Document And Entity Information
Document And Entity Information - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Mar. 01, 2018 | Jun. 30, 2017 | |
Document Information [Line Items] | |||
Entity Registrant Name | OLD LINE BANCSHARES INC | ||
Entity Central Index Key | 1,253,317 | ||
Trading Symbol | olbk | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Accelerated Filer | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Common Stock, Shares Outstanding (in shares) | 12,566,696 | ||
Entity Public Float | $ 282.6 | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2017 | ||
Document Fiscal Year Focus | 2,017 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Assets | ||
Cash and due from banks | $ 33,562,652 | $ 22,062,912 |
Interest bearing deposits in other financial institutions | 1,354,870 | 1,151,917 |
Federal funds sold | 256,589 | 248,342 |
Total cash and cash equivalents | 35,174,111 | 23,463,171 |
Investment securities available for sale-at fair value | 218,352,558 | 199,505,204 |
Loans held for sale, fair value of $4,557,722 and $8,707,516 | 4,404,294 | 8,418,435 |
Loans held for investment (net of allowance for loan losses of $5,920,586 and $6,195,469, respectively) | 1,696,361,431 | 1,361,175,206 |
Equity securities at cost | 8,977,747 | 8,303,347 |
Premises and equipment | 41,173,810 | 36,744,704 |
Accrued interest receivable | 5,476,230 | 4,278,229 |
Deferred income taxes | 7,317,096 | 9,578,350 |
Bank owned life insurance | 41,612,496 | 37,557,566 |
Annuity Plan | 5,981,809 | |
Other real estate owned | 2,003,998 | 2,746,000 |
Goodwill | 25,083,675 | 9,786,357 |
Core deposit intangible | 6,297,970 | 3,520,421 |
Other assets | 7,396,227 | 3,942,640 |
Total assets | 2,105,613,452 | 1,709,019,630 |
Deposits | ||
Non-interest bearing | 451,803,052 | 331,331,263 |
Interest bearing | 1,201,100,317 | 994,549,269 |
Total deposits | 1,652,903,369 | 1,325,880,532 |
Short term borrowings | 192,611,971 | 183,433,892 |
Long term borrowings | 38,106,930 | 37,842,567 |
Supplemental executive retirement plan | 5,893,255 | 5,613,799 |
Income taxes payable | 2,157,375 | 18,706 |
Other liabilities | 6,213,366 | 5,563,349 |
Total liabilities | 1,897,886,266 | 1,558,352,845 |
Stockholders’ equity | ||
Common stock, par value $0.01 per share; 25,000,000 shares authorized; issued and outstanding 12,508,332 for 2017 and 10,910,915 for 2016 | 125,083 | 109,109 |
Additional paid-in capital | 148,882,865 | 106,692,958 |
Retained earnings | 61,054,487 | 48,842,026 |
Accumulated other comprehensive income (loss) | (2,335,249) | (4,977,308) |
Total Old Line Bancshares, Inc. stockholders’ equity | 207,727,186 | 150,666,785 |
Total liabilities and stockholders’ equity | $ 2,105,613,452 | $ 1,709,019,630 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Loans held for sale, fair value | $ 4,557,722 | $ 8,707,516 |
Loans held for investment, allowance for loan losses | $ 5,920,586 | $ 6,195,469 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 25,000,000 | 25,000,000 |
Common stock, shares issued (in shares) | 12,508,332 | 10,910,915 |
Common stock, shares outstanding (in shares) | 12,508,332 | 10,910,915 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Interest Income | |||
Loans, including fees | $ 68,132,398 | $ 56,031,146 | $ 47,948,411 |
Interest and dividends on taxable investments: | |||
U.S. Treasury securities | 25,636 | 18,838 | 10,520 |
U.S. government agency securities | 272,751 | 266,302 | 521,947 |
Corporate bonds | 628,622 | 130,374 | |
Mortgage backed securities | 2,213,346 | 2,060,415 | 1,502,468 |
Municipal securities | 1,772,539 | 1,586,956 | 1,239,290 |
Federal funds sold | 6,198 | 2,334 | 1,022 |
Other | 561,231 | 368,175 | 229,136 |
Total interest income | 73,612,721 | 60,464,540 | 51,452,794 |
Interest expense | |||
Deposits | 7,321,031 | 5,508,833 | 4,246,990 |
Borrowed funds | 4,177,602 | 2,016,279 | 617,308 |
Total interest expense | 11,498,633 | 7,525,112 | 4,864,298 |
Net interest income | 62,114,088 | 52,939,428 | 46,588,496 |
Provision for loan losses | 955,108 | 1,584,542 | 1,310,984 |
Net interest income after provision for loan losses | 61,158,980 | 51,354,886 | 45,277,512 |
Non-interest income | |||
Service charges on deposit accounts | 1,982,981 | 1,728,636 | 1,729,773 |
Gains on sales or calls of investment securities | 35,258 | 1,227,915 | 65,222 |
Earnings on bank owned life insurance | 1,167,467 | 1,132,401 | 1,009,653 |
Gain (loss) on disposal of assets | 73,663 | (27,176) | 14,128 |
Gain on sale of loans | 94,714 | ||
Income on marketable loans | 2,319,806 | 2,317,648 | 2,019,313 |
Other fees and commissions | 2,126,716 | 1,876,613 | 2,006,906 |
Total non-interest income | 7,800,605 | 8,256,037 | 6,844,995 |
Non-interest expense | |||
Salaries and benefits | 20,551,526 | 20,031,638 | 17,237,222 |
Occupancy and equipment | 7,073,696 | 6,788,213 | 5,775,874 |
Data processing | 1,671,720 | 1,549,863 | 1,432,182 |
FDIC insurance and State of Maryland assessments | 1,001,522 | 1,040,507 | 966,982 |
Merger and integration | 3,985,514 | 661,018 | 1,420,570 |
Core deposit premium amortization | 968,880 | 830,805 | 792,351 |
(Gain) loss on sales of other real estate owned | (13,589) | (77,943) | 49,717 |
OREO expense | 301,394 | 318,498 | 430,559 |
Director Fees | 659,300 | 665,700 | 651,500 |
Network services | 519,652 | 549,639 | 699,649 |
Telephone | 821,260 | 762,943 | 659,934 |
Other operating | 7,302,172 | 6,522,285 | 6,159,143 |
Total non-interest expense | 44,843,047 | 39,643,166 | 36,275,683 |
Income before income taxes | 24,116,538 | 19,967,757 | 15,846,824 |
Income tax expense | 8,152,724 | 6,812,598 | 5,382,390 |
Net income | 15,963,814 | 13,155,159 | 10,464,434 |
Less: Net gain (loss) attributable to the non-controlling interest | 62 | (4,152) | |
Net income available to common stockholders | $ 15,963,814 | $ 13,155,097 | $ 10,468,586 |
Basic earnings per common share (in dollars per share) | $ 1.38 | $ 1.21 | $ 0.98 |
Diluted earnings per common share (in dollars per share) | 1.35 | 1.20 | 0.97 |
Dividend per common share (in dollars per share) | $ 0.32 | $ 0.24 | $ 0.21 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Net income | $ 15,963,814 | $ 13,155,159 | $ 10,464,434 |
Other Comprehensive Income (Loss): | |||
Unrealized gain (loss) on securities available for sale, net of taxes of $1,734,922, (2,782,707) and $146,528 respectively. | 2,663,409 | (4,271,943) | 224,945 |
Reclassification adjustment for realized gain on securities available for sale included in net income, net of taxes of $13,908, $484,351 and $25,727, respectively. | (21,350) | (743,564) | (39,495) |
Other comprehensive income (loss) | 2,642,059 | (5,015,507) | 185,450 |
Comprehensive Income | 18,605,873 | 8,139,652 | 10,649,884 |
Comprehensive income (loss) attributable to the non-controlling interest | 62 | (4,152) | |
Comprehensive income available to common stockholders | $ 18,605,873 | $ 8,139,590 | $ 10,654,036 |
Consolidated Statements of Com6
Consolidated Statements of Comprehensive Income (Parentheticals) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Unrealized gain (loss) on securities available for sale, taxes | $ 1,734,922 | $ (2,782,707) | $ 146,528 |
Reclassification adjustment for realized gain on securities available for sale included in net income, taxes | $ 13,908 | $ 484,351 | $ 25,727 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Stockholders' Equity - USD ($) | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | AOCI Attributable to Parent [Member] | Noncontrolling Interest [Member] | Total |
Balance (in shares) at Dec. 31, 2014 | 10,810,930 | |||||
Balance at Dec. 31, 2014 | $ 108,110 | $ 105,235,646 | $ 30,067,798 | $ (147,250) | $ 262,333 | $ 135,526,637 |
Net income attributable to Old Line Bancshares,Inc. | 10,468,586 | 10,468,586 | ||||
Acquisition (in shares) | 230,640 | |||||
Acquisition | $ 2,306 | 4,142,295 | 4,144,601 | |||
Unrealized gain on securities available for sale, net of income tax | 185,450 | 185,450 | ||||
Less: Net gain (loss) attributable to the non-controlling interest | (4,152) | (4,152) | ||||
Stock based compensation awards | 418,419 | $ 418,419 | ||||
Stock options exercised including tax benefit (in shares) | 69,500 | 74,800 | ||||
Stock options exercised including tax benefit | $ 695 | 815,158 | $ 815,853 | |||
Restricted stock issued (in shares) | 30,727 | |||||
Restricted stock issued | $ 307 | (307) | ||||
Stock buyback (in shares) | (339,237) | |||||
Stock buyback | $ (3,392) | (5,317,605) | (5,320,997) | |||
Common stock cash dividend | (2,245,508) | (2,245,508) | ||||
Balance (in shares) at Dec. 31, 2015 | 10,802,560 | |||||
Balance at Dec. 31, 2015 | $ 108,026 | 105,293,606 | 38,290,876 | 38,200 | 258,181 | 143,988,889 |
Net income attributable to Old Line Bancshares,Inc. | 13,155,097 | 13,155,097 | ||||
Unrealized gain on securities available for sale, net of income tax | (5,015,508) | (5,015,508) | ||||
Less: Net gain (loss) attributable to the non-controlling interest | 62 | |||||
Stock based compensation awards | 562,672 | $ 562,672 | ||||
Stock options exercised including tax benefit (in shares) | 71,794 | 66,894 | ||||
Stock options exercised including tax benefit | $ 718 | 837,045 | $ 837,763 | |||
Restricted stock issued (in shares) | 36,561 | |||||
Restricted stock issued | $ 365 | (365) | ||||
Common stock cash dividend | (2,603,947) | (2,603,947) | ||||
Purchase of non-controlling interest | (258,181) | $ (258,181) | ||||
Balance (in shares) at Dec. 31, 2016 | 10,910,915 | 10,910,915 | ||||
Balance at Dec. 31, 2016 | $ 109,109 | 106,692,958 | 48,842,026 | (4,977,308) | $ 150,666,785 | |
Net income attributable to Old Line Bancshares,Inc. | 15,963,814 | 15,963,814 | ||||
Acquisition (in shares) | 1,495,090 | |||||
Acquisition | $ 14,951 | 40,830,924 | 40,845,875 | |||
Unrealized gain on securities available for sale, net of income tax | 2,642,059 | 2,642,059 | ||||
Less: Net gain (loss) attributable to the non-controlling interest | ||||||
Stock based compensation awards | 694,593 | $ 694,593 | ||||
Stock options exercised including tax benefit (in shares) | 61,614 | 26,914 | ||||
Stock options exercised including tax benefit | $ 616 | 664,797 | $ 665,413 | |||
Restricted stock issued (in shares) | 40,713 | |||||
Restricted stock issued | $ 407 | (407) | ||||
Common stock cash dividend | (3,751,353) | $ (3,751,353) | ||||
Balance (in shares) at Dec. 31, 2017 | 12,508,332 | 12,508,332 | ||||
Balance at Dec. 31, 2017 | $ 125,083 | $ 148,882,865 | $ 61,054,487 | $ (2,335,249) | $ 207,727,186 |
Consolidated Statements of Cha8
Consolidated Statements of Changes in Stockholders' Equity (Parentheticals) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
AOCI Attributable to Parent [Member] | |||
Unrealized gain on securities available for sale, income tax expense (benefit) | $ 1,721,014 | $ 3,267,058 | $ 120,801 |
Retained Earnings [Member] | |||
Dividend per common share (in dollars per share) | $ 0.32 | $ 0.24 | $ 0.21 |
Stock options exercised, tax benefit | $ 217,132 | $ 149,429 | $ 2,017,132 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Cash flows from operating activities | |||
Net income | $ 15,963,814 | $ 13,155,159 | $ 10,464,434 |
Adjustments to reconcile net income to net cash provided by operating activities | |||
Depreciation and amortization | 2,476,059 | 2,582,116 | 2,332,087 |
Provision for loan losses | 955,108 | 1,584,542 | 1,310,984 |
Amortization of intangible assets | 968,881 | 830,805 | 792,351 |
Change in deferred loan fees net of costs | (409,322) | (329,541) | (1,039) |
(Gain)/loss on sales or calls of securities | (35,258) | (1,227,915) | (65,222) |
Amortization of premiums and discounts | 968,404 | 1,082,570 | 910,426 |
Origination of loans held for sale | (95,358,878) | (100,887,323) | (103,508,482) |
Proceeds from sale of loans held for sale | 99,373,019 | 100,581,376 | 99,944,100 |
Income on marketable loans | (2,319,806) | (2,317,648) | (2,019,313) |
(Gain) loss on sales of other real estate owned | (13,589) | (77,943) | 49,717 |
Gain on sale of loans | (94,714) | ||
Write down of other real estate owned | 145,165 | ||
Gain on sale of fixed assets | (73,663) | (27,176) | (14,128) |
Deferred income taxes | 1,139,576 | 7,509,357 | 2,496,521 |
Stock based compensation awards | 694,593 | 562,672 | 418,419 |
Increase (decrease) in | |||
Accrued interest payable | 155,350 | 852,670 | 128,352 |
Income tax payable | 2,138,669 | (3,596,971) | 3,130,242 |
Supplemental executive retirement plan | 279,456 | 277,290 | 241,368 |
Other liabilities | (2,305,696) | 593,395 | (1,531,062) |
Decrease (increase) in | |||
Accrued interest receivable | (612,806) | (463,683) | (342,255) |
Bank owned life insurance | (969,147) | (951,461) | (866,588) |
Other assets | 1,241,258 | 624,397 | (13,821) |
Net cash provided by operating activities | 24,161,308 | 20,356,688 | 14,002,256 |
Cash flows from investing activities | |||
Net cash and cash equivalents of acquired bank | 35,566,945 | 6,344,304 | |
Acquisition cash consideration | (2,852,321) | ||
Purchase of investment securities available for sale | (50,360,299) | (153,226,365) | (51,567,606) |
Available for sale at maturity, call or paydowns | 23,489,734 | 32,295,968 | |
Available for sale sold | 53,802,337 | 107,993,646 | 41,835,214 |
Annuity Plan | (5,981,809) | ||
Loans made, net of principal collected | (117,568,330) | (214,308,249) | (129,132,289) |
Proceeds from sale of other real estate owned | 1,178,439 | 1,034,362 | 1,413,869 |
Change in equity securities | (674,400) | (3,361,001) | 869,351 |
Purchase of premises and equipment | (2,735,017) | (3,151,842) | (2,399,547) |
Proceeds from the sale of premises and equipment | 73,663 | 27,176 | 14,128 |
Net cash used in investing activities | (63,208,737) | (232,696,305) | (135,474,897) |
Cash flows from financing activities | |||
Time deposits | 69,431,735 | 17,131,785 | 94,563,356 |
Other deposits | (20,276,347) | 72,868,781 | 21,602,161 |
Short term borrowings | 4,424,558 | 75,876,646 | 46,554,357 |
Long term borrowings | 264,363 | 28,249,249 | (16,200,985) |
Stock proceeds from stock repurchase program | (5,320,997) | ||
Proceeds from stock options exercised | 665,413 | 837,763 | 816,213 |
Cash dividends paid-common stock | (3,751,353) | (2,603,947) | (2,245,508) |
Purchase of minority member(s) interest | (258,181) | ||
Net cash provided by financing activities | 50,758,369 | 192,102,096 | 139,768,597 |
Net (decrease) increase in cash and cash equivalents | 11,710,940 | (20,237,521) | 18,295,956 |
Cash and cash equivalents at beginning of period | 23,463,171 | 43,700,692 | 25,404,736 |
Cash and cash equivalents at end of period | 35,174,111 | 23,463,171 | 43,700,692 |
Supplemental Disclosure of Cash Flow Information: | |||
Interest | 11,343,284 | 6,423,846 | 4,735,946 |
Income taxes | 4,874,478 | 2,725,000 | 415,220 |
Supplemental Disclosure of Non-Cash Flow Operating Activities: | |||
Loans transferred to other real estate owned | 422,848 | 1,230,375 | 820,725 |
Fair value of tangible assets acquired | 310,974,425 | 129,901,303 | |
Other intangible assets acquired | 15,297,318 | 2,715,463 | |
Fair value of liabilities assumed | (285,421,333) | (125,619,844) | |
Total merger consideration | 40,850,410 | 6,996,922 | |
Transfer to loans from other real estate owned | $ 820,725 |
Note 1 - Summary of Significant
Note 1 - Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Organization, Consolidation and Presentation of Financial Statements Disclosure and Significant Accounting Policies [Text Block] | 1. Organization and Description of Business Basis of Presentation and Consolidation For 2015, Use of Estimates may Cash and Cash Equivalents one Investment Securities may not We record gains and losses on the sale of securities on the trade date and determine these gains or losses using the specific identification method. We amortize premiums and accrete discounts using the interest method. Management systematically evaluates investment securities for other- than-temporary declines in fair value on a quarterly basis. This analysis requires management to consider various factors, which include ( 1 2 3 Stock Based Compensation Awards Equity Securities Premises and Equipment five 50 three 30 three 23 Other Real Estate Owned third may Mortgage Banking Activities three Goodwill and Other Intangible Assets 18 ten eight Goodwill has an indefinite useful life and is evaluated for impairment annually or more frequently if events and circumstances indicate that the asset might be impaired. An impairment loss is recognized to the extent that the carrying amount exceeds the asset’s fair value. The goodwill impairment analysis is a two first not second If required, the second first first no not one We evaluated the carrying value of goodwill as of September 30, 2017, no may no September 30, 2017 Business Combinations one Loans and Interest Income We discontinue the accrual of interest when any portion of the principal or interest is 90 not not We collectively evaluate large groups of smaller balance homogeneous loans for impairment. Accordingly, we do not Acquired Loans no not Subsequent to the acquisition date, management continues to monitor cash flows on a quarterly basis, to determine the performance of each purchased, credit-impaired loan in comparison to management’s initial performance expectations. Subsequent decreases to the expected cash flows will generally result in a provision for loan losses. Subsequent significant increases in cash flows result in a reversal of the provision for loan losses to the extent of prior provisions or a reclassification of amount from non-accretable difference to accretable yield, with a positive impact on the accretion of interest income in future periods. Acquired performing loans are accounted for using the contractual cash flows method of recognizing discount accretion based on the acquired loans’ contractual cash flows. Acquired performing loans are recorded as of the purchase date at fair value. Credit losses on the acquired performing loans are estimated based on analysis of the performing portfolio. A provision for loan losses is recognized for any further credit deterioration that occurs in these loans subsequent to the acquisition date. Loans Held for Sale December 31, 2017 Allowance for Loan Losses may may may We base the evaluation of the adequacy of the allowance for loan losses upon loan categories. We categorize loans as residential real estate loans, commercial real estate loans, commercial loans and consumer loans. We further divide commercial real estate loans by owner occupied, investment, hospitality and land acquisition and development. We also divide residential real estate by owner occupied, investment, land acquisition and development and junior liens. All categories are divided by risk rating and loss factors and weighed by risk rating to determine estimated loss amounts. We evaluate delinquent loans and loans for which management has knowledge about possible credit problems of the borrower or knowledge of problems with collateral separately and assign loss amounts based upon the evaluation. Within each of the above loan types, each portfolio is sorted by the risk assessment rating of each loan as Pass, Pass-Watch, Special Mention or Substandard. The Bank’s loss experience (Loss Factor) is progressively tiered by risk category for Pass, Pass-Watch, Special Mention and Substandard loans by applying a higher loss factor to higher risk rated categories. Loans rated “Doubtful” or “Loss” are, by definition, impaired and will be specifically reserved based upon Bank management’s best estimate of the loss exposure for each loan. The Bank’s loss experience for each of the last 12 12 not Qualitative factors include: levels and trends in delinquencies and non-accruals; trends in volumes and terms of loans; effects of any changes in lending policies; the experience, ability and depth of management; regional and local economic trends and conditions; Peer Group loan loss history; concentrations of credit; quality of the bank’s loan review system; external factors, such as competition, legal and regulatory requirements; and, management’s collective assessment of the appropriateness of the allowance for loan losses in light of recent trends, events, political impact and other considerations. Advertising Income Taxes fourth 2017, 21% fourth Earnings Per Share We calculate diluted earnings per common share by including the average dilutive common stock equivalents outstanding during the period. Dilutive common equivalent shares consist of stock options and warrants, calculated using the treasury stock method. Years Ended December 31, 2017 2016 2015 Net Income $ 15,963,814 $ 13,155,097 $ 10,468,586 Denominator: Weighted average common shares outstanding 11,588,045 10,837,939 10,647,986 Effect of Diluted Shares 211,139 159,546 136,337 Diluted shares 11,799,184 10,997,485 10,784,323 Net income per share: Basic $ 1.38 $ 1.21 $ 0.98 Diluted $ 1.35 $ 1.20 $ 0.97 Comprehensive Income Reclassifications 2016 2015 2017 no Recent Accounting Pronouncements May 2014, 2014 09 Revenue from Contracts with Customers not first 2018. not not January 1, 2018, In January 2016, No. 2016 01, Financial Instruments – Recognition and Measurement of Financial Assets and Liabilities not December 15, 2017, first 2018. no not In February 2016, 2016 02, Leases (Topic 842 December 15, 2018. first 2019. In March 2016, 2016 09, Compensation – Stock Compensation (Topic 718 Improvements to Employee Share-Based Payment Accounting (“ASU 2016 09 2016 09 December 15, 2016, 2016 09 January 1, 2017 not In June 2016 , 2016 13, Financial Instruments – Credit Losses (Topic 326 sets forth a “current expected credit loss” (“CECL”) model requiring to measure all expected credit losses for financial instruments held at the reporting date based on historical experience, current conditions and reasonable supportable forecasts. This replaces the existing incurred loss model and is applicable to the measurement of credit losses on financial assets measured at amortized cost and applies to some off-balance sheet credit exposures. For public business entities that are U.S. Securities and Exchange Commission filers, the amendments in this update are effective for fiscal years beginning after December 15, 2019, third 2016 13. 2016 13 2016 13 No. 2016 13 In August 2016, 2016 15, Statement of Cash Flows (Topic 230 nine 1 2 zero 3 4 5 6 7 8 9 January 1, 2018 not not In January 2017, 2017 01, Business Combinations (Topic 805 Clarifying the definition of a business not January 1, 2018, not In January 2017, 2017 04, Simplifying the Test for Goodwill Impairment, 2 not December 15, 2019. January 1, 2017. not 2017 04 In March 2017, No. 2017 08, Premium Amortization on Purchased Callable Debt Securities. not No. 2017 08 December 15, 2018; first not In August 2017, No. 2017 12, Targeted Improvements to Accounting for Hedging Activities. 1 2 No. 2017 12 December 15, 2018; not not In February 2018, No. 2018 02, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income (Topic 220 35% 21%. 2018 02 December 15, 2018 2018 02 first 2018. $460 first 2018. |
Note 2 - Acquisition of DCB Ban
Note 2 - Acquisition of DCB Bancshares, Inc. | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Business Combination Disclosure [Text Block] | 2 ACQUISITION OF DCB BANCSHARES, INC. On July 28, 2017, 0.9269 1,495,090 $40.9 July 28, 2017. In connection with the merger, Damascus merged with and into the Bank, with the Bank the surviving bank. At July 28, 2017, $311 six The acquired assets and assumed liabilities of DCB were measured at estimated fair value. Management made significant estimates and exercised significant judgment in accounting for the acquisition of DCB. Management judgmentally assigned risk ratings to loans based on appraisals and estimated collateral values, expected cash flows, prepayment speeds and estimated loss factors to measure fair value for loans. Management used quoted or current market prices to determine the fair value of DCB’s investment securities. The following table provides the purchase price as of the acquisition date and the identifiable assets acquired and liabilities assumed at their estimated fair values. Purchase Price Consideration Cash consideration $ 4,534 Purchase price assigned to shares exchanged for stock 40,845,876 Total purchase price for DCB acquisition 40,850,410 Fair Value of Assets Acquired Cash and due from banks $ 35,571,479 Investment securities available for sale 42,349,201 Loans, net 216,172,008 Premises and equipment 5,214,193 Accrued interest receivable 585,195 Deferred income taxes 599,336 Bank owned life insurance 3,085,783 Core deposit intangible 3,746,430 Other assets 3,650,800 Total assets acquired $ 310,974,425 Fair Value of Liabilities assumed Deposits $ 277,867,449 Short term borrowings 4,753,521 Other liabilities 2,800,363 Total liabilities assumed $ 285,421,333 Fair Value of net assets acquired 25,553,092 Total Purchase Price 40,850,410 Goodwill recorded for DCB $ 15,297,318 The following pro forma information combines the historical results of Bancshares and pre-merger DCB. The pro forma financial information does not $4.0 not If the DCB acquisition had been completed on January 1, 2017, $68.3 twelve December 31, 2017. $20.6 twelve If the DCB acquisition had been completed on January 1, 2016, $62.6 twelve December 31, 2016. $14.4 twelve The following is an outline of the expenses that we have incurred during the twelve December 31, 2017 Year Ending December 31, 2017 Data processing $ 1,426,269 Severence costs 1,515,207 Advisory & legal fees 703,224 Other 340,814 $ 3,985,514 |
Note 3 - Goodwill and Other Int
Note 3 - Goodwill and Other Intangible Assets | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Goodwill and Intangible Assets Disclosure [Text Block] | 3. The following is a summary of changes in the carrying amounts of goodwill as well as the gross carrying amounts and accumulated amortization of core deposit intangibles: December 31, 2017 2016 Goodwill: Carrying amount at beginning of year $ 9,786,357 $ 9,786,357 Goodwill from DCB acquisition 15,297,318 — Carrying amount at end of year $ 25,083,675 $ 9,786,357 Core deposit intangible: Core deposit intangible $ 8,160,420 $ 8,160,420 Acquired during the year 3,746,430 — Less accumulated amortization (5,608,880 ) (4,639,999 ) Carrying amount at end of year $ 6,297,970 $ 3,520,421 We recorded amortization expense related to the core deposit intangible of $968,881, $830,805 $792,351 December 31, 2017, 2016 2015, Core Deposit Years ended December 31, Premium 2018 1,195,796 2019 1,101,084 2020 1,000,018 2021 912,325 2022 832,643 Thereafter 1,256,104 Total $ 6,297,970 |
Note 4 - Cash and Cash Equivale
Note 4 - Cash and Cash Equivalents | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Cash and Cash Equivalents Disclosure [Text Block] | 4. The Bank may not 2017 2016. $528 $491 December 31, 2017 2016, |
Note 5 - Investment Securities
Note 5 - Investment Securities | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Investments in Debt and Marketable Equity Securities (and Certain Trading Assets) Disclosure [Text Block] | 5. Investment securities are summarized as follows: Gross Gross Amortized unrealized unrealized Estimated cost gains losses fair value December 31, 2017 Available for sale U. S. treasury $ 3,007,728 $ — $ (2,337 ) $ 3,005,391 U.S. government agency 18,001,200 — (267,434 ) 17,733,766 Corporate Bonds 14,621,378 144,574 (107,893 ) 14,658,059 Municipal securities 80,791,431 126,566 (1,362,709 ) 79,555,288 Mortgage backed securities: FHLMC certificates 19,907,299 2,516 (455,580 ) 19,454,235 FNMA certificates 64,476,038 — (1,530,121 ) 62,945,917 GNMA certificates 21,403,894 — (403,992 ) 20,999,902 $ 222,208,968 $ 273,656 $ (4,130,066 ) $ 218,352,558 December 31, 2016 Available for sale U. S. treasury $ 2,999,483 $ 27 $ (3,728 ) $ 2,995,782 U.S. government agency 7,653,595 — (387,280 ) 7,266,315 Municipal securities 8,100,000 90,477 (18,840 ) 8,171,637 Mortgage backed securities 71,103,969 170,512 (3,587,676 ) 67,686,805 FHLMC certificates FNMA certificates 22,706,185 11,712 (917,543 ) 21,800,354 GNMA certificates 73,425,200 — (2,976,384 ) 70,448,816 SBA loan pools 21,736,255 3,506 (604,266 ) 21,135,495 $ 207,724,687 $ 276,234 $ (8,495,717 ) $ 199,505,204 The table below summarizes investment securities with unrealized losses and the length of time the securities have been in an unrealized loss position as of December 31, 2017 2016: December 31, 2017 Less than 12 months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized value losses value losses value losses U. S. treasury $ 1,506,328 $ 1,422 $ 1,499,063 $ 915 $ 3,005,391 $ 2,337 U.S. government agency 12,266,502 93,043 5,467,264 174,391 17,733,766 267,434 Corporate bonds 9,407,810 107,893 — — 9,407,810 107,893 Municipal securities 25,548,751 189,668 31,343,394 1,173,041 56,892,145 1,362,709 Mortgage backed securities FHLMC certificates — — 19,314,957 455,580 19,314,957 455,580 FNMA certificates 2,516,080 19,937 60,429,837 1,510,184 62,945,917 1,530,121 GNMA certificates 8,822,021 114,278 12,177,882 289,714 20,999,903 403,992 $ 60,067,492 $ 526,241 $ 130,232,397 $ 3,603,825 $ 190,299,889 $ 4,130,066 December 31, 2016 Less than 12 months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized value losses value losses value losses U. S. treasury $ 1,496,016 $ 3,728 $ — $ — $ 1,496,016 $ 3,728 U.S. government agency 7,266,315 387,280 — — 7,266,315 387,280 Corporate bonds 1,981,160 18,840 — — 1,981,160 18,840 Municipal securities 50,722,157 3,587,676 — — 50,722,157 3,587,676 Mortgage backed securities FHLMC certificates 21,413,620 917,543 — — 21,413,620 917,543 FNMA certificates 70,448,817 2,976,384 — — 70,448,817 2,976,384 GNMA certificates 16,403,268 475,022 4,227,210 129,244 20,630,478 604,266 $ 169,731,353 $ 8,366,473 $ 4,227,210 $ 129,244 $ 173,958,563 $ 8,495,717 At December 31, 2017, 56 12 116 12 We consider all unrealized losses on securities as of December 31, 2017 December 31, 2017, not not not not not During the year ended December 31, 2017, $77.3 $35 $42.3 $41.8 no Contractual maturities and pledged securities at December 31, 2017 2016 2017 2016 Amortized Fair Amortized Fair December 31, cost value cost value Maturing Within one year $ 1,499,978 $ 1,499,063 $ 1,499,739 $ 1,499,766 Over one to five years 3,933,902 3,926,744 4,788,422 4,801,586 Over five to ten years 51,761,846 51,269,917 31,359,410 30,528,639 Over ten years 165,013,242 161,656,834 170,077,116 162,675,213 $ 222,208,968 $ 218,352,558 $ 207,724,687 $ 199,505,204 Pledged securities $ 61,250,667 $ 59,932,905 $ 52,471,389 $ 50,704,637 |
Note 6 - Loans and Allowance fo
