increase in assets due to adoption of new accounting standard	$ 7,200,000
Increase in liabilities due to adoption of new accounting standard	7,200,000
Debt securities of adoption new accounting standard	$ 10,400
401 (k) [Member]
Maximum percentage of participant's annual earnings subject to match by employer for 401(K) plan			6.00%
Employer matching contribution for the first 6% of each participant's annual earnings			50.00%
Chicopee Bancorp Inc [Member]
Number of shares issued (in shares) | shares		11,919,412
Share price | $ / shares		$ 7.90
Transaction cost		$ 98,800,000
Total assets		716,600,000
Total deposits		545,700,000
Total loans		$ 640,900,000
Massachusetts and Granby and Enfield, Connecticut [Member]
Number of banking offices in which bank operates | Number			22

INVESTMENT SECURITIES (Details)

INVESTMENT SECURITIES (Details) - USD ($) $ in Thousands		Dec. 31, 2018		Dec. 31, 2017
Available-for-sale securities:
Amortized Cost		$ 263,639	[1]	$ 293,774
Gross Unrealized Gains		35	[1]	398
Gross Unrealized Losses		(9,926)	[1]	(5,756)
Fair Value		253,748	[1]	288,416
Government-Sponsored Enterprise Obligations [Member]
Available-for-sale securities:
Amortized Cost		25,150		25,151
Gross Unrealized Losses		(1,203)		(770)
Fair Value		23,947		24,381
State And Municipal Bonds [Member]
Available-for-sale securities:
Amortized Cost		2,976		3,222
Gross Unrealized Gains		33		36
Gross Unrealized Losses		(65)		(19)
Fair Value		2,944		3,239
Corporate Bonds [Member]
Available-for-sale securities:
Amortized Cost		49,819		56,084
Gross Unrealized Gains				352
Gross Unrealized Losses		(1,651)		(292)
Fair Value		48,168		56,144
Debt Securities [Member]
Available-for-sale securities:
Amortized Cost		77,945		84,457
Gross Unrealized Gains		33		388
Gross Unrealized Losses		(2,919)		(1,081)
Fair Value		75,059		83,764
Collateralized Mortgage Backed Securities [Member]
Available-for-sale securities:
Amortized Cost		185,694		202,590
Gross Unrealized Gains		2		10
Gross Unrealized Losses		(7,007)		(4,345)
Fair Value		178,689		198,255
Mutual Funds [Member]
Available-for-sale securities:
Amortized Cost	[1]			6,727
Gross Unrealized Losses	[1]			(330)
Fair Value	[1]			6,397
Government-Sponsored Mortgage-Backed Securities [Member]
Available-for-sale securities:
Amortized Cost		165,605		185,769
Gross Unrealized Gains		1		10
Gross Unrealized Losses		(6,255)		(3,778)
Fair Value		159,351		182,001
US Government Guaranteed Mortgage-Backed Securities [Member]
Available-for-sale securities:
Amortized Cost		20,089		16,821
Gross Unrealized Gains		1
Gross Unrealized Losses		(752)		(567)
Fair Value		$ 19,338		$ 16,254
[1]	Does not include investments in restricted stock consisting of $14.7 million and $15.6 million at December 31, 2018 and December 31, 2017, respectively.

INVESTMENT SECURITIES (Details

INVESTMENT SECURITIES (Details 1) - USD ($) $ in Thousands	Dec. 31, 2018		Dec. 31, 2017
Schedule of Investments [Line Items]
Available for Sale Securities, Amortized Cost, Total	$ 263,639	[1]	$ 293,774
Available for Sale Securities, Fair Value, Total	253,748
Debt Securities [Member]
Schedule of Investments [Line Items]
Available for Sale Securities, Amortized Cost, Due in one year or less	240
Available for Sale Securities, Amortized Cost, Due after one year through five years	40,864
Available for Sale Securities, Amortized Cost, Due after five years through ten years	30,094
Available for Sale Securities, Amortized Cost, Due after ten years	6,747
Available for Sale Securities, Amortized Cost, Total	77,945
Available for Sale Securities, Fair Value, Due in one year or less	241
Available for Sale Securities, Fair Value, Due after one year through five years	39,846
Available for Sale Securities, Fair Value, Due after five years through ten years	28,561
Available for Sale Securities, Fair Value, Due after ten years	6,411
Available for Sale Securities, Fair Value, Total	75,059
Collateralized Mortgage Backed Securities [Member]
Schedule of Investments [Line Items]
Available for Sale Securities, Amortized Cost, Total	185,694		$ 202,590
Available for Sale Securities, Fair Value, Total	$ 178,689
[1]	Does not include investments in restricted stock consisting of $14.7 million and $15.6 million at December 31, 2018 and December 31, 2017, respectively.

INVESTMENT SECURITIES (Detail_2

INVESTMENT SECURITIES (Details 2) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Investments, Debt and Equity Securities [Abstract]
Gross gains realized		$ 117	$ 1,976
Gross losses realized	$ (281)	(65)	(837)
Net gain realized	$ (281)	$ 52	$ 1,139

INVESTMENT SECURITIES (Detail_3

INVESTMENT SECURITIES (Details 3) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Available for sale, Less Than 12 Months Gross Unrealized Losses	$ 199	$ 928
Available for sale, Less Than 12 Months Fair Value	20,178	95,759
Available for sale, Over 12 Months Gross Unrealized Losses	9,727	4,828
Available for sale, Over 12 Months Fair Value	227,083	159,003
Government-Sponsored Mortgage-Backed Securities [Member]
Available for sale, Less Than 12 Months Gross Unrealized Losses	74	613
Available for sale, Less Than 12 Months Fair Value	7,354	68,538
Available for sale, Over 12 Months Gross Unrealized Losses	6,181	3,165
Available for sale, Over 12 Months Fair Value	148,762	111,595
Corporate Bonds [Member]
Available for sale, Less Than 12 Months Gross Unrealized Losses	110	292
Available for sale, Less Than 12 Months Fair Value	9,995	26,016
Available for sale, Over 12 Months Gross Unrealized Losses	1,541
Available for sale, Over 12 Months Fair Value	38,173
States and Municipal Bonds [Member]
Available for sale, Over 12 Months Gross Unrealized Losses	65	19
Available for sale, Over 12 Months Fair Value	1,532	1,581
Government-Sponsored Enterprise Obligations [Member]
Available for sale, Over 12 Months Gross Unrealized Losses	1,203	770
Available for sale, Over 12 Months Fair Value	23,947	24,381
Mutual Funds [Member]
Available for sale, Over 12 Months Gross Unrealized Losses		330
Available for sale, Over 12 Months Fair Value		6,397
US Government Guaranteed Mortgage-Backed Securities [Member]
Available for sale, Less Than 12 Months Gross Unrealized Losses	15	23
Available for sale, Less Than 12 Months Fair Value	2,829	1,205
Available for sale, Over 12 Months Gross Unrealized Losses	737	544
Available for sale, Over 12 Months Fair Value	$ 14,669	$ 15,049

INVESTMENT SECURITIES (Detail_4

INVESTMENT SECURITIES (Details Narrative) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Cumulative-effect adjustment due to change in accounting principle (ASU 2016-01)	$ 237	$ (2,126)
Proceeds from redemptions and sales	12,470	22,453	$ 136,829
Investments in restricted stock	14,695	15,553
Government-Sponsored Enterprise Obligations [Member]
Fair value of collateralized public deposits	6,600
Collateralized Mortgage Backed Securities [Member]
Fair value of collateralized public deposits	57,800
Securities [Member]
Cumulative-effect adjustment due to change in accounting principle (ASU 2016-01)	$ 237	$ (686)

LOANS (Details)

LOANS (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total gross loans	$ 1,692,456	$ 1,625,947
Premiums and deferred loan fees and costs, net	4,401	4,734
Allowance for loan losses	(12,053)	(10,831)	$ (10,068)	$ (8,840)
Net loans	1,684,804	1,619,850
Commercial Real Estate [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total gross loans	768,881	732,616
Allowance for loan losses	(5,260)	(4,712)	(4,083)	(3,856)
Residential Real Estate - Residential 1-4 Family [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total gross loans	577,641	557,752
Residential Real Estate - Home Equity [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total gross loans	97,238	92,599
Commercial And Industrial [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total gross loans	243,493	238,502
Allowance for loan losses	(3,114)	(2,733)	(3,085)	(2,485)
Consumer [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total gross loans	5,203	4,478
Allowance for loan losses	$ (135)	$ (71)	$ (38)	$ (22)

