Western New England Bancorp (WNEB) 10-Q 6 Nov 20 2020 Q3 Quarterly report Financial data

Cover

Cover - shares	9 Months Ended
	Sep. 30, 2020	Nov. 03, 2020
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Quarterly Report	true
Document Transition Report	false
Document Period End Date	Sep. 30, 2020
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2020
Current Fiscal Year End Date	--12-31
Entity File Number	001-16767
Entity Registrant Name	Western New England Bancorp, Inc.
Entity Central Index Key	0001157647
Entity Tax Identification Number	73-1627673
Entity Incorporation, State or Country Code	MA
Entity Address, Address Line One	141 Elm Street
Entity Address, City or Town	Westfield
Entity Address, State or Province	MA
Entity Address, Postal Zip Code	01086
City Area Code	413
Local Phone Number	568-1911
Title of 12(b) Security	Common Stock, $0.01 par value per share
Trading Symbol	WNEB
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		25,527,199

CONSOLIDATED BALANCE SHEETS - U

CONSOLIDATED BALANCE SHEETS - UNAUDITED - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
ASSETS
Cash and due from banks	$ 16,463	$ 16,640
Federal funds sold	3,278	1,635
Interest-bearing deposits and other short-term investments	152,371	6,466
Cash and cash equivalents	172,112	24,741
Securities available-for-sale, at fair value	191,569	227,708
Marketable equity securities, at fair value	6,965	6,737
Federal Home Loan Bank stock and other restricted stock, at cost	9,252	14,477
Loans, net of allowance for loan losses of $20,692 and $14,102 at September 30, 2020 and December 31, 2019, respectively	1,953,695	1,761,932
Premises and equipment, net	25,118	23,763
Accrued interest receivable	7,737	5,313
Bank-owned life insurance	72,416	71,051
Deferred tax asset, net	8,022	9,161
Goodwill	12,487	12,487
Core deposit intangible	3,031	3,312
Other assets	24,384	20,794
Total Assets	2,486,788	2,181,476
Deposits:
Non-interest-bearing	535,176	393,303
Interest-bearing	1,476,115	1,284,561
Total deposits	2,011,291	1,677,864
Short-term borrowings		35,000
Long-term debt	151,258	205,515
Securities pending settlement	57,226
Other liabilities	36,792	31,073
Total liabilities	2,256,567	1,949,452
SHAREHOLDERS’ EQUITY:
Preferred stock - $0.01 par value, 5,000,000 shares authorized, none outstanding at September 30, 2020 and December 31, 2019
Common stock - $0.01 par value, 75,000,000 shares authorized, 25,595,557 shares issued and outstanding at September 30, 2020; 26,557,981 shares issued and outstanding at December 31, 2019	256	266
Additional paid-in capital	156,815	164,248
Unearned compensation - ESOP	(4,141)	(4,574)
Unearned compensation - Equity Incentive Plan	(1,460)	(1,124)
Retained earnings	84,587	82,176
Accumulated other comprehensive loss	(5,836)	(8,968)
TOTAL SHAREHOLDERS’ EQUITY	230,221	232,024
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY	$ 2,486,788	$ 2,181,476

CONSOLIDATED BALANCE SHEETS -_2

CONSOLIDATED BALANCE SHEETS - UNAUDITED (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Statement of Financial Position [Abstract]
Allowance for loan losses	$ 20,692	$ 14,102
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	25,595,557	26,557,981
Common stock, outstanding	25,595,557	26,557,981

CONSOLIDATED STATEMENTS OF NET

CONSOLIDATED STATEMENTS OF NET INCOME - UNAUDITED - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Interest and dividend income:
Residential and commercial real estate loans	$ 15,503	$ 15,831	$ 46,290	$ 45,948
Commercial and industrial loans	3,786	3,195	10,582	9,269
Consumer loans	75	85	238	254
Debt securities, taxable	909	1,406	3,371	4,606
Debt securities, tax-exempt	16	17	51	55
Marketable equity securities	28	42	95	124
Other investments	118	192	457	638
Short-term investments	12	36	83	185
Total interest and dividend income	20,447	20,804	61,167	61,079
Interest expense:
Deposits	3,190	4,454	11,243	12,790
Long-term debt	789	1,102	2,677	3,292
Short-term borrowings	478	720	1,612	1,942
Total interest expense	4,457	6,276	15,532	18,024
Net interest and dividend income	15,990	14,528	45,635	43,055
Provision for loan losses	2,725	1,275	7,275	1,675
Net interest and dividend income after provision for loan losses	13,265	13,253	38,360	41,380
Non-interest income:
Service charges and fees	1,764	2,018	5,097	5,501
Income from bank-owned life insurance	444	444	1,365	1,347
Gain (loss) on available-for-sale securities, net	1,929	49	1,965	(12)
Unrealized (loss) gain on marketable equity securities, net	(4)	45	133	194
Loss on interest rate swap termination	(2,353)		(2,353)
Other income	397	55	582	270
Total non-interest income	2,177	2,611	6,789	7,300
Non-interest expense:
Salaries and employees benefits	7,204	6,893	21,543	20,549
Occupancy	1,120	975	3,359	3,144
Furniture and equipment	421	424	1,175	1,256
Data processing	768	710	2,190	2,077
Professional fees	615	546	1,851	1,858
FDIC insurance assessment	293	5	732	417
Advertising	326	364	797	1,098
Other expenses	2,106	1,823	5,765	5,504
Total non-interest expense	12,853	11,740	37,412	35,903
Income before income taxes	2,589	4,124	7,737	12,777
Income tax provision	488	899	1,535	2,864
Net income	$ 2,101	$ 3,225	$ 6,202	$ 9,913
Earnings per common share:
Basic earnings per share	$ 0.08	$ 0.12	$ 0.25	$ 0.38
Weighted average shares outstanding	24,945,670	25,854,040	25,145,411	26,308,580
Diluted earnings per share	$ 0.08	$ 0.12	$ 0.25	$ 0.38
Weighted average diluted shares outstanding	24,945,670	25,969,365	25,163,005	26,423,229

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - UNAUDITED - USD ($) $ in Thousands		3 Months Ended		9 Months Ended
		Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Income Statement [Abstract]
Net income		$ 2,101	$ 3,225	$ 6,202	$ 9,913
Unrealized (loss) gains on available-for-sale securities:
Unrealized holding (loss) gains		(1,059)	1,439	3,490	9,133
Reclassification adjustment for net (gains) losses realized in income	[1]	(1,929)	(49)	(1,965)	12
Unrealized losses		(2,988)	1,390	1,525	9,145
Tax effect		746	(350)	(367)	(2,330)
Net-of-tax amount		(2,242)	1,040	1,158	6,815
Cash flow hedges:
Change in fair value of derivatives used for cash flow hedges		(14)	(142)	(1,254)	(1,053)
Reclassification adjustment for loss realized in income for interest rate swap termination		2,353		2,353
Reclassification adjustment for loss realized in interest expense	[2]	257	105	674	257
Reclassification adjustment for termination fee realized in interest expense	[3]	186	269	677	799
Unrealized gains on cash flow hedges		2,782	232	2,450	3
Tax effect		(782)	(65)	(689)	(1)
Net-of-tax amount		2,000	167	1,761	2
Defined benefit pension plan:
Amortization of defined benefit plan actuarial loss	[4]	99	32	296	96
Tax effect		(28)	(10)	(83)	(28)
Net-of-tax amount		71	22	213	68
Other comprehensive income (loss)		(171)	1,229	3,132	6,885
Comprehensive income		$ 1,930	$ 4,454	$ 9,334	$ 16,798
[1]	Realized gains and losses on available-for-sale securities are recognized as a component of non-interest income. The tax effects applicable to net realized gains and losses were $ 494,000 14,000 502,000 (3,000
[2]	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 adjustments were $ 72,000 30,000 189,000 72,000
[3]	Termination fee realized in interest expense on derivative instruments is recognized as a component of interest expense on long-term borrowings. Income tax effects associated with the reclassification adjustments were $ 52,000 76,000 190,000 225,000
[4]	Amounts represent the reclassification of defined benefit plan amortization and have been recognized as a component of non-interest expense. Income tax effects associated with the reclassification adjustments were $ 28,000 10,000 83,000 28,000

CONSOLIDATED STATEMENTS OF CO_2

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - UNAUDITED (Parenthetical) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Income Statement [Abstract]
Income tax expense (benefits) on realized gains and losses on available-for-sale securities	$ 494,000	$ 14,000	$ 502,000	$ (3,000)
Income tax benefit on derivative instruments	72,000	30,000	189,000	72,000
Income tax benefit on termination fee on derivative instruments	52,000	76,000	190,000	225,000
Income tax benefit, defined benefit plans	$ 28,000	$ 10,000	$ 83,000	$ 28,000

CONSOLIDATED STATEMENTS OF CHAN

CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY - UNAUDITED - USD ($) $ in Thousands	Common Stock [Member]	Additional Paid-in Capital [Member]	Unearned Compensation - ESOP [Member]	Deferred Compensation, Share-based Payments [Member]	Retained Earnings [Member]	AOCI Attributable to Parent [Member]	Total
Beginning balance, value at Dec. 31, 2018	$ 284	$ 182,096	$ (5,171)	$ (872)	$ 74,108	$ (13,416)	$ 237,029
Beginning balance, shares at Dec. 31, 2018	28,393,348
Comprehensive income					3,430	3,212	6,642
Common stock held by ESOP committed to be released (88,117 shares)		60	149				209
Share-based compensation - equity incentive plan		(45)		240			195
Common stock repurchased	$ (15)	(15,432)					(15,447)
Common stock repurchased (in shares)	(1,555,352)
Issuance of common stock in connection with equity incentive plan	$ 1	1,069		(1,070)
Issuance of common stock in connection with equity incentive plan (shares)	102,883
Cash dividends declared and paid on common stock ($0.05 per share)					(1,375)		(1,375)
Ending balance, value at Mar. 31, 2019	$ 270	167,812	(5,022)	(1,702)	76,156	(10,197)	227,317
Ending balance, shares at Mar. 31, 2019	26,953,429
Cumulative-effect adjustment due to change in accounting principle (ASU 2017-08)					(7)	7
Issuance of common stock in connection with stock option exercises		64					64
Issuance of common stock in connection with stock option exercises (shares)	12,550
Beginning balance, value at Dec. 31, 2018	$ 284	182,096	(5,171)	(872)	74,108	(13,416)	237,029
Beginning balance, shares at Dec. 31, 2018	28,393,348
Comprehensive income							16,798
Ending balance, value at Sep. 30, 2019	$ 266	164,251	(4,723)	(1,317)	80,028	(6,524)	231,981
Ending balance, shares at Sep. 30, 2019	26,561,742
Beginning balance, value at Mar. 31, 2019	$ 270	167,812	(5,022)	(1,702)	76,156	(10,197)	227,317
Beginning balance, shares at Mar. 31, 2019	26,953,429
Comprehensive income					3,257	2,444	5,701
Common stock held by ESOP committed to be released (88,117 shares)		61	149				210
Share-based compensation - equity incentive plan				198			198
Common stock repurchased	$ (3)	(2,394)					(2,397)
Common stock repurchased (in shares)	(249,961)
Cash dividends declared and paid on common stock ($0.05 per share)					(1,313)		(1,313)
Ending balance, value at Jun. 30, 2019	$ 267	165,479	(4,873)	(1,504)	78,100	(7,753)	229,716
Ending balance, shares at Jun. 30, 2019	26,703,468
Comprehensive income					3,225	1,229	4,454
Common stock held by ESOP committed to be released (88,117 shares)		55	150				205
Share-based compensation - equity incentive plan				187			187
Common stock repurchased	$ (1)	(1,283)					(1,284)
Common stock repurchased (in shares)	(141,726)
Cash dividends declared and paid on common stock ($0.05 per share)					(1,297)		(1,297)
Ending balance, value at Sep. 30, 2019	$ 266	164,251	(4,723)	(1,317)	80,028	(6,524)	231,981
Ending balance, shares at Sep. 30, 2019	26,561,742
Beginning balance, value at Dec. 31, 2019	$ 266	164,248	(4,574)	(1,124)	82,176	(8,968)	232,024
Beginning balance, shares at Dec. 31, 2019	26,557,981
Comprehensive income					2,080	2,700	4,780
Common stock held by ESOP committed to be released (88,117 shares)		47	144				191
Share-based compensation - equity incentive plan				182			182
Forfeited equity incentive plan shares reissued (18,645 shares)		(186)		186
Common stock repurchased	$ (11)	(8,069)					(8,080)
Common stock repurchased (in shares)	(1,015,055)
Issuance of common stock in connection with equity incentive plan	$ 1	1,093		(1,094)
Issuance of common stock in connection with equity incentive plan (shares)	101,408
Cash dividends declared and paid on common stock ($0.05 per share)					(1,288)		(1,288)
Ending balance, value at Mar. 31, 2020	$ 256	157,133	(4,430)	(1,850)	82,968	(6,268)	227,809
Ending balance, shares at Mar. 31, 2020	25,644,334
Beginning balance, value at Dec. 31, 2019	$ 266	164,248	(4,574)	(1,124)	82,176	(8,968)	232,024
Beginning balance, shares at Dec. 31, 2019	26,557,981
Comprehensive income							9,334
Ending balance, value at Sep. 30, 2020	$ 256	156,815	(4,141)	(1,460)	84,587	(5,836)	230,221
Ending balance, shares at Sep. 30, 2020	25,595,557
Beginning balance, value at Mar. 31, 2020	$ 256	157,133	(4,430)	(1,850)	82,968	(6,268)	227,809
Beginning balance, shares at Mar. 31, 2020	25,644,334
Comprehensive income					2,021	603	2,624
Common stock held by ESOP committed to be released (88,117 shares)		(1)	144				143
Share-based compensation - equity incentive plan				195			195
Cash dividends declared and paid on common stock ($0.05 per share)					(1,251)		(1,251)
Ending balance, value at Jun. 30, 2020	$ 256	157,132	(4,286)	(1,655)	83,738	(5,665)	229,520
Ending balance, shares at Jun. 30, 2020	25,644,334
Comprehensive income					2,101	(171)	1,930
Common stock held by ESOP committed to be released (88,117 shares)		(34)	145				111
Share-based compensation - equity incentive plan				195			195
Common stock repurchased		(283)					(283)
Common stock repurchased (in shares)	(48,777)
Cash dividends declared and paid on common stock ($0.05 per share)					(1,252)		(1,252)
Ending balance, value at Sep. 30, 2020	$ 256	$ 156,815	$ (4,141)	$ (1,460)	$ 84,587	$ (5,836)	$ 230,221
Ending balance, shares at Sep. 30, 2020	25,595,557

CONSOLIDATED STATEMENTS OF CH_2

CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY - UNAUDITED (Parenthetical) - $ / shares	3 Months Ended
	Sep. 30, 2020	Jun. 30, 2020	Mar. 31, 2020	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019
Statement of Stockholders' Equity [Abstract]
Common stock held by ESOP committed to be released (shares)	85,101	85,101	85,101	88,117	88,117	88,117
Forfeited equity incentive plan shares reissued			18,645
Cash dividends declared and paid on common stock (per share)	$ 0.05	$ 0.05	$ 0.05	$ 0.05	$ 0.05	$ 0.05

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - UNAUDITED - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019
OPERATING ACTIVITIES:
Net income	$ 6,202	$ 9,913
Adjustments to reconcile net income to net cash provided by operating activities:
Provision for loan losses	7,275	1,675
Depreciation and amortization of premises and equipment	1,560	1,579
Accretion of purchase accounting adjustments, net	(16)	(67)
Amortization of core deposit intangible	281	282
Net amortization of premiums and discounts on securities and mortgage loans	1,908	1,563
Share-based compensation expense	572	580
ESOP expense	445	624
Net change in unrealized gains on marketable equity securities	(133)	(194)
Net (gain) loss on available-for-sale securities	(1,965)	12
Income from bank-owned life insurance	(1,365)	(1,347)
Net change in:
Accrued interest receivable	(2,424)	192
Other assets	(239)	(1,825)
Other liabilities	5,114	6,443
Net cash provided by operating activities	17,215	19,430
INVESTING ACTIVITIES:
Purchases	(70,422)	(54,138)
Proceeds from redemptions and sales	96,320	57,418
Proceeds from calls, maturities, and principal collections	69,060	26,761
Loan originations and principal payments, net	(199,289)	(55,312)
Redemption of Federal Home Loan Bank of Boston stock	5,225	1,631
Purchases of premises and equipment	(3,011)	(1,001)
Proceeds from sale of premises and equipment	66	27
Net cash used in investing activities	(102,051)	(24,614)
FINANCING ACTIVITIES:
Net increase in deposits	333,464	73,585
Net change in short-term borrowings	(35,000)	(24,250)
Repayment of long-term debt	(100,639)	(58,036)
Proceeds from long-term debt	46,417	55,765
Cash dividends paid	(3,791)	(3,985)
Common stock repurchased	(8,244)	(19,349)
Issuance of common stock in connection with stock option exercises		64
Net cash provided by financing activities	232,207	23,794
NET CHANGE IN CASH AND CASH EQUIVALENTS:	147,371	18,610
Beginning of period	24,741	26,789
End of period	172,112	45,399
Supplemental cash flow information:
Net change in cash due to broker	57,226	(221)
Interest paid	15,773	18,047
Taxes paid	$ 6,213	$ 3,017

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	9 Months Ended
	Sep. 30, 2020
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 25 Wholly-owned Subsidiaries of the Bank Principles of Consolidation Estimates Basis of Presentation These unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements as of and for the year ended December 31, 2019, included in our Annual Report on Form 10-K for the year ended December 31, 2019 (the "2019 Annual Report”). Reclassifications

EARNINGS PER SHARE

EARNINGS PER SHARE	9 Months Ended
	Sep. 30, 2020
Earnings per common share:
EARNINGS PER SHARE	2. EARNINGS PER SHARE Basic earnings per share represents income available to common shareholders divided by the weighted-average number of common shares outstanding during the period. If rights to dividends on unvested awards are non-forfeitable, these unvested awards are considered outstanding in the computation of basic earnings per share. Diluted earnings per share reflect additional common shares that would have been outstanding if dilutive potential common shares had been issued, as well as any adjustment to income that would result from the assumed issuance. Potential common shares that may be issued by us relate to stock options and certain performance-based restricted stock awards and are determined using the treasury stock method. Unallocated ESOP shares are not deemed outstanding for earnings per share calculations. Earnings per common share for the three and nine months ended September 30, 2020 and 2019 have been computed based on the following: Three Months Ended Nine Months Ended September 30, September 30, 2020 2019 2020 2019 (In thousands, except per share data) Net income applicable to common stock $ 2,101 $ 3,225 $ 6,202 $ 9,913 Average number of common shares issued 25,641 26,621 25,859 27,092 Less: Average unallocated ESOP Shares (569 ) (656 ) (590 ) (678 ) Less: Average unvested performance-based equity incentive plan shares (126 ) (111 ) (123 ) (106 ) Average number of common shares outstanding used to calculate basic earnings per common share 24,946 25,854 25,146 26,308 Effect of dilutive performance-based equity incentive plan — 47 — 42 Effect of dilutive stock options — 68 18 73 Average number of common shares outstanding used to calculate diluted earnings per common share 24,946 25,969 25,164 26,423 Basic earnings per share $ 0.08 $ 0.12 $ 0.25 $ 0.38 Diluted earnings per share $ 0.08 $ 0.12 $ 0.25 $ 0.38 Anti-dilutive shares (1) 344 — 344 — (1) Shares outstanding but not included because the impact of these shares would be anti-dilutive to the earnings per share calculation for the periods presented.