Note 6 - Loans and Allowance for Loan Losses | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Loans, Notes, Trade and Other Receivables Disclosure [Text Block] | 6. Major classifications of loans are as follows: December 31, 2017 December 31, 2016 Legacy(1) Acquired Total Legacy(1) Acquired Total Commercial Real Estate Owner Occupied $ 268,128,087 $ 87,658,855 $ 355,786,942 $ 238,220,475 $ 53,850,612 $ 292,071,087 Investment 485,536,921 52,926,739 538,463,660 414,012,709 37,687,804 451,700,513 Hospitality 164,193,228 7,395,186 171,588,414 141,611,858 11,193,427 152,805,285 Land and A&D 67,310,660 9,230,771 76,541,431 51,323,297 6,015,813 57,339,110 Residential Real Estate First Lien—Investment 79,762,682 21,220,518 100,983,200 72,150,512 23,623,660 95,774,172 First Lien—Owner Occupied 67,237,699 62,524,794 129,762,493 54,732,604 42,443,767 97,176,371 Residential Land and A&D 35,879,853 6,536,160 42,416,013 39,667,222 5,558,232 45,225,454 HELOC and Jr. Liens 21,520,339 16,019,418 37,539,757 24,385,215 2,633,718 27,018,933 Commercial and Industrial 154,244,645 33,100,688 187,345,333 136,259,560 5,733,904 141,993,464 Consumer 10,758,589 49,082,751 59,841,340 4,868,909 139,966 5,008,875 1,354,572,703 345,695,880 1,700,268,583 1,177,232,361 188,880,903 1,366,113,264 Allowance for loan losses (5,738,534 ) (182,052 ) (5,920,586 ) (6,084,478 ) (110,991 ) (6,195,469 ) Deferred loan costs, net 2,013,434 — 2,013,434 1,257,411 — 1,257,411 $ 1,350,847,603 $ 345,513,828 $ 1,696,361,431 $ 1,172,405,294 $ 188,769,912 $ 1,361,175,206 ________________________ ( 1 As a result of the acquisitions of Maryland Bankcorp, Inc. (“Maryland Bankcorp”), the parent company of Maryland Bank & Trust Company, N.A. (“MB&T”), in April 2011, May 2013, December 2015 July 2017, two Credit Policies and Administration We have adopted a comprehensive lending policy, which includes stringent underwriting standards for all types of loans. We have designed our underwriting standards to promote a complete banking relationship rather than a transactional relationship. In an effort to manage risk, prior to funding, the loan committee consisting of the Executive Officers and seven Management believes that it employs experienced lending officers, secures appropriate collateral and carefully monitors the financial condition of its borrowers and loan concentrations. In addition to the internal business processes employed in the credit administration area, the Bank retains an outside independent firm to review the loan portfolio. This firm performs a detailed annual review and an interim update. We use the results of the firm’s report to validate our internal ratings and we review the commentary on specific loans and on our loan administration activities in order to improve our operations. Commercial Real Estate Loans We finance commercial real estate for our clients, for owner occupied and investment properties. Commercial real estate loans totaled $1.1 $953.9 December 31, 2017 2016. may may one four not 80% 75%. Commercial real estate lending entails significant risks. Risks inherent in managing our commercial real estate portfolio relate to sudden or gradual drops in property values as well as changes in the economic climate that may At December 31, 2017 2016, $171.6 $152.8 Residential Real Estate Loans We offer a variety of consumer oriented residential real estate loans including home equity lines of credit, home improvement loans and first second $310.7 $265.2 December 31, 2017 2016. not 85%. may not 43%, 640 not This segment of our portfolio also consists of funds advanced for construction of custom single family residences homes (where the home buyer is the borrower) and financing to builders for the construction of pre-sold homes and multi-family housing. These loans generally have short durations, meaning maturities typically of twelve twelve Construction lending also entails significant risk. These risks generally involve larger loan balances concentrated with single borrowers with funds advanced upon the security of the land or the project under construction. An appraisal of the property estimates the value of the project “as is” and “as if completed.” An appraisal of the property estimates the value of the project prior to completion of construction. Thus, initial funds are advanced based on the current value of the property with the remaining construction funds advanced under a budget sufficient to successfully complete the project within the “as completed” loan to value. To further mitigate the risks, we generally limit loan amounts to 80% first We generally only offer real estate construction financing only to experienced builders, commercial entities or individuals who have demonstrated the ability to obtain a permanent loan “take-out” (conversion to a permanent mortgage upon completion of the project). We also perform a complete analysis of the borrower and the project under construction. This analysis includes a review of the cost to construct, the borrower’s ability to obtain a permanent “take-out” the cash flow available to support the debt payments and construction costs in excess of loan proceeds, and the value of the collateral. During construction, we advance funds on these loans on a percentage of completion basis. We inspect each project as needed prior to advancing funds during the term of the construction loan. We may We also offer fixed rate home improvement loans. Our home equity and home improvement loan portfolio gives us a diverse client base. Although most of these loans are in our market area, the diversity of the individual loans in the portfolio reduces our potential risk. Usually, we secure our home equity loans and lines of credit with a security interest in the borrower’s primary or secondary residence. Under our loan approval policy, all residential real estate loans approved must comply with federal regulations. Generally, we will make residential mortgage loans in amounts up to the limits established by Fannie Mae and Freddie Mac for secondary market resale purposes. Currently this amount for single-family residential loans currently varies from $453,100 $679,650 $679,650. 620 Commercial and Industrial Lending Our commercial and industrial lending consists of lines of credit, revolving credit facilities, accounts receivable financing, term loans, equipment loans, SBA loans, standby letters of credit and unsecured loans. We originate commercial loans for any business purpose including the financing of leasehold improvements and equipment, the carrying of accounts receivable, general working capital, and acquisition activities. We have a diverse client base and we do not Commercial business loans have a higher degree of risk than residential mortgage loans because the availability of funds for repayment generally depends on the success of the business. They may $250,000, Consumer Loans We offer various types of secured and unsecured consumer loans. We make consumer loans for personal, family or household purposes as a convenience to our customer base. This category includes our luxury boat loans, which we made prior to 2008 not not 40% Our consumer loan portfolio, includes indirect loans, which consists primarily of auto and RV loans. These loans are financed through dealers and the dealers receive a percentage of the finance charge, which varies depending on terms of each loan. We use the same underwriting standards in originating these indirect loans as we do for consumer loans generally. Consumer loans may may not may not may Concentrations of Credit Most of our lending activity occurs within the state of Maryland within the suburban Washington, D.C. market area in Anne Arundel, Baltimore, Calvert, Carroll, Charles, Frederick, Montgomery, Prince George’s and St. Mary’s Counties. The majority of our loan portfolio consists of commercial real estate loans and residential real estate loans. Non-Accrual and Past Due Loans We consider loans past due if the borrower has not 90 no not not not The table below presents an aging analysis of the loan held for investment portfolio at December 31, 2017 2016. Age Analysis of Past Due Loans December 31, 2017 December 31, 2016 Legacy Acquired Total Legacy Acquired Total Current $ 1,352,406,852 $ 338,913,557 $ 1,691,320,409 $ 1,167,380,870 $ 185,631,054 $ 1,353,011,924 Accruing past due loans: 30 - 89 days past due Commercial Real Estate: Owner Occupied — — — 2,799,802 — 2,799,802 Investment 1,089,022 843,706 1,932,728 — 794,037 794,037 Land and A&D 254,925 158,899 413,824 — — — Residential Real Estate: First Lien-Investment 270,822 506,600 777,422 517,498 397,944 915,442 First Lien-Owner Occupied 229 2,457,299 2,457,528 — 879,718 879,718 HELOC and Jr. Liens — 130,556 130,556 99,946 — 99,946 Commercial and Industrial 51,088 261,081 312,169 325,161 — 325,161 Consumer 26,134 1,017,195 1,043,329 — — — Total 30 - 89 days past due 1,692,220 5,375,336 7,067,556 3,742,407 2,071,699 5,814,106 90 or more days past due Commercial Real Estate: Owner Occupied — — — — 634,290 634,290 Residential Real Estate: First Lien-Owner Occupied — 37,560 37,560 — 250,000 250,000 Consumer — 78,407 78,407 19,242 — 19,242 Total 90 or more days past due — 115,967 115,967 19,242 884,290 903,532 Total accruing past due loans 1,692,220 5,491,303 7,183,523 3,761,649 2,955,989 6,717,638 Recorded Investment Non-accruing loans: Commercial Real Estate: Owner Occupied — 228,555 228,555 2,370,589 — 2,370,589 Investment — — — — — — Hospitality — — — 1,346,736 — 1,346,736 Land and A&D — 190,193 190,193 77,395 194,567 271,962 Residential Real Estate: First Lien-Investment 192,501 — 192,501 312,061 99,293 411,354 First Lien-Owner Occupied 281,130 872,272 1,153,402 222,237 — 222,237 Commercial and Industrial — — — 1,760,824 — 1,760,824 Non-accruing past due loans: 473,631 1,291,020 1,764,651 6,089,842 293,860 6,383,702 Total Loans $ 1,354,572,703 $ 345,695,880 $ 1,700,268,583 $ 1,177,232,361 $ 188,880,903 $ 1,366,113,264 We evaluate all impaired loans, which includes non-performing loans and troubled debt restructurings (TDRs). We do not We individually evaluate all legacy substandard loans risk rated seven, certain legacy special mention loans risk rated six seven six 310 30 The table below presents our impaired loans at December 31, 2017. Unpaid Average Interest Principal Recorded Related Recorded Income Balance Investment Allowance Investment Recognized Legacy With no related allowance recorded: Commercial Real Estate: Owner Occupied $ 1,797,030 $ 1,797,030 $ — $ 1,913,873 $ 70,623 Investment 1,155,595 1,155,595 — 1,183,738 51,806 Residential Real Estate: First Lien-Owner Occupied 226,554 226,554 — 233,618 10,536 Commercial and Industrial 387,208 387,208 — 379,983 30,245 With an allowance recorded: Commercial Real Estate: Investment 592,432 592,432 69,903 601,959 30,576 Residential Real Estate: First Lien-Owner Occupied 54,576 54,576 37,075 217,673 — First Lien-Investment 192,501 192,501 39,420 192,501 — Commercial and Industrial 96,212 96,212 96,212 97,923 4,960 Total legacy impaired 4,502,108 4,502,108 242,610 4,821,268 198,746 Acquired(1) With no related allowance recorded: Commercial Real Estate: Owner Occupied 253,865 253,865 — 252,988 2,155 Land and A&D 334,271 45,000 — 334,271 — Residential Real Estate: First Lien-Owner Occupied 1,382,055 1,269,796 — 1,390,037 31,601 First Lien-Investment 131,294 74,066 — 132,812 4,378 With an allowance recorded: Commercial Real Estate: Land and A&D 148,196 148,196 80,072 155,621 2,498 Residential Real Estate: First Lien-Owner Occupied 250,194 250,194 77,464 273,596 23,424 Commercial and Industrial 72,125 72,125 24,517 74,279 3,775 Total acquired impaired 2,572,000 2,113,242 182,053 2,613,604 67,831 Total impaired $ 7,074,108 $ 6,615,350 $ 424,663 $ 7,434,872 $ 266,577 ________________________ ( 1 Generally accepted accounting principles require that we record acquired loans at fair value at acquisition, which includes a discount for loans with credit impairment. These purchased credit impaired loans are not not The table below presents our impaired loans at December 31, 2016. Unpaid Average Interest Principal Recorded Related Recorded Income Balance Investment Allowance Investment Recognized Legacy With no related allowance recorded: Commercial Real Estate: Owner Occupied $ 566,973 $ 566,973 $ — $ 1,223,360 $ 12,759 Investment 1,212,771 1,212,771 — 1,208,240 54,531 Residential Real Estate: First Lien-Owner Occupied 222,237 222,237 — 243,699 5,440 843,809 843,809 — 3,338,295 3,761 With an allowance recorded: Commercial Real Estate: Owner Occupied 2,048,989 2,048,989 443,489 6,605,858 50,348 Investment 610,485 610,485 33,335 610,373 46,550 Hospitality 1,346,736 1,346,736 134,674 4,199,162 20,959 Land and A&D 77,395 77,395 15,860 82,587 4,729 Residential Real Estate: First Lien-Owner Occupied 312,061 312,061 45,505 547,024 9,348 1,016,479 1,016,479 609,152 1,976,689 4,476 Total legacy impaired 8,257,935 8,257,935 1,282,015 20,035,287 212,901 Acquired(1) With no related allowance recorded: Commercial Real Estate: Land and A&D 255,716 91,669 — 255,661 13,686 Residential Real Estate: First Lien-Owner Occupied 662,835 662,835 — 1,408,689 19,899 First Lien-Investment 292,349 171,348 — 233,133 4,383 Land and A&D 334,271 45,000 — 334,271 — With an allowance recorded: Commercial Real Estate: Land and A&D 151,634 151,634 83,784 161,622 5,264 Commercial and Industrial 76,243 76,243 27,207 83,049 3,992 Total acquired impaired 1,773,048 1,198,729 110,991 2,476,425 47,224 Total impaired $ 10,030,983 $ 9,456,664 $ 1,393,006 $ 22,511,712 $ 260,125 ________________________ ( 1 Generally accepted accounting principles require that we record acquired loans at fair value at acquisition, which includes a discount for loans with credit impairment. These purchased credit impaired loans are not not We consider a loan a TDR when we conclude that both of the following conditions exist: the restructuring constitutes a concession and the debtor is experiencing financial difficulties. Restructured loans at December 31, 2017 seven $2.7 seven December 31, 2016 $897 The following table includes the recorded investment and number of modifications for TDRs for the years ended December 31, 2017 2016. Loans Modified as a TDR for the twelve months ended December 31, 2017 December 31, 2016 Pre- Post Pre- Post Modification Modification Modification Modification Outstanding Outstanding Outstanding Outstanding TroubledDebtRestructurings— # of Recorded Recorded # of Recorded Recorded (Dollarsinthousands) Contracts Investment Investment Contracts Investment Investment Legacy Commercial Real Estate 1 1,596,740 1,560,726 — — — Commercial 1 414,324 387,208 — — — Total legacy TDR's 2 2,011,064 1,947,934 — — — Acquired Commercial Real Estate — — — — — — Residential Real Estate Non-Owner Occupied — — — 2 392,842 158,382 Total acquired TDR's — — — 2 392,842 158,382 Total Troubled Debt Restructurings 2 $ 2,011,064 $ 1,947,934 2 $ 392,842 $ 158,382 There were no 12 December 31, 2017 2016. Acquired Impaired Loans The following table documents changes in the accretable discount/(premium) on all purchased credit impaired loans during the years ended December 31, 2017 2016, December 31, 2017 2016 Balance at beginning of period $ (22,980 ) $ 276,892 Additions due to DCB acquisition 6,686 — Accretion of fair value discounts (149,636 ) (308,629 ) Reclassification from non-accretable (1) 280,996 8,757 Balance at end of period $ 115,066 $ (22,980 ) Contractually Required Payments Carrying Receivable Amount At December 31, 2017 $ 8,277,731 $ 6,617,774 At December 31, 2016 9,597,703 7,558,415 ________________________ ( 1 Represents amounts paid in full on loans, payments on loans with zero For our acquisition of Damascus on July 28, 2017, no two We had an independent third 5,023 $218.9 $158 $2.6 We also individually evaluated two $116 July 28, 2017 We established a credit related non-accretable difference of $92 $7 The acquired performing contract book balance for the loans acquired in the DCB acquisition is $197.2 $2.4 $199.6 Credit Quality Indicators We review the adequacy of the allowance for loan losses at least quarterly. We base the evaluation of the adequacy of the allowance for loan losses upon loan categories. We categorize loans as residential real estate loans, commercial real estate loans, commercial loans and consumer loans. We further divide commercial real estate loans by owner occupied, investment, hospitality and land acquisition and development. We also divide residential real estate by owner occupied, investment, land acquisition and development and junior liens. All categories are divided by risk rating and loss factors and weighed by risk rating to determine estimated loss amounts. We evaluate delinquent loans and loans for which management has knowledge about possible credit problems of the borrower or knowledge of problems with collateral separately and assign loss amounts based upon the evaluation. We determine loss ratios for all loans based upon a review of the three With respect to commercial loans, management assigns a risk rating of one nine • Risk rating 1 may • Risk rating 2 may may • Risk rating 2 may may • Risk rating 3 no no no one may may • Risk rating 4 no no may • Risk rating 5 may not may may may not • Risk rating 6 may, not may may may, not may • Risk rating 7 not not may may • Risk rating 8 may • Risk rating 9 not not no not may We charge off loans that management has identified as losses. We consider suggestions from our external loan review firm and bank examiners when determining which loans to charge off. We automatically charge off consumer loan accounts based on regulatory requirements. We partially charge off real estate loans that are collateral dependent based on the value of the collateral. If a loan that was previously rated a pass performing loan, from our acquisitions, deteriorates subsequent to the acquisition, the subject loan will be assessed for risk and, if necessary, evaluated for impairment. If the risk assessment rating is adversely changed and the loan is determined to not no no The following tables outline the allocation of the loan portfolio by risk rating at December 31, 2017 2016. Account Balance December 31, 2017 Legacy Acquired Total Risk Rating Pass(1 - 5) Commercial Real Estate: Owner Occupied $ 262,377,665 $ 83,069,390 $ 345,447,055 Investment 483,404,883 51,064,247 534,469,130 Hospitality 164,193,228 7,395,186 171,588,414 Land and A&D 65,184,837 9,065,405 74,250,242 Residential Real Estate: First Lien-Investment 78,814,931 19,846,749 98,661,680 First Lien-Owner Occupied 66,888,943 57,895,058 124,784,001 Land and A&D 33,712,187 5,727,719 39,439,906 HELOC and Jr. Liens 21,520,339 16,019,418 37,539,757 Commercial 150,881,948 32,738,715 183,620,663 Consumer 10,758,589 49,017,427 59,776,016 1,337,737,550 331,839,314 1,669,576,864 Special Mention(6) Commercial Real Estate: Owner Occupied 435,751 2,816,057 3,251,808 Investment 384,011 1,037,254 1,421,265 Hospitality — — — Land and A&D 2,125,823 120,366 2,246,189 Residential Real Estate: First Lien-Investment 300,824 1,034,942 1,335,766 First Lien-Owner Occupied 67,626 1,848,385 1,916,011 Land and A&D 2,167,666 663,248 2,830,914 HELOC and Jr. Liens — — — Commercial 1,519,394 59,902 1,579,296 Consumer — 65,324 65,324 7,001,095 7,645,478 14,646,573 Substandard(7) Commercial Real Estate: Owner Occupied 5,314,671 1,773,408 7,088,079 Investment 1,748,027 825,238 2,573,265 Hospitality — — — Land and A&D — 45,000 45,000 Residential Real Estate: First Lien-Investment 646,927 338,827 985,754 First Lien-Owner Occupied 281,130 2,781,351 3,062,481 Land and A&D — 145,193 145,193 HELOC and Jr. Liens — — — Commercial 1,843,303 302,071 2,145,374 Consumer — — — 9,834,058 6,211,088 16,045,146 Doubtful(8) — — — Loss(9) — — — Total $ 1,354,572,703 $ 345,695,880 $ 1,700,268,583 Account Balance December 31, 2016 Legacy Acquired Total Risk Rating Pass(1 - 5) Commercial Real Estate: Owner Occupied $ 231,985,682 $ 48,069,046 $ 280,054,728 Investment 408,875,014 35,130,038 444,005,052 Hospitality 140,265,123 9,781,737 150,046,860 Land and A&D 48,817,229 5,815,572 54,632,801 Residential Real Estate: First Lien-Investment 70,980,640 21,898,603 92,879,243 First Lien-Owner Occupied 54,201,816 39,011,487 93,213,303 Land and A&D 36,910,902 4,299,830 41,210,732 HELOC and Jr. Liens 24,385,215 2,633,718 27,018,933 Commercial 132,518,224 5,460,820 137,979,044 Consumer 4,868,909 139,966 5,008,875 1,153,808,754 172,240,817 1,326,049,571 Special Mention(6) Commercial Real Estate: Owner Occupied 2,799,801 4,572,278 7,372,079 Investment 400,228 1,776,837 2,177,065 Hospitality — 1,411,689 1,411,689 Land and A&D 2,506,068 155,241 2,661,309 Residential Real Estate: First Lien-Investment 577,767 1,248,453 1,826,220 First Lien-Owner Occupied 308,552 1,882,182 2,190,734 Land and A&D 2,678,925 791,399 3,470,324 HELOC and Jr. Liens — — — Commercial 456,093 197,383 653,476 Consumer — — — 9,727,434 12,035,462 21,762,896 Substandard(7) Commercial Real Estate: Owner Occupied 3,434,990 1,209,289 4,644,279 Investment 4,737,465 780,929 5,518,394 Hospitality 1,346,736 — 1,346,736 Land and A&D — 45,000 45,000 Residential Real Estate: First Lien-Investment 592,106 476,603 1,068,709 First Lien-Owner Occupied 222,237 1,550,098 1,772,335 Land and A&D 77,395 467,004 544,399 HELOC and Jr. Liens — — — Commercial 3,285,244 75,701 3,360,945 Consumer — — — 13,696,173 4,604,624 18,300,797 Doubtful(8) — — — Loss(9) — — — Total $ 1,177,232,361 $ 188,880,903 $ 1,366,113,264 The following tables detail activity in the allowance for loan losses by portfolio segment for the years ended December 31, 2017 2016. one not December 31, 2017 Commercial Commercial Residential Consumer Total Beginning balance $ 1,372,235 $ 3,990,152 $ 823,520 $ 9,562 $ 6,195,469 Provision for loan losses 660,497 231,488 22,203 40,920 955,108 Recoveries 2,350 2,017 900 35,525 40,792 2,035,082 4,223,657 846,623 86,007 7,191,369 Loans charged off (773,052 ) (439,922 ) (2,268 ) (55,541 ) (1,270,783 ) Ending Balance $ 1,262,030 $ 3,783,735 $ 844,355 $ 30,466 $ 5,920,586 Amount allocated to: Legacy Loans: Individually evaluated for impairment $ 96,212 $ 69,903 $ 76,496 $ — $ 242,611 Other loans not individually evaluated 1,141,301 3,633,760 690,396 30,466 5,495,923 Acquired Loans: Individually evaluated for impairment 24,517 80,072 77,463 — 182,052 Ending balance $ 1,262,030 $ 3,783,735 $ 844,355 $ 30,466 $ 5,920,586 December 31, 2016 Commercial Commercial Residential Consumer Total Beginning balance $ 1,161,318 $ 3,053,925 $ 682,962 $ 11,613 $ 4,909,818 Provision for loan losses 172,059 936,227 486,935 (10,679 ) 1,584,542 Recoveries 43,330 — 49,464 18,482 111,276 1,376,707 3,990,152 1,219,361 19,416 6,605,636 Loans charged off (4,472 ) — (395,841 ) (9,854 ) (410,167 ) Ending Balance $ 1,372,235 $ 3,990,152 $ 823,520 $ 9,562 $ 6,195,469 Amount allocated to: Legacy Loans: Individually evaluated for impairment $ 609,152 $ 611,498 $ 61,365 $ — $ 1,282,015 Other loans not individually evaluated 735,876 3,378,654 678,371 9,562 4,802,463 Acquired Loans: Individually evaluated for impairment 27,207 — 83,784 — 110,991 Ending balance $ 1,372,235 $ 3,990,152 $ 823,520 $ 9,562 $ 6,195,469 Our recorded investment in loans as of December 31, 2017 2016 December 31, 2017 Commercial Commercial Residential Consumer Total Legacy loans: Individually evaluated for impairment with specific reserve $ 96,212 $ 592,432 $ 247,077 $ — $ 935,721 Individually evaluated for impairment without specific reserve 387,208 2,952,625 226,554 — 3,566,387 Other loans not individually evaluated 153,761,224 981,623,840 203,926,942 10,758,589 1,350,070,595 Acquired loans: Individually evaluated for impairment with specific reserve subsequent to acquisition (ASC 310-20 at acquisition) 72,125 148,196 250,194 — 470,515 Individually evaluated for impairment without specific reserve (ASC 310-20 at acquisition) — 298,865 1,269,796 — 1,568,661 Individually evaluated for impairment with specific reserve (ASC 310-30 at acquisition) — 3,466,289 3,137,545 14,000 6,617,834 Collectively evaluated for impairment without reserve (ASC 310-20 at acquisition) 33,028,564 153,298,200 101,643,355 49,068,751 337,038,870 Ending balance $ 187,345,333 $ 1,142,380,447 $ 310,701,463 $ 59,841,340 $ 1,700,268,583 December 31, 2016 Commercial Commercial Residential Consumer Total Legacy loans: Individually evaluated for impairment with specific reserve $ 1,016,479 $ 4,083,605 $ 312,061 $ — $ 5,412,145 Individually evaluated for impairment without specific reserve 843,809 1,779,744 222,237 — 2,845,790 Other loans not individually evaluated 134,399,272 839,304,990 190,401,255 4,868,909 1,168,974,426 Acquired loans: Individually evaluated for impairment with specific reserve subsequent to acquisition (ASC 310-20 at acquisition) 76,243 151,634 — — 227,877 Individually evaluated for impairment without specific reserve (ASC 310-20 at acquisition) — 91,669 879,182 — 970,851 Individually evaluated for impairment with specific reserve (ASC 310-30 at acquisition) — 4,632,885 2,925,529 — 7,558,414 Collectively evaluated for impairment without reserve (ASC 310-20 at acquisition) 5,657,661 103,871,468 70,454,666 139,966 180,123,761 Ending balance $ 141,993,464 $ 953,915,995 $ 265,194,930 $ 5,008,875 $ 1,366,113,264 The following table outlines the maturity and rate re-pricing distribution of the loan portfolio. For purposes of this disclosure, we have classified non-accrual loans as immediately re-pricing or maturing. December 31, 2017 2016 Within one year $ 407,174,181 $ 310,405,004 Over one to five years 771,105,803 683,085,446 Over five years 521,988,599 372,622,814 $ 1,700,268,583 $ 1,366,113,264 As of December 31, 2017, $335.7 The Bank makes loans to customers located in the Maryland suburbs and the surrounding Baltimore area. Residential and commercial real estate secure substantial portions of the Bank’s loans. Although the loan portfolio is diversified, the regional real estate market and economy will influence its performance. |
Note 7 - Equity Securities
Note 7 - Equity Securities | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Cost-method Investments, Description [Text Block] | 7. We own the following equity securities: December 31, 2017 2016 Atlantic Central Bankers Bank stock $ 219,500 $ 219,500 Federal Home Loan Bank stock 8,402,000 7,727,600 ICBA Stock 1,750 1,750 Maryland Financial Bank stock 152,497 152,497 Investment in Maryland Statutory Trust 202,000 202,000 Total $ 8,977,747 $ 8,303,347 We carry these securities at cost and have evaluated them for other than temporary impairment. In 2017 2016, not |
Note 8 - Pointer Ridge Office I
Note 8 - Pointer Ridge Office Investment, LLC | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Investments in and Advances to Affiliates, Schedule of Investments [Text Block] | 8. We currently own 100% August 2016, 37.5% not September 2, 2016, $5.8 September 28, 2017, Pointer Ridge owns our headquarters building located at 1525 40,000 98% |
Note 9 - Premises and Equipment
Note 9 - Premises and Equipment | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Property, Plant and Equipment Disclosure [Text Block] | 9. A summary of our premises and equipment and the related depreciation expense follows: December 31, 2017 2016 Land $ 7,938,389 $ 5,207,030 Building 28,580,066 27,854,975 Leasehold improvements 8,115,555 6,745,221 Furniture and equipment 9,814,799 8,018,395 54,448,809 47,825,621 Accumulated depreciation 13,274,999 11,080,917 Net premises and equipment $ 41,173,810 $ 36,744,704 Depreciation expense $ 2,472,405 $ 2,248,205 |
Note 10 - Deposits
Note 10 - Deposits | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Deposit Liabilities Disclosures [Text Block] | 10. Major classifications of interest bearing deposits are as follows: December 31, 2017 2016 Money market and NOW $ 538,102,931 $ 433,195,434 Savings 132,970,630 100,758,813 Time deposits that meet or exceed the FDIC insured limit 95,365,364 75,931,295 Other time deposits 434,661,392 384,663,727 $ 1,201,100,317 $ 994,549,269 Time deposits mature as follows: December 31, 2017 2016 Within three months $ 98,291,816 $ 68,951,740 Over three to twelve months 183,750,343 182,481,109 Over one to three years 183,257,118 125,289,678 Over three to five years 64,727,479 83,872,495 $ 530,026,756 $ 460,595,022 Interest on deposits for the years ended December 31, 2017, 2016 2015, December 31, 2017 2016 2015 Money market and NOW $ 1,863,164 $ 1,014,981 $ 723,666 Savings 130,322 122,270 111,385 Other time deposits 5,327,545 4,371,582 3,411,939 $ 7,321,031 $ 5,508,833 $ 4,246,990 |
Note 11 - Short Term Borrowings
Note 11 - Short Term Borrowings | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Short-term Debt [Text Block] | 11. Bancshares has available an unsecured $5.0 $38.5 December 31, 2017. $618.3 December 31, 2017, $335.7 $155.0 $180.7 may Securities Sold Under Agreements to Repurchase To support the $37.6 December 31, 2017, December 31, 2017, $59.9 no may $37.6 At December 31, 2017, $61.3 $59.9 Federal funds purchased are unsecured, overnight borrowings from other financial institutions. Short-term borrowings from the FHLB have a remaining maturity of less than one Information related to short term borrowings is as follows: December 31, 2017 December 31, 2016 Amount Rate Maximum Amount Amount Rate Maximum Amount Short term promissory notes — — — — — — Repurchase agreements $ 37,611,971 0.80 % $ 37,611,971 $ 33,433,892 0.47 % $ 33,880,864 FHLB daily rate advances 45,000,000 1.59 45,000,000 30,000,000 0.80 54,000,000 FHLB adjustable rate advances — — — — — 4,000,000 FHLB fixed rate advances 110,000,000 1.40 165,000,000 120,000,000 0.61 159,000,000 Total short term borrowings $ 192,611,971 $ 247,611,971 $ 183,433,892 $ 250,880,864 Average for the year Short term promissory notes $ — — % $ — — % Repurchase agreements $ 27,469,892 0.80 % $ 30,573,019 0.47 % FHLB daily rate advances 28,098,630 1.22 32,263,661 0.64 FHLB adjustable rate advances — — 1,478,698 0.59 FHLB fixed rate advances 176,881,966 0.97 104,822,830 0.39 Total $ 232,450,488 $ 169,138,208 |
Note 12 - Long Term Borrowings
Note 12 - Long Term Borrowings | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Long-term Debt [Text Block] | 12. The table below presents Bancshares’ long term borrowings at December 31, 2017 2016. two 1 $4.0 $1.5 2034 2 $2.5 $1.2 2035. $35 5.625% 2026 August 15, 2016, $34.1 December 31, 2017. 2017 2016 December 31, Amount Rate Amount Rate Amount outstanding at year end Senior note $ — — % $ — — % Subordinated Note-fixed to floating rate 35,000,000 35,000,000 Discount on Subordinated note (452,651 ) (505,151 ) Issuance cost for subordinated note (471,590 ) (526,286 ) Net carrying value of subordinated debt 34,075,759 5.625 33,968,563 5.625 Subordinated Debentures Trust 1 - Floating 90-day LIBOR plus 2.85%, due 2034 4,000,000 4.39 4,000,000 3.82 Acquisition fair value adjustment (1,468,572 ) (1,558,946 ) Trust 2 - Floating 90-day LIBOR plus 1.60%, due 2035 2,500,000 3.14 2,500,000 2.57 Acquisition fair value adjustment (1,202,257 ) (1,269,050 ) Stock on subordinated debentures 202,000 202,000 Net carrying value 4,031,171 3.91 (1) 3,874,004 3.34 (1) Total $ 38,106,930 $ 37,842,567 Average for the year Senior note, fixed at 6.28% $ — — % $ 3,887,114 6.28 % Subordinated note 34,018,375 5.625 11,605,039 5.625 Trust preferred subordinated debentures (1) 3,947,384 9.75 3,757,633 9.38 Total $ 37,965,759 $ 19,249,786 ( 1 Principal payments on long term debt obligations are due as follows: Year Amount 2026 34,075,759 over 10 years 4,031,171 $ 38,106,930 |
Note 13 - Related Party Transac
Note 13 - Related Party Transactions | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Related Party Transactions Disclosure [Text Block] | 13. The Bank has entered into various transactions with firms in which owners are also members of the board of directors. Fees charged for these services are at similar rates charged by unrelated parties for similar work. Amounts paid to these related parties totaled $87,300, $282,602 $276,618, December 31, 2017, 2016 2015, one May 24, 2017. Effective November 1, 2008, 12.5% $205,000. 50.0% 62.5%. 52.0% 12.5% August 19, 2016. August 2016, 37.5% not 2017, 2016 2015, $0, $653,380 $897,333, The directors, executive officers and their affiliated companies maintained deposits with the Bank of $4,929,631 $10,337,238 December 31, 2017 2016, The schedule below summarizes changes in amounts of loans outstanding to directors and executive officers or their affiliated companies: December 31, 2017 2016 Balance at beginning of year $ 2,700,087 $ 2,471,949 Additions 1,536,167 710,572 Repayments (311,115 ) (482,434 ) Balance at end of year $ 3,925,139 $ 2,700,087 In addition to the outstanding balances, the directors and executive officers or affiliated companies have $433,240 December 31, 2017. |
Note 14 - Income Taxes
Note 14 - Income Taxes | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | 14. On December 22, 2017 21% 35%. 21%. may $2.9 December 31, 2017. no $3.4 two $472 December 31, 2017 2016 2015 Current Federal $ 4,850,926 $ (2,421,114 ) $ 2,221,756 State 2,162,222 1,724,355 664,113 7,013,148 (696,759 ) 2,885,869 Deferred Federal 1,999,926 7,556,701 1,993,829 State (860,350 ) (47,344 ) 502,692 1,139,576 7,509,357 2,496,521 $ 8,152,724 $ 6,812,598 $ 5,382,390 We determine deferred tax assets and liabilities based on the difference between the financial statement and tax bases of assets and liabilities using enacted tax rates in effect for the year in which we expect the differences to reverse. We allocate tax expense and tax benefits to the Bank and Bancshares based on their proportional share of taxable income. The components of net deferred tax assets and liabilities are as follows: December 31, 2017 2016 Deferred tax assets Allowance for loan losses $ 1,245,747 $ 2,323,236 Non-accrual interest 149,017 205,703 Impairment losses and expenses on other real estate owned 251,924 348,617 Director stock options 38,949 8,684 Deferred compensation plans 1,565,114 2,130,082 Net operating loss carryover 3,869,905 5,698,994 Fair value adjustments for acquired assets and liabilities 3,523,966 3,787,101 Non-compete agreements 52,972 85,136 Other — (28,756 ) Net unrealized loss on securities available for sale 1,061,187 3,242,175 $ 11,758,781 $ 17,800,972 Deferred tax liabilities Deferred loan origination costs, net $ 527,338 $ 473,598 Depreciation 2,135,418 2,973,744 Other 45,885 — Core deposit intangible amortization 1,733,044 1,388,630 4,441,685 4,835,972 Net deferred tax asset before valuation allowance 7,317,096 12,965,000 Valuation allowance for deferred tax asset — (3,386,650 ) Net deferred tax asset $ 7,317,096 $ 9,578,350 Maryland Bankcorp had net operating loss (“NOL”) carryovers of $3.54 may $779,812 may not 2030. WSB Holdings, Inc. had NOL carryovers of $12.1 May 2013. may $1,477,746 may not 2033. Regal had NOL carryovers of $8.7 December 2015. may $182,620 may not 2035. $3.6 no DCB had NOL carryovers of $157 July 2017. may may not 2036. We classify interest and penalties related to income tax assessments, if any, in income tax expense in the consolidated statements of operations. Bancshares and its subsidiaries file a consolidated U.S. federal tax return and both Bancshares and the Bank file a Maryland state income tax return. These returns are subject to examination by taxing authorities for all years after 2009. no December 31, 2017 2016 no December 31, 2017 2016. The following table reconciles the differences between the federal income tax rate of 34 December 31, 2017 2016 2015 Statutory federal income tax rate 34.0 % 34.0 % 34 % Increase (decrease) resulting from State income taxes, net of federal income tax benefit 6.3 5.3 4.7 Bank owned life insurance (1.6 ) (1.9 ) (1.9 ) Other tax exempt income (4.8 ) (5.0 ) (5.7 ) Stock based compensation awards 0.7 0.7 0.6 Other non-deductible expenses 1.8 0.8 1.2 Remove valuation allowance (14.0 ) — — Deferred tax asset rate change 12.1 Other (0.6 ) 0.2 1.0 Effective tax rate 33.9 % 34.1 % 33.9 % |
Note 15 - Employee Benefits