LOANS (Details 1)

LOANS (Details 1) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Servicing Asset
Balance at the beginning of period:	$ 352	$ 465
Amortization	(66)	(113)
Balance at the end of year	286	352
Fair value at the end of year	$ 455	$ 528

LOANS (Details 2)

LOANS (Details 2) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Beginning Balance	$ 10,831	$ 10,068	$ 8,840
Provision (credit)	1,900	1,360	575
Charge-offs	(1,150)	(1,048)	(486)
Recoveries	472	451	1,139
Ending Balance	12,053	10,831	10,068
Commercial Real Estate [Member]
Beginning Balance	4,712	4,083	3,856
Provision (credit)	214	779	(668)
Charge-offs	(35)	(292)	(170)
Recoveries	369	142	1,065
Ending Balance	5,260	4,712	4,083
Residential Real Estate [Member]
Beginning Balance	3,311	2,862	2,431
Provision (credit)	863	433	579
Charge-offs	(645)	(148)	(157)
Recoveries	27	164	9
Ending Balance	3,556	3,311	2,862
Commercial And Industrial [Member]
Beginning Balance	2,733	3,085	2,485
Provision (credit)	660	(144)	575
Charge-offs	(299)	(289)
Recoveries	20	81	25
Ending Balance	3,114	2,733	3,085
Consumer [Member]
Beginning Balance	71	38	22
Provision (credit)	179	288	135
Charge-offs	(171)	(319)	(159)
Recoveries	56	64	40
Ending Balance	135	71	38
Unallocated [Member]
Beginning Balance	4		46
Provision (credit)	(16)	4	$ (46)
Ending Balance	$ (12)	$ 4

LOANS (Details 3)

LOANS (Details 3) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Amount of allowance for non-impaired loans	$ 12,053	$ 10,831
Total allowance for loan losses	12,053	10,831	$ 10,068	$ 8,840
Impaired loans	12,396	10,524
Non-impaired loans	1,665,031	1,598,298
Impaired loans acquired with deteriorated credit quality	15,029	17,125
Total loans	1,692,456	1,625,947
Commercial Real Estate [Member]
Amount of allowance for non-impaired loans	5,260	4,712
Total allowance for loan losses	5,260	4,712	4,083	3,856
Impaired loans	5,237	3,674
Non-impaired loans	752,770	716,571
Impaired loans acquired with deteriorated credit quality	10,874	12,371
Total loans	768,881	732,616
Residential Real Estate [Member]
Amount of allowance for non-impaired loans	3,556	3,311
Total allowance for loan losses	3,556	3,311	2,862	2,431
Impaired loans	4,754	3,964
Non-impaired loans	666,883	642,787
Impaired loans acquired with deteriorated credit quality	3,242	3,600
Total loans	674,879	650,351
Commercial And Industrial [Member]
Amount of allowance for non-impaired loans	3,114	2,733
Total allowance for loan losses	3,114	2,733	3,085	2,485
Impaired loans	2,345	2,766
Non-impaired loans	240,235	234,582
Impaired loans acquired with deteriorated credit quality	913	1,154
Total loans	243,493	238,502
Consumer [Member]
Amount of allowance for non-impaired loans	135	71
Total allowance for loan losses	135	71	$ 38	22
Impaired loans	60	120
Non-impaired loans	5,143	4,358
Total loans	5,203	4,478
Unallocated [Member]
Amount of allowance for non-impaired loans	(12)	4
Total allowance for loan losses	$ (12)	$ 4		$ 46

LOANS (Details 4)

LOANS (Details 4) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Total Past Due	$ 12,495	$ 12,247
Total Current Loans	1,679,961	1,613,700
Total loans	1,692,456	1,625,947
Non-Accrual Loans	13,484	12,755
30-59 Days Past Due [Member]
Total Past Due	5,142	7,374
60 - 89 Days Past Due [Member]
Total Past Due	2,041	2,421
Greater than 90 Days Past Due [Member]
Total Past Due	5,312	2,452
Commercial Real Estate [Member]
Total Past Due	4,722	2,385
Total Current Loans	764,159	730,231
Total loans	768,881	732,616
Non-Accrual Loans	4,701	2,959
Commercial Real Estate [Member] | 30-59 Days Past Due [Member]
Total Past Due	1,857	1,951
Commercial Real Estate [Member] | 60 - 89 Days Past Due [Member]
Total Past Due		144
Commercial Real Estate [Member] | Greater than 90 Days Past Due [Member]
Total Past Due	2,865	290
Residential Real Estate - Residential 1-4 Family [Member]
Total Past Due	4,249	6,383
Total Current Loans	573,392	551,369
Total loans	577,641	557,752
Non-Accrual Loans	5,856	5,961
Residential Real Estate - Residential 1-4 Family [Member] | 30-59 Days Past Due [Member]
Total Past Due	1,798	2,992
Residential Real Estate - Residential 1-4 Family [Member] | 60 - 89 Days Past Due [Member]
Total Past Due	572	1,480
Residential Real Estate - Residential 1-4 Family [Member] | Greater than 90 Days Past Due [Member]
Total Past Due	1,879	1,911
Residential Real Estate - Home Equity [Member]
Total Past Due	847	683
Total Current Loans	96,391	91,916
Total loans	97,238	92,599
Non-Accrual Loans	391	696
Residential Real Estate - Home Equity [Member] | 30-59 Days Past Due [Member]
Total Past Due	600	635
Residential Real Estate - Home Equity [Member] | 60 - 89 Days Past Due [Member]
Total Past Due	5
Residential Real Estate - Home Equity [Member] | Greater than 90 Days Past Due [Member]
Total Past Due	242	48
Commercial And Industrial [Member]
Total Past Due	2,562	2,690
Total Current Loans	240,931	235,812
Total loans	243,493	238,502
Non-Accrual Loans	2,476	3,019
Commercial And Industrial [Member] | 30-59 Days Past Due [Member]
Total Past Due	794	1,731
Commercial And Industrial [Member] | 60 - 89 Days Past Due [Member]
Total Past Due	1,463	797
Commercial And Industrial [Member] | Greater than 90 Days Past Due [Member]
Total Past Due	305	162
Consumer [Member]
Total Past Due	115	106
Total Current Loans	5,088	4,372
Total loans	5,203	4,478
Non-Accrual Loans	60	120
Consumer [Member] | 30-59 Days Past Due [Member]
Total Past Due	93	65
Consumer [Member] | 60 - 89 Days Past Due [Member]
Total Past Due	1
Consumer [Member] | Greater than 90 Days Past Due [Member]
Total Past Due	$ 21	$ 41

LOANS (Details 5)

LOANS (Details 5) - USD ($) $ in Thousands		12 Months Ended
		Dec. 31, 2018	Dec. 31, 2017
Total Impaired loans:
Recorded Investment	[1]	$ 27,425	$ 27,649
Unpaid Principal Balance	[1]	36,021	36,198
Average Recorded Investment	[1]	26,703	29,685
Interest Income Recognized	[1]	974	1,128
Commercial Real Estate [Member]
Total Impaired loans:
Recorded Investment	[1]	16,111	16,045
Unpaid Principal Balance	[1]	19,081	18,773
Average Recorded Investment	[1]	14,830	18,215
Interest Income Recognized	[1]	772	842
Residential Real Estate [Member]
Total Impaired loans:
Recorded Investment	[1]	7,558	6,816
Unpaid Principal Balance	[1]	8,614	7,298
Average Recorded Investment	[1]	7,033	6,630
Interest Income Recognized	[1]	51	45
Residential Real Estate - Home Equity [Member]
Total Impaired loans:
Recorded Investment	[1]	438	748
Unpaid Principal Balance	[1]	468	783
Average Recorded Investment	[1]	636	359
Interest Income Recognized	[1]	4	4
Commercial And Industrial [Member]
Total Impaired loans:
Recorded Investment	[1]	3,258	3,920
Unpaid Principal Balance	[1]	7,788	9,215
Average Recorded Investment	[1]	4,119	4,388
Interest Income Recognized	[1]	147	237
Consumer [Member]
Total Impaired loans:
Recorded Investment	[1]	60	120
Unpaid Principal Balance	[1]	70	129
Average Recorded Investment	[1]	$ 85	$ 93
[1]	Includes loans acquired with deteriorated credit quality and performing troubled debt restructurings.

