Document And Entity Information
Document And Entity Information - shares | 9 Months Ended | |
Sep. 30, 2018 | Nov. 01, 2018 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2018 | |
Document Fiscal Year Focus | 2,018 | |
Document Fiscal Period Focus | Q3 | |
Entity Registrant Name | SELECT BANCORP, INC. | |
Entity Central Index Key | 1,263,762 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Trading Symbol | SLCT | |
Entity Common Stock, Shares Outstanding | 19,298,521 | |
Entity Emerging Growth Company | false | |
Entity Small Business | false |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 | [1] |
ASSETS | |||
Cash and due from banks | $ 18,719 | $ 16,554 | |
Interest-earning deposits in other banks | 103,674 | 37,996 | |
Certificates of deposit | 1,000 | 1,500 | |
Federal Funds Sold | 0 | 6,645 | |
Investment securities available for sale, at fair value | 52,264 | 63,774 | |
Loans held for sale | 1,297 | 98 | |
Loans | 992,805 | 982,626 | |
Allowance for loan losses | (9,089) | (8,835) | |
NET LOANS | 983,716 | 973,791 | |
Accrued interest receivable | 4,023 | 3,997 | |
Stock in Federal Home Loan Bank of Atlanta ("FHLB"), at cost | 3,454 | 2,490 | |
Other non-marketable securities | 800 | 1,019 | |
Foreclosed real estate | 1,020 | 1,258 | |
Premises and equipment, net | 17,984 | 18,268 | |
Bank-owned life insurance | 28,944 | 28,431 | |
Goodwill | 24,579 | 24,904 | |
Core deposit intangible ("CDI") | 2,318 | 3,101 | |
Assets held for sale | 668 | 846 | |
Other assets | 7,696 | 9,463 | |
TOTAL ASSETS | 1,252,156 | 1,194,135 | |
Deposits: | |||
Demand | 242,266 | 227,066 | |
Savings | 51,403 | 69,503 | |
Money market and NOW | 259,109 | 250,864 | |
Time | 421,383 | 447,611 | |
TOTAL DEPOSITS | 974,161 | 995,044 | |
Short-term debt | 11,002 | 28,279 | |
Long-term debt | 57,372 | 19,372 | |
Accrued interest payable | 579 | 427 | |
Accrued expenses and other liabilities | 4,337 | 14,898 | |
TOTAL LIABILITIES | 1,047,451 | 1,058,020 | |
Shareholders' Equity: | |||
Preferred stock, no par value, 5,000,000 shares authorized; 0 shares issued and outstanding at September 30, 2018 and December 31, 2017 | 0 | 0 | |
Common stock, $1.00 par value, 25,000,000 shares authorized; 19,296,121 and 14,009,137 shares issued and outstanding at September 30, 2018 and December 31, 2017, respectively | 19,296 | 14,009 | |
Additional paid-in capital | 150,615 | 95,850 | |
Retained earnings | 35,186 | 25,858 | |
Common stock issued to deferred compensation trust, at cost; 298,388 and 280,432 shares at September 30, 2018 and December 31, 2017, respectively | (2,557) | (2,518) | |
Directors' Deferred Compensation Plan Rabbi Trust | 2,557 | 2,518 | |
Accumulated other comprehensive income (loss) | (392) | 398 | |
TOTAL SHAREHOLDERS' EQUITY | 204,705 | 136,115 | |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ 1,252,156 | $ 1,194,135 | |
[1] | Derived from audited consolidated financial statements. |
CONSOLIDATED BALANCE SHEETS _Pa
CONSOLIDATED BALANCE SHEETS [Parenthetical] - $ / shares | Sep. 30, 2018 | Dec. 31, 2017 |
Preferred stock, par value (in dollars per share) | $ 0 | $ 0 |
Preferred stock, shares authorized | 5,000,000 | 5,000,000 |
Preferred Stock, Shares Issued | 0 | 0 |
Preferred Stock, Shares Outstanding | 0 | 0 |
Common stock, par value (in dollars per share) | $ 1 | $ 1 |
Common stock, shares authorized | 25,000,000 | 25,000,000 |
Common stock, shares issued | 19,296,121 | 14,009,137 |
Common stock, shares outstanding | 19,296,121 | 14,009,137 |
Deferred Compensation, Share-based Payments [Member] | ||
Common stock, shares outstanding | 298,388 | 280,432 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
INTEREST INCOME | ||||
Loans | $ 13,609 | $ 9,592 | $ 40,293 | $ 27,323 |
Federal funds sold and interest-earning deposits in other banks | 422 | 143 | 940 | 350 |
Investments | 351 | 307 | 1,058 | 963 |
TOTAL INTEREST INCOME | 14,382 | 10,042 | 42,291 | 28,636 |
INTEREST EXPENSE | ||||
Money market, NOW and savings deposits | 338 | 140 | 977 | 360 |
Time deposits | 1,665 | 1,010 | 4,508 | 2,649 |
Short-term debt | 75 | 177 | 285 | 295 |
Long-term debt | 452 | 30 | 1,036 | 297 |
TOTAL INTEREST EXPENSE | 2,530 | 1,357 | 6,806 | 3,601 |
NET INTEREST INCOME | 11,852 | 8,685 | 35,485 | 25,035 |
PROVISION (RECOVERY) FOR LOAN LOSSES | (459) | 202 | 239 | 1,091 |
NET INTEREST INCOME AFTER PROVISION FOR LOAN LOSSES | 12,311 | 8,483 | 35,246 | 23,944 |
NON-INTEREST INCOME | ||||
Fees on the sale of mortgages | 109 | 0 | 293 | 0 |
Service charges on deposit accounts | 309 | 237 | 830 | 668 |
Other fees and income | 648 | 541 | 2,334 | 1,618 |
TOTAL NON-INTEREST INCOME | 1,066 | 778 | 3,457 | 2,286 |
NON-INTEREST EXPENSE | ||||
Personnel | 4,464 | 3,549 | 13,861 | 10,665 |
Occupancy and equipment | 849 | 555 | 2,598 | 1,619 |
Deposit insurance | 239 | 75 | 617 | 222 |
Professional fees | 322 | 211 | 1,012 | 782 |
CDI amortization | 247 | 82 | 784 | 263 |
Merger/acquisition related expenses | 0 | 278 | 1,826 | 278 |
Information systems | 726 | 569 | 2,773 | 1,607 |
Foreclosure-related expenses | (22) | 300 | 81 | 291 |
Other | 975 | 820 | 3,134 | 2,497 |
TOTAL NON-INTEREST EXPENSE | 7,800 | 6,439 | 26,686 | 18,224 |
INCOME BEFORE INCOME TAX | 5,577 | 2,822 | 12,017 | 8,006 |
INCOME TAXES | 1,256 | 1,043 | 2,689 | 2,776 |
NET INCOME | $ 4,321 | $ 1,779 | $ 9,328 | $ 5,230 |
NET INCOME PER COMMON SHARE | ||||
Basic | $ 0.27 | $ 0.15 | $ 0.64 | $ 0.45 |
Diluted | $ 0.27 | $ 0.15 | $ 0.63 | $ 0.45 |
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING | ||||
Basic | 15,858,455 | 11,662,580 | 14,636,576 | 11,659,139 |
Diluted | 15,916,734 | 11,717,533 | 14,697,379 | 11,711,830 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Net income | $ 4,321 | $ 1,779 | $ 9,328 | $ 5,230 |
Other comprehensive income (loss): | ||||
Unrealized gain (loss) on investment securities available for sale | (222) | (11) | (1,029) | 222 |
Tax effect | 50 | 5 | 239 | (80) |
Other Comprehensive Income (Loss), Unrealized Holding Gain (Loss) on Securities Arising During Period, Net of Tax | (172) | (6) | (790) | 142 |
Reclassification adjustment for gain included in net income | 0 | 0 | 0 | 0 |
Tax effect | 0 | 0 | 0 | 0 |
Other Comprehensive Income (Loss), Reclassification Adjustment for Sale of Securities Included in Net Income, Net of Tax | 0 | 0 | 0 | 0 |
Total | (172) | (6) | (790) | 142 |
Total comprehensive income | $ 4,149 | $ 1,773 | $ 8,538 | $ 5,372 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY - USD ($) $ in Thousands | Total | Preferred Stock [Member] | Common Stock [Member] | Additional paid-in Capital [Member] | Retained Earnings [Member] | Common Stock Issued to Deferred Compensation Trust [Member] | Deferred Comp Plan [Member] | Accumulated Other Comprehensive Income (loss) [Member] | |
Balance at Dec. 31, 2016 | $ 104,273 | $ 0 | $ 11,645 | $ 69,597 | $ 22,673 | $ (2,340) | $ 2,340 | $ 358 | |
Balance (in shares) at Dec. 31, 2016 | 0 | 11,645,413 | |||||||
Net income | 5,230 | $ 0 | $ 0 | 0 | 5,230 | 0 | 0 | 0 | |
Other comprehensive income (loss), net | 142 | 0 | 0 | 0 | 0 | 0 | 0 | 142 | |
Stock option exercises | 104 | $ 0 | $ 18 | 86 | 0 | 0 | 0 | 0 | |
Stock option exercises (in shares) | 0 | 17,208 | |||||||
Stock-based compensation | 70 | $ 0 | $ 0 | 70 | 0 | 0 | 0 | 0 | |
Director equity incentive plan, net | 0 | 0 | 0 | 0 | 0 | (73) | 73 | 0 | |
Balance at Sep. 30, 2017 | 109,819 | $ 0 | $ 11,663 | 69,753 | 27,903 | (2,413) | 2,413 | 500 | |
Balance (in shares) at Sep. 30, 2017 | 0 | 11,662,621 | |||||||
Balance at Dec. 31, 2017 | 136,115 | [1] | $ 0 | $ 14,009 | 95,850 | 25,858 | (2,518) | 2,518 | 398 |
Balance (in shares) at Dec. 31, 2017 | 0 | 14,009,137 | |||||||
Net income | 9,328 | $ 0 | $ 0 | 0 | 9,328 | 0 | 0 | 0 | |
Other comprehensive income (loss), net | (790) | 0 | 0 | 0 | 0 | 0 | 0 | (790) | |
Shares issued for capital raise, net | 59,806 | $ 0 | $ 5,271 | 54,535 | 0 | 0 | 0 | 0 | |
Shares issued for capital raise, net (in shares) | 0 | 5,270,834 | |||||||
Stock option exercises | 113 | $ 0 | $ 16 | 97 | 0 | 0 | 0 | 0 | |
Stock option exercises (in shares) | 0 | 16,150 | |||||||
Stock-based compensation | 133 | $ 0 | $ 0 | 133 | 0 | 0 | 0 | 0 | |
Director equity incentive plan, net | 0 | 0 | 0 | 0 | 0 | (39) | 39 | 0 | |
Balance at Sep. 30, 2018 | $ 204,705 | $ 0 | $ 19,296 | $ 150,615 | $ 35,186 | $ (2,557) | $ 2,557 | $ (392) | |
Balance (in shares) at Sep. 30, 2018 | 0 | 19,296,121 | |||||||
[1] | Derived from audited consolidated financial statements. |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2017 | |
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Net income | $ 9,328 | $ 5,230 |
Adjustments to reconcile net income to net cash (used)provided by operating activities: | ||
Provision for loan losses | 239 | 1,091 |
Depreciation and amortization of premises and equipment | 1,305 | 862 |
Amortization and accretion of investment securities | 455 | 419 |
Amortization of deferred loan fees and costs | (543) | (438) |
Amortization of core deposit intangible | 784 | 263 |
Stock-based compensation | 133 | 70 |
Accretion on acquired loans | (2,647) | (633) |
Amortization of acquisition premium on time deposits | (171) | (229) |
Net accretion of acquisition discount on borrowings | (11) | (87) |
Increase in cash surrender value of bank-owned life insurance | (513) | (427) |
Proceeds from loans held for sale | 18,317 | 0 |
Originations of loans held for sale | (19,223) | 0 |
Fees on the sale of mortgages | (293) | 0 |
Net loss on sale and write-downs of foreclosed real estate | 100 | 214 |
Loss (gain) on sale of premises and equipment | 179 | (9) |
Net write-down on assets held for sale | 178 | 0 |
Change in assets and liabilities: | ||
Net change in accrued interest receivable | (26) | (181) |
Net change in other assets | 2,330 | (494) |
Net change in accrued expenses and other liabilities | (10,409) | 593 |
NET CASH (USED) PROVIDED BY OPERATING ACTIVITIES | (488) | 6,244 |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
(Purchase) redemption of FHLB stock | (964) | 539 |
Redemption of non-marketable securities | 219 | 73 |
Purchase of investment securities available for sale | 0 | (759) |
Maturities of investment securities available for sale | 1,400 | 4,255 |
Mortgage-backed securities pay-downs | 8,626 | 4,859 |
Net change in loans outstanding | (7,493) | (88,516) |
Proceeds from sale of foreclosed real estate | 657 | 787 |
Purchases of premises and equipment | (1,200) | (275) |
NET CASH (USED) PROVIDED BY INVESTING ACTIVITIES | 1,245 | (79,037) |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
Net change in deposits | (20,712) | 95,590 |
Repayments on short-term debt | (17,266) | (14,724) |
Proceeds from long-term debt | 38,000 | 0 |
Repayments on long-term debt | 0 | (10,580) |
Proceeds from issuance of common stock | 63,250 | 0 |
Direct expenses related to capital transactions | (3,444) | 0 |
Proceeds from stock option exercises | 113 | 104 |
NET CASH PROVIDED BY FINANCING ACTIVITIES | 59,941 | 70,390 |
NET CHANGE IN CASH AND CASH EQUIVALENTS | 60,698 | (2,403) |
CASH AND CASH EQUIVALENTS, BEGINNING | 62,695 | 55,714 |
CASH AND CASH EQUIVALENTS, ENDING | 123,393 | 53,311 |
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION | ||
Cash paid during the period for: Interest | 6,654 | 3,520 |
Cash paid during the period for: Income Taxes | 1,529 | 2,322 |
Non-cash transactions: | ||
Unrealized (losses) gains on investment securities available for sale, net of tax | (790) | 142 |
Transfers from loans to foreclosed real estate | $ 519 | $ 2,495 |
BASIS OF PRESENTATION
BASIS OF PRESENTATION | 9 Months Ended |
Sep. 30, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block] | NOTE A - BASIS OF PRESENTATION Select Bancorp, Inc. (the “Company”) is a bank holding company whose principal business activity consists of ownership of Select Bank & Trust Company (referred to as the “Bank”). In 2004, the Company formed New Century Statutory Trust I, which issued trust preferred securities to provide additional capital for general corporate purposes, including the current and future expansion of the Company. New Century Statutory Trust I is not a consolidated subsidiary of the Company. On July 25, 2014 the Company changed its name from New Century Bancorp, Inc. to Select Bancorp, Inc. following its acquisition by merger of Select Bancorp, Inc., Greenville, NC (which we refer to herein as “Legacy Select”). The Company is subject to the rules and regulations of the Board of Governors of the Federal Reserve System and the North Carolina Commissioner of Banks. The Bank was originally incorporated as New Century Bank on May 19, 2000 and began banking operations on May 24, 2000. On July 25, 2014, the Company acquired Select Bank & Trust Company, Greenville, North Carolina, and changed the Bank’s legal name to Select Bank & Trust Company. On December 15, 2017, the Company acquired Premara Financial, Inc. and its subsidiary Carolina Premier Bank through the merger of Premara with and into the Company, followed immediately by the merger of Carolina Premier with and into the Bank. The Bank continues as the only banking subsidiary of the Company with its headquarters and operations center located in Dunn, NC. The Bank is engaged in general commercial and retail banking in central and eastern North Carolina, as well as in Charlotte, North Carolina and northwest South Carolina. The Bank is subject to the supervision and regulation of the Federal Deposit Insurance Corporation and the North Carolina Commissioner of Banks. All significant inter-company transactions and balances have been eliminated in consolidation. In management’s opinion, the financial information, which is unaudited, reflects all adjustments (consisting solely of normal recurring adjustments) necessary for a fair presentation of the financial information as of and for the three- and nine-month periods ended September 30, 2018 and 2017, in conformity with accounting principles generally accepted in the United States of America (“GAAP”). The preparation of consolidated financial statements requires management to make estimates and assumptions that affect reported amounts of assets and liabilities at the date of the financial statements, as well as the amounts of income and expense during the reporting period. Actual results could differ from those estimates. Operating results for the three- and nine-month periods ended September 30, 2018 are not necessarily indicative of the results that may be expected for the fiscal year ending December 31, 2018. The organization and business of the Company, accounting policies followed by the Company and other relevant information are contained in the notes to the financial statements filed as part of the Company’s 2017 Annual Report on Form 10-K, filed with the Securities and Exchange Commission (“SEC”) on March 16, 2018. This quarterly report should be read in conjunction with the Annual Report. Certain reclassifications of the information in prior periods were made to conform to the September 30, 2018 presentation. Such reclassifications had no effect on shareholders’ equity or net income as previously reported. |
PER SHARE RESULTS
PER SHARE RESULTS | 9 Months Ended |
Sep. 30, 2018 | |
Earnings Per Share [Abstract] | |
Earnings Per Share [Text Block] | NOTE B - PER SHARE RESULTS Basic net income per share is computed based upon the weighted average number of shares of common stock outstanding during the period. Diluted net income per share includes the dilutive effect of stock options outstanding during the period. At September 30, 2018 and 2017 there were 119,800 and 152,300 anti-dilutive options outstanding, respectively. Three Months Ended Nine Months Ended September 30, September 30, 2018 2017 2018 2017 Weighted average shares used for basic net income available to common shareholders 15,858,455 11,662,580 14,636,576 11,659,139 Effect of dilutive stock options 58,279 54,953 60,803 52,691 Weighted average shares used for diluted net income available to common shareholders 15,916,734 11,717,533 14,697,379 11,711,830 |
RECENT ACCOUNTING PRONOUNCEMENT
RECENT ACCOUNTING PRONOUNCEMENTS | 9 Months Ended |
Sep. 30, 2018 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
New Accounting Pronouncements and Changes in Accounting Principles [Text Block] | NOTE C - RECENT ACCOUNTING PRONOUNCEMENTS The following summarizes recent accounting pronouncements and their expected impact on the Company: In February 2018, the Financial Accounting Standards Board (the “FASB”) issued Accounting Standards Update (“ASU”) 2018-02, Income Statement - Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income. This ASU requires a reclassification from accumulated other comprehensive income (“AOCI”) to retained earnings for stranded tax effects resulting from the newly enacted federal corporate income tax rate in the Tax Cuts and Jobs Act of 2017 (the “Tax Act”), which was enacted on December 22, 2017. The Tax Act included a reduction to the corporate income tax rate from 35 percent to 21 percent effective January 1, 2018. The amount of the reclassification would be the difference between the historical corporate income tax rate and the newly enacted 21 percent corporate income tax rate. The amendments in this ASU are effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The Company early adopted this pronouncement by retrospective application to each period in which the effect of the change in the tax rate under the Tax Act is recognized. The impact of the reclassification from accumulated other comprehensive income to retained earnings of $67,000 was included in the Statement of Changes in Shareholders’ Equity for the year ended December 31, 2017. ASU 2014-09, Revenue from Contracts with Customers (Topic 606), ASU 2015-14, Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date, ASU 2016-08, Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations (Reporting Revenue Gross versus Net), ASU 2016-10, Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing, ASU 2016-11, Revenue Recognition (Topic 605) and Derivatives and Hedging (Topic 815): Rescission of SEC Guidance Because of Accounting Standards Updates 2014-09 and 2014-16 Pursuant to Staff Announcements at the March 3, 2016 EITF Meeting , ASU 2016-12, Revenue from Contracts with Customers (Topic 606): Narrow-Scope Improvements and Practical Expedients, ASU 2016-20, Technical Corrections and Improvements to Topic 606, Revenue from Contracts with Customers, and ASU 2017-05, Other Income - Gains and losses from the Derecognition of Nonfinancial Assets (Subtopic 610-20) - Clarifying the Scope of Asset Derecognition Guidance and Accounting for Partial Sales of Nonfinancial Assets —The new guidance, which does not apply to financial instruments, provides that revenue should be recognized for the transfer of goods and services to customers in an amount equal to the consideration it receives or expects to receive. The guidance also includes expanded disclosure requirements that provide comprehensive information about the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers. This guidance is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2017. The Company adopted ASU 2014-09 and its related amendments on its required effective date of January 1, 2018 utilizing the modified retrospective approach. Since there was no net income impact upon adoption of the new guidance, a cumulative effect adjustment to opening retained earnings was not necessary. See Note H, Revenue Recognition, for more information. In January 2016, the FASB issued ASU No. 2016-01, Financial Instruments - Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities . The amendments in this ASU (i) require equity investments, with certain exceptions, to be measured at fair value with changes in fair value recognized in net income, (ii) simplify the impairment assessment of equity investments without readily determinable fair values by requiring a qualitative assessment to identify impairment, (iii) eliminate the requirement for public business entities to disclose the methods and significant assumptions used to estimate the fair value that is required to be disclosed for financial instruments measured at amortized cost on the balance sheet, (iv) require public business entities to use the exit price notion when measuring the fair value of financial instruments for disclosure purposes, (v) require an entity to present separately in other comprehensive income the portion of the total change in the fair value of a liability resulting from a change in the instrument-specific credit risk when the entity has elected to measure the liability at fair value in accordance with the fair value option for financial instruments, (vi) require separate presentation of financial assets and financial liabilities by measurement category and form of financial asset on the balance sheet or the accompanying notes to the financial statements and (vii) clarify that an entity should evaluate the need for a valuation allowance on a deferred tax asset related to available-for-sale securities in combination with the entity’s other deferred tax assets. The accounting guidance is effective for fiscal years, and interim periods within those years, beginning after December 15, 2017. Early adoption is prohibited except for the presentation in other comprehensive income of the portion of the total change in the fair value of a liability resulting from a change in the instrument-specific credit risk which may be adopted early. The guidance did not have a significant impact on the Company's financial position, results of operations or disclosures. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842). ASU 2016-02 applies a right-of-use (“ROU”) model that requires a lessee to record, for all leases with a lease term of more than 12 months, an asset representing its right to use the underlying asset and a liability to make lease payments. For leases with a term of 12 months or less, a practical expedient is available whereby a lessee may elect, by class of underlying asset, not to recognize an ROU asset or lease liability. At inception, lessees must classify all leases as either finance or operating based on five criteria. Balance sheet recognition of finance and operating leases is similar, but the pattern of expense recognition in the income statement, as well as the effect on the statement of cash flows, differs depending on the lease classification. For public business entities, the amendments in ASU 2016-02 are effective for interim and annual periods beginning after December 15, 2018. In transition, lessees and lessors are required to recognize and measure leases at the beginning of the earliest period presented using a modified retrospective approach which includes a number of optional practical expedients that entities may elect to apply. The Company has reviewed its outstanding lease agreements and has centrally documented the terms of its leases. The Company is currently evaluating the provisions of ASU 2016-02 in relation to its outstanding leases to determine the potential impact the new standard will have to the Company’s financial statements. In July 2018, the FASB amended the Leases Topic of the Accounting Standards Codification to make narrow amendments to clarify how to apply certain aspects of the new standard. The amendments are effective for reporting periods beginning after December 15, 2018 . The Company does not expect these amendments to have a material effect on its financial statements. In July 2018, the FASB amended the Leases Topic of the Accounting Standards Codification to give entities another option for transition and to provide lessors with a practical expedient. The amendments will be effective for the Company for reporting periods beginning after December 15, 2018. The Company does not expect these amendments to have a material effect on its financial statements. In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, guidance to change the accounting for credit losses and modify the impairment model for certain debt securities. ASU 2016-13 requires an entity to utilize a new impairment model known as the current expected credit loss ("CECL") model to estimate its lifetime "expected credit loss" and record an allowance that, when deducted from the amortized cost basis of the financial asset, presents the net amount expected to be collected on the financial asset. The CECL model is expected to result in earlier recognition of credit losses. ASU 2016-13 also requires new disclosures for financial assets measured at amortized cost, loans and available-for-sale debt securities. The updated guidance is effective for interim and annual reporting periods beginning after December 15, 2019, including interim periods within those fiscal years. Early adoption is permitted. Entities will apply the standard's provisions as a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is adopted. The Company has dedicated staff and resources in place evaluating the Company’s options including evaluating the appropriate model options and collecting and reviewing loan data for use in these models. The Company is still assessing the impact that this new guidance will have on its consolidated financial statements. In August 2016, the FASB amended ASU 2016-15, Statement of Cash Flows (Topic 230): Classifications of Certain Cash Receipts and Cash Payments, of the Accounting Standards Codification to clarify how certain cash receipts and cash payments are presented and classified in the statement of cash flows. The amendments were effective for the Company January 1, 2018 and did not have a material effect on its financial statements. In January 2017, the FASB ASU 2017-04, Intangibles - Goodwill and Other (Topic 350):Simplifying the Test for Goodwill Impairment, was amended to simplify the accounting for goodwill impairment for public business entities and other entities that have goodwill reported in their financial statements and have not elected the private company alternative for the subsequent measurement of goodwill. The amendment removes Step 2 of the goodwill impairment test. A goodwill impairment will now be the amount by which a reporting unit’s carrying value exceeds its fair value, not to exceed the carrying amount of goodwill. The effective date and transition requirements for the technical corrections will be effective for the Company for reporting periods beginning after December 15, 2019. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. The Company does not expect these amendments to have a material effect on its financial statements. In February 2017, the FASB issued ASU 2017-05, Other Income – Gains and Losses from the Derecognition of Nonfinancial Assets (Subtopic 610-20) clarified the scope of the guidance on nonfinancial asset derecognition as well as the accounting for partial sales of nonfinancial assets. The amendments conform the derecognition guidance on nonfinancial assets with the model for transactions in the new revenue standard. The amendments were effective for the Company in January 2018 and did not have a material effect on its financial statements. In February 2018, the FASB issued ASU 2018-03, Technical Corrections and Improvements to Financial Instruments—Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities to clarify certain aspects of the guidance issued in ASU 2016-01. The amendments will be effective for the third quarter of 2018 subsequent to adopting the amendments in ASU 2016-01. All entities may early adopt these amendments for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years, as long as they have adopted ASU 2016-01. The Company does not expect these amendments to have a material effect on the Company’s financial statements. In March 2018, the FASB issued ASU 2018-4, Investments—Debt Securities (Topic 320) and Regulated Operations (Topic 980): Amendments to SEC Paragraphs Pursuant to SEC Staff Accounting Bulletin No. 117 and SEC Release No. 33-9273 which incorporate into the Accounting Standards Codification recent SEC guidance which was issued in order to make the relevant interpretive guidance consistent with current authoritative accounting and auditing guidance and SEC rules and regulations. The amendments were effective upon issuance. These amendments did not have a material effect on its financial statements. In March 2018, the FASB issued ASU 2018-05, – Amendments to SEC Paragraphs Pursuant to SEC Staff Accounting Bulletin No. 118 (SEC Update), which updated the Income Taxes Topic of the Accounting Standards Codification. The amendments incorporate into the Accounting Standards Codification recent SEC guidance related to the income tax accounting implications of the Tax Act. The amendments were effective upon issuance. These amendments did not have a material effect on the Company’s financial statements. In August 2018, the FASB amended the Fair Value Measurement Topic of the Accounting Standards Codification. The amendments remove, modify, and add certain fair value disclosure requirements based on the concepts in the FASB Concepts Statement, Conceptual Framework for Financial Reporting—Chapter 8: Notes to Financial Statements . The amendments are effective for all entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. Early adoption is permitted. An entity is permitted to early adopt any removed or modified disclosures upon issuance of this ASU and delay adoption of the additional disclosures until their effective date. The Company does not expect these amendments to have a material effect on its financial statements. From time to time, the FASB issues exposure drafts for proposed statements of financial accounting standards. Such exposure drafts are subject to comment from the public, to revisions by the FASB and to final issuance by the FASB as statements of financial accounting standards. Management considers the effect of the proposed statements on the consolidated financial statements of the Company and monitors the status of changes to and proposed effective dates of exposure drafts. |
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS | 9 Months Ended |
Sep. 30, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair Value Disclosures [Text Block] | NOTED D - FAIR VALUE MEASUREMENTS Accounting Standards Codification (“ASC”) 820 defines fair value, establishes a framework for measuring fair value, and expands disclosures about fair value measurements. ASC 820 does not require any new fair value measurements, but clarifies and standardizes some divergent practices that have emerged since prior guidance was issued. ASC 820 creates a three-level hierarchy under which individual fair value estimates are to be ranked based on the relative reliability of the inputs used in the valuation. Fair value estimates are made at a specific moment in time, based on relevant market information and information about the financial instrument. These estimates do not reflect any premium or discount that could result from offering for sale at one time the Company’s entire holdings of a particular financial instrument. Because no active market readily exists for a portion of the Company’s financial instruments, fair value estimates are based on judgments regarding future expected loss experience, current economic conditions, risk characteristics of various financial instruments, and other factors. These estimates are subjective in nature and involve uncertainties and matters of significant judgment and, therefore, cannot be determined with precision. Changes in assumptions could significantly affect the estimates. The following methods and assumptions were used to estimate the fair value of each class of financial instruments for which it is practicable to estimate that value: Fair Value Hierarchy The Company groups assets and liabilities at fair value in three levels, based on the markets in which the assets and liabilities are traded and the reliability of the assumptions used to determine fair value. These levels are: • Level 1 – Valuation is based upon quoted prices for identical instruments traded in active markets. • Level 2 – Valuation is based upon quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active and model-based valuation techniques for which all significant assumptions are observable in the market. • Level 3 – Valuation is generated from model-based techniques that use at least one significant assumption not observable in the market. These unobservable assumptions reflect estimates of assumptions that market participants would use in pricing the asset or liability. Valuation techniques include use of option pricing models, discounted cash flow models and similar techniques. The following is a description of valuation methodologies used for assets and liabilities recorded at fair value on a recurring basis. Investment Securities Available-for-Sale (“AFS”) Investment securities available-for-sale are recorded at fair value on a recurring basis. Fair value measurement is based upon quoted prices, if available. If quoted prices are not available, fair values are measured using independent pricing models or other model-based valuation techniques such as the present value of future cash flows, adjusted for the security’s credit rating, prepayment assumptions and other factors such as credit loss assumptions. Level 1 securities include those traded on an active exchange, such as the New York Stock Exchange, U.S. Treasury securities that are traded by dealers or brokers in active over-the-counter markets and money market funds. Level 2 securities include U.S. government agency securities, mortgage-backed securities issued by government-sponsored entities (“GSE’s”), and municipal bonds. There have been no changes in valuation techniques for the three and nine months ended September 30, 2018. Valuation techniques are consistent with techniques used in prior periods. The following tables summarize quantitative disclosures about the fair value measurement for each category of assets carried at fair value on a recurring basis as of September 30, 2018 and December 31, 2017 (in thousands): Investment securities available for sale September 30, 2018 Fair value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) U.S. government agencies – GSE's $ 9,922 $ - $ 9,922 $ - Mortgage-backed securities - GSE’s 23,637 - 23,637 - Corporate Bonds 1,706 - 1,706 - Municipal bonds 16,999 - 16,999 - Total investments held for sale $ 52,264 $ - $ 52,264 $ - Investment securities available for sale December 31, 2017 Fair value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) U.S. government agencies – GSE's $ 13,364 $ - $ 13,364 $ - Mortgage-backed securities - GSE’s 29,684 - 29,684 - Corporate Bonds 1,888 - 1,888 - Municipal bonds 18,838 - 18,838 - Total investments held for sale $ 63,774 $ - $ 63,774 $ - The following is a description of valuation methodologies used for assets recorded at fair value on a non-recurring basis. Impaired Loans The Company does not record loans at fair value on a recurring basis. However, from time to time, a loan is considered impaired and an allowance for loan losses is established. Loans for which it is probable that payment of interest and principal will not be made in accordance with the contractual terms of the loan agreement are considered impaired. Once a loan is identified as individually impaired, management measures impairment in accordance with ASC 310 “Receivables.” The fair value of impaired loans is estimated using one of several methods, including collateral value, market value of similar debt, enterprise value, or liquidation value and discounted cash flows. Those impaired loans not requiring an allowance represent loans for which the fair value of the expected repayments or collateral exceed the recorded investments in such loans. At September 30, 2018 and December 31, 2017, substantially all of the total impaired loans were evaluated based on the fair value of the collateral. Impaired loans where an allowance is established based on the fair value of collateral require classification in the fair value hierarchy. When the fair value of the collateral is based on an observable market price or a current appraised value, the Company records the impaired loan as non-recurring Level 2. When an appraised value is not available or management determines the fair value of the collateral is further impaired below the appraised value and there is no observable market price, the Company records the impaired loan as non-recurring Level 3. The significant unobservable input used in the fair value measurement of the Company’s impaired loans is the discount applied to appraised values to account for expected liquidation and selling costs. At September 30, 2018, the discounts to appraised value used are weighted between 3% and 50%. There were no transfers between levels from the prior reporting periods, and there have been no changes in valuation techniques for the three months ended September 30, 2018. Foreclosed Real Estate Foreclosed real estate are properties recorded at estimated fair value less estimated selling costs. Inputs include appraised values on the properties or recent sales activity for similar assets in the property’s market. Therefore, foreclosed real estate is classified within Level 3 of the hierarchy. The significant unobservable input used in the fair value measurement of the Company’s foreclosed real estate is the discount applied to appraised values to account for expected liquidation and selling costs. At September 30, 2018, the discounts used ranged between 6% and 10%. There have been no changes in valuation techniques for the three months ended September 30, 2018. Assets Held for Sale During 2015, a branch facility was taken out of service as part of the Company’s branch restructuring plan and reclassified as held for sale. The property is recorded at the remaining book balance of the asset or an estimated fair value less estimated selling costs, whichever is less. Inputs include appraised values on the properties or recent sales activity for similar assets in the property’s market. The significant unobservable input used is the discount applied to appraised values to account for expected liquidation and selling costs which ranged between 1% and 25% at September 30, 2018. There have been no changes in the valuation techniques for the three months ended September 30, 2018. Loans Held for Sale The Company originated fixed and variable rate residential mortgage loans on a service-release basis in the secondary market. Loans closed but not yet settled with an investor are carried in our loans held for sale portfolio. Virtually all of these loans have commitments to be purchased by investors and the majority of these loans were locked in by price with the investors on the same day or shortly thereafter that the loan was locked in with our customers. Therefore, these loans present very little market risk. The Company usually delivers to, and receives funding from, the investor within 30 to 60 days. Commitments to sell these loans to the investor are considered derivative contracts and are sold to investors on a “best efforts” basis. The Company is not obligated to deliver a loan or pay a penalty if a loan is not delivered to the investor. Because of the short-term nature of these derivative contracts, the fair value of the mortgage loans held for sale in most cases is materially the same as the value of the loan amount at its origination . Mortgage loans originated and intended for sale in the secondary market are carried at the lower of cost or estimated market value in the aggregate. Therefore, loans held for sale are classified within Level 2 of the hierarchy. Net unrealized losses are provided for in a valuation allowance by charges to operations as a component of mortgage banking income. Gains or losses on sales of loans are recognized when control over these assets are surrendered and are included in Fees on the sale of mortgages in the consolidated statements of operations. The following tables summarize quantitative disclosures about the fair value measurement for each category of assets carried at fair value on a non-recurring basis as of September 30, 2018 and December 31, 2017 (in thousands): Asset Category September 30, 2018 Fair value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Impaired loans $ 2,740 $ - $ - $ 2,740 Loans held for sale 1,297 - 1,297 - Assets held for sale 668 - - 668 Foreclosed real estate 1,020 - - 1,020 Total $ 5,725 $ - $ 1,297 $ 4,428 Asset Category December 31, 2017 Fair value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Impaired loans $ 899 $ - $ - $ 899 Loans held for sale 98 - 98 - Assets held for sale 846 - - 846 Foreclosed real estate 1,258 - - 1,258 Total $ 3,101 $ - $ 98 $ 3,003 The following table presents the carrying values and estimated fair values of the Company's financial instruments at September 30, 2018 and December 31, 2017: September 30, 2018 Carrying Estimated Amount Fair Value Level 1 Level 2 Level 3 (In thousands) Financial assets: Cash and due from banks $ 18,719 $ 18,719 $ 18,719 $ - $ - Certificates of deposit 1,000 1,000 1,000 - - Interest-earning deposits in other banks 103,674 103,674 103,674 - - Investment securities available for sale 52,264 52,264 - 52,264 - Loans held for sale 1,297 1,297 - 1,297 - Loans, net 983,716 974,217 - - 974,217 Accrued interest receivable 4,023 4,023 - 4,023 - Stock in FHLB 3,454 3,454 - - 3,454 Other non-marketable securities 800 800 - - 800 Assets held for sale 668 668 - - 668 Financial liabilities: Deposits $ 974,161 $ 975,215 $ - $ 975,215 $ - Short-term debt 11,002 11,002 - 11,002 - Long-term debt 57,372 55,198 - 55,198 - Accrued interest payable 579 579 - 579 - December 31, 2017 Carrying Estimated Amount Fair Value Level 1 Level 2 Level 3 (dollars in thousands) Financial assets: Cash and due from banks $ 16,554 $ 16,554 $ 16,554 $ - $ - Certificates of deposits 1,500 1,500 1,500 - - Interest-earning deposits in other banks 37,996 37,996 37,996 - - Federal funds sold 6,645 6,645 6,645 - - Investment securities available for sale 63,774 63,774 - 63,774 - Loans held for sale 98 98 - 98 - Loans, net 973,791 972,475 - - 972,475 Accrued interest receivable 3,997 3,997 - 3,997 - Stock in the FHLB 2,490 2,490 - - 2,490 Other non-marketable securities 1,019 1,019 - - 1,019 Assets held for sale 846 846 - - 846 Financial liabilities: Deposits $ 995,044 $ 991,977 $ - $ 991,977 $ - Short-term debt 28,279 28,279 - 28,279 - Long-term debt 19,372 14,640 - 14,640 - Accrued interest payable 427 427 - 427 - |
INVESTMENT SECURITIES
INVESTMENT SECURITIES | 9 Months Ended |
Sep. 30, 2018 | |
Investments, Debt and Equity Securities [Abstract] | |