Note 15 - Employee Benefits | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Compensation and Employee Benefit Plans [Text Block] | 15. Eligible employees participate in a profit sharing plan that qualifies under Section 401 4% $618,056, $599,395 $506,325 2017, 2016, 2015, The Bank also offers Supplemental Executive Retirement Plans (“SERPs”) to its executive officers providing for retirement income benefits. We accrue the present value of the SERPs over the remaining number of years to the executives’ expected retirement dates. The combined accrued liability for these plans at December 31, 2017 2016 $5.9 $5.6 $671,182, $649,244 $617,888 2017, 2016, 2015, MB&T had an employee benefit plan entitled the Maryland Bankcorp, N.A. KSOP (“KSOP”). The KSOP included a profit sharing plan that qualified under section 401 December 31, 2017, 32,949 $19,193 $19,463 April 2, 2011 401 Stock Options and Restricted Stock We maintain the Old Line Bancshares, Inc. 2010 may not 10 three five 2013, 450,000 December 31, 2017, 291,448 The intrinsic value of the options that directors and officers exercised for the years ended December 31, 2017, 2016 2015 $488,995, $830,962 $411,743, A summary of the status of outstanding options follows: 2017 2016 2015 Number Weighted Number Weighted Number Weighted Outstanding, beginning of year 360,988 $ 12.04 368,956 $ 10.67 393,162 $ 10.14 Options granted — — 58,926 17.75 50,594 14.38 Options exercised (26,914 ) 10.10 (66,894 ) 9.52 (74,800 ) 10.34 Options forfeited — — — — — — Options expired (6,500 ) 10.85 — — — — Outstanding, end of year 327,574 $ 12.22 360,988 $ 12.04 368,956 $ 10.67 Outstanding Options Exercisable Options Exercise price Number of Weighted Weighted Number of Weighted $6.30 - 10.95 134,723 2.43 $ 7.48 134,723 $ 7.48 $10.96 - 16.76 135,125 6.24 14.59 122,192 14.63 $16.77 - 17.75 57,726 8.04 17.75 29,640 17.75 327,574 4.61 $ 12.22 286,555 $ 11.59 Intrinsic value of vested exercisable options where the market value exceeds the exercise price $ 5,114,960 Intrinsic value of outstanding options where the market value exceeds the exercise price $ 5,639,857 At December 31, 2017, $1.1 three Years Ended December 31, 2017 2016 2015 Expected dividends - % 1.00 % 1.00 % Risk free interest rate - % 1.75 % 0.39 % Expected volatility - % 25.28 % 30.76 % Weighted average volatility - % 15.91 % 10.65 % Expected life in years - 4.68 - 5.72 5.50 - 6.00 Weighted average fair value of options granted $ - $ 5.40 $ 5.09 During the year ended December 31, 2017, 40,713 The following table outlines the vesting schedule of the unvested restricted stock awards. Vesting Schedule of Unvested Restricted Stock Awards December 31, 2017 # of Restricted Vesting Date Shares 2/25/2018 3,917 7/2/2018 7,137 7/8/2018 7,531 8/29/2018 5,427 12/31/2018 4,662 2/24/2019 5,295 7/8/2019 7,537 8/29/2019 5,432 12/31/2019 4,662 2/24/2020 3,472 8/29/2020 5,439 12/31/2020 4,676 2/24/2021 3,090 Total Issued 68,277 At December 31, 2017, $1.3 three December 31, 2017 December 31, 2016 December 31, 2015 Number of Weighted Number of Weighted Number of Weighted Nonvested, beginning of period 54,151 $ 17.30 27,878 $ 15.52 8,522 $ 13.35 Restricted stock granted 42,066 28.22 36,461 18.20 30,725 15.31 Restricted stock vested (27,940 ) 17.17 (10,188 ) 15.63 (11,369 ) 11.19 Restricted stock forfeited — — — — — — Nonvested, end of period 68,277 $ 23.86 54,151 $ 17.30 27,878 $ 15.52 Total fair value of shares vested $ 811,696 $ 194,589 $ 148,630 Intrinsic value of non-vested restricted stock awards where the market value exceeds the exercise price $ 380,824 $ 361,506 $ 489,816 Intrinsic value of vested restricted stock awards where the market value exceeds the exercise price $ 1,677,537 $ 819,472 $ 199,753 |
Note 16 - Capital Standards
Note 16 - Capital Standards | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Regulatory Capital Requirements under Banking Regulations [Text Block] | 16. The Federal Deposit Insurance Corporation and the Federal Reserve Board have adopted risk based capital standards for banking organizations. These standards require ratios of capital to assets for minimum capital adequacy and to be classified as well capitalized under prompt corrective action provisions. Under the amended prompt corrective action regulations, effective January 1, 2015, 10.0% 1 8.0% 1 6.5% 5.0% not As of December 31, 2017 2016, Actual Minimum capital To be well December 31, 2017 Amount Ratio Amount Ratio Amount Ratio (Dollars in 000’s) Total capital (to risk weighted assets) Consolidated $ 221,083 11.8 % $ 149,839 8 % $ 187,298 10 % Old Line Bank $ 212,452 11.4 % $ 149,509 8 % $ 186,886 10 % Tier 1 capital (to risk weighted assets) Consolidated $ 180,101 9.6 % $ 112,379 6 % $ 149,839 8 % Old Line Bank $ 206,471 11.0 % $ 112,132 6 % $ 149,509 8 % Tier 1 capital (to average assets) Consolidated $ 180,101 8.8 % $ 81,485 4 % $ 101,857 5 % Old Line Bank $ 206,471 10.1 % $ 81,415 4 % $ 101,769 5 % Common Equity Tier 1 (to risk-weighted assets) Consolidated $ 176,070 9.4 % $ 84,284 4.5 % $ 121,744 6.5 % Old Line Bank $ 206,471 11.0 % $ 84,099 4.5 % $ 121,476 6.5 % Actual Minimum capital To be well December 31, 2016 Amount Ratio Amount Ratio Amount Ratio (Dollars in 000’s) Total capital (to risk weighted assets) Consolidated $ 183,168 12.3 % $ 119,410 8 % $ 149,263 10 % Old Line Bank $ 171,617 11.5 % $ 118,941 8 % $ 148,676 10 % Tier 1 capital (to risk weighted assets) Consolidated $ 141,921 9.5 % $ 89,558 6 % $ 119,410 8 % Old Line Bank $ 165,370 11.1 % $ 89,205 6 % $ 118,941 8 % Tier 1 capital (to average assets) Consolidated $ 141,921 8.6 % $ 66,369 4 % $ 82,961 5 % Old Line Bank $ 165,370 10.0 % $ 66,213 4 % $ 82,766 5 % Common Equity Tier 1 (to risk-weighted assets) Consolidated $ 138,047 9.2 % $ 67,168 4.5 % $ 97,021 6.5 % Old Line Bank $ 165,370 11.1 % $ 66,904 4.5 % $ 96,639 6.5 % ( 1 When fully phased-in on January 1, 2019, 2.5% January 1, 2016 0.625% January 1, 2.5% January 1, 2019. ( 2 Prompt corrective action provisions are not Tier 1 Failure to meet the capital requirement could affect our ability to pay dividends and accept deposits and may In the most recent regulatory report, we were categorized as well capitalized under the prompt corrective action regulations. Management knows of no |
Note 17 - Commitments and Conti
Note 17 - Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Commitments and Contingencies Disclosure [Text Block] | 17. The Bank is party to financial instruments with off balance sheet risk in the normal course of business in order to meet the financing needs of customers. These financial instruments include commitments to extend credit, available credit lines and standby letters of credit. December 31, 2017 2016 Commitments to extend credit and available credit lines: Commercial $ 132,245,792 $ 92,262,530 Construction 132,854,976 134,944,015 Consumer 41,151,049 25,422,254 $ 306,251,817 $ 252,628,799 Standby letters of credit $ 12,361,974 $ 18,907,384 Commitments to extend credit are agreements to lend to a customer as long as there is no may no not not not Standby letters of credit are conditional commitments issued to guarantee the performance of a customer to a third We have recognized a reserve in the amount of $74,908, $19,547 $22,461 December 31, 2017, 2016 2015. $60,719, $51,808 $222,729 December 31, 2017, 2016 2015, As of December 31, 2017, 22 five 2040. one August 19, 2016. The approximate future minimum lease commitments under the operating leases as of December 31, 2017, 62.5% Year Amount (in thousands) 2018 $ 2,352 2019 2,062 2020 1,642 2021 1,333 2022 889 Remaining 4,069 $ 12,347 Rent expense was $2,104,832, $2,056,401 $1,746,170 December 31, 2017, 2016, 2015, |
Note 18 - Fair Value Measuremen
Note 18 - Fair Value Measurement | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Fair Value Disclosures [Text Block] | 18. The fair value of an asset or liability is the price that participants would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants. A fair value measurement assumes that the transaction to sell the asset or transfer the liability occurs in the principal market for the asset or liability, or, in the absence of a principal market, the most advantageous market for the asset or liability. The price in the principal (or most advantageous) market used to measure the fair value of the asset or liability shall not not The fair value hierarchy established by accounting standards defines three three may 1 2 1 3 December 31, 2017 2016, no At December 31, 2017, third third third 2 1, 3. Assets and Liabilities Measured at Fair Value on a Recurring Basis At December 31, 2017 (in thousands) Carrying Value Quoted Prices in Other Significant Total Changes Available-for-sale: Treasury securities $ 3,005 $ 3,005 $ — $ — $ — U.S. government agency 17,734 — 17,734 — — Corporate Bonds 14,658 — 14,658 Municipal securities 79,555 — 79,555 — — FHLMC MBS 19,455 — 19,455 — — FNMA MBS 62,946 — 62,946 — — GNMA MBS 21,000 — 21,000 — — Total recurring assets at fair value $ 218,353 $ 3,005 $ 200,690 $ 14,658 $ — At December 31, 2016 (in thousands) Carrying Value Quoted Prices in Other Significant Total Changes Available-for-sale: Treasury securities $ 2,996 $ 2,996 $ — $ — $ — U.S. government agency 7,266 — 7,266 — — Corporate Bonds 8,172 — 8,172 Municipal securities 67,687 — 67,687 — — FHLMC MBS 21,800 — 21,800 — — FNMA MBS 70,449 — 70,449 — — GNMA MBS 21,135 — 21,135 — — Total recurring assets at fair value $ 199,505 $ 2,996 $ 188,337 $ 8,172 $ — Our valuation methodologies may may not not may The following table provides a reconciliation of changes in fair value included in assets measured in the Consolidated Balance sheet using inputs classified as level 3 Level 3 Level 3 (in thousands) Year Ended December 31, 2017 Year Ended December 31, 2016 Investment available-for-sale Balance as of January 1, 2017 $ 8,172 — Realized and unrealized gains (losses) Included in earnings — — Included in other comprehensive income (35 ) 72 Purchases, issuances, sales and settlements 6,521 8,100 Transfers into or out of level 3 — — Balance at December 31, 2017 $ 14,658 8,172 Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis We may At December 31, 2017 (in thousands) Carrying Value Quoted Prices in Other Significant Impaired Loans Legacy: $ 4,260 — — $ 4,260 Acquired: 1,931 — — 1,931 Total Impaired Loans 6,191 — — 6,191 Other real estate owned: Legacy: $ 425 — — $ 425 Acquired: 1,579 — — 1,579 Total other real estate owned: 2,004 — — 2,004 Total $ 8,195 $ — $ — $ 8,195 At December 31, 2016 (in thousands) Carrying Value Quoted Prices in Other Significant Impaired Loans Legacy: $ 6,976 — — $ 6,976 Acquired: 1,088 — — 1,088 Total Impaired Loans 8,064 — — 8,064 Other real estate owned: Legacy: $ 425 — — $ 425 Acquired: 2,321 — — 2,321 Total other real estate owned: 2,746 — — 2,746 Total $ 10,810 $ — $ — $ 10,810 Loans considered impaired are loans for which, based on current information and events, it is probable that the creditor will be unable to collect all amounts due according to the contractual terms of the loan agreement. Impaired loans are subject to nonrecurring fair value adjustments to reflect write-downs that are based on the market price or current appraised value of the collateral, adjusted to reflect local market conditions or other economic factors. After evaluating the underlying collateral, the fair value of the impaired loans is determined by allocating specific reserves from the allowance for loan losses to the loans. Thus, the fair value reflects the loan balance as adjusted by partial charge-offs less the specifically allocated reserve. Certain collateral-dependent impaired loans are reported at the fair value of the underlying collateral. Impairment is measured based on the fair value of the collateral, which is typically derived from appraisals that take into consideration prices in observed transactions involving similar assets and similar locations. Discounts applied to appraisals have been in the range of 0% 50%. not 3 The fair value of other real estate owned (“OREO”) is based on property appraisals adjusted at management’s discretion to reflect a further decline in the fair value of properties since the time the appraisal analysis was performed. Discounts applied to appraisals have predominantly been in the range of 0% 50%; 75% 3. may not not 3 two no 3 The following methods and assumptions were used to estimate the fair value for each class of our financial instruments. Cash and Cash Equivalents Loans Loans held for Sale Investment Securities Equity Securities Bank Owned Life Insurance Accrued Interest Receivable and Payable Interest bearing deposits Non-Interest bearing deposits Long and short term borrowings Off-balance Sheet Commitments and Contingencies not The following disclosures of the estimated fair value of financial instruments are made in accordance with the requirements of ASC 825, not may December 31,2017 (in thousands) Carrying Total Quoted Prices Significant Significant Assets: Cash and cash equivalents $ 35,174 $ 35,174 $ 35,174 $ — $ — Loans receivable, net 1,696,361 1,692,018 — — 1,692,018 Loans held for sale 4,404 4,558 — 4,558 — Investment securities available for sale 218,353 218,353 3,005 200,690 14,658 Equity Securities at cost 8,978 8,978 — 8,978 — Bank Owned Life Insurance 41,612 41,612 — 41,612 — Accrued interest receivable 5,476 5,476 — 1,215 4,261 Liabilities: Deposits: Non-interest-bearing 451,803 451,803 — 451,803 — Interest bearing 1,201,100 1,205,936 — 1,205,936 — Short term borrowings 192,612 192,612 — 192,612 — Long term borrowings 38,107 38,107 — 38,107 — Accrued Interest payable 1,472 1,472 — 1,472 — December 31, 2016 (in thousands) Carrying Total Quoted Prices Significant Significant Assets: Cash and cash equivalents $ 23,463 $ 23,463 $ 23,463 $ — $ — Loans receivable, net 1,361,175 1,364,361 — — 1,364,361 Loans held for sale 8,418 8,707 — 8,707 — Investment securities available for sale 199,505 199,505 2,996 188,337 8,172 Equity Securities at cost 8,303 8,303 — 8,303 — Bank Owned Life Insurance 37,558 37,558 — 37,558 — Accrued interest receivable 4,278 4,278 — 991 3,287 Liabilities: Deposits: Non-interest-bearing 331,331 331,331 — 331,331 — Interest bearing 994,549 998,489 — 998,489 — Short term borrowings 183,434 183,434 — 183,434 — Long term borrowings 37,843 37,843 — 37,843 — Accrued Interest payable 1,269 1,269 — 1,269 — |
Note 19 - Other Operating Expen
Note 19 - Other Operating Expenses | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Other Income and Other Expense Disclosure [Text Block] | 19. Other operating expenses that are significant are as follows: December 31, 2017 2016 2015 Legal Expenses $ 247,723 $ 253,129 $ 337,033 Professional Fees 688,000 439,954 285,267 Audit and Exam 388,000 504,167 423,878 ATM expenses 346,000 182,519 168,301 Other 5,632,449 5,142,516 4,944,664 Total $ 7,302,172 $ 6,522,285 $ 6,159,143 |
Note 20 - Parent Company - Cond
Note 20 - Parent Company - Condensed Financial Information | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Condensed Financial Information of Parent Company Only Disclosure [Text Block] | 20. The condensed balance sheets, statements of income, and statements of cash flows for Bancshares (Parent Company) follow: Old Line Bancshares, Inc. Condensed Balance Sheets December 31, 2017 2016 Assets Cash and due from banks $ 4,856,350 $ 5,441,189 Investment in Real Estate LLC — 4,004,969 Investment in MD Statutory Trust 202,000 202,000 Investment in Old Line Bank 238,127,239 177,989,848 Federal income tax receivable 3,613,048 1,646,040 Other assets 307,165 18,965 $ 247,105,802 $ 189,303,011 Liabilities and Stockholders’ Equity Accounts payable $ 1,271,687 $ 793,659 Trust preferred 4,031,170 3,874,004 Subordinated debt 34,075,759 33,968,563 Stockholders’ equity Common stock 125,083 109,109 Additional paid-in capital 148,882,865 106,692,958 Retained earnings 61,054,487 48,842,026 Accumulated other comprehensive income (loss) (2,335,249 ) (4,977,308 ) 207,727,186 150,666,785 $ 247,105,802 $ 189,303,011 Old Line Bancshares, Inc. Condensed Statements of Income Years Ended December 31, 2017 2016 2015 Interest and dividend income (expense) Dividend from Old Line Bank $ 3,751,353 $ 2,603,947 $ 2,245,508 Interest income on money market and certificates of deposit — — 1,581 Interest expense on trust preferred and subordinated debt (2,447,346 ) (1,166,298 ) — Interest expense on loans — — (9,081 ) Net interest and dividend income 1,304,007 1,437,649 2,238,008 Non-interest income (loss) (195,896 ) (102,630 ) (6,920 ) Non-interest expense 3,870,509 1,386,530 982,216 Income before income taxes (2,762,398 ) (51,511 ) 1,248,872 Income tax expense (benefit) (1,859,603 ) (885,393 ) (184,871 ) (902,795 ) 833,882 1,433,743 Undistributed net income of Old Line Bank 16,866,609 12,321,215 9,034,843 Net income $ 15,963,814 $ 13,155,097 $ 10,468,586 Old Line Bancshares, Inc. Statements of Cash Flows Years Ended December 31, 2017 2016 2015 Cash flows from operating activities Net income $ 15,963,814 $ 13,155,097 $ 10,468,586 Adjustments to reconcile net income to net cash provided by operating activities Undistributed net income of Old Line Bank (16,866,609 ) (12,321,215 ) (9,034,843 ) Stock based compensation awards 694,593 562,672 418,419 Loss from investment in real estate Pointer Ridge LLC 195,896 102,630 6,920 (Increase) decrease in income tax receivable (1,967,008 ) (850,118 ) — Increase (decrease) in other liabilities 635,194 (75,822 ) (212,192 ) (Increase) decrease in other assets (288,200 ) 88,752 294,811 $ (1,632,320 ) $ 661,996 $ 1,941,701 Cash flows from investing activities Cash and cash equivalents of acquired company (35,566,947 ) — (2,646,577 ) Purchase Pointer Ridge LLC 4,004,969 (3,677,297 ) — Net cash to bank 35,573,868 (23,756,314 ) — 4,011,890 (27,433,611 ) (2,646,577 ) Cash flows from financing activities Proceeds from stock options exercised, including tax benefit 679,748 837,763 815,843 Proceeds from issuance of common stock — — (4,899,186 ) Acquisition cash consideration — — 2,852,321 Subordinated debt issued 107,196 33,968,563 — Purchase of minority member(s) interest — (258,181 ) — Cash dividends paid-common stock (3,751,353 ) (2,603,948 ) (2,245,508 ) (2,964,409 ) 31,944,197 (3,476,530 ) Net (decrease) increase in cash and cash equivalents (584,839 ) 5,172,582 (4,181,406 ) Cash and cash equivalents at beginning of year 5,441,189 268,607 4,450,013 Cash and cash equivalents at end of year $ 4,856,350 $ 5,441,189 $ 268,607 |
Note 21 - Litigation
Note 21 - Litigation | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Legal Matters and Contingencies [Text Block] | 21. From time to time we may not, |
Note 22 - Subsequent Events
Note 22 - Subsequent Events | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Subsequent Events [Text Block] | 22 Subsequent Events None |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Consolidation, Policy [Policy Text Block] | Basis of Presentation and Consolidation For 2015, |
Use of Estimates, Policy [Policy Text Block] | Use of Estimates may |
Cash and Cash Equivalents, Policy [Policy Text Block] | Cash and Cash Equivalents one |
Marketable Securities, Policy [Policy Text Block] | Investment Securities may not We record gains and losses on the sale of securities on the trade date and determine these gains or losses using the specific identification method. We amortize premiums and accrete discounts using the interest method. Management systematically evaluates investment securities for other- than-temporary declines in fair value on a quarterly basis. This analysis requires management to consider various factors, which include ( 1 2 3 |
Share-based Compensation, Option and Incentive Plans Policy [Policy Text Block] | Stock Based Compensation Awards |
Cost Method Investments, Policy [Policy Text Block] | Equity Securities |
Property, Plant and Equipment, Policy [Policy Text Block] | Premises and Equipment five 50 three 30 three 23 |
Loans and Leases Receivable, Real Estate Acquired Through Foreclosure, Policy [Policy Text Block] | Other Real Estate Owned third may |
Loans and Leases Receivable, Mortgage Banking Activities, Policy [Policy Text Block] | Mortgage Banking Activities three |
Goodwill and Intangible Assets, Policy [Policy Text Block] | Goodwill and Other Intangible Assets 18 ten eight Goodwill has an indefinite useful life and is evaluated for impairment annually or more frequently if events and circumstances indicate that the asset might be impaired. An impairment loss is recognized to the extent that the carrying amount exceeds the asset’s fair value. The goodwill impairment analysis is a two first not second If required, the second first first no not one We evaluated the carrying value of goodwill as of September 30, 2017, no may no September 30, 2017 |
Business Combinations Policy [Policy Text Block] | Business Combinations one |
Finance, Loan and Lease Receivables, Held-for-investment, Policy [Policy Text Block] | Loans and Interest Income We discontinue the accrual of interest when any portion of the principal or interest is 90 not not We collectively evaluate large groups of smaller balance homogeneous loans for impairment. Accordingly, we do not |
Certain Loans and Debt Securities Acquired in Transfer, Recognizing Interest Income on Impaired Loans, Policy [Policy Text Block] | Acquired Loans no not Subsequent to the acquisition date, management continues to monitor cash flows on a quarterly basis, to determine the performance of each purchased, credit-impaired loan in comparison to management’s initial performance expectations. Subsequent decreases to the expected cash flows will generally result in a provision for loan losses. Subsequent significant increases in cash flows result in a reversal of the provision for loan losses to the extent of prior provisions or a reclassification of amount from non-accretable difference to accretable yield, with a positive impact on the accretion of interest income in future periods. Acquired performing loans are accounted for using the contractual cash flows method of recognizing discount accretion based on the acquired loans’ contractual cash flows. Acquired performing loans are recorded as of the purchase date at fair value. Credit losses on the acquired performing loans are estimated based on analysis of the performing portfolio. A provision for loan losses is recognized for any further credit deterioration that occurs in these loans subsequent to the acquisition date. |
Finance, Loan and Lease Receivables, Held-for-sale, Policy [Policy Text Block] | Loans Held for Sale December 31, 2017 |
Loans and Leases Receivable, Allowance for Loan Losses Policy [Policy Text Block] | Allowance for Loan Losses may may may We base the evaluation of the adequacy of the allowance for loan losses upon loan categories. We categorize loans as residential real estate loans, commercial real estate loans, commercial loans and consumer loans. We further divide commercial real estate loans by owner occupied, investment, hospitality and land acquisition and development. We also divide residential real estate by owner occupied, investment, land acquisition and development and junior liens. All categories are divided by risk rating and loss factors and weighed by risk rating to determine estimated loss amounts. We evaluate delinquent loans and loans for which management has knowledge about possible credit problems of the borrower or knowledge of problems with collateral separately and assign loss amounts based upon the evaluation. Within each of the above loan types, each portfolio is sorted by the risk assessment rating of each loan as Pass, Pass-Watch, Special Mention or Substandard. The Bank’s loss experience (Loss Factor) is progressively tiered by risk category for Pass, Pass-Watch, Special Mention and Substandard loans by applying a higher loss factor to higher risk rated categories. Loans rated “Doubtful” or “Loss” are, by definition, impaired and will be specifically reserved based upon Bank management’s best estimate of the loss exposure for each loan. The Bank’s loss experience for each of the last 12 12 not Qualitative factors include: levels and trends in delinquencies and non-accruals; trends in volumes and terms of loans; effects of any changes in lending policies; the experience, ability and depth of management; regional and local economic trends and conditions; Peer Group loan loss history; concentrations of credit; quality of the bank’s loan review system; external factors, such as competition, legal and regulatory requirements; and, management’s collective assessment of the appropriateness of the allowance for loan losses in light of recent trends, events, political impact and other considerations. |
Advertising Costs, Policy [Policy Text Block] | Advertising |
Income Tax, Policy [Policy Text Block] | Income Taxes fourth 2017, 21% fourth |
Earnings Per Share, Policy [Policy Text Block] | Earnings Per Share We calculate diluted earnings per common share by including the average dilutive common stock equivalents outstanding during the period. Dilutive common equivalent shares consist of stock options and warrants, calculated using the treasury stock method. Years Ended December 31, 2017 2016 2015 Net Income $ 15,963,814 $ 13,155,097 $ 10,468,586 Denominator: Weighted average common shares outstanding 11,588,045 10,837,939 10,647,986 Effect of Diluted Shares 211,139 159,546 136,337 Diluted shares 11,799,184 10,997,485 10,784,323 Net income per share: Basic $ 1.38 $ 1.21 $ 0.98 Diluted $ 1.35 $ 1.20 $ 0.97 |
Comprehensive Income, Policy [Policy Text Block] | Comprehensive Income |
Reclassification, Policy [Policy Text Block] | Reclassifications 2016 2015 2017 no |
New Accounting Pronouncements, Policy [Policy Text Block] | Recent Accounting Pronouncements May 2014, 2014 09 Revenue from Contracts with Customers not first 2018. not not January 1, 2018, In January 2016, No. 2016 01, Financial Instruments – Recognition and Measurement of Financial Assets and Liabilities not December 15, 2017, first 2018. no not In February 2016, 2016 02, Leases (Topic 842 December 15, 2018. first 2019. In March 2016, 2016 09, Compensation – Stock Compensation (Topic 718 Improvements to Employee Share-Based Payment Accounting (“ASU 2016 09 2016 09 December 15, 2016, 2016 09 January 1, 2017 not In June 2016 , 2016 13, Financial Instruments – Credit Losses (Topic 326 sets forth a “current expected credit loss” (“CECL”) model requiring to measure all expected credit losses for financial instruments held at the reporting date based on historical experience, current conditions and reasonable supportable forecasts. This replaces the existing incurred loss model and is applicable to the measurement of credit losses on financial assets measured at amortized cost and applies to some off-balance sheet credit exposures. For public business entities that are U.S. Securities and Exchange Commission filers, the amendments in this update are effective for fiscal years beginning after December 15, 2019, third 2016 13. 2016 13 2016 13 No. 2016 13 In August 2016, 2016 15, Statement of Cash Flows (Topic 230 nine 1 2 zero 3 4 5 6 7 8 9 January 1, 2018 not not In January 2017, 2017 01, Business Combinations (Topic 805 Clarifying the definition of a business not January 1, 2018, not In January 2017, 2017 04, Simplifying the Test for Goodwill Impairment, 2 not December 15, 2019. January 1, 2017. not 2017 04 In March 2017, No. 2017 08, Premium Amortization on Purchased Callable Debt Securities. not No. 2017 08 December 15, 2018; first not In August 2017, No. 2017 12, Targeted Improvements to Accounting for Hedging Activities. 1 2 No. 2017 12 December 15, 2018; not not In February 2018, No. 2018 02, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income (Topic 220 35% 21%. 2018 02 December 15, 2018 2018 02 first 2018. $460 first 2018. |
Note 1 - Summary of Significa33
Note 1 - Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Years Ended December 31, 2017 2016 2015 Net Income $ 15,963,814 $ 13,155,097 $ 10,468,586 Denominator: Weighted average common shares outstanding 11,588,045 10,837,939 10,647,986 Effect of Diluted Shares 211,139 159,546 136,337 Diluted shares 11,799,184 10,997,485 10,784,323 Net income per share: Basic $ 1.38 $ 1.21 $ 0.98 Diluted $ 1.35 $ 1.20 $ 0.97 |
Note 2 - Acquisition of DCB B34
Note 2 - Acquisition of DCB Bancshares, Inc. (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed [Table Text Block] | Purchase Price Consideration Cash consideration $ 4,534 Purchase price assigned to shares exchanged for stock 40,845,876 Total purchase price for DCB acquisition 40,850,410 Fair Value of Assets Acquired Cash and due from banks $ 35,571,479 Investment securities available for sale 42,349,201 Loans, net 216,172,008 Premises and equipment 5,214,193 Accrued interest receivable 585,195 Deferred income taxes 599,336 Bank owned life insurance 3,085,783 Core deposit intangible 3,746,430 Other assets 3,650,800 Total assets acquired $ 310,974,425 Fair Value of Liabilities assumed Deposits $ 277,867,449 Short term borrowings 4,753,521 Other liabilities 2,800,363 Total liabilities assumed $ 285,421,333 Fair Value of net assets acquired 25,553,092 Total Purchase Price 40,850,410 Goodwill recorded for DCB $ 15,297,318 |
Business Acquisition Expenses Incurred [Table Text Block] | Year Ending December 31, 2017 Data processing $ 1,426,269 Severence costs 1,515,207 Advisory & legal fees 703,224 Other 340,814 $ 3,985,514 |
Note 3 - Goodwill and Other I35
Note 3 - Goodwill and Other Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Intangible Assets and Goodwill [Table Text Block] | December 31, 2017 2016 Goodwill: Carrying amount at beginning of year $ 9,786,357 $ 9,786,357 Goodwill from DCB acquisition 15,297,318 — Carrying amount at end of year $ 25,083,675 $ 9,786,357 Core deposit intangible: Core deposit intangible $ 8,160,420 $ 8,160,420 Acquired during the year 3,746,430 — Less accumulated amortization (5,608,880 ) (4,639,999 ) Carrying amount at end of year $ 6,297,970 $ 3,520,421 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block] | Core Deposit Years ended December 31, Premium 2018 1,195,796 2019 1,101,084 2020 1,000,018 2021 912,325 2022 832,643 Thereafter 1,256,104 Total $ 6,297,970 |
Note 5 - Investment Securities
Note 5 - Investment Securities (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Available-for-sale Securities Reconciliation [Table Text Block] | Gross Gross Amortized unrealized unrealized Estimated cost gains losses fair value December 31, 2017 Available for sale U. S. treasury $ 3,007,728 $ — $ (2,337 ) $ 3,005,391 U.S. government agency 18,001,200 — (267,434 ) 17,733,766 Corporate Bonds 14,621,378 144,574 (107,893 ) 14,658,059 Municipal securities 80,791,431 126,566 (1,362,709 ) 79,555,288 Mortgage backed securities: FHLMC certificates 19,907,299 2,516 (455,580 ) 19,454,235 FNMA certificates 64,476,038 — (1,530,121 ) 62,945,917 GNMA certificates 21,403,894 — (403,992 ) 20,999,902 $ 222,208,968 $ 273,656 $ (4,130,066 ) $ 218,352,558 December 31, 2016 Available for sale U. S. treasury $ 2,999,483 $ 27 $ (3,728 ) $ 2,995,782 U.S. government agency 7,653,595 — (387,280 ) 7,266,315 Municipal securities 8,100,000 90,477 (18,840 ) 8,171,637 Mortgage backed securities 71,103,969 170,512 (3,587,676 ) 67,686,805 FHLMC certificates FNMA certificates 22,706,185 11,712 (917,543 ) 21,800,354 GNMA certificates 73,425,200 — (2,976,384 ) 70,448,816 SBA loan pools 21,736,255 3,506 (604,266 ) 21,135,495 $ 207,724,687 $ 276,234 $ (8,495,717 ) $ 199,505,204 |
Schedule of Unrealized Loss on Investments [Table Text Block] | December 31, 2017 Less than 12 months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized value losses value losses value losses U. S. treasury $ 1,506,328 $ 1,422 $ 1,499,063 $ 915 $ 3,005,391 $ 2,337 U.S. government agency 12,266,502 93,043 5,467,264 174,391 17,733,766 267,434 Corporate bonds 9,407,810 107,893 — — 9,407,810 107,893 Municipal securities 25,548,751 189,668 31,343,394 1,173,041 56,892,145 1,362,709 Mortgage backed securities FHLMC certificates — — 19,314,957 455,580 19,314,957 455,580 FNMA certificates 2,516,080 19,937 60,429,837 1,510,184 62,945,917 1,530,121 GNMA certificates 8,822,021 114,278 12,177,882 289,714 20,999,903 403,992 $ 60,067,492 $ 526,241 $ 130,232,397 $ 3,603,825 $ 190,299,889 $ 4,130,066 December 31, 2016 Less than 12 months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized value losses value losses value losses U. S. treasury $ 1,496,016 $ 3,728 $ — $ — $ 1,496,016 $ 3,728 U.S. government agency 7,266,315 387,280 — — 7,266,315 387,280 Corporate bonds 1,981,160 18,840 — — 1,981,160 18,840 Municipal securities 50,722,157 3,587,676 — — 50,722,157 3,587,676 Mortgage backed securities FHLMC certificates 21,413,620 917,543 — — 21,413,620 917,543 FNMA certificates 70,448,817 2,976,384 — — 70,448,817 2,976,384 GNMA certificates 16,403,268 475,022 4,227,210 129,244 20,630,478 604,266 $ 169,731,353 $ 8,366,473 $ 4,227,210 $ 129,244 $ 173,958,563 $ 8,495,717 |
Investments Classified by Contractual Maturity Date [Table Text Block] | 2017 2016 Amortized Fair Amortized Fair December 31, cost value cost value Maturing Within one year $ 1,499,978 $ 1,499,063 $ 1,499,739 $ 1,499,766 Over one to five years 3,933,902 3,926,744 4,788,422 4,801,586 Over five to ten years 51,761,846 51,269,917 31,359,410 30,528,639 Over ten years 165,013,242 161,656,834 170,077,116 162,675,213 $ 222,208,968 $ 218,352,558 $ 207,724,687 $ 199,505,204 Pledged securities $ 61,250,667 $ 59,932,905 $ 52,471,389 $ 50,704,637 |
Note 6 - Loans and Allowance 37
Note 6 - Loans and Allowance for Loan Losses (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Accounts, Notes, Loans and Financing Receivable [Table Text Block] | December 31, 2017 December 31, 2016 Legacy(1) Acquired Total Legacy(1) Acquired Total Commercial Real Estate Owner Occupied $ 268,128,087 $ 87,658,855 $ 355,786,942 $ 238,220,475 $ 53,850,612 $ 292,071,087 Investment 485,536,921 52,926,739 538,463,660 414,012,709 37,687,804 451,700,513 Hospitality 164,193,228 7,395,186 171,588,414 141,611,858 11,193,427 152,805,285 Land and A&D 67,310,660 9,230,771 76,541,431 51,323,297 6,015,813 57,339,110 Residential Real Estate First Lien—Investment 79,762,682 21,220,518 100,983,200 72,150,512 23,623,660 95,774,172 First Lien—Owner Occupied 67,237,699 62,524,794 129,762,493 54,732,604 42,443,767 97,176,371 Residential Land and A&D 35,879,853 6,536,160 42,416,013 39,667,222 5,558,232 45,225,454 HELOC and Jr. Liens 21,520,339 16,019,418 37,539,757 24,385,215 2,633,718 27,018,933 Commercial and Industrial 154,244,645 33,100,688 187,345,333 136,259,560 5,733,904 141,993,464 Consumer 10,758,589 49,082,751 59,841,340 4,868,909 139,966 5,008,875 1,354,572,703 345,695,880 1,700,268,583 1,177,232,361 188,880,903 1,366,113,264 Allowance for loan losses (5,738,534 ) (182,052 ) (5,920,586 ) (6,084,478 ) (110,991 ) (6,195,469 ) Deferred loan costs, net 2,013,434 — 2,013,434 1,257,411 — 1,257,411 $ 1,350,847,603 $ 345,513,828 $ 1,696,361,431 $ 1,172,405,294 $ 188,769,912 $ 1,361,175,206 |