LOANS (Details 6)

LOANS (Details 6) - Chicopee Bancorp Inc [Member] $ in Thousands	12 Months Ended
	Dec. 31, 2018USD ($)
Loans receivable - Contractual Required Payments Receivable beginning	$ 29,362
Collections - Contractually Required Payments Receivable	(4,000)
Dispositions - Contractually Required Payments Receivable	(569)
Loans receivable - Contractual Required Payments Receivable ending	24,793
Loans receivable - Cash Expected To Be Collected beginning	23,158
Collections - Cash Expected to be Collected	(2,780)
Dispositions - Cash Expected to be Collected	(495)
Loans receivable - Cash Expected To Be Collected ending	19,883
Loans receivable - Non-Accretable Discount beginning	6,204
Collections - Non-Accretable DIscount	(1,220)
Dispositions - Non-Accretable Discount	(74)
Loans receivable - Non-Accretable Discount ending	4,910
Loans receivable - Accretable Yield beginning	6,033
Collections - Accretable Yield	(742)
Dispositions - Accretable Yield	(437)
Loans receivable - Accretable Yield ending	4,854
Loans receivable - Outstanding beginning	17,125
Collections	(2,038)
Dispositions	(58)
Loans receivable - Outstanding ending	$ 15,029

LOANS (Details 7)

LOANS (Details 7) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Financing Receivable, Recorded Investment [Line Items]
Loans	$ 1,692,456	$ 1,625,947
Pass (Rated 1 - 4) [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans	1,612,606	1,562,376
Special Mention (Rated 5) [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans	30,177	39,663
Substandard (Rated 6) [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans	49,673	23,908
Commercial Real Estate [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans	768,881	732,616
Commercial Real Estate [Member] | Loans rated 1-4 [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans	732,729	708,992
Commercial Real Estate [Member] | Loans rated 5 [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans	17,929	15,098
Commercial Real Estate [Member] | Loans rated 6 [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans	18,223	8,526
Residential Real Estate - Residential 1-4 Family [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans	577,641	557,752
Residential Real Estate - Residential 1-4 Family [Member] | Loans rated 1-4 [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans	570,428	551,469
Residential Real Estate - Residential 1-4 Family [Member] | Loans rated 6 [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans	7,213	6,283
Residential Real Estate - Home Equity [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans	97,238	92,599
Residential Real Estate - Home Equity [Member] | Loans rated 1-4 [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans	96,643	91,903
Residential Real Estate - Home Equity [Member] | Loans rated 6 [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans	595	696
Commercial And Industrial [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans	243,493	238,502
Commercial And Industrial [Member] | Loans rated 1-4 [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans	207,663	205,537
Commercial And Industrial [Member] | Loans rated 5 [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans	12,248	24,565
Commercial And Industrial [Member] | Loans rated 6 [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans	23,582	8,400
Consumer [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans	5,203	4,478
Consumer [Member] | Loans rated 1-4 [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans	5,143	4,475
Consumer [Member] | Loans rated 6 [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans	$ 60	$ 3

LOANS (Details Narrative)

LOANS (Details Narrative)	12 Months Ended
	Dec. 31, 2018USD ($)$ / Loans	Dec. 31, 2017USD ($)	Dec. 31, 2016USD ($)
Receivables [Abstract]
Purchase of residential mortgages		$ 48,205,000	$ 108,448,000
Serviced commercial loans for participants	$ 35,400,000	32,600,000
Mortgage loans serviced for others	56,600,000	65,800,000
Net service fee income	$ 89,000	63,000	$ 12,500
Weighted average internal rate of return	12.04%
Weighted average servicing fee	0.25%
Net cost to service loans | $ / Loans	84.48
TDR Charge offs		256,000
Loan modified to extend the maturity and re-amortize the payments		$ 112,000,000
Percentage of non-accrual loans	0.80%	0.78%

PREMISES AND EQUIPMENT (Details

PREMISES AND EQUIPMENT (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Property, Plant and Equipment [Line Items]
Premises and equipment, gross	$ 48,991	$ 45,764
Less: accumulated depreciation and amortization	(24,367)	(22,264)
Premises and equipment, net	24,624	23,500
Land [Member]
Property, Plant and Equipment [Line Items]
Premises and equipment, gross	5,651	5,651
Building [Member]
Property, Plant and Equipment [Line Items]
Premises and equipment, gross	24,144	22,693
Leasehold Improvements [Member]
Property, Plant and Equipment [Line Items]
Premises and equipment, gross	2,372	2,220
Furniture And Equipment [Member]
Property, Plant and Equipment [Line Items]
Premises and equipment, gross	$ 16,824	$ 15,200

PREMISES AND EQUIPMENT (Detai_2

PREMISES AND EQUIPMENT (Details Narrative) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Property, Plant and Equipment [Abstract]
Depreciation and amortization expense	$ 2,055	$ 1,965	$ 1,429

GOODWILL AND OTHER INTANGIBLES

GOODWILL AND OTHER INTANGIBLES (Details Narrative) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Amortization of core deposit intangible	$ 375	$ 375	$ 73
Future amortization of core deposit intangible assets years 1-5	375
Core Deposit Intangibles [Member]
Acquired core deposit liabilities	4,500
Future amortization of core deposit intangible assets thereafter	$ 1,800

DEPOSITS (Details)

DEPOSITS (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Demand and interest-bearing checking:
Interest-bearing checking accounts	$ 63,620	$ 87,394
Demand deposits	355,389	311,851
Savings:
Regular accounts	118,542	140,081
Money market accounts	398,396	410,223
Time deposits	660,046	556,533
Total deposits	$ 1,595,993	$ 1,506,082

DEPOSITS (Details 1)

DEPOSITS (Details 1) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Maturities of time certificates of deposit
2018		$ 300,531
2019	$ 443,187	179,780
2020	152,346	34,000
2021	38,328	25,381
2022	18,787	16,841
2023	7,398
Total time deposits	$ 660,046	$ 556,533

DEPOSITS (Details 2)

DEPOSITS (Details 2) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Interest expense on deposits:
Regular	$ 162	$ 179	$ 106
Money market	1,911	1,565	1,189
Time	9,270	6,374	5,139
Interest-bearing checking accounts	340	330	147
Total	$ 11,683	$ 8,448	$ 6,581

DEPOSITS (Details Narrative)

DEPOSITS (Details Narrative) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Banking and Thrift [Abstract]
Time deposits over $250,000 or more	$ 180,300
Interest expense on time deposits $250,000 or more	2,500	$ 1,400
Brokered deposits	$ 23,800	$ 6,900

SHORT-TERM BORROWINGS (Details)

SHORT-TERM BORROWINGS (Details) - Customer Repurchase Agreements [Member] $ in Thousands	Dec. 31, 2017USD ($)
Customer Repurchase Agreements
Balance outstanding at year end	$ 11,650
Maximum amount outstanding during year	30,880
Average amount outstanding during year	$ 18,418
Weighted average interest rate at end of year	0.10%
Amortized cost of collateral pledged at end of year	$ 63,193
Fair value of collateral pledged at end of year	$ 65,157

SHORT-TERM BORROWINGS (Details

SHORT-TERM BORROWINGS (Details Narrative) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Collateralized Government-sponsored enterprise obligations [Member]
Fair value collateral of repurchase agreements		$ 6,700
Government-Sponsored Mortgage-Backed Securities [Member]
Fair value collateral of repurchase agreements		$ 58,400
Government-Sponsored Mortgage-Backed Securities [Member] | Collateralized Government-sponsored enterprise obligations [Member]
Weighted average rate		2.62%
FHLBB Ideal Way Line of Credit [Member]
Line of credit available	$ 9,500	$ 9,500
Correspondent Bank [Member]
Line of credit available	50,000
Correspondent Bank [Member]
Line of credit available	$ 1,500
FHLBB Advances [Member]
Weighted average rate	3.28%	1.58%
Short-term borrowings	$ 59,300	$ 133,000
FHLBB Advances [Member] | Maximum [Member]
Short-term borrowings	$ 218,300

LONG-TERM DEBT (Details)