Investments in Debt and Marketable Equity Securities (and Certain Trading Assets) Disclosure [Text Block] | NOTE E - INVESTMENT SECURITIES The amortized cost and fair value of available for sale investments (“AFS”), with gross unrealized gains and losses, follow: September 30, 2018 Gross Gross Amortized unrealized unrealized Fair cost gains losses value (dollars in thousands) Securities available for sale: U.S. government agencies – GSE’s $ 10,077 $ 16 $ (171 ) $ 9,922 Mortgage-backed securities – GSE’s 24,025 61 (449 ) 23,637 Corporate bonds 1,697 16 (7 ) 1,706 Municipal bonds 16,974 73 (48 ) 16,999 $ 52,773 $ 166 $ (675 ) $ 52,264 As of September 30, 2018, accumulated other comprehensive income included net unrealized losses totaling $509,000. Deferred tax liabilities resulting from these net unrealized gains totaled $117,000. The amortized cost and fair value of AFS investments, with gross unrealized gains and losses, follow: December 31, 2017 Gross Gross Amortized unrealized unrealized Fair cost gains losses value (dollars in thousands) Securities available for sale: U.S. government agencies – GSE’s $ 13,241 $ 148 $ (25 ) $ 13,364 Mortgage-backed securities – GSE’s 29,571 213 (100 ) 29,684 Corporate bonds 1,858 44 (14 ) 1,888 Municipal bonds 18,583 255 - 18,838 $ 63,253 $ 660 $ (139 ) $ 63,774 As of December 31, 2017, accumulated other comprehensive income included net unrealized gains totaling $521,000. Deferred tax liabilities resulting from these net unrealized gains totaled $123,000. The scheduled maturities of securities available for sale, with gross unrealized gains and losses, were as follows: September 30, 2018 Gross Gross Amortized unrealized unrealized Fair cost gains losses value (In thousands) Securities available for sale: Within 1 year $ 2,779 $ 13 $ (1 ) $ 2,791 After 1 year but within 5 years 35,845 81 (566 ) 35,360 After 5 years but within 10 years 5,197 29 (65 ) 5,161 After 10 years 8,952 43 (43 ) 8,952 $ 52,773 $ 166 $ (675 ) $ 52,264 December 31, 2017 Gross Gross Amortized unrealized unrealized Fair cost gains losses value (dollars in thousands) Securities available for sale: Within 1 year $ 975 $ 5 $ - $ 980 After 1 year but within 5 years 45,418 406 (125 ) 45,699 After 5 years but within 10 years 7,823 81 (14 ) 7,890 After 10 years 9,037 168 - 9,205 $ 63,253 $ 660 $ (139 ) $ 63,774 Securities with a carrying value of $6.5 million and $7.5 million at September 30, 2018 and December 31, 2017, respectively, were pledged to secure public monies on deposit as required by law, customer repurchase agreements, and access to the Federal Reserve Discount Window. None of the unrealized losses relate to the liquidity of the securities or the issuer’s ability to honor redemption obligations the Company has the intent and ability to hold these securities to recovery. No other than temporary impairments were identified for these investments having unrealized losses for the periods ended September 30, 2018 and December 31, 2017. The Company did not sell any securities in 2017 and has not sold any securities in the first nine months of 2018. The following tables show the gross unrealized losses and fair value of the Company’s investment securities, aggregated by investment category and length of time that the individual securities have been in a continuous unrealized loss position, at September 30, 2018 and December 31, 2017. September 30, 2018 Less Than 12 Months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized value losses value losses value losses (dollars in thousands) Securities available for sale: U.S. government agencies – GSE’s $ 5,930 $ (93 ) $ 1,953 $ (78 ) $ 7,883 $ (171 ) Mortgage-backed securities- GSE’s 12,879 (252 ) 6,397 (197 ) 19,276 (449 ) Corporate bonds 754 (7 ) - - 754 (7 ) Municipal bonds 6,308 (46 ) 106 (2 ) 6,414 (48 ) Total temporarily impaired securities $ 25,871 $ (398 ) $ 8,456 $ (277 ) $ 34,327 $ (675 ) There were seven mortgage-backed GSE’s with unrealized losses for more than twelve months totaling $197,000, two U.S. government agency GSEs totaling $78,000 and one municipal totaling $2,000 at September 30, 2018. Securities with unrealized losses less than twelve months consisted of twelve U.S. government agency GSEs totaling $93,000, twelve municipals totaling $46,000, one corporate bond totaling $7,000 and twenty-two mortgage-backed GSEs totaling $252,000 at September 30, 2018. All unrealized losses are attributable to the general trend of increasing interest rates. During the first nine months of 2018 and 2017 there were no investment security sales. December 31, 2017 Less Than 12 Months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized value losses value losses value losses (dollars in thousands) Securities available for sale: U.S. government agencies – GSE’s $ 1,651 $ (9 ) $ 1,415 $ (16 ) $ 3,066 $ (25 ) Mortgage-backed securities-GSE’s 8,137 (55 ) 2,449 (45 ) 10,586 (100 ) Corporate bonds 1,752 (14 ) - - 1,752 (14 ) Municipal bonds 1,101 - - - 1,101 - Total temporarily impaired securities $ 12,641 $ (78 ) $ 3,864 $ (61 ) $ 16,505 $ (139 ) At December 31, 2017, the Company had two mortgage-backed GSE’s and two U.S Government agencies – GSE’s with an aggregate unrealized loss for twelve or more consecutive months of $61,000. Two U.S. government agency GSE’s, three municipals, two corporates and nine mortgage-backed GSE’s had unrealized losses for less than twelve months totaling $78,000 at December 31, 2017. All unrealized losses are attributable to the general trend of interest rates and the changing spreads of all debt instruments to U.S. Treasury securities. The Company did not incur a loss on any securities sold during 2017. |
LOANS
LOANS | 9 Months Ended |
Sep. 30, 2018 | |
Loans and Leases Receivable Disclosure [Abstract] | |
Loans, Notes, Trade and Other Receivables Disclosure [Text Block] | NOTE F - LOANS Following is a summary of the composition of the Company’s loan portfolio at September 30, 2018 and December 31, 2017: September 30, December 31, Total Loans: 2018 2017 Percent Percent Amount of total Amount of total (dollars in thousands) Real estate loans: 1-to-4 family residential $ 163,245 16.44 % $ 156,901 15.97 % Commercial real estate 460,356 46.37 % 403,100 41.02 % Multi-family residential 65,294 6.58 % 76,983 7.83 % Construction 162,873 16.41 % 177,933 18.11 % Home equity lines of credit (“HELOC”) 50,093 5.05 % 52,606 5.35 % Total real estate loans 901,861 90.85 % 867,523 88.28 % Other loans: Commercial and industrial 80,338 8.09 % 106,164 10.80 % Loans to individuals 12,034 1.21 % 10,097 1.04 % Overdrafts 222 0.02 % 147 0.01 % Total other loans 92,594 9.32 % 116,408 11.85 % Gross loans 994,455 983,931 Less deferred loan origination fees, net (1,650 ) (0.17 )% (1,305 ) (0.13 )% Total loans 992,805 100.00 % 982,626 100.00 % Allowance for loan losses (9,089 ) (8,835 ) Total loans, net $ 983,716 $ 973,791 For Purchased Credit Impaired, or PCI, the contractually required payments including principal and interest, cash flows expected to be collected and fair values as of September 30, 2018 and December 31, 2017 were: (dollars in thousands) September 30, 2018 December 31, 2017 Contractually required payments $ 24,189 $ 29,285 Nonaccretable difference 2,091 2,717 Cash flows expected to be collected 22,098 26,568 Accretable yield 2,612 3,307 Carrying value $ 19,486 $ 23,261 Loans are primarily secured by real estate located in eastern and central North Carolina and northwestern South Carolina. Real estate loans can be affected by the condition of the local real estate market and by local economic conditions. At September 30, 2018, the Company had pre-approved but unused lines of credit for customers totaling $174.8 million. In management’s opinion, these commitments, and undisbursed proceeds on loans reflected above, represent no more than normal lending risk to the Company and will be funded from normal sources of liquidity. A floating lien of $140.0 million of loans was pledged to the FHLB to secure borrowings at September 30, 2018. The following tables present an age analysis of past due loans, segregated by class of loans as of September 30, 2018 and December 31, 2017, respectively: September 30, 2018 30-59 60-89 90+ Non- Total Days Days Days Accrual Past Total Past Due Past Due Accruing Loans Due Current Loans (dollars in thousands) Commercial and industrial $ 997 $ 944 $ 1,648 $ 4,082 $ 7,671 $ 72,667 $ 80,338 Construction 15 68 615 698 162,175 162,873 Multi-family residential - - - - 65,294 65,294 Commercial real estate 1,296 378 - 744 2,418 457,938 460,356 Loans to individuals & overdrafts 2 - - 2 12,254 12,256 1-to-4 family residential 746 813 1,216 434 3,209 160,036 163,245 HELOC 47 - 766 813 49,280 50,093 Deferred loan (fees) cost, net - - - - - (1,650 ) $ 3,103 $ 2,135 $ 2,932 $ 6,641 $ 14,811 $ 979,644 $ 992,805 December 31, 2017 30-59 60-89 90+ Non- Total Days Days Days Accrual Past Total Past Due Past Due Accruing Loans Due Current Loans (dollars in thousands) Commercial and industrial $ 174 $ 41 $ 396 $ 96 $ 707 $ 105,457 $ 106,164 Construction - 27 359 384 770 177,163 177,933 Multi-family residential 30 - - - 30 76,953 76,983 Commercial real estate 1,135 329 - 528 1,992 401,108 403,100 Loans to individuals & overdrafts 21 1 - 7 29 10,215 10,244 1-to-4 family residential 1,013 1,811 721 771 4,316 152,585 156,901 HELOC 103 - - 329 432 52,174 52,606 Deferred loan (fees) cost, net - - - - - - (1,305 ) $ 2,476 $ 2,209 $ 1,476 $ 2,115 $ 8,276 $ 975,655 $ 982,626 Impaired Loans The following tables present information on loans that were considered to be impaired as of September 30, 2018 and December 31, 2017: Three months ended Nine months ended As of September 30, 2018 September 30, 2018 September 30, 2018 Contractual Interest Income Interest Income Unpaid Average Recognized on Average Recognized on Recorded Principal Related Recorded Impaired Recorded Impaired Investment Balance Allowance Investment Loans Investment Loans (In thousands) With no related allowance recorded: Commercial and industrial $ 2,731 $ 3,467 $ - $ 3,789 $ - $ 2,178 $ 108 Construction 614 697 - 481 8 486 10 Commercial real estate 5,151 6,333 - 5,361 84 4,789 238 Loans to individuals & overdrafts 132 132 - 66 1 66 1 Multi-family residential 220 220 - 223 5 227 11 1-to-4 family residential 639 1,146 - 782 10 829 35 HELOC 634 788 - 896 9 803 34 Subtotal: 10,121 12,783 - 11,598 113 9,378 437 With an allowance recorded: Commercial and industrial 632 632 115 386 19 387 20 Construction - - - 26 - - - Commercial real estate - - - - - - - Loans to individuals & overdrafts - - - 2 - - - Multi-family residential - - - - - - - 1-to-4 family residential 168 149 24 145 - 172 6 HELOC - - - 142 3 - - Subtotal: 800 781 139 701 20 559 26 Totals: Commercial 9,348 11,349 115 10,266 112 8,067 387 Consumer 132 132 - 68 1 66 1 Residential 1,441 2,083 24 1,965 20 1,804 75 Grand Total: $ 10,921 $ 13,564 $ 139 $ 12,299 $ 133 $ 9,937 $ 463 Impaired loans at September 30, 2018 were approximately $10.9 million and were composed of $6.6 million in nonaccrual loans and $4.3 million in loans that were still accruing interest. Certain PCI loans are redirected and are not included in the table above. Recorded investment represents the current principal balance of the loan. Approximately $800,000 in impaired loans had specific allowances provided for them while the remaining $10.1 million had no specific allowances recorded at September 30, 2018. Three months ended Nine months ended As of December 31, 2017 September 30, 2017 September 30, 2017 Contractual Interest Income Interest Income Unpaid Average Recognized on Average Recognized on Recorded Principal Related Recorded Impaired Recorded Impaired Investment Balance Allowance Investment Loans Investment Loans (In thousands) With no related allowance recorded: Commercial and industrial $ 940 $ 1,234 $ - $ 1,048 $ 12 $ 1,114 $ 51 Construction 385 490 - 209 9 242 15 Commercial real estate 4,428 5,606 - 3,564 33 3,909 147 Loans to individuals & overdrafts 1 1 - - - - - Multi-family residential 234 234 - 24 - 173 - 1-to-4 family residential 1,077 1,209 - 1,191 16 1,080 49 HELOC 602 926 - 697 10 893 32 Subtotal: 7,667 9,700 - 6,733 80 7,411 294 With an allowance recorded: Commercial and industrial 142 142 50 - - 1 - Construction - - - - - - - Commercial real estate - - - 698 18 1,631 38 Loans to individuals & overdrafts - - - - - - - Multi-family residential - - - - - - - 1-to-4 family residential - - - 291 2 289 12 HELOC 202 202 11 33 - 34 - Subtotal: 344 344 61 1,022 20 1,955 50 Totals: Commercial 6,129 7,706 50 5,543 72 7,070 251 Consumer 1 1 - - - - - Residential 1,881 2,337 11 2,212 28 2,296 93 Grand Total: $ 8,011 $ 10,044 $ 61 $ 7,755 $ 100 $ 9,366 $ 344 Impaired loans at December 31, 2017 were approximately $8.0 million and consisted of $2.1 million in non-accrual loans and $5.9 million in loans still in accruing status. Recorded investment represents the current principal balance for the loan. Approximately $344,000 of the $8.0 million in impaired loans at December 31, 2017 had specific allowances aggregating $61,000 while the remaining $7.7 million had no specific allowances recorded. Of the $7.7 million with no allowance recorded, partial charge-offs to date amounted to $2.0 million. Loans are placed on non-accrual status when it has been determined that all contractual principal and interest will not be received. Any payments received on these loans are applied to principal first and then to interest only after all principal has been collected. In the case of an impaired loan that is still on accrual basis, payments are applied to both principal and interest. Troubled Debt Restructurings The following table presents loans that were modified as troubled debt restructurings (“TDRs”) with a breakdown of the types of concessions made by loan class during the three and nine months ended September 30, 2018 and 2017: Three months ended September 30, 2018 Nine months ended September 30, 2018 Pre- Post- Pre- Post- Modification Modification Modification Modification Outstanding Outstanding Outstanding Outstanding Number Recorded Recorded Number Recorded Recorded of loans Investment Investment of loans Investment Investment (Dollars in thousands) Extended payment terms: 1-to-4 family residential 1 $ 17 $ 16 2 $ 426 $ 413 Commercial real estate 1 392 350 3 1,283 1,123 Commercial & industrial 1 74 74 7 1,653 1,625 Total 3 $ 483 $ 440 12 $ 3,362 $ 3,161 Three months ended September 30, 2017 Nine months ended September 30, 2017 Pre- Post- Pre- Post- Modification Modification Modification Modification Outstanding Outstanding Outstanding Outstanding Number Recorded Recorded Number Recorded Recorded of loans Investment Investment of loans Investment Investment (Dollars in thousands) Extended payment terms: 1-to-4 family residential - $ - $ - 1 $ 14 $ 14 HELOCs 1 126 126 1 126 126 Commercial & industrial - - - 1 41 41 Total 1 $ 126 $ 126 3 $ 181 $ 181 Loans may be considered troubled debt restructurings for reasons including, but not limited to, below market interest rates, extended payment terms or forgiveness of principal. The following table presents loans that were modified as TDRs within the past twelve months with a breakdown of the types for which there was a payment default during that period together with concessions made by loan class during the twelve-month periods ended September 30, 2018 and 2017: Twelve months ended Twelve months ended September 30, 2018 September 30, 2017 Number Recorded Number Recorded of loans investment of loans investment (Dollars in thousands) Extended payment terms: Commercial & industrial 5 $ 1,512 2 $ 78 Commercial real estate 2 724 - - 1-to-4 family residential 2 461 1 14 Total 9 $ 2,697 3 $ 92 At September 30, 2018, the Bank had forty-one loans with an aggregate balance of $7.5 million that were considered to be troubled debt restructurings. Of those TDRs, twenty-three loans with a balance totaling $4.5 million were still accruing as of September 30, 2018. The remaining TDRs with balances totaling $3.0 million as of September 30, 2018 were in non-accrual status. At September 30, 2017, the Bank had thirty-one loans with an aggregate balance of $4.7 million that were considered to be troubled debt restructurings. Of those TDRs, nineteen loans with a balance totaling $4.1 million were still accruing as of September 30, 2017. The remaining TDRs with balances totaling $539,000 as of September 30, 2017 were in non-accrual status. The following tables present information on risk ratings of the commercial and consumer loan portfolios, segregated by loan class as of September 30, 2018 and December 31, 2017, respectively: Total loans: September 30, 2018 Commercial Credit Exposure By Commercial Commercial Internally and real Multi-family Assigned Grade industrial Construction estate residential (In thousands) Superior $ 1,518 $ - $ 5 $ - Very good 1,651 146 1,144 - Good 7,872 11,487 57,032 5,655 Acceptable 24,644 32,821 262,110 40,155 Acceptable with care 37,961 117,010 134,853 19,264 Special mention 240 726 2,010 - Substandard 6,452 683 3,202 220 Doubtful - - - - Loss - - - - $ 80,338 $ 162,873 $ 460,356 $ 65,294 Consumer Credit Exposure By Internally 1-to-4 family Assigned Grade residential HELOC Pass $ 158,514 $ 48,710 Special mention 928 211 Substandard 3,803 1,172 $ 163,245 $ 50,093 Consumer Credit Exposure Based Loans to On Payment individuals & Activity overdrafts Pass $ 10,304 Non–pass 1,952 $ 12,256 Total Loans: December 31, 2017 Commercial Credit Exposure By Commercial Commercial Internally and Real Multi-family Assigned Grade industrial Construction estate residential (dollars in thousands) Superior $ 1,207 $ - $ - $ - Very good 2,454 111 420 - Good 13,161 11,343 46,790 11,394 Acceptable 44,968 40,558 249,988 46,246 Acceptable with care 38,631 124,593 97,798 18,787 Special mention 3,172 583 3,771 322 Substandard 2,571 745 4,333 234 Doubtful - - - - Loss - - - - $ 106,164 $ 177,933 $ 403,100 $ 76,983 Consumer Credit Exposure By Internally 1-to-4 family Assigned Grade residential HELOC Pass $ 149,767 $ 51,326 Special mention 3,270 253 Substandard 3,864 1,027 $ 156,901 $ 52,606 Consumer Credit Exposure Based Loans to On Payment individuals & Activity overdrafts Pass $ 10,233 Non-pass 11 $ 10,244 Determining the fair value of PCI loans at acquisition required the Company to estimate cash flows expected to result from those loans and to discount those cash flows at appropriate rates of interest. For such loans, the excess of cash flows expected to be collected at acquisition over the estimated fair value is recognized as interest income over the remaining lives of the loans and is called the accretable yield. The difference between contractually required payments at acquisition and the cash flows expected to be collected at acquisition reflects the impact of estimated credit losses and is called the nonaccretable difference. In accordance with GAAP, there was no carry-over of previously established allowance for credit losses from the acquired company. The following table documents changes to the amount of the accretable yield on PCI loans for the three and nine months ended September 30, 2018 and 2017 (dollars in thousands): Three Months Ended Nine Months Ended September 30, September 30, 2018 2017 2018 2017 (dollars in thousands) Accretable yield, beginning of period $ 3,102 $ 2,280 $ 3,307 $ 2,626 Accretion (540 ) (262 ) (1,242 ) (782 ) Reclassification from (to) nonaccretable difference 15 (1 ) 78 78 Other changes, net 35 169 469 264 Accretable yield, end of period $ 2,612 $ 2,186 $ 2,612 $ 2,186 Allowance for Loan Losses The following tables present a roll forward of the Company’s allowance for loan losses by loan class for the three and nine month periods ended September 30, 2018, respectively: Three months ended September 30, 2018 Commercial 1 to 4 Loans to Multi- and Commercial family individuals & family Allowance for loan losses industrial Construction real estate residential HELOC overdrafts residential Total (Dollars in thousands) Loans – excluding PCI Balance, beginning of period $ 781 $ 1,768 $ 3,926 $ 1,421 $ 618 $ 320 $ 588 $ 9,422 Provision for loan losses (113 ) (295 ) 54 (16 ) (105 ) - (41 ) (516 ) Loans charged-off - - (2 ) - (20 ) (79 ) - (101 ) Recoveries 26 - 6 7 14 68 - 121 Balance, end of period $ 694 $ 1,473 $ 3,984 $ 1,412 $ 507 $ 309 $ 547 $ 8,926 PCI Loans Balance, beginning of period $ 54 $ - $ 52 $ - $ - $ - $ - $ 106 Provision for loan losses (4 ) - 57 4 - - - 57 Loans charged-off - - - - - - - - Recoveries - - - - - - - - Balance, end of period $ 50 $ - $ 109 $ 4 $ - $ - $ - $ 163 Total Loans Balance, beginning of period $ 835 $ 1,768 $ 3,978 $ 1,421 $ 618 $ 320 $ 588 $ 9,528 Provision for loan losses (117 ) (295 ) 111 (12 ) (105 ) - (41 ) (459 ) Loans charged-off - - (2 ) - (20 ) (79 ) - (101 ) Recoveries 26 - 6 7 14 68 - 121 Balance, end of period $ 744 $ 1,473 $ 4,093 $ 1,416 $ 507 $ 309 $ 547 $ 9,089 Ending Balance: individually evaluated for impairment $ 115 $ - $ - $ 24 $ - $ - $ - $ 139 Ending Balance: collectively evaluated for impairment $ 629 $ 1,473 $ 4,093 $ 1,392 $ 507 $ 309 $ 547 $ 8,950 Loans: Ending Balance: collectively evaluated for impairment non PCI loans $ 76,355 $ 161,323 $ 447,676 $ 155,648 $ 49,409 $ 12,124 $ 64,062 $ 966,597 Ending Balance: collectively evaluated for impairment PCI loans $ 621 $ 935 $ 7,529 $ 6,790 $ 50 $ - $ 1,012 $ 16,937 Ending Balance: individually evaluated for impairment $ 3,362 $ 615 $ 5,151 $ 807 $ 634 $ 132 $ 220 $ 10,921 Ending Balance $ 80,338 $ 162,873 $ 460,356 $ 163,245 $ 50,093 $ 12,256 $ 65,294 $ 994,455 Nine months ended September 30, 2018 Commercial 1 to 4 Loans to Multi- and Commercial family individuals & family Allowance for loan losses industrial Construction real estate residential HELOC overdrafts residential Total (Dollars in thousands) Loans – excluding PCI Balance, beginning of period $ 742 $ 1,955 $ 3,304 $ 1,058 $ 549 $ 305 $ 791 $ 8,704 Provision for loan losses (151 ) (488 ) 775 309 4 26 (244 ) 231 Loans charged-off (9 ) - (2 ) - (68 ) (107 ) - (186 ) Recoveries 47 6 16 25 22 85 - 201 Balance, end of period $ 629 $ 1,473 $ 4,093 $ 1,392 $ 507 $ 309 $ 547 $ 8,950 PCI Loans Balance, beginning of period $ 65 $ - $ 66 $ - $ - $ - $ - $ 131 Provision for loan losses 50 - (66 ) 24 - - - 8 Loans charged-off - - - - - - - - Recoveries - - - - - - - - Balance, end of period $ 115 $ - $ - $ 24 $ - $ - $ - $ 139 Total Loans Balance, beginning of period $ 807 $ 1,955 $ 3,370 $ 1,058 $ 549 $ 305 $ 791 $ 8,835 Provision for loan losses (101 ) (488 ) 709 333 4 26 (244 ) 239 Loans charged-off (9 ) - (2 ) - (68 ) (107 ) - (186 ) Recoveries 47 6 16 25 22 85 - 201 Balance, end of period $ 744 $ 1,473 $ 4,093 $ 1,416 $ 507 $ 309 $ 547 $ 9,089 The company periodically reviews and updates its qualitative factors for changes in current conditions. During the three months ended September 30, 2018, the Company added a new qualitative for risk grade accuracy and adjusted several other factors, including reducing the factors relating to concentrations for certain loan types given the secondary capital raise and the North Carolina unemployment rate. The following tables present a roll forward of the Company’s allowance for loan losses by loan class for the three and nine month periods ended September 30, 2017, respectively: Three months ended September 30, 2017 Commercial 1 to 4 Loans to Multi- and Commercial Family individuals & family Allowance for loan losses industrial Construction real estate residential HELOC overdrafts residential Total (Dollars in thousands) Loans – excluding PCI Balance, beginning of period $ 895 $ 1,292 $ 3,913 $ 923 $ 563 $ 142 $ 732 $ 8,460 Provision for loan losses 301 366 (840 ) 50 89 219 25 210 Loans charged-off - - - - (60 ) (45 ) - (105 ) Recoveries 18 10 4 18 1 11 - 62 Balance, end of period $ 1,214 $ 1,668 $ 3,077 $ 991 $ 593 $ 327 $ 757 $ 8,627 PCI Loans Balance, beginning of period $ - $ - $ 12 $ 16 $ - $ - $ - $ 28 Provision for loan losses - - (6 ) (2 ) - - - (8 ) Loans charged-off - - - - - - - - Recoveries - - - - - - - - Balance, end of period $ - $ - $ 6 $ 14 $ - $ - $ - $ 20 Total Loans Balance, beginning of period $ 895 $ 1,292 $ 3,925 $ 939 $ 563 $ 142 $ 732 $ 8,488 Provision for loan losses 301 366 (846 ) 48 89 219 25 202 Loans charged-off - - - - (60 ) (45 ) - (105 ) Recoveries 18 10 4 18 1 11 - 62 Balance, end of period $ 1,214 $ 1,668 $ 3,083 $ 1,005 $ 593 $ 327 $ 757 $ 8,647 Ending Balance: individually evaluated for impairment $ - $ - $ 6 $ 14 $ - $ - $ - $ 20 Ending Balance: collectively evaluated for impairment $ 1,214 $ 1,668 $ 3,077 $ 991 $ 593 $ 327 $ 757 $ 8,627 Loans: Ending Balance: collectively evaluated for impairment non PCI loans $ 83,500 $ 146,542 $ 289,873 $ 98,081 $ 42,045 $ 9,586 $ 71,499 $ 741,126 Ending Balance: collectively evaluated for impairment PCI loans $ 20 $ 762 $ 7,689 $ 6,707 $ 192 $ - $ 739 $ 16,109 Ending Balance: individually evaluated for impairment $ 1,043 $ 253 $ 3,993 $ 1,441 $ 779 $ - $ - $ 7,509 Ending Balance $ 84,563 $ 147,557 $ 301,555 $ 106,229 $ 43,016 $ 9,586 $ 72,238 $ 764,744 Nine months ended September 30, 2017 Commercial 1 to 4 Loans to Multi- and Commercial family individuals & family Allowance for loan losses industrial Construction real estate residential HELOC overdrafts residential Total (Dollars in thousands) Loans – excluding PCI Balance, beginning of period $ 1,211 $ 1,301 $ 3,448 $ 846 $ 611 $ 317 $ 628 $ 8,362 Provision for loan losses (165 ) 348 241 108 87 80 127 826 Loans charged-off (37 ) - (623 ) - (129 ) (95 ) - (884 ) Recoveries 205 19 11 37 24 25 2 323 Balance, end of period $ 1,214 $ 1,668 $ 3,077 $ 991 $ 593 $ 327 $ 757 $ 8,627 PCI Loans Balance, beginning of period $ 37 $ - $ - $ - $ 12 $ - $ - $ 49 Provision for loan losses (37 ) - 300 14 (12 ) - - 265 Loans charged-off - - (294 ) - - - - (294 ) Recoveries - - - - - - - - Balance, end of period $ - $ - $ 6 $ 14 $ - $ - $ - $ 20 Total Loans Balance, beginning of period $ 1,248 $ 1,301 $ 3,448 $ 846 $ 623 $ 317 $ 628 $ 8,411 Provision for loan losses (202 ) 348 541 122 75 80 127 1,091 Loans charged-off (37 ) - (917 ) - (129 ) (95 ) - (1,178 ) Recoveries 205 19 11 37 24 25 2 323 Balance, end of period $ 1,214 $ 1,668 $ 3,083 $ 1,005 $ 593 $ 327 $ 757 $ 8,647 |