Past Due Financing Receivables [Table Text Block] | Age Analysis of Past Due Loans December 31, 2017 December 31, 2016 Legacy Acquired Total Legacy Acquired Total Current $ 1,352,406,852 $ 338,913,557 $ 1,691,320,409 $ 1,167,380,870 $ 185,631,054 $ 1,353,011,924 Accruing past due loans: 30 - 89 days past due Commercial Real Estate: Owner Occupied — — — 2,799,802 — 2,799,802 Investment 1,089,022 843,706 1,932,728 — 794,037 794,037 Land and A&D 254,925 158,899 413,824 — — — Residential Real Estate: First Lien-Investment 270,822 506,600 777,422 517,498 397,944 915,442 First Lien-Owner Occupied 229 2,457,299 2,457,528 — 879,718 879,718 HELOC and Jr. Liens — 130,556 130,556 99,946 — 99,946 Commercial and Industrial 51,088 261,081 312,169 325,161 — 325,161 Consumer 26,134 1,017,195 1,043,329 — — — Total 30 - 89 days past due 1,692,220 5,375,336 7,067,556 3,742,407 2,071,699 5,814,106 90 or more days past due Commercial Real Estate: Owner Occupied — — — — 634,290 634,290 Residential Real Estate: First Lien-Owner Occupied — 37,560 37,560 — 250,000 250,000 Consumer — 78,407 78,407 19,242 — 19,242 Total 90 or more days past due — 115,967 115,967 19,242 884,290 903,532 Total accruing past due loans 1,692,220 5,491,303 7,183,523 3,761,649 2,955,989 6,717,638 Recorded Investment Non-accruing loans: Commercial Real Estate: Owner Occupied — 228,555 228,555 2,370,589 — 2,370,589 Investment — — — — — — Hospitality — — — 1,346,736 — 1,346,736 Land and A&D — 190,193 190,193 77,395 194,567 271,962 Residential Real Estate: First Lien-Investment 192,501 — 192,501 312,061 99,293 411,354 First Lien-Owner Occupied 281,130 872,272 1,153,402 222,237 — 222,237 Commercial and Industrial — — — 1,760,824 — 1,760,824 Non-accruing past due loans: 473,631 1,291,020 1,764,651 6,089,842 293,860 6,383,702 Total Loans $ 1,354,572,703 $ 345,695,880 $ 1,700,268,583 $ 1,177,232,361 $ 188,880,903 $ 1,366,113,264 |
Impaired Financing Receivables [Table Text Block] | Unpaid Average Interest Principal Recorded Related Recorded Income Balance Investment Allowance Investment Recognized Legacy With no related allowance recorded: Commercial Real Estate: Owner Occupied $ 1,797,030 $ 1,797,030 $ — $ 1,913,873 $ 70,623 Investment 1,155,595 1,155,595 — 1,183,738 51,806 Residential Real Estate: First Lien-Owner Occupied 226,554 226,554 — 233,618 10,536 Commercial and Industrial 387,208 387,208 — 379,983 30,245 With an allowance recorded: Commercial Real Estate: Investment 592,432 592,432 69,903 601,959 30,576 Residential Real Estate: First Lien-Owner Occupied 54,576 54,576 37,075 217,673 — First Lien-Investment 192,501 192,501 39,420 192,501 — Commercial and Industrial 96,212 96,212 96,212 97,923 4,960 Total legacy impaired 4,502,108 4,502,108 242,610 4,821,268 198,746 Acquired(1) With no related allowance recorded: Commercial Real Estate: Owner Occupied 253,865 253,865 — 252,988 2,155 Land and A&D 334,271 45,000 — 334,271 — Residential Real Estate: First Lien-Owner Occupied 1,382,055 1,269,796 — 1,390,037 31,601 First Lien-Investment 131,294 74,066 — 132,812 4,378 With an allowance recorded: Commercial Real Estate: Land and A&D 148,196 148,196 80,072 155,621 2,498 Residential Real Estate: First Lien-Owner Occupied 250,194 250,194 77,464 273,596 23,424 Commercial and Industrial 72,125 72,125 24,517 74,279 3,775 Total acquired impaired 2,572,000 2,113,242 182,053 2,613,604 67,831 Total impaired $ 7,074,108 $ 6,615,350 $ 424,663 $ 7,434,872 $ 266,577 Unpaid Average Interest Principal Recorded Related Recorded Income Balance Investment Allowance Investment Recognized Legacy With no related allowance recorded: Commercial Real Estate: Owner Occupied $ 566,973 $ 566,973 $ — $ 1,223,360 $ 12,759 Investment 1,212,771 1,212,771 — 1,208,240 54,531 Residential Real Estate: First Lien-Owner Occupied 222,237 222,237 — 243,699 5,440 843,809 843,809 — 3,338,295 3,761 With an allowance recorded: Commercial Real Estate: Owner Occupied 2,048,989 2,048,989 443,489 6,605,858 50,348 Investment 610,485 610,485 33,335 610,373 46,550 Hospitality 1,346,736 1,346,736 134,674 4,199,162 20,959 Land and A&D 77,395 77,395 15,860 82,587 4,729 Residential Real Estate: First Lien-Owner Occupied 312,061 312,061 45,505 547,024 9,348 1,016,479 1,016,479 609,152 1,976,689 4,476 Total legacy impaired 8,257,935 8,257,935 1,282,015 20,035,287 212,901 Acquired(1) With no related allowance recorded: Commercial Real Estate: Land and A&D 255,716 91,669 — 255,661 13,686 Residential Real Estate: First Lien-Owner Occupied 662,835 662,835 — 1,408,689 19,899 First Lien-Investment 292,349 171,348 — 233,133 4,383 Land and A&D 334,271 45,000 — 334,271 — With an allowance recorded: Commercial Real Estate: Land and A&D 151,634 151,634 83,784 161,622 5,264 Commercial and Industrial 76,243 76,243 27,207 83,049 3,992 Total acquired impaired 1,773,048 1,198,729 110,991 2,476,425 47,224 Total impaired $ 10,030,983 $ 9,456,664 $ 1,393,006 $ 22,511,712 $ 260,125 |
Troubled Debt Restructurings on Financing Receivables [Table Text Block] | Loans Modified as a TDR for the twelve months ended December 31, 2017 December 31, 2016 Pre- Post Pre- Post Modification Modification Modification Modification Outstanding Outstanding Outstanding Outstanding TroubledDebtRestructurings— # of Recorded Recorded # of Recorded Recorded (Dollarsinthousands) Contracts Investment Investment Contracts Investment Investment Legacy Commercial Real Estate 1 1,596,740 1,560,726 — — — Commercial 1 414,324 387,208 — — — Total legacy TDR's 2 2,011,064 1,947,934 — — — Acquired Commercial Real Estate — — — — — — Residential Real Estate Non-Owner Occupied — — — 2 392,842 158,382 Total acquired TDR's — — — 2 392,842 158,382 Total Troubled Debt Restructurings 2 $ 2,011,064 $ 1,947,934 2 $ 392,842 $ 158,382 |
Schedule of Loans and Leases Receivable Outstanding Balances and Related Carrying Amounts for Acquired Impaired Loans [Table Text Block] | December 31, 2017 2016 Balance at beginning of period $ (22,980 ) $ 276,892 Additions due to DCB acquisition 6,686 — Accretion of fair value discounts (149,636 ) (308,629 ) Reclassification from non-accretable (1) 280,996 8,757 Balance at end of period $ 115,066 $ (22,980 ) Contractually Required Payments Carrying Receivable Amount At December 31, 2017 $ 8,277,731 $ 6,617,774 At December 31, 2016 9,597,703 7,558,415 |
Financing Receivable Credit Quality Indicators [Table Text Block] | Account Balance December 31, 2017 Legacy Acquired Total Risk Rating Pass(1 - 5) Commercial Real Estate: Owner Occupied $ 262,377,665 $ 83,069,390 $ 345,447,055 Investment 483,404,883 51,064,247 534,469,130 Hospitality 164,193,228 7,395,186 171,588,414 Land and A&D 65,184,837 9,065,405 74,250,242 Residential Real Estate: First Lien-Investment 78,814,931 19,846,749 98,661,680 First Lien-Owner Occupied 66,888,943 57,895,058 124,784,001 Land and A&D 33,712,187 5,727,719 39,439,906 HELOC and Jr. Liens 21,520,339 16,019,418 37,539,757 Commercial 150,881,948 32,738,715 183,620,663 Consumer 10,758,589 49,017,427 59,776,016 1,337,737,550 331,839,314 1,669,576,864 Special Mention(6) Commercial Real Estate: Owner Occupied 435,751 2,816,057 3,251,808 Investment 384,011 1,037,254 1,421,265 Hospitality — — — Land and A&D 2,125,823 120,366 2,246,189 Residential Real Estate: First Lien-Investment 300,824 1,034,942 1,335,766 First Lien-Owner Occupied 67,626 1,848,385 1,916,011 Land and A&D 2,167,666 663,248 2,830,914 HELOC and Jr. Liens — — — Commercial 1,519,394 59,902 1,579,296 Consumer — 65,324 65,324 7,001,095 7,645,478 14,646,573 Substandard(7) Commercial Real Estate: Owner Occupied 5,314,671 1,773,408 7,088,079 Investment 1,748,027 825,238 2,573,265 Hospitality — — — Land and A&D — 45,000 45,000 Residential Real Estate: First Lien-Investment 646,927 338,827 985,754 First Lien-Owner Occupied 281,130 2,781,351 3,062,481 Land and A&D — 145,193 145,193 HELOC and Jr. Liens — — — Commercial 1,843,303 302,071 2,145,374 Consumer — — — 9,834,058 6,211,088 16,045,146 Doubtful(8) — — — Loss(9) — — — Total $ 1,354,572,703 $ 345,695,880 $ 1,700,268,583 Account Balance December 31, 2016 Legacy Acquired Total Risk Rating Pass(1 - 5) Commercial Real Estate: Owner Occupied $ 231,985,682 $ 48,069,046 $ 280,054,728 Investment 408,875,014 35,130,038 444,005,052 Hospitality 140,265,123 9,781,737 150,046,860 Land and A&D 48,817,229 5,815,572 54,632,801 Residential Real Estate: First Lien-Investment 70,980,640 21,898,603 92,879,243 First Lien-Owner Occupied 54,201,816 39,011,487 93,213,303 Land and A&D 36,910,902 4,299,830 41,210,732 HELOC and Jr. Liens 24,385,215 2,633,718 27,018,933 Commercial 132,518,224 5,460,820 137,979,044 Consumer 4,868,909 139,966 5,008,875 1,153,808,754 172,240,817 1,326,049,571 Special Mention(6) Commercial Real Estate: Owner Occupied 2,799,801 4,572,278 7,372,079 Investment 400,228 1,776,837 2,177,065 Hospitality — 1,411,689 1,411,689 Land and A&D 2,506,068 155,241 2,661,309 Residential Real Estate: First Lien-Investment 577,767 1,248,453 1,826,220 First Lien-Owner Occupied 308,552 1,882,182 2,190,734 Land and A&D 2,678,925 791,399 3,470,324 HELOC and Jr. Liens — — — Commercial 456,093 197,383 653,476 Consumer — — — 9,727,434 12,035,462 21,762,896 Substandard(7) Commercial Real Estate: Owner Occupied 3,434,990 1,209,289 4,644,279 Investment 4,737,465 780,929 5,518,394 Hospitality 1,346,736 — 1,346,736 Land and A&D — 45,000 45,000 Residential Real Estate: First Lien-Investment 592,106 476,603 1,068,709 First Lien-Owner Occupied 222,237 1,550,098 1,772,335 Land and A&D 77,395 467,004 544,399 HELOC and Jr. Liens — — — Commercial 3,285,244 75,701 3,360,945 Consumer — — — 13,696,173 4,604,624 18,300,797 Doubtful(8) — — — Loss(9) — — — Total $ 1,177,232,361 $ 188,880,903 $ 1,366,113,264 |
Allowance for Credit Losses on Financing Receivables [Table Text Block] | December 31, 2017 Commercial Commercial Residential Consumer Total Beginning balance $ 1,372,235 $ 3,990,152 $ 823,520 $ 9,562 $ 6,195,469 Provision for loan losses 660,497 231,488 22,203 40,920 955,108 Recoveries 2,350 2,017 900 35,525 40,792 2,035,082 4,223,657 846,623 86,007 7,191,369 Loans charged off (773,052 ) (439,922 ) (2,268 ) (55,541 ) (1,270,783 ) Ending Balance $ 1,262,030 $ 3,783,735 $ 844,355 $ 30,466 $ 5,920,586 Amount allocated to: Legacy Loans: Individually evaluated for impairment $ 96,212 $ 69,903 $ 76,496 $ — $ 242,611 Other loans not individually evaluated 1,141,301 3,633,760 690,396 30,466 5,495,923 Acquired Loans: Individually evaluated for impairment 24,517 80,072 77,463 — 182,052 Ending balance $ 1,262,030 $ 3,783,735 $ 844,355 $ 30,466 $ 5,920,586 December 31, 2016 Commercial Commercial Residential Consumer Total Beginning balance $ 1,161,318 $ 3,053,925 $ 682,962 $ 11,613 $ 4,909,818 Provision for loan losses 172,059 936,227 486,935 (10,679 ) 1,584,542 Recoveries 43,330 — 49,464 18,482 111,276 1,376,707 3,990,152 1,219,361 19,416 6,605,636 Loans charged off (4,472 ) — (395,841 ) (9,854 ) (410,167 ) Ending Balance $ 1,372,235 $ 3,990,152 $ 823,520 $ 9,562 $ 6,195,469 Amount allocated to: Legacy Loans: Individually evaluated for impairment $ 609,152 $ 611,498 $ 61,365 $ — $ 1,282,015 Other loans not individually evaluated 735,876 3,378,654 678,371 9,562 4,802,463 Acquired Loans: Individually evaluated for impairment 27,207 — 83,784 — 110,991 Ending balance $ 1,372,235 $ 3,990,152 $ 823,520 $ 9,562 $ 6,195,469 |
Schedule of Recorded Investment Based on Impairment Methodology [Table Text Block] | December 31, 2017 Commercial Commercial Residential Consumer Total Legacy loans: Individually evaluated for impairment with specific reserve $ 96,212 $ 592,432 $ 247,077 $ — $ 935,721 Individually evaluated for impairment without specific reserve 387,208 2,952,625 226,554 — 3,566,387 Other loans not individually evaluated 153,761,224 981,623,840 203,926,942 10,758,589 1,350,070,595 Acquired loans: Individually evaluated for impairment with specific reserve subsequent to acquisition (ASC 310-20 at acquisition) 72,125 148,196 250,194 — 470,515 Individually evaluated for impairment without specific reserve (ASC 310-20 at acquisition) — 298,865 1,269,796 — 1,568,661 Individually evaluated for impairment with specific reserve (ASC 310-30 at acquisition) — 3,466,289 3,137,545 14,000 6,617,834 Collectively evaluated for impairment without reserve (ASC 310-20 at acquisition) 33,028,564 153,298,200 101,643,355 49,068,751 337,038,870 Ending balance $ 187,345,333 $ 1,142,380,447 $ 310,701,463 $ 59,841,340 $ 1,700,268,583 December 31, 2016 Commercial Commercial Residential Consumer Total Legacy loans: Individually evaluated for impairment with specific reserve $ 1,016,479 $ 4,083,605 $ 312,061 $ — $ 5,412,145 Individually evaluated for impairment without specific reserve 843,809 1,779,744 222,237 — 2,845,790 Other loans not individually evaluated 134,399,272 839,304,990 190,401,255 4,868,909 1,168,974,426 Acquired loans: Individually evaluated for impairment with specific reserve subsequent to acquisition (ASC 310-20 at acquisition) 76,243 151,634 — — 227,877 Individually evaluated for impairment without specific reserve (ASC 310-20 at acquisition) — 91,669 879,182 — 970,851 Individually evaluated for impairment with specific reserve (ASC 310-30 at acquisition) — 4,632,885 2,925,529 — 7,558,414 Collectively evaluated for impairment without reserve (ASC 310-20 at acquisition) 5,657,661 103,871,468 70,454,666 139,966 180,123,761 Ending balance $ 141,993,464 $ 953,915,995 $ 265,194,930 $ 5,008,875 $ 1,366,113,264 |
Schedule of Maturities of Loan Portfolio [Table Text Block] | December 31, 2017 2016 Within one year $ 407,174,181 $ 310,405,004 Over one to five years 771,105,803 683,085,446 Over five years 521,988,599 372,622,814 $ 1,700,268,583 $ 1,366,113,264 |
Note 7 - Equity Securities (Tab
Note 7 - Equity Securities (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Cost Method Investments [Table Text Block] | December 31, 2017 2016 Atlantic Central Bankers Bank stock $ 219,500 $ 219,500 Federal Home Loan Bank stock 8,402,000 7,727,600 ICBA Stock 1,750 1,750 Maryland Financial Bank stock 152,497 152,497 Investment in Maryland Statutory Trust 202,000 202,000 Total $ 8,977,747 $ 8,303,347 |
Note 9 - Premises and Equipme39
Note 9 - Premises and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Property, Plant and Equipment [Table Text Block] | December 31, 2017 2016 Land $ 7,938,389 $ 5,207,030 Building 28,580,066 27,854,975 Leasehold improvements 8,115,555 6,745,221 Furniture and equipment 9,814,799 8,018,395 54,448,809 47,825,621 Accumulated depreciation 13,274,999 11,080,917 Net premises and equipment $ 41,173,810 $ 36,744,704 Depreciation expense $ 2,472,405 $ 2,248,205 |
Note 10 - Deposits (Tables)
Note 10 - Deposits (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Deposit Liabilities, Type [Table Text Block] | December 31, 2017 2016 Money market and NOW $ 538,102,931 $ 433,195,434 Savings 132,970,630 100,758,813 Time deposits that meet or exceed the FDIC insured limit 95,365,364 75,931,295 Other time deposits 434,661,392 384,663,727 $ 1,201,100,317 $ 994,549,269 |
Time Deposit Maturities [Table Text Block] | December 31, 2017 2016 Within three months $ 98,291,816 $ 68,951,740 Over three to twelve months 183,750,343 182,481,109 Over one to three years 183,257,118 125,289,678 Over three to five years 64,727,479 83,872,495 $ 530,026,756 $ 460,595,022 |
Schedule of Interest on Deposit [Table Text Block] | December 31, 2017 2016 2015 Money market and NOW $ 1,863,164 $ 1,014,981 $ 723,666 Savings 130,322 122,270 111,385 Other time deposits 5,327,545 4,371,582 3,411,939 $ 7,321,031 $ 5,508,833 $ 4,246,990 |
Note 11 - Short Term Borrowin41
Note 11 - Short Term Borrowings (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Short-term Debt [Table Text Block] | December 31, 2017 December 31, 2016 Amount Rate Maximum Amount Amount Rate Maximum Amount Short term promissory notes — — — — — — Repurchase agreements $ 37,611,971 0.80 % $ 37,611,971 $ 33,433,892 0.47 % $ 33,880,864 FHLB daily rate advances 45,000,000 1.59 45,000,000 30,000,000 0.80 54,000,000 FHLB adjustable rate advances — — — — — 4,000,000 FHLB fixed rate advances 110,000,000 1.40 165,000,000 120,000,000 0.61 159,000,000 Total short term borrowings $ 192,611,971 $ 247,611,971 $ 183,433,892 $ 250,880,864 Average for the year Short term promissory notes $ — — % $ — — % Repurchase agreements $ 27,469,892 0.80 % $ 30,573,019 0.47 % FHLB daily rate advances 28,098,630 1.22 32,263,661 0.64 FHLB adjustable rate advances — — 1,478,698 0.59 FHLB fixed rate advances 176,881,966 0.97 104,822,830 0.39 Total $ 232,450,488 $ 169,138,208 |
Note 12 - Long Term Borrowings
Note 12 - Long Term Borrowings (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Long-term Debt Instruments [Table Text Block] | 2017 2016 December 31, Amount Rate Amount Rate Amount outstanding at year end Senior note $ — — % $ — — % Subordinated Note-fixed to floating rate 35,000,000 35,000,000 Discount on Subordinated note (452,651 ) (505,151 ) Issuance cost for subordinated note (471,590 ) (526,286 ) Net carrying value of subordinated debt 34,075,759 5.625 33,968,563 5.625 Subordinated Debentures Trust 1 - Floating 90-day LIBOR plus 2.85%, due 2034 4,000,000 4.39 4,000,000 3.82 Acquisition fair value adjustment (1,468,572 ) (1,558,946 ) Trust 2 - Floating 90-day LIBOR plus 1.60%, due 2035 2,500,000 3.14 2,500,000 2.57 Acquisition fair value adjustment (1,202,257 ) (1,269,050 ) Stock on subordinated debentures 202,000 202,000 Net carrying value 4,031,171 3.91 (1) 3,874,004 3.34 (1) Total $ 38,106,930 $ 37,842,567 Average for the year Senior note, fixed at 6.28% $ — — % $ 3,887,114 6.28 % Subordinated note 34,018,375 5.625 11,605,039 5.625 Trust preferred subordinated debentures (1) 3,947,384 9.75 3,757,633 9.38 Total $ 37,965,759 $ 19,249,786 |
Schedule of Maturities of Long-term Debt [Table Text Block] | Year Amount 2026 34,075,759 over 10 years 4,031,171 $ 38,106,930 |
Note 13 - Related Party Trans43
Note 13 - Related Party Transactions (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Related Party Transactions [Table Text Block] | December 31, 2017 2016 Balance at beginning of year $ 2,700,087 $ 2,471,949 Additions 1,536,167 710,572 Repayments (311,115 ) (482,434 ) Balance at end of year $ 3,925,139 $ 2,700,087 |
Note 14 - Income Taxes (Tables)
Note 14 - Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] | December 31, 2017 2016 2015 Current Federal $ 4,850,926 $ (2,421,114 ) $ 2,221,756 State 2,162,222 1,724,355 664,113 7,013,148 (696,759 ) 2,885,869 Deferred Federal 1,999,926 7,556,701 1,993,829 State (860,350 ) (47,344 ) 502,692 1,139,576 7,509,357 2,496,521 $ 8,152,724 $ 6,812,598 $ 5,382,390 |
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | December 31, 2017 2016 Deferred tax assets Allowance for loan losses $ 1,245,747 $ 2,323,236 Non-accrual interest 149,017 205,703 Impairment losses and expenses on other real estate owned 251,924 348,617 Director stock options 38,949 8,684 Deferred compensation plans 1,565,114 2,130,082 Net operating loss carryover 3,869,905 5,698,994 Fair value adjustments for acquired assets and liabilities 3,523,966 3,787,101 Non-compete agreements 52,972 85,136 Other — (28,756 ) Net unrealized loss on securities available for sale 1,061,187 3,242,175 $ 11,758,781 $ 17,800,972 Deferred tax liabilities Deferred loan origination costs, net $ 527,338 $ 473,598 Depreciation 2,135,418 2,973,744 Other 45,885 — Core deposit intangible amortization 1,733,044 1,388,630 4,441,685 4,835,972 Net deferred tax asset before valuation allowance 7,317,096 12,965,000 Valuation allowance for deferred tax asset — (3,386,650 ) Net deferred tax asset $ 7,317,096 $ 9,578,350 |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | December 31, 2017 2016 2015 Statutory federal income tax rate 34.0 % 34.0 % 34 % Increase (decrease) resulting from State income taxes, net of federal income tax benefit 6.3 5.3 4.7 Bank owned life insurance (1.6 ) (1.9 ) (1.9 ) Other tax exempt income (4.8 ) (5.0 ) (5.7 ) Stock based compensation awards 0.7 0.7 0.6 Other non-deductible expenses 1.8 0.8 1.2 Remove valuation allowance (14.0 ) — — Deferred tax asset rate change 12.1 Other (0.6 ) 0.2 1.0 Effective tax rate 33.9 % 34.1 % 33.9 % |
Note 15 - Employee Benefits (Ta
Note 15 - Employee Benefits (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Share-based Compensation, Stock Options, Activity [Table Text Block] | 2017 2016 2015 Number Weighted Number Weighted Number Weighted Outstanding, beginning of year 360,988 $ 12.04 368,956 $ 10.67 393,162 $ 10.14 Options granted — — 58,926 17.75 50,594 14.38 Options exercised (26,914 ) 10.10 (66,894 ) 9.52 (74,800 ) 10.34 Options forfeited — — — — — — Options expired (6,500 ) 10.85 — — — — Outstanding, end of year 327,574 $ 12.22 360,988 $ 12.04 368,956 $ 10.67 |
Schedule of Share-based Compensation, Shares Authorized under Stock Option Plans, by Exercise Price Range [Table Text Block] | Outstanding Options Exercisable Options Exercise price Number of Weighted Weighted Number of Weighted $6.30 - 10.95 134,723 2.43 $ 7.48 134,723 $ 7.48 $10.96 - 16.76 135,125 6.24 14.59 122,192 14.63 $16.77 - 17.75 57,726 8.04 17.75 29,640 17.75 327,574 4.61 $ 12.22 286,555 $ 11.59 Intrinsic value of vested exercisable options where the market value exceeds the exercise price $ 5,114,960 Intrinsic value of outstanding options where the market value exceeds the exercise price $ 5,639,857 |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block] | Years Ended December 31, 2017 2016 2015 Expected dividends - % 1.00 % 1.00 % Risk free interest rate - % 1.75 % 0.39 % Expected volatility - % 25.28 % 30.76 % Weighted average volatility - % 15.91 % 10.65 % Expected life in years - 4.68 - 5.72 5.50 - 6.00 Weighted average fair value of options granted $ - $ 5.40 $ 5.09 |
Schedule of Unvested Restricted Stock Awards Vesting [Table Text Block] | # of Restricted Vesting Date Shares 2/25/2018 3,917 7/2/2018 7,137 7/8/2018 7,531 8/29/2018 5,427 12/31/2018 4,662 2/24/2019 5,295 7/8/2019 7,537 8/29/2019 5,432 12/31/2019 4,662 2/24/2020 3,472 8/29/2020 5,439 12/31/2020 4,676 2/24/2021 3,090 Total Issued 68,277 |
Schedule of Nonvested Share Activity [Table Text Block] | December 31, 2017 December 31, 2016 December 31, 2015 Number of Weighted Number of Weighted Number of Weighted Nonvested, beginning of period 54,151 $ 17.30 27,878 $ 15.52 8,522 $ 13.35 Restricted stock granted 42,066 28.22 36,461 18.20 30,725 15.31 Restricted stock vested (27,940 ) 17.17 (10,188 ) 15.63 (11,369 ) 11.19 Restricted stock forfeited — — — — — — Nonvested, end of period 68,277 $ 23.86 54,151 $ 17.30 27,878 $ 15.52 Total fair value of shares vested $ 811,696 $ 194,589 $ 148,630 Intrinsic value of non-vested restricted stock awards where the market value exceeds the exercise price $ 380,824 $ 361,506 $ 489,816 Intrinsic value of vested restricted stock awards where the market value exceeds the exercise price $ 1,677,537 $ 819,472 $ 199,753 |
Note 16 - Capital Standards (Ta
Note 16 - Capital Standards (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Compliance with Regulatory Capital Requirements under Banking Regulations [Table Text Block] | Actual Minimum capital To be well December 31, 2017 Amount Ratio Amount Ratio Amount Ratio (Dollars in 000’s) Total capital (to risk weighted assets) Consolidated $ 221,083 11.8 % $ 149,839 8 % $ 187,298 10 % Old Line Bank $ 212,452 11.4 % $ 149,509 8 % $ 186,886 10 % Tier 1 capital (to risk weighted assets) Consolidated $ 180,101 9.6 % $ 112,379 6 % $ 149,839 8 % Old Line Bank $ 206,471 11.0 % $ 112,132 6 % $ 149,509 8 % Tier 1 capital (to average assets) Consolidated $ 180,101 8.8 % $ 81,485 4 % $ 101,857 5 % Old Line Bank $ 206,471 10.1 % $ 81,415 4 % $ 101,769 5 % Common Equity Tier 1 (to risk-weighted assets) Consolidated $ 176,070 9.4 % $ 84,284 4.5 % $ 121,744 6.5 % Old Line Bank $ 206,471 11.0 % $ 84,099 4.5 % $ 121,476 6.5 % Actual Minimum capital To be well December 31, 2016 Amount Ratio Amount Ratio Amount Ratio (Dollars in 000’s) Total capital (to risk weighted assets) Consolidated $ 183,168 12.3 % $ 119,410 8 % $ 149,263 10 % Old Line Bank $ 171,617 11.5 % $ 118,941 8 % $ 148,676 10 % Tier 1 capital (to risk weighted assets) Consolidated $ 141,921 9.5 % $ 89,558 6 % $ 119,410 8 % Old Line Bank $ 165,370 11.1 % $ 89,205 6 % $ 118,941 8 % Tier 1 capital (to average assets) Consolidated $ 141,921 8.6 % $ 66,369 4 % $ 82,961 5 % Old Line Bank $ 165,370 10.0 % $ 66,213 4 % $ 82,766 5 % Common Equity Tier 1 (to risk-weighted assets) Consolidated $ 138,047 9.2 % $ 67,168 4.5 % $ 97,021 6.5 % Old Line Bank $ 165,370 11.1 % $ 66,904 4.5 % $ 96,639 6.5 % |
Note 17 - Commitments and Con47
Note 17 - Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Fair Value, Off-balance Sheet Risks [Table Text Block] | December 31, 2017 2016 Commitments to extend credit and available credit lines: Commercial $ 132,245,792 $ 92,262,530 Construction 132,854,976 134,944,015 Consumer 41,151,049 25,422,254 $ 306,251,817 $ 252,628,799 Standby letters of credit $ 12,361,974 $ 18,907,384 |
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block] | Year Amount (in thousands) 2018 $ 2,352 2019 2,062 2020 1,642 2021 1,333 2022 889 Remaining 4,069 $ 12,347 |
Note 18 - Fair Value Measurem48
Note 18 - Fair Value Measurement (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block] | At December 31, 2017 (in thousands) Carrying Value Quoted Prices in Other Significant Total Changes Available-for-sale: Treasury securities $ 3,005 $ 3,005 $ — $ — $ — U.S. government agency 17,734 — 17,734 — — Corporate Bonds 14,658 — 14,658 Municipal securities 79,555 — 79,555 — — FHLMC MBS 19,455 — 19,455 — — FNMA MBS 62,946 — 62,946 — — GNMA MBS 21,000 — 21,000 — — Total recurring assets at fair value $ 218,353 $ 3,005 $ 200,690 $ 14,658 $ — At December 31, 2016 (in thousands) Carrying Value Quoted Prices in Other Significant Total Changes Available-for-sale: Treasury securities $ 2,996 $ 2,996 $ — $ — $ — U.S. government agency 7,266 — 7,266 — — Corporate Bonds 8,172 — 8,172 Municipal securities 67,687 — 67,687 — — FHLMC MBS 21,800 — 21,800 — — FNMA MBS 70,449 — 70,449 — — GNMA MBS 21,135 — 21,135 — — Total recurring assets at fair value $ 199,505 $ 2,996 $ 188,337 $ 8,172 $ — |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block] | Level 3 Level 3 (in thousands) Year Ended December 31, 2017 Year Ended December 31, 2016 Investment available-for-sale Balance as of January 1, 2017 $ 8,172 — Realized and unrealized gains (losses) Included in earnings — — Included in other comprehensive income (35 ) 72 Purchases, issuances, sales and settlements 6,521 8,100 Transfers into or out of level 3 — — Balance at December 31, 2017 $ 14,658 8,172 |
Fair Value Measurements, Nonrecurring [Table Text Block] | At December 31, 2017 (in thousands) Carrying Value Quoted Prices in Other Significant Impaired Loans Legacy: $ 4,260 — — $ 4,260 Acquired: 1,931 — — 1,931 Total Impaired Loans 6,191 — — 6,191 Other real estate owned: Legacy: $ 425 — — $ 425 Acquired: 1,579 — — 1,579 Total other real estate owned: 2,004 — — 2,004 Total $ 8,195 $ — $ — $ 8,195 At December 31, 2016 (in thousands) Carrying Value Quoted Prices in Other Significant Impaired Loans Legacy: $ 6,976 — — $ 6,976 Acquired: 1,088 — — 1,088 Total Impaired Loans 8,064 — — 8,064 Other real estate owned: Legacy: $ 425 — — $ 425 Acquired: 2,321 — — 2,321 Total other real estate owned: 2,746 — — 2,746 Total $ 10,810 $ — $ — $ 10,810 |
Fair Value, by Balance Sheet Grouping [Table Text Block] | December 31,2017 (in thousands) Carrying Total Quoted Prices Significant Significant Assets: Cash and cash equivalents $ 35,174 $ 35,174 $ 35,174 $ — $ — Loans receivable, net 1,696,361 1,692,018 — — 1,692,018 Loans held for sale 4,404 4,558 — 4,558 — Investment securities available for sale 218,353 218,353 3,005 200,690 14,658 Equity Securities at cost 8,978 8,978 — 8,978 — Bank Owned Life Insurance 41,612 41,612 — 41,612 — Accrued interest receivable 5,476 5,476 — 1,215 4,261 Liabilities: Deposits: Non-interest-bearing 451,803 451,803 — 451,803 — Interest bearing 1,201,100 1,205,936 — 1,205,936 — Short term borrowings 192,612 192,612 — 192,612 — Long term borrowings 38,107 38,107 — 38,107 — Accrued Interest payable 1,472 1,472 — 1,472 — December 31, 2016 (in thousands) Carrying Total Quoted Prices Significant Significant Assets: Cash and cash equivalents $ 23,463 $ 23,463 $ 23,463 $ — $ — Loans receivable, net 1,361,175 1,364,361 — — 1,364,361 Loans held for sale 8,418 8,707 — 8,707 — Investment securities available for sale 199,505 199,505 2,996 188,337 8,172 Equity Securities at cost 8,303 8,303 — 8,303 — Bank Owned Life Insurance 37,558 37,558 — 37,558 — Accrued interest receivable 4,278 4,278 — 991 3,287 Liabilities: Deposits: Non-interest-bearing 331,331 331,331 — 331,331 — Interest bearing 994,549 998,489 — 998,489 — Short term borrowings 183,434 183,434 — 183,434 — Long term borrowings 37,843 37,843 — 37,843 — Accrued Interest payable 1,269 1,269 — 1,269 — |
Note 19 - Other Operating Exp49
Note 19 - Other Operating Expenses (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Other Operating Cost and Expense, by Component [Table Text Block] | December 31, 2017 2016 2015 Legal Expenses $ 247,723 $ 253,129 $ 337,033 Professional Fees 688,000 439,954 285,267 Audit and Exam 388,000 504,167 423,878 ATM expenses 346,000 182,519 168,301 Other 5,632,449 5,142,516 4,944,664 Total $ 7,302,172 $ 6,522,285 $ 6,159,143 |
Note 20 - Parent Company - Co50
Note 20 - Parent Company - Condensed Financial Information (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Condensed Balance Sheet [Table Text Block] | December 31, 2017 2016 Assets Cash and due from banks $ 4,856,350 $ 5,441,189 Investment in Real Estate LLC — 4,004,969 Investment in MD Statutory Trust 202,000 202,000 Investment in Old Line Bank 238,127,239 177,989,848 Federal income tax receivable 3,613,048 1,646,040 Other assets 307,165 18,965 $ 247,105,802 $ 189,303,011 Liabilities and Stockholders’ Equity Accounts payable $ 1,271,687 $ 793,659 Trust preferred 4,031,170 3,874,004 Subordinated debt 34,075,759 33,968,563 Stockholders’ equity Common stock 125,083 109,109 Additional paid-in capital 148,882,865 106,692,958 Retained earnings 61,054,487 48,842,026 Accumulated other comprehensive income (loss) (2,335,249 ) (4,977,308 ) 207,727,186 150,666,785 $ 247,105,802 $ 189,303,011 |
Condensed Income Statement [Table Text Block] | Years Ended December 31, 2017 2016 2015 Interest and dividend income (expense) Dividend from Old Line Bank $ 3,751,353 $ 2,603,947 $ 2,245,508 Interest income on money market and certificates of deposit — — 1,581 Interest expense on trust preferred and subordinated debt (2,447,346 ) (1,166,298 ) — Interest expense on loans — — (9,081 ) Net interest and dividend income 1,304,007 1,437,649 2,238,008 Non-interest income (loss) (195,896 ) (102,630 ) (6,920 ) Non-interest expense 3,870,509 1,386,530 982,216 Income before income taxes (2,762,398 ) (51,511 ) 1,248,872 Income tax expense (benefit) (1,859,603 ) (885,393 ) (184,871 ) (902,795 ) 833,882 1,433,743 Undistributed net income of Old Line Bank 16,866,609 12,321,215 9,034,843 Net income $ 15,963,814 $ 13,155,097 $ 10,468,586 |
Condensed Cash Flow Statement [Table Text Block] | Years Ended December 31, 2017 2016 2015 Cash flows from operating activities Net income $ 15,963,814 $ 13,155,097 $ 10,468,586 Adjustments to reconcile net income to net cash provided by operating activities Undistributed net income of Old Line Bank (16,866,609 ) (12,321,215 ) (9,034,843 ) Stock based compensation awards 694,593 562,672 418,419 Loss from investment in real estate Pointer Ridge LLC 195,896 102,630 6,920 (Increase) decrease in income tax receivable (1,967,008 ) (850,118 ) — Increase (decrease) in other liabilities 635,194 (75,822 ) (212,192 ) (Increase) decrease in other assets (288,200 ) 88,752 294,811 $ (1,632,320 ) $ 661,996 $ 1,941,701 Cash flows from investing activities Cash and cash equivalents of acquired company (35,566,947 ) — (2,646,577 ) Purchase Pointer Ridge LLC 4,004,969 (3,677,297 ) — Net cash to bank 35,573,868 (23,756,314 ) — 4,011,890 (27,433,611 ) (2,646,577 ) Cash flows from financing activities Proceeds from stock options exercised, including tax benefit 679,748 837,763 815,843 Proceeds from issuance of common stock — — (4,899,186 ) Acquisition cash consideration — — 2,852,321 Subordinated debt issued 107,196 33,968,563 — Purchase of minority member(s) interest — (258,181 ) — Cash dividends paid-common stock (3,751,353 ) (2,603,948 ) (2,245,508 ) (2,964,409 ) 31,944,197 (3,476,530 ) Net (decrease) increase in cash and cash equivalents (584,839 ) 5,172,582 (4,181,406 ) Cash and cash equivalents at beginning of year 5,441,189 268,607 4,450,013 Cash and cash equivalents at end of year $ 4,856,350 $ 5,441,189 $ 268,607 |
Note 1 - Summary of Significa51
Note 1 - Summary of Significant Accounting Policies (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
Mar. 31, 2018 | Sep. 30, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Number of Reporting Units | 1 | |||||