COMPREHENSIVE INCOME (LOSS)

COMPREHENSIVE INCOME (LOSS)	9 Months Ended
	Sep. 30, 2020
Equity [Abstract]
COMPREHENSIVE INCOME (LOSS)	3. 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: September 30, 2020 December 31, 2019 (In thousands) Net unrealized gains (losses) on securities available-for-sale $ 1,132 $ (393 ) Tax effect (296 ) 71 Net-of-tax amount 836 (322 ) Fair value of derivatives used for cash flow hedges — (1,773 ) Termination fee on cancelled cash flow hedges (849 ) (1,526 ) Total derivatives (849 ) (3,299 ) Tax effect 239 928 Net-of-tax amount (610 ) (2,371 ) Unrecognized actuarial loss on the defined benefit plan (8,432 ) (8,728 ) Tax effect 2,370 2,453 Net-of-tax amount (6,062 ) (6,275 ) Accumulated other comprehensive loss $ (5,836 ) $ (8,968 ) The following table presents changes in accumulated other comprehensive loss for the periods ended September 30, 2020 and 2019 by component Securities Derivatives Defined Benefit Accumulated (In thousands) Balance at December 31, 2018 $ (7,400 ) $ (2,770 ) $ (3,246 ) $ (13,416 ) Cumulative-effect adjustment due to change in accounting principle (ASU 2017-08) 7 — — 7 Current-period other comprehensive income 6,815 2 68 6,885 Balance at September 30, 2019 $ (578 ) $ (2,768 ) $ (3,178 ) $ (6,524 ) Balance at December 31, 2019 $ (322 ) $ (2,371 ) $ (6,275 ) $ (8,968 ) Current-period other comprehensive income 1,158 1,761 213 3,132 Balance at September 30, 2020 $ 836 $ (610 ) $ (6,062 ) $ (5,836 )

SECURITIES

SECURITIES	9 Months Ended
	Sep. 30, 2020
Investments, Debt and Equity Securities [Abstract]
SECURITIES	4. SECURITIES Available-for-sale securities are summarized as follows September 30, 2020 Amortized Cost Gross Gross Fair Value (In thousands) Available-for-sale securities: Debt securities: Government-sponsored enterprise obligations $ 4,973 $ — $ (23 ) $ 4,950 State and municipal bonds 684 3 — 687 Corporate bonds 3,043 — (73 ) 2,970 Total debt securities 8,700 3 (96 ) 8,607 Mortgage-backed securities: Government-sponsored mortgage-backed securities 159,151 1,640 (201 ) 160,590 U.S. government guaranteed mortgage-backed securities 22,586 62 (276 ) 22,372 Total mortgage-backed securities 181,737 1,702 (477 ) 182,962 Total available-for-sale $ 190,437 $ 1,705 $ (573 ) $ 191,569 December 31, 2019 Amortized Cost Gross Gross Fair Value (In thousands) Available-for-sale securities: Debt securities: Government-sponsored enterprise obligations $ 20,150 $ — $ (136 ) $ 20,014 State and municipal bonds 2,718 95 — 2,813 Corporate bonds 7,800 88 (22 ) 7,866 Total debt securities 30,668 183 (158 ) 30,693 Mortgage-backed securities: Government-sponsored mortgage-backed securities 186,236 780 (1,015 ) 186,001 U.S. government guaranteed mortgage-backed securities 11,197 33 (216 ) 11,014 Total mortgage-backed securities 197,433 813 (1,231 ) 197,015 Total available-for-sale $ 228,101 $ 996 $ (1,389 ) $ 227,708 At September 30, 2020, mortgage-backed securities with a fair value $ 71.7 million The amortized cost and fair value of available-for-sale debt securities at September 30, 2020, 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 paydowns, they are not included in the maturity categories in the following maturity summary September 30, 2020 Amortized Cost Fair Value (In thousands) Available-for-sale securities: Debt securities: Due after one year through five years $ 3,727 $ 3,657 Due after ten years 4,973 4,950 Total debt securities 8,700 8,607 Mortgage-backed securities 181,737 182,962 Total available-for-sale securities $ 190,437 $ 191,569 Gross realized gains and losses on sales of available-for-sale securities for the three and nine months ended September 30, 2020 and 2019 are as follows Three Months Ended Nine Months Ended September 30, September 30, 2020 2019 2020 2019 (In thousands) Gross gains realized $ 1,944 $ 49 $ 2,187 $ 148 Gross losses realized (15 ) — (222 ) (160 ) Net loss realized $ 1,929 $ 49 $ 1,965 $ (12 ) Proceeds from the sale and redemption of available-for-sale securities amounted to $ 96.3 million 57.4 million Information pertaining to securities with gross unrealized losses at September 30, 2020 and December 31, 2019, aggregated by investment category and length of time that individual securities have been in a continuous loss position are as follows September 30, 2020 Less Than 12 Months Over 12 Months Gross Fair Value Gross Fair Value (In thousands) Available-for-sale: Government sponsored mortgage backed securities $ 147 $ 20,043 $ 54 $ 2,164 U.S. government guaranteed mortgage-backed securities 172 16,198 104 2,737 Corporate bonds 73 2,970 — — Government-sponsored enterprise obligations 23 4,950 — — Total available-for-sale $ 415 $ 44,161 $ 158 $ 4,901 December 31, 2019 Less Than 12 Months Over 12 Months Gross Fair Value Gross Fair Value (In thousands) Available-for-sale: Government-sponsored mortgage-backed securities $ 122 $ 42,834 $ 893 $ 70,581 U.S. government guaranteed mortgage-backed securities 13 2,783 203 4,688 Corporate bonds 16 1,623 6 3,046 Government-sponsored enterprise obligations 126 14,524 10 1,490 Total available-for-sale $ 277 $ 61,764 $ 1,112 $ 79,805 During the nine months ended September 30, 2020 and year ended December 31, 2019, the Company did not record any fair value impairment charges on its investments. Management regularly reviews the portfolio for securities with unrealized losses. At September 30, 2020, management did not consider any 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 government-sponsored mortgage-backed securities and 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.

LOANS AND ALLOWANCE FOR LOAN LO

LOANS AND ALLOWANCE FOR LOAN LOSSES	9 Months Ended
	Sep. 30, 2020
Receivables [Abstract]
LOANS AND ALLOWANCE FOR LOAN LOSSES	5. LOANS AND ALLOWANCE FOR LOAN LOSSES Major classifications of loans at the periods indicated were as follows: September 30, December 31, 2020 2019 (In thousands) Commercial real estate $ 812,139 $ 816,886 Residential real estate: Residential 1-4 family 608,350 597,727 Home equity 104,019 102,517 Commercial and industrial Paycheck protection program (“PPP”) loans 223,104 — Commercial and industrial 222,290 248,893 Consumer 5,541 5,747 Total gross loans 1,975,443 1,771,770 Unamortized PPP loan fees (4,810 ) — Unearned premiums and deferred loan fees and costs, net 3,754 4,264 Allowance for loan losses (20,692 ) (14,102 ) Net loans $ 1,953,695 $ 1,761,932 There were no purchases of loans during the nine months ended September 30, 2020 and year ended December 31, 2019. 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 with participating lenders, on a pro-rata basis, any gains or losses that may result from a borrower’s lack of compliance with contractual terms of the loan. At September 30, 2020 and December 31, 2019, the Company was servicing commercial loans participated out to various other institutions totaling $ 41.3 24.2 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 September 30, 2020, include weighted average prepayment speed for the portfolio using the Public Securities Association Standard Prepayment Model ( 300 12.06 0.25 84.44 At September 30, 2020 and December 31, 2019, the Company was servicing residential mortgage loans owned by investors totaling $ 40.5 48.2 36,000 52,000 A summary of the activity in the balances of mortgage servicing rights follows: Three Months Ended September 30, 2020 Nine Months Ended September 30, 2020 (In thousands) Balance at the beginning of period: $ 186 $ 219 Capitalized mortgage servicing rights — — Amortization (16 ) (49 ) Write-down of mortgage servicing asset to fair value (2 ) (2 ) Balance at the end of period $ 168 $ 168 Fair value at the end of period $ 168 $ 168 Loans are recorded at the principal amount outstanding, adjusted for charge-offs, unearned premiums and deferred loan fees and costs. Interest on loans is calculated using the effective yield method on daily balances of the principal amount outstanding and is credited to income on the accrual basis to the extent it is deemed collectable. Our general policy is to discontinue the accrual of interest when principal or interest payments are delinquent 90 days or more based on the contractual terms of the loan, or earlier if the loan is considered impaired. Any unpaid amounts previously accrued on these loans are reversed from income. Subsequent cash receipts are applied to the outstanding principal balance or to interest income if, in the judgment of management, collection of the principal balance is not in question. Loans are returned to accrual status when they become current as to both principal and interest and perform in accordance with contractual terms for a period of at least six months, reducing the concern as to the collectability of principal and interest. Loan fees and certain direct loan origination costs are deferred, and the net fee or cost is recognized as an adjustment to interest income over the estimated average lives of the related loans. The allowance for loan losses is established through provisions for loan losses charged to expense. Loans are charged-off against the allowance when management believes that the collectability of the principal is unlikely. Subsequent recoveries, if any, are credited to the allowance. 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 (includes one-to-four family and home equity), commercial real estate, commercial and industrial, and consumer. 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; effects of changes in risk selection and underwriting standards and other changes in lending policies, procedures and practices; and national and local economic trends and industry conditions. The recent COVID-19 pandemic has put significant pressure on the local business community and increased unemployment. On March 23, 2020, the Governor of Massachusetts issued an emergency order requiring all businesses and organizations that do not provide COVID-19 essential services to close their physical workplaces and facilities to workers, customers and the public from March 24, 2020 until April 7, 2020, which was subsequently extended to May 18, 2020. The order put significant pressure on the local business community. The Company’s market area implemented a four-phase reopening plan. State and local governments are closely monitoring key public health data as the situation continues to evolve. On July 8, 2020, Massachusetts entered the first step of Phase 3 of the re-opening plan; however, on August 7, 2020, Massachusetts’ Governor Baker, indefinitely postponed the second step of Phase 3 of the plan. On September 29, 2020, Governor Baker announced that effective October 5, 2020, the Commonwealth of Massachusetts would transition to the second step of Phase 3 only in lower-risk communities. Lower-risk communities are defined as cities or towns that have not been a “red” community in any of the last three weekly Department of Public Health weekly reports. Under the final phase of the reopening plan, the “new normal,” businesses will not be allowed to resume normal operations until an effective treatment or vaccine is discovered. Because of the mandated shutdowns, a record number of individuals filed for unemployment benefits. Sectors that have been materially impacted include, but are not limited to: hospitality, retail, restaurant and food service, and fuel services. Beginning in March 2020, the Bank added a new qualitative factor category to the allowance calculation – “Economic Impact of COVID-19". The allocation of additional reserves for the COVID-19 qualitative factor at September 30, 2020 was based upon an analysis of the loan portfolio that included identifying borrowers sensitive to the shutdown (i.e. accommodation and food service, recreation, construction, manufacturing, and wholesale & retail trade) as well as a general allocation for the negative economic outlook given the record number of unemployment benefits claims during the period. In addition, on an ongoing basis, the Company has continually evaluated the loan portfolio acquired on October 24, 2016 from Chicopee Bancorp, Inc. (“Chicopee”). The acquired portfolio was initially recorded at fair value without a related allowance for loan losses. Subsequent to acquisition, there have been no indications that there has been any subsequent deterioration to the acquired portfolio. Due to the ongoing impacts and extended nature of the pandemic, during the three months ended September 30, 2020, the Company determined that it was prudent to provide an allowance for loan losses related to the acquired portfolio. Excluding the COVID-19 qualitative factor category and the allowance for the acquired loan portfolio, there were no additional changes in our policies or methodology pertaining to the general component of the allowance for loan losses during the periods presented for disclosure. The qualitative factors are determined based on the various risk characteristics of each loan segment. Risk characteristics relevant to each portfolio segment are as follows: Residential real estate 80 Commercial real estate . 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 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 the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. 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. The extent to which COVID-19 impacts our borrower’s ability to repay and therefore the classification of a loan as impaired is highly uncertain and cannot be predicted with confidence as it is highly dependent upon the scope, severity and duration of the pandemic, the actions taken to contain the pandemic or mitigate its impact, and the direct and indirect economic effects of the pandemic and containment measures. 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, if any, reflects the margin of imprecision inherent in the underlying assumptions used in the methodologies for estimating allocated and general reserves in the portfolio. An analysis of changes in the allowance for loan losses by segment Commercial Residential Commercial and Industrial Consumer Unallocated Total (In thousands) Three Months Ended Balance at June 30, 2019 $ 5,690 $ 3,619 $ 2,960 $ 153 $ 1 $ 12,423 Provision (credit) 844 312 63 81 (25 ) 1,275 Charge-offs (200 ) (180 ) (20 ) (70 ) — (470 ) Recoveries — 26 5 13 — 44 Balance at September 30, 2019 $ 6,334 $ 3,777 $ 3,008 $ 177 $ (24 ) $ 13,272 Balance at June 30, 2020 $ 10,271 $ 4,167 $ 3,564 $ 237 $ 14 $ 18,253 Provision (credit) 2,103 117 458 50 (3 ) 2,725 Charge-offs — (26 ) (325 ) (37 ) — (388 ) Recoveries 58 1 37 6 — 102 Balance at September 30, 2020 $ 12,432 $ 4,259 $ 3,734 $ 256 $ 11 $ 20,692 Nine Months Ended Balance at December 31, 2018 $ 5,260 $ 3,556 $ 3,114 $ 135 $ (12 ) $ 12,053 Provision (credit) 644 498 397 148 (12 ) 1,675 Charge-offs (419 ) (305 ) (514 ) (155 ) — (1,393 ) Recoveries 849 28 11 49 — 937 Balance at September 30, 2019 $ 6,334 $ 3,777 $ 3,008 $ 177 $ (24 ) $ 13,272 Balance at December 31, 2019 $ 6,807 $ 3,920 $ 3,183 $ 203 $ (11 ) $ 14,102 Provision (credit) 5,674 406 1,057 116 22 7,275 Charge-offs (107 ) (135 ) (544 ) (96 ) — (882 ) Recoveries 58 68 38 33 — 197 Balance at September 30, 2020 $ 12,432 $ 4,259 $ 3,734 $ 256 $ 11 $ 20,692 The following table presents information pertaining to the allowance for loan losses by segment Commercial Residential Commercial and Industrial Consumer Unallocated Total (In thousands) September 30, 2020 Amount of allowance for impaired loans $ — $ — $ — $ — $ — $ — Amount of allowance for non-impaired loans 12,432 4,259 3,734 256 11 20,692 Total allowance for loan losses $ 12,432 $ 4,259 $ 3,734 $ 256 $ 11 $ 20,692 Impaired loans $ 11,203 $ 3,889 $ 5,599 $ 29 $ — $ 20,720 Non-impaired loans 793,577 705,993 439,048 5,512 — 1,944,130 Impaired loans acquired with deteriorated credit quality 7,359 2,487 747 — — 10,593 Total loans $ 812,139 $ 712,369 $ 445,394 $ 5,541 $ — $ 1,975,443 December 31, 2019 Amount of allowance for impaired loans $ — $ — $ — $ — $ — $ — Amount of allowance for non-impaired loans 6,807 3,920 3,183 203 (11 ) 14,102 Total allowance for loan losses $ 6,807 $ 3,920 $ 3,183 $ 203 $ (11 ) $ 14,102 Impaired loans $ 3,457 $ 3,575 $ 588 $ 42 $ — $ 7,662 Non-impaired loans 805,007 694,080 247,499 5,705 — 1,752,291 Impaired loans acquired with deteriorated credit quality 8,422 2,589 806 — — 11,817 Total loans $ 816,886 $ 700,244 $ 248,893 $ 5,747 $ — $ 1,771,770 Past Due and Non-accrual Loans. The following tables present an age analysis of past due loans, excluding PPP loans, as of the dates indicated: 30 – 59 Days 60 – 89 Days 90 Days or Total Past Due Total Current Loans Total Loans Non-Accrual (In thousands) September 30, 2020 Commercial real estate $ 651 $ 539 $ 1,459 $ 2,649 $ 809,490 $ 812,139 $ 1,846 Residential real estate: Residential 1,490 741 748 2,979 605,371 608,350 4,848 Home equity — — 117 117 103,902 104,019 281 Commercial and industrial 228 88 600 916 221,374 222,290 2,203 Consumer 17 — — 17 5,524 5,541 30 Total loans $ 2,386 $ 1,368 $ 2,924 $ 6,678 $ 1,745,661 $ 1,752,339 $ 9,208 December 31, 2019 Commercial real estate $ 2,784 $ 1,234 $ 2,637 $ 6,655 $ 810,231 $ 816,886 $ 3,843 Residential real estate: Residential 2,574 683 1,433 4,690 593,037 597,727 4,548 Home equity 80 38 149 267 102,250 102,517 445 Commercial and industrial 1,356 645 148 2,149 246,744 248,893 1,003 Consumer 24 — 17 41 5,706 5,747 42 Total loans $ 6,818 $ 2,600 $ 4,384 $ 13,802 $ 1,757,968 $ 1,771,770 $ 9,881 Impaired Loans. The following is a summary of impaired loans by class: Three Months Ended Nine Months Ended At September 30, 2020 September 30, 2020 September 30, 2020 Recorded Unpaid Average Interest Average Interest (In thousands) Impaired Loans (1) Commercial real estate $ 18,562 $ 19,911 $ 19,709 $ 169 $ 18,361 $ 369 Residential real estate 6,052 6,754 5,728 14 5,655 53 Home equity 324 381 384 1 413 4 Commercial and industrial 6,346 8,753 6,072 120 3,720 196 Consumer 29 43 32 — 36 — Total impaired loans $ 31,313 $ 35,842 $ 31,925 $ 304 $ 28,185 $ 622 Three Months Ended Nine Months Ended At December 31, 2019 September 30, 2019 September 30, 2019 Recorded Unpaid Average Interest Average Interest (In thousands) Impaired Loans (1) Commercial real estate $ 11,879 $ 13,914 $ 15,558 $ 182 $ 16,542 $ 481 Residential real estate 5,695 6,383 6,375 23 6,805 87 Home equity 469 539 406 — 408 — Commercial and industrial 1,394 4,192 3,466 37 3,743 111 Consumer 42 56 45 — 50 — Total impaired loans $ 19,479 $ 25,084 $ 25,850 $ 242 $ 27,548 $ 679 (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 troubled debt restructuring (“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 non-accrual impaired loans during the three and nine months ended September 30, 2020 and 2019. 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. During the third quarter of 2020, we loaned an additional $ 350,000 180,000 350,000 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. Loans modifications classified as TDRs during the three and nine months ended September 30, 2020 and 2019 are included in the table below. Three Months Ended Nine Months Ended September 30, 2020 September 30, 2020 Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment (Dollars in thousands) (Dollars in thousands) Troubled Debt Restructurings Commercial Real Estate — $ — $ — 5 $ 4,884 $ 4,884 Commercial and Industrial 1 18 18 10 4,541 4,541 Total 1 $ 18 $ 18 15 $ 9,425 $ 9,425 Three Months Ended Nine Months Ended September 30, 2019 September 30, 2019 Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment (Dollars in thousands) (Dollars in thousands) Troubled Debt Restructurings Commercial Real Estate — $ — $ — 2 $ 2,032 $ 2,032 Commercial and Industrial — — — 2 383 383 Total — $ — $ — 4 $ 2,415 $ 2,415 During the three and nine months ended September 30, 2020 and 2019, no 440,000 no Loans Acquired with Deteriorated Credit Quality. The following is a summary of loans acquired in the Chicopee Bancorp, Inc. (“Chicopee”) acquisition with evidence of credit deterioration as of September 30, 2020 and 2019. Contractual Cash Expected Non-Accretable Accretable Loans (In thousands) Balance at December 31, 2019 $ 20,689 $ 15,909 $ 4,780 $ 4,092 $ 11,817 Collections (1,956 ) (1,431 ) (525 ) (241 ) (1,190 ) Dispositions (300 ) (255 ) (45 ) (221 ) (34 ) Balance at September 30, 2020 $ 18,433 $ 14,223 $ 4,210 $ 3,630 $ 10,593 Contractual Cash Expected Non-Accretable Accretable Loans (In thousands) Balance at December 31, 2018 $ 24,793 $ 19,883 $ 4,910 $ 4,854 $ 15,029 Collections (2,313 ) (2,187 ) (126 ) (487 ) (1,700 ) Dispositions (242 ) (242 ) — (199 ) (43 ) Balance at September 30, 2019 $ 22,238 $ 17,454 $ 4,784 $ 4,168 $ 13,286 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 its 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 Residential Home Equity Commercial and Industrial Consumer Total (In thousands) September 30, 2020 Pass (Rated 1 – 4) $ 706,435 $ 602,420 $ 103,575 $ 410,141 $ 5,512 $ 1,828,083 Special Mention (Rated 5) 76,650 — — 18,104 — 94,754 Substandard (Rated 6) 29,054 5,930 444 17,149 29 52,606 Total $ 812,139 $ 608,350 $ 104,019 $ 445,394 $ 5,541 $ 1,975,443 December 31, 2019 Pass (Rated 1 – 4) $ 766,124 $ 591,911 $ 101,908 $ 222,847 $ 5,705 $ 1,688,495 Special Mention (Rated 5) 23,138 — — 2,796 — 25,934 Substandard (Rated 6) 27,624 5,816 609 23,250 42 57,341 Total $ 816,886 $ 597,727 $ 102,517 $ 248,893 $ 5,747 $ 1,771,770