LOANS HELD FOR SALE
LOANS HELD FOR SALE | 9 Months Ended |
Sep. 30, 2018 | |
Loans Receivable Held-for-sale, Net, Not Part of Disposal Group [Abstract] | |
Loans Held For Sale [Text Block] | NOTE G – LOANS HELD FOR SALE We originate fixed and variable rate residential mortgage loans on a service-release basis in the secondary market. Loans closed but not yet settled with an investor are carried in our loans held for sale portfolio. Virtually all of these loans have commitments to be purchased by investors and the majority of these loans were locked in by price with the investors on the same day or shortly thereafter that the loan was locked in with our customers. Therefore, these loans present very little market risk. We usually deliver to, and receive funding from, the investor within 30 to 60 days. Commitments to sell these loans to the investor are considered derivative contracts and are sold to investors on a “best efforts” basis. We are not obligated to deliver a loan or pay a penalty if a loan is not delivered to the investor. Because of the short-term nature of these derivative contracts, the fair value of the mortgage loans held for sale in most cases is materially the same as the value of the loan amount at its origination . Mortgage loans originated and intended for sale in the secondary market are carried at the lower of cost or estimated market value in the aggregate. Net unrealized losses are provided for in a valuation allowance by charges to operations as a component of mortgage banking income. Gains or losses on sales of loans are recognized when control over these assets are surrendered and are included in mortgage banking income in the consolidated statements of operations. |
REVENUE RECOGNITION
REVENUE RECOGNITION | 9 Months Ended |
Sep. 30, 2018 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from Contract with Customer [Text Block] | NOTE H – REVENUE RECOGNITION On January 1, 2018, the Company adopted ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606), and all subsequent ASUs that modified Topic 606. As stated in Note C, Recent Accounting Pronouncements , the implementation of the new standard did not have a material impact on the measurement or recognition of revenue; as such, a cumulative effect adjustment to opening retained earnings was not deemed necessary. Results for reporting periods beginning after January 1, 2018 are presented under Topic 606, while prior period amounts were not adjusted and continue to be reported in accordance with our historic accounting under Topic 605. Topic 606 does not apply to revenue associated with financial instruments, including revenue from loans and securities. In addition, certain noninterest income streams such as fees associated with mortgage servicing rights, financial guarantees, derivatives, and certain credit card fees are also not in scope of the new guidance. Topic 606 is applicable to noninterest revenue streams such as trust and asset management income, deposit related fees, interchange fees, merchant income, and annuity and insurance commissions. However, the recognition of these revenue streams did not change significantly upon adoption of Topic 606. Substantially all of the Company’s revenue is generated from contracts with customers. Noninterest revenue streams in-scope of Topic 606 are discussed below. Service Charges on Deposit Accounts Service charges on deposit accounts consist of insufficient funds fees, account analysis fees (i.e., net fees earned on analyzed business and public checking accounts), monthly service fees, check orders, and other deposit account related fees. The Company’s performance obligation for account analysis fees and monthly service fees is generally satisfied, and the related revenue recognized, over the period in which the service is provided. Check orders and other deposit account related fees are largely transactional based, and therefore, the Company’s performance obligation is satisfied, and related revenue recognized, at a point in time. Payment for service charges on deposit accounts is primarily received immediately or in the following month through a direct charge to customers’ accounts. Other Fees and Income Other fees and income primarily consist of debit and credit card income, ATM fees, merchant services income, and other service charges. Debit and credit card income primarily consists of interchange fees earned whenever the Company’s debit and credit cards are processed through card payment networks such as Visa. ATM fees are primarily generated when a Company cardholder uses a non-Company ATM or a non-Company cardholder uses a Company ATM. Merchant services income mainly represents fees charged to merchants to process their debit and credit card transactions, in addition to account management fees. Other service charges include revenue from processing wire transfers, bill pay service, cashier’s checks, and other services. The Company’s performance obligation for fees, exchange, and other service charges are largely satisfied, and related revenue recognized, when the services are rendered or upon completion. Payment is typically received immediately or in the following month. Other fees and income also includes other recurring revenue streams such as safety deposit box rental fees and other miscellaneous revenue streams. Safe deposit box rental fees are charged to the customer on an annual basis and recognized upon receipt of payment. The Company determined that since rentals and renewals occur fairly consistently over time, revenue is recognized on a basis consistent with the duration of the performance obligation. The following presents noninterest income, segregated by revenue streams in-scope and out-of-scope of Topic 606, for the three and nine months ended September 30, 2018 and 2017. Three Months Three Months Nine Months Nine Months Ended Ended Ended Ended September 30, September 30, September 30, September 30 2018 2017 2018 2017 (dollars in thousands) Service Charges on Deposit Accounts $ 309 $ 237 $ 830 $ 668 Other 349 32 1,119 726 Noninterest Income (in-scope of Topic 606) 658 269 1,949 1,394 Noninterest Income (out-of-scope of Topic 606) 408 509 1,508 892 Total Non-interest Income $ 1,066 $ 778 $ 3,457 $ 2,286 Contract Balances A contract asset balance occurs when an entity performs a service for a customer before the customer pays consideration (resulting in a contract receivable) or before payment is due (resulting in a contract asset). A contract liability balance is an entity’s obligation to transfer a service to a customer for which the entity has already received payment (or payment is due) from the customer. The Company’s noninterest revenue streams are largely based on transactional activity. Consideration is often received immediately or shortly after the Company satisfies its performance obligation and revenue is recognized. The Company does not typically enter into long-term revenue contracts with customers, and therefore, does not experience significant contract balances. As of September 30, 2018 and December 31, 2017, the Company did not have any significant contract balances. Contract Acquisition Costs In connection with the adoption of Topic 606, an entity is required to capitalize, and subsequently amortize into expense, certain incremental costs of obtaining a contract with a customer if these costs are expected to be recovered. The incremental costs of obtaining a contract are those costs that an entity incurs to obtain a contract with a customer that it would not have incurred if the contract had not been obtained (for example, sales commission). The Company utilizes the practical expedient which allows entities to immediately expense contract acquisition costs when the asset that would have resulted from capitalizing these costs would have been amortized in one year or less. Upon adoption of Topic 606, the Company did not capitalize any contract acquisition cost. |
OTHER REAL ESTATE OWNED
OTHER REAL ESTATE OWNED | 9 Months Ended |
Sep. 30, 2018 | |
Banking and Thrift [Abstract] | |
Real Estate Owned [Text Block] | NOTE I – OTHER REAL ESTATE OWNED The following table explains changes in other real estate owned during the nine months ended September 30, 2018 and 2017: Nine Months Nine Months Ended Ended September 30, September 30, 2018 2017 (Dollars in thousands) Beginning balance January 1 $ 1,258 $ 599 Sales (657 ) (787 ) Write-downs (100 ) (214 ) Transfers 519 2,495 Ending balance $ 1,020 $ 2,093 At September 30, 2018 and December 31, 2017, the Company had $1.0 million and $2.1 million, respectively, of foreclosed real estate property in OREO. The recorded investment in consumer mortgage loans collateralized by residential real estate property in the process of foreclosure totaled $654,000 at September 30, 2018. At December 31, 2017, the Company had no such loans. |
BUSINESS COMBINATIONS
BUSINESS COMBINATIONS | 9 Months Ended |
Sep. 30, 2018 | |
Business Combinations [Abstract] | |
Business Combination Disclosure [Text Block] | Note J – Business Combinations On July 20, 2017, the Company executed a merger agreement with Premara Financial, Inc. (“Premara”), a bank holding company headquartered in Charlotte, North Carolina, whose wholly owned subsidiary, Carolina Premier Bank, was a North Carolina state-chartered commercial bank. On December 15, 2017, the Company completed its previously announced acquisition of Premara and pursuant to the terms of the merger agreement, Premara was merged with and into the Company, followed immediately by the merger of Carolina Premier Bank with and into the Bank. Carolina Premier had approximately $279.6 million in assets as of the merger date, December 15, 2017. The merger expanded the Bank’s North Carolina presence with a branch in Charlotte and marked the Bank’s initial entry into South Carolina with the acquisition of branches in Rock Hill, Blacksburg and Six Mile, South Carolina. Premara had 3,179,808 shares of common stock outstanding as of the merger closing date. Under the terms of the merger agreement, 948,080 shares of Premara common stock (equivalent to 30% of Premara’s outstanding shares of common stock as of the date of the merger agreement) were converted to the $12.65 per share cash merger consideration, for aggregate cash consideration of $11,993,212 (exclusive of cash paid-in-lieu of fractional shares) which was paid out subsequent to December 31, 2017. Pursuant to the merger agreement, each warrant or stock option to acquire shares of Premara common stock issued and outstanding as of the effective time of the merger was converted into the right to receive from the Company a cash payment equal to $12.65 less the exercise price of such warrant or option, as applicable and paid out prior to year-end. The remaining 2,231,728 Premara common shares were converted into stock consideration at the merger exchange ratio of 1.0463 shares of Company common stock for each share of Premara common stock, resulting in the issuance of 2,334,999 new shares of Company common stock. The transaction was valued at approximately $40.6 million in the aggregate based on 3,179,808 shares of Premara common stock outstanding on December 15, 2017. The shares of Premara common stock converted to the Company’s common stock are valued at $12.14 per share, the low price of Select common stock on December 15, 2017. The merger with Premara was accounted for under the acquisition method of accounting with the Company as the legal and accounting acquirer and Premara as the legal and accounting acquiree. The assets and liabilities of Premara, as of the effective date of the acquisition, are recorded at their respective fair values. For the acquisition of Premara, estimated fair values of assets acquired and liabilities assumed are based on the information that is available, and the Company believes this information provides a reasonable basis for determining fair values. Goodwill recorded for Premara represents future revenues to be derived from the existing customer base, including efficiencies that are expected to result from combining operations. During the first quarter of 2018, goodwill decreased by $325,000 due to adjustments to liabilities assumed and the tax re-measurement associated with the completion of the final short-year tax return. Merger-related expenses in the first quarter of 2018 totaled $1.8 million which were recorded as noninterest expense as incurred. The following tables reflect the pro forma total net interest income, noninterest income and net income for the nine months ended September 30, 2017 as though the acquisition of Premara had taken place on January 1, 2017 and actual amounts for the nine months ended September 30, 2018. The pro forma results have not been adjusted to remove non-recurring acquisition-related expenses, and are not necessarily indicative of the results of operations that would have occurred had the acquisition actually taken place on January 1, 2017, nor of future results of operations. Nine Months Ended September 30 2018 2017 (dollars in thousands, except per share) Net interest income $ 34,485 $ 34,307 Non-interest income 3,457 3,434 Net income available to common shareholders 9,328 7,585 Earnings per share, basic $ 0.64 $ 0.54 Earnings per share, diluted $ 0.63 $ 0.54 Weighted average common shares outstanding, basic 14,636,576 13,994,138 Weighted average common shares outstanding, diluted 14,697,379 14,046,829 |
CAPITAL RAISE
CAPITAL RAISE | 9 Months Ended |
Sep. 30, 2018 | |
Stockholders' Equity Note [Abstract] | |
Stockholders' Equity Note Disclosure [Text Block] | NOTE K – CAPITAL RAISE On August 27, 2018, the Company and the Bank entered into an underwriting agreement (the “Underwriting Agreement”) with FIG Partners, LLC, as the underwriter named therein (the “Underwriter”), pursuant to which the Company agreed to issue and sell to the Underwriter and the Underwriter agreed to purchase, subject to and upon the terms and conditions of the Underwriting Agreement, an aggregate of 4,583,334 shares of the Company’s common stock, par value $1.00 per share, at a public offering price of $12.00 per share less underwriting discounts and commissions in an underwritten public offering (the “Offering”). The Company granted the Underwriter an option for a period of 30 days after the date of the Underwriting Agreement to purchase up to an additional 687,500 shares of common stock at the public offering price, less underwriting discounts and commissions. The Underwriter exercised their option in full resulting in a total of 5,270,834 shares of common stock being issued and sold in the Offering. The Offering closed on August 30, 2018. The net proceeds to the Company, after deducting underwriting discounts and commissions and offering expenses, were approximately $59.8 million. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 9 Months Ended |
Sep. 30, 2018 | |
Subsequent Events [Abstract] | |
Subsequent Events [Text Block] | NOTE L – SUBSEQUENT EVENTS The Company has evaluated for subsequent events through the date and time the financial statements were issued and has determined there are no reportable subsequent events. |
PER SHARE RESULTS (Tables)
PER SHARE RESULTS (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Basic net income per share is computed based upon the weighted average number of shares of common stock outstanding during the period. Diluted net income per share includes the dilutive effect of stock options outstanding during the period. At September 30, 2018 and 2017 there were 119,800 and 152,300 anti-dilutive options outstanding, respectively. Three Months Ended Nine Months Ended September 30, September 30, 2018 2017 2018 2017 Weighted average shares used for basic net income available to common shareholders 15,858,455 11,662,580 14,636,576 11,659,139 Effect of dilutive stock options 58,279 54,953 60,803 52,691 Weighted average shares used for diluted net income available to common shareholders 15,916,734 11,717,533 14,697,379 11,711,830 |
FAIR VALUE MEASUREMENTS (Tables
FAIR VALUE MEASUREMENTS (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair Value, Assets Measured on Recurring Basis [Table Text Block] | The following tables summarize quantitative disclosures about the fair value measurement for each category of assets carried at fair value on a recurring basis as of September 30, 2018 and December 31, 2017 (in thousands): Investment securities available for sale September 30, 2018 Fair value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) U.S. government agencies – GSE's $ 9,922 $ - $ 9,922 $ - Mortgage-backed securities - GSE’s 23,637 - 23,637 - Corporate Bonds 1,706 - 1,706 - Municipal bonds 16,999 - 16,999 - Total investments held for sale $ 52,264 $ - $ 52,264 $ - Investment securities available for sale December 31, 2017 Fair value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) U.S. government agencies – GSE's $ 13,364 $ - $ 13,364 $ - Mortgage-backed securities - GSE’s 29,684 - 29,684 - Corporate Bonds 1,888 - 1,888 - Municipal bonds 18,838 - 18,838 - Total investments held for sale $ 63,774 $ - $ 63,774 $ - |
Fair Value Measurements, Nonrecurring [Table Text Block] | The following tables summarize quantitative disclosures about the fair value measurement for each category of assets carried at fair value on a non-recurring basis as of September 30, 2018 and December 31, 2017 (in thousands): Asset Category September 30, 2018 Fair value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Impaired loans $ 2,740 $ - $ - $ 2,740 Loans held for sale 1,297 - 1,297 - Assets held for sale 668 - - 668 Foreclosed real estate 1,020 - - 1,020 Total $ 5,725 $ - $ 1,297 $ 4,428 Asset Category December 31, 2017 Fair value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Impaired loans $ 899 $ - $ - $ 899 Loans held for sale 98 - 98 - Assets held for sale 846 - - 846 Foreclosed real estate 1,258 - - 1,258 Total $ 3,101 $ - $ 98 $ 3,003 |
Schedule of Fair Value, Off-balance Sheet Risks [Table Text Block] | The following table presents the carrying values and estimated fair values of the Company's financial instruments at September 30, 2018 and December 31, 2017: September 30, 2018 Carrying Estimated Amount Fair Value Level 1 Level 2 Level 3 (In thousands) Financial assets: Cash and due from banks $ 18,719 $ 18,719 $ 18,719 $ - $ - Certificates of deposit 1,000 1,000 1,000 - - Interest-earning deposits in other banks 103,674 103,674 103,674 - - Investment securities available for sale 52,264 52,264 - 52,264 - Loans held for sale 1,297 1,297 - 1,297 - Loans, net 983,716 974,217 - - 974,217 Accrued interest receivable 4,023 4,023 - 4,023 - Stock in FHLB 3,454 3,454 - - 3,454 Other non-marketable securities 800 800 - - 800 Assets held for sale 668 668 - - 668 Financial liabilities: Deposits $ 974,161 $ 975,215 $ - $ 975,215 $ - Short-term debt 11,002 11,002 - 11,002 - Long-term debt 57,372 55,198 - 55,198 - Accrued interest payable 579 579 - 579 - December 31, 2017 Carrying Estimated Amount Fair Value Level 1 Level 2 Level 3 (dollars in thousands) Financial assets: Cash and due from banks $ 16,554 $ 16,554 $ 16,554 $ - $ - Certificates of deposits 1,500 1,500 1,500 - - Interest-earning deposits in other banks 37,996 37,996 37,996 - - Federal funds sold 6,645 6,645 6,645 - - Investment securities available for sale 63,774 63,774 - 63,774 - Loans held for sale 98 98 - 98 - Loans, net 973,791 972,475 - - 972,475 Accrued interest receivable 3,997 3,997 - 3,997 - Stock in the FHLB 2,490 2,490 - - 2,490 Other non-marketable securities 1,019 1,019 - - 1,019 Assets held for sale 846 846 - - 846 Financial liabilities: Deposits $ 995,044 $ 991,977 $ - $ 991,977 $ - Short-term debt 28,279 28,279 - 28,279 - Long-term debt 19,372 14,640 - 14,640 - Accrued interest payable 427 427 - 427 - |