Goodwill, Impairment Loss | $ 0 | |||||
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 35.00% | 34.00% | 34.00% | 34.00% | ||
Scenario, Forecast [Member] | ||||||
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 21.00% | |||||
Scenario, Forecast [Member] | New Accounting Pronouncement, Early Adoption, Effect [Member] | Reclassification of Stranded Tax Debit From Accumulated Other Comprehensive Income to Retained Earnings [Member] | ||||||
Tax Cuts and Jobs Act of 2017, Reclassification from AOCI to Retained Earnings, Tax Effect | $ 460 | |||||
Core Deposits [Member] | Maryland Bankcorp, Inc. [Member] | ||||||
Finite-Lived Intangible Asset, Useful Life | 18 years | |||||
Core Deposits [Member] | WSB Holdings, Inc. [Member] | ||||||
Finite-Lived Intangible Asset, Useful Life | 10 years | |||||
Core Deposits [Member] | Regal Bancorp, Inc. [Member] | ||||||
Finite-Lived Intangible Asset, Useful Life | 8 years | |||||
Building [Member] | Minimum [Member] | ||||||
Property, Plant and Equipment, Useful Life | 5 years | |||||
Building [Member] | Maximum [Member] | ||||||
Property, Plant and Equipment, Useful Life | 50 years | |||||
Leasehold Improvements [Member] | Minimum [Member] | ||||||
Property, Plant and Equipment, Useful Life | 3 years | |||||
Leasehold Improvements [Member] | Maximum [Member] | ||||||
Property, Plant and Equipment, Useful Life | 30 years | |||||
Furniture and Fixtures [Member] | Minimum [Member] | ||||||
Property, Plant and Equipment, Useful Life | 3 years | |||||
Furniture and Fixtures [Member] | Maximum [Member] | ||||||
Property, Plant and Equipment, Useful Life | 23 years |
Note 1 - Summary of Significa52
Note 1 - Summary of Significant Accounting Policies - Earnings Per Share (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Net Income | $ 15,963,814 | $ 13,155,097 | $ 10,468,586 |
Denominator: | |||
Weighted average common shares outstanding (in shares) | 11,588,045 | 10,837,939 | 10,647,986 |
Effect of Diluted Shares (in shares) | 211,139 | 159,546 | 136,337 |
Diluted shares (in shares) | 11,799,184 | 10,997,485 | 10,784,323 |
Net income per share: | |||
Basic (in dollars per share) | $ 1.38 | $ 1.21 | $ 0.98 |
Diluted (in dollars per share) | $ 1.35 | $ 1.20 | $ 0.97 |
Note 2 - Acquisition of DCB B53
Note 2 - Acquisition of DCB Bancshares, Inc. (Details Textual) - USD ($) | Jul. 28, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Business Combination, Consideration Transferred | $ 40,850,410 | $ 6,996,922 | ||
Business Combination, Acquisition Related Costs | 3,985,514 | 661,018 | $ 1,420,570 | |
DCB Bancshares [Member] | ||||
Business Acquisition Amount of Company Stock Received Per Share | $ 0.9269 | |||
Stock Issued During Period, Shares, Acquisitions | 1,495,090 | |||
Business Combination, Consideration Transferred | $ 40,850,410 | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets | 310,974,425 | |||
Business Combination, Acquisition Related Costs | $ 4,000,000 | |||
Business Acquisitions Pro Forma Interest Income (Expense), Net | 68,300,000 | 62,600,000 | ||
Business Acquisition, Pro Forma Net Income (Loss) | $ 20,600,000 | $ 14,400,000 |
Note 2 - Acquisition of DCB B54
Note 2 - Acquisition of DCB Bancshares, Inc. - Assets and Liabilities Acquired (Details) - USD ($) | Jul. 28, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Cash consideration | $ 2,852,321 | |||
Total purchase price for DCB acquisition | 40,850,410 | 6,996,922 | ||
Fair Value of Liabilities assumed | ||||
Total liabilities assumed | 285,421,333 | 125,619,844 | ||
Total Purchase Price | $ 40,850,410 | $ 6,996,922 | ||
DCB Bancshares [Member] | ||||
Cash consideration | $ 4,534 | |||
Purchase price assigned to shares exchanged for stock | 40,845,876 | |||
Total purchase price for DCB acquisition | 40,850,410 | |||
Cash and due from banks | 35,571,479 | |||
Investment securities available for sale | 42,349,201 | |||
Loans, net | 216,172,008 | |||
Premises and equipment | 5,214,193 | |||
Accrued interest receivable | 585,195 | |||
Deferred income taxes | 599,336 | |||
Bank owned life insurance | 3,085,783 | |||
Core deposit intangible | 3,746,430 | |||
Other assets | 3,650,800 | |||
Total assets acquired | 310,974,425 | |||
Fair Value of Liabilities assumed | ||||
Deposits | 277,867,449 | |||
Short term borrowings | 4,753,521 | |||
Other liabilities | 2,800,363 | |||
Total liabilities assumed | 285,421,333 | |||
Fair Value of net assets acquired | 25,553,092 | |||
Total Purchase Price | 40,850,410 | |||
Goodwill recorded for DCB | $ 15,297,318 |
Note 2 - Acquisition of DCB B55
Note 2 - Acquisition of DCB Bancshares - Business Combination Expenses (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Merger and integration | $ 3,985,514 | $ 661,018 | $ 1,420,570 |
Data Processing [Member] | |||
Merger and integration | 1,426,269 | ||
Severance Costs [Member] | |||
Merger and integration | 1,515,207 | ||
Advisory & Legal Fees [Member] | |||
Merger and integration | 703,224 | ||
Other [Member] | |||
Merger and integration | $ 340,814 |
Note 3 - Goodwill and Other I56
Note 3 - Goodwill and Other Intangible Assets (Details Textual) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Amortization of Intangible Assets | $ 968,881 | $ 830,805 | $ 792,351 |
Note 3 - Goodwill and Other I57
Note 3 - Goodwill and Other Intangible Assets - Changes in Goodwill and Intangible Assets (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Carrying amount at beginning of year | $ 9,786,357 | $ 9,786,357 |
Goodwill from DCB acquisition | 15,297,318 | |
Carrying amount at end of year | 25,083,675 | 9,786,357 |
Core Deposits [Member] | ||
Core deposit intangible | 8,160,420 | 8,160,420 |
Acquired during the year | 3,746,430 | |
Less accumulated amortization | (5,608,880) | (4,639,999) |
Carrying amount at end of year | $ 6,297,970 | $ 3,520,421 |
Note 3 - Goodwill and Other I58
Note 3 - Goodwill and Other Intangible Assets - Future Amortization Expense (Details) - Core Deposits [Member] - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
2,018 | $ 1,195,796 | |
2,019 | 1,101,084 | |
2,020 | 1,000,018 | |
2,021 | 912,325 | |
2,022 | 832,643 | |
Thereafter | 1,256,104 | |
Total | $ 6,297,970 | $ 3,520,421 |
Note 4 - Cash and Cash Equiva59
Note 4 - Cash and Cash Equivalents (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Cash, Uninsured Amount | $ 0 | $ 0 |
Federal Funds Sold, Average | $ 528 | $ 491 |
Note 5 - Investment Securitie60
Note 5 - Investment Securities (Details Textual) | Jul. 28, 2017USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Less than One Year | 56 | |||
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Greater than or Equal to One Year | 116 | |||
Proceeds from Sale and Maturity of Available-for-sale Securities | $ 77,300,000 | |||
Available-for-sale Securities, Gross Realized Gain (Loss) | 35,000 | |||
Proceeds from Sale of Available-for-sale Securities | $ 53,802,337 | $ 107,993,646 | $ 41,835,214 | |
Securities Acquired in DCB Merger [Member] | ||||
Available-for-sale Securities, Gross Realized Gain (Loss) | $ 0 | |||
Proceeds from Sale of Available-for-sale Securities | 41,800,000 | |||
DCB Bancshares [Member] | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Assets, Marketable Securities | $ 42,349,201 |
Note 5 - Investment Securitie61
Note 5 - Investment Securities - Amortized Cost and Fair Value (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Amortized cost | $ 222,208,968 | $ 207,724,687 |
Gross unrealized gains | 273,656 | 276,234 |
Gross unrealized losses | (4,130,066) | (8,495,717) |
Estimated fair value | 218,352,558 | 199,505,204 |
US Treasury Securities [Member] | ||
Amortized cost | 3,007,728 | 2,999,483 |
Gross unrealized gains | 27 | |
Gross unrealized losses | (2,337) | (3,728) |
Estimated fair value | 3,005,391 | 2,995,782 |
US Government Agencies Debt Securities [Member] | ||
Amortized cost | 18,001,200 | 7,653,595 |
Gross unrealized gains | ||
Gross unrealized losses | (267,434) | (387,280) |
Estimated fair value | 17,733,766 | 7,266,315 |
Corporate Debt Securities [Member] | ||
Amortized cost | 14,621,378 | 8,100,000 |
Gross unrealized gains | 144,574 | 90,477 |
Gross unrealized losses | (107,893) | (18,840) |
Estimated fair value | 14,658,059 | 8,171,637 |
US States and Political Subdivisions Debt Securities [Member] | ||
Amortized cost | 80,791,431 | 71,103,969 |
Gross unrealized gains | 126,566 | 170,512 |
Gross unrealized losses | (1,362,709) | (3,587,676) |
Estimated fair value | 79,555,288 | 67,686,805 |
Federal Home Loan Mortgage Corporation Certificates and Obligations (FHLMC) [Member] | ||
Amortized cost | 19,907,299 | |
Gross unrealized gains | 2,516 | |
Gross unrealized losses | (455,580) | |
Estimated fair value | 19,454,235 | |
Federal National Mortgage Association Certificates and Obligations (FNMA) [Member] | ||
Amortized cost | 64,476,038 | 22,706,185 |
Gross unrealized gains | 11,712 | |
Gross unrealized losses | (1,530,121) | (917,543) |
Estimated fair value | 62,945,917 | 21,800,354 |
Government National Mortgage Association Certificates and Obligations (GNMA) [Member] | ||
Amortized cost | 21,403,894 | 73,425,200 |
Gross unrealized gains | ||
Gross unrealized losses | (403,992) | (2,976,384) |
Estimated fair value | $ 20,999,902 | 70,448,816 |
SBA Loan Pools [Member] | ||
Amortized cost | 21,736,255 | |
Gross unrealized gains | 3,506 | |
Gross unrealized losses | (604,266) | |
Estimated fair value | $ 21,135,495 |
Note 5 - Investment Securitie62
Note 5 - Investment Securities - Unrealized Losses (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Less than 12 months, fair value | $ 60,067,492 | $ 169,731,353 |
Less than 12 months, unrealized losses | 526,241 | 8,366,473 |
12 months or more, fair value | 130,232,397 | 4,227,210 |
12 months or more, unrealized losses | 3,603,825 | 129,244 |
Total, fair value | 190,299,889 | 173,958,563 |
Total, unrealized losses | 4,130,066 | 8,495,717 |
US Treasury Securities [Member] | ||
Less than 12 months, fair value | 1,506,328 | 1,496,016 |
Less than 12 months, unrealized losses | 1,422 | 3,728 |
12 months or more, fair value | 1,499,063 | |
12 months or more, unrealized losses | 915 | |
Total, fair value | 3,005,391 | 1,496,016 |
Total, unrealized losses | 2,337 | 3,728 |
US Government Agencies Debt Securities [Member] | ||
Less than 12 months, fair value | 12,266,502 | 7,266,315 |
Less than 12 months, unrealized losses | 93,043 | 387,280 |
12 months or more, fair value | 5,467,264 | |
12 months or more, unrealized losses | 174,391 | |
Total, fair value | 17,733,766 | 7,266,315 |
Total, unrealized losses | 267,434 | 387,280 |
Corporate Debt Securities [Member] | ||
Less than 12 months, fair value | 9,407,810 | 1,981,160 |
Less than 12 months, unrealized losses | 107,893 | 18,840 |
12 months or more, fair value | ||
12 months or more, unrealized losses | ||
Total, fair value | 9,407,810 | 1,981,160 |
Total, unrealized losses | 107,893 | 18,840 |
US States and Political Subdivisions Debt Securities [Member] | ||
Less than 12 months, fair value | 25,548,751 | 50,722,157 |
Less than 12 months, unrealized losses | 189,668 | 3,587,676 |
12 months or more, fair value | 31,343,394 | |
12 months or more, unrealized losses | 1,173,041 | |
Total, fair value | 56,892,145 | 50,722,157 |
Total, unrealized losses | 1,362,709 | 3,587,676 |
Federal Home Loan Mortgage Corporation Certificates and Obligations (FHLMC) [Member] | ||
Less than 12 months, fair value | 21,413,620 | |
Less than 12 months, unrealized losses | 917,543 | |
12 months or more, fair value | 19,314,957 | |
12 months or more, unrealized losses | 455,580 | |
Total, fair value | 19,314,957 | 21,413,620 |
Total, unrealized losses | 455,580 | 917,543 |
Federal National Mortgage Association Certificates and Obligations (FNMA) [Member] | ||
Less than 12 months, fair value | 2,516,080 | 70,448,817 |
Less than 12 months, unrealized losses | 19,937 | 2,976,384 |
12 months or more, fair value | 60,429,837 | |
12 months or more, unrealized losses | 1,510,184 | |
Total, fair value | 62,945,917 | 70,448,817 |
Total, unrealized losses | 1,530,121 | 2,976,384 |
Government National Mortgage Association Certificates and Obligations (GNMA) [Member] | ||
Less than 12 months, fair value | 8,822,021 | 16,403,268 |
Less than 12 months, unrealized losses | 114,278 | 475,022 |
12 months or more, fair value | 12,177,882 | 4,227,210 |
12 months or more, unrealized losses | 289,714 | 129,244 |
Total, fair value | 20,999,903 | 20,630,478 |
Total, unrealized losses | $ 403,992 | $ 604,266 |
Note 5 - Investment Securitie63
Note 5 - Investment Securities - Contractual Maturities (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Within one year, amortized cost | $ 1,499,978 | $ 1,499,739 |
Within one year, fair value | 1,499,063 | 1,499,766 |
Over one to five years, amortized cost | 3,933,902 | 4,788,422 |
Over one to five years, fair value | 3,926,744 | 4,801,586 |
Over five to ten years, amortized cost | 51,761,846 | 31,359,410 |
Over five to ten years, fair value | 51,269,917 | 30,528,639 |
Over ten years, amortized cost | 165,013,242 | 170,077,116 |
Over ten years, fair value | 161,656,834 | 162,675,213 |
Amortized cost | 222,208,968 | 207,724,687 |
Fair value | 218,352,558 | 199,505,204 |
Pledged securities, amortized cost | 61,250,667 | 52,471,389 |
Pledged securities, fair value | $ 59,932,905 | $ 50,704,637 |
Note 6 - Loans and Allowance 64
Note 6 - Loans and Allowance for Loan Losses (Details Textual) | Jul. 28, 2017USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) |
Loans and Leases Receivable, Gross | $ 1,700,268,583 | $ 1,366,113,264 | |
Number of Restructured Loans | 7 | 7 | |
Financing Receivable, Modifications, Recorded Investment | $ 2,700,000 | $ 897,000 | |
Financing Receivable, Modifications, Subsequent Default, Number of Contracts | 0 | 0 | |
Impaired Financing Receivable, Recorded Investment | $ 6,615,350 | $ 9,456,664 | |
Loans and Leases Receivable, Net Amount | 1,696,361,431 | 1,361,175,206 | |
Loans Pledged as Collateral | 335,700,000 | ||
DCB Bancshares [Member] | |||
Receivable with Imputed Interest, Discount | $ 158,000 | ||
Loans and Leases Receivable Credit Adjustment Increase (Decrease) | $ 2,600,000 | ||
Number of Loans and Leases Receivable Impaired Evaluated | 2 | ||
Impaired Financing Receivable, Recorded Investment | $ 116,000 | ||
Certain Loans Acquired in Transfer, Nonaccretable Difference | 92,000 | ||
Certain Loans Acquired in Transfer, Accretable Yield | 7,000 | ||
Performing Financial Instruments [Member] | DCB Bancshares [Member] | |||
Loans and Leases Receivable, Gross | $ 197,200,000 | ||
Number of Loans and Leases Receivable Evaluated | 5,023 | ||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Acquired During Period, Consumer, Contractually Required Payments Receivable at Acquisition | $ 218,900,000 | ||
Certain Loans Acquired in Transfer, Accretable Yield | 2,400,000 | ||
Loans and Leases Receivable, Net Amount | $ 199,600,000 | ||
Commercial Real Estate Portfolio Segment [Member] | |||
Loans and Leases Receivable, Gross | 1,142,380,447 | 953,915,995 | |
Commercial Real Estate Portfolio Segment [Member] | Owner Occupied [Member] | |||
Loans and Leases Receivable, Gross | $ 355,786,942 | 292,071,087 | |
Loan to Value Maximum Threshold | 80.00% | ||
Commercial Real Estate Portfolio Segment [Member] | Investment [Member] | |||
Loans and Leases Receivable, Gross | $ 538,463,660 | 451,700,513 | |
Loan to Value Maximum Threshold | 75.00% | ||
Commercial Real Estate Portfolio Segment [Member] | Hospitality Industry [Member] | |||
Loans and Leases Receivable, Gross | $ 171,588,414 | 152,805,285 | |
Residential Portfolio Segment [Member] | |||
Loans and Leases Receivable, Gross | $ 310,701,463 | 265,194,930 | |
Loan to Value Maximum Threshold | 85.00% | ||
Borrowers Debt to Income Ratio Maximum Threshold, Percent | 43.00% | ||
Residential Portfolio Segment [Member] | Minimum [Member] | |||
Loan Limits Amount | $ 453,100 | ||
Residential Portfolio Segment [Member] | Maximum [Member] | |||
Loan Limits Amount, Maximum, Threshold for Certain Designated Areas | $ 679,650 | ||
Residential Portfolio Segment [Member] | Construction Loans [Member] | |||
Loan to Value Maximum Threshold | 80.00% | ||
Consumer Portfolio Segment [Member] | |||
Loans and Leases Receivable, Gross | $ 59,841,340 | $ 5,008,875 | |
Borrowers Debt to Income Ratio Maximum Threshold, Percent | 40.00% |
Note 6 - Loans and Allowance 65
Note 6 - Loans and Allowance for Loan Losses - Loans Held (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Total before allowance and deferred loan cost | $ 1,700,268,583 | $ 1,366,113,264 | ||
Allowance for loan losses | (5,920,586) | (6,195,469) | $ (4,909,818) | |
Deferred loan costs, net | 2,013,434 | 1,257,411 | ||
Loans held for investment (net of allowance for loan losses of $5,920,586 and $6,195,469, respectively) | 1,696,361,431 | 1,361,175,206 | ||
Commercial Real Estate Portfolio Segment [Member] | ||||
Total before allowance and deferred loan cost | 1,142,380,447 | 953,915,995 | ||
Allowance for loan losses | (3,783,735) | (3,990,152) | (3,053,925) | |
Commercial Real Estate Portfolio Segment [Member] | Owner Occupied [Member] | ||||
Total before allowance and deferred loan cost | 355,786,942 | 292,071,087 | ||
Commercial Real Estate Portfolio Segment [Member] | Investment [Member] | ||||
Total before allowance and deferred loan cost | 538,463,660 | 451,700,513 | ||
Commercial Real Estate Portfolio Segment [Member] | Hospitality Industry [Member] | ||||
Total before allowance and deferred loan cost | 171,588,414 | 152,805,285 | ||
Commercial Real Estate Portfolio Segment [Member] | Land and A&D [Member] | ||||
Total before allowance and deferred loan cost | 76,541,431 | 57,339,110 | ||
Residential Portfolio Segment [Member] | ||||
Total before allowance and deferred loan cost | 310,701,463 | 265,194,930 | ||
Allowance for loan losses | (844,355) | (823,520) | (682,962) | |
Residential Portfolio Segment [Member] | Residential First Investment [Member] | ||||
Total before allowance and deferred loan cost | 100,983,200 | 95,774,172 | ||
Residential Portfolio Segment [Member] | Residential First Owner Occupied [Member] | ||||
Total before allowance and deferred loan cost | 129,762,493 | 97,176,371 | ||
Residential Portfolio Segment [Member] | Residential Land and A&D [Member] | ||||
Total before allowance and deferred loan cost | 42,416,013 | 45,225,454 | ||
Residential Portfolio Segment [Member] | HELOC and Jr Liens [Member] | ||||
Total before allowance and deferred loan cost | 37,539,757 | 27,018,933 | ||
Commercial and Industrial [Member] | ||||
Total before allowance and deferred loan cost | 187,345,333 | 141,993,464 | ||
Consumer Portfolio Segment [Member] | ||||
Total before allowance and deferred loan cost | 59,841,340 | 5,008,875 | ||
Allowance for loan losses | (30,466) | (9,562) | $ (11,613) | |
Legacy [Member] | ||||
Total before allowance and deferred loan cost | [1] | 1,354,572,703 | 1,177,232,361 | |
Allowance for loan losses | [1] | (5,738,534) | (6,084,478) | |
Deferred loan costs, net | [1] | 2,013,434 | 1,257,411 | |
Loans held for investment (net of allowance for loan losses of $5,920,586 and $6,195,469, respectively) | [1] | 1,350,847,603 | 1,172,405,294 | |
Legacy [Member] | Commercial Real Estate Portfolio Segment [Member] | Owner Occupied [Member] | ||||
Total before allowance and deferred loan cost | [1] | 268,128,087 | 238,220,475 | |
Legacy [Member] | Commercial Real Estate Portfolio Segment [Member] | Investment [Member] | ||||
Total before allowance and deferred loan cost | [1] | 485,536,921 | 414,012,709 | |
Legacy [Member] | Commercial Real Estate Portfolio Segment [Member] | Hospitality Industry [Member] | ||||
Total before allowance and deferred loan cost | [1] | 164,193,228 | 141,611,858 | |
Legacy [Member] | Commercial Real Estate Portfolio Segment [Member] | Land and A&D [Member] | ||||
Total before allowance and deferred loan cost | [1] | 67,310,660 | 51,323,297 | |
Legacy [Member] | Residential Portfolio Segment [Member] | Residential First Investment [Member] | ||||
Total before allowance and deferred loan cost | [1] | 79,762,682 | 72,150,512 | |
Legacy [Member] | Residential Portfolio Segment [Member] | Residential First Owner Occupied [Member] | ||||
Total before allowance and deferred loan cost | [1] | 67,237,699 | 54,732,604 | |
Legacy [Member] | Residential Portfolio Segment [Member] | Residential Land and A&D [Member] | ||||
Total before allowance and deferred loan cost | [1] | 35,879,853 | 39,667,222 | |
Legacy [Member] | Residential Portfolio Segment [Member] | HELOC and Jr Liens [Member] | ||||
Total before allowance and deferred loan cost | [1] | 21,520,339 | 24,385,215 | |
Legacy [Member] | Commercial and Industrial [Member] | ||||
Total before allowance and deferred loan cost | [1] | 154,244,645 | 136,259,560 | |
Legacy [Member] | Consumer Portfolio Segment [Member] | ||||
Total before allowance and deferred loan cost | [1] | 10,758,589 | 4,868,909 | |
Acquired [Member] | ||||
Total before allowance and deferred loan cost | 345,695,880 | 188,880,903 | ||
Allowance for loan losses | (182,052) | (110,991) | ||
Deferred loan costs, net | ||||
Loans held for investment (net of allowance for loan losses of $5,920,586 and $6,195,469, respectively) | 345,513,828 | 188,769,912 | ||
Acquired [Member] | Commercial Real Estate Portfolio Segment [Member] | Owner Occupied [Member] | ||||
Total before allowance and deferred loan cost | 87,658,855 | 53,850,612 | ||
Acquired [Member] | Commercial Real Estate Portfolio Segment [Member] | Investment [Member] | ||||
Total before allowance and deferred loan cost | 52,926,739 | 37,687,804 | ||
Acquired [Member] | Commercial Real Estate Portfolio Segment [Member] | Hospitality Industry [Member] | ||||
Total before allowance and deferred loan cost | 7,395,186 | 11,193,427 | ||
Acquired [Member] | Commercial Real Estate Portfolio Segment [Member] | Land and A&D [Member] | ||||
Total before allowance and deferred loan cost | 9,230,771 | 6,015,813 | ||
Acquired [Member] | Residential Portfolio Segment [Member] | Residential First Investment [Member] | ||||
Total before allowance and deferred loan cost | 21,220,518 | 23,623,660 | ||
Acquired [Member] | Residential Portfolio Segment [Member] | Residential First Owner Occupied [Member] | ||||
Total before allowance and deferred loan cost | 62,524,794 | 42,443,767 | ||
Acquired [Member] | Residential Portfolio Segment [Member] | Residential Land and A&D [Member] | ||||
Total before allowance and deferred loan cost | 6,536,160 | 5,558,232 | ||
Acquired [Member] | Residential Portfolio Segment [Member] | HELOC and Jr Liens [Member] | ||||
Total before allowance and deferred loan cost | 16,019,418 | 2,633,718 | ||
Acquired [Member] | Commercial and Industrial [Member] | ||||
Total before allowance and deferred loan cost | 33,100,688 | 5,733,904 | ||
Acquired [Member] | Consumer Portfolio Segment [Member] | ||||
Total before allowance and deferred loan cost | $ 49,082,751 | $ 139,966 | ||
[1] | As a result of the acquisitions of Maryland Bankcorp, Inc. (“Maryland Bankcorp”), the parent company of Maryland Bank & Trust Company, N.A. (“MB&T”), in April 2011, WSB Holdings Inc., the parent company of The Washington Savings Bank (“WSB”), in May 2013, Regal Bancorp, Inc. (“Regal”), the parent company of Regal Bank & Trust (“Regal Bank”), in December 2015 and DCB, the parent company of Damascus, in July 2017, we have segmented the portfolio into two components, “Legacy” loans originated by the Bank and “Acquired” loans acquired from MB&T, WSB, Regal Bank and Damascus. |
Note 6 - Loans and Allowance 66
Note 6 - Loans and Allowance for Loan Losses - Past Due Loans (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 | |
Current | $ 1,691,320,409 | $ 1,353,011,924 | |
Total accruing past due loans | 7,183,523 | 6,717,638 | |
Nonaccruing loans | 1,764,651 | 6,383,702 | |
Ending balance | 1,700,268,583 | 1,366,113,264 | |
Commercial Real Estate Portfolio Segment [Member] | |||
Ending balance | 1,142,380,447 | 953,915,995 | |
Commercial Real Estate Portfolio Segment [Member] | Owner Occupied [Member] | |||
Nonaccruing loans | 228,555 | 2,370,589 | |
Ending balance | 355,786,942 | 292,071,087 | |
Commercial Real Estate Portfolio Segment [Member] | Investment [Member] | |||
Nonaccruing loans | |||
Ending balance | 538,463,660 | 451,700,513 | |
Commercial Real Estate Portfolio Segment [Member] | Land and A&D [Member] | |||
Nonaccruing loans | 190,193 | 271,962 | |
Ending balance | 76,541,431 | 57,339,110 | |
Commercial Real Estate Portfolio Segment [Member] | Hospitality Industry [Member] | |||
Nonaccruing loans | 1,346,736 | ||
Ending balance | 171,588,414 | 152,805,285 | |
Residential Portfolio Segment [Member] | |||
Ending balance | 310,701,463 | 265,194,930 | |
Residential Portfolio Segment [Member] | Residential First Investment [Member] | |||
Nonaccruing loans | 192,501 | 411,354 | |
Ending balance | 100,983,200 | 95,774,172 | |
Residential Portfolio Segment [Member] | Residential First Owner Occupied [Member] | |||
Nonaccruing loans | 1,153,402 | 222,237 | |
Ending balance | 129,762,493 | 97,176,371 | |
Residential Portfolio Segment [Member] | HELOC and Jr Liens [Member] | |||
Ending balance | 37,539,757 | 27,018,933 | |
Commercial Portfolio Segment [Member] | |||
Nonaccruing loans | 1,760,824 | ||
Ending balance | 187,345,333 | 141,993,464 | |
Consumer Portfolio Segment [Member] | |||
Ending balance | 59,841,340 | 5,008,875 | |
Financing Receivables 30 To 89 Days Past Due [Member] | |||
Total accruing past due loans | 7,067,556 | 5,814,106 | |
Financing Receivables 30 To 89 Days Past Due [Member] | Commercial Real Estate Portfolio Segment [Member] | Owner Occupied [Member] | |||
Total accruing past due loans | 2,799,802 | ||
Financing Receivables 30 To 89 Days Past Due [Member] | Commercial Real Estate Portfolio Segment [Member] | Investment [Member] | |||
Total accruing past due loans | 1,932,728 | 794,037 | |
Financing Receivables 30 To 89 Days Past Due [Member] | Commercial Real Estate Portfolio Segment [Member] | Land and A&D [Member] | |||
Total accruing past due loans | 413,824 | ||
Financing Receivables 30 To 89 Days Past Due [Member] | Residential Portfolio Segment [Member] | Residential First Investment [Member] | |||
Total accruing past due loans | 777,422 | 915,442 | |
Financing Receivables 30 To 89 Days Past Due [Member] | Residential Portfolio Segment [Member] | Residential First Owner Occupied [Member] | |||
Total accruing past due loans | 2,457,528 | 879,718 | |
Financing Receivables 30 To 89 Days Past Due [Member] | Residential Portfolio Segment [Member] | HELOC and Jr Liens [Member] | |||
Total accruing past due loans | 130,556 | 99,946 | |
Financing Receivables 30 To 89 Days Past Due [Member] | Commercial Portfolio Segment [Member] | |||
Total accruing past due loans | 312,169 | 325,161 | |
Financing Receivables 30 To 89 Days Past Due [Member] | Consumer Portfolio Segment [Member] | |||
Total accruing past due loans | 1,043,329 | ||
Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | |||
Total accruing past due loans | 115,967 | 903,532 | |
Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | Commercial Real Estate Portfolio Segment [Member] | Owner Occupied [Member] | |||
Total accruing past due loans | 634,290 | ||
Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | Residential Portfolio Segment [Member] | Residential First Owner Occupied [Member] | |||
Total accruing past due loans | 37,560 | 250,000 | |
Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | Consumer Portfolio Segment [Member] | |||
Total accruing past due loans | 78,407 | 19,242 | |
Legacy [Member] | |||
Current | 1,352,406,852 | 1,167,380,870 | |
Total accruing past due loans | 1,692,220 | 3,761,649 | |
Nonaccruing loans | 473,631 | 6,089,842 | |
Ending balance | [1] | 1,354,572,703 | 1,177,232,361 |
Legacy [Member] | Commercial Real Estate Portfolio Segment [Member] | Owner Occupied [Member] | |||
Nonaccruing loans | 2,370,589 | ||
Ending balance | [1] | 268,128,087 | 238,220,475 |
Legacy [Member] | Commercial Real Estate Portfolio Segment [Member] | Investment [Member] | |||
Nonaccruing loans | |||
Ending balance | [1] | 485,536,921 | 414,012,709 |
Legacy [Member] | Commercial Real Estate Portfolio Segment [Member] | Land and A&D [Member] | |||
Nonaccruing loans | 77,395 | ||
Ending balance | [1] | 67,310,660 | 51,323,297 |
Legacy [Member] | Commercial Real Estate Portfolio Segment [Member] | Hospitality Industry [Member] | |||
Nonaccruing loans | 1,346,736 | ||
Ending balance | [1] | 164,193,228 | 141,611,858 |
Legacy [Member] | Residential Portfolio Segment [Member] | Residential First Investment [Member] | |||
Nonaccruing loans | 192,501 | 312,061 | |
Ending balance | [1] | 79,762,682 | 72,150,512 |
Legacy [Member] | Residential Portfolio Segment [Member] | Residential First Owner Occupied [Member] | |||
Nonaccruing loans | 281,130 | 222,237 | |
Ending balance | [1] | 67,237,699 | 54,732,604 |
Legacy [Member] | Residential Portfolio Segment [Member] | HELOC and Jr Liens [Member] | |||
Ending balance | [1] | 21,520,339 | 24,385,215 |
Legacy [Member] | Commercial Portfolio Segment [Member] | |||
Nonaccruing loans | 1,760,824 | ||
Legacy [Member] | Consumer Portfolio Segment [Member] | |||
Ending balance | [1] | 10,758,589 | 4,868,909 |
Legacy [Member] | Financing Receivables 30 To 89 Days Past Due [Member] | |||
Total accruing past due loans | 1,692,220 | 3,742,407 | |
Legacy [Member] | Financing Receivables 30 To 89 Days Past Due [Member] | Commercial Real Estate Portfolio Segment [Member] | Owner Occupied [Member] | |||
Total accruing past due loans | 2,799,802 | ||
Legacy [Member] | Financing Receivables 30 To 89 Days Past Due [Member] | Commercial Real Estate Portfolio Segment [Member] | Investment [Member] | |||
Total accruing past due loans | 1,089,022 | ||
Legacy [Member] | Financing Receivables 30 To 89 Days Past Due [Member] | Commercial Real Estate Portfolio Segment [Member] | Land and A&D [Member] | |||
Total accruing past due loans | 254,925 | ||
Legacy [Member] | Financing Receivables 30 To 89 Days Past Due [Member] | Residential Portfolio Segment [Member] | Residential First Investment [Member] | |||
Total accruing past due loans | 270,822 | 517,498 | |
Legacy [Member] | Financing Receivables 30 To 89 Days Past Due [Member] | Residential Portfolio Segment [Member] | Residential First Owner Occupied [Member] | |||
Total accruing past due loans | 229 | ||
Legacy [Member] | Financing Receivables 30 To 89 Days Past Due [Member] | Residential Portfolio Segment [Member] | HELOC and Jr Liens [Member] | |||
Total accruing past due loans | 99,946 | ||
Legacy [Member] | Financing Receivables 30 To 89 Days Past Due [Member] | Commercial Portfolio Segment [Member] | |||
Total accruing past due loans | 51,088 | 325,161 | |
Legacy [Member] | Financing Receivables 30 To 89 Days Past Due [Member] | Consumer Portfolio Segment [Member] | |||
Total accruing past due loans | 26,134 | ||
Legacy [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | |||
Total accruing past due loans | 19,242 | ||
Legacy [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | Commercial Real Estate Portfolio Segment [Member] | Owner Occupied [Member] | |||
Total accruing past due loans | |||
Legacy [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | Residential Portfolio Segment [Member] | Residential First Owner Occupied [Member] | |||
Total accruing past due loans | |||
Legacy [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | Consumer Portfolio Segment [Member] | |||
Total accruing past due loans | 19,242 | ||
Acquired [Member] | |||
Current | 338,913,557 | 185,631,054 | |
Total accruing past due loans | 5,491,303 | 2,955,989 | |
Nonaccruing loans | 1,291,020 | 293,860 | |
Ending balance | 345,695,880 | 188,880,903 | |
Acquired [Member] | Commercial Real Estate Portfolio Segment [Member] | Owner Occupied [Member] | |||
Nonaccruing loans | 228,555 | ||
Ending balance | 87,658,855 | 53,850,612 | |
Acquired [Member] | Commercial Real Estate Portfolio Segment [Member] | Investment [Member] | |||
Nonaccruing loans | |||
Ending balance | 52,926,739 | 37,687,804 | |
Acquired [Member] | Commercial Real Estate Portfolio Segment [Member] | Land and A&D [Member] | |||
Nonaccruing loans | 190,193 | 194,567 | |
Ending balance | 9,230,771 | 6,015,813 | |
Acquired [Member] | Commercial Real Estate Portfolio Segment [Member] | Hospitality Industry [Member] | |||
Nonaccruing loans | |||
Ending balance | 7,395,186 | 11,193,427 | |
Acquired [Member] | Residential Portfolio Segment [Member] | Residential First Investment [Member] | |||
Nonaccruing loans | 99,293 | ||
Ending balance | 21,220,518 | 23,623,660 | |
Acquired [Member] | Residential Portfolio Segment [Member] | Residential First Owner Occupied [Member] | |||
Nonaccruing loans | 872,272 | ||
Ending balance | 62,524,794 | 42,443,767 | |
Acquired [Member] | Residential Portfolio Segment [Member] | HELOC and Jr Liens [Member] | |||
Ending balance | 16,019,418 | 2,633,718 | |
Acquired [Member] | Commercial Portfolio Segment [Member] | |||
Nonaccruing loans | |||
Acquired [Member] | Consumer Portfolio Segment [Member] | |||
Ending balance | 49,082,751 | 139,966 | |
Acquired [Member] | Financing Receivables 30 To 89 Days Past Due [Member] | |||
Total accruing past due loans | 5,375,336 | 2,071,699 | |
Acquired [Member] | Financing Receivables 30 To 89 Days Past Due [Member] | Commercial Real Estate Portfolio Segment [Member] | Owner Occupied [Member] | |||
Total accruing past due loans | |||
Acquired [Member] | Financing Receivables 30 To 89 Days Past Due [Member] | Commercial Real Estate Portfolio Segment [Member] | Investment [Member] | |||