GOODWILL AND OTHER INTANGIBLES

GOODWILL AND OTHER INTANGIBLES	9 Months Ended
	Sep. 30, 2020
Goodwill and Intangible Assets Disclosure [Abstract]
GOODWILL AND OTHER INTANGIBLES	6. GOODWILL AND OTHER INTANGIBLES Goodwill. At September 30, 2020 and December 31, 2019, the Company’s goodwill was related to the acquisition of Chicopee in October 2016. There was no Core Deposit Intangibles. In connection with the acquisition of Chicopee, the Bank recorded a core deposit intangible of $ 4.5 twelve years 94,000 281,000 375,000 1.2

SHARE-BASED COMPENSATION

SHARE-BASED COMPENSATION	9 Months Ended
	Sep. 30, 2020
Share-based Payment Arrangement [Abstract]
SHARE-BASED COMPENSATION	7. SHARE-BASED COMPENSATION Stock Options. A summary of stock option activity Shares Weighted Weighted Average Remaining Term (in years) Aggregate Intrinsic Value (in thousands) Outstanding at December 31, 2019 218,214 $ 6.42 2.62 $ 695 Exercised — — — — Outstanding at September 30, 2020 218,214 $ 6.42 1.87 $ — Exercisable at September 30, 2020 218,214 $ 6.42 1.87 $ — Cash received for options exercised during the nine months ended September 30, 2019 was $ 64,000 no Restricted Stock Awards. In May 2014, the Company’s shareholders approved a stock-based compensation plan (the “RSA Plan”). Under the RSA Plan, up to 516,000 In January 2015, there were 48,560 five years On an annual basis, the Compensation Committee (the “Committee”) approves long-term incentive awards out of the RSA Plan, whereby shares will be granted to eligible participants of the Company that are nominated by the Chief Executive Officer and approved by the Committee, with vesting over a three-year one-year In May 2017, there were 89,042 89,042 55,159 21,276 one year 33,883 three-year 33,883 three-year 50 100 150 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, target and maximum metrics Return on Equity Metrics Performance Period Original Threshold Adjusted Original Adjusted Original Adjusted December 31, 2019 6.50% 7.09% 7.20% 7.85% 7.90% 8.61% As of December 31, 2019, the three-year performance period for the 2017 grants ended. Performance-based shares were earned based on the Company achieving the annual 2017 performance metrics adjusted threshold, target or maximum metrics at the end of each year of the three-year performance period. Of the original 33,883 15,898 17,985 In January 2018, there were 83,812 83,812 50,852 17,908 one year 32,944 three-year 32,960 three-year The threshold, target and stretch metrics under the 2018 grant are as follows: Return on Equity Metrics Performance Period Ending Threshold Target Stretch December 31, 2019 6.85% 7.35% 7.75% December 31, 2020 7.40% 7.90% 8.30% Eligible participants will be able to earn between 50 100 150 In February 2019, there were 108,718 108,718 64,496 20,262 one year 44,234 three-year 44,222 three-year The threshold, target and stretch metrics under the 2019 grants are as follows: Return on Equity Metrics Performance Period Ending Threshold Target Stretch December 31, 2019 5.75% 6.13% 7.00% December 31, 2020 6.00% 6.75% 7.75% December 31, 2021 6.25% 7.00% 8.00% Eligible participants will be able to earn between 50 100 150 In February 2020, there were 120,053 120,053 69,898 19,760 one year 50,138 three-year 50,155 50 three-year Return on Equity Metrics Performance Period Ending Threshold Target Stretch December 31, 2020 5.00% 5.48% 6.00% December 31, 2021 5.62% 6.24% 6.86% December 31, 2022 6.29% 6.99% 7.69% Earnings Per Share Metrics Performance Period Ending Threshold Target Stretch Three-year Cumulative Diluted Earnings Per Share $1.50 $1.65 $1.80 Eligible participants will be able to earn between 50 100 150 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 September 30, 2020, there were an additional 25,927 A summary of the status of restricted stock awards Shares Weighted Average Balance at December 31, 2019 172,866 $ 10.07 Shares granted 101,408 9.11 Shares forfeited (16,803 ) 10.15 Shares vested (41,894 ) 9.54 Shares reissued 18,645 9.11 Balance at September 30, 2020 234,222 $ 9.67 Shares Weighted Average Balance at December 31, 2018 155,712 $ 9.87 Shares granted 108,718 9.77 Shares vested (53,465 ) 8.75 Shares forfeited (1,842 ) 9.77 Balance at September 30, 2019 209,123 $ 10.11 We recorded total expense for restricted stock awards of $ 572,000 580,000

SHORT-TERM BORROWINGS AND LONG-

SHORT-TERM BORROWINGS AND LONG-TERM DEBT	9 Months Ended
	Sep. 30, 2020
Debt Disclosure [Abstract]
SHORT-TERM BORROWINGS AND LONG-TERM DEBT	8. SHORT-TERM BORROWINGS AND LONG-TERM DEBT 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 as well as certain residential real estate and commercial real estate loans. Borrowings from the Federal Reserve Bank (“FRB”) Discount Window are secured by certain securities from the Company’s investment portfolio not otherwise pledged. FHLB advances with an original maturity of less than one year totaled $ 35 1.86 325.3 In addition, at September 30, 2020 and December 31, 2019, the Company had an available Ideal Way line of credit with the FHLB for up to $ 9.5 The Bank also had a line of credit in the amount up to $ 15 50 18.3 At September 30, 2020, we had $ 151.3 205.5 26.4 12.0 0.35 26.4

PENSION BENEFITS

PENSION BENEFITS	9 Months Ended
	Sep. 30, 2020
Retirement Benefits [Abstract]
PENSION BENEFITS	9. PENSION BENEFITS We provide a defined benefit pension plan for eligible employees (the “Plan”). Employees must work a minimum of 1,000 The following table provides information regarding net pension benefit costs for the periods shown: Three Months Ended Nine Months Ended, September 30, September 30, 2020 2019 2020 2019 (In thousands) Service cost $ 357 $ 274 $ 1,066 $ 822 Interest cost 293 284 870 852 Expected return on assets (382 ) (308 ) (1,146 ) (924 ) Amortization of actuarial loss 99 32 296 96 Net periodic pension cost $ 367 $ 282 $ 1,086 $ 846

DERIVATIVES AND HEDGING ACTIVIT

DERIVATIVES AND HEDGING ACTIVITIES	9 Months Ended
	Sep. 30, 2020
Derivative Instruments and Hedging Activities Disclosure [Abstract]
DERIVATIVES AND HEDGING ACTIVITIES	10. 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 loan assets and variable rate borrowings. The following table presents information about interest rate swaps at September 30, 2020 and December 31, 2019: September 30, 2020 Notional Weighted Average Weighted Average Rate Estimated Fair Amount Maturity Receive Pay Value (In thousands) (In years) (In thousands) Non-hedging derivatives: Loan-level swaps – dealer $ 13,599 12.7 1.98 % 3.75 % $ (1,808 ) Loan-level swaps – borrower 13,599 12.7 3.75 % 1.98 % 1,808 Forward starting loan-level swaps - dealer 22,390 11.8 (335 ) Forward starting loan-level swaps - borrower 22,390 11.8 335 Total $ 71,978 $ 0 December 31, 2019 Notional Weighted Average Weighted Average Rate Estimated Fair Amount Maturity Receive Pay Value (In thousands) (In years) (In thousands) Cash flow hedges: Interest rate swaps on FHLB borrowings $ 35,000 2.7 1.89 % 3.54 % $ (1,798 ) Non-hedging derivatives: Loan-level swaps – dealer 6,484 13.2 3.45 % 3.79 % (149 ) Loan-level swaps – borrower 6,484 13.2 3.79 % 3.45 % 149 Total $ 47,968 $ (1,798 ) At September 30, 2020, the Company had $ 72 35 13 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 its exposure to interest rate movements. To accomplish these objectives, we entered 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. For derivatives designated as cash flow hedges, the 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. We are hedging our exposure to the variability in future cash flows for forecasted transactions over a maximum period of six years (excluding forecasted payment of variable interest on existing financial instruments). Non-hedging Derivatives. Derivatives not designated as hedges are not speculative, but rather result from a service the Company provides to certain customers. The Company executes loan-level derivative products such as interest-rate swap agreements with commercial banking customers to aid them in managing their interest-rate risk by converting floating-rate loan payments to fixed-rate loan payments. The Company concurrently enters into offsetting swaps with a third-party financial institution, effectively minimizing the Company’s net risk exposure resulting from such transactions. The third-party financial institution exchanges the customer’s fixed-rate loan payments for floating-rate loan payments. As the interest-rate swap agreements associated with this program do not meet hedge accounting requirements, changes in the fair value are recognized directly in earnings. Fair Values of Derivative Instruments on the Balance Sheet. The table below presents the fair value of our derivative financial instruments designated as hedging and non-hedging instruments as well as our classification on the balance sheet as of September 30, 2020 and December 31, 2019. September 30, 2020 Asset Derivatives Liability Derivatives Balance Sheet Fair Value Balance Sheet Fair Value (In thousands) Derivatives not designated as hedging instruments: Interest rate swap – with customers Other Assets $ 2,143 $ — Interest rate swap – with counterparties — Other Liabilities 2,143 Total derivatives not designated as hedging instruments $ 2,143 $ 2,143 December 31, 2019 Asset Derivatives Liability Derivatives Balance Sheet Fair Value Balance Sheet Fair Value (In thousands) Derivatives designated as hedging instruments: Interest rate swaps – cash flow hedge Other Assets $ — Other Liabilities $ 1,798 Total derivatives designated as hedging instruments $ — $ 1,798 Derivatives not designated as hedging instruments: Interest rate swap – with customers Other Assets $ 149 $ — Interest rate swap – with counterparties — Other Liabilities 149 Total derivatives not designated as hedging instruments $ 149 $ 149 Effect of Derivative Instruments in the Consolidated Statements of Net Income and Changes in Shareholders’ Equity. The table below presents the pre-tax net losses of our cash flow hedges for the periods indicated: Amount of Gain (Loss) Recognized in OCI on Derivative Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 (In thousands) Interest rate swaps $ (14 ) $ (142 ) $ (1,254 ) $ (1,053 ) 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. The table below presents the amount reclassified from accumulated other comprehensive loss into net income as interest expense for interest rate swaps and termination fees: Amount of Loss Reclassified from OCI into Expense (Effective Portion) Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 (In thousands) Interest rate swaps $ 443 $ 374 $ 1,351 $ 1,056 During the quarter ended September 30, 2020, the Company terminated one interest rate swap designated as a cash flow hedge prior to its respective maturity date. The net loss reclassified into earnings totaled $ 2.4 During the next 12 months, we estimate that $ 590,000 Credit-risk-related Contingent Features. By using derivative financial instruments, we expose ourselves 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 September 30, 2020 and December 31, 2019, we had a net liability position of $ 2.1 1.8 2.3