INVESTMENT SECURITIES (Tables)
INVESTMENT SECURITIES (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of Available-for-sale Securities Reconciliation [Table Text Block] | The amortized cost and fair value of available for sale investments (“AFS”), with gross unrealized gains and losses, follow: September 30, 2018 Gross Gross Amortized unrealized unrealized Fair cost gains losses value (dollars in thousands) Securities available for sale: U.S. government agencies – GSE’s $ 10,077 $ 16 $ (171 ) $ 9,922 Mortgage-backed securities – GSE’s 24,025 61 (449 ) 23,637 Corporate bonds 1,697 16 (7 ) 1,706 Municipal bonds 16,974 73 (48 ) 16,999 $ 52,773 $ 166 $ (675 ) $ 52,264 The amortized cost and fair value of AFS investments, with gross unrealized gains and losses, follow: December 31, 2017 Gross Gross Amortized unrealized unrealized Fair cost gains losses value (dollars in thousands) Securities available for sale: U.S. government agencies – GSE’s $ 13,241 $ 148 $ (25 ) $ 13,364 Mortgage-backed securities – GSE’s 29,571 213 (100 ) 29,684 Corporate bonds 1,858 44 (14 ) 1,888 Municipal bonds 18,583 255 - 18,838 $ 63,253 $ 660 $ (139 ) $ 63,774 |
Investments Classified by Contractual Maturity Date [Table Text Block] | The scheduled maturities of securities available for sale, with gross unrealized gains and losses, were as follows: September 30, 2018 Gross Gross Amortized unrealized unrealized Fair cost gains losses value (In thousands) Securities available for sale: Within 1 year $ 2,779 $ 13 $ (1 ) $ 2,791 After 1 year but within 5 years 35,845 81 (566 ) 35,360 After 5 years but within 10 years 5,197 29 (65 ) 5,161 After 10 years 8,952 43 (43 ) 8,952 $ 52,773 $ 166 $ (675 ) $ 52,264 December 31, 2017 Gross Gross Amortized unrealized unrealized Fair cost gains losses value (dollars in thousands) Securities available for sale: Within 1 year $ 975 $ 5 $ - $ 980 After 1 year but within 5 years 45,418 406 (125 ) 45,699 After 5 years but within 10 years 7,823 81 (14 ) 7,890 After 10 years 9,037 168 - 9,205 $ 63,253 $ 660 $ (139 ) $ 63,774 |
Schedule of Unrealized Loss on Investments [Table Text Block] | The following tables show the gross unrealized losses and fair value of the Company’s investment securities, aggregated by investment category and length of time that the individual securities have been in a continuous unrealized loss position, at September 30, 2018 and December 31, 2017. September 30, 2018 Less Than 12 Months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized value losses value losses value losses (dollars in thousands) Securities available for sale: U.S. government agencies – GSE’s $ 5,930 $ (93 ) $ 1,953 $ (78 ) $ 7,883 $ (171 ) Mortgage-backed securities- GSE’s 12,879 (252 ) 6,397 (197 ) 19,276 (449 ) Corporate bonds 754 (7 ) - - 754 (7 ) Municipal bonds 6,308 (46 ) 106 (2 ) 6,414 (48 ) Total temporarily impaired securities $ 25,871 $ (398 ) $ 8,456 $ (277 ) $ 34,327 $ (675 ) December 31, 2017 Less Than 12 Months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized value losses value losses value losses (dollars in thousands) Securities available for sale: U.S. government agencies – GSE’s $ 1,651 $ (9 ) $ 1,415 $ (16 ) $ 3,066 $ (25 ) Mortgage-backed securities-GSE’s 8,137 (55 ) 2,449 (45 ) 10,586 (100 ) Corporate bonds 1,752 (14 ) - - 1,752 (14 ) Municipal bonds 1,101 - - - 1,101 - Total temporarily impaired securities $ 12,641 $ (78 ) $ 3,864 $ (61 ) $ 16,505 $ (139 ) |
LOANS (Tables)
LOANS (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Receivables [Abstract] | |
Schedule of Accounts, Notes, Loans and Financing Receivable [Table Text Block] | Following is a summary of the composition of the Company’s loan portfolio at September 30, 2018 and December 31, 2017: September 30, December 31, Total Loans: 2018 2017 Percent Percent Amount of total Amount of total (dollars in thousands) Real estate loans: 1-to-4 family residential $ 163,245 16.44 % $ 156,901 15.97 % Commercial real estate 460,356 46.37 % 403,100 41.02 % Multi-family residential 65,294 6.58 % 76,983 7.83 % Construction 162,873 16.41 % 177,933 18.11 % Home equity lines of credit (“HELOC”) 50,093 5.05 % 52,606 5.35 % Total real estate loans 901,861 90.85 % 867,523 88.28 % Other loans: Commercial and industrial 80,338 8.09 % 106,164 10.80 % Loans to individuals 12,034 1.21 % 10,097 1.04 % Overdrafts 222 0.02 % 147 0.01 % Total other loans 92,594 9.32 % 116,408 11.85 % Gross loans 994,455 983,931 Less deferred loan origination fees, net (1,650 ) (0.17 )% (1,305 ) (0.13 )% Total loans 992,805 100.00 % 982,626 100.00 % Allowance for loan losses (9,089 ) (8,835 ) Total loans, net $ 983,716 $ 973,791 |
Schedule Of Fair Values Of Expected Cash flows And Loan Related Payments To Acquired Company At Time Of Merger [Table Text Block] | For Purchased Credit Impaired, or PCI, the contractually required payments including principal and interest, cash flows expected to be collected and fair values as of September 30, 2018 and December 31, 2017 were: (dollars in thousands) September 30, 2018 December 31, 2017 Contractually required payments $ 24,189 $ 29,285 Nonaccretable difference 2,091 2,717 Cash flows expected to be collected 22,098 26,568 Accretable yield 2,612 3,307 Carrying value $ 19,486 $ 23,261 |
Past Due Financing Receivables [Table Text Block] | The following tables present an age analysis of past due loans, segregated by class of loans as of September 30, 2018 and December 31, 2017, respectively: September 30, 2018 30-59 60-89 90+ Non- Total Days Days Days Accrual Past Total Past Due Past Due Accruing Loans Due Current Loans (dollars in thousands) Commercial and industrial $ 997 $ 944 $ 1,648 $ 4,082 $ 7,671 $ 72,667 $ 80,338 Construction 15 68 615 698 162,175 162,873 Multi-family residential - - - - 65,294 65,294 Commercial real estate 1,296 378 - 744 2,418 457,938 460,356 Loans to individuals & overdrafts 2 - - 2 12,254 12,256 1-to-4 family residential 746 813 1,216 434 3,209 160,036 163,245 HELOC 47 - 766 813 49,280 50,093 Deferred loan (fees) cost, net - - - - - (1,650 ) $ 3,103 $ 2,135 $ 2,932 $ 6,641 $ 14,811 $ 979,644 $ 992,805 December 31, 2017 30-59 60-89 90+ Non- Total Days Days Days Accrual Past Total Past Due Past Due Accruing Loans Due Current Loans (dollars in thousands) Commercial and industrial $ 174 $ 41 $ 396 $ 96 $ 707 $ 105,457 $ 106,164 Construction - 27 359 384 770 177,163 177,933 Multi-family residential 30 - - - 30 76,953 76,983 Commercial real estate 1,135 329 - 528 1,992 401,108 403,100 Loans to individuals & overdrafts 21 1 - 7 29 10,215 10,244 1-to-4 family residential 1,013 1,811 721 771 4,316 152,585 156,901 HELOC 103 - - 329 432 52,174 52,606 Deferred loan (fees) cost, net - - - - - - (1,305 ) $ 2,476 $ 2,209 $ 1,476 $ 2,115 $ 8,276 $ 975,655 $ 982,626 |
Impaired Financing Receivables [Table Text Block] | The following tables present information on loans that were considered to be impaired as of September 30, 2018 and December 31, 2017: Three months ended Nine months ended As of September 30, 2018 September 30, 2018 September 30, 2018 Contractual Interest Income Interest Income Unpaid Average Recognized on Average Recognized on Recorded Principal Related Recorded Impaired Recorded Impaired Investment Balance Allowance Investment Loans Investment Loans (In thousands) With no related allowance recorded: Commercial and industrial $ 2,731 $ 3,467 $ - $ 3,789 $ - $ 2,178 $ 108 Construction 614 697 - 481 8 486 10 Commercial real estate 5,151 6,333 - 5,361 84 4,789 238 Loans to individuals & overdrafts 132 132 - 66 1 66 1 Multi-family residential 220 220 - 223 5 227 11 1-to-4 family residential 639 1,146 - 782 10 829 35 HELOC 634 788 - 896 9 803 34 Subtotal: 10,121 12,783 - 11,598 113 9,378 437 With an allowance recorded: Commercial and industrial 632 632 115 386 19 387 20 Construction - - - 26 - - - Commercial real estate - - - - - - - Loans to individuals & overdrafts - - - 2 - - - Multi-family residential - - - - - - - 1-to-4 family residential 168 149 24 145 - 172 6 HELOC - - - 142 3 - - Subtotal: 800 781 139 701 20 559 26 Totals: Commercial 9,348 11,349 115 10,266 112 8,067 387 Consumer 132 132 - 68 1 66 1 Residential 1,441 2,083 24 1,965 20 1,804 75 Grand Total: $ 10,921 $ 13,564 $ 139 $ 12,299 $ 133 $ 9,937 $ 463 Three months ended Nine months ended As of December 31, 2017 September 30, 2017 September 30, 2017 Contractual Interest Income Interest Income Unpaid Average Recognized on Average Recognized on Recorded Principal Related Recorded Impaired Recorded Impaired Investment Balance Allowance Investment Loans Investment Loans (In thousands) With no related allowance recorded: Commercial and industrial $ 940 $ 1,234 $ - $ 1,048 $ 12 $ 1,114 $ 51 Construction 385 490 - 209 9 242 15 Commercial real estate 4,428 5,606 - 3,564 33 3,909 147 Loans to individuals & overdrafts 1 1 - - - - - Multi-family residential 234 234 - 24 - 173 - 1-to-4 family residential 1,077 1,209 - 1,191 16 1,080 49 HELOC 602 926 - 697 10 893 32 Subtotal: 7,667 9,700 - 6,733 80 7,411 294 With an allowance recorded: Commercial and industrial 142 142 50 - - 1 - Construction - - - - - - - Commercial real estate - - - 698 18 1,631 38 Loans to individuals & overdrafts - - - - - - - Multi-family residential - - - - - - - 1-to-4 family residential - - - 291 2 289 12 HELOC 202 202 11 33 - 34 - Subtotal: 344 344 61 1,022 20 1,955 50 Totals: Commercial 6,129 7,706 50 5,543 72 7,070 251 Consumer 1 1 - - - - - Residential 1,881 2,337 11 2,212 28 2,296 93 Grand Total: $ 8,011 $ 10,044 $ 61 $ 7,755 $ 100 $ 9,366 $ 344 |
Troubled Debt Restructurings on Financing Receivables [Table Text Block] | The following table presents loans that were modified as troubled debt restructurings (“TDRs”) with a breakdown of the types of concessions made by loan class during the three and nine months ended September 30, 2018 and 2017: Three months ended September 30, 2018 Nine months ended September 30, 2018 Pre- Post- Pre- Post- Modification Modification Modification Modification Outstanding Outstanding Outstanding Outstanding Number Recorded Recorded Number Recorded Recorded of loans Investment Investment of loans Investment Investment (Dollars in thousands) Extended payment terms: 1-to-4 family residential 1 $ 17 $ 16 2 $ 426 $ 413 Commercial real estate 1 392 350 3 1,283 1,123 Commercial & industrial 1 74 74 7 1,653 1,625 Total 3 $ 483 $ 440 12 $ 3,362 $ 3,161 Three months ended September 30, 2017 Nine months ended September 30, 2017 Pre- Post- Pre- Post- Modification Modification Modification Modification Outstanding Outstanding Outstanding Outstanding Number Recorded Recorded Number Recorded Recorded of loans Investment Investment of loans Investment Investment (Dollars in thousands) Extended payment terms: 1-to-4 family residential - $ - $ - 1 $ 14 $ 14 HELOCs 1 126 126 1 126 126 Commercial & industrial - - - 1 41 41 Total 1 $ 126 $ 126 3 $ 181 $ 181 The following table presents loans that were modified as TDRs within the past twelve months with a breakdown of the types for which there was a payment default during that period together with concessions made by loan class during the twelve-month periods ended September 30, 2018 and 2017: Twelve months ended Twelve months ended September 30, 2018 September 30, 2017 Number Recorded Number Recorded of loans investment of loans investment (Dollars in thousands) Extended payment terms: Commercial & industrial 5 $ 1,512 2 $ 78 Commercial real estate 2 724 - - 1-to-4 family residential 2 461 1 14 Total 9 $ 2,697 3 $ 92 |
Financing Receivable Credit Quality Indicators [Table Text Block] | The following tables present information on risk ratings of the commercial and consumer loan portfolios, segregated by loan class as of September 30, 2018 and December 31, 2017, respectively: Total loans: September 30, 2018 Commercial Credit Exposure By Commercial Commercial Internally and real Multi-family Assigned Grade industrial Construction estate residential (In thousands) Superior $ 1,518 $ - $ 5 $ - Very good 1,651 146 1,144 - Good 7,872 11,487 57,032 5,655 Acceptable 24,644 32,821 262,110 40,155 Acceptable with care 37,961 117,010 134,853 19,264 Special mention 240 726 2,010 - Substandard 6,452 683 3,202 220 Doubtful - - - - Loss - - - - $ 80,338 $ 162,873 $ 460,356 $ 65,294 Consumer Credit Exposure By Internally 1-to-4 family Assigned Grade residential HELOC Pass $ 158,514 $ 48,710 Special mention 928 211 Substandard 3,803 1,172 $ 163,245 $ 50,093 Consumer Credit Exposure Based Loans to On Payment individuals & Activity overdrafts Pass $ 10,304 Non–pass 1,952 $ 12,256 Total Loans: December 31, 2017 Commercial Credit Exposure By Commercial Commercial Internally and Real Multi-family Assigned Grade industrial Construction estate residential (dollars in thousands) Superior $ 1,207 $ - $ - $ - Very good 2,454 111 420 - Good 13,161 11,343 46,790 11,394 Acceptable 44,968 40,558 249,988 46,246 Acceptable with care 38,631 124,593 97,798 18,787 Special mention 3,172 583 3,771 322 Substandard 2,571 745 4,333 234 Doubtful - - - - Loss - - - - $ 106,164 $ 177,933 $ 403,100 $ 76,983 Consumer Credit Exposure By Internally 1-to-4 family Assigned Grade residential HELOC Pass $ 149,767 $ 51,326 Special mention 3,270 253 Substandard 3,864 1,027 $ 156,901 $ 52,606 Consumer Credit Exposure Based Loans to On Payment individuals & Activity overdrafts Pass $ 10,233 Non-pass 11 $ 10,244 |
Schedule Of Certain Loans Acquired In Transfer Accounted For As Debt Securities Accretable Yield [Table Text Block] | The following table documents changes to the amount of the accretable yield on PCI loans for the three and nine months ended September 30, 2018 and 2017 (dollars in thousands): Three Months Ended Nine Months Ended September 30, September 30, 2018 2017 2018 2017 (dollars in thousands) Accretable yield, beginning of period $ 3,102 $ 2,280 $ 3,307 $ 2,626 Accretion (540 ) (262 ) (1,242 ) (782 ) Reclassification from (to) nonaccretable difference 15 (1 ) 78 78 Other changes, net 35 169 469 264 Accretable yield, end of period $ 2,612 $ 2,186 $ 2,612 $ 2,186 |
Allowance for Credit Losses on Financing Receivables [Table Text Block] | The following tables present a roll forward of the Company’s allowance for loan losses by loan class for the three and nine month periods ended September 30, 2018, respectively: Three months ended September 30, 2018 Commercial 1 to 4 Loans to Multi- and Commercial family individuals & family Allowance for loan losses industrial Construction real estate residential HELOC overdrafts residential Total (Dollars in thousands) Loans – excluding PCI Balance, beginning of period $ 781 $ 1,768 $ 3,926 $ 1,421 $ 618 $ 320 $ 588 $ 9,422 Provision for loan losses (113 ) (295 ) 54 (16 ) (105 ) - (41 ) (516 ) Loans charged-off - - (2 ) - (20 ) (79 ) - (101 ) Recoveries 26 - 6 7 14 68 - 121 Balance, end of period $ 694 $ 1,473 $ 3,984 $ 1,412 $ 507 $ 309 $ 547 $ 8,926 PCI Loans Balance, beginning of period $ 54 $ - $ 52 $ - $ - $ - $ - $ 106 Provision for loan losses (4 ) - 57 4 - - - 57 Loans charged-off - - - - - - - - Recoveries - - - - - - - - Balance, end of period $ 50 $ - $ 109 $ 4 $ - $ - $ - $ 163 Total Loans Balance, beginning of period $ 835 $ 1,768 $ 3,978 $ 1,421 $ 618 $ 320 $ 588 $ 9,528 Provision for loan losses (117 ) (295 ) 111 (12 ) (105 ) - (41 ) (459 ) Loans charged-off - - (2 ) - (20 ) (79 ) - (101 ) Recoveries 26 - 6 7 14 68 - 121 Balance, end of period $ 744 $ 1,473 $ 4,093 $ 1,416 $ 507 $ 309 $ 547 $ 9,089 Ending Balance: individually evaluated for impairment $ 115 $ - $ - $ 24 $ - $ - $ - $ 139 Ending Balance: collectively evaluated for impairment $ 629 $ 1,473 $ 4,093 $ 1,392 $ 507 $ 309 $ 547 $ 8,950 Loans: Ending Balance: collectively evaluated for impairment non PCI loans $ 76,355 $ 161,323 $ 447,676 $ 155,648 $ 49,409 $ 12,124 $ 64,062 $ 966,597 Ending Balance: collectively evaluated for impairment PCI loans $ 621 $ 935 $ 7,529 $ 6,790 $ 50 $ - $ 1,012 $ 16,937 Ending Balance: individually evaluated for impairment $ 3,362 $ 615 $ 5,151 $ 807 $ 634 $ 132 $ 220 $ 10,921 Ending Balance $ 80,338 $ 162,873 $ 460,356 $ 163,245 $ 50,093 $ 12,256 $ 65,294 $ 994,455 Nine months ended September 30, 2018 Commercial 1 to 4 Loans to Multi- and Commercial family individuals & family Allowance for loan losses industrial Construction real estate residential HELOC overdrafts residential Total (Dollars in thousands) Loans – excluding PCI Balance, beginning of period $ 742 $ 1,955 $ 3,304 $ 1,058 $ 549 $ 305 $ 791 $ 8,704 Provision for loan losses (151 ) (488 ) 775 309 4 26 (244 ) 231 Loans charged-off (9 ) - (2 ) - (68 ) (107 ) - (186 ) Recoveries 47 6 16 25 22 85 - 201 Balance, end of period $ 629 $ 1,473 $ 4,093 $ 1,392 $ 507 $ 309 $ 547 $ 8,950 PCI Loans Balance, beginning of period $ 65 $ - $ 66 $ - $ - $ - $ - $ 131 Provision for loan losses 50 - (66 ) 24 - - - 8 Loans charged-off - - - - - - - - Recoveries - - - - - - - - Balance, end of period $ 115 $ - $ - $ 24 $ - $ - $ - $ 139 Total Loans Balance, beginning of period $ 807 $ 1,955 $ 3,370 $ 1,058 $ 549 $ 305 $ 791 $ 8,835 Provision for loan losses (101 ) (488 ) 709 333 4 26 (244 ) 239 Loans charged-off (9 ) - (2 ) - (68 ) (107 ) - (186 ) Recoveries 47 6 16 25 22 85 - 201 Balance, end of period $ 744 $ 1,473 $ 4,093 $ 1,416 $ 507 $ 309 $ 547 $ 9,089 The following tables present a roll forward of the Company’s allowance for loan losses by loan class for the three and nine month periods ended September 30, 2017, respectively: Three months ended September 30, 2017 Commercial 1 to 4 Loans to Multi- and Commercial Family individuals & family Allowance for loan losses industrial Construction real estate residential HELOC overdrafts residential Total (Dollars in thousands) Loans – excluding PCI Balance, beginning of period $ 895 $ 1,292 $ 3,913 $ 923 $ 563 $ 142 $ 732 $ 8,460 Provision for loan losses 301 366 (840 ) 50 89 219 25 210 Loans charged-off - - - - (60 ) (45 ) - (105 ) Recoveries 18 10 4 18 1 11 - 62 Balance, end of period $ 1,214 $ 1,668 $ 3,077 $ 991 $ 593 $ 327 $ 757 $ 8,627 PCI Loans Balance, beginning of period $ - $ - $ 12 $ 16 $ - $ - $ - $ 28 Provision for loan losses - - (6 ) (2 ) - - - (8 ) Loans charged-off - - - - - - - - Recoveries - - - - - - - - Balance, end of period $ - $ - $ 6 $ 14 $ - $ - $ - $ 20 Total Loans Balance, beginning of period $ 895 $ 1,292 $ 3,925 $ 939 $ 563 $ 142 $ 732 $ 8,488 Provision for loan losses 301 366 (846 ) 48 89 219 25 202 Loans charged-off - - - - (60 ) (45 ) - (105 ) Recoveries 18 10 4 18 1 11 - 62 Balance, end of period $ 1,214 $ 1,668 $ 3,083 $ 1,005 $ 593 $ 327 $ 757 $ 8,647 Ending Balance: individually evaluated for impairment $ - $ - $ 6 $ 14 $ - $ - $ - $ 20 Ending Balance: collectively evaluated for impairment $ 1,214 $ 1,668 $ 3,077 $ 991 $ 593 $ 327 $ 757 $ 8,627 Loans: Ending Balance: collectively evaluated for impairment non PCI loans $ 83,500 $ 146,542 $ 289,873 $ 98,081 $ 42,045 $ 9,586 $ 71,499 $ 741,126 Ending Balance: collectively evaluated for impairment PCI loans $ 20 $ 762 $ 7,689 $ 6,707 $ 192 $ - $ 739 $ 16,109 Ending Balance: individually evaluated for impairment $ 1,043 $ 253 $ 3,993 $ 1,441 $ 779 $ - $ - $ 7,509 Ending Balance $ 84,563 $ 147,557 $ 301,555 $ 106,229 $ 43,016 $ 9,586 $ 72,238 $ 764,744 Nine months ended September 30, 2017 Commercial 1 to 4 Loans to Multi- and Commercial family individuals & family Allowance for loan losses industrial Construction real estate residential HELOC overdrafts residential Total (Dollars in thousands) Loans – excluding PCI Balance, beginning of period $ 1,211 $ 1,301 $ 3,448 $ 846 $ 611 $ 317 $ 628 $ 8,362 Provision for loan losses (165 ) 348 241 108 87 80 127 826 Loans charged-off (37 ) - (623 ) - (129 ) (95 ) - (884 ) Recoveries 205 19 11 37 24 25 2 323 Balance, end of period $ 1,214 $ 1,668 $ 3,077 $ 991 $ 593 $ 327 $ 757 $ 8,627 PCI Loans Balance, beginning of period $ 37 $ - $ - $ - $ 12 $ - $ - $ 49 Provision for loan losses (37 ) - 300 14 (12 ) - - 265 Loans charged-off - - (294 ) - - - - (294 ) Recoveries - - - - - - - - Balance, end of period $ - $ - $ 6 $ 14 $ - $ - $ - $ 20 Total Loans Balance, beginning of period $ 1,248 $ 1,301 $ 3,448 $ 846 $ 623 $ 317 $ 628 $ 8,411 Provision for loan losses (202 ) 348 541 122 75 80 127 1,091 Loans charged-off (37 ) - (917 ) - (129 ) (95 ) - (1,178 ) Recoveries 205 19 11 37 24 25 2 323 Balance, end of period $ 1,214 $ 1,668 $ 3,083 $ 1,005 $ 593 $ 327 $ 757 $ 8,647 |
REVENUE RECOGNITION (Tables)
REVENUE RECOGNITION (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue [Table Text Block] | The following presents noninterest income, segregated by revenue streams in-scope and out-of-scope of Topic 606, for the three and nine months ended September 30, 2018 and 2017. Three Months Three Months Nine Months Nine Months Ended Ended Ended Ended September 30, September 30, September 30, September 30 2018 2017 2018 2017 (dollars in thousands) Service Charges on Deposit Accounts $ 309 $ 237 $ 830 $ 668 Other 349 32 1,119 726 Noninterest Income (in-scope of Topic 606) 658 269 1,949 1,394 Noninterest Income (out-of-scope of Topic 606) 408 509 1,508 892 Total Non-interest Income $ 1,066 $ 778 $ 3,457 $ 2,286 |
OTHER REAL ESTATE OWNED (Tables
OTHER REAL ESTATE OWNED (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Banking and Thrift [Abstract] | |