LONG-TERM DEBT (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Fixed-rate advances maturing:
Year 1	$ 59,250	$ 144,650
Weighted average rate
Advances, weighted average rate	2.30%	1.90%
FHLBB Advances - Fixed Rate [Member]
Fixed-rate advances maturing:
Year 1	$ 81,891	$ 54,652
Year 2	84,269	49,105
Year 3	31,766	40,535
Year 4	9,461	4,434
Year 5	631	5,325
Year 6		735
Total fixed rate advances	$ 208,018	$ 154,786
Weighted average rate
Year 1		2.00%
Year 2	2.30%	2.00%
Year 3	2.20%	1.90%
Year 4	2.60%	1.00%
Year 5	2.20%	1.40%
Year 6	2.60%	2.60%
Advances, weighted average rate	2.30%	1.90%
FHLBB Advances - Variable Rate [Member]
Variable-rate maturing
Year 1		$ 10,000
Weighted average rate
Year 1		1.40%

LONG-TERM DEBT (Details Narrati

LONG-TERM DEBT (Details Narrative) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Long Term Debt [Member]
Debt Instrument [Line Items]
Cash paid for interest	$ 4,200	$ 2,300	$ 2,300

STOCK PLANS AND EMPLOYEE STOC_3

STOCK PLANS AND EMPLOYEE STOCK OWNERSHIP PLAN (Details) - Stock Options [Member] $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2018USD ($)$ / sharesshares
Options, Outstanding
Outstanding at beginning of period | shares	257,050
Exercised | shares	(18,975)
Outstanding at end of period | shares	238,075
Exercisable at end of period | shares	238,075
Options, Outstanding, Weighted Average Exercise Price
Outstanding at beginning of period | $ / shares	$ 6.31
Exercised | $ / shares	6.03
Outstanding at end of period | $ / shares	6.33
Exercisable at end of period | $ / shares	$ 6.33
Options, Outstanding, Weighted Average Remaining Contractual Term (in years)
Outstanding at beginning of period	4 years 4 months 28 days
Exercised	3 years 9 months 18 days
Outstanding at end of period	3 years 5 months 8 days
Exercisable at end of period	3 years 5 months 8 days
Options, Outstanding, Aggregate Intrinsic Value
Outstanding at beginning of period | $	$ 1,175
Exercised | $	89
Outstanding at end of period | $	877
Exercisable at end of period | $	$ 877

STOCK PLANS AND EMPLOYEE STOC_4

STOCK PLANS AND EMPLOYEE STOCK OWNERSHIP PLAN (Details 1)	12 Months Ended
	Dec. 31, 2018
LTI Plan for 2016 [Member] | Original Threshold [Member]
Original metrics	5.85%
Adjusted metrics	6.38%
LTI Plan for 2016 [Member] | Original Target [Member]
Original metrics	6.32%
Adjusted metrics	6.79%
LTI Plan for 2017 [Member] | Original Maximum [Member]
December 31, 2018	7.60%
December 31, 2019	7.90%
LTI Plan for 2017 [Member] | Original Threshold [Member]
December 31, 2018	6.30%
December 31, 2019	6.50%
LTI Plan for 2017 [Member] | Original Target [Member]
December 31, 2018	7.00%
December 31, 2019	7.20%
LTI Plan for 2017 [Member] | Adjusted Threshold [Member]
December 31, 2018	6.87%
December 31, 2019	7.09%
LTI Plan for 2017 [Member] | Adjusted Target [Member]
December 31, 2018	7.63%
December 31, 2019	7.85%
LTI Plan for 2017 [Member] | Adjusted Maximum [Member]
December 31, 2018	8.28%
December 31, 2019	8.61%
LTI Plan for 2018 [Member] | Original Threshold [Member]
December 31, 2018	6.30%
December 31, 2019	6.85%
December 31, 2020	7.40%
LTI Plan for 2018 [Member] | Original Target [Member]
December 31, 2018	6.80%
December 31, 2019	7.35%
December 31, 2020	7.90%
LTI Plan for 2018 [Member] | Stretch [Member]
December 31, 2018	7.20%
December 31, 2019	7.75%
December 31, 2020	8.30%

STOCK PLANS AND EMPLOYEE STOC_5

STOCK PLANS AND EMPLOYEE STOCK OWNERSHIP PLAN (Details 2) - Restricted Stock [Member]	12 Months Ended
	Dec. 31, 2018$ / sharesshares
Restricted Stock Awards
Beginning balance | shares	138,833
Shares granted | shares	83,812
Shares vested | shares	(62,726)
Shares forfeited | shares	(4,207)
Ending balance | shares	155,712
Weighted Average Grant Date Fair Value
Beginning balance | $ / shares	$ 8.98
Shares granted | $ / shares	11.05
Shares vested | $ / shares	9.44
Shares forfeited | $ / shares	10.63
Ending balance | $ / shares	$ 9.87

STOCK PLANS AND EMPLOYEE STOC_6

STOCK PLANS AND EMPLOYEE STOCK OWNERSHIP PLAN (Details 3) - Loan To Employee Stock Ownership Plan Trust [Member] $ in Thousands	Dec. 31, 2018USD ($)
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
2019	$ 447
2020	447
2021	447
2022	447
2023	447
Thereafter	4,184
ESOP Loan	$ 6,419

STOCK PLANS AND EMPLOYEE STOC_7

STOCK PLANS AND EMPLOYEE STOCK OWNERSHIP PLAN (Details 4) - shares	Dec. 31, 2018	Dec. 31, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Allocated	936,522	899,969
Committed to be allocated	90,978	93,679
Unallocated	700,124	791,102
Total	1,727,624	1,784,750

STOCK PLANS AND EMPLOYEE STOC_8

STOCK PLANS AND EMPLOYEE STOCK OWNERSHIP PLAN (Details Narrative) - USD ($) $ in Thousands	1 Months Ended				12 Months Ended
	Jan. 31, 2018	May 31, 2017	May 31, 2016	Jan. 31, 2015	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016	May 31, 2014
Stock Options
Cash received for options exercised					$ 114	$ 5,465	$ 1,971
Restricted Stock Awards
Share-based compensation expense					845	$ 649	$ 262
Fair value of restricted stock vested					$ 659
LTI Plan for 2016 [Member]
Restricted Stock Awards
Shares granted			62,740
LTI Plan for 2017 [Member]
Restricted Stock Awards
Shares granted		89,042
LTI Plan for 2018 [Member]
Restricted Stock Awards
Shares granted	83,812
Restricted Stock Award Plan [Member]
Restricted Stock Awards
Share based compensation, shares available for grant					236,053
New Stock-Based Compensation Plan ("RSA Plan") [Member]
Restricted Stock Awards
Shares authorized								516,000
Shares granted				48,560
Vesting term				5 years
Time Based Shares [Member] | LTI Plan for 2016 [Member]
Restricted Stock Awards
Shares granted			36,543
Percent of awards under plan					50.00%
Time Based Shares [Member] | LTI Plan for 2016 [Member] | Award, Tranche One [Member]
Restricted Stock Awards
Shares granted			10,352
Vesting term			1 year
Time Based Shares [Member] | LTI Plan for 2016 [Member] | Award, Tranche Two [Member]
Restricted Stock Awards
Shares granted			26,191
Vesting term			3 years
Time Based Shares [Member] | LTI Plan for 2017 [Member]
Restricted Stock Awards
Shares granted		55,159
Time Based Shares [Member] | LTI Plan for 2017 [Member] | Award, Tranche One [Member]
Restricted Stock Awards
Shares granted		21,276
Vesting term		1 year
Time Based Shares [Member] | LTI Plan for 2017 [Member] | Award, Tranche Two [Member]
Restricted Stock Awards
Shares granted		33,883
Vesting term		3 years
Time Based Shares [Member] | LTI Plan for 2018 [Member]
Restricted Stock Awards
Shares granted	50,852
Time Based Shares [Member] | LTI Plan for 2018 [Member] | Award, Tranche One [Member]
Restricted Stock Awards
Shares granted	17,908
Vesting term	1 year
Time Based Shares [Member] | LTI Plan for 2018 [Member] | Award, Tranche Two [Member]
Restricted Stock Awards
Shares granted	32,944
Vesting term	3 years
Performance Shares [Member] | LTI Plan for 2016 [Member]
Restricted Stock Awards
Shares granted			26,197
Vesting term			3 years
Percent of awards under plan					50.00%
Performance Shares [Member] | LTI Plan for 2017 [Member]
Restricted Stock Awards
Shares granted		33,883
Vesting term		3 years
Performance Shares [Member] | LTI Plan for 2017 [Member] | Original Maximum [Member]
Restricted Stock Awards
Percent of awards participants may earn		150.00%
Performance Shares [Member] | LTI Plan for 2017 [Member] | Original Threshold [Member]
Restricted Stock Awards
Percent of awards participants may earn		50.00%
Performance Shares [Member] | LTI Plan for 2017 [Member] | Original Target [Member]
Restricted Stock Awards
Percent of awards participants may earn		100.00%
Performance Shares [Member] | LTI Plan for 2018 [Member]
Restricted Stock Awards
Shares granted	32,960
Vesting term	3 years
Performance Shares [Member] | LTI Plan for 2018 [Member] | Original Maximum [Member]
Restricted Stock Awards
Percent of awards participants may earn	150.00%
Performance Shares [Member] | LTI Plan for 2018 [Member] | Original Threshold [Member]
Restricted Stock Awards
Percent of awards participants may earn	50.00%
Performance Shares [Member] | LTI Plan for 2018 [Member] | Original Target [Member]
Restricted Stock Awards
Percent of awards participants may earn	100.00%