Total accruing past due loans | 843,706 | 794,037 | |
Acquired [Member] | Financing Receivables 30 To 89 Days Past Due [Member] | Commercial Real Estate Portfolio Segment [Member] | Land and A&D [Member] | |||
Total accruing past due loans | 158,899 | ||
Acquired [Member] | Financing Receivables 30 To 89 Days Past Due [Member] | Residential Portfolio Segment [Member] | Residential First Investment [Member] | |||
Total accruing past due loans | 506,600 | 397,944 | |
Acquired [Member] | Financing Receivables 30 To 89 Days Past Due [Member] | Residential Portfolio Segment [Member] | Residential First Owner Occupied [Member] | |||
Total accruing past due loans | 2,457,299 | 879,718 | |
Acquired [Member] | Financing Receivables 30 To 89 Days Past Due [Member] | Residential Portfolio Segment [Member] | HELOC and Jr Liens [Member] | |||
Total accruing past due loans | 130,556 | ||
Acquired [Member] | Financing Receivables 30 To 89 Days Past Due [Member] | Commercial Portfolio Segment [Member] | |||
Total accruing past due loans | 261,081 | ||
Acquired [Member] | Financing Receivables 30 To 89 Days Past Due [Member] | Consumer Portfolio Segment [Member] | |||
Total accruing past due loans | 1,017,195 | ||
Acquired [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | |||
Total accruing past due loans | 115,967 | 884,290 | |
Acquired [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | Commercial Real Estate Portfolio Segment [Member] | Owner Occupied [Member] | |||
Total accruing past due loans | 634,290 | ||
Acquired [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | Residential Portfolio Segment [Member] | Residential First Owner Occupied [Member] | |||
Total accruing past due loans | 37,560 | 250,000 | |
Acquired [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | Consumer Portfolio Segment [Member] | |||
Total accruing past due loans | $ 78,407 | ||
[1] | As a result of the acquisitions of Maryland Bankcorp, Inc. (“Maryland Bankcorp”), the parent company of Maryland Bank & Trust Company, N.A. (“MB&T”), in April 2011, WSB Holdings Inc., the parent company of The Washington Savings Bank (“WSB”), in May 2013, Regal Bancorp, Inc. (“Regal”), the parent company of Regal Bank & Trust (“Regal Bank”), in December 2015 and DCB, the parent company of Damascus, in July 2017, we have segmented the portfolio into two components, “Legacy” loans originated by the Bank and “Acquired” loans acquired from MB&T, WSB, Regal Bank and Damascus. |
Note 6 - Loans and Allowance 67
Note 6 - Loans and Allowance for Loan Losses - Impaired Loans (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | ||
Related allowance | $ 424,663 | $ 1,393,006 | |
Unpaid principal balance, total | 7,074,108 | 10,030,983 | |
Recorded investment, total | 6,615,350 | 9,456,664 | |
Average recorded investment, total | 7,434,872 | 22,511,712 | |
Interest income recognized, total | 266,577 | 260,125 | |
Legacy [Member] | |||
Related allowance | 242,610 | 1,282,015 | |
Unpaid principal balance, total | 4,502,108 | 8,257,935 | |
Recorded investment, total | 4,502,108 | 8,257,935 | |
Average recorded investment, total | 4,821,268 | 20,035,287 | |
Interest income recognized, total | 198,746 | 212,901 | |
Legacy [Member] | Commercial Real Estate Portfolio Segment [Member] | Owner Occupied [Member] | |||
Unpaid principal balance, with no related allowance recorded | 1,797,030 | 566,973 | |
Recorded investment, with no related allowance recorded | 1,797,030 | 566,973 | |
Average recorded investment, with no related allowance recorded | 1,913,873 | 1,223,360 | |
Interest income recognized, with no related allowance recorded | 70,623 | 12,759 | |
Unpaid principal balance, with an allowance recorded | 2,048,989 | ||
Recorded investment, with an allowance recorded | 2,048,989 | ||
Related allowance | 443,489 | ||
Average recorded investment, with an allowance recorded | 6,605,858 | ||
Interest income recognized, with an allowance recorded | 50,348 | ||
Legacy [Member] | Commercial Real Estate Portfolio Segment [Member] | Investment [Member] | |||
Unpaid principal balance, with no related allowance recorded | 1,155,595 | 1,212,771 | |
Recorded investment, with no related allowance recorded | 1,155,595 | 1,212,771 | |
Average recorded investment, with no related allowance recorded | 1,183,738 | 1,208,240 | |
Interest income recognized, with no related allowance recorded | 51,806 | 54,531 | |
Unpaid principal balance, with an allowance recorded | 592,432 | 610,485 | |
Recorded investment, with an allowance recorded | 592,432 | 610,485 | |
Related allowance | 69,903 | 33,335 | |
Average recorded investment, with an allowance recorded | 601,959 | 610,373 | |
Interest income recognized, with an allowance recorded | 30,576 | 46,550 | |
Legacy [Member] | Commercial Real Estate Portfolio Segment [Member] | Hospitality Industry [Member] | |||
Unpaid principal balance, with an allowance recorded | 1,346,736 | ||
Recorded investment, with an allowance recorded | 1,346,736 | ||
Related allowance | 134,674 | ||
Average recorded investment, with an allowance recorded | 4,199,162 | ||
Interest income recognized, with an allowance recorded | 20,959 | ||
Legacy [Member] | Commercial Real Estate Portfolio Segment [Member] | Land and A&D [Member] | |||
Unpaid principal balance, with an allowance recorded | 77,395 | ||
Recorded investment, with an allowance recorded | 77,395 | ||
Related allowance | 15,860 | ||
Average recorded investment, with an allowance recorded | 82,587 | ||
Interest income recognized, with an allowance recorded | 4,729 | ||
Legacy [Member] | Residential Portfolio Segment [Member] | Residential First Owner Occupied [Member] | |||
Unpaid principal balance, with no related allowance recorded | 226,554 | 222,237 | |
Recorded investment, with no related allowance recorded | 226,554 | 222,237 | |
Average recorded investment, with no related allowance recorded | 233,618 | 243,699 | |
Interest income recognized, with no related allowance recorded | 10,536 | 5,440 | |
Unpaid principal balance, with an allowance recorded | 54,576 | 312,061 | |
Recorded investment, with an allowance recorded | 54,576 | 312,061 | |
Related allowance | 37,075 | 45,505 | |
Average recorded investment, with an allowance recorded | 217,673 | 547,024 | |
Interest income recognized, with an allowance recorded | 9,348 | ||
Legacy [Member] | Residential Portfolio Segment [Member] | Residential First Investment [Member] | |||
Unpaid principal balance, with an allowance recorded | 192,501 | ||
Recorded investment, with an allowance recorded | 192,501 | ||
Related allowance | 39,420 | ||
Average recorded investment, with an allowance recorded | 192,501 | ||
Interest income recognized, with an allowance recorded | |||
Legacy [Member] | Commercial Portfolio Segment [Member] | |||
Unpaid principal balance, with no related allowance recorded | 387,208 | 843,809 | |
Recorded investment, with no related allowance recorded | 387,208 | 843,809 | |
Average recorded investment, with no related allowance recorded | 379,983 | 3,338,295 | |
Interest income recognized, with no related allowance recorded | 30,245 | 3,761 | |
Unpaid principal balance, with an allowance recorded | 96,212 | 1,016,479 | |
Recorded investment, with an allowance recorded | 96,212 | 1,016,479 | |
Related allowance | 96,212 | 609,152 | |
Average recorded investment, with an allowance recorded | 97,923 | 1,976,689 | |
Interest income recognized, with an allowance recorded | 4,960 | 4,476 | |
Acquired [Member] | |||
Related allowance | [1] | 182,053 | 110,991 |
Unpaid principal balance, total | [1] | 2,572,000 | 1,773,048 |
Recorded investment, total | [1] | 2,113,242 | 1,198,729 |
Average recorded investment, total | [1] | 2,613,604 | 2,476,425 |
Interest income recognized, total | [1] | 67,831 | 47,224 |
Acquired [Member] | Commercial Real Estate Portfolio Segment [Member] | Owner Occupied [Member] | |||
Unpaid principal balance, with no related allowance recorded | [1] | 253,865 | |
Recorded investment, with no related allowance recorded | [1] | 253,865 | |
Average recorded investment, with no related allowance recorded | [1] | 252,988 | |
Interest income recognized, with no related allowance recorded | [1] | 2,155 | |
Acquired [Member] | Commercial Real Estate Portfolio Segment [Member] | Land and A&D [Member] | |||
Unpaid principal balance, with no related allowance recorded | [1] | 334,271 | 255,716 |
Recorded investment, with no related allowance recorded | [1] | 45,000 | 91,669 |
Average recorded investment, with no related allowance recorded | [1] | 334,271 | 255,661 |
Interest income recognized, with no related allowance recorded | [1] | 13,686 | |
Unpaid principal balance, with an allowance recorded | [1] | 148,196 | 151,634 |
Recorded investment, with an allowance recorded | [1] | 148,196 | 151,634 |
Related allowance | [1] | 80,072 | 83,784 |
Average recorded investment, with an allowance recorded | [1] | 155,621 | 161,622 |
Interest income recognized, with an allowance recorded | [1] | 2,498 | 5,264 |
Acquired [Member] | Residential Portfolio Segment [Member] | Residential First Owner Occupied [Member] | |||
Unpaid principal balance, with no related allowance recorded | [1] | 1,382,055 | 662,835 |
Recorded investment, with no related allowance recorded | [1] | 1,269,796 | 662,835 |
Average recorded investment, with no related allowance recorded | [1] | 1,390,037 | 1,408,689 |
Interest income recognized, with no related allowance recorded | [1] | 31,601 | 19,899 |
Unpaid principal balance, with an allowance recorded | [1] | 250,194 | |
Recorded investment, with an allowance recorded | [1] | 250,194 | |
Related allowance | [1] | 77,464 | |
Average recorded investment, with an allowance recorded | [1] | 273,596 | |
Interest income recognized, with an allowance recorded | [1] | 23,424 | |
Acquired [Member] | Residential Portfolio Segment [Member] | Residential First Investment [Member] | |||
Unpaid principal balance, with no related allowance recorded | [1] | 131,294 | 292,349 |
Recorded investment, with no related allowance recorded | [1] | 74,066 | 171,348 |
Average recorded investment, with no related allowance recorded | [1] | 132,812 | 233,133 |
Interest income recognized, with no related allowance recorded | [1] | 4,378 | 4,383 |
Acquired [Member] | Residential Portfolio Segment [Member] | Land and A&D [Member] | |||
Unpaid principal balance, with no related allowance recorded | [1] | 334,271 | |
Recorded investment, with no related allowance recorded | [1] | 45,000 | |
Average recorded investment, with no related allowance recorded | [1] | 334,271 | |
Interest income recognized, with no related allowance recorded | [1] | ||
Acquired [Member] | Commercial Portfolio Segment [Member] | |||
Unpaid principal balance, with an allowance recorded | 72,125 | 76,243 | |
Recorded investment, with an allowance recorded | 72,125 | 76,243 | |
Related allowance | 24,517 | 27,207 | |
Average recorded investment, with an allowance recorded | 74,279 | 83,049 | |
Interest income recognized, with an allowance recorded | $ 3,775 | $ 3,992 | |
[1] | Generally accepted accounting principles require that we record acquired loans at fair value at acquisition, which includes a discount for loans with credit impairment. These purchased credit impaired loans are not performing according to their contractual terms and meet the definition of an impaired loan. Although we do not accrue interest income at the contractual rate on these loans, we do recognize an accretable yield as interest income to the extent such yield is supported by cash flow analysis of the underlying loans. |
Note 6 - Loans and Allowance 68
Note 6 - Loans and Allowance for Loan Losses - Loans Modified as TDRs (Details) | 12 Months Ended | |
Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | |
Number of contracts | 2 | 2 |
Pre-modification outstanding recorded investment | $ 2,011,064 | $ 392,842 |
Post modification outstanding recorded investment | $ 1,947,934 | $ 158,382 |
Legacy [Member] | ||
Number of contracts | 2 | |
Pre-modification outstanding recorded investment | $ 2,011,064 | |
Post modification outstanding recorded investment | $ 1,947,934 | |
Legacy [Member] | Commercial Real Estate Portfolio Segment [Member] | ||
Number of contracts | 1 | |
Pre-modification outstanding recorded investment | $ 1,596,740 | |
Post modification outstanding recorded investment | $ 1,560,726 | |
Legacy [Member] | Commercial Portfolio Segment [Member] | ||
Number of contracts | 1 | |
Pre-modification outstanding recorded investment | $ 414,324 | |
Post modification outstanding recorded investment | $ 387,208 | |
Acquired [Member] | ||
Number of contracts | 2 | |
Pre-modification outstanding recorded investment | $ 392,842 | |
Post modification outstanding recorded investment | $ 158,382 | |
Acquired [Member] | Commercial Real Estate Portfolio Segment [Member] | ||
Number of contracts | ||
Pre-modification outstanding recorded investment | ||
Post modification outstanding recorded investment | ||
Acquired [Member] | Residential Portfolio Segment [Member] | Residential First Owner Occupied [Member] | ||
Number of contracts | 2 | |
Pre-modification outstanding recorded investment | $ 392,842 | |
Post modification outstanding recorded investment | $ 158,382 |
Note 6 - Loans and Allowance 69
Note 6 - Loans and Allowance for Loan Losses - Acquired Impaired Loans (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | ||
Contractually required payments receivable | $ 8,277,731 | $ 9,597,703 | |
Carrying amount | 6,617,774 | 7,558,415 | |
Acquired [Member] | |||
Balance at beginning of period | (22,980) | 276,892 | |
Additions due to DCB acquisition | 6,686 | ||
Accretion of fair value discounts | (149,636) | (308,629) | |
Reclassification from non-accretable (1) | [1] | 280,996 | 8,757 |
Balance at end of period | $ 115,066 | $ (22,980) | |
[1] | Represents amounts paid in full on loans, payments on loans with zero balances and an increase in cash flows expected to be collected. |
Note 6 - Loans and Allowance 70
Note 6 - Loans and Allowance for Loan Losses - Credit Quality (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 | |
Total before allowance and deferred loan cost | $ 1,700,268,583 | $ 1,366,113,264 | |
Commercial Real Estate Portfolio Segment [Member] | |||
Total before allowance and deferred loan cost | 1,142,380,447 | 953,915,995 | |
Commercial Real Estate Portfolio Segment [Member] | Owner Occupied [Member] | |||
Total before allowance and deferred loan cost | 355,786,942 | 292,071,087 | |
Commercial Real Estate Portfolio Segment [Member] | Investment [Member] | |||
Total before allowance and deferred loan cost | 538,463,660 | 451,700,513 | |
Commercial Real Estate Portfolio Segment [Member] | Hospitality Industry [Member] | |||
Total before allowance and deferred loan cost | 171,588,414 | 152,805,285 | |
Commercial Real Estate Portfolio Segment [Member] | Land and A&D [Member] | |||
Total before allowance and deferred loan cost | 76,541,431 | 57,339,110 | |
Residential Portfolio Segment [Member] | |||
Total before allowance and deferred loan cost | 310,701,463 | 265,194,930 | |
Residential Portfolio Segment [Member] | Residential First Investment [Member] | |||
Total before allowance and deferred loan cost | 100,983,200 | 95,774,172 | |
Residential Portfolio Segment [Member] | Residential First Owner Occupied [Member] | |||
Total before allowance and deferred loan cost | 129,762,493 | 97,176,371 | |
Residential Portfolio Segment [Member] | Residential Land and A&D [Member] | |||
Total before allowance and deferred loan cost | 42,416,013 | 45,225,454 | |
Residential Portfolio Segment [Member] | HELOC and Jr Liens [Member] | |||
Total before allowance and deferred loan cost | 37,539,757 | 27,018,933 | |
Commercial Portfolio Segment [Member] | |||
Total before allowance and deferred loan cost | 187,345,333 | 141,993,464 | |
Consumer Portfolio Segment [Member] | |||
Total before allowance and deferred loan cost | 59,841,340 | 5,008,875 | |
Pass [Member] | |||
Total before allowance and deferred loan cost | 1,669,576,864 | 1,326,049,571 | |
Pass [Member] | Commercial Real Estate Portfolio Segment [Member] | Owner Occupied [Member] | |||
Total before allowance and deferred loan cost | 345,447,055 | 280,054,728 | |
Pass [Member] | Commercial Real Estate Portfolio Segment [Member] | Investment [Member] | |||
Total before allowance and deferred loan cost | 534,469,130 | 444,005,052 | |
Pass [Member] | Commercial Real Estate Portfolio Segment [Member] | Hospitality Industry [Member] | |||
Total before allowance and deferred loan cost | 171,588,414 | 150,046,860 | |
Pass [Member] | Commercial Real Estate Portfolio Segment [Member] | Land and A&D [Member] | |||
Total before allowance and deferred loan cost | 74,250,242 | 54,632,801 | |
Pass [Member] | Residential Portfolio Segment [Member] | Residential First Investment [Member] | |||
Total before allowance and deferred loan cost | 98,661,680 | 92,879,243 | |
Pass [Member] | Residential Portfolio Segment [Member] | Residential First Owner Occupied [Member] | |||
Total before allowance and deferred loan cost | 124,784,001 | 93,213,303 | |
Pass [Member] | Residential Portfolio Segment [Member] | Residential Land and A&D [Member] | |||
Total before allowance and deferred loan cost | 39,439,906 | 41,210,732 | |
Pass [Member] | Residential Portfolio Segment [Member] | HELOC and Jr Liens [Member] | |||
Total before allowance and deferred loan cost | 37,539,757 | 27,018,933 | |
Pass [Member] | Commercial Portfolio Segment [Member] | |||
Total before allowance and deferred loan cost | 183,620,663 | 137,979,044 | |
Pass [Member] | Consumer Portfolio Segment [Member] | |||
Total before allowance and deferred loan cost | 59,776,016 | 5,008,875 | |
Special Mention [Member] | |||
Total before allowance and deferred loan cost | 14,646,573 | 21,762,896 | |
Special Mention [Member] | Commercial Real Estate Portfolio Segment [Member] | Owner Occupied [Member] | |||
Total before allowance and deferred loan cost | 3,251,808 | 7,372,079 | |
Special Mention [Member] | Commercial Real Estate Portfolio Segment [Member] | Investment [Member] | |||
Total before allowance and deferred loan cost | 1,421,265 | 2,177,065 | |
Special Mention [Member] | Commercial Real Estate Portfolio Segment [Member] | Hospitality Industry [Member] | |||
Total before allowance and deferred loan cost | 1,411,689 | ||
Special Mention [Member] | Commercial Real Estate Portfolio Segment [Member] | Land and A&D [Member] | |||
Total before allowance and deferred loan cost | 2,246,189 | 2,661,309 | |
Special Mention [Member] | Residential Portfolio Segment [Member] | Residential First Investment [Member] | |||
Total before allowance and deferred loan cost | 1,335,766 | 1,826,220 | |
Special Mention [Member] | Residential Portfolio Segment [Member] | Residential First Owner Occupied [Member] | |||
Total before allowance and deferred loan cost | 1,916,011 | 2,190,734 | |
Special Mention [Member] | Residential Portfolio Segment [Member] | Residential Land and A&D [Member] | |||
Total before allowance and deferred loan cost | 2,830,914 | 3,470,324 | |
Special Mention [Member] | Residential Portfolio Segment [Member] | HELOC and Jr Liens [Member] | |||
Total before allowance and deferred loan cost | |||
Special Mention [Member] | Commercial Portfolio Segment [Member] | |||
Total before allowance and deferred loan cost | 1,579,296 | 653,476 | |
Special Mention [Member] | Consumer Portfolio Segment [Member] | |||
Total before allowance and deferred loan cost | 65,324 | ||
Substandard [Member] | |||
Total before allowance and deferred loan cost | 16,045,146 | 18,300,797 | |
Substandard [Member] | Commercial Real Estate Portfolio Segment [Member] | Owner Occupied [Member] | |||
Total before allowance and deferred loan cost | 7,088,079 | 4,644,279 | |
Substandard [Member] | Commercial Real Estate Portfolio Segment [Member] | Investment [Member] | |||
Total before allowance and deferred loan cost | 2,573,265 | 5,518,394 | |
Substandard [Member] | Commercial Real Estate Portfolio Segment [Member] | Hospitality Industry [Member] | |||
Total before allowance and deferred loan cost | 1,346,736 | ||
Substandard [Member] | Commercial Real Estate Portfolio Segment [Member] | Land and A&D [Member] | |||
Total before allowance and deferred loan cost | 45,000 | 45,000 | |
Substandard [Member] | Residential Portfolio Segment [Member] | Residential First Investment [Member] | |||
Total before allowance and deferred loan cost | 985,754 | 1,068,709 | |
Substandard [Member] | Residential Portfolio Segment [Member] | Residential First Owner Occupied [Member] | |||
Total before allowance and deferred loan cost | 3,062,481 | 1,772,335 | |
Substandard [Member] | Residential Portfolio Segment [Member] | Residential Land and A&D [Member] | |||
Total before allowance and deferred loan cost | 145,193 | 544,399 | |
Substandard [Member] | Residential Portfolio Segment [Member] | HELOC and Jr Liens [Member] | |||
Total before allowance and deferred loan cost | |||
Substandard [Member] | Commercial Portfolio Segment [Member] | |||
Total before allowance and deferred loan cost | 2,145,374 | 3,360,945 | |
Substandard [Member] | Consumer Portfolio Segment [Member] | |||
Total before allowance and deferred loan cost | |||
Doubtful [Member] | |||
Total before allowance and deferred loan cost | |||
Unlikely to be Collected Financing Receivable [Member] | |||
Total before allowance and deferred loan cost | |||
Legacy [Member] | |||
Total before allowance and deferred loan cost | [1] | 1,354,572,703 | 1,177,232,361 |
Legacy [Member] | Commercial Real Estate Portfolio Segment [Member] | Owner Occupied [Member] | |||
Total before allowance and deferred loan cost | [1] | 268,128,087 | 238,220,475 |
Legacy [Member] | Commercial Real Estate Portfolio Segment [Member] | Investment [Member] | |||
Total before allowance and deferred loan cost | [1] | 485,536,921 | 414,012,709 |
Legacy [Member] | Commercial Real Estate Portfolio Segment [Member] | Hospitality Industry [Member] | |||
Total before allowance and deferred loan cost | [1] | 164,193,228 | 141,611,858 |
Legacy [Member] | Commercial Real Estate Portfolio Segment [Member] | Land and A&D [Member] | |||
Total before allowance and deferred loan cost | [1] | 67,310,660 | 51,323,297 |
Legacy [Member] | Residential Portfolio Segment [Member] | Residential First Investment [Member] | |||
Total before allowance and deferred loan cost | [1] | 79,762,682 | 72,150,512 |
Legacy [Member] | Residential Portfolio Segment [Member] | Residential First Owner Occupied [Member] | |||
Total before allowance and deferred loan cost | [1] | 67,237,699 | 54,732,604 |
Legacy [Member] | Residential Portfolio Segment [Member] | Residential Land and A&D [Member] | |||
Total before allowance and deferred loan cost | [1] | 35,879,853 | 39,667,222 |
Legacy [Member] | Residential Portfolio Segment [Member] | HELOC and Jr Liens [Member] | |||
Total before allowance and deferred loan cost | [1] | 21,520,339 | 24,385,215 |
Legacy [Member] | Consumer Portfolio Segment [Member] | |||
Total before allowance and deferred loan cost | [1] | 10,758,589 | 4,868,909 |
Legacy [Member] | Pass [Member] | |||
Total before allowance and deferred loan cost | 1,337,737,550 | 1,153,808,754 | |
Legacy [Member] | Pass [Member] | Commercial Real Estate Portfolio Segment [Member] | Owner Occupied [Member] | |||
Total before allowance and deferred loan cost | 262,377,665 | 231,985,682 | |
Legacy [Member] | Pass [Member] | Commercial Real Estate Portfolio Segment [Member] | Investment [Member] | |||
Total before allowance and deferred loan cost | 483,404,883 | 408,875,014 | |
Legacy [Member] | Pass [Member] | Commercial Real Estate Portfolio Segment [Member] | Hospitality Industry [Member] | |||
Total before allowance and deferred loan cost | 164,193,228 | 140,265,123 | |
Legacy [Member] | Pass [Member] | Commercial Real Estate Portfolio Segment [Member] | Land and A&D [Member] | |||
Total before allowance and deferred loan cost | 65,184,837 | 48,817,229 | |
Legacy [Member] | Pass [Member] | Residential Portfolio Segment [Member] | Residential First Investment [Member] | |||
Total before allowance and deferred loan cost | 78,814,931 | 70,980,640 | |
Legacy [Member] | Pass [Member] | Residential Portfolio Segment [Member] | Residential First Owner Occupied [Member] | |||
Total before allowance and deferred loan cost | 66,888,943 | 54,201,816 | |
Legacy [Member] | Pass [Member] | Residential Portfolio Segment [Member] | Residential Land and A&D [Member] | |||
Total before allowance and deferred loan cost | 33,712,187 | 36,910,902 | |
Legacy [Member] | Pass [Member] | Residential Portfolio Segment [Member] | HELOC and Jr Liens [Member] | |||
Total before allowance and deferred loan cost | 21,520,339 | 24,385,215 | |
Legacy [Member] | Pass [Member] | Commercial Portfolio Segment [Member] | |||
Total before allowance and deferred loan cost | 150,881,948 | 132,518,224 | |
Legacy [Member] | Pass [Member] | Consumer Portfolio Segment [Member] | |||
Total before allowance and deferred loan cost | 10,758,589 | 4,868,909 | |
Legacy [Member] | Special Mention [Member] | |||
Total before allowance and deferred loan cost | 7,001,095 | 9,727,434 | |
Legacy [Member] | Special Mention [Member] | Commercial Real Estate Portfolio Segment [Member] | Owner Occupied [Member] | |||
Total before allowance and deferred loan cost | 435,751 | 2,799,801 | |
Legacy [Member] | Special Mention [Member] | Commercial Real Estate Portfolio Segment [Member] | Investment [Member] | |||
Total before allowance and deferred loan cost | 384,011 | 400,228 | |
Legacy [Member] | Special Mention [Member] | Commercial Real Estate Portfolio Segment [Member] | Hospitality Industry [Member] | |||
Total before allowance and deferred loan cost | |||
Legacy [Member] | Special Mention [Member] | Commercial Real Estate Portfolio Segment [Member] | Land and A&D [Member] | |||
Total before allowance and deferred loan cost | 2,125,823 | 2,506,068 | |
Legacy [Member] | Special Mention [Member] | Residential Portfolio Segment [Member] | Residential First Investment [Member] | |||
Total before allowance and deferred loan cost | 300,824 | 577,767 | |
Legacy [Member] | Special Mention [Member] | Residential Portfolio Segment [Member] | Residential First Owner Occupied [Member] | |||
Total before allowance and deferred loan cost | 67,626 | 308,552 | |
Legacy [Member] | Special Mention [Member] | Residential Portfolio Segment [Member] | Residential Land and A&D [Member] | |||
Total before allowance and deferred loan cost | 2,167,666 | 2,678,925 | |
Legacy [Member] | Special Mention [Member] | Residential Portfolio Segment [Member] | HELOC and Jr Liens [Member] | |||
Total before allowance and deferred loan cost | |||
Legacy [Member] | Special Mention [Member] | Commercial Portfolio Segment [Member] | |||
Total before allowance and deferred loan cost | 1,519,394 | 456,093 | |
Legacy [Member] | Special Mention [Member] | Consumer Portfolio Segment [Member] | |||
Total before allowance and deferred loan cost | |||
Legacy [Member] | Substandard [Member] | |||
Total before allowance and deferred loan cost | 9,834,058 | 13,696,173 | |
Legacy [Member] | Substandard [Member] | Commercial Real Estate Portfolio Segment [Member] | Owner Occupied [Member] | |||
Total before allowance and deferred loan cost | 5,314,671 | 3,434,990 | |
Legacy [Member] | Substandard [Member] | Commercial Real Estate Portfolio Segment [Member] | Investment [Member] | |||
Total before allowance and deferred loan cost | 1,748,027 | 4,737,465 | |
Legacy [Member] | Substandard [Member] | Commercial Real Estate Portfolio Segment [Member] | Hospitality Industry [Member] | |||
Total before allowance and deferred loan cost | 1,346,736 | ||
Legacy [Member] | Substandard [Member] | Commercial Real Estate Portfolio Segment [Member] | Land and A&D [Member] | |||
Total before allowance and deferred loan cost | |||
Legacy [Member] | Substandard [Member] | Residential Portfolio Segment [Member] | Residential First Investment [Member] | |||
Total before allowance and deferred loan cost | 646,927 | 592,106 | |
Legacy [Member] | Substandard [Member] | Residential Portfolio Segment [Member] | Residential First Owner Occupied [Member] | |||
Total before allowance and deferred loan cost | 281,130 | 222,237 | |
Legacy [Member] | Substandard [Member] | Residential Portfolio Segment [Member] | Residential Land and A&D [Member] | |||
Total before allowance and deferred loan cost | 77,395 | ||
Legacy [Member] | Substandard [Member] | Residential Portfolio Segment [Member] | HELOC and Jr Liens [Member] | |||
Total before allowance and deferred loan cost | |||
Legacy [Member] | Substandard [Member] | Commercial Portfolio Segment [Member] | |||
Total before allowance and deferred loan cost | 1,843,303 | 3,285,244 | |
Legacy [Member] | Substandard [Member] | Consumer Portfolio Segment [Member] | |||
Total before allowance and deferred loan cost | |||
Legacy [Member] | Doubtful [Member] | |||
Total before allowance and deferred loan cost | |||
Legacy [Member] | Unlikely to be Collected Financing Receivable [Member] | |||
Total before allowance and deferred loan cost | |||
Acquired [Member] | |||
Total before allowance and deferred loan cost | 345,695,880 | 188,880,903 | |
Acquired [Member] | Commercial Real Estate Portfolio Segment [Member] | Owner Occupied [Member] | |||
Total before allowance and deferred loan cost | 87,658,855 | 53,850,612 | |
Acquired [Member] | Commercial Real Estate Portfolio Segment [Member] | Investment [Member] | |||
Total before allowance and deferred loan cost | 52,926,739 | 37,687,804 | |
Acquired [Member] | Commercial Real Estate Portfolio Segment [Member] | Hospitality Industry [Member] | |||
Total before allowance and deferred loan cost | 7,395,186 | 11,193,427 | |
Acquired [Member] | Commercial Real Estate Portfolio Segment [Member] | Land and A&D [Member] | |||
Total before allowance and deferred loan cost | 9,230,771 | 6,015,813 | |
Acquired [Member] | Residential Portfolio Segment [Member] | Residential First Investment [Member] | |||
Total before allowance and deferred loan cost | 21,220,518 | 23,623,660 | |
Acquired [Member] | Residential Portfolio Segment [Member] | Residential First Owner Occupied [Member] | |||
Total before allowance and deferred loan cost | 62,524,794 | 42,443,767 | |
Acquired [Member] | Residential Portfolio Segment [Member] | Residential Land and A&D [Member] | |||
Total before allowance and deferred loan cost | 6,536,160 | 5,558,232 | |
Acquired [Member] | Residential Portfolio Segment [Member] | HELOC and Jr Liens [Member] | |||
Total before allowance and deferred loan cost | 16,019,418 | 2,633,718 | |
Acquired [Member] | Consumer Portfolio Segment [Member] | |||
Total before allowance and deferred loan cost | 49,082,751 | 139,966 | |
Acquired [Member] | Pass [Member] | |||
Total before allowance and deferred loan cost | 331,839,314 | 172,240,817 | |
Acquired [Member] | Pass [Member] | Commercial Real Estate Portfolio Segment [Member] | Owner Occupied [Member] | |||
Total before allowance and deferred loan cost | 83,069,390 | 48,069,046 | |
Acquired [Member] | Pass [Member] | Commercial Real Estate Portfolio Segment [Member] | Investment [Member] | |||
Total before allowance and deferred loan cost | 51,064,247 | 35,130,038 | |
Acquired [Member] | Pass [Member] | Commercial Real Estate Portfolio Segment [Member] | Hospitality Industry [Member] | |||
Total before allowance and deferred loan cost | 7,395,186 | 9,781,737 | |
Acquired [Member] | Pass [Member] | Commercial Real Estate Portfolio Segment [Member] | Land and A&D [Member] | |||
Total before allowance and deferred loan cost | 9,065,405 | 5,815,572 | |
Acquired [Member] | Pass [Member] | Residential Portfolio Segment [Member] | Residential First Investment [Member] | |||
Total before allowance and deferred loan cost | 19,846,749 | 21,898,603 | |
Acquired [Member] | Pass [Member] | Residential Portfolio Segment [Member] | Residential First Owner Occupied [Member] | |||
Total before allowance and deferred loan cost | 57,895,058 | 39,011,487 | |
Acquired [Member] | Pass [Member] | Residential Portfolio Segment [Member] | Residential Land and A&D [Member] | |||
Total before allowance and deferred loan cost | 5,727,719 | 4,299,830 | |
Acquired [Member] | Pass [Member] | Residential Portfolio Segment [Member] | HELOC and Jr Liens [Member] | |||
Total before allowance and deferred loan cost | 16,019,418 | 2,633,718 | |
Acquired [Member] | Pass [Member] | Commercial Portfolio Segment [Member] | |||
Total before allowance and deferred loan cost | 32,738,715 | 5,460,820 | |
Acquired [Member] | Pass [Member] | Consumer Portfolio Segment [Member] | |||
Total before allowance and deferred loan cost | 49,017,427 | 139,966 | |
Acquired [Member] | Special Mention [Member] | |||
Total before allowance and deferred loan cost | 7,645,478 | 12,035,462 | |
Acquired [Member] | Special Mention [Member] | Commercial Real Estate Portfolio Segment [Member] | Owner Occupied [Member] | |||
Total before allowance and deferred loan cost | 2,816,057 | 4,572,278 | |
Acquired [Member] | Special Mention [Member] | Commercial Real Estate Portfolio Segment [Member] | Investment [Member] | |||
Total before allowance and deferred loan cost | 1,037,254 | 1,776,837 | |
Acquired [Member] | Special Mention [Member] | Commercial Real Estate Portfolio Segment [Member] | Hospitality Industry [Member] | |||
Total before allowance and deferred loan cost | 1,411,689 | ||
Acquired [Member] | Special Mention [Member] | Commercial Real Estate Portfolio Segment [Member] | Land and A&D [Member] | |||