FAIR VALUE OF ASSETS AND LIABIL

FAIR VALUE OF ASSETS AND LIABILITIES	9 Months Ended
	Sep. 30, 2020
Fair Value Disclosures [Abstract]
FAIR VALUE OF ASSETS AND LIABILITIES	11. FAIR VALUE OF ASSETS AND LIABILITIES 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. Fair Value Hierarchy. We group our assets and liabilities that are measured at fair value in three levels, based on the markets in which the assets are traded and the reliability of the assumptions used to determine fair value. Level 1: Valuation is based on quoted prices in active markets for identical assets. Level 1 assets generally include debt and equity securities that are traded in an active exchange market. Valuations are obtained from readily available pricing sources for market transactions involving identical assets. Level 2: Valuation is based on observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3: Valuation is based on unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets. Level 3 assets include financial instruments whose value is determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation. Methods and assumptions for valuing our financial instruments measured at fair value on a recurring basis 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. The securities measured at fair value in Level 1 are based on quoted market prices in an active exchange market. These securities include marketable equity securities. All other securities are measured at fair value in Level 2 and are based on pricing models that consider standard input factors such as observable market data, benchmark yields, interest rate volatilities, broker/dealer quotes, credit spreads and new issue data. These securities include government-sponsored enterprise obligations, state and municipal obligations, residential mortgage-backed securities guaranteed and sponsored by the U.S. government or an agency thereof. Fair value measurements are obtained from a third-party pricing service and are not adjusted by management. Interest Rate Swaps. The valuation of our interest rate swaps is obtained from a third-party pricing service and is determined using a discounted cash flow analysis on the expected cash flows of each derivative. The pricing analysis is based on observable inputs for the contractual terms of the derivatives, including the period to maturity and interest rate curves. We have determined that the majority of the inputs used to value our interest rate derivatives fall within Level 2 of the fair value hierarchy. 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: September 30, 2020 Level 1 Level 2 Level 3 Total Assets: (In thousands) Securities available-for-sale $ — $ 191,569 $ — $ 191,569 Marketable equity securities 6,965 — — 6,965 Interest rate swaps — 2,143 — 2,143 Total assets $ 6,965 $ 193,712 $ — $ 200,677 Liabilities: Interest rate swaps $ — $ 2,143 $ — $ 2,143 December 31, 2019 Level 1 Level 2 Level 3 Total Assets: (In thousands) Securities available-for-sale $ — $ 227,708 $ — $ 227,708 Marketable equity securities 6,737 — — 6,737 Interest rate swaps — 149 — 149 Total assets $ 6,737 $ 227,857 $ — $ 234,594 Liabilities: Interest rate swaps $ — $ 1,947 $ — $ 1,947 Assets Measured at Fair Value on a Non-recurring Basis. We may also be required, from time to time, to measure certain other assets at fair value on a non-recurring basis in accordance with U.S. GAAP. 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 each adjustment and the carrying value of the related assets at September 30, 2020 and December 31, 2019. Total losses for the three and nine months ended September 30, 2020 and 2019, respectively, represent the change in carrying value as a result of fair value adjustments related to assets still held at the periods indicated. At Three Months Ended Nine Months Ended September 30, 2020 September 30, 2020 September 30, 2020 Total Total Level 1 Level 2 Level 3 Losses Losses (In thousands) Impaired Loans $ — $ — $ 151 $ 13 $ 119 At Three Months Ended Nine Months Ended December 31, 2019 September 30, 2019 September 30, 2019 Total Total Level 1 Level 2 Level 3 Losses Losses (In thousands) Impaired Loans $ — $ — $ 1,836 $ 380 $ 1,077 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 September 30, 2020 and December 31, 2019. Summary of Fair Values of Financial Instruments. The estimated fair values of our financial instruments are as follows: September 30, 2020 Carrying Value Fair Value Level 1 Level 2 Level 3 Total (In thousands) Assets: Cash and cash equivalents $ 172,112 $ 172,112 $ — $ — $ 172,112 Securities available-for-sale 191,569 — 191,569 — 191,569 Marketable equity securities 6,965 6,965 — — 6,965 Federal Home Loan Bank of Boston and other restricted stock 9,252 — — 9,252 9,252 Loans - net 1,953,695 — — 1,942,727 1,942,727 Accrued interest receivable 7,737 — — 7,737 7,737 Mortgage servicing rights 168 — 168 — 168 Derivative assets 2,143 — 2,143 — 2,143 Liabilities: Deposits 2,011,291 — — 2,014,366 2,014,366 Long-term debt 151,258 — 152,568 — 152,568 Accrued interest payable 284 — — 284 284 Derivative liabilities 2,143 — 2,143 — 2,143 December 31, 2019 Carrying Value Fair Value Level 1 Level 2 Level 3 Total (In thousands) Assets: Cash and cash equivalents $ 24,741 $ 24,741 $ — $ — $ 24,741 Securities available-for-sale 227,708 — 227,708 — 227,708 Marketable equity securities 6,737 6,737 — — 6,737 Federal Home Loan Bank of Boston and other restricted stock 14,477 — — 14,477 14,477 Loans - net 1,761,932 — — 1,729,150 1,729,150 Accrued interest receivable 5,313 — — 5,313 5,313 Mortgage servicing rights 219 — 345 — 345 Derivative assets 149 — 149 — 149 Liabilities: Deposits 1,677,864 — — 1,679,851 1,679,851 Short-term borrowings 35,000 — 35,004 — 35,004 Long-term debt 205,515 — 205,850 — 205,850 Accrued interest payable 525 — — 525 525 Derivative liabilities 1,947 — 1,947 — 1,947

LEASES

LEASES	9 Months Ended
	Sep. 30, 2020
Leases [Abstract]
LEASES	12. LEASES The Company determines if an arrangement is a lease at inception. Effective in 2019, operating leases are included within other assets and other liabilities in our consolidated balance sheets. Right-of-use (“ROU”) assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. As our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. Our lease terms may include options to extend or terminate the lease when it is reasonably certain that we will exercise that option. Lease expense for lease payments is recognized on a straight-line basis over the lease term. The Company has lease agreements with lease and non-lease components, which are generally accounted for separately. We have not elected the practical expedient to account for lease and non-lease components as one lease component. Additionally, the Company has elected the practical expedient whereby expired leases, existing operating lease classifications and initial direct costs will not be reassessed at inception. The Company has operating leases for certain of our banking offices and ATMs. Our leases have remaining lease terms of less than one year eighteen years five-year fifteen years The components of lease expense were as follows: Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 (In thousands) Amortization of ROU assets $ 325 $ 244 $ 863 $ 729 Interest on lease liabilities 74 60 197 184 Operating lease cost $ 399 $ 304 $ 1,060 $ 913 Supplemental cash flow information related to leases was as follows: Nine Months Ended September 30, 2020 2019 (In thousands) Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 1,016 $ 878 ROU assets obtained in exchange for lease obligations: Operating leases 4,211 411 Supplemental balance sheet information related to leases was as follows: September 30, 2020 December 31, 2019 (In thousands) Operating lease ROU assets $ 10,146 $ 6,795 Operating lease liabilities $ 10,236 $ 6,840 The weighted average remaining lease term for our operating leases was 10.9 2.83 Maturities of the Company’s operating lease liabilities were as follows (in thousands): Years Ending December 31, 2020 $ 374 2021 1,450 2022 1,385 2023 1,153 2024 1,088 Thereafter 6,638 Total lease payments 12,088 Less imputed interest (1,852 ) Total $ 10,236

RECENT ACCOUNTING PRONOUNCEMENT

RECENT ACCOUNTING PRONOUNCEMENTS	9 Months Ended
	Sep. 30, 2020
Accounting Changes and Error Corrections [Abstract]
RECENT ACCOUNTING PRONOUNCEMENTS	13. RECENT ACCOUNTING PRONOUNCEMENTS In June 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-13, Financial Instruments—Credit Losses 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_2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	9 Months Ended
	Sep. 30, 2020
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 25
Wholly-owned Subsidiaries of the Bank	Wholly-owned Subsidiaries of the Bank
Principles of Consolidation	Principles of Consolidation
Estimates	Estimates
Basis of Presentation	Basis of Presentation These unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements as of and for the year ended December 31, 2019, included in our Annual Report on Form 10-K for the year ended December 31, 2019 (the "2019 Annual Report”).
Reclassifications	Reclassifications

EARNINGS PER SHARE (Tables)

EARNINGS PER SHARE (Tables)	9 Months Ended
	Sep. 30, 2020
Earnings per common share:
Earnings per common share for the three and nine months ended September 30, 2020 and 2019 have been computed based on the following:	Earnings per common share for the three and nine months ended September 30, 2020 and 2019 have been computed based on the following: Three Months Ended Nine Months Ended September 30, September 30, 2020 2019 2020 2019 (In thousands, except per share data) Net income applicable to common stock $ 2,101 $ 3,225 $ 6,202 $ 9,913 Average number of common shares issued 25,641 26,621 25,859 27,092 Less: Average unallocated ESOP Shares (569 ) (656 ) (590 ) (678 ) Less: Average unvested performance-based equity incentive plan shares (126 ) (111 ) (123 ) (106 ) Average number of common shares outstanding used to calculate basic earnings per common share 24,946 25,854 25,146 26,308 Effect of dilutive performance-based equity incentive plan — 47 — 42 Effect of dilutive stock options — 68 18 73 Average number of common shares outstanding used to calculate diluted earnings per common share 24,946 25,969 25,164 26,423 Basic earnings per share $ 0.08 $ 0.12 $ 0.25 $ 0.38 Diluted earnings per share $ 0.08 $ 0.12 $ 0.25 $ 0.38 Anti-dilutive shares (1) 344 — 344 — (1) Shares outstanding but not included because the impact of these shares would be anti-dilutive to the earnings per share calculation for the periods presented.

COMPREHENSIVE INCOME (LOSS) (Ta

COMPREHENSIVE INCOME (LOSS) (Tables)	9 Months Ended
	Sep. 30, 2020
Equity [Abstract]
The components of accumulated other comprehensive loss included in shareholders’ equity are as follows:	The components of accumulated other comprehensive loss included in shareholders’ equity are as follows: September 30, 2020 December 31, 2019 (In thousands) Net unrealized gains (losses) on securities available-for-sale $ 1,132 $ (393 ) Tax effect (296 ) 71 Net-of-tax amount 836 (322 ) Fair value of derivatives used for cash flow hedges — (1,773 ) Termination fee on cancelled cash flow hedges (849 ) (1,526 ) Total derivatives (849 ) (3,299 ) Tax effect 239 928 Net-of-tax amount (610 ) (2,371 ) Unrecognized actuarial loss on the defined benefit plan (8,432 ) (8,728 ) Tax effect 2,370 2,453 Net-of-tax amount (6,062 ) (6,275 ) Accumulated other comprehensive loss $ (5,836 ) $ (8,968 )
The following table presents changes in accumulated other comprehensive loss for the periods ended September 30, 2020 and 2019 by component	The following table presents changes in accumulated other comprehensive loss for the periods ended September 30, 2020 and 2019 by component Securities Derivatives Defined Benefit Accumulated (In thousands) Balance at December 31, 2018 $ (7,400 ) $ (2,770 ) $ (3,246 ) $ (13,416 ) Cumulative-effect adjustment due to change in accounting principle (ASU 2017-08) 7 — — 7 Current-period other comprehensive income 6,815 2 68 6,885 Balance at September 30, 2019 $ (578 ) $ (2,768 ) $ (3,178 ) $ (6,524 ) Balance at December 31, 2019 $ (322 ) $ (2,371 ) $ (6,275 ) $ (8,968 ) Current-period other comprehensive income 1,158 1,761 213 3,132 Balance at September 30, 2020 $ 836 $ (610 ) $ (6,062 ) $ (5,836 )

SECURITIES (Tables)

SECURITIES (Tables)	9 Months Ended
	Sep. 30, 2020
Investments, Debt and Equity Securities [Abstract]
Available-for-sale securities are summarized as follows	Available-for-sale securities are summarized as follows September 30, 2020 Amortized Cost Gross Gross Fair Value (In thousands) Available-for-sale securities: Debt securities: Government-sponsored enterprise obligations $ 4,973 $ — $ (23 ) $ 4,950 State and municipal bonds 684 3 — 687 Corporate bonds 3,043 — (73 ) 2,970 Total debt securities 8,700 3 (96 ) 8,607 Mortgage-backed securities: Government-sponsored mortgage-backed securities 159,151 1,640 (201 ) 160,590 U.S. government guaranteed mortgage-backed securities 22,586 62 (276 ) 22,372 Total mortgage-backed securities 181,737 1,702 (477 ) 182,962 Total available-for-sale $ 190,437 $ 1,705 $ (573 ) $ 191,569 December 31, 2019 Amortized Cost Gross Gross Fair Value (In thousands) Available-for-sale securities: Debt securities: Government-sponsored enterprise obligations $ 20,150 $ — $ (136 ) $ 20,014 State and municipal bonds 2,718 95 — 2,813 Corporate bonds 7,800 88 (22 ) 7,866 Total debt securities 30,668 183 (158 ) 30,693 Mortgage-backed securities: Government-sponsored mortgage-backed securities 186,236 780 (1,015 ) 186,001 U.S. government guaranteed mortgage-backed securities 11,197 33 (216 ) 11,014 Total mortgage-backed securities 197,433 813 (1,231 ) 197,015 Total available-for-sale $ 228,101 $ 996 $ (1,389 ) $ 227,708
The amortized cost and fair value of available-for-sale debt securities at September 30, 2020, 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 paydowns, they are not included in the maturity categories in the following maturity summary	The amortized cost and fair value of available-for-sale debt securities at September 30, 2020, 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 paydowns, they are not included in the maturity categories in the following maturity summary September 30, 2020 Amortized Cost Fair Value (In thousands) Available-for-sale securities: Debt securities: Due after one year through five years $ 3,727 $ 3,657 Due after ten years 4,973 4,950 Total debt securities 8,700 8,607 Mortgage-backed securities 181,737 182,962 Total available-for-sale securities $ 190,437 $ 191,569
Gross realized gains and losses on sales of available-for-sale securities for the three and nine months ended September 30, 2020 and 2019 are as follows	Gross realized gains and losses on sales of available-for-sale securities for the three and nine months ended September 30, 2020 and 2019 are as follows Three Months Ended Nine Months Ended September 30, September 30, 2020 2019 2020 2019 (In thousands) Gross gains realized $ 1,944 $ 49 $ 2,187 $ 148 Gross losses realized (15 ) — (222 ) (160 ) Net loss realized $ 1,929 $ 49 $ 1,965 $ (12 )
Information pertaining to securities with gross unrealized losses at September 30, 2020 and December 31, 2019, aggregated by investment category and length of time that individual securities have been in a continuous loss position are as follows	Information pertaining to securities with gross unrealized losses at September 30, 2020 and December 31, 2019, aggregated by investment category and length of time that individual securities have been in a continuous loss position are as follows September 30, 2020 Less Than 12 Months Over 12 Months Gross Fair Value Gross Fair Value (In thousands) Available-for-sale: Government sponsored mortgage backed securities $ 147 $ 20,043 $ 54 $ 2,164 U.S. government guaranteed mortgage-backed securities 172 16,198 104 2,737 Corporate bonds 73 2,970 — — Government-sponsored enterprise obligations 23 4,950 — — Total available-for-sale $ 415 $ 44,161 $ 158 $ 4,901 December 31, 2019 Less Than 12 Months Over 12 Months Gross Fair Value Gross Fair Value (In thousands) Available-for-sale: Government-sponsored mortgage-backed securities $ 122 $ 42,834 $ 893 $ 70,581 U.S. government guaranteed mortgage-backed securities 13 2,783 203 4,688 Corporate bonds 16 1,623 6 3,046 Government-sponsored enterprise obligations 126 14,524 10 1,490 Total available-for-sale $ 277 $ 61,764 $ 1,112 $ 79,805