STOCK PLANS AND EMPLOYEE STOC_9

STOCK PLANS AND EMPLOYEE STOCK OWNERSHIP PLAN (Detail Narrative 1) $ in Thousands	1 Months Ended		12 Months Ended
	Jan. 31, 2007shares	Jan. 31, 2002Numbershares	Dec. 31, 2018USD ($)	Dec. 31, 2017USD ($)	Dec. 31, 2016USD ($)
Employee Stock Owneship Plan
Employee age required to qualify for ESOP benefit | Number		21
Minimum working hours needed for eligibility | Number		1,000
Purchase of common stock by ESOP Trust of IPO, percent	4.00%	8.00%
Purchase of common stock by ESOP Trust of IPO | shares	736,000	1,305,359
Number of shares sold in IPO | shares	18,400,000
Total ESOP compensation expense | $			$ 960	$ 958	$ 630
Fair value of unallocated ESOP shares | $			$ 10,300	$ 8,600
Loan To Employee Stock Ownership Plan Trust [Member]
Employee Stock Owneship Plan
Debt, interest rate			8.00%

RETIREMENT PLANS AND EMPLOYEE_3

RETIREMENT PLANS AND EMPLOYEE BENEFITS (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Change in benefit obligation:
Benefit obligation at beginning of year	$ 29,345	$ 25,819	$ 22,458
Service cost	1,269	1,139	1,130
Interest	1,012	1,002	959
Actuarial (gain) loss	(3,887)	1,987	1,846
Benefits paid	(430)	(602)	(574)
Benefit obligation at end of year	27,309	29,345	25,819
Change in plan assets:
Balance at beginning of year	19,215	16,498	15,233
Actual (loss) return on plan assets	(1,192)	2,519	1,039
Employer contribution	800	800	800
Benefits paid	(430)	(602)	(574)
Balance at end of year	18,393	19,215	16,498
Funded status and accrued benefit at end of year	(8,916)	(10,130)	(9,321)
Accumulated benefit obligation at end of year	$ 21,449	$ 21,930	$ 19,027

RETIREMENT PLANS AND EMPLOYEE_4

RETIREMENT PLANS AND EMPLOYEE BENEFITS (Details 1)	Dec. 31, 2018	Dec. 31, 2017
Defined Benefit Plan [Abstract]
Discount rate	4.25%	3.60%
Rate of compensation increase	4.00%	4.00%

RETIREMENT PLANS AND EMPLOYEE_5

RETIREMENT PLANS AND EMPLOYEE BENEFITS (Details 2) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Defined Benefit Plan [Abstract]
Service cost	$ 1,269	$ 1,139	$ 1,130
Interest cost	1,012	1,002	959
Expected return on assets	(1,387)	(1,194)	(1,097)
Amortization of actuarial loss	170	124	102
Net periodic pension cost	$ 1,064	$ 1,071	$ 1,094

RETIREMENT PLANS AND EMPLOYEE_6

RETIREMENT PLANS AND EMPLOYEE BENEFITS (Details 3)	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Service Costs Assumptions
Discount rate	3.60%	4.15%	4.35%
Expected return on plan assets	7.50%	7.50%	7.50%
Rate of compensation increase	4.00%	4.00%	4.00%

RETIREMENT PLANS AND EMPLOYEE_7

RETIREMENT PLANS AND EMPLOYEE BENEFITS (Details 4) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Defined Benefit Plan Disclosure [Line Items]
Define benefit plan fair value of plan asset	$ 18,393	$ 19,215	$ 16,498	$ 15,233
Fixed Income [Member]
Defined Benefit Plan Disclosure [Line Items]
Define benefit plan fair value of plan asset	10,559	10,355
Large U.S. Equity [Member]
Defined Benefit Plan Disclosure [Line Items]
Define benefit plan fair value of plan asset	4,365	5,080
International Equity [Member]
Defined Benefit Plan Disclosure [Line Items]
Define benefit plan fair value of plan asset	2,368	2,518
Small/Mid U.S. Equity [Member]
Defined Benefit Plan Disclosure [Line Items]
Define benefit plan fair value of plan asset	734	877
Balanced/Asset Allocation [Member]
Defined Benefit Plan Disclosure [Line Items]
Define benefit plan fair value of plan asset	$ 367	$ 385

RETIREMENT PLANS AND EMPLOYEE_8

RETIREMENT PLANS AND EMPLOYEE BENEFITS (Details 5) - NAV - Fair Value [Member] - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Defined Benefit Plan Disclosure [Line Items]
Fair Value	$ 18,393	$ 19,215
Unfunded Commitments	n/a	n/a
Redemption Frequency (if Currently Eligible)	Daily	Daily
Redemption Notice Period	1 day	1 day

RETIREMENT PLANS AND EMPLOYEE_9

RETIREMENT PLANS AND EMPLOYEE BENEFITS (Details 6) $ in Thousands	Dec. 31, 2018USD ($)
Defined Benefit Plan [Abstract]
2019	$ 857
2020	1,083
2021	1,195
2022	1,549
2023	1,477
In aggregate for 2024 - 2028	$ 14,502

RETIREMENT PLANS AND EMPLOYE_10

RETIREMENT PLANS AND EMPLOYEE BENEFITS (Details Narrative) $ in Thousands	12 Months Ended
	Dec. 31, 2018USD ($)h	Dec. 31, 2017USD ($)	Dec. 31, 2016USD ($)
401 (k) [Member]
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Employer matching contribution for the first 6% of each participant's annual earnings	50.00%
Maximum percentage of participant's annual earnings subject to match by employer for 401(K) plan	6.00%
Employer contribution to plan | $	$ 398	$ 370	$ 242
Pension Plan [Member]
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Minimum working hours needed for eligibility | h	1,000

DERIVATIVES AND HEDGING ACTIV_3

DERIVATIVES AND HEDGING ACTIVITIES (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Other Liabilities [Member] | Interest Rate Swap Agreement [Member] | Designated as Hedging Instrument [Member]
Fair value of derivative liability	$ 1,259	$ 2,152

DERIVATIVES AND HEDGING ACTIV_4

DERIVATIVES AND HEDGING ACTIVITIES (Details 1) - Interest Rate Swap Agreement [Member] - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Notional Amount	$ 35,000	$ 55,000
Weighted Average Maturity	3 years 8 months 12 days	3 years 3 months 18 days
Weighted Average Rate Received	2.79%	1.64%
Weighted Average Rate Paid	3.54%	2.93%
Estimated Fair Value	$ (1,259)	$ (2,152)

DERIVATIVES AND HEDGING ACTIV_5

DERIVATIVES AND HEDGING ACTIVITIES (Details 2) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Interest Rate Swap [Member] | Derivatives Designated As Cash Flow Hedges [Member]
Amount of Gain (Loss) Recognized in OCI on Derivative (Effective Portion)	$ 442	$ 31	$ (1,126)