Total before allowance and deferred loan cost | 120,366 | 155,241 | |
Acquired [Member] | Special Mention [Member] | Residential Portfolio Segment [Member] | Residential First Investment [Member] | |||
Total before allowance and deferred loan cost | 1,034,942 | 1,248,453 | |
Acquired [Member] | Special Mention [Member] | Residential Portfolio Segment [Member] | Residential First Owner Occupied [Member] | |||
Total before allowance and deferred loan cost | 1,848,385 | 1,882,182 | |
Acquired [Member] | Special Mention [Member] | Residential Portfolio Segment [Member] | Residential Land and A&D [Member] | |||
Total before allowance and deferred loan cost | 663,248 | 791,399 | |
Acquired [Member] | Special Mention [Member] | Residential Portfolio Segment [Member] | HELOC and Jr Liens [Member] | |||
Total before allowance and deferred loan cost | |||
Acquired [Member] | Special Mention [Member] | Commercial Portfolio Segment [Member] | |||
Total before allowance and deferred loan cost | 59,902 | 197,383 | |
Acquired [Member] | Special Mention [Member] | Consumer Portfolio Segment [Member] | |||
Total before allowance and deferred loan cost | 65,324 | ||
Acquired [Member] | Substandard [Member] | |||
Total before allowance and deferred loan cost | 6,211,088 | 4,604,624 | |
Acquired [Member] | Substandard [Member] | Commercial Real Estate Portfolio Segment [Member] | Owner Occupied [Member] | |||
Total before allowance and deferred loan cost | 1,773,408 | 1,209,289 | |
Acquired [Member] | Substandard [Member] | Commercial Real Estate Portfolio Segment [Member] | Investment [Member] | |||
Total before allowance and deferred loan cost | 825,238 | 780,929 | |
Acquired [Member] | Substandard [Member] | Commercial Real Estate Portfolio Segment [Member] | Hospitality Industry [Member] | |||
Total before allowance and deferred loan cost | |||
Acquired [Member] | Substandard [Member] | Commercial Real Estate Portfolio Segment [Member] | Land and A&D [Member] | |||
Total before allowance and deferred loan cost | 45,000 | 45,000 | |
Acquired [Member] | Substandard [Member] | Residential Portfolio Segment [Member] | Residential First Investment [Member] | |||
Total before allowance and deferred loan cost | 338,827 | 476,603 | |
Acquired [Member] | Substandard [Member] | Residential Portfolio Segment [Member] | Residential First Owner Occupied [Member] | |||
Total before allowance and deferred loan cost | 2,781,351 | 1,550,098 | |
Acquired [Member] | Substandard [Member] | Residential Portfolio Segment [Member] | Residential Land and A&D [Member] | |||
Total before allowance and deferred loan cost | 145,193 | 467,004 | |
Acquired [Member] | Substandard [Member] | Residential Portfolio Segment [Member] | HELOC and Jr Liens [Member] | |||
Total before allowance and deferred loan cost | |||
Acquired [Member] | Substandard [Member] | Commercial Portfolio Segment [Member] | |||
Total before allowance and deferred loan cost | 302,071 | 75,701 | |
Acquired [Member] | Substandard [Member] | Consumer Portfolio Segment [Member] | |||
Total before allowance and deferred loan cost | |||
Acquired [Member] | Doubtful [Member] | |||
Total before allowance and deferred loan cost | |||
Acquired [Member] | Unlikely to be Collected Financing Receivable [Member] | |||
Total before allowance and deferred loan cost | |||
[1] | As a result of the acquisitions of Maryland Bankcorp, Inc. (“Maryland Bankcorp”), the parent company of Maryland Bank & Trust Company, N.A. (“MB&T”), in April 2011, WSB Holdings Inc., the parent company of The Washington Savings Bank (“WSB”), in May 2013, Regal Bancorp, Inc. (“Regal”), the parent company of Regal Bank & Trust (“Regal Bank”), in December 2015 and DCB, the parent company of Damascus, in July 2017, we have segmented the portfolio into two components, “Legacy” loans originated by the Bank and “Acquired” loans acquired from MB&T, WSB, Regal Bank and Damascus. |
Note 6 - Loans and Allowance 71
Note 6 - Loans and Allowance for Loan Losses - Allowance for Loan Losses Activity (Details) - USD ($) | 12 Months Ended | |||||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2017 | Dec. 31, 2016 | ||
Beginning balance | $ 6,195,469 | $ 4,909,818 | ||||
Provision for loan losses | 955,108 | 1,584,542 | $ 1,310,984 | |||
Recoveries | 40,792 | 111,276 | ||||
7,191,369 | 6,605,636 | |||||
Loans charged off | (1,270,783) | (410,167) | ||||
Ending Balance | 5,920,586 | 6,195,469 | 4,909,818 | |||
Loans held for investment, allowance for loan losses | 5,920,586 | 6,195,469 | 4,909,818 | $ 5,920,586 | $ 6,195,469 | |
Legacy [Member] | ||||||
Beginning balance | [1] | 6,084,478 | ||||
Ending Balance | [1] | 5,738,534 | 6,084,478 | |||
Individually evaluated for impairment | 242,611 | 1,282,015 | ||||
Other loans not individually evaluated | 5,495,923 | 4,802,463 | ||||
Loans held for investment, allowance for loan losses | [1] | 5,738,534 | 6,084,478 | 5,738,534 | 6,084,478 | |
Acquired [Member] | ||||||
Beginning balance | 110,991 | |||||
Ending Balance | 182,052 | 110,991 | ||||
Individually evaluated for impairment | 182,052 | 110,991 | ||||
Loans held for investment, allowance for loan losses | 182,052 | 110,991 | 182,052 | 110,991 | ||
Commercial Portfolio Segment [Member] | ||||||
Beginning balance | 1,372,235 | 1,161,318 | ||||
Provision for loan losses | 660,497 | 172,059 | ||||
Recoveries | 2,350 | 43,330 | ||||
2,035,082 | 1,376,707 | |||||
Loans charged off | (773,052) | (4,472) | ||||
Ending Balance | 1,262,030 | 1,372,235 | 1,161,318 | |||
Loans held for investment, allowance for loan losses | 1,372,235 | 1,372,235 | 1,161,318 | 1,262,030 | 1,372,235 | |
Commercial Portfolio Segment [Member] | Legacy [Member] | ||||||
Individually evaluated for impairment | 96,212 | 609,152 | ||||
Other loans not individually evaluated | 1,141,301 | 735,876 | ||||
Commercial Portfolio Segment [Member] | Acquired [Member] | ||||||
Individually evaluated for impairment | 24,517 | 27,207 | ||||
Commercial Real Estate Portfolio Segment [Member] | ||||||
Beginning balance | 3,990,152 | 3,053,925 | ||||
Provision for loan losses | 231,488 | 936,227 | ||||
Recoveries | 2,017 | |||||
4,223,657 | 3,990,152 | |||||
Loans charged off | (439,922) | |||||
Ending Balance | 3,783,735 | 3,990,152 | 3,053,925 | |||
Loans held for investment, allowance for loan losses | 3,990,152 | 3,990,152 | 3,053,925 | 3,783,735 | 3,990,152 | |
Commercial Real Estate Portfolio Segment [Member] | Legacy [Member] | ||||||
Individually evaluated for impairment | 69,903 | 611,498 | ||||
Other loans not individually evaluated | 3,633,760 | 3,378,654 | ||||
Commercial Real Estate Portfolio Segment [Member] | Acquired [Member] | ||||||
Individually evaluated for impairment | 80,072 | |||||
Residential Portfolio Segment [Member] | ||||||
Beginning balance | 823,520 | 682,962 | ||||
Provision for loan losses | 22,203 | 486,935 | ||||
Recoveries | 900 | 49,464 | ||||
846,623 | 1,219,361 | |||||
Loans charged off | (2,268) | (395,841) | ||||
Ending Balance | 844,355 | 823,520 | 682,962 | |||
Loans held for investment, allowance for loan losses | 823,520 | 823,520 | 682,962 | 844,355 | 823,520 | |
Residential Portfolio Segment [Member] | Legacy [Member] | ||||||
Individually evaluated for impairment | 76,496 | 61,365 | ||||
Other loans not individually evaluated | 690,396 | 678,371 | ||||
Residential Portfolio Segment [Member] | Acquired [Member] | ||||||
Individually evaluated for impairment | 77,463 | 83,784 | ||||
Consumer Portfolio Segment [Member] | ||||||
Beginning balance | 9,562 | 11,613 | ||||
Provision for loan losses | 40,920 | (10,679) | ||||
Recoveries | 35,525 | 18,482 | ||||
86,007 | 19,416 | |||||
Loans charged off | (55,541) | (9,854) | ||||
Ending Balance | 30,466 | 9,562 | 11,613 | |||
Loans held for investment, allowance for loan losses | $ 9,562 | $ 9,562 | $ 11,613 | 30,466 | 9,562 | |
Consumer Portfolio Segment [Member] | Legacy [Member] | ||||||
Individually evaluated for impairment | ||||||
Other loans not individually evaluated | 30,466 | 9,562 | ||||
Consumer Portfolio Segment [Member] | Acquired [Member] | ||||||
Individually evaluated for impairment | ||||||
[1] | As a result of the acquisitions of Maryland Bankcorp, Inc. (“Maryland Bankcorp”), the parent company of Maryland Bank & Trust Company, N.A. (“MB&T”), in April 2011, WSB Holdings Inc., the parent company of The Washington Savings Bank (“WSB”), in May 2013, Regal Bancorp, Inc. (“Regal”), the parent company of Regal Bank & Trust (“Regal Bank”), in December 2015 and DCB, the parent company of Damascus, in July 2017, we have segmented the portfolio into two components, “Legacy” loans originated by the Bank and “Acquired” loans acquired from MB&T, WSB, Regal Bank and Damascus. |
Note 6 - Loans and Allowance 72
Note 6 - Loans and Allowance for Loan Losses - Allowance by Impairment Methodology (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 | |
Ending balance | $ 1,700,268,583 | $ 1,366,113,264 | |
Commercial Portfolio Segment [Member] | |||
Ending balance | 187,345,333 | 141,993,464 | |
Commercial Real Estate Portfolio Segment [Member] | |||
Ending balance | 1,142,380,447 | 953,915,995 | |
Residential Portfolio Segment [Member] | |||
Ending balance | 310,701,463 | 265,194,930 | |
Consumer Portfolio Segment [Member] | |||
Ending balance | 59,841,340 | 5,008,875 | |
Legacy [Member] | |||
Individually evaluated for impairment with specific reserve | 935,721 | 5,412,145 | |
Individually evaluated for impairment without specific reserve | 3,566,387 | 2,845,790 | |
Other loans not individually evaluated | 1,350,070,595 | 1,168,974,426 | |
Ending balance | [1] | 1,354,572,703 | 1,177,232,361 |
Legacy [Member] | Commercial Portfolio Segment [Member] | |||
Individually evaluated for impairment with specific reserve | 96,212 | 1,016,479 | |
Individually evaluated for impairment without specific reserve | 387,208 | 843,809 | |
Other loans not individually evaluated | 153,761,224 | 134,399,272 | |
Legacy [Member] | Commercial Real Estate Portfolio Segment [Member] | |||
Individually evaluated for impairment with specific reserve | 592,432 | 4,083,605 | |
Individually evaluated for impairment without specific reserve | 2,952,625 | 1,779,744 | |
Other loans not individually evaluated | 981,623,840 | 839,304,990 | |
Legacy [Member] | Residential Portfolio Segment [Member] | |||
Individually evaluated for impairment with specific reserve | 247,077 | 312,061 | |
Individually evaluated for impairment without specific reserve | 226,554 | 222,237 | |
Other loans not individually evaluated | 203,926,942 | 190,401,255 | |
Legacy [Member] | Consumer Portfolio Segment [Member] | |||
Individually evaluated for impairment with specific reserve | |||
Individually evaluated for impairment without specific reserve | |||
Other loans not individually evaluated | 10,758,589 | 4,868,909 | |
Ending balance | [1] | 10,758,589 | 4,868,909 |
Acquired [Member] | |||
Individually evaluated for impairment with specific reserve subsequent to acquisition (ASC 310-20 at acquisition) | 470,515 | 227,877 | |
Individually evaluated for impairment without specific reserve (ASC 310-20 at acquisition) | 1,568,661 | 970,851 | |
Individually evaluated for impairment with specific reserve (ASC 310-30 at acquisition) | 6,617,834 | 7,558,414 | |
Collectively evaluated for impairment without reserve (ASC 310-20 at acquisition) | 337,038,870 | 180,123,761 | |
Ending balance | 345,695,880 | 188,880,903 | |
Acquired [Member] | Commercial Portfolio Segment [Member] | |||
Individually evaluated for impairment with specific reserve subsequent to acquisition (ASC 310-20 at acquisition) | 72,125 | 76,243 | |
Individually evaluated for impairment without specific reserve (ASC 310-20 at acquisition) | |||
Individually evaluated for impairment with specific reserve (ASC 310-30 at acquisition) | |||
Collectively evaluated for impairment without reserve (ASC 310-20 at acquisition) | 33,028,564 | 5,657,661 | |
Acquired [Member] | Commercial Real Estate Portfolio Segment [Member] | |||
Individually evaluated for impairment with specific reserve subsequent to acquisition (ASC 310-20 at acquisition) | 148,196 | 151,634 | |
Individually evaluated for impairment without specific reserve (ASC 310-20 at acquisition) | 298,865 | 91,669 | |
Individually evaluated for impairment with specific reserve (ASC 310-30 at acquisition) | 3,466,289 | 4,632,885 | |
Collectively evaluated for impairment without reserve (ASC 310-20 at acquisition) | 153,298,200 | 103,871,468 | |
Acquired [Member] | Residential Portfolio Segment [Member] | |||
Individually evaluated for impairment with specific reserve subsequent to acquisition (ASC 310-20 at acquisition) | 250,194 | ||
Individually evaluated for impairment without specific reserve (ASC 310-20 at acquisition) | 1,269,796 | 879,182 | |
Individually evaluated for impairment with specific reserve (ASC 310-30 at acquisition) | 3,137,545 | 2,925,529 | |
Collectively evaluated for impairment without reserve (ASC 310-20 at acquisition) | 101,643,355 | 70,454,666 | |
Acquired [Member] | Consumer Portfolio Segment [Member] | |||
Individually evaluated for impairment with specific reserve subsequent to acquisition (ASC 310-20 at acquisition) | |||
Individually evaluated for impairment without specific reserve (ASC 310-20 at acquisition) | |||
Individually evaluated for impairment with specific reserve (ASC 310-30 at acquisition) | 14,000 | ||
Collectively evaluated for impairment without reserve (ASC 310-20 at acquisition) | 49,068,751 | 139,966 | |
Ending balance | $ 49,082,751 | $ 139,966 | |
[1] | As a result of the acquisitions of Maryland Bankcorp, Inc. (“Maryland Bankcorp”), the parent company of Maryland Bank & Trust Company, N.A. (“MB&T”), in April 2011, WSB Holdings Inc., the parent company of The Washington Savings Bank (“WSB”), in May 2013, Regal Bancorp, Inc. (“Regal”), the parent company of Regal Bank & Trust (“Regal Bank”), in December 2015 and DCB, the parent company of Damascus, in July 2017, we have segmented the portfolio into two components, “Legacy” loans originated by the Bank and “Acquired” loans acquired from MB&T, WSB, Regal Bank and Damascus. |
Note 6 - Loans and Allowance 73
Note 6 - Loans and Allowance for Loan Losses - Maturity and Rate Re-pricing Distribution of the Loan Portfolio (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Within one year | $ 407,174,181 | $ 310,405,004 |
Over one to five years | 771,105,803 | 683,085,446 |
Over five years | 521,988,599 | 372,622,814 |
$ 1,700,268,583 | $ 1,366,113,264 |
Note 7 - Equity Securities (Det
Note 7 - Equity Securities (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Cost-method Investments, Other than Temporary Impairment | $ 0 | $ 0 |
Note 7 - Equity Securities - Eq
Note 7 - Equity Securities - Equity Securities Held (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Total equity securities | $ 8,977,747 | $ 8,303,347 |
Atlantic Central Bankers Bank Stock [Member] | ||
Total equity securities | 219,500 | 219,500 |
Federal Home Loan Bank Stock [Member] | ||
Total equity securities | 8,402,000 | 7,727,600 |
ICBA Stock [Member] | ||
Total equity securities | 1,750 | 1,750 |
Maryland Financial Bank Stock [Member] | ||
Total equity securities | 152,497 | 152,497 |
Investment in Maryland Statutory Trust [Member] | ||
Total equity securities | $ 202,000 | $ 202,000 |
Note 8 - Pointer Ridge Office76
Note 8 - Pointer Ridge Office Investment, LLC (Details Textual) $ in Millions | Sep. 02, 2016USD ($) | Dec. 31, 2017ft² | Aug. 31, 2016 |
Headquarters Building in Maryland [Member] | |||
Area of Real Estate Property | ft² | 40,000 | ||
Percentage of Building Area Leased | 98.00% | ||
Pointer Ridge Office Investment LLC [Member] | |||
Business Combination, Step Acquisition, Equity Interest in Acquiree, Including Subsequent Acquisition, Percentage | 100.00% | ||
Business Acquisition, Percentage of Voting Interests Acquired | 37.50% | ||
Repayments of Notes Payable | $ | $ 5.8 |
Note 9 - Premises and Equipme77
Note 9 - Premises and Equipment - Premises and Equipment and Related Depreciation (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Property, plant, and equipment, gross | $ 54,448,809 | $ 47,825,621 |
Accumulated depreciation | 13,274,999 | 11,080,917 |
Net premises and equipment | 41,173,810 | 36,744,704 |
Depreciation expense | 2,472,405 | 2,248,205 |
Land [Member] | ||
Property, plant, and equipment, gross | 7,938,389 | 5,207,030 |
Building [Member] | ||
Property, plant, and equipment, gross | 28,580,066 | 27,854,975 |
Leasehold Improvements [Member] | ||
Property, plant, and equipment, gross | 8,115,555 | 6,745,221 |
Furniture and Fixtures [Member] | ||
Property, plant, and equipment, gross | $ 9,814,799 | $ 8,018,395 |
Note 10 - Deposits - Classifica
Note 10 - Deposits - Classification of Deposits (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Money market and NOW | $ 538,102,931 | $ 433,195,434 |
Savings | 132,970,630 | 100,758,813 |
Time deposits that meet or exceed the FDIC insured limit | 95,365,364 | 75,931,295 |
Other time deposits | 434,661,392 | 384,663,727 |
$ 1,201,100,317 | $ 994,549,269 |
Note 10 - Deposits - Time Depos
Note 10 - Deposits - Time Deposit Maturities (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Within three months | $ 98,291,816 | $ 68,951,740 |
Over three to twelve months | 183,750,343 | 182,481,109 |
Over one to three years | 183,257,118 | 125,289,678 |
Over three to five years | 64,727,479 | 83,872,495 |
$ 530,026,756 | $ 460,595,022 |
Note 10 - Deposits - Interest o
Note 10 - Deposits - Interest on Deposits (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Money market and NOW | $ 1,863,164 | $ 1,014,981 | $ 723,666 |
Savings | 130,322 | 122,270 | 111,385 |
Other time deposits | 5,327,545 | 4,371,582 | 3,411,939 |
$ 7,321,031 | $ 5,508,833 | $ 4,246,990 |
Note 11 - Short Term Borrowin81
Note 11 - Short Term Borrowings (Details Textual) $ in Millions | Dec. 31, 2017USD ($) |
Securities Sold under Agreements to Repurchase | $ 37.6 |
Secured Debt, Repurchase Agreements | 37.6 |
Securities Sold Under Agreements to Repurchase, Book Value of Collateral | 61.3 |
Securities Sold under Agreements to Repurchase, Fair Value of Collateral | 59.9 |
Unsecured Line of Credit [Member] | |
Line of Credit Facility, Maximum Borrowing Capacity | 5 |
Credit Facility Including Overnight Federal Funds and Reverse Repurchase Agreements [Member] | |
Line of Credit Facility, Maximum Borrowing Capacity | 38.5 |
Secured Debt [Member] | Federal Home Loan Bank of Atlanta [Member] | |
Federal Home Loan Bank, Advances, General Debt Obligations, Maximum Amount Available | 618.3 |
Federal Home Loan Bank, Advances, General Debt Obligations, Disclosures, Collateral Pledged | 335.7 |
Federal Home Loan Bank, Advances, Maturities Summary, Due in Next Twelve Months | 155 |
Federal Home Loan Bank, Advances, General Debt Obligations, Amount of Available, Unused Funds | 180.7 |
Securities Sold under Agreements to Repurchase [Member] | |
Federal Home Loan Bank, Advances, General Debt Obligations, Disclosures, Collateral Pledged | $ 59.9 |
Note 11 - Short Term Borrowin82
Note 11 - Short Term Borrowings - Short Term Borrowings (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Short term borrowings | $ 192,611,971 | $ 183,433,892 |
Interest rate | 3.91% | 3.34% |
Maximum amount borrowed during any month end period | $ 247,611,971 | $ 250,880,864 |
Average for the year | 232,450,488 | 169,138,208 |
Securities Sold under Agreements to Repurchase [Member] | ||
Short term borrowings | $ 37,611,971 | $ 33,433,892 |
Interest rate | 0.80% | 0.47% |
Maximum amount borrowed during any month end period | $ 37,611,971 | $ 33,880,864 |
Average for the year | $ 27,469,892 | $ 30,573,019 |
Average interest rate | 0.80% | 0.47% |
FHLB Daily Rate Advances [Member] | ||
Short term borrowings | $ 45,000,000 | $ 30,000,000 |
Interest rate | 1.59% | 0.80% |
Maximum amount borrowed during any month end period | $ 45,000,000 | $ 54,000,000 |
Average for the year | $ 28,098,630 | $ 32,263,661 |
Average interest rate | 1.22% | 0.64% |
FHLB Adjustable Rate Advances [Member] | ||
Short term borrowings | ||
Maximum amount borrowed during any month end period | 4,000,000 | |
Average for the year | $ 1,478,698 | |
Average interest rate | 0.59% | |
FHLB Fixed Rate Advances [Member] | ||
Short term borrowings | $ 110,000,000 | $ 120,000,000 |
Interest rate | 1.40% | 0.61% |
Maximum amount borrowed during any month end period | $ 165,000,000 | $ 159,000,000 |
Average for the year | $ 176,881,966 | $ 104,822,830 |
Average interest rate | 0.97% | 0.39% |
Note 12 - Long Term Borrowing83
Note 12 - Long Term Borrowings (Details Textual) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Long-term Debt | $ 38,106,930 | $ 37,842,567 |
Debt Instrument, Interest Rate, Stated Percentage | 3.91% | 3.34% |
Subordinated Debt [Member] | ||
Long-term Debt, Fair Value | $ 34,100,000 | |
Long-term Debt | $ 35,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 5.625% | 5.625% |
Trust One Maturing on March 17, 2034 [Member] | ||
Long-term Debt, Fair Value | $ 4,000,000 | |
Liabilities, Fair Value Adjustment | 1,500,000 | |
Trust Two Maturing on December 14, 2035 [Member] | ||
Long-term Debt, Fair Value | 2,500,000 | |
Liabilities, Fair Value Adjustment | $ 1,200,000 |
Note 12 - Long Term Borrowing84
Note 12 - Long Term Borrowings - Long Term Debt (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | ||
Long-term debt | $ 4,031,171 | $ 3,874,004 | |
Issuance cost | $ (2,013,434) | $ (1,257,411) | |
Interest rate | 3.91% | 3.34% | |
Long term borrowings | $ 38,106,930 | $ 37,842,567 | |
Average for the year | 37,965,759 | 19,249,786 | |
Senior Notes [Member] | |||
Long-term debt | |||
Interest rate | 6.28% | ||
Average for the year | $ 3,887,114 | ||
Subordinated Debt [Member] | |||
Long-term debt | 35,000,000 | 35,000,000 | |
Discount | (452,651) | (505,151) | |
Issuance cost | (471,590) | (526,286) | |
Trust preferred | $ 34,075,759 | $ 33,968,563 | |
Interest rate | 5.625% | 5.625% | |
Stock on subordinated debentures | $ 202,000 | $ 202,000 | |
Long term borrowings | 35,000,000 | ||
Average for the year | $ 34,018,375 | $ 11,605,039 | |
Average rate for the year | 5.625% | 5.625% | |
Trust One Maturing on March 17, 2034 [Member] | |||
Long-term debt | $ 4,000,000 | $ 4,000,000 | |
Interest rate | 4.39% | 3.82% | |
Acquisition fair value adjustment | $ (1,468,572) | $ (1,558,946) | |
Trust Two Maturing on December 14, 2035 [Member] | |||
Long-term debt | $ 2,500,000 | $ 2,500,000 | |
Interest rate | 3.14% | 2.57% | |
Acquisition fair value adjustment | $ (1,202,257) | $ (1,269,050) | |
Trust Preferred Subordinated Debentures [Member] | |||
Average for the year | [1] | $ 3,947,384 | $ 3,757,633 |
Average rate for the year | [1] | 9.75% | 9.38% |
[1] | The effective yield of the acquired subordinated debentures |
Note 12 - Long Term Borrowing85
Note 12 - Long Term Borrowings - Long Term Debt (Details) (Parentheticals) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Interest rate | 3.91% | 3.34% |
Trust One Maturing on March 17, 2034 [Member] | ||
Variable rate | 2.85% | 2.85% |
Interest rate | 4.39% | 3.82% |
Trust Two Maturing on December 14, 2035 [Member] | ||
Variable rate | 1.60% | 1.60% |
Interest rate | 3.14% | 2.57% |
Senior Notes [Member] | ||
Interest rate | 6.28% |
Note 12 - Long Term Borrowing86
Note 12 - Long Term Borrowings - Principal Payments (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
2,026 | $ 34,075,759 | |
over 10 years | 4,031,171 | |
$ 38,106,930 | $ 37,842,567 |
Note 13 - Related Party Trans87
Note 13 - Related Party Transactions (Details Textual) - USD ($) | 12 Months Ended | ||||||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Aug. 31, 2016 | Aug. 19, 2016 | Nov. 01, 2008 | Oct. 31, 2008 | |
Related Party Transaction, Expenses from Transactions with Related Party | $ 87,300 | $ 282,602 | $ 276,618 | ||||
Director [Member] | |||||||
Percentage of Ownership Interest | 52.00% | ||||||
Directors, Executive Officers and Their Affiliated Companies [Member] | |||||||
Related Party Deposit Liabilities | 4,929,631 | 10,337,238 | |||||
Loans and Leases Receivable, Unused Commitment | 433,240 | ||||||
Pointer Ridge Office Investment LLC [Member] | |||||||
Noncontrolling Interest, Ownership Percentage by Parent | 37.50% | ||||||
Percentage of Ownership Interest | 62.50% | 50.00% | |||||
Payments for Rent | $ 0 | $ 653,380 | $ 897,333 | ||||
Pointer Ridge Office Investment LLC [Member] | Chesapeake Custom Homes, L.L.C. [Member] | |||||||
Noncontrolling Interest, Ownership Percentage by Parent | 12.50% | ||||||
Related Party Transaction, Book Value of Membership Interest Acquired | $ 205,000 | ||||||
Pointer Ridge Office Investment LLC [Member] | Lucente Enterprises, Inc. [Member] | |||||||
Percentage of Ownership Interest | 12.50% |
Note 13 - Related Party Trans88
Note 13 - Related Party Transactions - Loans Outstanding to Related Party (Details) - Directors, Executive Officers and Their Affiliated Companies [Member] - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Balance at beginning of year | $ 2,700,087 | $ 2,471,949 |
Additions | 1,536,167 | 710,572 |
Repayments | (311,115) | (482,434) |
Balance at end of year | $ 3,925,139 | $ 2,700,087 |
Note 14 - Income Taxes (Details
Note 14 - Income Taxes (Details Textual) - USD ($) | 1 Months Ended | 9 Months Ended | 12 Months Ended | |||||
May 31, 2013 | Apr. 30, 2011 | Sep. 30, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Jul. 31, 2017 | |
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 35.00% | 34.00% | 34.00% | 34.00% | ||||
Income Tax Expense (Benefit), Continuing Operations, Adjustment of Deferred Tax (Asset) Liability | $ 2,900 | |||||||
Valuation Allowance, Deferred Tax Asset, Increase (Decrease), Amount | (3,400) | |||||||
Income Tax Expense (Benefit), Adjustment of Deferred Tax (Asset) Liability and Reversal of Valuation Allowance | (472,000) | |||||||
Unrecognized Tax Benefits | $ 0 | $ 0 | ||||||
Maryland Bankcorp, Inc. [Member] | ||||||||
Operating Loss Carryforwards | $ 3,540,000 | |||||||
Net Operating Loss Deducted in Year | $ 779,812 | |||||||
Washington Savings Bank [Member] | ||||||||
Operating Loss Carryforwards | $ 12,100,000 | |||||||
Net Operating Loss Deducted in Year | $ 1,477,746 | |||||||
Regal Bancorp, Inc. [Member] | ||||||||
Operating Loss Carryforwards | $ 8,700,000 | |||||||
Net Operating Loss Deducted in Year | 182,620 | |||||||
Increase in Deferred Tax Asset on Acquisition | $ 3,600,000 | |||||||
DCB Bancshares [Member] | ||||||||
Operating Loss Carryforwards | $ 157,000 | |||||||
Scenario, Forecast [Member] | ||||||||
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 21.00% |
Note 14 - Income Taxes - Compon
Note 14 - Income Taxes - Components of Income Tax (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Federal | $ 4,850,926 | $ (2,421,114) | $ 2,221,756 |
State | 2,162,222 | 1,724,355 | 664,113 |
7,013,148 | (696,759) | 2,885,869 | |
Federal | 1,999,926 | 7,556,701 | 1,993,829 |
State | (860,350) | (47,344) | 502,692 |
1,139,576 | 7,509,357 | 2,496,521 | |
$ 8,152,724 | $ 6,812,598 | $ 5,382,390 |
Note 14 - Income Taxes - Deferr
Note 14 - Income Taxes - Deferred Tax Assets and Liabilities (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Allowance for loan losses | $ 1,245,747 | $ 2,323,236 |
Non-accrual interest | 149,017 | 205,703 |
Impairment losses and expenses on other real estate owned | 251,924 | 348,617 |
Director stock options | 38,949 | 8,684 |
Deferred compensation plans | 1,565,114 | 2,130,082 |
Net operating loss carryover | 3,869,905 | 5,698,994 |
Fair value adjustments for acquired assets and liabilities | 3,523,966 | 3,787,101 |
Non-compete agreements | 52,972 | 85,136 |
Other | (28,756) | |
Net unrealized loss on securities available for sale | 1,061,187 | 3,242,175 |
11,758,781 | 17,800,972 | |
Deferred loan origination costs, net | 527,338 | 473,598 |
Depreciation | 2,135,418 | 2,973,744 |
Other | 45,885 | |
Core deposit intangible amortization | 1,733,044 | 1,388,630 |
4,441,685 | 4,835,972 | |
Net deferred tax asset before valuation allowance | 7,317,096 | 12,965,000 |
Valuation allowance for deferred tax asset | (3,386,650) | |
Net deferred tax asset | $ 7,317,096 | $ 9,578,350 |
Note 14 - Income Taxes - Income
Note 14 - Income Taxes - Income Tax Rate Reconciliation (Details) | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Statutory federal income tax rate | 35.00% | 34.00% | 34.00% | 34.00% |
Increase (decrease) resulting from State income taxes, net of federal income tax benefit | 6.30% | 5.30% | 4.70% | |
Bank owned life insurance | (1.60%) | (1.90%) | (1.90%) | |
Other tax exempt income | (4.80%) | (5.00%) | (5.70%) | |
Stock based compensation awards | 0.70% | 0.70% | 0.60% | |
Other non-deductible expenses | 1.80% | 0.80% | 1.20% | |
Remove valuation allowance | (14.00%) | |||
Deferred tax asset rate change | 12.10% | |||
Other | (0.60%) | 0.20% | 1.00% | |
Effective tax rate | 33.90% | 34.10% | 33.90% |
Note 15 - Employee Benefits (De
Note 15 - Employee Benefits (Details Textual) - USD ($) | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2013 | |
Defined Contribution Plan, Employer Matching Contribution, Percent of Employees' Gross Pay | 4.00% | |||
Defined Contribution Plan, Cost | $ 618,056 | $ 599,395 | $ 506,325 | |
Deferred Compensation Arrangement with Individual, Recorded Liability | 5,900,000 | 5,600,000 | ||
Deferred Compensation Arrangement with Individual, Compensation Expense | 671,182 | 649,244 | 617,888 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period, Intrinsic Value | 488,995 | $ 830,962 | $ 411,743 | |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Not yet Recognized, Stock Options | $ 1,100,000 | |||
Employee Stock Option [Member] | ||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 3 years | |||
Restricted Stock [Member] | ||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 3 years | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 42,066 | 36,461 | 30,725 | |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Not yet Recognized, Share-based Awards Other than Options | $ 1,300,000 | |||
Equity Incentive Plan 2010 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 10 years | |||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Additional Shares Authorized | 450,000 | |||
Common Stock, Capital Shares Reserved for Future Issuance | 291,448 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 40,713 | |||
Equity Incentive Plan 2010 [Member] | Share-based Compensation Award, Tranche Two [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years | |||
Equity Incentive Plan 2010 [Member] | Share-based Compensation Award, Tranche Three [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 5 years | |||
Equity Incentive Plan 2010 [Member] | Share-based Compensation Award, Tranche One [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 2 years | |||
MB&T [Member] | KSOP [Member] | ||||
Employee Stock Ownership Plan (ESOP), Shares in ESOP | 32,949 | |||
MB&T [Member] | KSOP [Member] | Certificates of Deposit [Member] | ||||
Assets for Plan Benefits, Defined Benefit Plan | $ 19,193 | |||
MB&T [Member] | KSOP [Member] | Money Market Funds [Member] | ||||
Assets for Plan Benefits, Defined Benefit Plan | $ 19,463 |
Note 15 - Employee Benefits - S
Note 15 - Employee Benefits - Summary of Stock Options Outstanding (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Outstanding, beginning of year (in shares) | 360,988 | 368,956 | 393,162 |
Outstanding, weighted average exercise price (in dollars per share) | $ 12.04 | $ 10.67 | $ 10.14 |
Options granted (in shares) | 58,926 | 50,594 | |
Options granted, weighted average exercise price (in dollars per share) | $ 17.75 | $ 14.38 | |
Options exercised (in shares) | (26,914) | (66,894) | (74,800) |
Options exercised, weighted average exercise price (in dollars per share) | $ 10.10 | $ 9.52 | $ 10.34 |
Options forfeited (in shares) | |||
Options forfeited, weighted average exercise price (in dollars per share) | |||
Options expired (in shares) | (6,500) | ||
Options expired, weighted average exercise price (in dollars per share) | $ 10.85 | ||
Outstanding, end of year (in shares) | 327,574 | 360,988 | 368,956 |
Outstanding, weighted average exercise price (in dollars per share) | $ 12.22 | $ 12.04 | $ 10.67 |
Note 15 - Employee Benefits -95
Note 15 - Employee Benefits - Stock Options by Exercise Price Range (Details) | 12 Months Ended |
Dec. 31, 2017USD ($)$ / sharesshares | |
Outstanding options (in shares) | shares | 327,574 |
Outstanding options, weighted average remaining term (Year) | 4 years 222 days |
Outstanding options, weighted average exercise price (in dollars per share) | $ 12.22 |
Exercisable options (in shares) | shares | 286,555 |
Exercisable options, weighted average exercise price (in dollars per share) | $ 11.59 |
Intrinsic value of vested exercisable options where the market value exceeds the exercise price | $ | $ 5,114,960 |
Intrinsic value of outstanding options where the market value exceeds the exercise price | $ | $ 5,639,857 |
Exercise Price Range 1 [Member] | |
Lower exercise price (in dollars per share) | $ 6.30 |
Upper exercise price (in dollars per share) | $ 10.95 |
Outstanding options (in shares) | shares | 134,723 |
Outstanding options, weighted average remaining term (Year) | 2 years 156 days |
Outstanding options, weighted average exercise price (in dollars per share) | $ 7.48 |
Exercisable options (in shares) | shares | 134,723 |
Exercisable options, weighted average exercise price (in dollars per share) | $ 7.48 |
Exercise Price Range 2 [Member] | |
Lower exercise price (in dollars per share) | 10.96 |
Upper exercise price (in dollars per share) | $ 16.76 |