LOANS AND ALLOWANCE FOR LOAN _2

LOANS AND ALLOWANCE FOR LOAN LOSSES (Tables)	9 Months Ended
	Sep. 30, 2020
Receivables [Abstract]
Major classifications of loans at the periods indicated were as follows:	Major classifications of loans at the periods indicated were as follows: September 30, December 31, 2020 2019 (In thousands) Commercial real estate $ 812,139 $ 816,886 Residential real estate: Residential 1-4 family 608,350 597,727 Home equity 104,019 102,517 Commercial and industrial Paycheck protection program (“PPP”) loans 223,104 — Commercial and industrial 222,290 248,893 Consumer 5,541 5,747 Total gross loans 1,975,443 1,771,770 Unamortized PPP loan fees (4,810 ) — Unearned premiums and deferred loan fees and costs, net 3,754 4,264 Allowance for loan losses (20,692 ) (14,102 ) Net loans $ 1,953,695 $ 1,761,932
A summary of the activity in the balances of mortgage servicing rights follows:	A summary of the activity in the balances of mortgage servicing rights follows: Three Months Ended September 30, 2020 Nine Months Ended September 30, 2020 (In thousands) Balance at the beginning of period: $ 186 $ 219 Capitalized mortgage servicing rights — — Amortization (16 ) (49 ) Write-down of mortgage servicing asset to fair value (2 ) (2 ) Balance at the end of period $ 168 $ 168 Fair value at the end of period $ 168 $ 168
An analysis of changes in the allowance for loan losses by segment	An analysis of changes in the allowance for loan losses by segment Commercial Residential Commercial and Industrial Consumer Unallocated Total (In thousands) Three Months Ended Balance at June 30, 2019 $ 5,690 $ 3,619 $ 2,960 $ 153 $ 1 $ 12,423 Provision (credit) 844 312 63 81 (25 ) 1,275 Charge-offs (200 ) (180 ) (20 ) (70 ) — (470 ) Recoveries — 26 5 13 — 44 Balance at September 30, 2019 $ 6,334 $ 3,777 $ 3,008 $ 177 $ (24 ) $ 13,272 Balance at June 30, 2020 $ 10,271 $ 4,167 $ 3,564 $ 237 $ 14 $ 18,253 Provision (credit) 2,103 117 458 50 (3 ) 2,725 Charge-offs — (26 ) (325 ) (37 ) — (388 ) Recoveries 58 1 37 6 — 102 Balance at September 30, 2020 $ 12,432 $ 4,259 $ 3,734 $ 256 $ 11 $ 20,692 Nine Months Ended Balance at December 31, 2018 $ 5,260 $ 3,556 $ 3,114 $ 135 $ (12 ) $ 12,053 Provision (credit) 644 498 397 148 (12 ) 1,675 Charge-offs (419 ) (305 ) (514 ) (155 ) — (1,393 ) Recoveries 849 28 11 49 — 937 Balance at September 30, 2019 $ 6,334 $ 3,777 $ 3,008 $ 177 $ (24 ) $ 13,272 Balance at December 31, 2019 $ 6,807 $ 3,920 $ 3,183 $ 203 $ (11 ) $ 14,102 Provision (credit) 5,674 406 1,057 116 22 7,275 Charge-offs (107 ) (135 ) (544 ) (96 ) — (882 ) Recoveries 58 68 38 33 — 197 Balance at September 30, 2020 $ 12,432 $ 4,259 $ 3,734 $ 256 $ 11 $ 20,692
The following table presents information pertaining to the allowance for loan losses by segment	The following table presents information pertaining to the allowance for loan losses by segment Commercial Residential Commercial and Industrial Consumer Unallocated Total (In thousands) September 30, 2020 Amount of allowance for impaired loans $ — $ — $ — $ — $ — $ — Amount of allowance for non-impaired loans 12,432 4,259 3,734 256 11 20,692 Total allowance for loan losses $ 12,432 $ 4,259 $ 3,734 $ 256 $ 11 $ 20,692 Impaired loans $ 11,203 $ 3,889 $ 5,599 $ 29 $ — $ 20,720 Non-impaired loans 793,577 705,993 439,048 5,512 — 1,944,130 Impaired loans acquired with deteriorated credit quality 7,359 2,487 747 — — 10,593 Total loans $ 812,139 $ 712,369 $ 445,394 $ 5,541 $ — $ 1,975,443 December 31, 2019 Amount of allowance for impaired loans $ — $ — $ — $ — $ — $ — Amount of allowance for non-impaired loans 6,807 3,920 3,183 203 (11 ) 14,102 Total allowance for loan losses $ 6,807 $ 3,920 $ 3,183 $ 203 $ (11 ) $ 14,102 Impaired loans $ 3,457 $ 3,575 $ 588 $ 42 $ — $ 7,662 Non-impaired loans 805,007 694,080 247,499 5,705 — 1,752,291 Impaired loans acquired with deteriorated credit quality 8,422 2,589 806 — — 11,817 Total loans $ 816,886 $ 700,244 $ 248,893 $ 5,747 $ — $ 1,771,770
The following tables present an age analysis of past due loans, excluding PPP loans, as of the dates indicated:	The following tables present an age analysis of past due loans, excluding PPP loans, as of the dates indicated: 30 – 59 Days 60 – 89 Days 90 Days or Total Past Due Total Current Loans Total Loans Non-Accrual (In thousands) September 30, 2020 Commercial real estate $ 651 $ 539 $ 1,459 $ 2,649 $ 809,490 $ 812,139 $ 1,846 Residential real estate: Residential 1,490 741 748 2,979 605,371 608,350 4,848 Home equity — — 117 117 103,902 104,019 281 Commercial and industrial 228 88 600 916 221,374 222,290 2,203 Consumer 17 — — 17 5,524 5,541 30 Total loans $ 2,386 $ 1,368 $ 2,924 $ 6,678 $ 1,745,661 $ 1,752,339 $ 9,208 December 31, 2019 Commercial real estate $ 2,784 $ 1,234 $ 2,637 $ 6,655 $ 810,231 $ 816,886 $ 3,843 Residential real estate: Residential 2,574 683 1,433 4,690 593,037 597,727 4,548 Home equity 80 38 149 267 102,250 102,517 445 Commercial and industrial 1,356 645 148 2,149 246,744 248,893 1,003 Consumer 24 — 17 41 5,706 5,747 42 Total loans $ 6,818 $ 2,600 $ 4,384 $ 13,802 $ 1,757,968 $ 1,771,770 $ 9,881
The following is a summary of impaired loans by class:	The following is a summary of impaired loans by class: Three Months Ended Nine Months Ended At September 30, 2020 September 30, 2020 September 30, 2020 Recorded Unpaid Average Interest Average Interest (In thousands) Impaired Loans (1) Commercial real estate $ 18,562 $ 19,911 $ 19,709 $ 169 $ 18,361 $ 369 Residential real estate 6,052 6,754 5,728 14 5,655 53 Home equity 324 381 384 1 413 4 Commercial and industrial 6,346 8,753 6,072 120 3,720 196 Consumer 29 43 32 — 36 — Total impaired loans $ 31,313 $ 35,842 $ 31,925 $ 304 $ 28,185 $ 622 Three Months Ended Nine Months Ended At December 31, 2019 September 30, 2019 September 30, 2019 Recorded Unpaid Average Interest Average Interest (In thousands) Impaired Loans (1) Commercial real estate $ 11,879 $ 13,914 $ 15,558 $ 182 $ 16,542 $ 481 Residential real estate 5,695 6,383 6,375 23 6,805 87 Home equity 469 539 406 — 408 — Commercial and industrial 1,394 4,192 3,466 37 3,743 111 Consumer 42 56 45 — 50 — Total impaired loans $ 19,479 $ 25,084 $ 25,850 $ 242 $ 27,548 $ 679 (1) Includes loans acquired with deteriorated credit quality and performing troubled debt restructurings.
Loans modifications classified as TDRs during the three and nine months ended September 30, 2020 and 2019 are included in the table below.	Loans modifications classified as TDRs during the three and nine months ended September 30, 2020 and 2019 are included in the table below. Three Months Ended Nine Months Ended September 30, 2020 September 30, 2020 Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment (Dollars in thousands) (Dollars in thousands) Troubled Debt Restructurings Commercial Real Estate — $ — $ — 5 $ 4,884 $ 4,884 Commercial and Industrial 1 18 18 10 4,541 4,541 Total 1 $ 18 $ 18 15 $ 9,425 $ 9,425 Three Months Ended Nine Months Ended September 30, 2019 September 30, 2019 Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment (Dollars in thousands) (Dollars in thousands) Troubled Debt Restructurings Commercial Real Estate — $ — $ — 2 $ 2,032 $ 2,032 Commercial and Industrial — — — 2 383 383 Total — $ — $ — 4 $ 2,415 $ 2,415
The following is a summary of loans acquired in the Chicopee Bancorp, Inc. (“Chicopee”) acquisition with evidence of credit deterioration as of September 30, 2020 and 2019.	The following is a summary of loans acquired in the Chicopee Bancorp, Inc. (“Chicopee”) acquisition with evidence of credit deterioration as of September 30, 2020 and 2019. Contractual Cash Expected Non-Accretable Accretable Loans (In thousands) Balance at December 31, 2019 $ 20,689 $ 15,909 $ 4,780 $ 4,092 $ 11,817 Collections (1,956 ) (1,431 ) (525 ) (241 ) (1,190 ) Dispositions (300 ) (255 ) (45 ) (221 ) (34 ) Balance at September 30, 2020 $ 18,433 $ 14,223 $ 4,210 $ 3,630 $ 10,593 Contractual Cash Expected Non-Accretable Accretable Loans (In thousands) Balance at December 31, 2018 $ 24,793 $ 19,883 $ 4,910 $ 4,854 $ 15,029 Collections (2,313 ) (2,187 ) (126 ) (487 ) (1,700 ) Dispositions (242 ) (242 ) — (199 ) (43 ) Balance at September 30, 2019 $ 22,238 $ 17,454 $ 4,784 $ 4,168 $ 13,286
The following table presents our loans by risk rating for the periods indicated:	The following table presents our loans by risk rating for the periods indicated: Commercial Residential Home Equity Commercial and Industrial Consumer Total (In thousands) September 30, 2020 Pass (Rated 1 – 4) $ 706,435 $ 602,420 $ 103,575 $ 410,141 $ 5,512 $ 1,828,083 Special Mention (Rated 5) 76,650 — — 18,104 — 94,754 Substandard (Rated 6) 29,054 5,930 444 17,149 29 52,606 Total $ 812,139 $ 608,350 $ 104,019 $ 445,394 $ 5,541 $ 1,975,443 December 31, 2019 Pass (Rated 1 – 4) $ 766,124 $ 591,911 $ 101,908 $ 222,847 $ 5,705 $ 1,688,495 Special Mention (Rated 5) 23,138 — — 2,796 — 25,934 Substandard (Rated 6) 27,624 5,816 609 23,250 42 57,341 Total $ 816,886 $ 597,727 $ 102,517 $ 248,893 $ 5,747 $ 1,771,770

SHARE-BASED COMPENSATION (Table

SHARE-BASED COMPENSATION (Tables)	9 Months Ended
	Sep. 30, 2020
Share-based Payment Arrangement [Abstract]
A summary of stock option activity	A summary of stock option activity Shares Weighted Weighted Average Remaining Term (in years) Aggregate Intrinsic Value (in thousands) Outstanding at December 31, 2019 218,214 $ 6.42 2.62 $ 695 Exercised — — — — Outstanding at September 30, 2020 218,214 $ 6.42 1.87 $ — Exercisable at September 30, 2020 218,214 $ 6.42 1.87 $ —
The original and adjusted threshold, target and maximum metrics	The original and adjusted threshold, target and maximum metrics Return on Equity Metrics Performance Period Original Threshold Adjusted Original Adjusted Original Adjusted December 31, 2019 6.50% 7.09% 7.20% 7.85% 7.90% 8.61% As of December 31, 2019, the three-year performance period for the 2017 grants ended. Performance-based shares were earned based on the Company achieving the annual 2017 performance metrics adjusted threshold, target or maximum metrics at the end of each year of the three-year performance period. Of the original 33,883 15,898 17,985 In January 2018, there were 83,812 83,812 50,852 17,908 one year 32,944 three-year 32,960 three-year The threshold, target and stretch metrics under the 2018 grant are as follows: Return on Equity Metrics Performance Period Ending Threshold Target Stretch December 31, 2019 6.85% 7.35% 7.75% December 31, 2020 7.40% 7.90% 8.30% Eligible participants will be able to earn between 50 100 150 In February 2019, there were 108,718 108,718 64,496 20,262 one year 44,234 three-year 44,222 three-year The threshold, target and stretch metrics under the 2019 grants are as follows: Return on Equity Metrics Performance Period Ending Threshold Target Stretch December 31, 2019 5.75% 6.13% 7.00% December 31, 2020 6.00% 6.75% 7.75% December 31, 2021 6.25% 7.00% 8.00% Eligible participants will be able to earn between 50 100 150 In February 2020, there were 120,053 120,053 69,898 19,760 one year 50,138 three-year 50,155 50 three-year Return on Equity Metrics Performance Period Ending Threshold Target Stretch December 31, 2020 5.00% 5.48% 6.00% December 31, 2021 5.62% 6.24% 6.86% December 31, 2022 6.29% 6.99% 7.69% Earnings Per Share Metrics Performance Period Ending Threshold Target Stretch Three-year Cumulative Diluted Earnings Per Share $1.50 $1.65 $1.80
A summary of the status of restricted stock awards	A summary of the status of restricted stock awards Shares Weighted Average Balance at December 31, 2019 172,866 $ 10.07 Shares granted 101,408 9.11 Shares forfeited (16,803 ) 10.15 Shares vested (41,894 ) 9.54 Shares reissued 18,645 9.11 Balance at September 30, 2020 234,222 $ 9.67 Shares Weighted Average Balance at December 31, 2018 155,712 $ 9.87 Shares granted 108,718 9.77 Shares vested (53,465 ) 8.75 Shares forfeited (1,842 ) 9.77 Balance at September 30, 2019 209,123 $ 10.11

PENSION BENEFITS (Tables)

PENSION BENEFITS (Tables)	9 Months Ended
	Sep. 30, 2020
Retirement Benefits [Abstract]
The following table provides information regarding net pension benefit costs for the periods shown:	The following table provides information regarding net pension benefit costs for the periods shown: Three Months Ended Nine Months Ended, September 30, September 30, 2020 2019 2020 2019 (In thousands) Service cost $ 357 $ 274 $ 1,066 $ 822 Interest cost 293 284 870 852 Expected return on assets (382 ) (308 ) (1,146 ) (924 ) Amortization of actuarial loss 99 32 296 96 Net periodic pension cost $ 367 $ 282 $ 1,086 $ 846

DERIVATIVES AND HEDGING ACTIV_2

DERIVATIVES AND HEDGING ACTIVITIES (Tables)	9 Months Ended
	Sep. 30, 2020
Derivative Instruments and Hedging Activities Disclosure [Abstract]
The following table presents information about interest rate swaps at September 30, 2020 and December 31, 2019:	The following table presents information about interest rate swaps at September 30, 2020 and December 31, 2019: September 30, 2020 Notional Weighted Average Weighted Average Rate Estimated Fair Amount Maturity Receive Pay Value (In thousands) (In years) (In thousands) Non-hedging derivatives: Loan-level swaps – dealer $ 13,599 12.7 1.98 % 3.75 % $ (1,808 ) Loan-level swaps – borrower 13,599 12.7 3.75 % 1.98 % 1,808 Forward starting loan-level swaps - dealer 22,390 11.8 (335 ) Forward starting loan-level swaps - borrower 22,390 11.8 335 Total $ 71,978 $ 0 December 31, 2019 Notional Weighted Average Weighted Average Rate Estimated Fair Amount Maturity Receive Pay Value (In thousands) (In years) (In thousands) Cash flow hedges: Interest rate swaps on FHLB borrowings $ 35,000 2.7 1.89 % 3.54 % $ (1,798 ) Non-hedging derivatives: Loan-level swaps – dealer 6,484 13.2 3.45 % 3.79 % (149 ) Loan-level swaps – borrower 6,484 13.2 3.79 % 3.45 % 149 Total $ 47,968 $ (1,798 )
The table below presents the fair value of our derivative financial instruments designated as hedging and non-hedging instruments as well as our classification on the balance sheet as of September 30, 2020 and December 31, 2019.	The table below presents the fair value of our derivative financial instruments designated as hedging and non-hedging instruments as well as our classification on the balance sheet as of September 30, 2020 and December 31, 2019. September 30, 2020 Asset Derivatives Liability Derivatives Balance Sheet Fair Value Balance Sheet Fair Value (In thousands) Derivatives not designated as hedging instruments: Interest rate swap – with customers Other Assets $ 2,143 $ — Interest rate swap – with counterparties — Other Liabilities 2,143 Total derivatives not designated as hedging instruments $ 2,143 $ 2,143 December 31, 2019 Asset Derivatives Liability Derivatives Balance Sheet Fair Value Balance Sheet Fair Value (In thousands) Derivatives designated as hedging instruments: Interest rate swaps – cash flow hedge Other Assets $ — Other Liabilities $ 1,798 Total derivatives designated as hedging instruments $ — $ 1,798 Derivatives not designated as hedging instruments: Interest rate swap – with customers Other Assets $ 149 $ — Interest rate swap – with counterparties — Other Liabilities 149 Total derivatives not designated as hedging instruments $ 149 $ 149
The table below presents the pre-tax net losses of our cash flow hedges for the periods indicated:	The table below presents the pre-tax net losses of our cash flow hedges for the periods indicated: Amount of Gain (Loss) Recognized in OCI on Derivative Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 (In thousands) Interest rate swaps $ (14 ) $ (142 ) $ (1,254 ) $ (1,053 ) 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. The table below presents the amount reclassified from accumulated other comprehensive loss into net income as interest expense for interest rate swaps and termination fees: Amount of Loss Reclassified from OCI into Expense (Effective Portion) Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 (In thousands) Interest rate swaps $ 443 $ 374 $ 1,351 $ 1,056

FAIR VALUE OF ASSETS AND LIAB_2

FAIR VALUE OF ASSETS AND LIABILITIES (Tables)	9 Months Ended
	Sep. 30, 2020
Fair Value Disclosures [Abstract]
Assets and liabilities measured at fair value on a recurring basis are summarized below:	Assets and liabilities measured at fair value on a recurring basis are summarized below: September 30, 2020 Level 1 Level 2 Level 3 Total Assets: (In thousands) Securities available-for-sale $ — $ 191,569 $ — $ 191,569 Marketable equity securities 6,965 — — 6,965 Interest rate swaps — 2,143 — 2,143 Total assets $ 6,965 $ 193,712 $ — $ 200,677 Liabilities: Interest rate swaps $ — $ 2,143 $ — $ 2,143 December 31, 2019 Level 1 Level 2 Level 3 Total Assets: (In thousands) Securities available-for-sale $ — $ 227,708 $ — $ 227,708 Marketable equity securities 6,737 — — 6,737 Interest rate swaps — 149 — 149 Total assets $ 6,737 $ 227,857 $ — $ 234,594 Liabilities: Interest rate swaps $ — $ 1,947 $ — $ 1,947
The following table summarizes the fair value hierarchy used to determine each adjustment and the carrying value of the related assets at September 30, 2020 and December 31, 2019. Total losses for the three and nine months ended September 30, 2020 and 2019, respectively, represent the change in carrying value as a result of fair value adjustments related to assets still held at the periods indicated.	We may also be required, from time to time, to measure certain other assets at fair value on a non-recurring basis in accordance with U.S. GAAP. 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 each adjustment and the carrying value of the related assets at September 30, 2020 and December 31, 2019. Total losses for the three and nine months ended September 30, 2020 and 2019, respectively, represent the change in carrying value as a result of fair value adjustments related to assets still held at the periods indicated. At Three Months Ended Nine Months Ended September 30, 2020 September 30, 2020 September 30, 2020 Total Total Level 1 Level 2 Level 3 Losses Losses (In thousands) Impaired Loans $ — $ — $ 151 $ 13 $ 119 At Three Months Ended Nine Months Ended December 31, 2019 September 30, 2019 September 30, 2019 Total Total Level 1 Level 2 Level 3 Losses Losses (In thousands) Impaired Loans $ — $ — $ 1,836 $ 380 $ 1,077
The estimated fair values of our financial instruments are as follows:	The estimated fair values of our financial instruments are as follows: September 30, 2020 Carrying Value Fair Value Level 1 Level 2 Level 3 Total (In thousands) Assets: Cash and cash equivalents $ 172,112 $ 172,112 $ — $ — $ 172,112 Securities available-for-sale 191,569 — 191,569 — 191,569 Marketable equity securities 6,965 6,965 — — 6,965 Federal Home Loan Bank of Boston and other restricted stock 9,252 — — 9,252 9,252 Loans - net 1,953,695 — — 1,942,727 1,942,727 Accrued interest receivable 7,737 — — 7,737 7,737 Mortgage servicing rights 168 — 168 — 168 Derivative assets 2,143 — 2,143 — 2,143 Liabilities: Deposits 2,011,291 — — 2,014,366 2,014,366 Long-term debt 151,258 — 152,568 — 152,568 Accrued interest payable 284 — — 284 284 Derivative liabilities 2,143 — 2,143 — 2,143 December 31, 2019 Carrying Value Fair Value Level 1 Level 2 Level 3 Total (In thousands) Assets: Cash and cash equivalents $ 24,741 $ 24,741 $ — $ — $ 24,741 Securities available-for-sale 227,708 — 227,708 — 227,708 Marketable equity securities 6,737 6,737 — — 6,737 Federal Home Loan Bank of Boston and other restricted stock 14,477 — — 14,477 14,477 Loans - net 1,761,932 — — 1,729,150 1,729,150 Accrued interest receivable 5,313 — — 5,313 5,313 Mortgage servicing rights 219 — 345 — 345 Derivative assets 149 — 149 — 149 Liabilities: Deposits 1,677,864 — — 1,679,851 1,679,851 Short-term borrowings 35,000 — 35,004 — 35,004 Long-term debt 205,515 — 205,850 — 205,850 Accrued interest payable 525 — — 525 525 Derivative liabilities 1,947 — 1,947 — 1,947