DERIVATIVES AND HEDGING ACTIV_6

DERIVATIVES AND HEDGING ACTIVITIES (Details Narrative) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Estimated amount to be reclassified during the next 12 month period	$ 1,400
Termination value of derivatives in a net liability position	1,300	$ 2,200
Cash posted as collateral	260
Collateralized Mortgage Backed Securities [Member]
Fair value of mortgage backed securities collateralized	1,000
Interest Rate Swap [Member]
Reclassifications amount, effective portion	$ 1,500	$ 2,000	$ 1,600
Terminated Foward Starting Interest Rate Swap [Member]
Derivative notional amount			32,500	$ 47,500
Termination fees			$ 3,400	$ 2,400
Termination fees amortized period			6 years	5 years

REGULATORY CAPITAL (Details)

REGULATORY CAPITAL (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Total Capital (to Risk Weighted Assets):
Total Capital	$ 247,361	$ 255,605
Total Capital (to risk-weighted assets) ratio	14.87%	15.53%
Minimum amount of capital for adequacy purposes	$ 133,089	$ 131,711
Minimum amount of capital for adequacy purposes, ratio	8.00%	8.00%
Tier 1 Capital (to Risk Weighted Assets):
Tier 1 Capital	$ 235,308	$ 244,774
Tier 1 Capital (to risk-weighted assets) ratio	14.14%	14.87%
Minimum amount of Tier 1 Capital for adequacy purposes	$ 99,817	$ 98,783
Minimum amount of Tier 1 Capital for adequacy purposes, ratio	6.00%	6.00%
Common Equity Tier 1 Capital (to risk-weighted assets)
Common Equity Tier 1 Capital	$ 235,308	$ 244,774
Common Equity Tier 1 Capital (to risk-weighted assets) ratio	14.14%	14.87%
Minimum amount of Common Equity Tier 1 Capital for adequacy purposes	$ 74,862	$ 74,087
Minimum amount of Common Equity Tier 1 Capital for adequacy purposes, ratio	4.50%	4.50%
Tier 1 Leverage Ratio (to Adjusted Average Assets):
Tier 1 Leverage ratio	$ 235,308	$ 244,774
Tier 1 Leverage (to adjusted average assets) ratio	11.14%	11.84%
Minimum amount of Tier 1 Leverage for adequacy purposes	$ 84,497	$ 82,702
Minimum amount of Tier 1 Leverage for adequacy purposes, ratio	4.00%	4.00%
Bank [Member]
Total Capital (to Risk Weighted Assets):
Total Capital	$ 235,569	$ 245,380
Total Capital (to risk-weighted assets) ratio	14.18%	14.94%
Minimum amount of capital for adequacy purposes	$ 132,892	$ 131,367
Minimum amount of capital for adequacy purposes, ratio	8.00%	8.00%
Minimum Capital required to be well-capitalized	$ 166,115	$ 164,208
Minimum Capital required to be well-capitalized, ratio	10.00%	10.00%
Tier 1 Capital (to Risk Weighted Assets):
Tier 1 Capital	$ 223,516	$ 234,549
Tier 1 Capital (to risk-weighted assets) ratio	13.46%	14.28%
Minimum amount of Tier 1 Capital for adequacy purposes	$ 99,669	$ 98,525
Minimum amount of Tier 1 Capital for adequacy purposes, ratio	6.00%	6.00%
Minimum Tier 1 Capital required to be well-capitalized	$ 132,892	$ 131,367
Minimum Tier 1 Capital required to be well-capitalized, ratio	8.00%	8.00%
Common Equity Tier 1 Capital (to risk-weighted assets)
Common Equity Tier 1 Capital	$ 223,516	$ 234,549
Common Equity Tier 1 Capital (to risk-weighted assets) ratio	13.46%	14.28%
Minimum amount of Common Equity Tier 1 Capital for adequacy purposes	$ 74,752	$ 73,894
Minimum amount of Common Equity Tier 1 Capital for adequacy purposes, ratio	4.50%	4.50%
Minimum Common Equity Tier 1 Capital required to be well-capitalized	$ 107,974	$ 106,735
Minimum Common Equity Tier 1 Capital required to be well-capitalized, ratio	6.50%	6.50%
Tier 1 Leverage Ratio (to Adjusted Average Assets):
Tier 1 Leverage ratio	$ 223,516	$ 234,549
Tier 1 Leverage (to adjusted average assets) ratio	10.59%	11.36%
Minimum amount of Tier 1 Leverage for adequacy purposes	$ 84,465	$ 82,584
Minimum amount of Tier 1 Leverage for adequacy purposes, ratio	4.00%	4.00%
Minimum Tier 1 Capital required to be well-capitalized	$ 105,581	$ 103,230
Minimum Tier 1 Leverage required to be well-capitalized, ratio	5.00%	5.00%

REGULATORY CAPITAL (Details 1)

REGULATORY CAPITAL (Details 1) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Banking and Thrift [Abstract]
Consolidated GAAP capital	$ 237,029	$ 247,281	$ 238,396	$ 139,466
Net unrealized losses on available-for-sale securities, net of tax	7,400	4,042
Unrealized loss on defined benefit pension plan, net of tax	3,246	4,329
Accumulated net loss on cash flow hedges, net of tax	2,770	4,181
Unrealized loss on certain available-for-sale equity securities		(236)
Goodwill	(12,487)	(12,487)
Intangible assets, net of associated deferred tax liabilities	(2,652)	(2,336)
Tier 1 and Common Equity Tier 1 capital	235,308	244,774
Allowance for loan losses	12,053	10,831
Total regulatory capital	$ 247,361	$ 255,605

REGULATORY CAPITAL (Details Nar

REGULATORY CAPITAL (Details Narrative) - USD ($) $ in Thousands	Jan. 29, 2019	Jan. 02, 2019	Dec. 31, 2018	Dec. 31, 2017	Jan. 31, 2017
Number of shares authorized to be repurchased	2,814,200		251,333		3,047,000
Number of shares authorized to be repurchased as percentage of total outstanding shares of common stock	10.00%				10.00%
Restricted equity in net assets			$ 132,900	$ 131,400
Capital converservation buffer of Common Equity Tier 1 Capital ratio			1.875%
Percentage of initial phase-in amount			2.50%
Subsequent Event [Member]
Capital converservation buffer of Common Equity Tier 1 Capital ratio		2.50%

INCOME TAXES (Details)

INCOME TAXES (Details) - USD ($) $ in Thousands	3 Months Ended												12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	[1]	Sep. 30, 2017	[1]	Jun. 30, 2017	[1]	Mar. 31, 2017	[1]	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Current tax provision:
Federal													$ 3,910	$ 1,505	$ 1,925
State													1,586	581	370
Total													5,496	2,086	2,295
Deferred tax (benefit) provision:
Federal													(542)	7,613	262
State													(254)	702	10
Change in valuation reserve														(973)	2
Total													(796)	7,342	274
Total	$ 1,223	$ 1,070	$ 1,364	$ 1,043	$ 5,828		$ 2,037		$ 1,416		$ 147		$ 4,700	$ 9,428	$ 2,569
[1]	Increase in the quarter ended December 31, 2017 is due to the enactment of the Tax Act on December 22, 2017.

INCOME TAXES (Details 1)

INCOME TAXES (Details 1)	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Income Tax Disclosure [Abstract]
Statutory federal income tax rate	21.00%	35.00%	34.00%
Increase (decrease) resulting from:
State taxes, net of federal tax benefit	5.00%	3.20%	3.40%
Tax exempt income	(1.80%)	(2.80%)	(2.60%)
Bank-owned life insurance (BOLI)	(1.80%)	(2.90%)	(7.20%)
Nondeductible merger expenses		0.10%	8.30%
Change in valuation reserve		(4.50%)
Option exercise tax benefit	(0.10%)	(3.20%)
Effect of tax rate change		18.40%
Other, net			(1.20%)
Effective tax rate	22.30%	43.30%	34.70%

INCOME TAXES (Details 2)

INCOME TAXES (Details 2) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Deferred tax assets:
Allowance for loan losses	$ 3,388	$ 3,045
Net unrealized loss on derivative and hedging activity	1,084	1,635
Employee benefit and share-based compensation plans	2,233	2,184
Defined benefit plan	1,270	1,692
Net unrealized loss on securities available for sale	2,491	1,316
Other-than-temporary impairment write-down		91
Purchased mortgage servicing rights	293	344
Nonaccrual interest	674	487
Other	777	509
Gross deferred tax assets	12,210	11,303
Deferred tax liabilities:
Deferred loan fees	(1,122)	(1,226)
Hedge termination payments	(729)	(1,030)
Purchase accounting adjustments, net	(416)	(234)
Other	(71)	(29)
Gross deferred tax liabilities	(2,338)	(2,519)
Net deferred tax asset	$ 9,872	$ 8,784