Schedule Of Real Estate Owned Properties [Table Text Block] | The following table explains changes in other real estate owned during the nine months ended September 30, 2018 and 2017: Nine Months Nine Months Ended Ended September 30, September 30, 2018 2017 (Dollars in thousands) Beginning balance January 1 $ 1,258 $ 599 Sales (657 ) (787 ) Write-downs (100 ) (214 ) Transfers 519 2,495 Ending balance $ 1,020 $ 2,093 |
BUSINESS COMBINATIONS (Tables)
BUSINESS COMBINATIONS (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Business Combinations [Abstract] | |
Business Acquisition, Pro Forma Information [Table Text Block] | The following tables reflect the pro forma total net interest income, noninterest income and net income for the nine months ended September 30, 2017 as though the acquisition of Premara had taken place on January 1, 2017 and actual amounts for the nine months ended September 30, 2018. The pro forma results have not been adjusted to remove non-recurring acquisition-related expenses, and are not necessarily indicative of the results of operations that would have occurred had the acquisition actually taken place on January 1, 2017, nor of future results of operations. Nine Months Ended September 30 2018 2017 (dollars in thousands, except per share) Net interest income $ 34,485 $ 34,307 Non-interest income 3,457 3,434 Net income available to common shareholders 9,328 7,585 Earnings per share, basic $ 0.64 $ 0.54 Earnings per share, diluted $ 0.63 $ 0.54 Weighted average common shares outstanding, basic 14,636,576 13,994,138 Weighted average common shares outstanding, diluted 14,697,379 14,046,829 |
PER SHARE RESULTS (Details)
PER SHARE RESULTS (Details) - shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Weighted average shares used for basic net income available to common shareholders | 15,858,455 | 11,662,580 | 14,636,576 | 11,659,139 |
Effect of dilutive stock options | 58,279 | 54,953 | 60,803 | 52,691 |
Weighted average shares used for diluted net income available to common shareholders | 15,916,734 | 11,717,533 | 14,697,379 | 11,711,830 |
PER SHARE RESULTS (Details Text
PER SHARE RESULTS (Details Textual) - shares | 9 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2017 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 119,800 | 152,300 |
RECENT ACCOUNTING PRONOUNCEME_2
RECENT ACCOUNTING PRONOUNCEMENTS (Details Textual) - USD ($) | 9 Months Ended | 12 Months Ended |
Sep. 30, 2018 | Dec. 31, 2017 | |
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 21.00% | 35.00% |
New Accounting Pronouncement or Change in Accounting Principle, Effect of Change on Net Income | $ 67,000 |
FAIR VALUE MEASUREMENTS (Detail
FAIR VALUE MEASUREMENTS (Details) - Fair Value, Measurements, Recurring [Member] - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Assets, Fair Value Disclosure | $ 52,264 | $ 63,774 |
U.S. government agencies - GSEs [Member] | ||
Assets, Fair Value Disclosure | 9,922 | 13,364 |
Mortgage-backed securities [Member] | ||
Assets, Fair Value Disclosure | 23,637 | 29,684 |
Municipal Bonds [Member] | ||
Assets, Fair Value Disclosure | 16,999 | 18,838 |
Corporate Bond Securities [Member] | ||
Assets, Fair Value Disclosure | 1,706 | 1,888 |
Fair Value, Inputs, Level 1 [Member] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | U.S. government agencies - GSEs [Member] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Mortgage-backed securities [Member] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Municipal Bonds [Member] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Corporate Bond Securities [Member] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | ||
Assets, Fair Value Disclosure | 52,264 | 63,774 |
Fair Value, Inputs, Level 2 [Member] | U.S. government agencies - GSEs [Member] | ||
Assets, Fair Value Disclosure | 9,922 | 13,364 |
Fair Value, Inputs, Level 2 [Member] | Mortgage-backed securities [Member] | ||
Assets, Fair Value Disclosure | 23,637 | 29,684 |
Fair Value, Inputs, Level 2 [Member] | Municipal Bonds [Member] | ||
Assets, Fair Value Disclosure | 16,999 | 18,838 |
Fair Value, Inputs, Level 2 [Member] | Corporate Bond Securities [Member] | ||
Assets, Fair Value Disclosure | 1,706 | 1,888 |
Fair Value, Inputs, Level 3 [Member] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | U.S. government agencies - GSEs [Member] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | Mortgage-backed securities [Member] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | Municipal Bonds [Member] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | Corporate Bond Securities [Member] | ||
Assets, Fair Value Disclosure | $ 0 | $ 0 |
FAIR VALUE MEASUREMENTS (Deta_2
FAIR VALUE MEASUREMENTS (Details 1) - Fair Value, Measurements, Nonrecurring [Member] - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Assets, Fair Value Disclosure | $ 5,725 | $ 3,101 |
Impaired Loans [Member] | ||
Assets, Fair Value Disclosure | 2,740 | 899 |
Loans held for sale [Member] | ||
Assets, Fair Value Disclosure | 1,297 | 98 |
Assets held for sale [Member] | ||
Assets, Fair Value Disclosure | 668 | 846 |
Foreclosed Real Estate [Member] | ||
Assets, Fair Value Disclosure | 1,020 | 1,258 |
Fair Value, Inputs, Level 1 [Member] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Impaired Loans [Member] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Loans held for sale [Member] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Assets held for sale [Member] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Foreclosed Real Estate [Member] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | ||
Assets, Fair Value Disclosure | 1,297 | 98 |
Fair Value, Inputs, Level 2 [Member] | Impaired Loans [Member] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Loans held for sale [Member] | ||
Assets, Fair Value Disclosure | 1,297 | 98 |
Fair Value, Inputs, Level 2 [Member] | Assets held for sale [Member] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Foreclosed Real Estate [Member] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | ||
Assets, Fair Value Disclosure | 4,428 | 3,003 |
Fair Value, Inputs, Level 3 [Member] | Impaired Loans [Member] | ||
Assets, Fair Value Disclosure | 2,740 | 899 |
Fair Value, Inputs, Level 3 [Member] | Loans held for sale [Member] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | Assets held for sale [Member] | ||
Assets, Fair Value Disclosure | 668 | 846 |
Fair Value, Inputs, Level 3 [Member] | Foreclosed Real Estate [Member] | ||
Assets, Fair Value Disclosure | $ 1,020 | $ 1,258 |
FAIR VALUE MEASUREMENTS (Deta_3
FAIR VALUE MEASUREMENTS (Details 2) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 | |
Financial assets: | |||
Cash and due from banks | $ 18,719 | $ 16,554 | [1] |
Certificates of deposit | 1,000 | 1,500 | |
Interest-earning deposits in other banks | 103,674 | 37,996 | |
Federal funds sold | 0 | 6,645 | [1] |
Investment securities available for sale | 52,264 | 63,774 | |
Loans held for sale | 1,297 | 98 | [1] |
Loans, net | 983,716 | 973,791 | |
Accrued interest receivable | 4,023 | 3,997 | [1] |
Stock in FHLB | 3,454 | 2,490 | [1] |
Other non-marketable securities | 800 | 1,019 | |
Assets held for sale | 668 | 846 | |
Financial liabilities: | |||
Deposits | 974,161 | 995,044 | [1] |
Short-term debt | 11,002 | 28,279 | [1] |
Long-term debt | 57,372 | 19,372 | [1] |
Accrued interest payable | 579 | 427 | [1] |
Estimate of Fair Value Measurement [Member] | |||
Financial assets: | |||
Cash and due from banks | 18,719 | 16,554 | |
Certificates of deposit | 1,000 | 1,500 | |
Interest-earning deposits in other banks | 103,674 | 37,996 | |
Federal funds sold | 6,645 | ||
Investment securities available for sale | 52,264 | 63,774 | |
Loans held for sale | 1,297 | 98 | |
Loans, net | 974,217 | 972,475 | |
Accrued interest receivable | 4,023 | 3,997 | |
Stock in FHLB | 3,454 | 2,490 | |
Other non-marketable securities | 800 | 1,019 | |
Assets held for sale | 668 | 846 | |
Financial liabilities: | |||
Deposits | 975,215 | 991,977 | |
Short-term debt | 11,002 | 28,279 | |
Long-term debt | 55,198 | 14,640 | |
Accrued interest payable | 579 | 427 | |
Fair Value, Inputs, Level 1 [Member] | |||
Financial assets: | |||
Cash and due from banks | 18,719 | 16,554 | |
Certificates of deposit | 1,000 | 1,500 | |
Interest-earning deposits in other banks | 103,674 | 37,996 | |
Federal funds sold | 6,645 | ||
Investment securities available for sale | 0 | 0 | |
Loans held for sale | 0 | ||
Loans, net | 0 | 0 | |
Accrued interest receivable | 0 | 0 | |
Stock in FHLB | 0 | 0 | |
Other non-marketable securities | 0 | 0 | |
Assets held for sale | 0 | 0 | |
Financial liabilities: | |||
Deposits | 0 | 0 | |
Short-term debt | 0 | 0 | |
Long-term debt | 0 | 0 | |
Accrued interest payable | 0 | 0 | |
Fair Value, Inputs, Level 2 [Member] | |||
Financial assets: | |||
Cash and due from banks | 0 | 0 | |
Certificates of deposit | 0 | 0 | |
Interest-earning deposits in other banks | 0 | 0 | |
Federal funds sold | 0 | ||
Investment securities available for sale | 52,264 | 63,774 | |
Loans held for sale | 1,297 | 98 | |
Loans, net | 0 | 0 | |
Accrued interest receivable | 4,023 | 3,997 | |
Stock in FHLB | 0 | 0 | |
Other non-marketable securities | 0 | 0 | |
Assets held for sale | 0 | 0 | |
Financial liabilities: | |||
Deposits | 975,215 | 991,977 | |
Short-term debt | 11,002 | 28,279 | |
Long-term debt | 55,198 | 14,640 | |
Accrued interest payable | 579 | 427 | |
Fair Value, Inputs, Level 3 [Member] | |||
Financial assets: | |||
Cash and due from banks | 0 | 0 | |
Certificates of deposit | 0 | 0 | |
Interest-earning deposits in other banks | 0 | 0 | |
Federal funds sold | 0 | ||
Investment securities available for sale | 0 | 0 | |
Loans held for sale | 0 | 0 | |
Loans, net | 974,217 | 972,475 | |
Accrued interest receivable | 0 | 0 | |
Stock in FHLB | 3,454 | 2,490 | |
Other non-marketable securities | 800 | 1,019 | |
Assets held for sale | 668 | 846 | |
Financial liabilities: | |||
Deposits | 0 | 0 | |
Short-term debt | 0 | 0 | |
Long-term debt | 0 | 0 | |
Accrued interest payable | $ 0 | $ 0 | |
[1] | Derived from audited consolidated financial statements. |
FAIR VALUE MEASUREMENTS (Deta_4
FAIR VALUE MEASUREMENTS (Details Textual) | Sep. 30, 2018 |
Minimum [Member] | |
Percentage Of Discount From Impaired Loans | 3.00% |
Percentage Of Discount From Assets held for sale | 1.00% |
Minimum [Member] | Fair Value, Measurements, Nonrecurring [Member] | |
Percentage Of Discount From Foreclosed Real Estate | 6.00% |
Maximum [Member] | |
Percentage Of Discount From Impaired Loans | 50.00% |
Percentage Of Discount From Assets held for sale | 25.00% |
Maximum [Member] | Fair Value, Measurements, Nonrecurring [Member] | |
Percentage Of Discount From Foreclosed Real Estate | 10.00% |
INVESTMENT SECURITIES (Details)
INVESTMENT SECURITIES (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 | |
Securities available for sale: | |||
Amortized cost | $ 52,773 | $ 63,253 | |
Gross unrealized gains | 166 | 660 | |
Gross unrealized losses | (675) | (139) | |
Fair value | 52,264 | 63,774 | [1] |
U.S. government agencies - GSEs [Member] | |||
Securities available for sale: | |||
Amortized cost | 10,077 | 13,241 | |
Gross unrealized gains | 16 | 148 | |
Gross unrealized losses | (171) | (25) | |
Fair value | 9,922 | 13,364 | |
Mortgage-backed securities [Member] | |||
Securities available for sale: | |||
Amortized cost | 24,025 | 29,571 | |
Gross unrealized gains | 61 | 213 | |
Gross unrealized losses | (449) | (100) | |
Fair value | 23,637 | 29,684 | |
Corporate Bonds [Member] | |||
Securities available for sale: | |||
Amortized cost | 1,697 | 1,858 | |
Gross unrealized gains | 16 | 44 | |
Gross unrealized losses | (7) | (14) | |
Fair value | 1,706 | 1,888 | |
Municipal bonds [Member] | |||
Securities available for sale: | |||
Amortized cost | 16,974 | 18,583 | |
Gross unrealized gains | 73 | 255 | |
Gross unrealized losses | (48) | 0 | |
Fair value | $ 16,999 | $ 18,838 | |
[1] | Derived from audited consolidated financial statements. |
INVESTMENT SECURITIES (Details
INVESTMENT SECURITIES (Details 1) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2018 | Dec. 31, 2017 | ||
Schedule of Available-for-sale Securities [Line Items] | |||
Amortized cost, Due within one year | $ 2,779 | $ 975 | |
Gross unrealized gains, Due within one year | 13 | 5 | |
Gross unrealized losses, Due within one year | (1) | 0 | |
Fair value, Due within one year | 2,791 | 980 | |
Amortized cost, Due after one but within five years | 35,845 | 45,418 | |
Gross unrealized gains, Due after one but within five years | 81 | 406 | |
Gross unrealized losses, Due after one but within five years | (566) | (125) | |
Fair value, Due after one but within five years | 35,360 | 45,699 | |
Amortized cost, Due after five but within ten years | 5,197 | 7,823 | |
Gross unrealized gains, Due after five but within ten years | 29 | 81 | |
Gross unrealized losses, Due after five but within ten years | (65) | (14) | |
Fair value, Due after five but within ten years | 5,161 | 7,890 | |
Amortized cost, Due after ten years | 8,952 | 9,037 | |
Gross unrealized gains, Due after ten years | 43 | 168 | |
Gross unrealized losses, Due after ten years | (43) | 0 | |
Fair value, Due after ten years | 8,952 | 9,205 | |
Available-for-sale securities, Amortized cost Total | 52,773 | 63,253 | |
Available-for-sale securities, Gross unrealized gain Total | 166 | 660 | |
Available-for-sale securities, Gross unrealized loss Total | (675) | (139) | |
Available-for-sale securities, Fair value Total | $ 52,264 | $ 63,774 | [1] |
[1] | Derived from audited consolidated financial statements. |
INVESTMENT SECURITIES (Detail_2
INVESTMENT SECURITIES (Details 2) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
U.S. government agencies - GSEs [Member] | ||
Securities available for sale: | ||
Less Than 12 Months Fair value | $ 5,930 | $ 1,651 |
Less Than 12 Months Unrealized losses | (93) | (9) |
12 Months or More Fair value | 1,953 | 1,415 |
12 Months or More Unrealized losses | (78) | (16) |
Total Fair value | 7,883 | 3,066 |
Total Unrealized losses | (171) | (25) |
Mortgage-backed securities [Member] | ||
Securities available for sale: | ||
Less Than 12 Months Fair value | 12,879 | 8,137 |
Less Than 12 Months Unrealized losses | (252) | (55) |
12 Months or More Fair value | 6,397 | 2,449 |
12 Months or More Unrealized losses | (197) | (45) |
Total Fair value | 19,276 | 10,586 |
Total Unrealized losses | (449) | (100) |
Corporate Bond Securities [Member] | ||
Securities available for sale: | ||
Less Than 12 Months Fair value | 754 | 1,752 |
Less Than 12 Months Unrealized losses | (7) | (14) |
12 Months or More Fair value | 0 | 0 |
12 Months or More Unrealized losses | 0 | 0 |
Total Fair value | 754 | 1,752 |
Total Unrealized losses | (7) | (14) |
Municipal bonds [Member] | ||
Securities available for sale: | ||
Less Than 12 Months Fair value | 6,308 | 1,101 |
Less Than 12 Months Unrealized losses | (46) | 0 |
12 Months or More Fair value | 106 | 0 |
12 Months or More Unrealized losses | (2) | 0 |
Total Fair value | 6,414 | 1,101 |
Total Unrealized losses | (48) | 0 |
Total temporarily impaired securities [Member] | ||
Securities available for sale: | ||
Less Than 12 Months Fair value | 25,871 | 12,641 |
Less Than 12 Months Unrealized losses | (398) | (78) |
12 Months or More Fair value | 8,456 | 3,864 |
12 Months or More Unrealized losses | (277) | (61) |
Total Fair value | 34,327 | 16,505 |
Total Unrealized losses | $ (675) | $ (139) |
INVESTMENT SECURITIES (Detail_3
INVESTMENT SECURITIES (Details Textual) | 9 Months Ended | 12 Months Ended |
Sep. 30, 2018USD ($) | Dec. 31, 2017USD ($) | |
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Gross Unrealized Gain (Loss) | $ 509,000 | $ 521,000 |
Deferred Income Taxes and Other Liabilities, Noncurrent | 117,000 | 123,000 |
US Government Securities, at Carrying Value | 6,500,000 | 7,500,000 |
Temporarily Impaired Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 277,000 | 61,000 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | 398,000 | 78,000 |
Mortgage-backed securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 197,000 | 45,000 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | $ 252,000 | 55,000 |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Greater than or Equal to One Year | 7 | |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Less than One Year | 22 | |
U.S. government agencies - GSEs [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | $ 78,000 | 16,000 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | $ 93,000 | 9,000 |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Greater than or Equal to One Year | 2 | |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Less than One Year | 12 | |
Municipal Bonds [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | $ 2,000 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | $ 46,000 | 0 |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Greater than or Equal to One Year | 1 | |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Less than One Year | 12 | |
Corporate Bond Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | $ 0 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | $ 7,000 | $ 14,000 |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Less than One Year | 1 |
LOANS (Details)
LOANS (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Gross loans | $ 994,455 | $ 983,931 | ||
Less deferred loan origination fees, net | (1,650) | (1,305) | ||
Total loans | 992,805 | 982,626 | [1] | $ 764,744 |
Allowance for loan losses | (9,089) | (8,835) | [1] | |
Total loans, net | $ 983,716 | $ 973,791 | [1] | |
Less deferred loan origination fees, net | (0.17%) | (0.13%) | ||
Percent of total | 100.00% | 100.00% | ||
1-to-4 family residential [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans | $ 163,245 | $ 156,901 | 106,229 | |
Percent of total | 16.44% | 15.97% | ||
Commercial real estate [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans | $ 460,356 | $ 403,100 | ||
Percent of total | 46.37% | 41.02% | ||
Multi-family residential [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans | $ 65,294 | $ 76,983 | 72,238 | |
Percent of total | 6.58% | 7.83% | ||
Construction [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans | $ 162,873 | $ 177,933 | 147,557 | |
Percent of total | 16.41% | 18.11% | ||
Home equity lines of credit ("HELOC") [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans | $ 50,093 | $ 52,606 | ||
Percent of total | 5.05% | 5.35% | ||
Total real estate loans [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans | $ 901,861 | $ 867,523 | ||
Percent of total | 90.85% | 88.28% | ||
Commercial and Industrial Other [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans | $ 80,338 | $ 106,164 | $ 84,563 | |
Percent of total | 8.09% | 10.80% | ||
Loans to individuals [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans | $ 12,034 | $ 10,097 | ||
Percent of total | 1.21% | 1.04% | ||
Overdrafts [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans | $ 222 | $ 147 | ||
Percent of total | 0.02% | 0.01% | ||
Total other loans [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans | $ 92,594 | $ 116,408 | ||
Percent of total | 9.32% | 11.85% | ||
[1] | Derived from audited consolidated financial statements. |
LOANS (Details 1)
LOANS (Details 1) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Contractually required payments | $ 24,189 | $ 29,285 |
Nonaccretable difference | 2,091 | 2,717 |
Cash flows expected to be collected | 22,098 | 26,568 |
Accretable yield | 2,612 | 3,307 |
Carrying value | $ 19,486 | $ 23,261 |
LOANS (Details 2)
LOANS (Details 2) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Loans | $ 992,805 | $ 982,626 | [1] | $ 764,744 |
Deferred loan (fees) cost, net | (1,650) | (1,305) | ||
Financing Receivables, 30 to 59 Days Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 3,103 | 2,476 | ||
Deferred loan (fees) cost, net | 0 | 0 | ||
Financing Receivables, 60 to 89 Days Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 2,135 | 2,209 | ||
Deferred loan (fees) cost, net | 0 | |||
Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 2,932 | 1,476 | ||
Deferred loan (fees) cost, net | 0 | 0 | ||
Total Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 14,811 | 8,276 | ||
Deferred loan (fees) cost, net | 0 | 0 | ||
Current [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Current | 979,644 | 975,655 | ||
Deferred loan (fees) cost, net | 0 | 0 | ||
Total Loans [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Loans | 992,805 | 982,626 | ||
Deferred loan (fees) cost, net | (1,650) | (1,305) | ||
Non Accrual Loans [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Non-Accrual Loans | 6,641 | 2,115 | ||
Deferred loan (fees) cost, net | 0 | 0 | ||
Commercial and Industrial Other [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Loans | 80,338 | 106,164 | 84,563 | |
Commercial and Industrial Other [Member] | Financing Receivables, 30 to 59 Days Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 997 | 174 | ||
Commercial and Industrial Other [Member] | Financing Receivables, 60 to 89 Days Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 944 | 41 | ||
Commercial and Industrial Other [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 1,648 | 396 | ||
Commercial and Industrial Other [Member] | Total Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 7,671 | 707 | ||
Commercial and Industrial Other [Member] | Current [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Current | 72,667 | 105,457 | ||
Commercial and Industrial Other [Member] | Total Loans [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Loans | 80,338 | 106,164 | ||
Commercial and Industrial Other [Member] | Non Accrual Loans [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Non-Accrual Loans | 4,082 | 96 | ||
Construction [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Loans | 162,873 | 177,933 | 147,557 | |
Construction [Member] | Financing Receivables, 30 to 59 Days Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 15 | 0 | ||