LEASES (Tables)

LEASES (Tables)	9 Months Ended
	Sep. 30, 2020
Leases [Abstract]
The components of lease expense were as follows:	The components of lease expense were as follows: Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 (In thousands) Amortization of ROU assets $ 325 $ 244 $ 863 $ 729 Interest on lease liabilities 74 60 197 184 Operating lease cost $ 399 $ 304 $ 1,060 $ 913
Supplemental cash flow information related to leases was as follows:	Supplemental cash flow information related to leases was as follows: Nine Months Ended September 30, 2020 2019 (In thousands) Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 1,016 $ 878 ROU assets obtained in exchange for lease obligations: Operating leases 4,211 411
Supplemental balance sheet information related to leases was as follows:	Supplemental balance sheet information related to leases was as follows: September 30, 2020 December 31, 2019 (In thousands) Operating lease ROU assets $ 10,146 $ 6,795 Operating lease liabilities $ 10,236 $ 6,840
Maturities of the Company’s operating lease liabilities were as follows (in thousands):	Maturities of the Company’s operating lease liabilities were as follows (in thousands): Years Ending December 31, 2020 $ 374 2021 1,450 2022 1,385 2023 1,153 2024 1,088 Thereafter 6,638 Total lease payments 12,088 Less imputed interest (1,852 ) Total $ 10,236

SUMMARY OF SIGNIFICANT ACCOUN_3

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative)	Sep. 30, 2020Number
Accounting Policies [Abstract]
Number of banking offices in which bank operates	25

Earnings per common share for t

Earnings per common share for the three and nine months ended September 30, 2020 and 2019 have been computed based on the following: (Details) - USD ($) $ / shares in Units, $ in Thousands		3 Months Ended		9 Months Ended
		Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Earnings per common share:
Net income applicable to common stock		$ 2,101	$ 3,225	$ 6,202	$ 9,913
Average number of common shares issued		25,641	26,621	25,859	27,092
Less: Average unallocated ESOP Shares		(569)	(656)	(590)	(678)
Less: Average unvested performance-based equity incentive plan shares		(126)	(111)	(123)	(106)
Average number of common shares outstanding used to calculate basic earnings per common share		24,946	25,854	25,146	26,308
Effect of dilutive performance-based equity incentive plan			47		42
Effect of dilutive stock options			68	18	73
Average number of common shares outstanding used to calculate diluted earnings per common share		24,946	25,969	25,164	26,423
Basic earnings per share		$ 0.08	$ 0.12	$ 0.25	$ 0.38
Diluted earnings per share		$ 0.08	$ 0.12	$ 0.25	$ 0.38
Anti-dilutive shares	[1]	344		344
[1]	Shares outstanding but not included because the impact of these shares would be anti-dilutive to the earnings per share calculation for the periods presented.

The components of accumulated o

The components of accumulated other comprehensive loss included in shareholders’ equity are as follows: (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019	Sep. 30, 2019	Dec. 31, 2018
Accumulated Other Comprehensive Income (Loss) [Line Items]
Accumulated other comprehensive loss, net of tax amount	$ (5,836)	$ (8,968)	$ (6,524)	$ (13,416)
AOCI, Accumulated Gain (Loss), Debt Securities, Available-for-sale, Parent [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Accumulated other comprehensive income (loss), before tax	1,132	(393)
Tax effect	(296)	71
Accumulated other comprehensive loss, net of tax amount	836	(322)	(578)	(7,400)
Accumulated Other Comprehensive Income (Loss), Derivative Qualifying as Hedge, Excluded Component, Including Portion Attributable to Noncontrolling Interest [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Accumulated other comprehensive income (loss), before tax	(849)	(3,299)
Tax effect	239	928
Accumulated other comprehensive loss, net of tax amount	(610)	(2,371)	(2,768)	(2,770)
Fair value of derivatives used for cash flow hegdes		(1,773)
Termination fee on cancelled cash flow hedges	(849)	(1,526)
Accumulated Defined Benefit Plans Adjustment Attributable to Parent [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Accumulated other comprehensive income (loss), before tax	(8,432)	(8,728)
Tax effect	2,370	2,453
Accumulated other comprehensive loss, net of tax amount	$ (6,062)	$ (6,275)	$ (3,178)	$ (3,246)

The following table presents ch

The following table presents changes in accumulated other comprehensive loss for the periods ended September 30, 2020 and 2019 by component (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance			$ (8,968)	$ (13,416)
Cumulative-effect adjustment due to change in accounting principle (ASU 2017-08)				7
Current-period other comprehensive income	$ (171)	$ 1,229	3,132	6,885
Ending balance	(5,836)	(6,524)	(5,836)	(6,524)
AOCI, Accumulated Gain (Loss), Debt Securities, Available-for-sale, Parent [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance			(322)	(7,400)
Cumulative-effect adjustment due to change in accounting principle (ASU 2017-08)				7
Current-period other comprehensive income			1,158	6,815
Ending balance	836	(578)	836	(578)
Accumulated Other Comprehensive Income (Loss), Derivative Qualifying as Hedge, Excluded Component, Including Portion Attributable to Noncontrolling Interest [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance			(2,371)	(2,770)
Current-period other comprehensive income			1,761	2
Ending balance	(610)	(2,768)	(610)	(2,768)
Accumulated Defined Benefit Plans Adjustment Attributable to Parent [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance			(6,275)	(3,246)
Current-period other comprehensive income			213	68
Ending balance	$ (6,062)	$ (3,178)	$ (6,062)	$ (3,178)

Available-for-sale securities a

Available-for-sale securities are summarized as follows (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Marketable Securities [Line Items]
Available-for-sale Securities, Amortized Cost Basis	$ 190,437	$ 228,101
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax	1,705	996
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax	(573)	(1,389)
Available-for-sale Securities	191,569	227,708
Government Sponsored Enterprise Obligations [Member]
Marketable Securities [Line Items]
Available-for-sale Securities, Amortized Cost Basis	4,973	20,150
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax	(23)	(136)
Available-for-sale Securities	4,950	20,014
State And Municipal Bonds [Member]
Marketable Securities [Line Items]
Available-for-sale Securities, Amortized Cost Basis	684	2,718
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax	3	95
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax
Available-for-sale Securities	687	2,813
Corporate Debt Securities [Member]
Marketable Securities [Line Items]
Available-for-sale Securities, Amortized Cost Basis	3,043	7,800
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax		88
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax	(73)	(22)
Available-for-sale Securities	2,970	7,866
Debt Securities [Member]
Marketable Securities [Line Items]
Available-for-sale Securities, Amortized Cost Basis	8,700	30,668
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax	3	183
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax	(96)	(158)
Available-for-sale Securities	8,607	30,693
US Government-sponsored Enterprises Debt Securities [Member]
Marketable Securities [Line Items]
Available-for-sale Securities, Amortized Cost Basis	159,151	186,236
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax	1,640	780
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax	(201)	(1,015)
Available-for-sale Securities	160,590	186,001
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member]
Marketable Securities [Line Items]
Available-for-sale Securities, Amortized Cost Basis	22,586	11,197
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax	62	33
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax	(276)	(216)
Available-for-sale Securities	22,372	11,014
Collateralized Mortgage Backed Securities [Member]
Marketable Securities [Line Items]
Available-for-sale Securities, Amortized Cost Basis	181,737	197,433
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax	1,702	813
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax	(477)	(1,231)
Available-for-sale Securities	$ 182,962	$ 197,015

The amortized cost and fair val

The amortized cost and fair value of available-for-sale debt securities at September 30, 2020, by final maturity, are shown below. Actual maturities may differ from contractual maturities because certain issuers have the right to call or prepay obligation (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Marketable Securities [Line Items]
Available for Sale Securities, Amortized Cost, Total	$ 190,437	$ 228,101
Available for Sale Securities, Fair Value, Total	191,569
Debt Security, Corporate, US [Member]
Marketable Securities [Line Items]
Available for Sale Securities, Amortized Cost, Due after one year through five years	3,727
Available for Sale Securities, Fair Value, Due after one year through five years	3,657
Available for Sale Securities, Amortized Cost, Due after ten years	4,973
Available for Sale Securities, Fair Value, Due after ten years	4,950
Available for Sale Securities, Amortized Cost, Total	8,700
Available for Sale Securities, Fair Value, Total	8,607
Collateralized Mortgage Backed Securities [Member]
Marketable Securities [Line Items]
Available for Sale Securities, Amortized Cost, Total	181,737	$ 197,433
Available for Sale Securities, Fair Value, Total	$ 182,962

Gross realized gains and losses

Gross realized gains and losses on sales of available-for-sale securities for the three and nine months ended September 30, 2020 and 2019 are as follows (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Investments, Debt and Equity Securities [Abstract]
Gross gains realized	$ 1,944	$ 49	$ 2,187	$ 148
Gross losses realized	(15)		(222)	(160)
Net loss realized	$ 1,929	$ 49	$ 1,965	$ (12)

Information pertaining to secur

Information pertaining to securities with gross unrealized losses at September 30, 2020 and December 31, 2019, aggregated by investment category and length of time that individual securities have been in a continuous loss position are as follows (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Marketable Securities [Line Items]
Available for sale, Less Than 12 Months Gross Unrealized Losses	$ 415	$ 277
Available for sale, Less Than 12 Months Fair Value	44,161	61,764
Available for sale, Over 12 Months Gross Unrealized Losses	158	1,112
Available for sale, Over 12 Months Fair Value	4,901	79,805
US Government-sponsored Enterprises Debt Securities [Member]
Marketable Securities [Line Items]
Available for sale, Less Than 12 Months Gross Unrealized Losses	147	122
Available for sale, Less Than 12 Months Fair Value	20,043	42,834
Available for sale, Over 12 Months Gross Unrealized Losses	54	893
Available for sale, Over 12 Months Fair Value	2,164	70,581
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member]
Marketable Securities [Line Items]
Available for sale, Less Than 12 Months Gross Unrealized Losses	172	13
Available for sale, Less Than 12 Months Fair Value	16,198	2,783
Available for sale, Over 12 Months Gross Unrealized Losses	104	203
Available for sale, Over 12 Months Fair Value	2,737	4,688
Corporate Debt Securities [Member]
Marketable Securities [Line Items]
Available for sale, Less Than 12 Months Gross Unrealized Losses	73	16
Available for sale, Less Than 12 Months Fair Value	2,970	1,623
Available for sale, Over 12 Months Gross Unrealized Losses		6
Available for sale, Over 12 Months Fair Value		3,046
US government sponsored enterprises obligation securities
Marketable Securities [Line Items]
Available for sale, Less Than 12 Months Gross Unrealized Losses	23	126
Available for sale, Less Than 12 Months Fair Value	$ 4,950	14,524
Available for sale, Over 12 Months Gross Unrealized Losses		10
Available for sale, Over 12 Months Fair Value		$ 1,490

SECURITIES (Details Narrative)

SECURITIES (Details Narrative) - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019
Marketable Securities [Line Items]
Proceeds from redemptions and sales	$ 96.3	$ 57.4
Collateralized Mortgage Backed Securities [Member]
Marketable Securities [Line Items]
Fair value of collateralized public deposits	$ 71.7

Major classifications of loans

Major classifications of loans at the periods indicated were as follows: (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Jun. 30, 2020	Dec. 31, 2019	Sep. 30, 2019	Jun. 30, 2019	Dec. 31, 2018
Financing Receivable, Past Due [Line Items]
Total gross loans	$ 1,975,443		$ 1,771,770
Unamortized PPP loan fees	(4,810)
Unearned premiums and deferred loan fees and costs, net	3,754		4,264
Allowance for loan losses	(20,692)	$ (18,253)	(14,102)	$ (13,272)	$ (12,423)	$ (12,053)
Net loans	1,953,695		1,761,932
Commercial Real Estate [Member]
Financing Receivable, Past Due [Line Items]
Total gross loans	812,139		816,886
Allowance for loan losses	(12,432)	(10,271)	(6,807)	(6,334)	(5,690)	(5,260)
Residential Mortgage [Member]
Financing Receivable, Past Due [Line Items]
Total gross loans	608,350		597,727
Home Equity Line of Credit [Member]
Financing Receivable, Past Due [Line Items]
Total gross loans	104,019		102,517
Commercial and Industrial Payment Protection Program [Member]
Financing Receivable, Past Due [Line Items]
Total gross loans	223,104
Commercial and Industrial Sector [Member]
Financing Receivable, Past Due [Line Items]
Total gross loans	222,290		248,893
Consumer Loan [Member]
Financing Receivable, Past Due [Line Items]
Total gross loans	5,541		5,747
Allowance for loan losses	$ (256)	$ (237)	$ (203)	$ (177)	$ (153)	$ (135)

A summary of the activity in th

A summary of the activity in the balances of mortgage servicing rights follows: (Details) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2020	Sep. 30, 2020
Receivables [Abstract]
Balance at the beginning of period:	$ 186	$ 219
Capitalized mortgage servicing rights
Amortization	(16)	(49)
Write-down of mortgage servicing asset to fair value	(2)	(2)
Balance at the end of period	168	168
Fair value at the end of period	$ 168	$ 168

An analysis of changes in the a

An analysis of changes in the allowance for loan losses by segment (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Financing Receivable, Allowance for Credit Loss [Line Items]
Balance at beginning	$ 18,253	$ 12,423	$ 14,102	$ 12,053
Provision (credit)	2,725	1,275	7,275	1,675
Charge-offs	(388)	(470)	(882)	(1,393)
Recoveries	102	44	197	937
Balance at end	20,692	13,272	20,692	13,272
Commercial Real Estate [Member]
Financing Receivable, Allowance for Credit Loss [Line Items]
Balance at beginning	10,271	5,690	6,807	5,260
Provision (credit)	2,103	844	5,674	644
Charge-offs		(200)	(107)	(419)
Recoveries	58		58	849
Balance at end	12,432	6,334	12,432	6,334
Residential Portfolio Segment [Member]
Financing Receivable, Allowance for Credit Loss [Line Items]
Balance at beginning	4,167	3,619	3,920	3,556
Provision (credit)	117	312	406	498
Charge-offs	(26)	(180)	(135)	(305)
Recoveries	1	26	68	28
Balance at end	4,259	3,777	4,259	3,777
Commercial And Industrial [Member]
Financing Receivable, Allowance for Credit Loss [Line Items]
Balance at beginning	3,564	2,960	3,183	3,114
Provision (credit)	458	63	1,057	397
Charge-offs	(325)	(20)	(544)	(514)
Recoveries	37	5	38	11
Balance at end	3,734	3,008	3,734	3,008
Consumer Loan [Member]
Financing Receivable, Allowance for Credit Loss [Line Items]
Balance at beginning	237	153	203	135
Provision (credit)	50	81	116	148
Charge-offs	(37)	(70)	(96)	(155)
Recoveries	6	13	33	49
Balance at end	256	177	256	177
Unallocated [Member]
Financing Receivable, Allowance for Credit Loss [Line Items]
Balance at beginning	14	1	(11)	(12)
Provision (credit)	(3)	(25)	22	(12)
Balance at end	$ 11	$ (24)	$ 11	$ (24)

The following table presents in

The following table presents information pertaining to the allowance for loan losses by segment (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Jun. 30, 2020	Dec. 31, 2019	Sep. 30, 2019	Jun. 30, 2019	Dec. 31, 2018
Financing Receivable, Allowance for Credit Loss [Line Items]
Amount of allowance for non-impaired loans	$ 20,692		$ 14,102
Total allowance for loan losses	20,692	$ 18,253	14,102	$ 13,272	$ 12,423	$ 12,053
Impaired loans	20,720		7,662
Non-impaired loans	1,944,130		1,752,291
Impaired loans acquired with deteriorated credit quality	10,593		11,817
Total loans	1,975,443		1,771,770
Commercial Real Estate [Member]
Financing Receivable, Allowance for Credit Loss [Line Items]
Amount of allowance for non-impaired loans	12,432		6,807
Total allowance for loan losses	12,432	10,271	6,807	6,334	5,690	5,260
Impaired loans	11,203		3,457
Non-impaired loans	793,577		805,007
Impaired loans acquired with deteriorated credit quality	7,359		8,422
Total loans	812,139		816,886
Residential Portfolio Segment [Member]
Financing Receivable, Allowance for Credit Loss [Line Items]
Amount of allowance for non-impaired loans	4,259		3,920
Total allowance for loan losses	4,259	4,167	3,920	3,777	3,619	3,556
Impaired loans	3,889		3,575
Non-impaired loans	705,993		694,080
Impaired loans acquired with deteriorated credit quality	2,487		2,589
Total loans	712,369		700,244
Commercial And Industrial [Member]
Financing Receivable, Allowance for Credit Loss [Line Items]
Amount of allowance for non-impaired loans	3,734		3,183
Total allowance for loan losses	3,734	3,564	3,183	3,008	2,960	3,114
Impaired loans	5,599		588
Non-impaired loans	439,048		247,499
Impaired loans acquired with deteriorated credit quality	747		806
Total loans	445,394		248,893
Consumer Loan [Member]
Financing Receivable, Allowance for Credit Loss [Line Items]
Amount of allowance for non-impaired loans	256		203
Total allowance for loan losses	256	237	203	177	153	135
Impaired loans	29		42
Non-impaired loans	5,512		5,705
Total loans	5,541		5,747
Unallocated [Member]
Financing Receivable, Allowance for Credit Loss [Line Items]
Amount of allowance for non-impaired loans	11		(11)
Total allowance for loan losses	$ 11	$ 14	$ (11)	$ (24)	$ 1	$ (12)