INCOME TAXES (Details Narrative

INCOME TAXES (Details Narrative) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Operating Loss Carryforwards [Line Items]
Cash paid for income taxes	$ 3,700	$ 5,600	$ 2,600
Additional income tax expense	4,000
Additional income tax benefit	2,100
Chicopee Bancorp Inc [Member]
Operating Loss Carryforwards [Line Items]
Operating loss carryforwards		$ 3,500
Federal Income Tax [Member]
Operating Loss Carryforwards [Line Items]
Income tax reserve for loan losses at Bank's base year	$ 9,400
Percentage of amount actually used net of reserve subject to taxation	150.00%
Deferred tax liability not recognized	$ 2,600

TRANSACTIONS WITH DIRECTORS A_3

TRANSACTIONS WITH DIRECTORS AND EXECUTIVE OFFICERS (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Loans and Leases Receivable, Related Parties [Roll Forward]
Balance at beginning of year	$ 1,631	$ 1,475
Principal distributions	837	1,034
Repayments of principal	(1,513)	(878)
Balance at end of year	$ 955	$ 1,631

COMMITMENTS AND CONTINGENCIES_2

COMMITMENTS AND CONTINGENCIES (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Unused Lines of Credit [Member]
Loss Contingencies [Line Items]
Commitments to extend credit	$ 259,009	$ 229,436
Loan Commitments [Member]
Loss Contingencies [Line Items]
Commitments to extend credit	53,199	40,878
Existing Construction Loan Agreements [Member]
Loss Contingencies [Line Items]
Commitments to extend credit	45,339	42,555
Standby Letters of Credit [Member]
Loss Contingencies [Line Items]
Commitments to extend credit	$ 11,370	$ 9,138

COMMITMENTS AND CONTINGENCIES_3

COMMITMENTS AND CONTINGENCIES (Details 1) $ in Thousands	Dec. 31, 2018USD ($)
Commitments and Contingencies Disclosure [Abstract]
2019	$ 1,128
2020	995
2021	915
2022	887
2023	700
Thereafter	4,340
Total	$ 8,965

COMMITMENTS AND CONTINGENCIES_4

COMMITMENTS AND CONTINGENCIES (Details Narrative) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Commitments to extend credit	$ 368,900	$ 322,000
Fixed rate commitments	45,300	47,400
Variable rate commitments	323,600	274,600
Rent expense under operating leases	1,100	$ 1,100	$ 798
Small Business Investment Company [Member]
Partners committed capital contrbution	3,000
Unfunded commitment	1,600
Small Business Investment Company [Member] | Other Assets [Member]
Partners committed book value	1,400
Risk Participation Agreements [Member]
Risk Participation agreement - fair value	1,200
Estimated risk participation agreement maximum exposure	$ 587
Minimum [Member]
Fixed rate commitments - interest rates	1.49%	1.49%
Minimum [Member] | Risk Participation Agreements Two [Member]
Risk participation agreement term	8 years
Maximum [Member]
Fixed rate commitments - interest rates	18.00%	18.00%
Maximum [Member] | Risk Participation Agreements Two [Member]
Risk participation agreement term	20 years

FAIR VALUE OF ASSETS AND LIABLI

FAIR VALUE OF ASSETS AND LIABLITIES (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Available for sale securities	$ 253,748
Marketable equity securities	6,408
Interest rate swaps - Liabilities	1,259	$ 2,152
Fair Value Level 1 [Member]
Marketable equity securities	6,408
Fair Value Level 2 [Member]
Interest rate swaps - Liabilities	1,259	2,152
Recurring [Member]
Marketable equity securities	6,408
Total assets	260,156	288,416
Interest rate swaps - Liabilities	1,259	2,152
Recurring [Member] | Government-Sponsored Mortgage-Backed Securities [Member]
Available for sale securities	159,351	182,001
Recurring [Member] | US Government Guaranteed Mortgage-Backed Securities [Member]
Available for sale securities	19,338	16,254
Recurring [Member] | Corporate Bonds [Member]
Available for sale securities	48,168	56,144
Recurring [Member] | States and Municipal Bonds [Member]
Available for sale securities	2,944	3,239
Recurring [Member] | Government-Sponsored Enterprise Obligations [Member]
Available for sale securities	23,947	24,381
Recurring [Member] | Mutual Funds [Member]
Mutual funds		6,397
Recurring [Member] | Fair Value Level 1 [Member]
Marketable equity securities	6,408
Total assets	6,408	6,397
Recurring [Member] | Fair Value Level 1 [Member] | Mutual Funds [Member]
Mutual funds		6,397
Recurring [Member] | Fair Value Level 2 [Member]
Total assets	253,748	282,019
Interest rate swaps - Liabilities	1,259	2,152
Recurring [Member] | Fair Value Level 2 [Member] | Government-Sponsored Mortgage-Backed Securities [Member]
Available for sale securities	159,351	182,001
Recurring [Member] | Fair Value Level 2 [Member] | US Government Guaranteed Mortgage-Backed Securities [Member]
Available for sale securities	19,338	16,254
Recurring [Member] | Fair Value Level 2 [Member] | Corporate Bonds [Member]
Available for sale securities	48,168	56,144
Recurring [Member] | Fair Value Level 2 [Member] | States and Municipal Bonds [Member]
Available for sale securities	2,944	3,239
Recurring [Member] | Fair Value Level 2 [Member] | Government-Sponsored Enterprise Obligations [Member]
Available for sale securities	$ 23,947	$ 24,381

FAIR VALUE OF ASSETS AND LIAB_3

FAIR VALUE OF ASSETS AND LIABLITIES (Details 1) - Nonrecurring [Member] - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Impaired Loans [Member]
Total losses	$ 612	$ 256
Fair Value Inputs Level 3 [Member]
Impaired loans	$ 1,676	$ 1,495

FAIR VALUE OF ASSETS AND LIAB_4

FAIR VALUE OF ASSETS AND LIABLITIES (Details 2) - USD ($) $ in Thousands	Dec. 31, 2018		Dec. 31, 2017
Assets:
Cash and cash equivalents	$ 26,789		$ 27,132
Securities available-for-sale	253,748	[1]	288,416
Marketable equity securities	6,408
Federal Home Loan Bank of Boston and other restricted stock	14,695		15,553
Loans - net	1,684,804		1,619,850
Accrued interest receivable	5,652		5,946
Mortgage servicing rights	286		352
Liabilities:
Deposits	1,595,993		1,506,082
Short-term borrowings	59,250		144,650
Long-term debt	208,018		164,786
Accrued interest payable	530		441
Derivative liabilities	1,259		2,152
Fair Value Level 1 [Member]
Assets:
Cash and cash equivalents	26,789		27,132
Securities available-for-sale			6,397
Marketable equity securities	6,408
Fair Value Level 2 [Member]
Assets:
Securities available-for-sale	253,748		282,019
Mortgage servicing rights	456		528
Liabilities:
Short-term borrowings	59,247		144,650
Long-term debt	206,789		164,016
Derivative liabilities	1,259		2,152
Fair Value Level 3 [Member]
Assets:
Federal Home Loan Bank of Boston and other restricted stock	14,695		15,553
Loans - net	1,631,558		1,581,929
Accrued interest receivable	5,652		5,946
Liabilities:
Deposits	1,592,521		1,503,311
Accrued interest payable	530		441
Carrying Value [Member]
Assets:
Cash and cash equivalents	26,789		27,132
Securities available-for-sale	253,748		288,416
Marketable equity securities	6,408
Federal Home Loan Bank of Boston and other restricted stock	14,695		15,553
Loans - net	1,631,558		1,581,929
Accrued interest receivable	5,652		5,946
Mortgage servicing rights	456		528
Liabilities:
Deposits	1,592,521		1,503,311
Short-term borrowings	59,247		144,650
Long-term debt	206,789		164,016
Accrued interest payable	530		441
Derivative liabilities	$ 1,259		$ 2,152
[1]	Does not include investments in restricted stock consisting of $14.7 million and $15.6 million at December 31, 2018 and December 31, 2017, respectively.