Outstanding options (in shares) | shares | 135,125 |
Outstanding options, weighted average remaining term (Year) | 6 years 87 days |
Outstanding options, weighted average exercise price (in dollars per share) | $ 14.59 |
Exercisable options (in shares) | shares | 122,192 |
Exercisable options, weighted average exercise price (in dollars per share) | $ 14.63 |
Exercise Price Range 3 [Member] | |
Lower exercise price (in dollars per share) | 16.77 |
Upper exercise price (in dollars per share) | $ 17.75 |
Outstanding options (in shares) | shares | 57,726 |
Outstanding options, weighted average remaining term (Year) | 8 years 14 days |
Outstanding options, weighted average exercise price (in dollars per share) | $ 17.75 |
Exercisable options (in shares) | shares | 29,640 |
Exercisable options, weighted average exercise price (in dollars per share) | $ 17.75 |
Note 15 - Employee Benefits -96
Note 15 - Employee Benefits - Stock Option Valuation Assumptions (Details) - Employee Stock Option [Member] - $ / shares | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Expected dividends | 1.00% | 1.00% | |
Risk free interest rate | 1.75% | 0.39% | |
Expected volatility | 25.28% | 30.76% | |
Weighted average volatility | 15.91% | 10.65% | |
Expected life in years (Year) | |||
Weighted average fair value of options granted (in dollars per share) | $ 5.40 | $ 5.09 | |
Minimum [Member] | |||
Expected life in years (Year) | 4 years 248 days | 5 years 182 days | |
Maximum [Member] | |||
Expected life in years (Year) | 5 years 262 days | 6 years |
Note 15 - Employee Benefits - V
Note 15 - Employee Benefits - Vesting Schedule of Unvested Restricted Stock (Details) - Restricted Stock [Member] - shares | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Unvested restricted stock (in shares) | 68,277 | 54,151 | 27,878 | 8,522 |
Vesting on 02/25/2018 [Member] | ||||
Unvested restricted stock (in shares) | 3,917 | |||
Vesting on 07/02/2018 [Member] | ||||
Unvested restricted stock (in shares) | 7,137 | |||
Vesting on 07/08/2018 [Member] | ||||
Unvested restricted stock (in shares) | 7,531 | |||
Vesting on 08/29/2018 [Member] | ||||
Unvested restricted stock (in shares) | 5,427 | |||
Vesting on 12/31/2018 [Member] | ||||
Unvested restricted stock (in shares) | 4,662 | |||
Vesting on 02/24/2019 [Member] | ||||
Unvested restricted stock (in shares) | 5,295 | |||
Vesting on 07/08/2019 [Member] | ||||
Unvested restricted stock (in shares) | 7,537 | |||
Vesting on 08/29/2019 [Member] | ||||
Unvested restricted stock (in shares) | 5,432 | |||
Vesting on 12/31/2019 [Member] | ||||
Unvested restricted stock (in shares) | 4,662 | |||
Vesting on 02/24/2020 [Member] | ||||
Unvested restricted stock (in shares) | 3,472 | |||
Vesting on 08/29/2020 [Member] | ||||
Unvested restricted stock (in shares) | 5,439 | |||
Vesting on 12/31/2020 [Member] | ||||
Unvested restricted stock (in shares) | 4,676 | |||
Vesting on 02/24/2021 [Member] | ||||
Unvested restricted stock (in shares) | 3,090 |
Note 15 - Employee Benefits -98
Note 15 - Employee Benefits - Summary of Restricted Stock Awards (Details) - Restricted Stock [Member] - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Nonvested, beginning of period (in shares) | 54,151 | 27,878 | 8,522 |
Nonvested, weighted average grant date fair value (in dollars per share) | $ 17.30 | $ 15.52 | $ 13.35 |
Restricted stock granted (in shares) | 42,066 | 36,461 | 30,725 |
Restricted stock granted, weighted average grant date fair value (in dollars per share) | $ 28.22 | $ 18.20 | $ 15.31 |
Restricted stock vested (in shares) | (27,940) | (10,188) | (11,369) |
Restricted stock vested, weighted average grant date fair value (in dollars per share) | $ 17.17 | $ 15.63 | $ 11.19 |
Restricted stock forfeited (in shares) | |||
Restricted stock forfeited, weighted average grant date fair value (in dollars per share) | |||
Nonvested, end of period (in shares) | 68,277 | 54,151 | 27,878 |
Nonvested, weighted average grant date fair value (in dollars per share) | $ 23.86 | $ 17.30 | $ 15.52 |
Total fair value of shares vested | $ 811,696 | $ 194,589 | $ 148,630 |
Intrinsic value of non-vested restricted stock awards where the market value exceeds the exercise price | 380,824 | 361,506 | 489,816 |
Intrinsic value of vested restricted stock awards where the market value exceeds the exercise price | $ 1,677,537 | $ 819,472 | $ 199,753 |
Note 16 - Capital Standards (De
Note 16 - Capital Standards (Details Textual) | Jan. 01, 2019 | Dec. 31, 2017 | Dec. 31, 2016 | Jan. 01, 2016 | |
Capital Required to be Well Capitalized to Risk Weighted Assets | [1] | 10.00% | 10.00% | ||
Tier One Risk Based Capital Required to be Well Capitalized to Risk Weighted Assets | [1] | 8.00% | 8.00% | ||
Common Equity Tier One Capital Required to be Well-Capitalized to Risk Weighted Assets | [1] | 6.50% | 6.50% | ||
Tier One Leverage Capital Required to be Well Capitalized to Average Assets | [1] | 5.00% | 5.00% | ||
Capital Conservation Buffer Phase In Amount | 0.625% | ||||
Scenario, Forecast [Member] | |||||
Capital Conservation Buffer | 2.50% | ||||
[1] | Prompt corrective action provisions are not applicable at the bank holding company level. |
Note 16 - Capital Standards - C
Note 16 - Capital Standards - Capital Amounts and Ratios (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | |
Total capital | $ 221,083 | $ 183,168 | |
Total capital, ratio | 11.80% | 12.30% | |
Total capital to risk weighted assets, minimum capital adequacy | [1] | $ 149,839 | $ 119,410 |
Total capital to risk weighted assets, minimum capital adequacy, ratio | [1] | 8.00% | 8.00% |
Total capital to risk weighted assets, minimum to be well capitalized | [2] | $ 187,298 | $ 149,263 |
Total capital to risk weighted assets, minimum to be well capitalized, ratio | [2] | 10.00% | 10.00% |
Tier I capital to risk weighted assets | $ 180,101 | $ 141,921 | |
Tier I capital to risk weighted assets, ratio | 9.60% | 9.50% | |
Tier I capital to risk weighted assets, minimum capital adequacy | [1] | $ 112,379 | $ 89,558 |
Tier I capital to risk weighted assets, minimum capital adequacy, ratio | [1] | 6.00% | 6.00% |
Tier I capital to risk weighted assets, minimum to be well capitalized | [2] | $ 149,839 | $ 119,410 |
Tier I capital to risk weighted assets, minimum to be well capitalized, ratio | [2] | 8.00% | 8.00% |
Tier I capital to average assets | $ 180,101 | $ 141,921 | |
Tier I capital to average assets, ratio | 8.80% | 8.60% | |
Tier I capital to average assets, minimum capital adequacy | [1] | $ 81,485 | $ 66,369 |
Tier I capital to average assets, minimum capital adequacy, ratio | [1] | 4.00% | 4.00% |
Tier I capital to average assets, minimum to be well capitalized | [2] | $ 101,857 | $ 82,961 |
Tier I capital to average assets, minimum to be well capitalized, ratio | [2] | 5.00% | 5.00% |
Common Equity Tier 1 | $ 176,070 | $ 138,047 | |
Common Equity Tier 1, ratio | 9.40% | 9.20% | |
Common Equity Tier 1, minimum capital adequacy | [1] | $ 84,284 | $ 67,168 |
Common Equity Tier 1, minimum capital adequacy, ratio | [1] | 4.50% | 4.50% |
Common Equity Tier 1, minimum to be well capitalized | [2] | $ 121,744 | $ 97,021 |
Common Equity Tier 1, minimum to be well capitalized, ratio | [2] | 6.50% | 6.50% |
Old Line Bank [Member] | |||
Total capital | $ 212,452 | $ 171,617 | |
Total capital, ratio | 11.40% | 11.50% | |
Total capital to risk weighted assets, minimum capital adequacy | [1] | $ 149,509 | $ 118,941 |
Total capital to risk weighted assets, minimum capital adequacy, ratio | [1] | 8.00% | 8.00% |
Total capital to risk weighted assets, minimum to be well capitalized | [2] | $ 186,886 | $ 148,676 |
Total capital to risk weighted assets, minimum to be well capitalized, ratio | [2] | 10.00% | 10.00% |
Tier I capital to risk weighted assets | $ 206,471 | $ 165,370 | |
Tier I capital to risk weighted assets, ratio | 11.00% | 11.10% | |
Tier I capital to risk weighted assets, minimum capital adequacy | [1] | $ 112,132 | $ 89,205 |
Tier I capital to risk weighted assets, minimum capital adequacy, ratio | [1] | 6.00% | 6.00% |
Tier I capital to risk weighted assets, minimum to be well capitalized | [2] | $ 149,509 | $ 118,941 |
Tier I capital to risk weighted assets, minimum to be well capitalized, ratio | [2] | 8.00% | 8.00% |
Tier I capital to average assets | $ 206,471 | $ 165,370 | |
Tier I capital to average assets, ratio | 10.10% | 10.00% | |
Tier I capital to average assets, minimum capital adequacy | [1] | $ 81,415 | $ 66,213 |
Tier I capital to average assets, minimum capital adequacy, ratio | [1] | 4.00% | 4.00% |
Tier I capital to average assets, minimum to be well capitalized | [2] | $ 101,769 | $ 82,766 |
Tier I capital to average assets, minimum to be well capitalized, ratio | [2] | 5.00% | 5.00% |
Common Equity Tier 1 | $ 206,471 | $ 165,370 | |
Common Equity Tier 1, ratio | 11.00% | 11.10% | |
Common Equity Tier 1, minimum capital adequacy | [1] | $ 84,099 | $ 66,904 |
Common Equity Tier 1, minimum capital adequacy, ratio | [1] | 4.50% | 4.50% |
Common Equity Tier 1, minimum to be well capitalized | [2] | $ 121,476 | $ 96,639 |
Common Equity Tier 1, minimum to be well capitalized, ratio | [2] | 6.50% | 6.50% |
[1] | When fully phased-in on January 1, 2019, the Basel III capital rules include a capital conservation buffer of 2.5% that is added on top of each of the minimum risk-based capital ratios noted above. Implementation began on January 1, 2016 at the 0.625% level and will increase each subsequent January 1, until it reaches 2.5% on January 1, 2019. | ||
[2] | Prompt corrective action provisions are not applicable at the bank holding company level. |
Note 17 - Commitments and Co101
Note 17 - Commitments and Contingencies (Details Textual) | 12 Months Ended | ||
Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | |
Provision for Loans Sold in Secondary Market with Recourse Obligations | $ 74,908 | $ 19,547 | $ 22,461 |
Provision for Unfunded Portion of Loan Commitments | 60,719 | 51,808 | 222,729 |
Operating Leases, Rent Expense, Net | $ 2,104,832 | $ 2,056,401 | $ 1,746,170 |
Pointer Ridge Office Investment LLC [Member] | |||
Operating Leases, Percentage of Lease Commitments Eliminated in Consolidation | 62.50% | ||
Branch [Member] | |||
Operating Leases, Assets Number | 22 | ||
Loan Production Offices [Member] | |||
Operating Leases, Assets Number | 5 |
Note 17 - Commitments and Co102
Note 17 - Commitments and Contingencies - Off Balance Sheet Risk (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Commitments to Extend Credit [Member] | ||
Commitments to extend credit and available credit lines | $ 306,251,817 | $ 252,628,799 |
Commitments to Extend Credit [Member] | Commercial Portfolio Segment [Member] | ||
Commitments to extend credit and available credit lines | 132,245,792 | 92,262,530 |
Commitments to Extend Credit [Member] | Construction Portfolio Segment [Member] | ||
Commitments to extend credit and available credit lines | 132,854,976 | 134,944,015 |
Commitments to Extend Credit [Member] | Consumer Portfolio Segment [Member] | ||
Commitments to extend credit and available credit lines | 41,151,049 | 25,422,254 |
Standby Letter of Credit [Member] | ||
Commitments to extend credit and available credit lines | $ 12,361,974 | $ 18,907,384 |
Note 17 - Commitments and Co103
Note 17 - Commitments and Contingencies - Future Minimum Lease Commitments (Details) $ in Thousands | Dec. 31, 2017USD ($) |
2,018 | $ 2,352 |
2,019 | 2,062 |
2,020 | 1,642 |
2,021 | 1,333 |
2,022 | 889 |
Remaining | 4,069 |
$ 12,347 |
Note 18 - Fair Value Measure104
Note 18 - Fair Value Measurement (Details Textual) - Fair Value, Inputs, Level 3 [Member] | 12 Months Ended |
Dec. 31, 2017 | |
Other Real Estate Owned [Member] | |
Fair Value Inputs, Discount Rate, Maximum Subject to Certain Cases | 75.00% |
Minimum [Member] | |
Fair Value Inputs, Discount Rate | 0.00% |
Minimum [Member] | Other Real Estate Owned [Member] | |
Fair Value Inputs, Discount Rate | 0.00% |
Maximum [Member] | |
Fair Value Inputs, Discount Rate | 50.00% |
Maximum [Member] | Other Real Estate Owned [Member] | |
Fair Value Inputs, Discount Rate | 50.00% |
Note 18 - Fair Value Measure105
Note 18 - Fair Value Measurement - Assets and Liabilities Measured on a Recurring Basis (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Investment securities available for sale-at fair value | $ 218,352,558 | $ 199,505,204 |
US Treasury Securities [Member] | ||
Investment securities available for sale-at fair value | 3,005,391 | 2,995,782 |
US Government Agencies Debt Securities [Member] | ||
Investment securities available for sale-at fair value | 17,733,766 | 7,266,315 |
Corporate Debt Securities [Member] | ||
Investment securities available for sale-at fair value | 14,658,059 | 8,171,637 |
US States and Political Subdivisions Debt Securities [Member] | ||
Investment securities available for sale-at fair value | 79,555,288 | 67,686,805 |
Federal Home Loan Mortgage Corporation Certificates and Obligations (FHLMC) [Member] | ||
Investment securities available for sale-at fair value | 19,454,235 | |
Federal National Mortgage Association Certificates and Obligations (FNMA) [Member] | ||
Investment securities available for sale-at fair value | 62,945,917 | 21,800,354 |
Government National Mortgage Association Certificates and Obligations (GNMA) [Member] | ||
Investment securities available for sale-at fair value | 20,999,902 | 70,448,816 |
Fair Value, Measurements, Recurring [Member] | ||
Investment securities available for sale-at fair value | 218,353,000 | 199,505,000 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Investment securities available for sale-at fair value | 3,005,000 | 2,996,000 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Investment securities available for sale-at fair value | 200,690,000 | 188,337,000 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Investment securities available for sale-at fair value | 14,658,000 | 8,172,000 |
Fair Value, Measurements, Recurring [Member] | US Treasury Securities [Member] | ||
Investment securities available for sale-at fair value | 3,005,000 | 2,996,000 |
Fair Value, Measurements, Recurring [Member] | US Treasury Securities [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Investment securities available for sale-at fair value | 3,005,000 | 2,996,000 |
Fair Value, Measurements, Recurring [Member] | US Treasury Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Investment securities available for sale-at fair value | ||
Fair Value, Measurements, Recurring [Member] | US Treasury Securities [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Investment securities available for sale-at fair value | ||
Fair Value, Measurements, Recurring [Member] | US Government Agencies Debt Securities [Member] | ||
Investment securities available for sale-at fair value | 17,734,000 | 7,266,000 |
Fair Value, Measurements, Recurring [Member] | US Government Agencies Debt Securities [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Investment securities available for sale-at fair value | ||
Fair Value, Measurements, Recurring [Member] | US Government Agencies Debt Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Investment securities available for sale-at fair value | 17,734,000 | 7,266,000 |
Fair Value, Measurements, Recurring [Member] | US Government Agencies Debt Securities [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Investment securities available for sale-at fair value | ||
Fair Value, Measurements, Recurring [Member] | Corporate Debt Securities [Member] | ||
Investment securities available for sale-at fair value | 14,658,000 | 8,172,000 |
Fair Value, Measurements, Recurring [Member] | Corporate Debt Securities [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Investment securities available for sale-at fair value | ||
Fair Value, Measurements, Recurring [Member] | Corporate Debt Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Investment securities available for sale-at fair value | ||
Fair Value, Measurements, Recurring [Member] | Corporate Debt Securities [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Investment securities available for sale-at fair value | 14,658,000 | 8,172,000 |
Fair Value, Measurements, Recurring [Member] | US States and Political Subdivisions Debt Securities [Member] | ||
Investment securities available for sale-at fair value | 79,555,000 | 67,687,000 |
Fair Value, Measurements, Recurring [Member] | US States and Political Subdivisions Debt Securities [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Investment securities available for sale-at fair value | ||
Fair Value, Measurements, Recurring [Member] | US States and Political Subdivisions Debt Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Investment securities available for sale-at fair value | 79,555,000 | 67,687,000 |
Fair Value, Measurements, Recurring [Member] | US States and Political Subdivisions Debt Securities [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Investment securities available for sale-at fair value | ||
Fair Value, Measurements, Recurring [Member] | Federal Home Loan Mortgage Corporation Certificates and Obligations (FHLMC) [Member] | ||
Investment securities available for sale-at fair value | 19,455,000 | 21,800,000 |
Fair Value, Measurements, Recurring [Member] | Federal Home Loan Mortgage Corporation Certificates and Obligations (FHLMC) [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Investment securities available for sale-at fair value | ||
Fair Value, Measurements, Recurring [Member] | Federal Home Loan Mortgage Corporation Certificates and Obligations (FHLMC) [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Investment securities available for sale-at fair value | 19,455,000 | 21,800,000 |
Fair Value, Measurements, Recurring [Member] | Federal Home Loan Mortgage Corporation Certificates and Obligations (FHLMC) [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Investment securities available for sale-at fair value | ||
Fair Value, Measurements, Recurring [Member] | Federal National Mortgage Association Certificates and Obligations (FNMA) [Member] | ||
Investment securities available for sale-at fair value | 62,946,000 | 70,449,000 |
Fair Value, Measurements, Recurring [Member] | Federal National Mortgage Association Certificates and Obligations (FNMA) [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Investment securities available for sale-at fair value | ||
Fair Value, Measurements, Recurring [Member] | Federal National Mortgage Association Certificates and Obligations (FNMA) [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Investment securities available for sale-at fair value | 62,946,000 | 70,449,000 |
Fair Value, Measurements, Recurring [Member] | Federal National Mortgage Association Certificates and Obligations (FNMA) [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Investment securities available for sale-at fair value | ||
Fair Value, Measurements, Recurring [Member] | Government National Mortgage Association Certificates and Obligations (GNMA) [Member] | ||
Investment securities available for sale-at fair value | 21,000,000 | 21,135,000 |
Fair Value, Measurements, Recurring [Member] | Government National Mortgage Association Certificates and Obligations (GNMA) [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Investment securities available for sale-at fair value | ||
Fair Value, Measurements, Recurring [Member] | Government National Mortgage Association Certificates and Obligations (GNMA) [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Investment securities available for sale-at fair value | 21,000,000 | 21,135,000 |
Fair Value, Measurements, Recurring [Member] | Government National Mortgage Association Certificates and Obligations (GNMA) [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Investment securities available for sale-at fair value |
Note 18 - Fair Value Measure106
Note 18 - Fair Value Measurement - Reconciliation of Changes in Fair Value (Details) - Fair Value, Inputs, Level 3 [Member] - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Balance | $ 8,172 | |
Included in earnings | ||
Included in other comprehensive income | (35) | 72 |
Purchases, issuances, sales and settlements | 6,521 | 8,100 |
Transfers into or out of level 3 | ||
Balance | $ 14,658 | $ 8,172 |
Note 18 - Fair Value Measure107
Note 18 - Fair Value Measurement - Loan Fair Value on a Non-recurring Basis (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 | |
Impaired Financing Receivable, Recorded Investment | $ 6,615,350 | $ 9,456,664 | |
Fair Value, Measurements, Nonrecurring [Member] | |||
Impaired Financing Receivable, Recorded Investment | 6,191,000 | 8,064,000 | |
Other real estate owned | 2,004,000 | 2,746,000 | |
Total | 8,195,000 | 10,810,000 | |
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 1 [Member] | |||
Impaired Financing Receivable, Recorded Investment | |||
Other real estate owned | |||
Total | |||
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 2 [Member] | |||
Impaired Financing Receivable, Recorded Investment | |||
Other real estate owned | |||
Total | |||
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 3 [Member] | |||
Impaired Financing Receivable, Recorded Investment | 6,191,000 | 8,064,000 | |
Other real estate owned | 2,004,000 | 2,746,000 | |
Total | 8,195,000 | 10,810,000 | |
Legacy [Member] | |||
Impaired Financing Receivable, Recorded Investment | 4,502,108 | 8,257,935 | |
Legacy [Member] | Fair Value, Measurements, Nonrecurring [Member] | |||
Impaired Financing Receivable, Recorded Investment | 4,260,000 | 6,976,000 | |
Other real estate owned | 425,000 | 425,000 | |
Legacy [Member] | Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 1 [Member] | |||
Impaired Financing Receivable, Recorded Investment | |||
Other real estate owned | |||
Legacy [Member] | Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 2 [Member] | |||
Impaired Financing Receivable, Recorded Investment | |||
Other real estate owned | |||
Legacy [Member] | Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 3 [Member] | |||
Impaired Financing Receivable, Recorded Investment | 4,260,000 | 6,976,000 | |
Other real estate owned | 425,000 | 425,000 | |
Acquired [Member] | |||
Impaired Financing Receivable, Recorded Investment | [1] | 2,113,242 | 1,198,729 |
Acquired [Member] | Fair Value, Measurements, Nonrecurring [Member] | |||
Impaired Financing Receivable, Recorded Investment | 1,931,000 | 1,088,000 | |
Other real estate owned | 1,579,000 | 2,321,000 | |
Acquired [Member] | Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 1 [Member] | |||
Impaired Financing Receivable, Recorded Investment | |||
Other real estate owned | |||
Acquired [Member] | Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 2 [Member] | |||
Impaired Financing Receivable, Recorded Investment | |||
Other real estate owned | |||
Acquired [Member] | Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 3 [Member] | |||
Impaired Financing Receivable, Recorded Investment | 1,931,000 | 1,088,000 | |
Other real estate owned | $ 1,579,000 | $ 2,321,000 | |
[1] | Generally accepted accounting principles require that we record acquired loans at fair value at acquisition, which includes a discount for loans with credit impairment. These purchased credit impaired loans are not performing according to their contractual terms and meet the definition of an impaired loan. Although we do not accrue interest income at the contractual rate on these loans, we do recognize an accretable yield as interest income to the extent such yield is supported by cash flow analysis of the underlying loans. |
Note 18 - Fair Value Measure108
Note 18 - Fair Value Measurement - Carrying and Fair Value (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Loans held for sale, fair value | $ 4,557,722 | $ 8,707,516 |
Investment securities available for sale-at fair value | 218,352,558 | 199,505,204 |
Bank owned life insurance | 41,612,496 | 37,557,566 |
Accrued interest receivable | 5,476,230 | 4,278,229 |
Non-interest bearing | 451,803,052 | 331,331,263 |
Interest bearing | 1,201,100,317 | 994,549,269 |
Reported Value Measurement [Member] | ||
Cash and cash equivalents | 35,174,000 | 23,463,000 |
Loans receivable, net | 1,696,361,000 | 1,361,175,000 |
Loans held for sale, fair value | 4,404,000 | 8,418,000 |
Investment securities available for sale-at fair value | 218,353,000 | 199,505,000 |
Equity Securities at cost | 8,978,000 | 8,303,000 |
Bank owned life insurance | 41,612,000 | 37,558,000 |
Accrued interest receivable | 5,476,000 | 4,278,000 |
Non-interest bearing | 451,803,000 | 331,331,000 |
Interest bearing | 1,201,100,000 | 994,549,000 |
Short term borrowings | 192,612,000 | 183,434,000 |
Long term borrowings | 38,107,000 | 37,843,000 |
Accrued Interest payable | 1,472,000 | 1,269,000 |
Estimate of Fair Value Measurement [Member] | ||
Cash and cash equivalents | 35,174,000 | 23,463,000 |
Loans receivable, net | 1,692,018,000 | 1,364,361,000 |
Loans held for sale, fair value | 4,558,000 | 8,707,000 |
Investment securities available for sale-at fair value | 218,353,000 | 199,505,000 |
Equity Securities at cost | 8,978,000 | 8,303,000 |
Bank owned life insurance | 41,612,000 | 37,558,000 |
Accrued interest receivable | 5,476,000 | 4,278,000 |
Non-interest bearing | 451,803,000 | 331,331,000 |
Interest bearing | 1,205,936,000 | 998,489,000 |
Short term borrowings | 192,612,000 | 183,434,000 |
Long term borrowings | 38,107,000 | 37,843,000 |
Accrued Interest payable | 1,472,000 | 1,269,000 |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Cash and cash equivalents | 35,174,000 | 23,463,000 |
Loans receivable, net | ||
Loans held for sale, fair value | ||
Investment securities available for sale-at fair value | 3,005,000 | 2,996,000 |
Equity Securities at cost | ||
Bank owned life insurance | ||
Accrued interest receivable | ||
Non-interest bearing | ||
Interest bearing | ||
Short term borrowings | ||
Long term borrowings | ||
Accrued Interest payable | ||
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Cash and cash equivalents | ||
Loans receivable, net | ||
Loans held for sale, fair value | 4,558,000 | 8,707,000 |
Investment securities available for sale-at fair value | 200,690,000 | 188,337,000 |
Equity Securities at cost | 8,978,000 | 8,303,000 |
Bank owned life insurance | 41,612,000 | 37,558,000 |
Accrued interest receivable | 1,215,000 | 991,000 |
Non-interest bearing | 451,803,000 | 331,331,000 |
Interest bearing | 1,205,936,000 | 998,489,000 |
Short term borrowings | 192,612,000 | 183,434,000 |
Long term borrowings | 38,107,000 | 37,843,000 |
Accrued Interest payable | 1,472,000 | 1,269,000 |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Cash and cash equivalents | ||
Loans receivable, net | 1,692,018,000 | 1,364,361,000 |
Loans held for sale, fair value | ||
Investment securities available for sale-at fair value | 14,658,000 | 8,172,000 |
Equity Securities at cost | ||
Bank owned life insurance | ||
Accrued interest receivable | 4,261,000 | 3,287,000 |
Non-interest bearing | ||
Interest bearing | ||
Short term borrowings | ||
Long term borrowings | ||
Accrued Interest payable |
Note 19 - Other Operating Ex109
Note 19 - Other Operating Expenses - Summary of Other Operating Expenses (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Legal Expenses | $ 247,723 | $ 253,129 | $ 337,033 |
Professional Fees | 688,000 | 439,954 | 285,267 |
Audit and Exam | 388,000 | 504,167 | 423,878 |
ATM expenses | 346,000 | 182,519 | 168,301 |
Other | 5,632,449 | 5,142,516 | 4,944,664 |
Total | $ 7,302,172 | $ 6,522,285 | $ 6,159,143 |
Note 20 - Parent Company - C110
Note 20 - Parent Company - Condensed Financial Information - Condensed Balance Sheets (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Cash and due from banks | $ 33,562,652 | $ 22,062,912 |
Other assets | 7,396,227 | 3,942,640 |
2,105,613,452 | 1,709,019,630 | |
Common stock | 125,083 | 109,109 |
Additional paid-in capital | 148,882,865 | 106,692,958 |
Retained earnings | 61,054,487 | 48,842,026 |
Accumulated other comprehensive income (loss) | (2,335,249) | (4,977,308) |
207,727,186 | 150,666,785 | |
2,105,613,452 | 1,709,019,630 | |
Parent Company [Member] | ||
Cash and due from banks | 4,856,350 | 5,441,189 |
Federal income tax receivable | 3,613,048 | 1,646,040 |
Other assets | 307,165 | 18,965 |
247,105,802 | 189,303,011 | |
Accounts payable | 1,271,687 | 793,659 |
Trust preferred | 4,031,170 | 3,874,004 |
Subordinated debt | 34,075,759 | 33,968,563 |
Common stock | 125,083 | 109,109 |
Additional paid-in capital | 148,882,865 | 106,692,958 |
Retained earnings | 61,054,487 | 48,842,026 |
Accumulated other comprehensive income (loss) | (2,335,249) | (4,977,308) |
207,727,186 | 150,666,785 | |
247,105,802 | 189,303,011 | |
Parent Company [Member] | Real Estate LLC [Member] | ||
Investment in and Advances to Affiliates, Subsidiaries, Associates and Joint Ventures | 4,004,969 | |
Parent Company [Member] | MD Statutory Trust [Member] | ||
Investment in and Advances to Affiliates, Subsidiaries, Associates and Joint Ventures | 202,000 | 202,000 |
Parent Company [Member] | Old Line Bank [Member] | ||
Investment in and Advances to Affiliates, Subsidiaries, Associates and Joint Ventures | $ 238,127,239 | $ 177,989,848 |
Note 20 - Parent Company - C111
Note 20 - Parent Company - Condensed Financial Information - Condensed Statements of Income (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Interest expense on loans | $ 68,132,398 | $ 56,031,146 | $ 47,948,411 |
Net interest and dividend income | 73,612,721 | 60,464,540 | 51,452,794 |
Non-interest income (loss) | 7,800,605 | 8,256,037 | 6,844,995 |
Non-interest expense | 44,843,047 | 39,643,166 | 36,275,683 |
Income before income taxes | 24,116,538 | 19,967,757 | 15,846,824 |
Income tax expense | 8,152,724 | 6,812,598 | 5,382,390 |
Parent Company [Member] | |||
Dividend from Old Line Bank | 3,751,353 | 2,603,947 | 2,245,508 |
Interest income on money market and certificates of deposit | 1,581 | ||
Interest expense on trust preferred and subordinated debt | (2,447,346) | (1,166,298) | |
Interest expense on loans | (9,081) | ||
Net interest and dividend income | 1,304,007 | 1,437,649 | 2,238,008 |
Non-interest income (loss) | (195,896) | (102,630) | (6,920) |
Non-interest expense | 3,870,509 | 1,386,530 | 982,216 |
Income before income taxes | (2,762,398) | (51,511) | 1,248,872 |
Income tax expense | (1,859,603) | (885,393) | (184,871) |
(902,795) | 833,882 | 1,433,743 | |
Undistributed net income of Old Line Bank | 16,866,609 | 12,321,215 | 9,034,843 |
Net income | $ 15,963,814 | $ 13,155,097 | $ 10,468,586 |
Note 20 - Parent Company - C112
Note 20 - Parent Company - Condensed Financial Information - Statements of Cash Flows (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Cash flows from operating activities | |||
Net income | $ 15,963,814 | $ 13,155,159 | $ 10,464,434 |
Adjustments to reconcile net income to net cash provided by operating activities | |||
Stock based compensation awards | 694,593 | 562,672 | 418,419 |
Increase (decrease) in other liabilities | (2,305,696) | 593,395 | (1,531,062) |
Other assets | 1,241,258 | 624,397 | (13,821) |
24,161,308 | 20,356,688 | 14,002,256 | |
Cash flows from investing activities | |||
Cash and cash equivalents of acquired company | 35,566,945 | 6,344,304 | |
(63,208,737) | (232,696,305) | (135,474,897) | |
Cash flows from financing activities | |||
Proceeds from stock options exercised, including tax benefit | 665,413 | 837,763 | 816,213 |
Acquisition cash consideration | (2,852,321) | ||
Purchase of minority member(s) interest | (258,181) | ||
Cash dividends paid-common stock | (3,751,353) | (2,603,947) | (2,245,508) |
50,758,369 | 192,102,096 | 139,768,597 | |
Net (decrease) increase in cash and cash equivalents | 11,710,940 | (20,237,521) | 18,295,956 |
Cash and cash equivalents at beginning of period | 23,463,171 | 43,700,692 | 25,404,736 |
Cash and cash equivalents at end of period | 35,174,111 | 23,463,171 | 43,700,692 |
Parent Company [Member] | |||
Cash flows from operating activities | |||
Net income | 15,963,814 | 13,155,097 | 10,468,586 |
Adjustments to reconcile net income to net cash provided by operating activities | |||
Undistributed net income of Old Line Bank | (16,866,609) | (12,321,215) | (9,034,843) |
Stock based compensation awards | 694,593 | 562,672 | 418,419 |
Loss from investment in real estate Pointer Ridge LLC | 195,896 | 102,630 | 6,920 |
(Increase) decrease in income tax receivable | (1,967,008) | (850,118) | |
Increase (decrease) in other liabilities | 635,194 | (75,822) | (212,192) |
Other assets | (288,200) | 88,752 | 294,811 |
(1,632,320) | 661,996 | 1,941,701 | |
Cash flows from investing activities | |||
Cash and cash equivalents of acquired company | (35,566,947) | (2,646,577) | |
Purchase Pointer Ridge LLC | 4,004,969 | (3,677,297) | |
Net cash to bank | 35,573,868 | (23,756,314) | |
4,011,890 | (27,433,611) | (2,646,577) | |
Cash flows from financing activities | |||
Proceeds from stock options exercised, including tax benefit | 679,748 | 837,763 | 815,843 |
Proceeds from issuance of common stock | (4,899,186) | ||
Acquisition cash consideration | 2,852,321 | ||
Subordinated debt issued | 107,196 | 33,968,563 | |
Purchase of minority member(s) interest | (258,181) | ||
Cash dividends paid-common stock | (3,751,353) | (2,603,948) | (2,245,508) |
(2,964,409) | 31,944,197 | (3,476,530) | |
Net (decrease) increase in cash and cash equivalents | (584,839) | 5,172,582 | (4,181,406) |
Cash and cash equivalents at beginning of period | 5,441,189 | 268,607 | 4,450,013 |
Cash and cash equivalents at end of period | $ 4,856,350 | $ 5,441,189 | $ 268,607 |