The following tables present an

The following tables present an age analysis of past due loans, excluding PPP loans, as of the dates indicated: (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Financing Receivable, Past Due [Line Items]
Total Past Due Loans	$ 6,678	$ 13,802
Total Current Loans	1,745,661	1,757,968
Total loans	1,975,443	1,771,770
Non-Accrual Loans	9,208	9,881
Total Loans Non PPE [Member]
Financing Receivable, Past Due [Line Items]
Total loans	1,752,339
Financial Asset, 30 to 59 Days Past Due [Member]
Financing Receivable, Past Due [Line Items]
Total Past Due Loans	2,386	6,818
Financial Asset, 60 to 89 Days Past Due [Member]
Financing Receivable, Past Due [Line Items]
Total Past Due Loans	1,368	2,600
Financial Asset, Equal to or Greater than 90 Days Past Due [Member]
Financing Receivable, Past Due [Line Items]
Total Past Due Loans	2,924	4,384
Commercial Real Estate [Member]
Financing Receivable, Past Due [Line Items]
Total Past Due Loans	2,649	6,655
Total Current Loans	809,490	810,231
Total loans	812,139	816,886
Non-Accrual Loans	1,846	3,843
Commercial Real Estate [Member] | Financial Asset, 30 to 59 Days Past Due [Member]
Financing Receivable, Past Due [Line Items]
Total Past Due Loans	651	2,784
Commercial Real Estate [Member] | Financial Asset, 60 to 89 Days Past Due [Member]
Financing Receivable, Past Due [Line Items]
Total Past Due Loans	539	1,234
Commercial Real Estate [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member]
Financing Receivable, Past Due [Line Items]
Total Past Due Loans	1,459	2,637
Residential Mortgage [Member]
Financing Receivable, Past Due [Line Items]
Total Past Due Loans	2,979	4,690
Total Current Loans	605,371	593,037
Total loans	608,350	597,727
Non-Accrual Loans	4,848	4,548
Residential Mortgage [Member] | Financial Asset, 30 to 59 Days Past Due [Member]
Financing Receivable, Past Due [Line Items]
Total Past Due Loans	1,490	2,574
Residential Mortgage [Member] | Financial Asset, 60 to 89 Days Past Due [Member]
Financing Receivable, Past Due [Line Items]
Total Past Due Loans	741	683
Residential Mortgage [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member]
Financing Receivable, Past Due [Line Items]
Total Past Due Loans	748	1,433
Home Equity Line of Credit [Member]
Financing Receivable, Past Due [Line Items]
Total Past Due Loans	117	267
Total Current Loans	103,902	102,250
Total loans	104,019	102,517
Non-Accrual Loans	281	445
Home Equity Line of Credit [Member] | Financial Asset, 30 to 59 Days Past Due [Member]
Financing Receivable, Past Due [Line Items]
Total Past Due Loans		80
Home Equity Line of Credit [Member] | Financial Asset, 60 to 89 Days Past Due [Member]
Financing Receivable, Past Due [Line Items]
Total Past Due Loans		38
Home Equity Line of Credit [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member]
Financing Receivable, Past Due [Line Items]
Total Past Due Loans	117	149
Commercial and Industrial Sector [Member]
Financing Receivable, Past Due [Line Items]
Total Past Due Loans	916	2,149
Total Current Loans	221,374	246,744
Total loans	222,290	248,893
Non-Accrual Loans	2,203	1,003
Commercial and Industrial Sector [Member] | Financial Asset, 30 to 59 Days Past Due [Member]
Financing Receivable, Past Due [Line Items]
Total Past Due Loans	228	1,356
Commercial and Industrial Sector [Member] | Financial Asset, 60 to 89 Days Past Due [Member]
Financing Receivable, Past Due [Line Items]
Total Past Due Loans	88	645
Commercial and Industrial Sector [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member]
Financing Receivable, Past Due [Line Items]
Total Past Due Loans	600	148
Consumer Loan [Member]
Financing Receivable, Past Due [Line Items]
Total Past Due Loans	17	41
Total Current Loans	5,524	5,706
Total loans	5,541	5,747
Non-Accrual Loans	30	42
Consumer Loan [Member] | Financial Asset, 30 to 59 Days Past Due [Member]
Financing Receivable, Past Due [Line Items]
Total Past Due Loans	$ 17	24
Consumer Loan [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member]
Financing Receivable, Past Due [Line Items]
Total Past Due Loans		$ 17

The following is a summary of i

The following is a summary of impaired loans by class: (Details) - USD ($) $ in Thousands		3 Months Ended			9 Months Ended
		Sep. 30, 2020	Sep. 30, 2019		Sep. 30, 2020	Sep. 30, 2019		Dec. 31, 2019
Financing Receivable, Impaired [Line Items]
Recorded Investment		$ 31,313			$ 31,313			$ 19,479	[1]
Unpaid Principal Balance		35,842			35,842			25,084	[1]
Average Recorded Investment		31,925	$ 25,850	[1]	28,185	$ 27,548	[1]
Interest Income Recognized		304	242	[1]	622	679	[1]
Commercial Real Estate [Member]
Financing Receivable, Impaired [Line Items]
Recorded Investment	[1]	18,562			18,562			11,879
Unpaid Principal Balance	[1]	19,911			19,911			13,914
Average Recorded Investment	[1]	19,709	15,558		18,361	16,542
Interest Income Recognized	[1]	169	182		369	481
Residential Portfolio Segment [Member]
Financing Receivable, Impaired [Line Items]
Recorded Investment	[1]	6,052			6,052			5,695
Unpaid Principal Balance	[1]	6,754			6,754			6,383
Average Recorded Investment	[1]	5,728	6,375		5,655	6,805
Interest Income Recognized	[1]	14	23		53	87
Home Equity Line of Credit [Member]
Financing Receivable, Impaired [Line Items]
Recorded Investment	[1]	324			324			469
Unpaid Principal Balance	[1]	381			381			539
Average Recorded Investment	[1]	384	406		413	408
Interest Income Recognized	[1]	1			4
Commercial And Industrial [Member]
Financing Receivable, Impaired [Line Items]
Recorded Investment	[1]	6,346			6,346			1,394
Unpaid Principal Balance	[1]	8,753			8,753			4,192
Average Recorded Investment	[1]	6,072	3,466		3,720	3,743
Interest Income Recognized	[1]	120	37		196	111
Consumer Loan [Member]
Financing Receivable, Impaired [Line Items]
Recorded Investment	[1]	29			29			42
Unpaid Principal Balance	[1]	43			43			$ 56
Average Recorded Investment	[1]	$ 32	$ 45		$ 36	$ 50
[1]	Includes loans acquired with deteriorated credit quality and performing troubled debt restructurings.

Loans modifications classified

Loans modifications classified as TDRs during the three and nine months ended September 30, 2020 and 2019 are included in the table below. (Details) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2020USD ($)Number	Sep. 30, 2020USD ($)Number	Sep. 30, 2019USD ($)Number
Troubled Debt Restructurings
Number of Contracts | Number	1	15	4
Pre-Modification Outstanding Recorded Investment	$ 18	$ 9,425	$ 2,415
Post-Modification Outstanding Recorded Investment	$ 18	$ 9,425	$ 2,415
Commercial Real Estate [Member]
Troubled Debt Restructurings
Number of Contracts | Number		5	2
Pre-Modification Outstanding Recorded Investment		$ 4,884	$ 2,032
Post-Modification Outstanding Recorded Investment		$ 4,884	$ 2,032
Commercial And Industrial [Member]
Troubled Debt Restructurings
Number of Contracts | Number	1	10	2
Pre-Modification Outstanding Recorded Investment	$ 18	$ 4,541	$ 383
Post-Modification Outstanding Recorded Investment	$ 18	$ 4,541	$ 383

The following is a summary of l

The following is a summary of loans acquired in the Chicopee Bancorp, Inc. (“Chicopee”) acquisition with evidence of credit deterioration as of September 30, 2020 and 2019. (Details) - Chicopee Bancorp Inc [Member] - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities Acquired During Period [Line Items]
Loans receivable - Contractual Required Payments Receivable beginning	$ 20,689	$ 24,793
Loans receivable - Cash Expected To Be Collected beginning	15,909	19,883
Loans receivable - Non-Accretable Discount beginning	4,780	4,910
Loans receivable - Accretable Yield beginning	4,092	4,854
Loans receivable - Outstanding beginning	11,817	15,029
Collections - Contractually Required Payments Receivable	(1,956)	(2,313)
Collections - Cash Expected to be Collected	(1,431)	(2,187)
Collections - Non-Accretable Discount	(525)	(126)
Collections - Accretable Yield	(241)	(487)
Collections	(1,190)	(1,700)
Dispositions - Contractually Required Payments Receivable	(300)	(242)
Dispositions - Cash Expected to be Collected	(255)	(242)
Dispositions - Non-Accretable Discount	(45)
Dispositions - Accretable Yield	(221)	(199)
Dispositions	(34)	(43)
Loans receivable - Contractual Required Payments Receivable ending	18,433	22,238
Loans receivable - Cash Expected To Be Collected ending	14,223	17,454
Loans receivable - Non-Accretable Discount ending	4,210	4,784
Loans receivable - Accretable Yield ending	3,630	4,168
Loans receivable - Outstanding ending	$ 10,593	$ 13,286

The following table presents ou

The following table presents our loans by risk rating for the periods indicated: (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Financing Receivable, Credit Quality Indicator [Line Items]
Loans	$ 1,975,443	$ 1,771,770
Pass (Rated 1 - 4) [Member]
Financing Receivable, Credit Quality Indicator [Line Items]
Loans	1,828,083	1,688,495
Special Mention (Rated 5) [Member]
Financing Receivable, Credit Quality Indicator [Line Items]
Loans	94,754	25,934
Substandard (Rated 6) [Member]
Financing Receivable, Credit Quality Indicator [Line Items]
Loans	52,606	57,341
Commercial Real Estate [Member]
Financing Receivable, Credit Quality Indicator [Line Items]
Loans	812,139	816,886
Commercial Real Estate [Member] | Pass (Rated 1 - 4) [Member]
Financing Receivable, Credit Quality Indicator [Line Items]
Loans	706,435	766,124
Commercial Real Estate [Member] | Special Mention (Rated 5) [Member]
Financing Receivable, Credit Quality Indicator [Line Items]
Loans	76,650	23,138
Commercial Real Estate [Member] | Substandard (Rated 6) [Member]
Financing Receivable, Credit Quality Indicator [Line Items]
Loans	29,054	27,624
Residential Mortgage [Member]
Financing Receivable, Credit Quality Indicator [Line Items]
Loans	608,350	597,727
Residential Mortgage [Member] | Pass (Rated 1 - 4) [Member]
Financing Receivable, Credit Quality Indicator [Line Items]
Loans	602,420	591,911
Residential Mortgage [Member] | Substandard (Rated 6) [Member]
Financing Receivable, Credit Quality Indicator [Line Items]
Loans	5,930	5,816
Home Equity Line of Credit [Member]
Financing Receivable, Credit Quality Indicator [Line Items]
Loans	104,019	102,517
Home Equity Line of Credit [Member] | Pass (Rated 1 - 4) [Member]
Financing Receivable, Credit Quality Indicator [Line Items]
Loans	103,575	101,908
Home Equity Line of Credit [Member] | Substandard (Rated 6) [Member]
Financing Receivable, Credit Quality Indicator [Line Items]
Loans	444	609
Commercial And Industrial [Member]
Financing Receivable, Credit Quality Indicator [Line Items]
Loans	445,394	248,893
Commercial And Industrial [Member] | Pass (Rated 1 - 4) [Member]
Financing Receivable, Credit Quality Indicator [Line Items]
Loans	410,141	222,847
Commercial And Industrial [Member] | Special Mention (Rated 5) [Member]
Financing Receivable, Credit Quality Indicator [Line Items]
Loans	18,104	2,796
Commercial And Industrial [Member] | Substandard (Rated 6) [Member]
Financing Receivable, Credit Quality Indicator [Line Items]
Loans	17,149	23,250
Consumer Loan [Member]
Financing Receivable, Credit Quality Indicator [Line Items]
Loans	5,541	5,747
Consumer Loan [Member] | Pass (Rated 1 - 4) [Member]
Financing Receivable, Credit Quality Indicator [Line Items]
Loans	5,512	5,705
Consumer Loan [Member] | Substandard (Rated 6) [Member]
Financing Receivable, Credit Quality Indicator [Line Items]
Loans	$ 29	$ 42

LOANS AND ALLOWANCE FOR LOAN _3

LOANS AND ALLOWANCE FOR LOAN LOSSES (Details Narrative)	3 Months Ended		9 Months Ended
	Sep. 30, 2020USD ($)	Sep. 30, 2019USD ($)	Sep. 30, 2020USD ($)$ / Loans	Sep. 30, 2019USD ($)	Dec. 31, 2019USD ($)
Accounts, Notes, Loans and Financing Receivable [Line Items]
Serviced commercial loans for participants	$ 41,300		$ 41,300		$ 24,200
Weighted average prepayment speed, PSA			300.00%
Weighted average internal rate of return			12.06%
Weighted average servicing fee			0.25%
Net cost to service loans | $ / Loans			84.44
Mortgage loans serviced for others	40,500		$ 40,500		$ 48,200
Net service fee income			$ 36,000	$ 52,000
Loan-to-value ratio requiring private mortgage insurance			80.00%
Troubled debt restructuring, subsequent default	0			0
Troubled debt restructuring	0	$ 440,000	$ 0	$ 440,000
Commercial And Industrial [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Impaired loans additional financing provided	350,000
Unadvanced funds remaining	180,000		180,000
Commitment to lend	$ 350,000		$ 350,000

GOODWILL AND OTHER INTANGIBLES

GOODWILL AND OTHER INTANGIBLES (Details Narrative) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Finite-Lived Intangible Assets [Line Items]
Amortization of core deposit intangible			$ 281,000	$ 282,000
Core Deposits [Member]
Finite-Lived Intangible Assets [Line Items]
Finite-lived Intangible Assets Acquired			$ 4,500
Finite-Lived Intangible Asset, Useful Life			12 years
Amortization of core deposit intangible	$ 94,000	$ 94,000	$ 281,000	$ 281,000
Future amortization of core deposit intangible assets years 1-5	375,000		375,000
Finite-Lived Intangible Asset, Expected Amortization, after Year Five	$ 1,200		$ 1,200

A summary of stock option activ

A summary of stock option activity (Details) - Share-based Payment Arrangement, Option [Member] $ / shares in Units, $ in Thousands	9 Months Ended
	Sep. 30, 2020USD ($)$ / sharesshares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Outstanding at beginning of period | shares	218,214
Outstanding at beginning of period | $ / shares	$ 6.42
Outstanding at beginning of period	2 years 7 months 13 days
Outstanding at beginning of period | $	$ 695
Outstanding at end of period | shares	218,214
Outstanding at end of period | $ / shares	$ 6.42
Outstanding at end of period	1 year 10 months 13 days
Exercisable at end of period | shares	218,214
Exercisable at end of period | $ / shares	$ 6.42
Exercisable at end of period	1 year 10 months 13 days

The original and adjusted thres

The original and adjusted threshold, target and maximum metrics (Details)	9 Months Ended
	Sep. 30, 2020$ / shares
LTI Plan for 2017 [Member] | Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
December 31, 2019	7.90%
LTI Plan for 2017 [Member] | Original Threshold [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
December 31, 2019	6.50%
LTI Plan for 2017 [Member] | Adjusted Threshold [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
December 31, 2019	7.09%
LTI Plan for 2017 [Member] | Original Target [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
December 31, 2019	7.20%
LTI Plan for 2017 [Member] | Adjusted Target [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
December 31, 2019	7.85%
LTI Plan for 2017 [Member] | Adjusted Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
December 31, 2019	8.61%
LTI Plan for 2018 [Member] | Original Threshold [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
December 31, 2019	6.85%
December 31, 2020	7.40%
LTI Plan for 2018 [Member] | Original Target [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
December 31, 2019	7.35%
December 31, 2020	7.90%
LTI Plan for 2018 [Member] | Stretch [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
December 31, 2019	7.75%
December 31, 2020	8.30%
LTI Plan for 2019 [Member] [Default Label] | Original Threshold [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
December 31, 2019	5.75%
December 31, 2020	6.00%
December 31, 2021	6.25%
LTI Plan for 2019 [Member] [Default Label] | Original Target [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
December 31, 2019	6.13%
December 31, 2020	6.75%
December 31, 2021	7.00%
LTI Plan for 2019 [Member] [Default Label] | Stretch [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
December 31, 2019	7.00%
December 31, 2020	7.75%
December 31, 2021	8.00%
LTI Plan for 2020 [Member] | Original Threshold [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
December 31, 2020	5.00%
December 31, 2021	5.62%
December 31, 2022	6.29%
Three-year Cumulative Diluted Earnings Per Share	$ 1.50
LTI Plan for 2020 [Member] | Original Target [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
December 31, 2020	5.48%
December 31, 2021	6.24%
December 31, 2022	6.99%
Three-year Cumulative Diluted Earnings Per Share	$ 1.65
LTI Plan for 2020 [Member] | Stretch [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
December 31, 2020	6.00%
December 31, 2021	6.86%
December 31, 2022	7.69%
Three-year Cumulative Diluted Earnings Per Share	$ 1.80