Construction [Member] | Financing Receivables, 60 to 89 Days Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 27 | |||
Construction [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 68 | 359 | ||
Construction [Member] | Total Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 698 | 770 | ||
Construction [Member] | Current [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Current | 162,175 | 177,163 | ||
Construction [Member] | Total Loans [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Loans | 162,873 | 177,933 | ||
Construction [Member] | Non Accrual Loans [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Non-Accrual Loans | 615 | 384 | ||
Multi-family residential [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Loans | 65,294 | 76,983 | 72,238 | |
Multi-family residential [Member] | Financing Receivables, 30 to 59 Days Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 0 | 30 | ||
Multi-family residential [Member] | Financing Receivables, 60 to 89 Days Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 0 | |||
Multi-family residential [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 0 | 0 | ||
Multi-family residential [Member] | Total Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 0 | 30 | ||
Multi-family residential [Member] | Current [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Current | 65,294 | 76,953 | ||
Multi-family residential [Member] | Total Loans [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Loans | 65,294 | 76,983 | ||
Multi-family residential [Member] | Non Accrual Loans [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Non-Accrual Loans | 0 | 0 | ||
Commercial Real Estate [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Loans | 460,356 | 403,100 | 301,555 | |
Commercial Real Estate [Member] | Financing Receivables, 30 to 59 Days Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 1,296 | 1,135 | ||
Commercial Real Estate [Member] | Financing Receivables, 60 to 89 Days Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 378 | 329 | ||
Commercial Real Estate [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 0 | 0 | ||
Commercial Real Estate [Member] | Total Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 2,418 | 1,992 | ||
Commercial Real Estate [Member] | Current [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Current | 457,938 | 401,108 | ||
Commercial Real Estate [Member] | Total Loans [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Loans | 460,356 | 403,100 | ||
Commercial Real Estate [Member] | Non Accrual Loans [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Non-Accrual Loans | 744 | 528 | ||
Loans to individuals & overdrafts [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Loans | 12,256 | 10,244 | 9,586 | |
Loans to individuals & overdrafts [Member] | Financing Receivables, 30 to 59 Days Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 2 | 21 | ||
Loans to individuals & overdrafts [Member] | Financing Receivables, 60 to 89 Days Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 1 | |||
Loans to individuals & overdrafts [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 0 | 0 | ||
Loans to individuals & overdrafts [Member] | Total Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 2 | 29 | ||
Loans to individuals & overdrafts [Member] | Current [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Current | 12,254 | 10,215 | ||
Loans to individuals & overdrafts [Member] | Total Loans [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Loans | 12,256 | 10,244 | ||
Loans to individuals & overdrafts [Member] | Non Accrual Loans [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Non-Accrual Loans | 0 | 7 | ||
1-to-4 family residential [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Loans | 163,245 | 156,901 | 106,229 | |
1-to-4 family residential [Member] | Financing Receivables, 30 to 59 Days Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 746 | 1,013 | ||
1-to-4 family residential [Member] | Financing Receivables, 60 to 89 Days Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 813 | 1,811 | ||
1-to-4 family residential [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 1,216 | 721 | ||
1-to-4 family residential [Member] | Total Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 3,209 | 4,316 | ||
1-to-4 family residential [Member] | Current [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Current | 160,036 | 152,585 | ||
1-to-4 family residential [Member] | Total Loans [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Loans | 163,245 | 156,901 | ||
1-to-4 family residential [Member] | Non Accrual Loans [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Non-Accrual Loans | 434 | 771 | ||
HELOC [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Loans | 50,093 | 52,606 | $ 43,016 | |
HELOC [Member] | Financing Receivables, 30 to 59 Days Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 47 | 103 | ||
HELOC [Member] | Financing Receivables, 60 to 89 Days Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 0 | |||
HELOC [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 0 | 0 | ||
HELOC [Member] | Total Past Due [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Past Due | 813 | 432 | ||
HELOC [Member] | Current [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total Current | 49,280 | 52,174 | ||
HELOC [Member] | Total Loans [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Loans | 50,093 | 52,606 | ||
HELOC [Member] | Non Accrual Loans [Member] | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Non-Accrual Loans | $ 766 | $ 329 | ||
[1] | Derived from audited consolidated financial statements. |
LOANS (Details 3)
LOANS (Details 3) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | Dec. 31, 2017 | |
Financing Receivable, Impaired [Line Items] | |||||
With no related allowance, Recorded Investment | $ 10,121 | $ 10,121 | $ 7,667 | ||
With no related allowance, Contractual Unpaid Principal Balance | 12,783 | 12,783 | 9,700 | ||
With no related allowance, Average Recorded Investment | 11,598 | $ 6,733 | 9,378 | $ 7,411 | |
With no related allowance, Interest Income Recognized on Impaired Loans | 113 | 80 | 437 | 294 | |
With an related allowance, Recorded Investment | 800 | 800 | 344 | ||
With an related allowance, Contractual Unpaid Principal Balance | 781 | 781 | 344 | ||
Related Allowance | 139 | 139 | 61 | ||
With an related allowance, Average Recorded Investment | 701 | 1,022 | 559 | 1,955 | |
With an related allowance, Interest Income Recognized on Impaired Loans | 20 | 20 | 26 | 50 | |
Recorded Investment Total | 10,921 | 10,921 | 8,011 | ||
Contractual Unpaid Principal Balance Total | 13,564 | 13,564 | 10,044 | ||
Average Recorded Investment Total | 12,299 | 7,755 | 9,937 | 9,366 | |
Interest Income Recognized on impaired Loans Total | 133 | 100 | 463 | 344 | |
Residential Real Estate [Member] | |||||
Financing Receivable, Impaired [Line Items] | |||||
Related Allowance | 24 | 24 | 11 | ||
Recorded Investment Total | 1,441 | 1,441 | 1,881 | ||
Contractual Unpaid Principal Balance Total | 2,083 | 2,083 | 2,337 | ||
Average Recorded Investment Total | 1,965 | 2,212 | 1,804 | 2,296 | |
Interest Income Recognized on impaired Loans Total | 20 | 28 | 75 | 93 | |
Commercial Loan [Member] | |||||
Financing Receivable, Impaired [Line Items] | |||||
Related Allowance | 115 | 115 | 50 | ||
Recorded Investment Total | 9,348 | 9,348 | 6,129 | ||
Contractual Unpaid Principal Balance Total | 11,349 | 11,349 | 7,706 | ||
Average Recorded Investment Total | 10,266 | 5,543 | 8,067 | 7,070 | |
Interest Income Recognized on impaired Loans Total | 112 | 72 | 387 | 251 | |
Consumer Loan [Member] | |||||
Financing Receivable, Impaired [Line Items] | |||||
Related Allowance | 0 | 0 | 0 | ||
Recorded Investment Total | 132 | 132 | 1 | ||
Contractual Unpaid Principal Balance Total | 132 | 132 | 1 | ||
Average Recorded Investment Total | 68 | 0 | 66 | 0 | |
Interest Income Recognized on impaired Loans Total | 1 | 0 | 1 | 0 | |
Commercial and Industrial Other [Member] | |||||
Financing Receivable, Impaired [Line Items] | |||||
With no related allowance, Recorded Investment | 2,731 | 2,731 | 940 | ||
With no related allowance, Contractual Unpaid Principal Balance | 3,467 | 3,467 | 1,234 | ||
With no related allowance, Average Recorded Investment | 3,789 | 1,048 | 2,178 | 1,114 | |
With no related allowance, Interest Income Recognized on Impaired Loans | 0 | 12 | 108 | 51 | |
With an related allowance, Recorded Investment | 632 | 632 | 142 | ||
With an related allowance, Contractual Unpaid Principal Balance | 632 | 632 | 142 | ||
Related Allowance | 115 | 115 | 50 | ||
With an related allowance, Average Recorded Investment | 386 | 0 | 387 | 1 | |
With an related allowance, Interest Income Recognized on Impaired Loans | 19 | 0 | 20 | 0 | |
Construction [Member] | |||||
Financing Receivable, Impaired [Line Items] | |||||
With no related allowance, Recorded Investment | 614 | 614 | 385 | ||
With no related allowance, Contractual Unpaid Principal Balance | 697 | 697 | 490 | ||
With no related allowance, Average Recorded Investment | 481 | 209 | 486 | 242 | |
With no related allowance, Interest Income Recognized on Impaired Loans | 8 | 9 | 10 | 15 | |
With an related allowance, Recorded Investment | 0 | 0 | 0 | ||
With an related allowance, Contractual Unpaid Principal Balance | 0 | 0 | 0 | ||
Related Allowance | 0 | 0 | 0 | ||
With an related allowance, Average Recorded Investment | 26 | 0 | 0 | 0 | |
With an related allowance, Interest Income Recognized on Impaired Loans | 0 | 0 | 0 | 0 | |
Commercial real estate [Member] | |||||
Financing Receivable, Impaired [Line Items] | |||||
With no related allowance, Recorded Investment | 5,151 | 5,151 | 4,428 | ||
With no related allowance, Contractual Unpaid Principal Balance | 6,333 | 6,333 | 5,606 | ||
With no related allowance, Average Recorded Investment | 5,361 | 3,564 | 4,789 | 3,909 | |
With no related allowance, Interest Income Recognized on Impaired Loans | 84 | 33 | 238 | 147 | |
With an related allowance, Recorded Investment | 0 | 0 | 0 | ||
With an related allowance, Contractual Unpaid Principal Balance | 0 | 0 | 0 | ||
Related Allowance | 0 | 0 | 0 | ||
With an related allowance, Average Recorded Investment | 0 | 698 | 0 | 1,631 | |
With an related allowance, Interest Income Recognized on Impaired Loans | 0 | 18 | 0 | 38 | |
Loans to individuals & overdrafts [Member] | |||||
Financing Receivable, Impaired [Line Items] | |||||
With no related allowance, Recorded Investment | 132 | 132 | 1 | ||
With no related allowance, Contractual Unpaid Principal Balance | 132 | 132 | 1 | ||
With no related allowance, Average Recorded Investment | 66 | 0 | 66 | 0 | |
With no related allowance, Interest Income Recognized on Impaired Loans | 1 | 0 | 1 | 0 | |
With an related allowance, Recorded Investment | 0 | 0 | 0 | ||
With an related allowance, Contractual Unpaid Principal Balance | 0 | 0 | 0 | ||
Related Allowance | 0 | 0 | 0 | ||
With an related allowance, Average Recorded Investment | 2 | 0 | 0 | 0 | |
With an related allowance, Interest Income Recognized on Impaired Loans | 0 | 0 | 0 | 0 | |
Multi-family residential [Member] | |||||
Financing Receivable, Impaired [Line Items] | |||||
With no related allowance, Recorded Investment | 220 | 220 | 234 | ||
With no related allowance, Contractual Unpaid Principal Balance | 220 | 220 | 234 | ||
With no related allowance, Average Recorded Investment | 223 | 24 | 227 | 173 | |
With no related allowance, Interest Income Recognized on Impaired Loans | 5 | 0 | 11 | 0 | |
With an related allowance, Recorded Investment | 0 | 0 | 0 | ||
With an related allowance, Contractual Unpaid Principal Balance | 0 | 0 | 0 | ||
Related Allowance | 0 | 0 | 0 | ||
With an related allowance, Average Recorded Investment | 0 | 0 | 0 | 0 | |
With an related allowance, Interest Income Recognized on Impaired Loans | 0 | 0 | 0 | 0 | |
HELOC [Member] | |||||
Financing Receivable, Impaired [Line Items] | |||||
With no related allowance, Recorded Investment | 634 | 634 | 602 | ||
With no related allowance, Contractual Unpaid Principal Balance | 788 | 788 | 926 | ||
With no related allowance, Average Recorded Investment | 896 | 697 | 803 | 893 | |
With no related allowance, Interest Income Recognized on Impaired Loans | 9 | 10 | 34 | 32 | |
With an related allowance, Recorded Investment | 0 | 0 | 202 | ||
With an related allowance, Contractual Unpaid Principal Balance | 0 | 0 | 202 | ||
Related Allowance | 0 | 0 | 11 | ||
With an related allowance, Average Recorded Investment | 142 | 33 | 0 | 34 | |
With an related allowance, Interest Income Recognized on Impaired Loans | 3 | 0 | 0 | 0 | |
1-to-4 family residential [Member] | |||||
Financing Receivable, Impaired [Line Items] | |||||
With no related allowance, Recorded Investment | 639 | 639 | 1,077 | ||
With no related allowance, Contractual Unpaid Principal Balance | 1,146 | 1,146 | 1,209 | ||
With no related allowance, Average Recorded Investment | 782 | 1,191 | 829 | 1,080 | |
With no related allowance, Interest Income Recognized on Impaired Loans | 10 | 16 | 35 | 49 | |
With an related allowance, Recorded Investment | 168 | 168 | 0 | ||
With an related allowance, Contractual Unpaid Principal Balance | 149 | 149 | 0 | ||
Related Allowance | 24 | 24 | $ 0 | ||
With an related allowance, Average Recorded Investment | 145 | 291 | 172 | 289 | |
With an related allowance, Interest Income Recognized on Impaired Loans | $ 0 | $ 2 | $ 6 | $ 12 |
LOANS (Details 4)
LOANS (Details 4) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
Sep. 30, 2018USD ($) | Sep. 30, 2017USD ($) | Sep. 30, 2018USD ($) | Sep. 30, 2017USD ($) | Sep. 30, 2018USD ($) | Sep. 30, 2017USD ($) | |
Financing Receivable, Modifications [Line Items] | ||||||
Number of loans | 3 | 1 | 12 | 3 | 9 | 3 |
Pre-Modification Outstanding Recorded Investment | $ 483 | $ 126 | $ 3,362 | $ 181 | ||
Post-Modification Outstanding Recorded Investment | $ 440 | $ 126 | $ 3,161 | $ 181 | ||
Recorded investment | $ 2,697 | $ 92 | ||||
1-to-4 family residential [Member] | ||||||
Financing Receivable, Modifications [Line Items] | ||||||
Number of loans | 1 | 0 | 2 | 1 | 2 | 1 |
Pre-Modification Outstanding Recorded Investment | $ 17 | $ 0 | $ 426 | $ 14 | ||
Post-Modification Outstanding Recorded Investment | $ 16 | $ 0 | $ 413 | $ 14 | ||
Recorded investment | $ 461 | $ 14 | ||||
HELOC [Member] | ||||||
Financing Receivable, Modifications [Line Items] | ||||||
Number of loans | 1 | 1 | ||||
Pre-Modification Outstanding Recorded Investment | $ 126 | $ 126 | ||||
Post-Modification Outstanding Recorded Investment | $ 126 | $ 126 | ||||
Commercial and Industrial Other [Member] | ||||||
Financing Receivable, Modifications [Line Items] | ||||||
Number of loans | 1 | 0 | 7 | 1 | 5 | 2 |
Pre-Modification Outstanding Recorded Investment | $ 74 | $ 0 | $ 1,653 | $ 41 | ||
Post-Modification Outstanding Recorded Investment | $ 74 | $ 0 | $ 1,625 | $ 41 | ||
Recorded investment | $ 1,512 | $ 78 | ||||
Commercial real estate [Member] | ||||||
Financing Receivable, Modifications [Line Items] | ||||||
Number of loans | 1 | 3 | 2 | 0 | ||
Pre-Modification Outstanding Recorded Investment | $ 392 | $ 1,283 | ||||
Post-Modification Outstanding Recorded Investment | $ 350 | $ 1,123 | ||||
Recorded investment | $ 724 | $ 0 |
LOANS (Details 5)
LOANS (Details 5) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | |
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | $ 992,805 | $ 982,626 | [1] | $ 764,744 |
Commercial and Industrial Other [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 80,338 | 106,164 | 84,563 | |
Commercial and Industrial Other [Member] | Superior [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 1,518 | 1,207 | ||
Commercial and Industrial Other [Member] | Very Good [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 1,651 | 2,454 | ||
Commercial and Industrial Other [Member] | Good [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 7,872 | 13,161 | ||
Commercial and Industrial Other [Member] | Acceptable [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 24,644 | 44,968 | ||
Commercial and Industrial Other [Member] | Acceptable With Care [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 37,961 | 38,631 | ||
Commercial and Industrial Other [Member] | Special Mention [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 240 | 3,172 | ||
Commercial and Industrial Other [Member] | Substandard [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 6,452 | 2,571 | ||
Commercial and Industrial Other [Member] | Doubtful [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 0 | 0 | ||
Commercial and Industrial Other [Member] | Loss [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 0 | 0 | ||
Construction [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 162,873 | 177,933 | ||
Construction [Member] | Superior [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 0 | 0 | ||
Construction [Member] | Very Good [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 146 | 111 | ||
Construction [Member] | Good [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 11,487 | 11,343 | ||
Construction [Member] | Acceptable [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 32,821 | 40,558 | ||
Construction [Member] | Acceptable With Care [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 117,010 | 124,593 | ||
Construction [Member] | Special Mention [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 726 | 583 | ||
Construction [Member] | Substandard [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 683 | 745 | ||
Construction [Member] | Doubtful [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 0 | 0 | ||
Construction [Member] | Loss [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 0 | 0 | ||
Commercial real estate [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 460,356 | 403,100 | 301,555 | |
Commercial real estate [Member] | Superior [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 5 | 0 | ||
Commercial real estate [Member] | Very Good [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 1,144 | 420 | ||
Commercial real estate [Member] | Good [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 57,032 | 46,790 | ||
Commercial real estate [Member] | Acceptable [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 262,110 | 249,988 | ||
Commercial real estate [Member] | Acceptable With Care [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 134,853 | 97,798 | ||
Commercial real estate [Member] | Special Mention [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 2,010 | 3,771 | ||
Commercial real estate [Member] | Substandard [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 3,202 | 4,333 | ||
Commercial real estate [Member] | Doubtful [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 0 | 0 | ||
Commercial real estate [Member] | Loss [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 0 | 0 | ||
Multi-family residential [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 65,294 | 76,983 | 72,238 | |
Multi-family residential [Member] | Superior [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 0 | 0 | ||
Multi-family residential [Member] | Very Good [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 0 | 0 | ||
Multi-family residential [Member] | Good [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 5,655 | 11,394 | ||
Multi-family residential [Member] | Acceptable [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 40,155 | 46,246 | ||
Multi-family residential [Member] | Acceptable With Care [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 19,264 | 18,787 | ||
Multi-family residential [Member] | Special Mention [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 0 | 322 | ||
Multi-family residential [Member] | Substandard [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 220 | 234 | ||
Multi-family residential [Member] | Doubtful [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 0 | 0 | ||
Multi-family residential [Member] | Loss [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 0 | 0 | ||
1-to-4 family residential [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 163,245 | 156,901 | 106,229 | |
1-to-4 family residential [Member] | Pass [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 158,514 | 149,767 | ||
1-to-4 family residential [Member] | Special Mention [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 928 | 3,270 | ||
1-to-4 family residential [Member] | Substandard [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 3,803 | 3,864 | ||
HELOC [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 50,093 | 52,606 | 43,016 | |
HELOC [Member] | Pass [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 48,710 | 51,326 | ||
HELOC [Member] | Special Mention [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 211 | 253 | ||
HELOC [Member] | Substandard [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 1,172 | 1,027 | ||
Loans to individuals & overdrafts [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 12,256 | 10,244 | $ 9,586 | |
Loans to individuals & overdrafts [Member] | Pass [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | 10,304 | 10,233 | ||
Loans to individuals & overdrafts [Member] | Non-Pass [Member] | ||||
Financing Receivable, Recorded Investment [Line Items] | ||||
Loans | $ 1,952 | $ 11 | ||
[1] | Derived from audited consolidated financial statements. |
LOANS (Details 6)
LOANS (Details 6) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Schedule Of Certain Loans Acquired In Transfer Accounted For As Debt Securities Accretable Yield [Line Items] | ||||
Accretable yield, beginning of period | $ 3,102 | $ 2,280 | $ 3,307 | $ 2,626 |
Accretion | (540) | (262) | (1,242) | (782) |
Reclassification from (to) nonaccretable difference | 15 | (1) | 78 | 78 |
Other changes, net | 35 | 169 | 469 | 264 |
Accretable yield, end of period | $ 2,612 | $ 2,186 | $ 2,612 | $ 2,186 |
LOANS (Details 7)