CONDENSED PARENT COMPANY FINA_3

CONDENSED PARENT COMPANY FINANCIAL STATEMENTS (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
ASSETS:
Other assets	$ 6,803	$ 8,422
Total Assets	2,118,822	2,083,070
LIABILITIES:
Other liabilities	18,311	19,967
EQUITY	237,029	247,281	$ 238,396	$ 139,466
TOTAL LIABILITIES AND EQUITY	2,118,822	2,083,070
Parent Company [Member]
ASSETS:
Cash equivalents	74	120
Investment in subsidiaries	225,238	237,056
ESOP loan receivable	6,419	7,135
Other assets	12,164	10,529
Total Assets	243,895	254,840
LIABILITIES:
ESOP loan payable	6,419	7,135
Other liabilities	447	424
EQUITY	237,029	247,281
TOTAL LIABILITIES AND EQUITY	$ 243,895	$ 254,840

CONDENSED PARENT COMPANY FINA_4

CONDENSED PARENT COMPANY FINANCIAL STATEMENTS (Details 1) - USD ($) $ in Thousands	3 Months Ended												12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017		Sep. 30, 2017		Jun. 30, 2017		Mar. 31, 2017		Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
INCOME:
Gain on sales of securities, net													$ (281)	$ 52	$ 1,139
OPERATING EXPENSE:
Salaries and employee benefits													25,982	25,431	17,386
Income before equity in undistributed income of subsidiaries and income taxes	$ 5,065	$ 4,979	$ 6,502	$ 4,562	$ 5,475		$ 5,852		$ 5,172		$ 5,250		21,108	21,748	7,403
Income tax benefit	1,223	1,070	1,364	1,043	5,828	[1]	2,037	[1]	1,416	[1]	147	[1]	4,700	9,428	2,569
Net income	$ 3,842	$ 3,909	$ 5,138	$ 3,519	$ (353)		$ 3,815		$ 3,756		$ 5,103		16,408	12,320	4,834
Parent Company [Member]
INCOME:
Dividends from subsidiaries													28,712	8,561	3,499
Interest income from securities															32
ESOP loan interest income													571	629	670
Gain on sales of securities, net															451
Other income													1	4
Total income													29,284	9,194	4,652
OPERATING EXPENSE:
Salaries and employee benefits													1,837	1,646	926
ESOP interest													571	629	670
Other expenses													286	298	507
Total operating expense													2,694	2,573	2,103
Income before equity in undistributed income of subsidiaries and income taxes													26,590	6,621	2,549
Equity in undistributed (loss) income of subsidiaries													(10,717)	4,188	1,955
Net income before taxes													15,873	10,809	4,504
Income tax benefit													(535)	(1,511)	(330)
Net income													$ 16,408	$ 12,320	$ 4,834
[1]	Increase in the quarter ended December 31, 2017 is due to the enactment of the Tax Act on December 22, 2017.

CONDENSED PARENT COMPANY FINA_5

CONDENSED PARENT COMPANY FINANCIAL STATEMENTS (Details 2) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
OPERATING ACTIVITIES:
Net income	$ 3,842	$ 3,909	$ 5,138	$ 3,519	$ (353)	$ 3,815	$ 3,756	$ 5,103	$ 16,408	$ 12,320	$ 4,834
Gain on sales of securities, net									281	(52)	(1,139)
Change in other liabilities									1,811	(1,318)	(6,494)
Change in other assets									1,628	(3,549)	(1,564)
Net cash provided by operating activities									24,638	18,861	930
INVESTING ACTIVITIES:
Sales of securities									12,470	22,453	136,829
Net cash (used in) provided by investing activities									(45,745)	(55,972)	33,746
FINANCING ACTIVITIES:
Cash dividends paid									(4,641)	(3,579)	(2,439)
Common stock repurchased									(22,920)	(9,314)	(1,378)
Excess tax benefit from share-based compensation											144
Issuance of common stock in connection with stock option exercises									114	5,465	1,971
Net cash provided by (used in) financing activities									20,764	(5,991)	21,855
NET CHANGE IN CASH AND CASH EQUIVALENTS									(343)	(43,102)	56,531
Parent Company [Member]
OPERATING ACTIVITIES:
Net income									16,408	12,320	4,834
Equity in undistributed loss (income) of subsidiaries									10,717	(4,188)	(1,955)
Gain on sales of securities, net											(451)
Change in other liabilities									(610)	(833)	(597)
Change in other assets									(919)	(2,330)	(271)
Other, net									1,805	1,607	1,049
Net cash provided by operating activities									27,401	6,576	2,609
INVESTING ACTIVITIES:
Purchase of securities									(127)	(106)	(116)
Sales of securities									127	106	116
FINANCING ACTIVITIES:
Cash dividends paid									(4,641)	(3,579)	(2,439)
Common stock repurchased									(22,920)	(9,314)	(1,378)
Excess tax benefit from share-based compensation											156
Issuance of common stock in connection with stock option exercises									114	5,465	1,971
Net cash provided by (used in) financing activities									(27,447)	(7,428)	(1,690)
NET CHANGE IN CASH AND CASH EQUIVALENTS									(46)	(852)	919
CASH AND CASH EQUIVALENTS
Beginning of year				$ 120				$ 972	120	972	53
End of year	$ 74				$ 120				74	120	972
Supplemental cash flow information:
Net change in cash due to broker for common stock repurchased									$ (83)	$ (151)	$ 455

SUMMARY OF QUARTERLY FINANCIA_3

SUMMARY OF QUARTERLY FINANCIAL INFORMATION (UNAUDITED) (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended												12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017		Sep. 30, 2017		Jun. 30, 2017		Mar. 31, 2017		Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Quarterly Financial Information Disclosure [Abstract]
Interest and dividend income	$ 20,189	$ 19,605	$ 20,464	$ 18,732	$ 19,239		$ 18,516		$ 18,327		$ 17,957
Interest expense	5,369	5,000	4,599	4,010	3,887		3,720		3,584		3,454		$ 18,978	$ 14,645	$ 11,285
Total interest and dividend income	14,820	14,605	15,865	14,722	15,352		14,796		14,743		14,503		78,990	74,039	48,598
Provision for loan losses	300	350	750	500	510		200		350		350
Gain (loss) on disposal of other real estate owned				48	(58)		67
Gain (loss) on sales of securities, net	(31)		(49)	(201)			70		46		(64)				12
Unrealized (losses) gains on marketable equity securities	48	(43)	(41)	(106)									(142)
Swap fee income			131				111				116
Bank-owned life insurance death benefit			715										715
Other non-interest income	2,221	2,339	2,177	2,025	2,055		2,164		2,029		1,965
Non-interest income	2,238	2,296	2,933	1,766	1,997		2,412		2,075		2,017		9,233	8,501	5,971
Non-interest expense	11,693	11,572	11,546	11,426	11,364		11,156		11,296		10,970		46,237	44,787	35,306
Income before income taxes	5,065	4,979	6,502	4,562	5,475		5,852		5,172		5,250		21,108	21,748	7,403
Income tax provision	1,223	1,070	1,364	1,043	5,828	[1]	2,037	[1]	1,416	[1]	147	[1]	4,700	9,428	2,569
Net income (loss)	$ 3,842	$ 3,909	$ 5,138	$ 3,519	$ (353)		$ 3,815		$ 3,756		$ 5,103		$ 16,408	$ 12,320	$ 4,834
Basic earnings per share (in dollars per share)	$ 0.14	$ 0.14	$ 0.18	$ 0.12	$ (0.01)		$ 0.13		$ 0.13		$ 0.17		$ 0.57	$ 0.41	$ 0.25
Diluted earnings per share (in dollars per share)	$ 0.14	$ 0.14	$ 0.18	$ 0.12	$ (0.01)		$ 0.13		$ 0.12		$ 0.17		$ 0.57	$ 0.41	$ 0.24
[1]	Increase in the quarter ended December 31, 2017 is due to the enactment of the Tax Act on December 22, 2017.

SUBSEQUENT EVENTS (Details Narr

SUBSEQUENT EVENTS (Details Narrative) - Subsequent Event [Member] $ / shares in Units, $ in Thousands	2 Months Ended
	Mar. 13, 2019USD ($)$ / sharesshares
Shares repurchased under plan | shares	1,492,705
Average repurchase price | $ / shares	$ 9.92
Decrease in shareholders' equity | $	$ 14,800