A summary of the status of rest

A summary of the status of restricted stock awards (Details) - Restricted Stock [Member] - $ / shares shares in Thousands	9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Beginning balance	172,866	155,712
Beginning balance	$ 10.07	$ 9.87
Shares granted	101,408	108,718
Shares granted	$ 9.11	$ 9.77
Shares forfeited	(16,803)	(1,842)
Shares forfeited	$ 10.15	$ 9.77
Shares vested	(41,894)	(53,465)
Shares vested	$ 9.54	$ 8.75
Shares reissued	18,645
Shares reissued	$ 9.11
Ending balance	234,222	209,123
Ending balance	$ 9.67	$ 10.11

SHARE-BASED COMPENSATION (Detai

SHARE-BASED COMPENSATION (Details Narrative) - USD ($)	1 Months Ended					9 Months Ended
	Feb. 29, 2020	Feb. 28, 2019	Jan. 31, 2018	May 31, 2017	Jan. 31, 2015	Sep. 30, 2020	Sep. 30, 2019	May 14, 2014
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Cash received for options exercised							$ 64,000
Share-based compensation expense						$ 572,000	$ 580,000
LTI Plan for 2017 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted				89,042
LTI Plan for 2018 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted			83,812
LTI Plan for 2019 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted		108,718
LTI Plan for 2020 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted	120,053
RSA Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share based compensation, shares available for grant						25,927
Share-based Payment Arrangement [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares authorized								516,000
Shares granted					48,560
Vesting period					5 years
Share-based Payment Arrangement [Member] | Share-based Payment Arrangement, Employee [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period						3 years
Share-based Payment Arrangement [Member] | Share-based Payment Arrangement, Nonemployee [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period						1 year
Time Based Shares [Member] | LTI Plan for 2017 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted				55,159
Time Based Shares [Member] | LTI Plan for 2017 [Member] | Share-based Payment Arrangement, Tranche One [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted				21,276
Vesting period				1 year
Time Based Shares [Member] | LTI Plan for 2017 [Member] | Share-based Payment Arrangement, Tranche Two [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted				33,883
Vesting period				3 years
Time Based Shares [Member] | LTI Plan for 2018 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted			50,852
Time Based Shares [Member] | LTI Plan for 2018 [Member] | Share-based Payment Arrangement, Tranche One [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted			17,908
Vesting period			1 year
Time Based Shares [Member] | LTI Plan for 2018 [Member] | Share-based Payment Arrangement, Tranche Two [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted			32,944
Vesting period			3 years
Time Based Shares [Member] | LTI Plan for 2019 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted		64,496
Time Based Shares [Member] | LTI Plan for 2019 [Member] | Share-based Payment Arrangement, Tranche One [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted		20,262
Vesting period		1 year
Time Based Shares [Member] | LTI Plan for 2019 [Member] | Share-based Payment Arrangement, Tranche Two [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted		44,234
Vesting period		3 years
Time Based Shares [Member] | LTI Plan for 2020 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted	69,898
Time Based Shares [Member] | LTI Plan for 2020 [Member] | Share-based Payment Arrangement, Tranche One [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted	19,760
Vesting period	1 year
Time Based Shares [Member] | LTI Plan for 2020 [Member] | Share-based Payment Arrangement, Tranche Two [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted	50,138
Vesting period	3 years
Performance Shares [Member] | LTI Plan for 2017 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted				33,883
Vesting period				3 years
Shares vested	15,898
Shares forfeited	17,985
Performance Shares [Member] | LTI Plan for 2017 [Member] | Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percent of awards participants may earn				150.00%
Performance Shares [Member] | LTI Plan for 2017 [Member] | Original Threshold [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percent of awards participants may earn				50.00%
Performance Shares [Member] | LTI Plan for 2017 [Member] | Original Target [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percent of awards participants may earn				100.00%
Performance Shares [Member] | LTI Plan for 2018 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted			32,960
Vesting period			3 years
Performance Shares [Member] | LTI Plan for 2018 [Member] | Original Threshold [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percent of awards participants may earn			50.00%
Performance Shares [Member] | LTI Plan for 2018 [Member] | Original Target [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percent of awards participants may earn			100.00%
Performance Shares [Member] | LTI Plan for 2018 [Member] | Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percent of awards participants may earn			150.00%
Performance Shares [Member] | LTI Plan for 2019 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted		44,222
Vesting period		3 years
Performance Shares [Member] | LTI Plan for 2019 [Member] | Original Threshold [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percent of awards participants may earn		50.00%
Performance Shares [Member] | LTI Plan for 2019 [Member] | Original Target [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percent of awards participants may earn		100.00%
Performance Shares [Member] | LTI Plan for 2019 [Member] | Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percent of awards participants may earn		150.00%
Performance Shares [Member] | LTI Plan for 2020 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted	50,155
Vesting period	3 years
Vesting percentage	50.00%
Performance Shares [Member] | LTI Plan for 2020 [Member] | Original Threshold [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percent of awards participants may earn	50.00%
Performance Shares [Member] | LTI Plan for 2020 [Member] | Original Target [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percent of awards participants may earn	100.00%
Performance Shares [Member] | LTI Plan for 2020 [Member] | Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percent of awards participants may earn	150.00%

SHORT-TERM BORROWINGS AND LON_2

SHORT-TERM BORROWINGS AND LONG-TERM DEBT (Details Narrative) - USD ($) $ in Thousands	1 Months Ended	3 Months Ended	9 Months Ended
	Jul. 31, 2020	Jun. 30, 2020	Sep. 30, 2020	Sep. 30, 2019	Dec. 31, 2019
Debt Instrument [Line Items]
Long-term debt			$ 151,258		$ 205,515
Repayment of debt			100,639	$ 58,036
Line of Credit [Member]
Debt Instrument [Line Items]
Line of credit available			9,500		9,500
Correspondent Bank 1 [Member]
Debt Instrument [Line Items]
Line of credit available			15,000		15,000
Correspondent Bank 2 [Member]
Debt Instrument [Line Items]
Line of credit available			50,000		50,000
FRB Discount Window [Member]
Debt Instrument [Line Items]
Line of credit available			18,300		18,300
PPP Loan Facility [Member]
Debt Instrument [Line Items]
Borrowed percentage of PPP loans		12.00%
Federal Home Loan Bank Certificates and Obligations (FHLB) [Member]
Debt Instrument [Line Items]
Short-term borrowings					$ 35,000
Weighted average rate					1.86%
Long-term debt			151,300		$ 205,500
Federal Home Loan Bank Certificates and Obligations (FHLB) [Member] | Maximum [Member]
Debt Instrument [Line Items]
Borrowing capacity			325,300
PPP Loan [Member]
Debt Instrument [Line Items]
Borrowed amount			$ 26,400
Interest rate			0.35%
Repayment of debt	$ 26,400

The following table provides in

The following table provides information regarding net pension benefit costs for the periods shown: (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Retirement Benefits [Abstract]
Service cost	$ 357	$ 274	$ 1,066	$ 822
Interest cost	293	284	870	852
Expected return on assets	(382)	(308)	(1,146)	(924)
Amortization of actuarial loss	99	32	296	96
Net periodic pension cost	$ 367	$ 282	$ 1,086	$ 846

PENSION BENEFITS (Details Narra

PENSION BENEFITS (Details Narrative)	9 Months Ended
	Sep. 30, 2020Number
Retirement Benefits [Abstract]
Minimum working hours needed for eligibility	1,000

The following table presents _2

The following table presents information about interest rate swaps at September 30, 2020 and December 31, 2019: (Details) - USD ($) $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2020	Dec. 31, 2019
Derivative Instruments, Gain (Loss) [Line Items]
Notional Amount	$ 71,978	$ 47,968
Estimated Fair Value	0	(1,798)
Interest Rate Swap Agreement [Member] | Cash Flow Hedging [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Notional Amount		$ 35,000
Weighted Average Maturity		2 years 8 months 12 days
Weighted Average Rate Received		1.89%
Weighted Average Rate Paid		3.54%
Estimated Fair Value		$ (1,798)
Not Designated as Hedging Instrument [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Notional Amount	72,000	13,000
Not Designated as Hedging Instrument [Member] | Loan-Level Swaps - Dealer [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Notional Amount	$ 13,599	$ 6,484
Weighted Average Maturity	12 years 8 months 12 days	13 years 2 months 12 days
Weighted Average Rate Received	1.98%	3.45%
Weighted Average Rate Paid	3.75%	3.79%
Estimated Fair Value	$ (1,808)	$ (149)
Not Designated as Hedging Instrument [Member] | Loan-Level Swaps - Borrower [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Notional Amount	$ 13,599	$ 6,484
Weighted Average Maturity	12 years 8 months 12 days	13 years 2 months 12 days
Weighted Average Rate Received	3.75%	3.79%
Weighted Average Rate Paid	1.98%	3.45%
Estimated Fair Value	$ 1,808	$ 149
Not Designated as Hedging Instrument [Member] | Forward Starting Loan Level Swaps Dealer [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Notional Amount	$ 22,390
Weighted Average Maturity	11 years 9 months 18 days
Estimated Fair Value	$ (335)
Not Designated as Hedging Instrument [Member] | Forward Starting Loan Level Swaps Borrower [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Notional Amount	$ 22,390
Weighted Average Maturity	11 years 9 months 18 days
Estimated Fair Value	$ 335

The table below presents the fa

The table below presents the fair value of our derivative financial instruments designated as hedging and non-hedging instruments as well as our classification on the balance sheet as of September 30, 2020 and December 31, 2019. (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Not Designated as Hedging Instrument [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Fair value of derivative assets	$ 2,143	$ 149
Fair value of derivative liability	2,143	149
Not Designated as Hedging Instrument [Member] | Interest Rate Swap Agreement [Member] | Customers [Member] | Other Assets [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Fair value of derivative assets	2,143	149
Not Designated as Hedging Instrument [Member] | Interest Rate Swap Agreement [Member] | Counterparties [Member] | Other Liabilities [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Fair value of derivative liability	$ 2,143	149
Designated as Hedging Instrument [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Fair value of derivative liability		1,798
Designated as Hedging Instrument [Member] | Interest Rate Swap Agreement [Member] | Other Liabilities [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Fair value of derivative liability		$ 1,798

The table below presents the pr

The table below presents the pre-tax net losses of our cash flow hedges for the periods indicated: (Details) - Interest Rate Swap [Member] - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Loss Reclassified from OCI into Expense (Effective Portion)	$ 443	$ 374	$ 1,351	$ 1,056
Cash Flow Hedging [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Recognized in OCI on Derivative	$ (14)	$ (142)	$ (1,254)	$ (1,053)

DERIVATIVES AND HEDGING ACTIV_3

DERIVATIVES AND HEDGING ACTIVITIES (Details Narrative) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019	Dec. 31, 2019
Derivative [Line Items]
Derivatives notional amount	$ 71,978,000		$ 71,978,000		$ 47,968,000
Loss on interest rate swap termination	2,353,000		2,353,000
Estimated amount to be reclassified during the next 12 month period	590,000		590,000
Net liability position	2,100,000		2,100,000		1,800,000
Cash posted as collateral	2,300,000		2,300,000
Not Designated as Hedging Instrument [Member]
Derivative [Line Items]
Derivatives notional amount	72,000,000		$ 72,000,000		13,000,000
Designated as Hedging Instrument [Member]
Derivative [Line Items]
Derivatives notional amount					$ 35,000,000
Loss on interest rate swap termination	$ 2,400,000

Assets and liabilities measured

Assets and liabilities measured at fair value on a recurring basis are summarized below: (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Securities available-for-sale	$ 191,569
Marketable equity securities	6,965	$ 6,737
Interest rate swaps	2,143	149
Interest rate swaps	2,143	1,947
Fair Value, Inputs, Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable equity securities	6,965	6,737
Interest rate swaps
Interest rate swaps
Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable equity securities
Interest rate swaps	2,143	149
Interest rate swaps	2,143	1,947
Fair Value, Inputs, Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable equity securities
Interest rate swaps
Interest rate swaps
Fair Value, Recurring [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Securities available-for-sale	191,569	227,708
Marketable equity securities	6,965	6,737
Interest rate swaps	2,143	149
Total assets	200,677	234,594
Interest rate swaps	2,143	1,947
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Securities available-for-sale
Marketable equity securities	6,965	6,737
Interest rate swaps
Total assets	6,965	6,737
Interest rate swaps
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Securities available-for-sale	191,569	227,708
Marketable equity securities
Interest rate swaps	2,143	149
Total assets	193,712	227,857
Interest rate swaps	2,143	1,947
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Securities available-for-sale
Marketable equity securities
Interest rate swaps
Total assets
Interest rate swaps

The following table summarizes

The following table summarizes the fair value hierarchy used to determine each adjustment and the carrying value of the related assets at September 30, 2020 and December 31, 2019. Total losses for the three and nine months ended September 30, 2020 and 201 (Details) - Fair Value, Nonrecurring [Member] - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019	Dec. 31, 2019
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total Losses	$ 13	$ 380	$ 119	$ 1,077
Fair Value, Inputs, Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired Loans	$ 151		$ 151		$ 1,836

The estimated fair values of ou

The estimated fair values of our financial instruments are as follows: (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Assets:
Cash and cash equivalents	$ 172,112	$ 24,741
Securities available-for-sale	191,569	227,708
Marketable equity securities	6,965	6,737
Federal Home Loan Bank of Boston and other restricted stock	9,252	14,477
Loans - net	1,942,727	1,729,150
Accrued interest receivable	7,737	5,313
Mortgage servicing rights	168	345
Derivative assets	2,143	149
Liabilities:
Deposits	2,014,366	1,679,851
Long-term debt	152,568	205,850
Accrued interest payable	284	525
Derivative liabilities	2,143	1,947
Short-term borrowings		35,004
Fair Value, Inputs, Level 1 [Member]
Assets:
Cash and cash equivalents	172,112	24,741
Securities available-for-sale
Marketable equity securities	6,965	6,737
Federal Home Loan Bank of Boston and other restricted stock
Loans - net
Accrued interest receivable
Mortgage servicing rights
Derivative assets
Liabilities:
Deposits
Long-term debt
Accrued interest payable
Derivative liabilities
Short-term borrowings
Fair Value, Inputs, Level 2 [Member]
Assets:
Cash and cash equivalents
Securities available-for-sale	191,569	227,708
Marketable equity securities
Federal Home Loan Bank of Boston and other restricted stock
Loans - net
Accrued interest receivable
Mortgage servicing rights	168	345
Derivative assets	2,143	149
Liabilities:
Deposits
Long-term debt	152,568	205,850
Accrued interest payable
Derivative liabilities	2,143	1,947
Short-term borrowings		35,004
Fair Value, Inputs, Level 3 [Member]
Assets:
Cash and cash equivalents
Securities available-for-sale
Marketable equity securities
Federal Home Loan Bank of Boston and other restricted stock	9,252	14,477
Loans - net	1,942,727	1,729,150
Accrued interest receivable	7,737	5,313
Mortgage servicing rights
Derivative assets
Liabilities:
Deposits	2,014,366	1,679,851
Long-term debt
Accrued interest payable	284	525
Derivative liabilities
Short-term borrowings
Reported Value Measurement [Member]
Assets:
Cash and cash equivalents	172,112	24,741
Securities available-for-sale	191,569	227,708
Marketable equity securities	6,965	6,737
Federal Home Loan Bank of Boston and other restricted stock	9,252	14,477
Loans - net	1,953,695	1,761,932
Accrued interest receivable	7,737	5,313
Mortgage servicing rights	168	219
Derivative assets	2,143	149
Liabilities:
Deposits	2,011,291	1,677,864
Long-term debt	151,258	205,515
Accrued interest payable	284	525
Derivative liabilities	$ 2,143	1,947
Short-term borrowings		$ 35,000

LEASES (Details Narrative)

LEASES (Details Narrative)	Sep. 30, 2020
Lessee, Lease, Description [Line Items]
Weighted average remaining lease term for operating leases	10 years 10 months 24 days
Weighted average discount rate	2.83%
Minimum [Member]
Lessee, Lease, Description [Line Items]
Operating lease, term of contract	1 year
Operating lease, renewal term	5 years
Maximum [Member]
Lessee, Lease, Description [Line Items]
Operating lease, term of contract	18 years
Operating lease, renewal term	15 years

The components of lease expense

The components of lease expense were as follows: (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Leases [Abstract]
Amortization of ROU assets	$ 325	$ 244	$ 863	$ 729
Interest on lease liabilities	74	60	197	184
Operating lease cost	$ 399	$ 304	$ 1,060	$ 913

Supplemental cash flow informat

Supplemental cash flow information related to leases was as follows: (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$ 1,016	$ 878
ROU assets obtained in exchange for lease obligations:
Operating leases	$ 4,211	$ 411

Supplemental balance sheet info

Supplemental balance sheet information related to leases was as follows: (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Leases [Abstract]
Operating lease ROU assets	$ 10,146	$ 6,795
Operating lease liabilities	$ 10,236	$ 6,840

Maturities of the Company_s ope

Maturities of the Company’s operating lease liabilities were as follows (in thousands): (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Years Ending December 31,
2020	$ 374
2021	1,450
2022	1,385
2023	1,153
2024	1,088
Thereafter	6,638
Total lease payments	12,088
Less imputed interest	(1,852)
Total	$ 10,236	$ 6,840