LOANS (Details 7) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | Dec. 31, 2017 | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Allowance for loan losses, Balance, beginning of period | [1] | $ 8,835 | |||||
Allowance for loan losses, Balance, end of period | $ 9,089 | 9,089 | |||||
Ending Balance: individually evaluated for impairment | 139 | $ 20 | 139 | $ 20 | |||
Ending Balance: collectively evaluated for impairment | 8,950 | 8,627 | 8,950 | 8,627 | |||
Loans | |||||||
Ending balance: individually evaluated for impairment | 10,921 | 7,509 | 10,921 | 7,509 | |||
Ending balance | 992,805 | 764,744 | 992,805 | 764,744 | $ 982,626 | [1] | |
Excluding Purchase Credit Impairment Loans [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Allowance for loan losses, Balance, beginning of period | 9,422 | 8,460 | 8,704 | 8,362 | |||
Provision for (recovery of) loan losses | (516) | 210 | 231 | 826 | |||
Loans charged-off | (101) | (105) | (186) | (884) | |||
Recoveries | 121 | 62 | 201 | 323 | |||
Allowance for loan losses, Balance, end of period | 8,926 | 8,627 | 8,926 | 8,627 | |||
Loans | |||||||
Ending balance: collectively evaluated for impairment | 966,597 | 741,126 | 966,597 | 741,126 | |||
Purchase Credit Impairment Loans [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Allowance for loan losses, Balance, beginning of period | 106 | 28 | 131 | 49 | |||
Provision for (recovery of) loan losses | 57 | (8) | 8 | 265 | |||
Loans charged-off | 0 | 0 | 0 | (294) | |||
Recoveries | 0 | 0 | 0 | 0 | |||
Allowance for loan losses, Balance, end of period | 139 | 20 | 139 | 20 | |||
Loans | |||||||
Ending balance: collectively evaluated for impairment | 16,937 | 16,109 | 16,937 | 16,109 | |||
Total Loans [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Allowance for loan losses, Balance, beginning of period | 9,528 | 8,488 | 8,835 | 8,411 | |||
Provision for (recovery of) loan losses | (459) | 202 | 239 | 1,091 | |||
Loans charged-off | (101) | (105) | (186) | (1,178) | |||
Recoveries | 121 | 62 | 201 | 323 | |||
Allowance for loan losses, Balance, end of period | 9,089 | 8,647 | 9,089 | 8,647 | |||
Loans | |||||||
Ending balance | 992,805 | 992,805 | 982,626 | ||||
Commercial and Industrial Other [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Ending Balance: individually evaluated for impairment | 115 | 0 | 115 | 0 | |||
Ending Balance: collectively evaluated for impairment | 629 | 1,214 | 629 | 1,214 | |||
Loans | |||||||
Ending balance: individually evaluated for impairment | 3,362 | 1,043 | 3,362 | 1,043 | |||
Ending balance | 80,338 | 84,563 | 80,338 | 84,563 | 106,164 | ||
Commercial and Industrial Other [Member] | Excluding Purchase Credit Impairment Loans [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Allowance for loan losses, Balance, beginning of period | 781 | 895 | 742 | 1,211 | |||
Provision for (recovery of) loan losses | (113) | 301 | (151) | (165) | |||
Loans charged-off | 0 | 0 | (9) | (37) | |||
Recoveries | 26 | 18 | 47 | 205 | |||
Allowance for loan losses, Balance, end of period | 694 | 1,214 | 694 | 1,214 | |||
Loans | |||||||
Ending balance: collectively evaluated for impairment | 76,355 | 83,500 | 76,355 | 83,500 | |||
Commercial and Industrial Other [Member] | Purchase Credit Impairment Loans [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Allowance for loan losses, Balance, beginning of period | 54 | 0 | 65 | 37 | |||
Provision for (recovery of) loan losses | (4) | 0 | 50 | (37) | |||
Loans charged-off | 0 | 0 | 0 | 0 | |||
Recoveries | 0 | 0 | 0 | 0 | |||
Allowance for loan losses, Balance, end of period | 115 | 0 | 115 | 0 | |||
Loans | |||||||
Ending balance: collectively evaluated for impairment | 621 | 20 | 621 | 20 | |||
Commercial and Industrial Other [Member] | Total Loans [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Allowance for loan losses, Balance, beginning of period | 835 | 895 | 807 | 1,248 | |||
Provision for (recovery of) loan losses | (117) | 301 | (101) | (202) | |||
Loans charged-off | 0 | 0 | (9) | (37) | |||
Recoveries | 26 | 18 | 47 | 205 | |||
Allowance for loan losses, Balance, end of period | 744 | 1,214 | 744 | 1,214 | |||
Loans | |||||||
Ending balance | 80,338 | 80,338 | 106,164 | ||||
Construction [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Ending Balance: individually evaluated for impairment | 0 | 0 | 0 | 0 | |||
Ending Balance: collectively evaluated for impairment | 1,473 | 1,668 | 1,473 | 1,668 | |||
Loans | |||||||
Ending balance: individually evaluated for impairment | 615 | 253 | 615 | 253 | |||
Ending balance | 162,873 | 147,557 | 162,873 | 147,557 | 177,933 | ||
Construction [Member] | Excluding Purchase Credit Impairment Loans [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Allowance for loan losses, Balance, beginning of period | 1,768 | 1,292 | 1,955 | 1,301 | |||
Provision for (recovery of) loan losses | (295) | 366 | (488) | 348 | |||
Loans charged-off | 0 | 0 | 0 | 0 | |||
Recoveries | 0 | 10 | 6 | 19 | |||
Allowance for loan losses, Balance, end of period | 1,473 | 1,668 | 1,473 | 1,668 | |||
Loans | |||||||
Ending balance: collectively evaluated for impairment | 161,323 | 146,542 | 161,323 | 146,542 | |||
Construction [Member] | Purchase Credit Impairment Loans [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Allowance for loan losses, Balance, beginning of period | 0 | 0 | 0 | 0 | |||
Provision for (recovery of) loan losses | 0 | 0 | 0 | 0 | |||
Loans charged-off | 0 | 0 | 0 | 0 | |||
Recoveries | 0 | 0 | 0 | 0 | |||
Allowance for loan losses, Balance, end of period | 0 | 0 | 0 | 0 | |||
Loans | |||||||
Ending balance: collectively evaluated for impairment | 935 | 762 | 935 | 762 | |||
Construction [Member] | Total Loans [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Allowance for loan losses, Balance, beginning of period | 1,768 | 1,292 | 1,955 | 1,301 | |||
Provision for (recovery of) loan losses | (295) | 366 | (488) | 348 | |||
Loans charged-off | 0 | 0 | 0 | 0 | |||
Recoveries | 0 | 10 | 6 | 19 | |||
Allowance for loan losses, Balance, end of period | 1,473 | 1,668 | 1,473 | 1,668 | |||
Loans | |||||||
Ending balance | 162,873 | 162,873 | 177,933 | ||||
Commercial real estate [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Ending Balance: individually evaluated for impairment | 0 | 6 | 0 | 6 | |||
Ending Balance: collectively evaluated for impairment | 4,093 | 3,077 | 4,093 | 3,077 | |||
Loans | |||||||
Ending balance: individually evaluated for impairment | 5,151 | 3,993 | 5,151 | 3,993 | |||
Ending balance | 460,356 | 301,555 | 460,356 | 301,555 | 403,100 | ||
Commercial real estate [Member] | Excluding Purchase Credit Impairment Loans [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Allowance for loan losses, Balance, beginning of period | 3,926 | 3,913 | 3,304 | 3,448 | |||
Provision for (recovery of) loan losses | 54 | (840) | 775 | 241 | |||
Loans charged-off | (2) | 0 | (2) | (623) | |||
Recoveries | 6 | 4 | 16 | 11 | |||
Allowance for loan losses, Balance, end of period | 3,984 | 3,077 | 3,984 | 3,077 | |||
Loans | |||||||
Ending balance: collectively evaluated for impairment | 447,676 | 289,873 | 447,676 | 289,873 | |||
Commercial real estate [Member] | Purchase Credit Impairment Loans [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Allowance for loan losses, Balance, beginning of period | 52 | 12 | 66 | 0 | |||
Provision for (recovery of) loan losses | 57 | (6) | (66) | 300 | |||
Loans charged-off | 0 | 0 | 0 | (294) | |||
Recoveries | 0 | 0 | 0 | 0 | |||
Allowance for loan losses, Balance, end of period | 0 | 6 | 0 | 6 | |||
Loans | |||||||
Ending balance: collectively evaluated for impairment | 7,529 | 7,689 | 7,529 | 7,689 | |||
Commercial real estate [Member] | Total Loans [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Allowance for loan losses, Balance, beginning of period | 3,978 | 3,925 | 3,370 | 3,448 | |||
Provision for (recovery of) loan losses | 111 | (846) | 709 | 541 | |||
Loans charged-off | (2) | 0 | (2) | (917) | |||
Recoveries | 6 | 4 | 16 | 11 | |||
Allowance for loan losses, Balance, end of period | 4,093 | 3,083 | 4,093 | 3,083 | |||
Loans | |||||||
Ending balance | 460,356 | 460,356 | 403,100 | ||||
1-to-4 family residential [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Ending Balance: individually evaluated for impairment | 24 | 14 | 24 | 14 | |||
Ending Balance: collectively evaluated for impairment | 1,392 | 991 | 1,392 | 991 | |||
Loans | |||||||
Ending balance: individually evaluated for impairment | 807 | 1,441 | 807 | 1,441 | |||
Ending balance | 163,245 | 106,229 | 163,245 | 106,229 | 156,901 | ||
1-to-4 family residential [Member] | Excluding Purchase Credit Impairment Loans [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Allowance for loan losses, Balance, beginning of period | 1,421 | 923 | 1,058 | 846 | |||
Provision for (recovery of) loan losses | (16) | 50 | 309 | 108 | |||
Loans charged-off | 0 | 0 | 0 | 0 | |||
Recoveries | 7 | 18 | 25 | 37 | |||
Allowance for loan losses, Balance, end of period | 1,392 | 991 | 1,392 | 991 | |||
Loans | |||||||
Ending balance: collectively evaluated for impairment | 155,648 | 98,081 | 155,648 | 98,081 | |||
1-to-4 family residential [Member] | Purchase Credit Impairment Loans [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Allowance for loan losses, Balance, beginning of period | 0 | 16 | 0 | 0 | |||
Provision for (recovery of) loan losses | 4 | (2) | 24 | 14 | |||
Loans charged-off | 0 | 0 | 0 | 0 | |||
Recoveries | 0 | 0 | 0 | 0 | |||
Allowance for loan losses, Balance, end of period | 24 | 14 | 24 | 14 | |||
Loans | |||||||
Ending balance: collectively evaluated for impairment | 6,790 | 6,707 | 6,790 | 6,707 | |||
1-to-4 family residential [Member] | Total Loans [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Allowance for loan losses, Balance, beginning of period | 1,421 | 939 | 1,058 | 846 | |||
Provision for (recovery of) loan losses | (12) | 48 | 333 | 122 | |||
Loans charged-off | 0 | 0 | 0 | 0 | |||
Recoveries | 7 | 18 | 25 | 37 | |||
Allowance for loan losses, Balance, end of period | 1,416 | 1,005 | 1,416 | 1,005 | |||
Loans | |||||||
Ending balance | 163,245 | 163,245 | 156,901 | ||||
HELOC [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Ending Balance: individually evaluated for impairment | 0 | 0 | 0 | 0 | |||
Ending Balance: collectively evaluated for impairment | 507 | 593 | 507 | 593 | |||
Loans | |||||||
Ending balance: individually evaluated for impairment | 634 | 779 | 634 | 779 | |||
Ending balance | 50,093 | 43,016 | 50,093 | 43,016 | 52,606 | ||
HELOC [Member] | Excluding Purchase Credit Impairment Loans [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Allowance for loan losses, Balance, beginning of period | 618 | 563 | 549 | 611 | |||
Provision for (recovery of) loan losses | (105) | 89 | 4 | 87 | |||
Loans charged-off | (20) | (60) | (68) | (129) | |||
Recoveries | 14 | 1 | 22 | 24 | |||
Allowance for loan losses, Balance, end of period | 507 | 593 | 507 | 593 | |||
Loans | |||||||
Ending balance: collectively evaluated for impairment | 49,409 | 42,045 | 49,409 | 42,045 | |||
HELOC [Member] | Purchase Credit Impairment Loans [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Allowance for loan losses, Balance, beginning of period | 0 | 0 | 0 | 12 | |||
Provision for (recovery of) loan losses | 0 | 0 | 0 | (12) | |||
Loans charged-off | 0 | 0 | 0 | 0 | |||
Recoveries | 0 | 0 | 0 | 0 | |||
Allowance for loan losses, Balance, end of period | 0 | 0 | 0 | 0 | |||
Loans | |||||||
Ending balance: collectively evaluated for impairment | 50 | 192 | 50 | 192 | |||
HELOC [Member] | Total Loans [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Allowance for loan losses, Balance, beginning of period | 618 | 563 | 549 | 623 | |||
Provision for (recovery of) loan losses | (105) | 89 | 4 | 75 | |||
Loans charged-off | (20) | (60) | (68) | (129) | |||
Recoveries | 14 | 1 | 22 | 24 | |||
Allowance for loan losses, Balance, end of period | 507 | 593 | 507 | 593 | |||
Loans | |||||||
Ending balance | 50,093 | 50,093 | 52,606 | ||||
Loans to individuals & overdrafts [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Ending Balance: individually evaluated for impairment | 0 | 0 | 0 | 0 | |||
Ending Balance: collectively evaluated for impairment | 309 | 327 | 309 | 327 | |||
Loans | |||||||
Ending balance: individually evaluated for impairment | 132 | 0 | 132 | 0 | |||
Ending balance | 12,256 | 9,586 | 12,256 | 9,586 | 10,244 | ||
Loans to individuals & overdrafts [Member] | Excluding Purchase Credit Impairment Loans [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Allowance for loan losses, Balance, beginning of period | 320 | 142 | 305 | 317 | |||
Provision for (recovery of) loan losses | 0 | 219 | 26 | 80 | |||
Loans charged-off | (79) | (45) | (107) | (95) | |||
Recoveries | 68 | 11 | 85 | 25 | |||
Allowance for loan losses, Balance, end of period | 309 | 327 | 309 | 327 | |||
Loans | |||||||
Ending balance: collectively evaluated for impairment | 12,124 | 9,586 | 12,124 | 9,586 | |||
Loans to individuals & overdrafts [Member] | Purchase Credit Impairment Loans [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Allowance for loan losses, Balance, beginning of period | 0 | 0 | 0 | 0 | |||
Provision for (recovery of) loan losses | 0 | 0 | 0 | 0 | |||
Loans charged-off | 0 | 0 | 0 | 0 | |||
Recoveries | 0 | 0 | 0 | 0 | |||
Allowance for loan losses, Balance, end of period | 0 | 0 | 0 | 0 | |||
Loans | |||||||
Ending balance: collectively evaluated for impairment | 0 | 0 | 0 | 0 | |||
Loans to individuals & overdrafts [Member] | Total Loans [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Allowance for loan losses, Balance, beginning of period | 320 | 142 | 305 | 317 | |||
Provision for (recovery of) loan losses | 0 | 219 | 26 | 80 | |||
Loans charged-off | (79) | (45) | (107) | (95) | |||
Recoveries | 68 | 11 | 85 | 25 | |||
Allowance for loan losses, Balance, end of period | 309 | 327 | 309 | 327 | |||
Loans | |||||||
Ending balance | 12,256 | 12,256 | 10,244 | ||||
Multi-family residential [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Ending Balance: individually evaluated for impairment | 0 | 0 | 0 | 0 | |||
Ending Balance: collectively evaluated for impairment | 547 | 757 | 547 | 757 | |||
Loans | |||||||
Ending balance: individually evaluated for impairment | 220 | 0 | 220 | 0 | |||
Ending balance | 65,294 | 72,238 | 65,294 | 72,238 | 76,983 | ||
Multi-family residential [Member] | Excluding Purchase Credit Impairment Loans [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Allowance for loan losses, Balance, beginning of period | 588 | 732 | 791 | 628 | |||
Provision for (recovery of) loan losses | (41) | 25 | (244) | 127 | |||
Loans charged-off | 0 | 0 | 0 | 0 | |||
Recoveries | 0 | 0 | 0 | 2 | |||
Allowance for loan losses, Balance, end of period | 547 | 757 | 547 | 757 | |||
Loans | |||||||
Ending balance: collectively evaluated for impairment | 64,062 | 71,499 | 64,062 | 71,499 | |||
Multi-family residential [Member] | Purchase Credit Impairment Loans [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Allowance for loan losses, Balance, beginning of period | 0 | 0 | 0 | 0 | |||
Provision for (recovery of) loan losses | 0 | 0 | 0 | 0 | |||
Loans charged-off | 0 | 0 | 0 | 0 | |||
Recoveries | 0 | 0 | 0 | 0 | |||
Allowance for loan losses, Balance, end of period | 0 | 0 | 0 | 0 | |||
Loans | |||||||
Ending balance: collectively evaluated for impairment | 1,012 | 739 | 1,012 | 739 | |||
Multi-family residential [Member] | Total Loans [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Allowance for loan losses, Balance, beginning of period | 588 | 732 | 791 | 628 | |||
Provision for (recovery of) loan losses | (41) | 25 | (244) | 127 | |||
Loans charged-off | 0 | 0 | 0 | 0 | |||
Recoveries | 0 | 0 | 0 | 2 | |||
Allowance for loan losses, Balance, end of period | 547 | $ 757 | 547 | $ 757 | |||
Loans | |||||||
Ending balance | $ 65,294 | $ 65,294 | $ 76,983 | ||||
[1] | Derived from audited consolidated financial statements. |
LOANS (Details Textual)
LOANS (Details Textual) - USD ($) | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | |
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Impaired Financing Receivable, Recorded Investment | $ 10,921,000 | $ 8,011,000 | |
Impaired Loans Required for Specific Reserves | 800,000 | 344,000 | |
With no related allowance, Recorded Investment | 10,121,000 | 7,667,000 | |
Allowance for Loan and Lease Losses Write-offs, Net | 2,000,000 | ||
Aggregate Impaired Loans Required For Specific Reserves | 61,000 | ||
Federal Home Loan Bank, Advances, General Debt Obligations, Disclosures, Collateral Pledged | 140,000,000 | ||
Nonaccrual Impaired Loans [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Impaired Financing Receivable, Recorded Investment | 6,600,000 | 2,100,000 | |
Accrual Impaired Loans [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Impaired Financing Receivable, Recorded Investment | 4,300,000 | $ 5,900,000 | |
Troubled Debt Restructurings [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Impaired Financing Receivable, Recorded Investment | 7,500,000 | $ 4,700,000 | |
Troubled Debt Restructuring Accrual Status [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Impaired Financing Receivable, Recorded Investment | 4,500,000 | 4,100,000 | |
Troubled Debt Restructuring Nonaccrual Status [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Impaired Financing Receivable, Recorded Investment | 3,000,000 | $ 539,000 | |
Unused Lines of Credit [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Line of Credit Facility, Maximum Amount Outstanding During Period | $ 174,800,000 |
REVENUE RECOGNITION (Details)
REVENUE RECOGNITION (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Disaggregation of Revenue [Line Items] | ||||
Noninterest Income, Total | $ 1,066 | $ 778 | $ 3,457 | $ 2,286 |
Service Charges on Deposit Accounts [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Noninterest Income, Total | 309 | 237 | 830 | 668 |
Other [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Noninterest Income, Total | 349 | 32 | 1,119 | 726 |
Noninterest Income (in-scope of Topic 606) [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Noninterest Income, Total | 658 | 269 | 1,949 | 1,394 |
Noninterest Income (out-of-scope of Topic 606) [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Noninterest Income, Total | $ 408 | $ 509 | $ 1,508 | $ 892 |
OTHER REAL ESTATE OWNED (Detail
OTHER REAL ESTATE OWNED (Details) - USD ($) $ in Thousands | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | ||
Schedule Of Real Estate Owned Properties [Line Items] | |||
Beginning balance January 1 | $ 1,258 | [1] | $ 599 |
Sales | (657) | (787) | |
Write-downs | (100) | (214) | |
Transfers | 519 | 2,495 | |
Ending balance | $ 1,020 | $ 2,093 | |
[1] | Derived from audited consolidated financial statements. |
OTHER REAL ESTATE OWNED (Deta_2
OTHER REAL ESTATE OWNED (Details Textual) - USD ($) | Sep. 30, 2018 | Dec. 31, 2017 | [1] | Sep. 30, 2017 | Dec. 31, 2016 |
Schedule Of Real Estate Owned Properties [Line Items] | |||||
Real Estate Acquired Through Foreclosure | $ 1,020,000 | $ 1,258,000 | $ 2,093,000 | $ 599,000 | |
Mortgage Loans in Process of Foreclosure, Amount | $ 654,000 | ||||
[1] | Derived from audited consolidated financial statements. |
BUSINESS COMBINATIONS (Details)
BUSINESS COMBINATIONS (Details) - USD ($) $ / shares in Units, $ in Thousands | 9 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2017 | |
Business Acquisition [Line Items] | ||
Net interest income | $ 34,485 | $ 34,307 |
Non-interest income | 3,457 | 3,434 |
Net income available to common shareholders | $ 9,328 | $ 7,585 |
Earnings per share, basic | $ 0.64 | $ 0.54 |
Earnings per share, diluted | $ 0.63 | $ 0.54 |
Weighted average common shares outstanding, basic | 14,636,576 | 13,994,138 |
Weighted average common shares outstanding, diluted | 14,697,379 | 14,046,829 |
BUSINESS COMBINATIONS (Details
BUSINESS COMBINATIONS (Details Textual) - USD ($) | 1 Months Ended | 3 Months Ended | 9 Months Ended | ||
Aug. 27, 2018 | Jul. 20, 2017 | Mar. 31, 2018 | Sep. 30, 2018 | Dec. 15, 2017 | |
Business Acquisition [Line Items] | |||||
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares | 948,080 | 1.0463 | |||
Business Acquisition, Share Price | $ 12.14 | ||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 12.65 | ||||
Payments to Acquire Businesses, Gross | $ 11,993,212 | ||||
Business Combination, Consideration Transferred, Including Equity Interest in Acquiree Held Prior to Combination | 2,231,728 | ||||
Stock Issued During Period, Shares, New Issues | 5,270,834 | ||||
Business Combination, Consideration Transferred | $ 40,600,000 | ||||
Goodwill, Period Increase (Decrease) | $ 325,000 | ||||
Carolina Premier [Member] | |||||
Business Acquisition [Line Items] | |||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets, Total | $ 279,600,000 | ||||
Common Stock [Member] | |||||
Business Acquisition [Line Items] | |||||
Stock Issued During Period, Shares, New Issues | 2,334,999 | ||||
Common Stock [Member] | Premara Financial, Inc [Member] | |||||
Business Acquisition [Line Items] | |||||
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares | 3,179,808 | ||||
Business Acquisition, Percentage of Voting Interests Acquired | 30.00% | ||||
Legacy Select [Member] | |||||
Business Acquisition [Line Items] | |||||
Business Combination, Acquisition Related Costs | $ 1,800,000 |
CAPITAL RAISE (Details textual)
CAPITAL RAISE (Details textual) - USD ($) $ / shares in Units, $ in Millions | 1 Months Ended | ||
Aug. 27, 2018 | Sep. 30, 2018 | Dec. 31, 2017 | |
Sale of Stock, Number of Shares Issued in Transaction | 4,583,334 | ||
Common Stock, Par or Stated Value Per Share | $ 1 | $ 1 | $ 1 |
Shares Issued, Price Per Share | $ 12 | ||
Class of Warrant or Right, Number of Securities Called by Each Warrant or Right | 687,500 | ||
Stock Issued During Period, Shares, New Issues | 5,270,834 | ||
Proceeds from Issuance Initial Public Offering | $ 59.8 |